Weekly standard. [volume] (Raleigh, N.C.) 1858-1865, 1862-12-03
Our Finances.


publish the following very able letter on the sub
contained in this letter worthy of serious con-
sideration, as we'll on account of their soundness
and the clearncss with which they are expressed,
as because of the source from which they ema.
nate:-
November 10, 1862.
NY Dear Sir You ask my views on the finan-
clal condition of our country. Money is neces-
sary to carry on war, men, who bear the bur-
then of this war. In respect to money, government
can raise money in three ways-by taxes, loans,
and promissory notes. to pass as currency. 1t was
not deemed prudent to resort to the first mode,
cept to limited EXTENT the process of collecting
taxes was too slow for the emergency The second
was resorted to,-our independence not being recog-
nlzed, foreign loans could not be expected the re-
Spouse of citizens did not come up to the reason
able expectations of the government, and it was
thought the exgency justified resort to the third
mode, although known to be dangerous because of
its facility and runous because Of its tendency to
initiate the currency.
What is the result2 The currency has become
inflated, and the value of Confederate notes, not
Withstanding the stays intended to brace it. has de-
preclated, so that by reason of the depreciation,
combined with shameful spirit of cxtortion and
speculation, it now takes 81 to answer the purpose
that 81 did before the war; How does this operate
on the community? Those who depend on money
income lind it necessary to expend four times as
much as beore-their estates have in fact been re-
duced to onehalf, and should the war last another
year, and the government continue to issue notes,
their estates will be reduced to one fourth. For in
stance, man having an estate of $50 900 at inter-
est, receives 81 800 and used to expend 81 500
year; SO be felt comfortable, and all was we'll
Now he is obliged to expend Sc, OOc a year; his en-
tire income is consumed and his capital encroached
on 81 500. But this is not all-hs capital has de-
rreciated one half! On the other hand, the plant
ers and manufacturers sell their products for 81 in
stead of 81 little flour, or grain, or cotton yarn
pays for sugar and SALT and they barter for any
thing at relative prices; their income is increased
four times expenses remain the same, and the value
of their estates is enhanced two for one. For in
stance, man having an estate Of $3D, 900 in land
and negroes makes 500 bushels of wheat, 1,5O0 of
corn and 5000 lbs. pork to sel-at old prices, IN
wheat, ST. corn 50 CENTS pork s., his income was
$1,000 he expended the whole, being content with
the increase of his negroes, and the gradual accu-
mutation from that source. But now he sells wheat
at So, 81, pork $780, and realizes in all $500
so his income is increased 5000, expenses the
same, and the value of his land and negroes en-
HANGED two for one,-the man is actually making
money by the war;
Thus, it is plain to demonstration the burthen of
the is borne by those whose estates consist in
money and interest Stocks salaries and all who re-
ceive money for their labor. The soldier who fights
our battles finds his pay reduced four to one, and
$20.sent to support his wife and children counts
but s., and the effect of issuing so large amount
of Confederate and State notes. has been to take
from then. their entire income and one half of the
capital not by direct tax, or loan from indi-
viduas. but indirectly as loan without interest
from the whole claSs-for, when the government
81. L.
comes from those on whom the loss falls, and the
is carried on at their expense, and the misfor
tune is, this is the most helpless class of the
munity-widows, orphans and those who are most
ly too old for the active employment of capital and
if the notes redeemed payment will not be
made to those Of whom the indirect loan was made
but to the "bearer' or those to wlnm they were
obliged to pass the notes at the rate of four to one
On the other hand, planters and manufacturers
far from having felt the pressure, getting rich
by the war. This is a grievous wrong. Men, for
the protection Of whose negroes the war is waged,
get rich-thoSc who have no negroes become poor {;
The burthcn should, at least, be borne equally
What is the remedy? Remove the cause of the
cvil-reduce the imitation of the currency. How ?
BY loans as far practicable and by direct taxes.
Unless this be DONE those on whom the whole
wcig int now rests must snk under it. or struggle to
get rid of it by investing in land and negroes; in
fact capital is now seeking that channel-hence the
extraordinary prices of negroes in spite of the
emanc patton proclamation Merchants, car pentcrs,
school teachers and others struggling to get rid
of the burthen, by demanding higher prices-but
high prices will lessen the demand, and in the end
their customers will be reduced to those who can
barter grain, meat or the materials for clothing
These reflections by pursuing the train of thought,
| lead to these conclusions:
LIST. 1t will satisfy those who have money at COM
mand that interest as we'll as patriotism, calls on
them to lend to the government Onehalf of their
estates-if not all the war can then be carried on
| without the ruinOuS consequences to them which
| now presses so hard. Should it be said" That
will be to risk all on the event of the war;" The
reply is true-but is not all now risked the event
of the war? Suppose the South is sa5jugated, Of
what value will be your Confederate notes or your
bank bills? The Confederacy extinct the funds Of
| the banks confiscated, all will be gone anyhow
whereas, should the South be successful-if you
invest in government leans, you have good stock
with remunerating interest; but if you withhold
your funds and the Government is forced to issue
more notes, at the end of successful war you have
deprecated paper, not worth, in all human proba.
bity tenth of its nominal value; these altcrna-
tives are offered-hold your funds and sink quietly
into nsovency-take the risk of investing in land
and negroes at prices which, by your struggles,
will run up to fabulous prices or listen to the die
tates of interest and patriotism, and lend to the gov
| eminent.
3D. 1t will satisfy those who own land and ne.
groes, or factories that fairness we'll interest
and patriotism, call them to lend to the govern
mcnt one-haf of their annual profits, if not all. Is
it fair that the burthen of war in defence of our
common country should be borne alone by other
classes of the community? Is it not wrong that
| you should make money out of a war commenced
for the protection of your slaves? while those who
have monied investments are being ruined by it ?
The suggestion that you pay war tax in land and
slaves, $50 on $4,000 worth, is trifing on the
brink of precipice. Put aside sordil thirst for
GAIN and let your sense of right answer the ques-
ton. Aid the operation by consideration of your
own true interest. Do You think others can longer
bear the whole burthen of this war? they must sink