The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1857-10-26

had settled all the affairs of the Continent; but
panic has now come and unsettled the whole
thing and they viii have their work to do over
again.
she Pressure OF the Rsvulsaon- Movements
OS ens ADMINISTRATION.
In the midst of this wide spread financial and
commercial chaos, and when all e. es are directed
to Washington for the ways and means Of present
! and permanent relief, the movements Of the
administration in reference to the practical ext
genciee of the times are of the highest moment
1t is with pleasure, therefore, that we lay before
our readers this morning the special advices
under our telegraphic bead, touching the pro-
ceedings and purposes Of the Cabinet in regard
to the expenditures, retrenchments and general
fiscal and commercial policy of the administra-
ton.
The causes and the effects, the bubbles, the in
hstions, expansions and explosions of this revul-
sion are without parallel in the history of the
world. During the present century we have had
three great financial reactions and several smaller
ones. but compared with the agencies involved,
the ramifcations, complications and extent of
of this tremendous breakdown of 1857, all its pre-
cedents sink into the shade With the suspen-
sion of the Ohio Life and Trust Company there
was commenced schedule of suspensions,
failures and bankruptcies, the effects of
which will extend throughout Europe, and
to the most remote confines of Africa and
Asia. In this country already some fifteen
hundred merchants and traders, great and small,
and some fifteen hundred banks and railways
have failed or suspended, involving the sudden
humiliation of five or Elk hundred millions of
property ia the shape Of bank facilities, railroad
stocks, bonds asseta mortgages &c. And this,
too, at time when the solid material wealth,
activity prosperity crops and industrial resources
of the country are the wonder of all nations.
The country was never richer-no country was
ever richey-than is this great Union at this day,
in lands, mines, railways, canals, ships, crops,
and manufacturing and commercial wealth; aud
yet in this sudden financial chaos and confusion
between creditors and debtors, banks and rail-
roads, merchants at home and merchants abroad,
importers and retailers, SPECTATORS and capital
lets, stockholders and real estate owners, and
what not, the whole community deeply suffers
as from the loss Of five OF six hundred millions Of
cotton, corn, and gold sunk in the sea, when in
reality the loss is purely fictitious This country
is richer to day than on the day when the Ohio
Life and Trust Company suspended
And what are the causes of this universal
prostrstion of business, confidence and credit.
Bank and stock jobbing mutations. The old sto-
ry of 1887, with the difference between the go
vernment specie basis Of imitation in the former
case Of some thirty odd millions, and the specie
resources of California and Australia in tue lat
ter Gaze Of hundreds Of millions Of dollars Our
fictitious paper bubbles Of all kinds have been
inflated in proportion to this augmented specie
basis, and the crash, in the same proportion,
brings with it its accumulated disasters. That is
all. The States have created banks by the hum
dred and the thousand; they have issued their
paper accommodations by millions railroad and
all sorts Of speculative combinations have fol.
loved suit with their stocks and bonds; mer-
chants have been enriched by credit purchases,
and sales upon promises to pay Spectators have
become millonaires upon Wall street stockjob-
bing profile; and thus we have had grand car
niyal of universal credits universal extravagances
and unbouDded paper wealth, which has sudden.
ly collapsed like a bag Of wind Nothing more.
The gigantic evils thus to Be remcdied may
well command the most earnest attention of the
general government. Hence, /! viii not be the
distractions Of the niger question that
Will command the special deliberations
Of Mr. Buchanan's administration; but
it will he the financial and commercial
epidemic Of the day, and it, most availa-
able and reliable remedies. For the last half CEN
fury the troubles Of the country have vibrated
between the Niger question and the money
que stion but IL II has had no other good result,
financial rovulsion has always silcnced for the
time the niger and disunion agitation. Mr.. b.
chanan and hi, Cabinet may, therefore, safely
leave the niger issue to the laws Of graytation,
and address uemSclves earnestly TO the practical
necessities Of the times.
In thu view the policy OF retrenchments and
reforms proposed by Mr.. Cobb, a. indicated by
our Washington despatchcs, are good and rca-
sonable. II is especially advisable. at crisis
like this, to cut Off and cut out by the roots all
the lobby jobs Of spoils and plumber not necessa-
~ for the public welfare. From the disclosures
Of the last Congress We doubt not that by this
wedding out process Of the lobby cosruptions of
Fillmore and poor Pierce many millions may lie
judiciously saved 10 the Treasury upon lobby
spoil and plumber JOBS ordered or projected by
Congress.
Finally, with regard to the comprehensive
, issue embraced in the great duty Of reorgani-
zaticn Of the financial, tariff aud commercial sys.
tens Of the government, IL j. enough for the pre-
emf TO lie assured that the President and his
Cabinet are sensible Of their responsibilities The
relief of the country from it. present embarrass-
mcnts and the restoration of its financial aud
commercial laws to general system Of harmony
and Solidity, comprehend something more than
the work Of Cabinet council or two IL isa
,,.orl III time research ard discussiop In uvbiob