The Norfolk post. [volume] (Norfolk, Va.) 1865-1866, 1866-02-03
TERMS OF ADVERTISING.
THE NORFOLK POST
[From the Scientific American.]
THE WAY THE MONEY MARKET
rs SUPPLIED.

rs SUPPLIED.
In reading the money articles In our
leading daily papers it is manifest that
nearly all the writers suppose the SUPPLY
of loaning capitalize supply OF the
money market, as 1T is called-depenos
mainly upon the quantity OF currency or
money in the community; the tr ,1t,a Is;
| this supply is influenced very little, II
any, by the quantity of money In the
country. This will be made plain by
| the examination of an individual case.
John Robbins, one of the money lend,
| ers of this city, recently died. 1t Is said
| that fifty years ago he had accumulated
| 500, 900 in the jobbing trade, and that at
| the time of his death his funds at inter
est amounted to $4,000,000. In fifty
years the amount of capital that he sup
plied to the money market Of Wall street
had Increased So, 9OO, 900; let us see in
what form the increase was made, and
what connection 1t had with the volume
of currency in circulation.
Mr.. Robbins kept the run of dealer,
in dry goods, and confined his purposes
exclusively to their paper. It Is well
understood among traders that tho
amount Of their sales depends mainly
upon the stock of goods which they have
TO sell; and, as their profits are proper
toned to their sales, they oil strive to
keep as large stock of goods as posi-
BILE. When, therefore, their own CAPT
tai Is all invested in goods, they are gen.
erally ready to hire the capital of other
men, IL it is offered on satisfactory terms.
1t is plain that If they hire the capital
and keep it on hand in the form of
money, they will lose the interest on II;
i'm fact they do not want it for this pur-
pose; they want it to increase their stocks
of goods, and SO soon as they hire 1t, they
invest it in merchandise. The capital
that our dry goods dealers hired Of Mr..
Robbins enabled them to increase their
stocks of dry goods. The enlarged stocks
augmented their sales and profits, thus
giving them the means to pay Mr.. Rob-
bins his interest. AS the interest accu-
mulated Mr.. Robbins loaned that also,
and it was Immediately invested In
stocks of dry goods. Thus his accumu-
lation of So, 800, 900 took place in the
form of bales and cases of cloth. Had
he taken. fancy to loan his funds to
leather dealers his accumulation would
have added $780, 900 to the stocks of
leather and hides. He called his invest
ments "money at interest,"" but it would
have been nearer the truth to call them
merchandise at interest. 1t Is true that
Mr.. Robbins paid money for each Of the
notes when he bought it, and each was
paid in money when 1t was due. So is
money paid for bushel of wheat or u
barrel of pork when it is bought and
sold, and there would be just as much
propriety in calling pork barrel money,
as in calling the capital loaned by Mr..
Robbins money.
The whole supply Of capital to the
money market of Wall street is made by
individuals like Mr.. Robbins. This sup
ply Is increasing by these men spending
less than their income; it is diminished
when they spend more than their in
come, or when they make loans that are
not repaid. 1t Is neither increased nor
diminished by the quantity of currency
circulating in the community.
How NEWSPAPERS APPRECIATE
ORAToRy.-TheW Washington correspon-
dent of the Cincinnati Commercial says
the difference betweena mans own es-
innate of himself, and the estimate in
which others hold him, is nowhere more
marked than in the cases of the states
men of the present day and generation.
There are in Congress assembled large
number of gentlemen who believe
honestly, no doubt, that without the as
sistance of their intellect and voices, the
country can never have a thorough I'M
derstanding of the great problem of re-
construction, hence they exercise their
constitutional right of great verbal ex-
pectorations, from truly charitable and
commendable motives. Not only do
they think it their right and duty to
speak, but they are confident that it is
the duty OF the newspapers to print all
they say.
One who thus believes, made Demo-
cratic speech in the House few DAYS
ago. and the nexniay was panied to find
his two hours effort boiled down into
about twenty lines in the New York
papers. He was indignant-he was
mad-he wrote to the Herald, enclosing
a copy of his speech in the Globe, and
inquiring whether mr. James Gordon
Bennett wouldn't do him the justice,
and his readers the favor, of publishing
his "argumentsV entire. In reply he
received note from James Gordon's ad-
vertising clerk, informing him that his :
speech would make so many squares i'm
the Herald, which, at so much square,
would come to so much. actually 81 500.
Think of asking a poor Congressman
half bis years salary for printing his
"arguIoent." The NJ. G.. thinks Ben
nett is wretch, and the press of the
country is awfully demoralized.
A despatch from Evansville, Indiana
dated Goth ult., says:
From gentleman from NewburG
Ind, We learn thu at the steamer Mis-,
souri, exploded at about two O'Clock this
morning opposite Robertson's saw-mil
half a mile below the mouth or Green
river. The explosion was distinctlv
heard all over this city and at New
burg. The steamer Dictator was near
the Missouri at the time of the explo.
sion, and running alongside took off'ths
SURVIVORS. The Dictator touched Mt
Newburg and took on board Drs. w.