The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1854-11-28
The Panic.
m rH TDrrOR or TIE HERALD.

no rU KDTr0R or THE HERALD.
The export Of gold 10 greater amount than last year
the constant harping upon this fact and the dmnuson
Of specie in the vaults Of the banks the immediate
causes Of the present financial panic and destruction Of
confidence Are these substantial evla and, II so, can
they be aneviated or removeds
The export Of gold, in preference to any other
commodity of itself harmless unless II should deprive
Of the amount requisite for the sound basis Of
healthy currency, and thus u the real foundation of
credit.
California pays in her natural product sold Tor the
large amount Of foreign and domestic merchandise con-
sumed by her. her foreign goods being imported indirectly
through tie merchants Of the Atlantic cities and IN
fact all the gold exported by this country for years past
has been California gold, transmitted TO pay California
debts
amount Of gold issued from the mint since 1885, deduct
from it the whole amount Of gold which had passed
through the mint exported from the country during the
same PERIOD and 1t appears that apart from California
and foreign coin in circulation the Cnted possess
at present the startling amount OF hundred and
thirty millions of dollars more Of gold than in ls4s
Whence, then, is this deriveds Certainly from TO-
reign countries, has California furnished II without
consideration but 1t is the excess OF the amount receiv
ed from her after paying for her and foreign imports
being in fact the price of the domestic produce of the
vest Of the United States with which she has been sup
Piled
Thus the mere export OF gold Is an imaginary evil;
and If the weekly statement in the money arti-
ces Of the press, in place of exhibiting in con-
trast the amounts exported this and last year,
thus making apparent balance against us, should
commence with the estimated amount Of gold in the
country in 1S4S fabou hundred mlions) aud then
adding the which had be-u issued the mint
since, should deduct the of American coin and
bars exported during the week. balance OF more
than ONE hundred and thirty millions Of dollars gained,
over all extravaganza and oyerradng charged upon
during seven years, making stock than twice
ami a.quarter what it ia 1S4S, would satisfy the
public mind that real condition of prosperity existed
and that the expectation OF few millions
than another afforded cause for anxiety. Thus il
would occasion neither distrust parc.
These fa,ts show that the country has not parted
with gold than it could well spare, consde
rabe proportion OF the remainder IN the channel where 1t
would prove most available to wants
But the extraordinary fact exists that although we
have in the country OF than hun
dred and thirty millions and stock exceeding twice
and aquarter that of years there il in our
bank vaults little, any, specie than at that pc
Rod.
| Our gold has not been exported We have two hun
dred and thirty millions Of dollars in The country But
| wheres
forty millions locked up the sub-treasury
awaiting release by act Of Congress.
Allow fifty millions to be in the bank vaults and it is
| an excessively large calculation.
We have then, in the United States apart from Cali
fornia hundred and forty millions boarded up in
private hands, passing medium of circulation.
This has been withdrawn from the banks gradually but
steadily until the legitimate basis Of currency and credit
has been soo much reduced creating alarm and panic
Take specie safe basis according 10 the table of
loans and specie in the bank returns these days of
distrus for eight times its amount in credit and this
to the annhilation Inc hundred and eighty millions
Of commercia credit.
The ,arled up is chiefly abst,acted'from cir.
culatson those residing in the country, far from
banks b. foreigners, by those OF mall means, either
from motive of convenience from disrust OF all bank
| bills or'other securities.
Butprobaby a far larger amount is kept out OF the
banks and passed from hand to hand in circulation,
either from or from the still excu
sable motive Of vanity pay out anything but
| goid.'
Now 10 tho who locks ii up it il just as valuable
as any other non dividend noninterest paying security
To hinwhO crculates it money, ii is equivalent
bamkbill while the country Is wantoniy deprived Of
credit basis 1T seven times the amount.
Popular Indignation visits those who monopolze the
necessares If life, with view TO profit but here
we have the monstrous anomaly of parties unustly mp
prQpriaug what IL essential public prosperity, while
they forego interest and indirectly depreciation
o, all their own property.
is this the source the evfs Test it, let our
city bank returns exhibit fifteen twanty millions OF
spScie. would We hear Of panic hard times?
The remedy, then. IL with ourselves Let the comnu-
nifty act in concert and this mischief gradually and
nimost mperccptiby created may be aud
come IN o Whoever has gold coin in bis pos
session has aided in promoting the prssen.
hkn contribute to their removal let every capitalist who
complains Of dividends pa n.y. unpaid every
merchant who signs the retrenchment Of bank ia
ci.ies evcry.inechanc and aborer destitute employ
sncnt. In fine, child In the
who may have gold in pocket or boarded up take o
send It to safe bank and deposit exchange 10
bslls. Let them upon their friends and eigbor
to do the same let this be conscietiously done and il
enc week plethora of gold in the bank vaults as grea
as the present scarcity might ga SLY be GRATED.
We have not gold enough to constitute purely me
s&flic currency stand lieu of saving. banks who
dverts II from its legitimate cha mel disturb II,
public TRANQUILITY
Give to plan fair and hearty trial The expert
'nsenf is cheap and harmless onepossiby. if adopted
us beneficial effects might be greater than anticipated