The evening telegraph. [volume] (Philadelphia [Pa.]) 1864-1918, 1866-01-02
American Finances in Europe.

From The TriG une.
We have received a copy of the remarks made
by Mr.. j. f. D. Lanier, banker, of this city, at
meeting OF European capitalists at FrankforC-on-
the-Mair, IN September last, upon the subject
OF the debt and resources of the United States.
Mr. Lanier was understood to speak in the inte-
rest of the Department of the Treasury, and for
this reason what he said has more than ordinary
significance.
The object of Mr.. Lanier was to demonstrate
to his auditors the entire ability OF the country
to meet the burdens imposed by the war-to
show that the annual charge for the expenses of
Government and for the interest on its debt, is
not excessive, and that the progress of the cOun-
try will, in few years, so lessen the burden as
to render it hardly appreciable.
According to his statement, the wealth of the
loyal States in 1860 equalled $40, 70O OOO000, and
the value OF the yearly product $3.50, 600, 600.
The ratio of the debt to the capital OF these
States consequently was only 2o per cent, or a
per cent. to that OF the whole country-the valu-
alton of the Southern States being SO, ,467 600,
OOO The total debt of So, 000 000 600 is equal to
only sos to each individual. The accruing in
terest, estimated at $l65, 600 000 would be only
u per cent on the capital of the North and less
than SIX per cent. of the annual product
The debt of Great Britain, which is referred to
by way Of illustration, reached, at the close Of
the French war in 1916, the enormous sum OF
81, 200, 900, 600, sum greater than our own by
more than onequarter. 1t equalled 10 per cent.
OF the whole valuation of the kingdom, and S2lS
tn each individual. The wealth OF that country,
at the period named could not have been one
half as great as that of the United States at the
present ii ne, while the amount of debt resting
upon its population was very considerably
greater. Our financial future is consequently
vastly more favorable than was that OF Great
Britain; yet that power experienced no difficulty
in meeting all its obligations.
If we can bear the burden this year. Mr.. La
nier argues, we certainly can the next and so
on. The ratio OF annual increase of wealth of
the States from 1850 to 1860 was 50 per cent. The
same ratio would give an aggregate wealth in
1865 of SIG 10 000, 600, and a yearly product OF
$4,3l8, 600, ,000 With such result, the national
debt at the present time, equals only Is per
cent of the wealth of the loyal States.
Al the ratio which obtained from 1850 to 1850,
the aggregate wealth of the whole country will
be $24 2l6 0O0, 900 in 1870 and S4S, ,236, ,OO0 O0O
in $780, and S5l, ,516 100000 in 1881. At the last
named period the ratio of debt IN capital will be
reduced TO per cent, and that OF annual lu
terest to annual income to Il per cent. That thu
increase OF the capital of the country will be iI
the ratio supposed, there can hardly be doubt
The increase in the value OF property in the nlnt
Northwestern States and Territories from 1850 Il
1860 was at the rate OF All per cent, tht
amount going from S452, 500 900 to 81 1862 900 900
The rate of increase in the new mining S5ates
and Territories is still greater. Even in the oil
States, the increase was most rapid; that o
Ohio, Connecticut, and New Jersey was at tn
rate OF l2G per cent. Pennsylvania increased a
the rate of SO per cent. upon valu alton in 1856
of S722, 900 000.
So far the burden of this debt has been born
entirely by the North When peace is restores
at the South, and labor becomes productive, a
il soon will, beyond all former precedent, one
third of the load will be taken from the shou
ders now bearing the whole.
But, in case OF necessity, we can resort TO In
portaGt sources OF revenue that have not ye