The Indiana State sentinel. [volume] (Indianapolis) 1868-1895, 1875-09-09

/ the days OF yOre, and talks as ne ulu when
governor of Indiana by the visitation OF
| God and the votes of Massachusetts soldiers.
| Chapter of English Financial History.
As the Financial ISSUE promises to be
the most momentous question involved in
the political campaign of 1876, and for some
time to come, the history of the management
of the enormous national debt Of Great Bril-
tain, and the fearful consequences arising
therefrom, can not be embarrassing TO those
pleased to investigate the subject. In the
year 1893, after the accession of William III.
to the throne, the national debt of Great
Britain first began to accumulate, "by bor-
rowing money on the credit of the state,
and laying its payment on posterity." In
the year 1889, the commencement of "the
great European war Of the French revolu-
tion," the national debt had reached the
vast sum of e244, 100000, which was
increased by said wars to the prodi-
gious amount of 1920, s2O,4I making,
at the conclusion of peace on the 1st of Feb
ruary 1916, an aggregate debt of seS64, $50, AL,
with an sccumulating interest of
e32, 225, SO4 per annum. 1t was down
to the last period of time that the princi-
pal part of the debt was contracted. Under
the 'instinctive sagacity of genius" the wise
sinking fund policy, introduced by Mr.. Pitt
entirely discharged the debt existing in 1889
by 1918, so that the entire debt of England
is the result of the last ninety years accu-
mutation. The gigantic struggle which
England in 1893 engaged in with France,
marshalled by Napoleon Bonaparte, her
instructions at home, commercial disasters,
popular discomfort and suffering, "drains
upon the specie of the country which the
heavy loans to government had made" all
combined to create a general feeling of
doubt, distrust and insecurity which,
with general dread OF invasion,
created an anxiety in every man TO convert
his paper into cash. Theconsequence ofthls
was a general rush upon the banks, which
necessitated and justified, in such a perilous
crisis, an authorized suspension of specie
payment by the Bank of England on the
18th day of February, 1877. The suspension
was at first limited to the oath day of June
following, but was renewed from time to
time, and in November, 1897, was 'con-
tinued till the conclusion of a general
peace" Thus was opened the broad fields of
paper money speculation and competition;
thus began the wild rage of paper money
imitation and the rapid accumulation of a
national debt which is to-day one of the
fixed institutions of Great Britain, and the
scourge and oppression of every laboring
poor man whose loot presses her soil. The
obligation on the bank to pay in specie was
never again imposed till Mr.. PeePs act in
1919. There was an absolute suspension OF
specie payment for a period of twenty-one
years, and government paper made legal
tender in all the business transactions be-
tween man and man. The immediate con-
sequence of the extraordinary legislation
the ''paper system" into Great
Britain was the restoration of confidence to |
public and private credit, imitation OF prices
and all kinds of business, wild schemes OF
increased wages and general
prosperity, enabling England and Europe |
on British pay to triumphantly carry on
and successfully terminate the most
lengthy, gigantic and costly war in the
annals of nations, and in addition to all
this, largely contributed to aid the payment
of the national debt, existing in 1889.
under Mr.. Pitts wise sinking-fund policy.
But when resumption came in 1919 the con |
sequences were fearful to contemplate. To
the capitalist and the great industrial class
of people it was one vast train of unuttera-
BILE woes and calamities, woe to the laboring /
mans increased wages and bis very employ
Of
lation and expanded business and CONNER
cial transactions. "The industry of the ma
ton was speedily congeRled as flowing |
stream is by the severity OF an arctic win
ter" 1t wasjust such forced resumption as
the republican party leaders propose for this
country in 1872 and everybody cried |
out in their anguish and despair
from widespread ruin and disaster.
It was like trying to force all the light of
the sun into the hollow of horn, or the
contents of the sea into the capacity of
tub. Everything was in disorder and out of
proportion. Commercial and bank disas-
ters followed. The best mechanics in the
nation were compelled to go to soup houses
and depend on public charity for their
living; paupers were multiplied by hum
ireds of thousands; crime increased in
svery form; business men, laborers and
capitalists were discouraged and dishezr.-