Daily Iowa State Democrat. [volume] (Davenport, Iowa) 1856-1859, 1856-11-05
ryOLusM CURR ENCY.

The last advices from Europe bring
he news Of the increase Of the rates
Of discount by the Bank Of England to
Z per cent, and general scarcity OF
bullion and silver coin. These rates
Of discount by the Bank Of England
exceed bv 2 per cent the usual rates,
and in > commercial country like Eng
land, where everything depends upon
the steadiness Of finances, the effect
must soon be felt, and in many instan-
Gee create serious embarrsssnents and
heavy failures. Many theorists are
busily accounting for this extraordin-
sry scarcity Of bullion, which has com
pslled the Banks OF England and Of
France to play shnttle-cock with each
ether, TO keep up their credit and pre-
vent Q fatal financial crisis. Some
aver that the immense sums OF money
which went TO the Crimca from Eng
land and France, have not followed IN
the usual track Of return, but are hoard
ID BY the avaricious Moslem in secret
places, where it will be many years All
Inactive captive, without benefi, to the
posssssor or to the world.
We do not doubt but that much Of
the coin sent TO the Crimes has found
these secret hiding places, but not suf-
Acisnt Of it TO create the serious EN-.
barrassments now existing in the two
countries.
Other theorists aver that China is
the great absorbing Maelstroom into
which the gold and silver Of the world
- fast pouring, without any present
certainty Of ever again travelling back
70 Civilization. The defenders of this
theory say that it has been many years
the habit Of the Chinese to demand
for the large amount Of the silk goods
exported BY them, nothing but silver
coin, and that the Chinese are such
nation Of misers, that with the distnr.
bancss Of civil war raging there, aud
their natural habits OF boarding., all the
coin they receive is buried in vaults for
safety, against the dangers Of forced
contributions to MAINTAIN military OPP
srations, and taxation by government
in great distress for want Of funds to
defend itself agains, insurgents 1t is
probable that much money is in this
way withdrawn from general circula-
ton, for in times Of national discords
Il ID common IN all countries Tor the
people to hide their treasures from the
INSCRIPTIONS exaction and theft OF all
parties. But no one in his senses out
side Of England and France will at
tempt to sccoun, for this pressure up
on any of these theories, and at the
came time maintain his gravity
Both governments are hopele-ely
bankrupt. and the late expensive war
against Russia has enabled the people
Of those countries To see it for the first
time for themselves. and hence the
sudden change in their financial az
fain for instead of lending their
money t. government, or buving
worthless bonds and government scrip,
capitalists have sought new channels
and new places forinyes,ng their funds.
Much that remained in England in com
and bullion, did 30 because the people
eagerly sought and salted down at
home, oil the government stock and
scrip that had been issued. to pay the
enormous debt which had been crea-
ted. But the last feather broke the
eamers back; the last war and the
immense increase of the government
debt caused total destruction OF the
confidence which had before existed in
he credit Of the government TO pay
II debts.
No one in England now believes
that the Government can ever pay, or
hat it expects to pay its debts. Hence
money doss not seek the channels Of
circulation which it once did, and in.
stead Of remaining in England; it is
scattered abroad wherever inducements
ars offered for profitable investments.
Monarchy 10 too expensive for econo-
ny, and those who rule the people care
little about financial embarrassment,
- long - their Injuries are not cut of
aAd their income remains unabridged.
Bat let Victoria, the aimable, and Ma.
pelsou, the pe1urer, beware. A finan-
siAl erash has been known to overturn
thrones and destroy empires, and these
sseumulating debts may one day be-
eeus 20 intolsrable, and create such q
dssangsmsnt among capitalists As to
sanss . revolution that shall sweep
away the lumber Of the monarchical
system, and establish in il stead the
dnpls and economical Republican
Government.
a vAluABLs vAaisTy % WmxAr.-
- = oaSvaas, sitnetsd 10 Napa Valley,
sloainsa Aandful Of an unusual, and q
- o1Aeo turnod out, valuable varietv. n