The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1861-11-30
The Financial Condition or the Govern
inents OF Europe.

The Financial Condition 0f the G0verm-
ments Of Europe.
Apart from the political complications Of tho
hour, the governments Of Europe have 10 con-
tend with financial difficulties Of no ordinary
character. The apprehensions Of war have In
6icted upon each Of the great Powers the ne
,oessity Of maintaining unusually large military
and naval forces, and these are more likely TO
increase than diminish for some considerable
time to come. France stands at the head Of
nations both in her political and financial en-
.barrassments. Her immense annual expendi-
,turs, already far exceeding her revenue, Is
chiefly attributable to the cost Of supporting
an army Of half million Of mon and building
new ships-of-war, circumstances that Of them
selves tend to create considerable uneasiness
among the other Powers. She has had recourse
10 credit under all its forms, and II Is now ascer
tained that she labors under financial deficit
of thousand millions of francs, or about two
hundred millions of dollars.
II We look to Austria matters are even worse
in proportion; for although her expenditure on
military ornaments is greater than ever 1t was
ut any former period Of her history, her revenue
b Of the most precarious character, and for the
anost part only to be collected at the point Of
yAhs sword. Her empire, composed Of hetero-
keneous elements, 10 constantly In danger Of
disruption and ruin A reign Of terror hangs
over Venice and Hungary, and open revolt Is
only prevented by measures Of coercion.
Threatened by foreign enemy-the new italian
fingdom-how long is such an anomalous state
bf things likely to last! There must, sooner or
later, be war, and then fearful crash.
If we tsm to the Vatican we find the sove-
teign Pontiff hopelessly insolvent, and yet, with
revenues narrowed to the shortest span, keeping
mp the cid extravaganza. Loans have been ne
Eotiated and bonds issued till no one can be
found to accept either, and the Papal govern
ment Is at last dependent upon voluntary con-
tributions. There must be an end to this also,
and the time Is not far of when the scarlet lady
will be forced, by the withdrawal of the French
troops from Rome, to accept q subsidy from
Victor Emanuel, on condition Of surrenderlng
"bne bank of the Tiber, as the Italian capital.
Russia, OF present harassed by internal dis
sessions, can hardly produce more satisfactory
balance sheet than France; and yet she is liable
at any time to be placed under the necessity Of
largely increasing her national expenditure.
Turkey we have long looked upon as hopeless;
and, although the reforms recently instituted by
&he successor of Abdul Medjid have had a very
beneficial effect upon the finances of the empire,
the weight of debt it has to bear under will
~eause it at last to sink, and France and
the Power Of the North will come in
for division of the spoils. Even England has
Aow almost entirely Withdrawn her support
-cf the Ottoman empire, and that is q bad
sign for its future.
The partial failure Of the crops in France and
elsewhere on the Continent, and the prospect of
= potato famine in Ireland, will operate Sc
terely upon the treasures of the respective
governments. But, greater than all, the closing
ports to the North, will SOW disaster far and
wide over all Europe. With such falling off
In the American demand for articles Of foreign
tnanufacture, and the entire cessation Of the cot
ton supply, there cannot but be formidable
suspension Of trade in many Of the most i'm
portant branches Of European industry. No
Ness than six millions Of the population Of Eng
land are dependent on the cotton supply alone;
send when the time comes when these people
Are entirely deprived Of the means of sub
sistence, the government must either support
them or be prepared to face a revolution. Thus,
on the whole, the aspect of the financial, as
well a. the political, horizon in the Old World
betokens an impending storm.
Na<u r.