The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1857-10-03


tankzs MONEY sufficient dcharoe tie interest IL bcndsp
singular sghi should think it in England 70 zee
erwd Of London and North ern Rals ptopricsos
beseepg tho doors OF Hess Gyns banking houss the
pOe oimpaieBoe TO learn that Sm would
lay the interest on The oompssys debenures the
for he 1trourss Of IL press but shrink almost Into in
significance compared with hose prssonAd and passed By
without comment the other side OF the Atlantic The
iact IL, 'hc whole sysem Of American railway nnsnce
needs purincatop and one grod result will be gained
the iorthcomSg eIposues be attended BY serious dis
m.s.SS o. ons Sr ale .IS .
. acrots ohc ,unt, In The Englhh market But the nyst
step towards fnascal reform mus be Improvement in
have ndence In the men they cannot possibly have
confidence in the property which those administer
The chief question q inssrss. 70 sne Ensh:h msr-
present panic extencf II likely that the shock
10 cor 6depce win lead 70 much disturbance Of egM
ventured upon, think The answer mutt be in The
negative The worst feature Of the time is Tho run
q Ss caution Of Mnso
the cy they are ever ready TO lend recklessy
upon all hnds Of railway and other securities; and whcn
pressure srsss whoes ae contraction ny the banks ire
qcepy precipiAtos crsn. II viii certainly 20 hard a
this juncurs with banks which have too large portion
Of their mean, locked up In advances On railway ascur
could be made with sales under present circumstances
The banking history OF Scotland sho I'VE The inevitable oop
banking inahu tons ought TO be governed Bot should
the hiEn banks weather the storm, In believed
they w tho period O. trial TO The commercial community
be locked for boh In New York and In other cities OF the
Unkn; bat there II itrong ground TO bencve that these
will be mainly confined to spectators ard speculative
sabsbmenis Should this turn out TO be the tho ap
prehfnsion OF endorsements this side, and OF
er ghered Interruption TO tho course Of Legitimate trade
viii be greatly alleviased.
Stock -jobbing In Paris Decline Of the Credit
Mobilier.
From The London Times, Sept. lb
Tho Credit kobiher Ia xupsiding into ordinary COM
nereia company Tho shares, although s.ill bearing
mol mT os,ole ihs the capital originally cribed may
s' be forihccmipg tut he confidence whtch enabled Ms
c':oeiaton @ realize e1s0rm o prc IS irrereu.cy gone
ory proper by The rep, tston Il prosperity.
There hte cause for regre. in tho probable failure or
project which os.en:atioufy votteu AL the rules or
economical prudence the exceptional gsins Of the Credit
kobier for time appeared 10 sanction the exnsvs CANT
prels ntoDs Of s founders but all commercial doctrines
voulo have been q Infused q bank bad permanently
thrven which precluded by 10 consntution from
ergagirg In the legitimate business OF banking The
auspices rIder which the speculation was com.
merced fu, nished addi ion.l ground for sus ocon
The conception or tho scheme was due to the
r. sinorap. Of Ave and twenty years ago. and The ON
cal favor which facilitated It's Introduction might srise
from consdt raons aogehe irrespective Of the interests
of ihs rhareh olders The Socialist admirers Of the enter
prize hoped that cod ultimately dfsI the competition "
tndiriduai cdpIos roGs secret that in the esn f
complete success e nero company was deaind 30 become
important department Of ue STATE EDgishmcn have Little
right 10 tho collapse OF foreign bubbles, but
n this country specuAions are only attractive when they
profess TO be e1ciusively commercial Phanthropc
political cmses would be 'stai 20 projectors.
French wries on political economy have never sue
seeded in impressing their doctrines on tho popular
bcn seme Of .hom are smiuentiy cssr.ctsrscd' NAV
perhaps, In some degree be attributed 10 tner posicn
n lhc representatives. OF . protesting minority. fne
dinorens Sscislst reefs are unsnimounly hos.ile To
science which axioms corirad icory Of their
ovn and the hhuer 90 OF Socialism ex ends far be-
ys.d me snse % ~ u No
sore mysterious attributes belong 70 ths neop of credit
Loris blank relied on h resource -nen be prcacnsd The
rcttneaion OF labor at The Luxembourg, soon sef tho
Provhiorkl government had with admirable consistency,
abolished the profs sorshp OF political economy In
ntrcal pariance, credit more than tho Eauferab
value some material possession In this the md
o~rer knows that ho csn rAre money bis title deods,
ard be mechanic that his watch will be represented by
pavpbroker's duplicate The transoendan edit OF the
nav school or anti economists exempt fro any servie
aefendsnce on actual properly Amos. all tho sIeous.
belief IN. pbrs. = nigh, be- uSs,s,ed for money
teEencal result was producsd when private hoar 10
nmTted 70 enter into probable circulation, nearly
every application or The prncpo OF cred had long since
been brought into use by tho necessities OF trade.
fhe foebders Of tho Credi bobicr announced ~ their
crpri es With the ,sme bsnni,g iasiiies which wsro
sready provided FOR ordinary commerce. The statutes
a the institution oonnne 10 oserauops TO joint roos
con- pAris, or 10 pubic funds lie Investments
have been madc In docfs in railways, and In
similar works, ard a least in remarkable In
stance the Aso station has 10 the AsslGAace OF The
GOV The capital and rcr usiion or the Cres Mo-
biier have net rcnricted their benensh Influence to
snee Austria and ain have received tnsir share Of tho
fsralxirg rytsm The elect on enterprise and on the
prosperity CT the proprctors ae nselves has been
ore8 cgous 70 ihose Of the similar operations which
were rrscsed durrg tho supremacy Of tho Railway Krg
In Ergapd. Nov undertaking. have been stimulated,
large dvidonds have been dcoaroi and py degrees
r.nsplrsd fa, common Y = no. enriched when money
Ia Transferred ~ ON ono pocket 10 another.
The Credit kobier II, In ruth, neither moro nor l~s
than sioikobbipg company or associsted ''ssss"
fought a par. and oS incyea,sd n pila< sy he noo
r1ty g me original TtUchde. Dupcs have been readily
found 70 believe tnns an enterprise soand bccs1se
tronizsd b. The Hober. ard the directors OF the
sresi cpnIsny have boosted Gtst tney cyeaed wealth
' hen they succeeded In rgspT the market II would
have been Inconsistent vilh the original purpose or the
dershirg, however beneficial. s, IN feet, the proper
ssine,s Of bsnnp 10 ces exclusively In money and TO
ing expectations instead of existing values All gennino
mercn represents In the drss secenc ecrce
actual amount CT goods bills OF exchsrso corrc,nd
TO deck wsrrans or bhls Of adns which again sre tho
title eds ~ csrsoc. and eoussnmens Through the
diumsof ldocumens Of tis kind credit dscnSses usny
useful functions, and PROPOSES " perform uninefi
bic miracles 1teCrccn HobIlicr long holds is
Investment Joys the security OF poube fsiure p-oa
but 10 arsibe gains are derived from ne crefrfy Of
speculative purchasers II vii prosably be osnd met
sl,nerr prormin nty haxarcous requires lnfgidrai
,ud The ,murs Of personal interest
when the loss Ter the Russian was nego istd the
Assoc sion took nIteranle share 10 Inc conrsy and
the directors IN subss quen report actually csuet tie
hsd offered the ,overr ment krs hion Involved r.sr
otc tarfiece. IA unnecessary W Inquire WHISTLER the
rtrchve Of orcsi favor benencai iav esmeni, bot
VI uld ssem na In ercinary oAses . loslnr srsnssco,
scarcely subject for self corgrstusion Tse Bosrf
vss well aware u had BEEN expected that ~ opers
tens would be '1 essfsl and universal, ereni
rg sbsorpsioa Of the joint 81 ck capital Of F-noe
rue convenience which the sate might have derived from
Ire contol of powerful gre sucif nty bvlous
Only smal poruen o. the original scheme has been
carried into eject, and u no. nkoly thai The great
financial experiment win be tried on . larger scale IN.
PROJECTORS nseodsd to ssue dehcnurcs 10 The aourt Of
GEO eco oco, though Ia difficult uuders and The basis
y hIch enormt circulation was 10 rest they hH
be- shares OF the ncmna value. they wovh have
Incurred nyed h bity In reliance % nuctuasng pront
investments In ire deberture Of minor jon, stock comps
nice v7ud Rave len margin Of gain erccpi n the I'm.
probable csninger cy OF confidence placed TIE suDer
which dent ~ 10 the fourdaon The Credit
Noeilier coulf never have enjoyed higher degree Of
ryecn than that which belonged 10 the rafu,e n the
property which held Foysrnafely, the monetary crsis
and te stcct obbng spcusors have rndoced
he government 10 withhold from the inst aton the
extr svassnt rovers which desired.
Con mercc, ard especially Tho money trade, has been
loo earnestly pursued and studied leave much ,y
rtsrrpg dhcovtries In pecunisry transactions what
rus seldom new, and vhst seq probably not true,
The great smt soial,a speculation ~ ~ present. day has
dsfpnTwf Itself IN ne firm cf @ociyobsng. II wiM pe