The Nevada journal. [volume] (Nevada City, Calif.) 1851-18??, 1857-10-09
The Reyulsion in the Fast.


Late papers from the Atlantic States
tell us of the suspension and failure Of a
number of moneyed institutions hitherto
deemed reliable and fears were enter
tanned that the end had not yet come.
The affair is an omen and warning to us.
If the Eastern States are undergoing
financial throes, being the recipients Of
nearly if not quite all the annual product
of the mines of California, what may we
not expect who are rushing deeper and
deeper in debt to crafty luxurious and
expensive tastes which can only be sa-
tiated with foreign commodities To
know that we are safe from the general
revulsion threatened we have only to
demonstrate that moiety Of the gold
dug from our mines is left us commens-
urate with the demands of trade and the
spirit of enterprise of the State. Is the
requisite amountin California to conduct
its business successfully q! We must
confess our inability to believe it. The
amount of gold leaving our shores by
steamers alone, not taking into consid-
Grafton the large sums on the bodies ana
in the trunks Of private parties is not
much short of fifty millions of dollars
annually. The trade npon the Pacific
requires large amount also. The con-
sumption of the precious metals for or
namental worL lessons the amount of
coin left for circulation among us. Ia
king all the depicting causes together
and we arrive at the fact that the gold
we dig from the soil is diverted from the
use of the producers tearing no perma-
nent or substantial equivalent.
All our articles of clothing which can
not cost less than thirty millions per an
mum, are manufactured abroad, half the
expense of our food is paid to others,
while the iron, tools, machinery, house
hold furniture, &c. &c we use, add mil
lions more to the annual importations -
Beyond few things the entire articles
of consumption of the three hundred
thousand people of the State, are bought
abroad and paid for with the substantial
wealth of the country. The effect is
seen. The dry season has scarcely
commenced before money grows in de-
mand, and each year demonstrates the
stringency Of its financial history over
that of its predecessor. In other words,
the times are growing worse, uotwith-
standing the large sums saved at home
by the product Of the cultivated lands
of the State. In the earlier years of
the gold washings when not an article
of consumption could be obtained but
from without our borders, there were 30
complaints as now of the scarcity of
money. There was a general plethora
Of the precious metals, and correspond
ing time of general prosperity. The
product of individual labor was sufficient
to procure the necessaries of life and
leave surplus against a time of need.
The influx of population, and the ex-
haustion of placers yielding quick and
rich returns, have lessened the rewards
of labor, but the luxurious habits sud
den wealth has engendered and the pri-
ces of living have not kept downward
pace proportionable with the pay of la
Dor, and the consequences are seen in
the almost monetary vacuity ofthe coun-
try. Not dollar is left a very large
majority Of the laboring classes beyond
their necessary expenses when the year
closes.
Should the drainage continue from
which we are suffering, it is probable
the failures of which we have justlcar
ed from the East, are but warming notes
Of what is to befall our business men not
long hence.
% Acknowledgements are grateful