New Orleans daily crescent. [volume] ([New Orleans, La.]) 1851-1866, 1858-12-13

of the country had just been crushed by one OF those
periodical reVulsions, which are the inevitable con-
sequence Of unsOund and eXtrayaRant system OF
bank credits and inflated currency. With all the ee-
ments of national wealth in abundance, our manutac-
lures were suspended, useful public and private
enterprises were arrested and thousands OF abOrers
were deprived Of employment and reduced to want.
Universal distress prevailed among the commercial,
manufacturing and mechanical classes This Teyul-
SION was et the more severely in the United States,
because similar causes had produced the like deplOr
able effects throughout the commercial nations OF
Europe.
All were experiencing sad reyerses at the same mo-
ment. Our manufacturers everywhere suffered Sc
yerely, not because of the recent reduction in the
tariff OF duties on imports but because there was
demand at any price for their productions. The
people we're obliged to restrict themselves in their
purchases to articles OF prime necessity In the
general prostratOn of business the iron mapufacttl-
rers in different States probably suffered more than
any other class and much destitution was the newt
able consequence, among the great number of work
men VINO had been employed in this useful branch Of
our industry There could be no supply where there
was no demand. Topresent an example there could
be no demand for railroad IRON after magnificent
system of railroads. extending its benefits To every
| portion of the Union, had been brought to dead
| pause The same consequences have resulted from
similar causes tOmany other useful branches Of manu-
| faetures It is selfevident that where there is no
ability to purchase manufactured articles, these can
not be sold, and consequently must cease to be pro-
! duCed.
No Government and especially Government Of
snCh limited powers as that OF the United States,
| could have prevented the late reVulslOu, The whole
commercial world seemed for years to have been rush
! ing to this catastrophe The same ruhOus cOnse-
! quences would have followed in the United States,
whether the duties upon foreign imports had remained
as they were under the tariff Of 1916, or had been
raised to much higher standard. The tariff of 1851
! had no agency in the result. The general causes
| existing Throughout the void, could not have been
Controedby the legislation ofany particular country
The periodical revulsions which have existed in our
past history, must continue to return at Intervals so
| long present unbOunded system Of bank credits
shall prevail. They will, however probably be the
less severe in future because 1t is not to be expected,
at least for many years to come, that the commercial
nations of Europe, with whose interest OuF own are
| so materially involved, will expose themselves to
similar Calanities. But this subject was treated so
much at large in my last annual message that shall
not pursue it further. Still respectfully renew
| the recommendation, in favor Of the passage ota
| uniform bankrupt law, applicable to banking iustl-
tutions This is all the power the subject which,
| believe, the Federal Government possesses. Sucba
law would mitigate, thOuuh it might not prevent the
evil. The instinct Of selfpreservaton might produce
Il wholesome restraint upon their banking business II
| they knew in advance that suspension OF specie
payments would inevitably produce their civil death.
But the effects Of the revusun are now slowly but
surely passing away. The energy and enterprise Of
| our citizens, with our unb0unded resources, will,
within the period Of another year, restore state OF
! wholesome industry and trade Capital has again ac
cumuated in large cities The rate Of interest is
| there very low. Confidence is gradually reViging,
nro6tfly pInri0yp6 in commercial lnd InanI,l,rtar
H. enteyrrisas and in the corstnetion Of railroads
nni oti,er works of nnbi and nriyafe irnreveorrt
Tr0sl,S,v viii agaih smile hranTbort The In II
ivain fnryaver to dis[,nsa The l9r fr,r ourselves
that sne,nIative IMITATION Of 1IIrCIrrrlrv yffpqt a
corresp6ndng infatian in other countries " hose man
tt ] ;t t -, ;tL ~, % @t
ever ronre iisastrGrs resrs Il, III, drTnestfc mann
f4rfpras M tariff short N absolute nr6bbition can
| prevent these evil consequences.
In connection with Till subject it Is proper to refer
to our financial condition Tie same causes which
| have nroducpd npcnnjary distress throunhonf fhe
country have 90 redpcp6 The amount Of rnUort ram
foreign countries that the revenue has rroved made
ouate to meet tp NECESSARY eynensns al the Govern
mont To gnpnIv the deficiency Compress IN fhs
act If the 238 6ecrTubrr Is7 authorized the issue
Of so 00O G0O If Trn1srv n1tr4 All lhis Troying
inadpqgate thev authorised by the nj Of Jude f4f6
ISIS a loan OF s30000OQ0. ii anljpd 10 the nav
| meDt Of apDrotiiations made bv Iag
No statespmr would advise that we should 20 on
increasing the national debt to meet tIe ordinary ey
penses of the Government This would he a most
ruinous policy. In case of war our credit must lie
our chief resource ut least for the fist wear and this
would he lleatlv .hnuatrad by having contracted =
large debt in time Of Ijeace 1t il or time roicv "a
increase our revenue So as to equal our exDendtres
it would be ruinous to continue 10 borrow, Resides
it NAV be pr0per to observe that the incidental
lection thus Afforded by a revenue tariff would at the
present moment to some extent increase the conf.
dence of the manufacturing interests and give fresh