Nashville daily patriot. [volume] (Nashville, Tenn.) 1855-1857, 1856-11-08
The Financial Crr.l. in France.

In the following article from the London
Morning Herald, of Oct. 18th, will be found
we think, correct resume of the monetary
condition of Francois causes and pros
poets:
The report of the French Minister on the
financial condition of France is a document
that must be received at the present moment
with considerable degree Of caution; for, al
though we have no desire to aggravate the ii
nancial difficulties which at present. cause
great embarrassment 10 the Government Of
our ally, we cannot blind our eyes against
facts which present themselves TO the world
In an NJ mistakabe form; do we intend TO
adopt tie course pursued by some of our CO
temporares in thinking our own system Of f.
nance Al banking as vastly superior To THAI
of "ur ishb r. The relative positions of
the two countries do not admit of an equitable
comparison, because they represent states OF
things which are entirely dissimiar That
part of the report addressed 10 the Emperor
which has reference to the state of French
commerce speaks for itself, and on the whole
il satisfactory, clearly showing the elasticity Of
the resources of the country under great
emergencies; and the statements with regard 10
the revenue are equally encouraging but these
are not the points which are likely TO embsr-
rass seriously the Government of France. The
difficulties 10 be encountered are spread over
q wider field, and are, in the abstract, al
most independent on the financial position Of
the Government, though they are certain TO
involve il in their consequences.
France has engaged in q course of specnla.
ton which is Sd immense in its qualifications
that il extends over a great portion of Europe.
We do not accuse either the Government or
the Bank Of encouraging this evil but the fact
remains indisputabe; and however willing we
are 10 admit that the natural and industrial
resources of France are very great, these gi-
gsntlc speculatioBs cannot be sustained with
out an adequate amount of moneyed capital fer
their basis. Have we any satisfactory evidence
10 show that these Immense credits are placed
upon a satisfactory foundstion2 Most assured
~ not. Ii the speculative movements to
which we refer had been confined to France
alone. the danger would have been much less,
and a remedy would have been far more easy
of accomplishment; but they are scattered over
the whole Continent of Europe, in almost eve
~ C, nceivable form, aud the day ofreckoning
IL 81 baud, as must assurediy come 10 ell sGch
matter, aud il is not improbable that some Of
the best institutions OF France may suffer by
the foliies which have been committed. All
ewes are now fixed upon the Bank Of France,
aud those who have fuated in the sea OF spec
ulstion are looking 70 il for support or deliver
snce. How this is to be accomplished remains
20 be seen. H. however, the Bank is TO be
called upon TO support that vast suPerstrnciure
OF credit which has been raised by the leading
spectators of Paris, we think the result s
certain. IL will not be long possible TO pre-
vent the withdrawal of the principal amount
of specie from the Golfers, and with that a
suspension OF cash payments would become
inevitable.
But looking ct the condition Of the Bank, Jude
pendent Of these spSculstious these appears TO be
less cau.e for alarm. By the lest return, Viii
was 90 the II IN OF September. the amount OF bul'
Lien in tho Bank WIS go 4S2, COO aud although this
sum Was less By g469. 600 than the amount given
In the previous return, il was considerably 10
GERS of the amOunt held at the commencement Of
the present wear. In the morthly return Tor jan
uary. the amount OF specie was Fl. ss4.OO0, and
In February it was increased 10 IS bl5, GOO; bat
this Increase of e5el 900 was SUSTAINED by pur-
cbases made by the Bank at cot Of E42. $50
drriug he month; aud the Beck has OBiy been
abIs 10 sustain t. -, cie by similar means up 10
the present time nc total cost for premiums paid
vhieh amount 20 e4s5. $40.
So loag AZ Francs was engaged in an expensise
war. there Was soms lesiumzte reason Tor ice sdop
ting this course maiutaia ne metaile resources,
hut 20 continue Il 20 maintain au "eIAgVerauon" 81
soecul ltioas, as they are termsd. mast ultimately
proVe fatal 70 ths Bink iIse aHd lead % the nsoa
rninoas e0useq icnsvs The resntay. therefore.
se-,,s 10 be 70 5 pirats Itself IRON these uansae
tons by 4 gradaal process Of iquitAtihn. sad res
tor. thst.rouil0Fiam between isa specie and elncu-
Iation which i pecessaFy 70 maialAin tie credit Of
n.ti.ation We cannot zee On suspension
oF cash uassneBts can reasonably usg sted IN
less r.-ry unexpected diIninuthn o. specie be
shawu Ia she forthcoming reinrn; SD ne are inells
nedto b.-hese that sue6 saggsst,oa can e"'y pro-
Cd from cIs.s Of persons whose hope o. ssp
poct L placed snirsiy 10 The sssiatsnes nefasa ~
lie B.ak. Bat as the report has been received
wlth great cou6denee 10 esrtain quarters, . % pee