Lynchburg daily Virginian. [volume] (Lynchburg [Va.]) 1852-1861, 1857-05-28

Financial affairs in this country. in the opin.
ion If many -hrewd observers. are approaching
n crisis There has been vast deal Of specula
ton in Western lands and in unproduc,ive railroad
companies. Within the last three years. mil
lions of dollars have been ahsirarfed from the
maris of more active trade In invest in lands in
the far west territories The high rate Of inter
eel paid for capital engaged IN these specuaiions
has attracted from every other section If the
Union vast sums of money. All the more wealthy
counties OF this State. aud II almost all the
Other States in which reside 1ney making far
mers. have sent forward Nil the cash they could
could conveniently spare loanng il on new farms
at from 20 10 30 per cent, per annum. and 10
make the investment doubly safe, they sup
posed. lending IL IN amounts of not more than
half ar fourth of the present market price of
the security. Lenders seem to forget that cur
rent prices are the result Of spccnlation-that
whoa payment is demanded and the land thrown
On the market, rs it is worry to he il will moi
command fifth, probably "a tenth, of the mort
guge claim aga nst it.-Ten times much land
has been sold as will be wanted by act lal set.
tiers f'r years. aud more city building lots have
been dotted off on paper, and labeled with Chcs
nut street and broadway prices, than will find
builders and occupiers for at least half "A oentu
ry.-These speouatons have absorbed millions
Of money, and piled up ten times much Of IL
abilities. Credit is stretched 10 its utmost ten
sion.
The banks here and every whore feel and SEQ
that these things are true. and know the
fearful consequences of any further aggrnvntioD
of them. How eifectually to check this danger.
Gus course of things. and not Immediately pro
duce n financial conyulsion, we know il II source
"f anxious solicitude with many gentlemen prom
iuently connected with the actual financial bust
ness Of the country. The land spfcula,ons in
Illinois. Indiana and Michigan, some fifteen or
twenty years ago, should not be lost sight of by
operators now in the newer fields offered by
Kansas, Nebraska, &c. Then, as now, almost
fabulous prices were obtained. Failures were
innumerable. and the amount of money lost. and
of promises dssipated carried ruin aud misery
to thousands. 1t is likely 10 be so now. Like
causes produce like effects, and the result of spec
ulhtion aud idlencss never other than bank
ruptcv and ruin. The remedy is little more reality
and less fciion-moie work and less speculation.
There ARE too many consumers for the number
oi producers. We want more filters of the soil.
Wheat, potatoes beef pork sugar. and almost
every commodity that we eat. have been up
two prices. Spectators eat well as produ
c"r-; but spectators are not content with SIMPLY
eating what others produce; hey must needs
have facilities: bank accommodate tons more banks
and more paper MONEY These add to the volume of
ly increase prices. As first step towards
treBchment aud more rclinhle state If affairs,
let IA have more bunks-new banks just now
are not only an evil. but a pery doubffH specu.
iation.-PhH. Ledger