The sun. [volume] (New York [N.Y.]) 1833-1916, 1864-10-13
The Causes or tho Fjnascial Panic In
EngianA.
-ho ansnc.al cr.sis which hss besn prccipi.s.od

Tho financial cr.Ss which has besn prccipi,sind
| 10 England by 40 tnors e t-scc IN tie Cpt-l
sta,ct, affords s1o thor pro,d the Of
me-ciJ, and cyot POLITICAL Relationship thA, cxiss4
| between le two counts1ea Ths 81 deprrity frrd-
| Ell upon high prices -cne,,Iy affected =, the
frs, resce rumor-, and crsii, spo.riiiy shaken
W degree that now ~ a.ons mo moss SERIOUS
disss,ers. At las, acopune 'ai,res 20 the amour,
Of al least = hundred u.i'iops Of dollars
hSi occurred, chiefly In the cottrn md
American tade, with a probability 90
. still more serious cr4sh That tina cri,As viii
renct upon VA, ana prpiuce dcrsnsernen, in
mon tary affairs, ~ sbundsaily apparent. A t.'h,
money mako, In England invariably prcduo.~
hard tip,es in new Y,fh, Md the 'ntcl STAKES. T.
is sst,s'sctory, however to know ttA our MR.
chants and capitalists were never N bct>r- condi-
ton Tor weatherng storm. To, priderly tocl
n sail some titss nnd Tor iponths tspA all tran
sections have b,--n for cssh There W vo'y lttb
Indebtedness among ,hcrn. ard lew rn-rch mt. ,nd
manufacturers rnu 10 'uupd With Az, IVY fsc-k 4
goc,is hand Hcnro> = rcturu ~ sIne,hinp
ntc specie ,ric.v would rrciro. comparatively
slight re-uk. N coar.. MANY fo-truee would b"
swept sway, sud sNoidy would ~ de-hroDcd
hut tho tran aac'ioS veuld probably not - very
severo On the grc.i hltorosts u trade and con-
nerve. The prc-,r' .anic in England will serve Ms
warning tgaiLst oycr,-.ih.g and speculation, .nd
prudent bunnws mon will shnye the: sifsrs IA
reference 10 the return N reacs\ which General
1BAsT's pos.ion, well s% the temper " The
people. North aud soul., isdicat probable much
cta"t than generally expected.
Bat ..'.. fess b b.,cye ihs, much u ,nis
'1'ift pr'ic q due much 70 TIE vicious banL-
i'. s."n 4 hat country IS ~ any other caunc
..r . III Il England is q. i,ed b. law H. ko.p
{. tasp amount of gold In its vaults, in order 30
rc,rtp IA outg'an lin noIcs. Thus fof evory pound
loc ISSUED b. .Lo Bank golden svere "a must
- sept on hand W redeem II when gold IL ,'elty
al the bank vaults money ~ plenty so1 ur,es are
easy with the people; whn- Il piihdtswrl O; gold
from any cause produces precisely y opposite ~.
suits. This il WIS, "a NV occurring In England.
Our American war d"r1nged con mcrce throughout
tile world, sud ,ttrsc~l an itnricn- influx IL gold
In that country AZ the creditor nation Tho Bank
II England At once expanded IN This gold reserve,
aud thus stimulated trade N m unhealthy de-
gree. II b., afne Dece4sary, In due time, g. ouen
w nov cotton aeIds 10 supply iho loss Of
was Mai gold flowed ot N indin, Cuius, Fxyp,
and othcr countries. To pay Tor the cotton noci.d
for the homo market 1hlsdrsin @. gold con. pelled
tho bank ~ restrict its ejaculation, by running
discounts up 10 ten per esnt.---sn enormous hyure
in England. and price that annihils,es CONNER
cal prcis. L. other words, tba Hank, In place OF
aiding its customers to bridge IN sriod inter-
venng before the arrival II the cotton or ,onsplree
ocrush It's customer, 5cforo they can posmui csle
, their Investments Under such a system L,uics
are inevitable, and drag is placed on all
| commercial enterprise II Ia based upon do old
| ilirsoD ha' prevails in this country, "a in Eng
land, ths gold ia money in place Of being CON-
| modify thc same as o:hcr products of s5or, rlch
as 0hoes, caps and hardware. healthier and moro
scienhe monetary sys'cui will prevail IN due tine
smong civilized nations, but during the int.rv.I
VIC must endure best we may the wrongs in
fc'cd upon labor BY the prosent system.