, 1840-03-21

W ClS CAPIiss oSS
pand, and tempt the unwary to their rum.
Property OF all descriptions commands a tair
price. The fourth or the fifth year the era o!
extravagant banking and specu. alton returns,
again 10 be succeeded by another rulnous re-
yulsion.
This was the history of the country up till
1887. Since then we have travelled the
road to ruin much more rapidly than IN for
mer years. Before that period 1t had re-
quired from three to six years to get up an
expansion and its corresponding explosion
We ave now witnessed the astounding
fact that we can pass through all these chan
ges, and even from one suspension OF specie
payments to another, in little more than two
years.
Ii is curious to observe with how much &C
curacy YOU can read the ever-changIng con-
|dition OF this country in the varied amount
of our impurtItions. The year 1886 was
one of vast expansion, and produced the ex-
plosion and suspension of specie payments
in 1887. The imports were greatly dimIn
Ished in 1887, being less than they had been
IN 1886 by near fifty millions OF dollafs In
1888 they sank down TO twenty seven mil
lions less than they had been IN 1897, and
nearly seventy-seven millions less Than they
were in 1886. In 1889 we had another ex,
p%ansion, and our imports were forty-four
millions of dollars g eater Than they had been
in 1893. This expansion preceded the ex-
plosion and suspension o: specie payments
in the month Of October last. Thus we
have become such skilful architects Of rum,
that a single year was sufficient 10 prepare
the late explosion.
There never has existed 4 nation on earth,
our own, that could endure such rap
id and violent expansions and cpIlractions.
1t is the bueyancy Of youth--it is the ener-
gle: of our population-it Is the spirit which
never quails before difficulties-which ena-
bles us 10 endure such shocks without utter
ruin. Yes, sir, a difference in the amount
Of our imports. between the years 1896 and
1888. of seventy-seven millions of drllars,
is sufficient to excite the astonishment OF the
What causes chiefly operated 20 produce
this speedy recurrence of the second eXplo
sion and the second suspension oil specie pay
Three may be mentioned. In the
first place. after the bank suspension OF 1881.
every person who was irIendlssio we'll regu-I
banks, If such a thing he possible I'M
der the present system, ardenily desired that
the different state legislatures might impose
upon them some wholesome RESTRICTIONS. IL
vas expected tha, they would he compelled
10 keep a certain amount of specie IN their
in proportion 10 their circulation ami
that the foundation OF a specie os
SIS FOR our paper currency sh 'u'd be land by
prohibiting the circulation OF bank notes al
the first under the denomination Of ten, and
under that OF twenty dollars; that
The amount of their dividends should be lin.
tied; and, lJove ell, that, upon the occur
renee OF another suspension. their doors
should be closed al once, and their atiIirs be
in the hands of commissioners. The
legislatures met. Much indignation
expressed al the conduct of the banks.
Thew were severely threatened; but at last
they proved too powerful for the people. In
Iced, it would almost seem as II most of the
state legislatures had convened for no other
purpose than TO legaliZe the previous sus zen
'ion of specie payments. No efficient re
were imposed; and the banks We're
nus taught that they might thereafter 90 III
unwhipt Of justice. Past ilnpuni,
" prevented them from reducing their bust
hess and curtailing their profits in such "a
manner as 10 render them secure in the day
IF trial. They have fallen again. fear
lgair to enjoy the same impunity.
In the second place, the immense amount
IF money loaned to many Of the states in
a large portion of which was
home in the form Of foreign mer-
afford great facilities for over
fading, or rather over-buying.
And in the third place, the conduct Of the
Bank Of the United States greatly tended 10
thess excessive irnportations. That
Institution became the broker for the sale Of
state bonds in Europe. 1t endeavored TO
nonopolize the entire Cotton trade Of the
and it drew bills of exchange on
most freely, at moderate rates,
lgainst the proceeds of these bonds and of ITS
cotton. Every temptation was thus presen
ed to speculations in foreign merchandise.
These three causes combining have occa-
Toned a second suspension Of specie pay
nents within two years after the first, and
'roduced tina, bIoated credit-system from the
wreck of which our country is now deeply
most heartily concur with thp scno,or