The evening telegraph. [volume] (Philadelphia [Pa.]) 1864-1918, 1866-06-22

of 1866, with fair season henceforth, will range
from 100000 to 25,O0O,00O bales, and that
Texas, Arkansas, and Tennessee will produce
100000 instead of the 3500 900 assigned them
above. Let the result determine who Is nearest
right
Financial Effects Of the European War.
From the Tunes.
1t is not TO be supposed that great war can
occur anywhere in the civilized world without
some injury to the United States. The ancient
doctrine in political economy was that each
nation was better off as her neighbors or rivals
were poorer, and that calamity to one was good
fortune to another, and that each could grow
rich out OF the others poverty. But the more
correct science OF modern times has seen the
fallacy OF this. 1t has recognized the CONNER
cial solidarity of peoples, that foreign nations
are Ill the relation to every country, to greater
or less degree, OF customers to producer, and
the better off they are The more they will buy,
and what Injuries them will OF course lessen their
capacity oil purchasing, and thus diminish the
profit of the producer.
Again, what they will buy of one will depend
TO certain extent on what 1t will buy OF t6em
so that calamity to any great nation at once, in
the complicated machinery of modern COM
merce, brings misfortune 10 the other members
OF the family oil nations. The United States is
more independent of other natlons-owing to
It's vast territory and variety of internal eX-
changes and productionS-than any European
power. Yet we, too, are linked in commerce
and immigration with all the world, and esue-
cialy with Europe. She buys our cotton,
breadstuffs, dairy products, machinery and
cloths, ana during the last four years has been
an enormous purchaser of our securities. She
also furnishes us with our most valuable i'm
portS-the Immigration of substantial farmers
and strong laborers.
The approaching shock of mighty work in
Europe; the withdra wal OF some two millions
OF men from profitable production; The lm-
meuse waste and destruction OF war; the forced
loaDs OF the Governments, must all have some
effect on our own financial condition. The first
influences have been and will be injurious.
Our customers are suddenly crippled and i'm
poverished they cannot send us such products
as they did, nor take from us our wheat and our
butter, and our cotton and manufactures, to the
extent to which they formerly ordered They
will not at first want our bonds as they did, and
must send back some which they have pur-
chased, and use the great profits of the sale for
STRENGTHENING their position against the Storm
The hrst impulse OF the Germans and Italians
is Gas it was here in our wary to convert eyery-
thing into gold. The Governments demand gold
for buying war material, and as a consequence a
great drain OF the precious metals ensues from
the great centre OF exchanges-London-w which
is naturally ielt here. Apart from the rise of
gold occasiOncd by speculation, there can be no
doubt that the fear Of European war has les
sened the value of the dollar to every man,
woman, and child in America Emigration also,
with its golden tide, which has been larger the
last year than Tor many years, must, if war
ensues, be diminished. The German Govern
ments will forbid their subjects from leaving the
country at such time. We must feel then, and
somewhat severely, European war. But there
are more favorable aspects of the subject which
will soon reveal themselves.
The continental people will be, indeed poorer.
but they must live, even if the Governments
support larger numbers OF them in the armies.
They must have our cotton, and may even
demand our breadstufs, from the cessation of
production at home. 1t is not improbable that
a new trade in arms and machinery may spring
up with this country. After the first impulse OF
panic to hoard or to convert into gold, the
second sober thought will come OF demand for
safe securities, delivered from all the eventu-
allties of this war. The bonds OF two great
nations-tne Austrian and Italian-are already,
before the opening OF hostities, below 40, and
will undoubtedly, if the war should last two
years, be worthless. Prussian paper is much
more valuable, but ii has fallen ten per cent.
Gold is dangerous to possess in time OF iuva-
sion, while papeT-bond IS less often plundered
or confscated and can be more easily concealed.
We already hear that the peasantry are seeking
for American securities. This VIII continue and
increase if our own financial course is wise
here; the savings of the German population will
be placed to great extent, in United States
bonds. The same thing will be true also OF
England. A vast amount OF capital VIII be
accommodating there, which used to seek invest
ment on the continent. II will now search tor
channels at distance from the scene of hostili
ties, and will probably turn to securities 80 safe
hear OF a substantial rise in Five-twentes in the
British market. Two OF the continental coun-
tries are lust about repudiatmg specie payments
The inevitable effect of this Is to force the
gold out OF the country 10 Great Britain and
France, where the cessation of panic, and re
stored business with the increased supply, will
soon bring money down to its normal rates an6
relieve us here. Large amounts Of cotton sooI
10 go out, and perhaps other exports will helE
us still further. We may secure some new
Dranches IN the carrying trade in the approach
ing struggle. In the meantime we are at peace
all branches OF production Eare in wonderful
bloom; we only need a greater contraction o
currency TO stop the depreciation OF our papel
and bring the dollar near its real value and W,
are growing steadily in substantial wealth.
The great European war, though Il NAV shock
will not essentially damage us.
Mexican IntIigues and Complications.
From the Herald.
The intrigues among the factions in Mexic
at the present time furnish very good ilustra
tion of the character Of the Mexican people. Th
moment that it became a fixed fact that Max
mil aVaAf fha