The Cecil Whig. [volume] (Elkton, Md.) 1841-current, 1850-05-18
From the Evening Bulletln.1
EFFECT OF CALIFORNIA.

The continual flow of gold into the
markets of Europe and America, from
that Ophir OF the modern world, Calitor-
MIA, is beginning TO direct The attention of
political economists to its probable results.
Within the last year, not less than thirty
millions OF the precious metal have reach
ed our ports and those of England, from
San Francisco: anu the tide, instead of re-
ceding, is, if anything, on the increase.
S, large an influx cannot but produce a
great expansion. Indeed this expansion
is already upon us. Stocks have univer-
sally risen, real estate has everywhere
advanced, and mechanics of all kinds are
striking Tor higher wages. But the pres
cnt, anlike former expansions, is appar-
emily not destined to collapse; for they
were based on paper issues, while this
rests on the increase Of the precious metals,
What happened in Europe, after the mines
OF Mexico and Peru were discovered, will
probably happen again, though in less
degree-he nancy raiue Of erery Thing w,li
be raised! The holders of real estate, and
of other descriptions OF Auctuating proper
ty will benefit, OF course, by this expan-
sion: but as to annutants, owners OF
mortgages, and others who will receive
no accession of income finding every
thing dearer than before, yet having no
more means-thcy will be forced to re-
trench or seek cheaper countries. A
writer, IN contemporary, thus torcibIy
paints the condition of such:
"What will be the effect Of this upon
large class Of our Oldest and best society :
1t is obvioas that all those WHO depend
upon fixed incomes will be unable to sus-
tain themselves in the general enhance
tnent OF the prices OF every description OF
articles, and will be forced to retire to
cheaper countries. They cannot very
well hope tina. the tide OF initiation will
speedily ehb, as it has done when it arose
from bank expansions. The present IN.
crease of the circulation, consisting, as it
does, in addition of precious nsal, and
not OF paper credits, viii be permanent,
OF at least long continued. If the supply
from the Pacific should wholly stop after
a year or two, the uses Of luxury would
absorb a portion Of the excess: but that
will be an extremely slow relief. Our
annuitanIs, and holders Oh perpetual rents,
wall have to retire to lhr roorer countries
OF Europe. The wisdom OF bonds and
mortgages is likely 90 be exploded Italy,
Switzerland, iha South OF France. will
hereafter hold Iarg" amount OF our most
patr,ian circles. 1t is the high rate of
living in Eng land, and the large number
OF persons there who are what they term
1'income-livers," that keep so large pro-
portion of the British gentry in state OF
permanent exile. The same cause here
will work a similar result; and while
France ond italy are coming here in the
shape OF operas and circuses, we shall be
going thithrr in the persons Of ladies and
gentlemen OF moderate settled fortunes,
drowned out by ireshet of prosperity.
Sach is the natural commerce between
old refined lands and new wealthy ones.
We give souls for singers, and get mines
in exchange for minds. We can hardly
say that the balance of trade Is in our
faVorb