Richmond Whig. [volume] (Richmond, Va.) 1862-1865, 1865-04-12
WHEN THE WAR ENDS.


AFrERwARDs-A DISCUSSION OF TIE SUBJECT BY
HON. AMAsA WALKER.
The following article by Hon. Amlsa Walker is
taken from Hunts Merchants Mlg1:ine, The reader
will please note his premises in the second para
graph;
"That peace between the Federal Government
and the Confederate States will come sometime Is
certain that it will come soon appears now highly
probable and the effect which such an event will
have upon the business of the country cannot but
be matter of deep interest to all.
In the examination of the subject We must take
certain things granted for in other way can we
make any calculations whatever. We will first
sume that the terms of peace include the perfect
restoration of the nationality; and, secondly, that
the great discoCdant element has been removed, so
that there is no antagonsm between different Sec
lions of the country growing out OF antaSonistc In
stitutions-tnat there is, in fact, that harmony Of
ideas aud interests which alone can give confidence
and insure tranquility.
These Eo conditions being established, the coun-
try will have peace, national credit, and universal
confidence will be restored. As soon as this state
or thinZs has arrived, as even as il is certain
that the conflict has ended, the whole industry of
the nation will experience severe shock. That is
inevitable. The war paralyzei Industry, ana for
while all was stagnation. Peace will produce
similar effect because the industry of the country
must be changed from state OF war to state oil
peace. ,
the appliances of war and the instruments OF hu-
man destruction must change their occupation
Thous lnds and hundreds of thousands must be ans
farred from one branch ofndustry to another. Half
million of men now in arms must return To their
homes AMI find employment in peaceful pursuits
All this cannot take place without temporary de-
ranysment and consequent paralysis.
But the greatest shock will be felt upon prices.
Eyarvbody knows that these are at least double
their usual average, and must to certainty,
come down to the natural standard; that the cur
rency sooner or later will be restored to specie
basis A great panic Of course VIII take place on
Che announcement Of peace. Every man having
property of any kind which he desires to sell will
with to get rid of it as soon as possible. And,
what is worse, everybody will be afraid TO purchase
because they are sure prices must come down and
down until they reach the lowest possible point.
mi the general consumption of the country
unjust 90 on. Why should 1t notf Men and
women will continue to eat, drink and wear
and what must be borne in mind they
have plenty of money, or rather of currency, to
huv with WHAT use can they make of greenbacks
and national and State bank notes, Of which we
haze so many hundred millions, but for purchases
Then why should not the people purchase freely {!
They will do So an T. OF course, trade must go on.
The first news of peace will doubtless
great decline of prices; most persons will be ready
to sell on almost any terms and at any sacrifice
those who have the courage to make purchases un-
der such circumstances will do so to great adyan-
because prices cannot at once permanently
decline After the first shock there will be reac-
tjon and prices will advance again.
Three causes have cO-operated in raising prices;
The increasing volume of currency, the depreca-
.t;on of the national credit aud the movements of
sneculators. All these causes may cease with the
return of peace if finances managed on
so,,d principles; the currency will be reduced,
the national credit will be restored and the specu-
lators' occupation will be gone. But since this
change caunot be instantaneous, far as a redun-
dant currency Is concerned, the reaction We have
spoken of will take place.
Prices are governed by the existing quantity Of
currency, and, as that cannot be at once greatly
contracted, prices cannot Immediately return to
their natural point. To most persons prices seem
70 be merely accidental. That they are actually
governed by laws determinate as those of CRAWL
tstion few understand. Hence there will be great
manic. and many will sch OF their stocks, as some
ibid under tae senseless panic Of September last
AT much less than they are WORTH and be quite glad
20 pnrchaSe at advanced rates.
If il wer. universally known that the prices in
general can fall only as the currency IS curtailed,
al would be well. Prices would 60 down gradually
as the currency called in, until the specie value
was reached and then trade would move on in its
accustomed channels But it will not be sO.-
Changes will be ftful and violent, because so many
persons will be unreasonably alarmed.
Bat we nave already said that after this panic
there will be reaction. To what point the re-
turning tide will carry prices 1t Is OF course I'M
ooss.ble 10 say. Many, not without reason, claim
That the effects of the imitation will then be more
decided than ever before. They reach this conclu-
sion il the following manner: The amount of cur
rency afoat is about one thousand millions. Much
OF this, say they, is now necessarily used IN the
vast transactions of government and Will be so long
a, it, present rate Of expenditure is continued
Peace, however, will work great change; the cur
zcncy thus employed will be thrown out Of use, aud
when t.. occupation is gone 1t will simply drug tie
market and force up the value of all commodities.
THIS conclusion is undoubtedly correct, unless there
are coUuteractug circumstances. viii not there
be another field for this currency in such contu-
oency' Will not the States new in rebellion absorb
as much as will thus be thrown out OF use We do
not undertake TO answer these questions or to de-
eide what will be the point prices will reach after
peace Tha. they will fall greatly the first an
nourcement and will again rise to at least about
-~+1er present level, must be evident to any