, 1873-11-08
ABROAD.

LONDON, Nov. 7-The Directors OF tho Banlr
of England to-day fixed tho rate OF discount at
per cont. IT,.
LONDON, Nov. 7.-There is great depression
In all stocks on tho list, and tho market is INT.
LONDON, Nov. 7.-Tho amount Of bullion
Withdrawn from tho Bank OF England to-day on
balance was .934,000. Tho rate Of discount. in
open market for threo montha' bills was per
cent, which is tho Same a. tho Bank Of Englands
rate. The rate for money at the Stock Exchange
on Government securities WAS 8 per conf There
are decided symptoms Of panic IN the stock mar
ket here. ALI quotations have fallon off. Con-
10-40s, 90K; new 5s, 89N. Eric, 3iN.
LONDON, Nov. 8.--5 4. ul.-The amount OF
specie withdrawn from tho bank yesterday for
the United Htatea and Cauada WAS 1870, 900,
most Of which goea to Canada. .
Tho Withdrawal Of $750 900 In apeclo from the
Liverpool Branch Of tho Bank Of England for
shipment to Now York By to-day's steamer is
Understood to have been the determining cause
Of the advance in the bauErate.
BERLIN, Nov. 7.-The German Minister of
Finance has decided to sell 20 600 600 tha!ora Of
diaused silver to the United States Government
which Ia the highest bidder. "
PARIS, Nov. 7.-Rentes, 66fr 90c.
FaANKroRr,, Nov. 7.-pive-tweutios Of 1862,
ny MatL]
11T1oAL ECONOMY At THE UNIVERSITY OF or
70 ths Editor Il the Eep Yorf Ffnancter;
SIN: Will you allow me to express to you tho
very great pleasure with which l read your re-
markable paper on Bank Obligation to Deposit
tors In Panic ~ Ihayo mover Been the contrnl
truth 80 powerfully put TINT, from the very na-
ture' OF banking it is physical impossibility
tho same moment repayment Of the debt due to
him by tho bank. It Is perfectly true that he is
theoretically and legally entitled to immediate
payment; but It is equally true that in lodging
understand, tho nntu1o Of tho act he
ia performing. Tho very fact Of ayailing
himself OF tue services Of banking involves
the obligation that ho should Know what
banking is, and that 1t Is Of its very essence that
the banker should mako use OF his deposit and
place it out on loan to another poraon. He iB
further committed to the knowledge that whilst,
AZ yoq. Justly remark, the bank is pledged to
to occur in ordinary business, and to certain
extent even beyond that limit, tho bank also re-
lies on its creditors, to whom 1t has lout tile
funds OF tho depostors ropaying also on demand,
and th.t thoy may fail from . Hundred causos to
exiBt II the only possible guarantee for certain
repayment Of depositors wore enforced
the keeping tho deposits in cash In the bauk's
vault: TO repay tho deposits Of every
to repay In cash every creditor in the nation.
Honoe . depositor, when conf3ding hia money to
bank, comos under q moral restriction OF pure
necessity involved In the buainoss he cannot
get back his monoy It all his brother depostors,
poBBcsaing equal rights with himself, ask for
theirs alBo at the Same hme. universal fear,
therefore, driving all tho depositore to demand
repayment simultaneously, is clear violation
OF the understanding On which banking Ia con-
strnoted taken as general movement, impell-
lug all together, 1t Ia essentially irrational, and
also, which III capital matter, an insane On