The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1867-02-05


TIE Warnings Of Nicholas KniekerbeckeB.
TO THE EDIroR or THB HERALD.
How long can We go and keep a6oat upon the false
theories and iawles practices Dominant We may
perhaps 60 on long have national bonds 70
po and Europe will take them az half the value which
they express something more; or IS long - We can
extract from the people dunss in the price Of mer
chandse imported for consumption gold enough 70 pay
the interest," add forty my per cent 70 the
price Of the merchandise here and generously throwing
In the premium the amount paid 70 bondholders
interest We may perhaps 60 on ill every dollar Of our
coin Is exported until the people become weary Of
paying sxorbtant and fabulous prices for foreign er
chandise and the imports fall on till the amount will
pay duties enough in gold 70 discharge the annual in
terss& AtM t4
Either OF these resus-uot mention others OF like
tendency and sneci--would bring . crisis. suppose
Europe should for political other reasons. there
here send home the bonds they have OF taking
morss Suppose the gold revenue should fan short,
end coin being drained away By export, should, q
% nnodisy, rise IN Prcs whs. and BY vh.. means
abls % buy q homo or abroad or 70 buy bullion TO
make moro coin FOR interest and for export In such
sss of thines he people viii have Lost confidence.
Our com u already nearly exhausted by export A
further drain during she present equal to that OF Last
ysar wl sweep ~ Of what remains and leave float
Ing debt 70 Europe NOW covered mostly BY bonds bear
ing iptee and returnable at peasure the extent Of
Thousand millions more and constantly increasing
traced Che nostss Of the Secretary he informs us in
his report for the fiscal year ending 30h juno as
the imports Of ioregn merchandise for the year. as en-
ere0 ne the custom houses and valued go amounted
to SAIL 000o co., and our exports exclusive Of speciel
estimated Al gold rricse $685. 900 000 showing
whole truth He says-For many years there has been
systematic differentiation Of foreign merchandise
into the United states and S. have
Smuggling and for OF transportation paid foreign
shpowners twenty per cent least should be added 10
Of imports about s166 100000 ION NO other ground,
ne adds the fact be accounted for that very large
Of Amsncan bonds are now held Europe which
are estimated follows, to wit: United States bonds
o0o State and municipal bonds $3.50 900 00o
railroad and other stock bonds sl00, 600, 600. =
amount ct that date They have been constantly going
since June SO, and the amount held there now may,
debt which constantly induces remittances Of coin al
cost OF near forty per cent premium This sum would
require drain and export yearly OF about $4,000 900
Towards the balance due for imports last year. stated
above At s166 00O but which likely 70 have
having doesse debt :. he
men Of the present fiscal year Of about $50 900 70
500 900, ooo on the business q last year
But have yet considerable amount Of expostabie
bonds, and are driving and enarging our foreign
debt faster II anything than last Tho imports n
p1 &c ns- and x0fs Iy
600, gold valuation Add for other ports The
usual proportion, or onefouTth, say e8A 600 600 and
twenty per cent for under valuation and smuggling,
9s6, 100000 making together e210, 100000 the ex-
ports q currency prices were, from New York sea 000
900; add one fourth much for other porty say &2A
100000; together Sll7,ooo 900; which deducted from
ooo leaves debt Of sos 900 600 for SIX month";
Of the year Towards this balance about $1,000 900 Of
specie Vas exported. Tho remaining S7e00o 600 With
former balanoss may b moety covered with gold bear
ing bosdA u would take but $3.50 0oe n oonds q
that 10 By transferring ts obligation from the individual
importers 70 al Tho American taxpayen with the In
tecs ION every 500 instead OF t70 OF about and
han - cant n gold. q thiry.nvs 70 forty per cent
premium. 4s.sg - r $40 .ss f.s7f
We have said enough 70 indicate something Of the
tuss o. ncreihls md Intoxicating peepesy and ~
di6icuksa We are living at > very fast nate on the
credit ef our sxpesa bsads; vhIlo sbisy - redeem
that Of paying them On again when at maturity, b ~
least endangered; and on the proceeds Of spsce ex
ported AZ merchandisA nov nearly We arc living
credit discounng and spending The future and be-
gin 70 feel The natural consequence ut eM
NICHOLAS KNICKERBOCKER
+ gNM Ns E9I .KNfNM Stock Exchange Building.