The Wheeling daily register. [volume] (Wheeling, W. Va.) 1864-1878, 1870-08-03
Financial Effect Of the War.

The financial effect of the European
war is a topic of very considerable lit
rerest 10 all classes OF Our people,
Remaining strictly neutral, at least in
80 far as the official action Of our gov
eminent is concerned, we have little
care which of the great contending
powers is victorious in the struggle all
we want to know is what effect the war
is likely to have upon the pecuniary in,
tcrests of the United States
As regards financial resources, there
is very little difference between France
and Prussia. The Prussian debt is
only about three hundred millions OF
dollars, while that OF France Is eight
times that sum, but this disparity is
counter-balanced by the fact that
France is much richer in manufactures
and commerce than Prussia, and has
therefore greater resources within her
self For short war, the two powers
stand nearly upon the same footing.
Prussia has about two wears supplies OF
grain on hand, and the conceded supe-
rioritv of the French naval power will
enable that nation to draw from abroad,
almost as safely as in time OF peace,
whatever breadstuffs she may need.
And then, it is not at all probable that
the war will be of long duration The
country to be fought over is so thor
oughly accessible in all its parts by
numerous railroads, and the modern
improvements in the art of killing have
been brought TO such perfection, that the
struggle must necessarily be short, sharp
and decisive. No two nations on the
globe, situated as France and Prussia
are, could afford TO wage war in all its
modern destructiveness, longer than a
few months
The results OF the war alone can de-
termine how far the securities of the
belligerent nations may decline. The
declaration OF war was sudden and I'M
expected, and produced some cOnsterna-
ton and a rapid fall in securities and
stocks of all kinds, both in Germany
and France, and in other nations. The
uncertainty as to the duration and re-
suit of hostilities has had depressing
effect upon securities in England nut
merous failures have occurred, the Bank
of England has raised its rate of dis
count, the Bank of France has suspend,
ed gold payment and issues only silver,
and everywhere precautionary measures
are being taken. United States bonds
and stocks abroad fell rapidly with the
rest but have since recovered, and will
not be likely to decline again unless
Europe should become involved in a
general war, and not permanently even
then, unless the United States should
be dragged into participation
in the fight, which is hardly
among the possibilities Our resources
will continue TO augment, however
Europe may suffer, and after the first
shock is over, American securities which
are safe and profitable will be eagerly
sought for as investments and the dis
turbance in Europe will give greater
value to United States stocks. How
ever, should the war prove as short as
We really think it will, its influence
upon American finances will not be
very strongly markedn nor will it materi-
ally enrich our people \ few brokers
on Wall street may make handsome
margins. but the mass of the people
will see nothing in their cash account
that would not be there, even if the
French and the Prussiaus were not cut
ting each others threats on the Rhine