Rutland weekly herald. [volume] (Rutland, Vt.) 1859-1877, 1873-09-25
~.rn rrraNUIAL PANIC.

The three last days of last week
brought with them terror and panic
in Wall street, never witnessed there be-
fore. An unprecedented number of the
best established banking firms in the
country had to succumb to the pressure,
and the excitement and tumult increased
at each new accession to the list of the
suspended. But while we mourn over
the suffering that will be entailed upon
individuals and communities by these
failures, and the terrible losses that will
fall upon those who are lily able to bear
them, we can congratulate ourselves
that the bankers of Wall street are not
the financial system of the country, and
that of those who do business in Wall
street but small portion have yet been
ruined by the revulsion that is taking
place. We notice one gratifying result
of an inspection of the long list of fail
ures thus far reported, that it has no
representatives of the commercial inter
ests. The business men who supply the
needs of the country stand firm, and
keep on the even tenor of their way,
only shortening sail to prepare for the
stringent money market that will follow
the explosions we are witnessing.
To people who have only looked at
the evidences of the material prosperity
of the country, this crash will be a sur
prise. Our grain fields are loaded or Just
cleared of full harvest the cotton crop
is excellent the balance of exports over
importations is largely in our favor;
manufactures are being revived by the
knowledge that we can compete with the
mills and factories of England and make
fair prefit, and the carrying trade is
brisk. All these indicate that we are on
the high road to prosperity. The trade
OF the country is in healty condition,
all sales being for cash or on very short
credit, and our merchants usually being
free from the business complications and
heavy debts that Frustrated them in 1857,
we cannot see any way in which the
general trade of the country, or the
standing of banks and commercial
houses that confine themselves to le
gitimate business, is TO be ruined or af-
fected by this crash, except so far as
dull times, resulting from tight money
market will lessen profits, and compel
careful outstanding of resources.
Men are at first startled and await
anxiously for further developments, but
as soon as they see that the failures are
principally confined to stock spectators
and the banking houses that hold large
blocks of wild cat stocks, on speculation
or as collaterals, they will breathe easier
and hope that when the temporary panic |
and struggle is over, there will be more
healthy current to the entire business of
the country than we have had since the
war closed. The country has been deal
ing too much in speculative values rail-
roads have been built, not because they
were needed, but that the stocks might |
be bought and sold, and on many of /
those that were useful and paid fair diyi-
dends on their cost, the stock has been
increased or watered, until it has re-
luired exhorbitant rates, and unjust COM |
to sustain the market and pay
such dividends as were necessary to keep
up prices. This has produced a reaction.
The farmers of the West have led off in
! movement that looked like business.
Defalcations, corruptions and extortiens
have been exposed, and the public con