The weekly Lancaster gazette. (Lancaster, Ohio) 1852-1855, 1853-03-24
From the Washington Republic

FINANCIAL ne COUlmGFCluI
editors Of several of the New York journals
predict an early and a terrible check 10 the
great apparent prosperity that now prevails.
They trace a large proportions Of the advance
which the price of real estate has experience
ed to an excess Of speculation; and they pre-
TESS TO discover other and not less marked
indications of the rash adventure aud un-
sound enter rise which have been the inva-
riable precursors Of mercantile embarrass-
ment. 1t is alleged that unless all analogy
fail, a sweeping series of disasters will at no
distant date overtake the country. We
take the subjoined from the New York
Times as an illustration Of the gloomy ma.
ture of the predictions to which we refer:
"The weather-wise in such matters may
be at fault, but not SO the stern aud immu-
tible lessons of the past. This great coun-
try was never pronounced so prosperous and
happy as on the 4th of March, 1887, when
President Jackson transferred the affairs of
Government to Mr.. Van Buren, and yet on
that very day q series of the most disastrous
and widespread mercantile bankruptcies
commenced at New Orleans and New York,
which in two months carried down all the
banks in the country, aud after q vain strug-
gle Of four years involved the weallhiest
States of the Union in discredit and repudi-
alton. None ofthese were preceded by pre-
liminary signs of revulslon. They began in
a sudden change in the course of the money
market, not wholly unlike that which has
been witnessed in this city for a few weeks
past, and which affords unmistakable tokens
that, unless some OF the sails Of trade and
banking are reefed, and that speedily, a gem
eral shipwrecG may ensue. The fact is al
luded to not to provoke alarm, but, If posi-
BILE, to- induce caution"
But these apprehensions, though extern
sively ditfused, are discarded by other not
less informed writer's on the sam subject
Hunts Merchants Magazine for the pres
ent month takes the more hopeful view
Admitting that there has been a very great
expansion in credits. with n corresponding
influence upon prices, the writer yet con-
tends that there is no real resemblance be-
tween the causes now in operation and those
which produced similar excitement in the
past. Heretofore, he argues, the fever of
speculation has usually been produced by a
rapid and uDwarranted increase in the guam
tity Of unreliable capital in circulation ;while
in the present instance its origin was stimuli
t~ancous with the increase of our coined gold,
and its progress, although great, has not ex-
ceeded in proportion the monthly augmen-
tation to the supply Of specie. The infer
ence therefore is that the relative ratio Of
capital and credit is more favorable now
than it was when the fever commenced
sin plain words, there is now more of solid
avail able capital, in proportion TO the bu-
%siness of the country, than there was four
years ago" Some of the statements ad-
vanced in support of this opinion may be
u~sefully reproduced. Thus we find that from
the year 1921 to the close of the fiscal year
1878, the foreign gold and bullion imported
into this country amounted to 1882, l69, 841;
while the exports Of the precious metals du-
ring the same period were $3.50, 1862 ,4O6; ex-
hibiting II gain of ST., 7O7, 435. To this
must be added about $4,000, 900, the amt
OF gold and silver Of domestic production de-
posted for coinage. The average yearly
increase Of specie for twenty-eight years
was, therefore, in sound numbers go, 200, 900.
From 1859 to the present time the imports
of foreign gold and bullion have been $24,-
600 900; while the domestic bullion that has
been coined has amounted to $l65, 900, 900
Deducting $50 ,000, 900, the amount export
ed, We have not less than $l04.000 900 us
the actual addition TO our specie currency in
four and II half years, or an average of $23,-
coo, 900 per year. instead Of 5000, 900 as be-
fore. THIS estimate excludes the amount
brought by rmigrants, and also the gold dust
which is used for manufacturing and other
purposes without passing through the mint
two items that are known to be considera-
BILE. Mr.. Hunt sums the mutter up as fol-
lows:
"Create what panics we will, there is
something to fall back upon; and thus, al
though temporary revulsions may bring. loss
ps to indi7iddar spectators, they cannot
leNd us so near to the verge of national bank
ruptcy as we have been in the disasters of
the past, when the expansion was caused
aercLy by an unnatural Imitation of credits.
"The thing most to be dreaded in the
present excitement is the pdSte OF moneY upon
useless projects0Rd Vid Schegsey, where the
capital can-be neither re-gathered nor prof.
tably employed. The mere transfer of local
property from one hand 10 another, at a high
nominal raie, .,Sorks murh less mischief than is
generally supposed. The chief evil resulting
from it is the idleness and extravaganza it 10
apt to engender among the. spectators
themselves.
"We do not wish to be understood as war
ranting the continuance of our preseutpros-
perity; our object has been to show that il
IS not chimerical, and that it is not to be
permanently checked by the same causes
which have brought on the revulsions of the.
past. II evil overtake US, it will come in
some other shape. Suppose, for instance
that while our imports are swelling to n large
amount, and whie capitalists are carrying a
load Of stocks and bonds greater than a0aS euer
bcfore kno,Cn, the cotton crop should fail, or
the production OF the staple should be great
ly diminished; in this case, those who sup
pose that the bulk of our new securities are
held abroad, would find themselves wofully
mistaken. They would find a great pro-
pertiOnof il represented by the additional
capital already noticed, which being called
upon to make good the deficiency ofexports,
would leave the securities like u milestone
upon the neck of the money market. Such
n contingency, however, may not arise, and
iii should, the immediate decline of imports
would soon regulate the evil, and apply the
proper correction"
THE CONNECTICUT BANK NoTEs. The RI,
NOR that the Rank of North America had
failed, proves to be anfounded. Pie Wood
bury and Eastern Bank failed. They were
both nu-nad ht Tr;ktonlo, NJ, Ua.L -.