The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1854-06-25

those now required, at the same time that the re-
venues Of the empire underwent no such curailmcnt
90 that to which they are now exposed by the block
ade Of every Russian port and the almost total stop
page Of direct Russian trade, By singular c0inci-
dence too, of misfortunes, the commerce of Russia
with China on her eastern frontiers, has Just now
been seriously damaged, and it Is alleged upon ge
neral computation that the aggregate revenue of
the government must be diminished by at least 20
per cent. Hitherto these deficiencies, as well as
the extraordinary charges of the conjuncture, have
been met by the employment of some Of the bullion
kept in reserve, by the issue of fresh paper money
and by the receipt of contributions more or less
luntary from various classes of the population. Bat
il s evident that the two former Of these resources
must rapidly destroy each other and that the result
is likely to be sudden distress and general mpoyer
isbment. Up to very recent times the amount Of
bullion preserved In the fortress OF ST. Petersburg
has been sufficiently large to support the paper cur
rency OF the country; but as the stability oil the
latter depends entirely upon the maintenance of the
former, any absorption of this treasure must induce
simultaneous depreciation of the paper money TO a
more than proportonate extent. This absorption has
already commenced, though it does not yet seem to
have proceeded far as to impair confidence. There
is obviously great difficulty in ascertaining the
truth under existing circumstances, but it is beev
ed that more than 0nef0urth Of the reserve has
already been taken, while considerable addition
curity Of this metallic hoard. Now if this process
continues, and IL the bullion is consumed while the
notes representing it are multiplied, II 10 plain
that the result must be panic and crisis, termi-
mating, perhaps in some arbitrary edict attachnga
forced value to the paper circulation. Such a
course however, has never failed to bring about
financial ruin.
To put the case briefly, the available resources of
Russia in the way Of finance, constituted in
great degree by the possession Of metallic capital
which capital she is, nevertheless, compelled TO
consume. In England the wealth Of the State
depends upon the productive powers of an actiy,
and alunp t,rpnd utafin in IL
largely upon an accumulation OF specie snpportinga
great circulation OF paper money, and if this reserve
is encr0ached upon the foundation of Russian finance
is undermined and the whole superstructure viii
totter Some result Of this kind it is reasonable to
anticipate, Tor, If the war could only be commenced
by such eXpeoients as we have described, il is oh
vious that, as the extraordinary charges increase
and the pressure is augmented, the same resource
must be appealed to again and again, until i per
ishes altogether. In the meantime every class Of
the population would experience its share Of the
general Distress and it would become next 10 impos
slble to raise even the ordinary supplies.
Nevertheless, although these are among the en-
baTassments to be expected from the liabilities in
which the Emperor Nicholas has involved himself,
it would be erroneous to conclude that the military
strength of the Russian empire must at once dsap-
pear with its financial prosperity. The wars OF reyo
lutonary France exhibit sufficient proof of the ey
tent to which absolute power may compensate for
the want of material means. In those campaigns
enormous armies were kept on foot by q gov
eminent utterly destitute of pecuniary resources;
and, though the facilities for making war sup-
port war are less available to belligerent
confined within his own territories, it must long
remain within the power Of q monarch like the Car
to despatch battalons of serfs to the frontiers. For
offensive warfare he would be crippled, but for
defensive warfare he would retain all the resources
of an Autocrat dspOsing at his discretion Of millions
of lives 1t should be remembered, too, that Of the
population under his rule large portion has been
trained to arms, Injured to military discipline, and
habituated to such o method Of living as would
involve severe privation to soldiers of other conn-
tries. War, in fact, if not the object Of the Rus
sian government, has, at any rate, for long time
been kept in view as probable contingency
munitions have been accumulated, Notifications have
been multiplied, and immense forces have been
raised. How Ineffective, in some respects, these
preparations have proved, and how strikingly the
theirst resoute attempt at resistance has exposed
weak points Of the imperial power, we need not
remark; but the general conclusion would appear
to be clear. As far as war depends upon finance,
we can override and cripple our adversary without
the smallest difficulty we shall overmach him, we
confidently trust, with equal certainty in the field
on the sea- but the inaccessible situation Of his do
minions, and the number and character Of his sub
jects, may give him extraordinary means of pro-
tracing the struggle.