The daily union. [volume] (Washington [D.C.]) 1845-1857, 1850-02-21
COMMERCIAL.


Nxw Yoxx, February lS-4, n -.
A. The advances capital ia the New fork msIks'
becomes sppsrenuy abundant Ia the hands o. ndi
sidaas il Is Offering lssly lower rates Of die
count; while the banks under the free law and those
chartered which have lines Of Discount quite
full discount al the business paper Offering per cent
and, IA seek II In the bur
has become less abundant many
bied ses their pape and increase their depostes
In banks This remarkable stale Of affairs rhis season,
when. with large regular business doing, merchants
and business usually require all their funds. 10 i'm
dicatve Of thar great accumulation Of action which has
progressive for several years. but with greater rapi
~ Last three These results acesble al
ecy that radical change In the vicious Of doing
business tbs Unite States under The lae National Bank
brought about by the democratic policy under the vigorous
lead venerable Jackson The effect Of the credits Of
those trading, speculation, and con-
sumption, and diminish consumption The capital OF
the Atlantic cities for the establishment Of
banks, which became the medium of collecting notes.
Ill their capitals exhausted and they failed Thus The
capitals banks in the reaching
S1O0 000 subscribed In New York and In England
and the Institutions put In operation In Mississippi
where there banks, there thirty mil
lions of capital In l639 mostly subscribed In New York
The merchants then sold goods long payable NJ
those distant banks. under the impression thar the dealer
would strive preserve his credit in his neghbor-
hood. They usually did by procuring the discount
Of IAN accommodation note. Hence, when the New York
merchant deposited the for collection In tho New
York bank, II was by il transmitted 70 the country
The operation simply that instead Of The country
dealer owing the New York merchant he owed the country
bank, and the latter owed balance the New York bank,
which had in given its credit Tor the note
paid Ultimately the balances between the banks
paid the banks failed; the New York stockholders
their money and the banks their balances and this
because the credits had been given buyers Of goods and
speculatos, rather than prodacers Industry srsn-
gied and speculation encouraged. The specie circular
which stopped the runous land monopoly specna
tons, opened the door renewed agricultural industry,
and those who had eaten Odessa wheat ground in New
York mills began send wessern grain market; actnal
settlers took Of The and and their productions
poured down in increasing quantities. in payment Of
goods and supplies without calling for bank accommoda
lions loans Of capital has, therefore, been The
that while preparations for seasons business, BY laying
stocks Of goods extended plans. have created de-
mand for money, the close Of the has generally
found the capital in increased through
the productive industry the West In the last few
the demands upon New York capital for fixed investments
and been pretty large, without
producing any apparent dminution OF capital Of the
debt of sixty millions. New York holds the fol
lowing proportion Indicated in the amount Of interest
payable here
Principal held ssaosSiso e - sso . sss ssoas =
Interest paid 6275a % 6l75aO 70 l.0ls.ssi II
This would indicate the Of some Sl2 000
900 in New York In year; but portion Of this
probably equal New York sock drawn home
or the whole Of debt (S60 600 000 one-hal
has been paid by New York in Eve years In the pc
rod been subscribed railroads. including
60 600 for the Eric and Hudson roads also about
900 for other companies In the period the
hips and houses built have exceeded those any
period. The following table Of the houses and ships
bulk in New York for periods. Of five years each.
4