The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1848-01-29
y Dividend off.

k s:ssss Railroad Railroad s Sa
Dividend of.
Government stocks have fallen of several per cent
within the Pet month, and stil remain very much de-
pressed This must expect until the new loan ne
gotiated. There IT, in fact, for the existing
depreciation in government securities. At present
professor at par they the BEST investment capitalists
can make, and Is smater of much establishment that
the capitalists of Europe do not seek after these stocks
for investment There is not single security in Europe
safer or pays better rate Of interest the stocks
the United States government This fact is well known
to the most intelligent capitalists the other sde but
they have strong objections to oaning any money to
this government They have not much fear for the
safety OF the Investment for the favorable effect
would have upon our financial affairs and the effect upon
the European money markets in draining any large
amount from them In specie The governments of the
OLD world are 30 jealous Of growth prosperity
tnae they would dscountenance any disposition the
part OF European capitalists to make any to this
government, particularly when carrying on war
with neighborng republic 1t is stated that the EN-
psror OF Russia condemns the between this country
and Mexico which is sufficient for any refusal to
make loan The capitalists Of Great Britain have Is
much as they can attend to in extrioatng themselves
from the difficulties with which they have been and
still are surrounded, without loaning money to
foreign government. 1t is, perhaps, fortunate
Tor u that We cannot make loan abroad. A
foreign loan would temporarily relieve our money
kets-woud enable the government to carry the war
Tor year or two longer without embarrassing any of
the industrial classes draining capital from the chan
nels of trade but the relief would not be very long
lived 1t might in fact, be the of much mischief
it might lead the banks, and those connected with
them, into an unnatural expansion, and bring upon US
those evils which the existence Of the war; the enforce
knf f,1>~ 1.-A 49,
government, are calculated TO prevent. In one sense
the Mexican has been blessing; has given the
Independent treasury system extent Of operation
which would not have had under any other crcum-
stances, and has tended more to keep the banks In
check than anything else Had the expenditures Of the
government been merely of ordinary character the
banks would have got possession Of the bulk Of the
precious metals which have been imported into tho
country during the past year, and they would have
been the basis for an imitation. As it was, the
banks last spring and last summer were much
expanded, and commenced contracting only when
the tide Of specie set from Had the bulk Of the spe
Gle imported gone int the banks there no doubt but
that We should have experienced enormous specula
tive movement and the contraction would have been
80 rapid and to such extent that revusion similar
to that realised in Europe, would have been upon u.s.
and the result would without doubt have been equally
disastrous As H. the contraction has been vsry great
and Is matter Of much astonishment that no more
suspensions took place than have been reported.
We are In favor Of any measure calculated to check
every attempt to an expansion Of credits any spesua
i've movement Of any kind therefore in favor Of
the Independent Treasury SYSTEM specie clause and ALL
and wish to see it rgidly enforced The evil effects
which would result from negotiating large loan with
foreign government, would annul all the benefits the
government might receive, and would be many years
after such loan paid, before we should recover
from them. Every government should raise money
among its subjects Great Britain could not exist
two years If the interest her immense debt was pay
able to foreigners. The payment of interest on anv
debt contracted by any government within its own linn
It's does not mpoversh the country and Is not there
fore, so much Of q burden as It would otherwise be-
Within the past twelve months large amount Of our
State stocks has been returned from Europe sold in this
other markets Of the Union the proceeds remit
specie It's to tell with any degree of ac
what the extent Of these renttances have BEEN
but that It has been exceedingly large have no doubt
This very favorable feature in the financial opera
lions between the two countries and has relieved Of
large amount Of foreign Indebtedness the benefits Of
which we shall ever feel The transfer Of these State
to this country by purchase will enable US to keep
large amount Of interest within our own limits In.
stead of remittipg much in payment Of interest to
foreigners alarge sum will hereafter be paid our own
ct2ens ana 30 mucn wealth. Will De Kept In the country
1t would be fortunate thing we could purchase
every State bond held In Europe present prices In
few years they will be sought after premium and the
time is not far distant when State securities will be
considered all the world the best Investments In
existence. We know that they now but repudia
ton aud delinquency have prejudiced European capita
lists so much against them, that It will require little
time to of. Another of the dstrust which
foreign capitalists have of State stocks their gross
ignorance Of the principles general and State CO.
vernmsnts They know nothing about them, and it is
not therefore, strange that they cautious in their
investments SO far prosperity is concerned We
hope they will not enlght themselves upon this sub
ect It was the impression they obtained many years
thstnduced them to lend much money; and II they
know nothing more about us than they do they will
not be likely to lend much money or purchase
many more ofour State stocks 1t to keep
our public finances Independent Of European nations
sposs,oie and therefore fortunate credit of on
gener% and State governments does not stand very
ngn nave about as poor opinion of the sovency
Oh oreae nriain or any other nation in Europe except
hussis as tney have Of US; and trust this mutual
prJudce Will Keep us widely separated as we are
parucuiary IN financial point Of view.