Baltimore commercial journal, and Lyford's price-current. [volume] (Baltimore, Md) 1840-1849, 1848-10-28
rYRE AND CARTHAGE.

7Fadey Wrngy;ietrcs- ITr"ring- Dyeing- Pot.
terry Tuning Iloking ?t Me'dS,, Coion!es-
Colonial Tfadr-Rate Of IPrges - Emigration
accumulation Of Ctpiiai-- Credit B7nhinS-
Bottomry Partnerships Joint Stock ComPa"ies
- COMMERCIAL Character Of the CdrthaginianS.
fCuntinued from uur last
". Commerce is extended by the accumulation of
capital.
in carry ing on his business. In proportion TO the
amount OF his capital is the extent OF the business IN
which h. can engage. What applies to one lnaiNiI
dual, applies TO many. A country "horT c1Il'"I
abounds can carry more extensive trade IMAM
country which has bGt little capital. Capital Is m
creased by industry and frugality merchant must
first make profit, aud then apply portion oi hat
protit as a means Of further production. the proht
Inns cmpoycd as capital again yields profit, which
is again applied as capital thus, capial results OUT
of savings from profits, and the prohts upon nose
savings Capital is employed III the purchase OF IA"
materials in the erection OF machinery, IN the pay
ment of wages The more materials manuIac-
turcr can purchase, the more machines he can erect
the more men he employ, the more extensive Is
the business in which he can engage Inc capital
of a country consists in the amount OF raw produce,
either in the mines the fisheries, or corn or cattle
in the manufactures, machines Tor iabrcath@ teSc
into useful commodities, in the number OF ITS Shlps.
in its stock of money or goods Tor Inc pay mem u
wages; in proportion 10 the amount OF these Is the
extent of It's exports and in proportion TO hc extent
of its exports is its ability TO purchase imports
An accumulation of capital enables an exporting
% o. long credit.
which the English merchants are said TO have kept
nossesson of the foreign market. The merchants OF
other countries being comparatively poor are oogcd
to sell for ready money, or, at least at snort credt
Whereas, the English merchant from ms great gap
ital can give extensive credit. The length OF ms
credit is of less importance to him, provided he
knows that his capital will ultimately De returned
with proportonatc profit. Hence, the iortlSn I'M
porter of English goods may be able to sell the goods
and gel the money, before he is called upon 10 pay
the English manufacturer; and, consequently, ne Is
able to carry more extensive Fauc' 80 IL
manufacturer sells to shJpkccpcr upon credit inc
shopkecpcr may sell at least some oil the goods ana
receive the money, by the tim" H. has to pay the
manufacturer. Thus, the shopkccprrs able to keep
a larger stock of goods, and to transact more bust
ness, than though he were to pay rIady money ior
all his purchases The extent OF credit in any coun-
try is no proof of want OF capital On the contrary
it may be proof Of the abundance OF capital 1t Is
the abundance of capital which enables merchant,
TO give credit, and the person to whom crcdt Is
given has usually some capital. also, which enables
him TO extend his credit. WHEN We observe, by
way of rcproach, that such person trades upon ere
dit we mean that he is accustomed to take longer
credit than is usual in his trade or that he taxes
credit where ii is usual to pay ready money or that
he raises money by accommodation Bulls or other
fictitious means.
In all countries where capital has accumulated,
there is class Of men who b'comc dealers in CAPT
tai. They are not themselves engaged IN trade but
they furnish merchants and traders with such tenn
porary supplies of capital a. they may occasionally
periodically require. ltst men ~ lCu u''lN-
ers Ii is their business to cconomize the national
capital-to increase the rapidity Of its circulation
and thus to render II more productive In district
where there is no banker, merchant or trader must
ALWAYS keep BY him of money adequate TO
meet any sudden demand. But when a bank IS csla-
blished, he need not retain this sum. He may trade
to the full amount OF his capital, and II he should
have occasion for a temporary loan, he may obtain
it, by way Of discount, from the bank Thus the
productive capital Of this country j. increased The
banker IS a depository Of capital He is like the
fy- Wheel of an engine, he either receives or COM
muuicatcs power, as the occasion may require, and
thus maintains the frmncsS aud increases the eff
cheney of the mach merry Of commerce.
Bankers are not merely udcrs Of capital; they
are dealers in capital. They borrow Of those who
wish 10 lend: they lend - those Who wish to Dor
row The borrowing Of capital is effected by the
system of deposits Not merely merchants and ira
ders but persons ont of trade, noblnm"n gentlemen,
farmers and others have USUALLY in their possession
small sums of money which th = keep by them 10
meet their occasional expenses When a bank is
established in their ncghb rh0od they lodge these
sums of money upon interest with the bankers In
diyiduaIly they NAV be Of small amount but col
lectIyely, they make a considerable sum, which the
banker employ, in granting facilities 10 those who
are ENGAGED in trad. and commerce. Thus these
Ttte riyrI.ts nr canaI are united and form now
erfl stream which prOprS the wheels of manufac-
tures and sets in motion the nachn nv Of industry
Bankers also employ th.r own credit as capital.
They issue notes nromisng 10 nav the bearer GER
tain sum on demand As long as the public are will
l;nu 10 ,,lye ,bcsn notes as GOLD they nroduce IN a
certain extept the same effects The banker. who
frst mats advances 10 the ayriculrurist the manu-.
factprnr or th. merchant in his own notes stimn.
Iaas as much tho nroductiy mowers of the country
and nroyidrs rmnlovmrpt for as many laborcrs. as
# by means Of The nbiIosophcr's stone he had Gre
atJ an anount of gdld rnuI to the amount of notes
permancntIv maipiainrd in circulation. 1t is this
fratnrc of onr banking system thai has been most
freonnntIv assoiIrd /, has been called sv stem Of
fictitious crcdt-a raising the wind-a sytcm of bub-
his Call il what You please. we will not quarrel
about names: but by whatever name you call it, it
is a poyerfuI instrument of production. If it be a
fcttms system lis effects are not fictitious for il
leads IN the feeding the clothing and the employ
mcnt of numerous Population Ii it b. a raising of