The southern press. [volume] (Washington [D.C.]) 1850-1852, 1851-02-14


Here you will see that the debt of nine Eu-
ropean States II near six thousand millions of
dollars, snd that the annual accruing interest is
mors than two hundred millions, although much
OF IL bears IN interest Of three per cent. only.
Permit me 70 remind you that this immense debt,
represents the expenditure, by these States, in
cruel and wicked wars, and in the maintenance Of
armies and navies employed to keep in subsection
the down-troddsq and oppressed people Of Eu-
rope. Let me remind you that this immense
sum paid f.r interest, 10 annual tax levied on the
laboring ciasses, and that a few bankers are the
chief agents for receiving and reinvesng it, that
the Earrings are Englishmen, and that public duty
and private interest prompts them 80 to use the
mower which their control over this fund gives
them, az b<st to protect and most promote the in
terest and welfare Of England.
Ibeg YOU 10 bear in mind that, although this
funded debt represents nothing more than the
credit Of the several European States, and consti
tutes no part Of their actual wealth, It is used as
the presence for levying the amount of the annual
interest a. tax on their productive industry,
and al perpetuating, as permanent punishment
on future generations, the enormous burdens
created bv the ambition, the extravaganza, AMI
sinful conduct Of former tyrants and despots; and
that. AZ the greater part Of this interest ia made
payable in London, it 10 an essential element Of
that financial arrangement which makes London
the centre Of the financial world, and enables
a few bankers and money dealers to regulate the
value Of the products OF labor throughout the
worii. Let us explain---Our theory of free trade
is, that commerce is an exchange Of the products
Of labor. that our ability to purchase foreign
goods depends upon the sale Of American pro-
duce, and hence, always when Great Britain
sells " her manufactures, there IL an implied un-
= a. - -. ~ frrvsn ko
amount Of American produce As the money Of
every country regulates the money price OF pro-
perty and Of the products Of labor. and as the
money Of a commercial people should bear to the
value Of their property the relation OF about one
to thirty, whenever from any cause the operations
Of commerce are 80 disturbed as to compel us to
pay in specie for British manufactures purchased,
with the understanding that they were to be paid
for ia American produce, there must necessarily
be a corresponding depreciation Of the price OF
American produce, and corresponding loss to
the American producer
Now sir, these large bankers are dealers in ex-
change, a. well a. in stocks and IN merchandise.
They know how TO buy cheap and sell dear, and
refer you to the past periodical contractons and
EXPANSIONS Of the currency for proof, that they
have used their power over the currency OF the
world, so as to enrich themselves at the expense
OF the honest labor OF the world; and | refer you
to the statistics Of the commerce between the
United States and England for proof, that il is
this abuse of the money power by the bankers OF
London that has again and again spread debt, M
in, bankruptcy and despair over this country.
lffrom any cause, a British manufacturer or
merchsnt il compelled TO raise a large sum OF
money on a sudden emergency, he does not put
his goods at auction in the British market, for the
effect Of such sale would be to reduce the price OF
such articles in that market, and to injure the
credit of the party thus making the sacrhce. The
goods are sent to an agent in New York; Lon
don banker makes an advance on the bill oflading,
sufficient 10 meet the present emergency; the goods
are sold in New York at auction, and the proceeds
RENTED in specie, for the money crisis, which
compeIs him to sell his goods at auction, forbids
his RENTING American produce. The effect OF
this 10 to put down the price Of American produce
by the shipment Of specie, and by the deprecia-
ton consequent on such sales at auction. know
that it has been said that the American consumer
is benefited by reduced prices. but experience
proves that when we gain pennies by reduced
prices, we lose pounds by the arrangement ofthe
regular operations Of labor. and by the consequent
depreciation Of the values Of property.
But / will refer to practical illustration. When
Nicholas Biddie failed to obtain the charter of the
bank Of the United States, he was compelled to
take charter from the State Of Pennsy lvania.--
Uuder this charter he was compelled to sell out
the branches Of the United States bank in other
States these were paid for chiefly in the notes Of
local banks. Had Mr.. BiddIe coerced the pay
ment of those notes in specie, he would have
brought about universal suspension of specie
payments He preferred to invest in State bonds,
and to make large advances on agricultural pro-
ducs. Instead Of employing the Bdrngs and
others az hls agents. to sell theseState bonds, and
conaigning them the cotton and tobacco, he sent
his son to Liverpool and Mr.. Jaudon to London
a. the agents Of the bank, believing that they
- III To saiS fato hand nd uf-
fcient to reimburse the bank and meet the bills
drawn for that purpose. Now sir, these London
bankers saw that il Mr.. Jaudon was permitted to
estabish a market for American six per cent.
State bonds, at par, in competition with their Eu-
ropean three per cents. the great mass of Europe
an debts would soon be brought in the market at
great depreciation, and the proceeds invested in
American securities. They know that the public
debt oftheAmercan States, would represent canals
and railroads, and become the source of wealth and
prosperity TO u-, whereas the European debt was
fiction, liable to be destroyed by the sponge Of a
revolution.
At that time, the process Of trade was this The
American merchant bought goods At Manchester,
Leeds or Sheffield, on a credit Of six. nine or
twelve months, and drew his bill on ore Of sew
sral houses Established in London; the goods were
brought 10 the United States and exchanged for
American produce, or sold, and the proceeds re-
mitted To those London houses, TO be applied to
pay the accepted bills. AZ soon az the London
bankers understood Mr.. Biddle's plan. they COM
bined against him--their plan was to stimulate
the trade bstwesa England and the United States
Our merchants were urged and pnrsuaded to
purchase British goods. The governor of the
bank Of England called upon the active partner Of
one Of the principal London commission houses,
and urged hin, under promise of bank support. TO
do what he could 10 induce the American mer-
chants 70 buy. On the other hand. Mr.. Jaudon
could not sell, because those who controlled the
money power had refused - purchase his Safe
bords. The bills drawn by the bank of the United
States falling due, he was compelled to borrow,
and hypothecate his bonds much below their val
ue. and having thus placed them, he co i'd never
.hsrsafssr rssI'ss markstAb': price Relying on
phries ofLlverpool. he hoped to obtain funds from
that source, when the Bank Of England issued m
order that no bill drawn on account Of American
produce, would be discounted At bank. The con-
sequence Of this order wss the utter ruin and
bankruptcy Of most Of those connected in sny
wiss with the American trade, and the bankrupt,
- ~ ~ H. Al r.