Morning herald. [volume] (New York [N.Y.]) 1837-1840, 1839-07-26

ducs sure but small returns; but commerce can
BE- carried on BY this means o any extended scale
in itself nominal and existent, bat producing real
returns. If any one will look back upon the COM
mercia history of these last fifty years, he will per.
ceive that the system of credit is always attended
with a periodical blo,c up; in England, perhaps,
in twenty years; In America, once IN from
to ten. This arises from their being no safety
valve--no cheek which can be put to 1t by mutual
consent of all parties One house exeads ITS credit,
and for time, its profits; another follows the ex-
ample. The facility of credit induces those who OBJ
tain it to embark in other speculations, foreign to
their business for credit thus becomes extra capital
which they do not know how to employ. such mas
been the in the present instances but this Is no
reason for the credit system not being continued.
These occasional explosions act as warnings, and,
fer while to repair damages, and recover from their
CONSERVATION; and when they go ahead again, II is
not quite 50 fast The loss is severely felt because
people are not prepared to meet it; but IT all the
and the balance-sheet struck between that and the
loss at the explosion the advantage gained by the
credit system would still be found to be great The
advancement Of America depends wholly upont Il
is by credit alone that she has made such rapid
strides, and it credit aene that she continue
to flourish, at the time that she enriches those
who trade with her. In this latter crisis there
blame to be attached 10 the English houses who
forced their credit upon the Americans, than to the
Americans, who having such unlimited credit,
thought that they might advsntsgeously speculate
with the capital OF others.
One Of the most singular affections Of the human
mind is proneness to excessive speculation; and it
may here be noticed that the disease (for such il
may be terned) is peculiarly English and American.
have ran away to have been blinded by the rapidty
Of their motion. 1t almost amounts to an epi-
demic, and is infectous-thc wise and the foolish
being equally liable to the disease. We have ample
evidence Of this in the bubble manias which took
place in England in the years 1875 and 1876
mania Of this kind had infected the people of America
for two three years previous to the crash 1t was
that Of specializing in land and TO show the extent
to which il had been carried on, we may take the
following examples
The city Of New York, which is built upon mar
row island about ten miles in LENGTH at present covers
about three miles Of that distance and has Popula-
ten of three hundred thousand inhabitants. Build
ing lots were marked oat for the other seven miles;
and by calculation, these lots when built upon,
would contain an additional population OF one million
and three quarters. They were first purchased at
from one hundred to one hundred and fifty dollars
each, but, the epidemic ragged, they rose to up
wards of tive thousand dollars. AT Brooklyn, on
Long Island opposite to New York, and about half
mile distant from it, lots marked out to the ex-
tent Of fourteen miles, which would contain an extra
population Of million, and these were as eagerly
peculated in.
estate was purchased by some spectators for ten
thousand dollars, was divided into lots and planned
as town to be called New Brighton; and had the
whole of the lots been sold at the price which many
were previous the crash, the original spectators
would have realized three millions Of dollars. But
the infatuaton not confined to the precincts oil
New York: every where it existed. Government
lands, which could only be paid for in specie, were
eagerly sought after; plans OF new towns were pulled
up; drawings made in which every street was laid
down and named; churches, theatres, hospitals rail-
roas communicates, canals, steam boats in the
ofing all appeared paper f in actual existence,
when in fact the very site yet forest, with
not log hut within mile Of the pretended city.
Lots in these visionary cities were eagerly purchased
H. oAn cd harry
to those who took advantage of the credulity of
others. One man would buy lot with extensive
,cater privileges, and, upon going to examine IT,
would ind those privileges rather too extensive the
whole lot being under ,cater. Even after the crisis
there was man still going about whe made good
livelihood by setting up his plan Of CITY, the lots Of
which he sold by public auction on condition OF one
dollar being paid down to secure the purchase
proved of. The mania had not yet subsidized. and
many paid down their dollar upon their purchase Of
lot This was all he required He went TO the
next town, and sold the same lots over and over
again
To check this madness Of speculation, was one
reason why act Of congress was passed, obliging
all purchasers Of government lands to pay in specie
Nevertheless, COVE rnment received nine ten mill
lions in specie after the bill passed. Now, when it
is considered what large portion Of the capital
drawn from England was applied TO these wild spe-
culations which, when they were required
could not be realized as, when the crisis occurred
property thus purchased Immediately fell to about
netenth Of what was paid for tit will be clearly
that from this unfortunate mania, great por-
tion OF the present distress must have arisen.
The attempt Of General Jackson and his successors,
to introduce specie currency into country which
exists upon credit, was act OF folly and has ended
in complete failure. A few weeks after he had is
sued from the mint large coinage OF gold, there was
hardly eagle TO be seen, and the metal might al
most as well have remained in the mine from whence
II had been extracted. Ii was still in the country,
but had all been absorbed by the agriculiuras and
such will be the IN a widely extended agri
cultural country. The farmers, principally Dutch,
live upon portion af their produce and sell the rest
Formerly they were centcnt with bank bills or Mex
lean dollars, which they laid by for rainy day. and
they remained locked up for years before they were
required When the gold was issued, 1t was eagerly
collected by these people, more convenient, aud
laid by, by the farmers wives IN the foot OF an old
worsted stocking, where the major part Of Il will re-
main. And thus has the famous gold currency bill
been upset by the boarding propensites of parcel
of old women.
There some fine buildings in this city, but not
many Aston House, although Of simple architec-
ture is, perhaps, the grandes mass; next to that
the City Hall, though IN architecture very indiffe
rent In the large rsom Of the latter inte-
resting pictures aud busts OF the Presidents, Mayors
Of the city, and naval and military officers who have
received the thanks OF Congress and the freedom Of
the city. Some very fair specimens OF art: the
most spirited Is that Of Commodore Perry, leaving
his sinking vessel, in the combat on the Lakes to
hoist his flag on board Of another ship. Decatur's
portrait is also very fine. Pity that such SHOULD
have been sacrificed in a foolish duell
At the corner Of many Of the squares, blocks 81
buiIdinos they are termed her IL ted a very