The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1854-11-16


Of it's cessation. The ~ar nj me IL guarantee
that gold must flow as her-t,fne from Auerca
to Eoglaad and from thence to the Continens
and the theatre o. hostiliies: the accidental ia
crease of specie In the Bank OF England, which
was announced in the Americas m.ll, tn the
con. rary notwithstanding. We cannot get
money or means from Europe, for it il qnite
clear that all the surplus means Of the European
nations viii be absorbed in the w,r. Mt only
will all the money which would have bsen in
vested in American securities be appropriated
to feeding and clothing soldiers in the Crimea
or the Principalities, bat large fraction Of the
ordinary meaus Of the commercial community
will be applied to the same purpose. There
cannot but be scarcity of money in Europe
during the tendency Of the war: it may be
greater or less, from . suspension Of specie pay
ments by the Bank Of Eogland to mere rise ia
the rate Of interest: but period Of ringcncy
there must be, and during that period it would
be absolutely futile for us to expect aid from
them. All the European Investments in Ameri-
cal securities during the coming year will not
amount to one ..wentieth their usual figure
those who say the contrary seek to delude the
public for their own purposes. Whence, then,
is the money to come?
There is striking analogy between the co..
dit on of the United States previous to the ex-
plosion Of 1887, and our own to day. Then as
now, n period Of uncxampled prosperity had
been followed by failures in business, stringen-
cy in the money market, depreciation of pro-
perty, and scarcity Of specie. Everybody owed
money as they do now, and before the crash
came, everybody said that if they could only
hold out few weeks longer, they would sui.
yive the storm. Then every one had his peck
cts and trunk full or worthless bank notes: now
we are overladen with equally trashy certi6-
Gates of railroad, mining and other sham
stocks. Then the trouble began by merchant
or small bank breaking here or there: we
have already seen this act OF the drama. In
May, 1887, in the opinion of the shrewd finan-
ciers Of that day, the tightness would have
passed over, and fair times return; just as, at
present, we are told that in February, 1866, all
cur sorrows will be cured, and money will be
plenty. TWAS at the very time fixed for the
promised restoration Of confidence that the
crash came in 1887: we are not in February
yet.
There is yet another analogy between the
two periods, which is more striking STILL In
1887 there was an accumulation Of some thirty
millions Of dollars in the. treasury, which
would have embarrassed the government had
it not fur Dished them with an opportunity of
gratifying their corrupt propensities. This
sum would have relieved the commercial
world and might have averted the ca
tastrophe : but the Van Barren dynasty
could not spare it So now, there is surplus
Of twensy.cight millions Of dollars in the
treasury. Twenty light millions in gold poured
into the banks and among the commercial CON-
munity would not only remove all present en-
ba1rassmcnt, but would most likely avert the
craah which threatens us. Our railroads could
obtain money, our merchants Sustain them
selves. and the pcrilous period through which
we are passing might be weathered safely. But
this money is under the control of the admins
tration. Mr.. Pierce and his Cabinet were tola
last year that the condition of the country was
such that We could not afford to lose twenty
eight millions Of specie, by handing It over to
the sub-treasurics: and several schemes were
then proposed to relieve the government and
the country. To none would the administra-
tion consent. They wanted the money for Their |
own purposes they wanted it to buy support,
and corrupt politicians: and the consequence |
is that the clearest Of our present prospects for
the future is one which no business man can |
contemplate without terror.
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HxTNs prycn AfNn