The daily dispatch. [volume] (Richmond [Va.]) 1850-1884, 1878-01-10

Ng t5tsbffc SieDS 9eIf cty-Sia years "
eassr,,,ns fss most dissing aiished senator,
everywhere known and honorad for the /
briaht ehiyalry of bis character, from oecu.
nviI,g ], most OF trust and honor amongst
foreign nations, when tnat very post wou,d
rebound TO The peenniary interest ana ma
tcrial prosperity 81 lis. State and section.
II 3the rI,en,ery Of these transactions linz
gers so long, aud Is so widespread ana /
tarnlshipg, it surely behooves US TO Know n, DIV
.what. others did, aud to avoid. il possible,
the syi. Of their example.
II propose to state briefly tue history OF
tscss times and the action OF the States
named above. Without q knowledge OF
the times the action OF the States might ap-
pear purely arbitrary aud wanton. With tin
that knowledge wo shall see that they haa
more reason than we have to pa!liate, whilst.
they cannot justify, their conduct.
In 1880 the States OF the union only owed
some $4,000, 900 Of debt.
In 1884, dnring the administration Of
General JACKSON. the last instalment OF tine
public debt OF Che country was paid ana
the singular spectacle, as before remark go,
OF nation without debt was presented to
the world. Tue credit which re had pre-
yiously acquired OF rich, young, grow
ing, thriving people, always and faploiy IL u"
creasing in population, in PRODUCES 10
wealth. was enormously enhanced by the
fact that the Government had no debt ana
that the States owed but little. Not only
was this q source OF wonder abroad, but IL
was also an occasion Of amazement at home.
We felt ourselves equal to the accomplish
meat Of any feat, whether at arms OF OF
finance. The country was at peace. Inc
States were affluent in products ana 10
schemes, in developed and in undeVeloped
resources. We were growing as giant
grows-fast, and large, and powerful. IL
we measure that growth by the postal SER
vice we shall see that whilst the mail ira
yelled 1900, 900 OF miles in 1900, it traVerscd
ID. SOC, 900 in 1880, and 32,0O0,oO0 in 1886.
II we measure the expansion by our exports
we shall discover that while we exported
50, 600, 900 in 1880, we exported 10, ooo,ooO
in 1887. AT the same time tremendous
impetus was given to all sorts OF trade
and enterprise by the action ana the
result of the action OF the Govern
ment OF the United States towards the
Bank of the United States. These
were crushed by Old Hickory. Their de-
posts were removed to the vaults OF the
State banks. These, under the viviiylng
effect OF those deposits, multiplied with
great rapidity, and the increase in capital
kept pace with the increase of the banks.
This capital grew aominnliy during the
wears 1880 TO 1887 from one hundred and
ten millions to two hundred and twenty-five
millions. Paper money, OF course, aug
mented itself in still more fearful ratio
than coin. This had to be dug from the
bowels of the earth; that was blown into
being by the breath Of the patroniZlng cor
poration. Manufactures sprang up every
where. Commerce hoisted it's sails and WIFI
tened every sea. Instead Of sending no.
thing but specie beyond the Cape OF Good
Hope to purchase agricultural and mechani-
cal products, our own manufactures began
to find market in the marts OF the world.
Growth and wealth seemed to be the certain
blessing OF the timos. Speculation rom riot.
individuals caught the wild contagion
and impaired 1t to the infected States.
Whatever individuals touched in the rapid
increase Of the country and the sure advance
or prices, seemed. to turn to gold, and
30 the States thought that they had only to
project improvements, and 10! golden
tide of wealth would roll in upon them.
The gigantic enterprises that have since
accommodated the trade and travel OF the
country were then begun. The bag OF gold
was at the end OF each rainbow OF hope.
Railroads over plains aud mountains were
built. Canals were dug. Levees were
raised. Bridges spanned the mighty and
roaring rivers. Public buildings OF great
beauty and costIiness rose to gratify the
taste and pride OF the ambitious citizen.
!" All went merry as marriage bell.'' But
this country, Notwithstanding its great
wealth and apparent prosperity, needed
money to complete its great works. lndi-
viduals and States sought and obtained 1t
Ly the millions from Europe. Government
credit was high. State credit was high.
Bank credit was readily accepted. States
and corporations borrowed it easily froM
Europe, and individuals just as easily in
those "fush times" borrowed it from the
banks. Our Indebtedness to England grew
so large and so fast that the Bank OF Eng
land became properly alarmed. 1t feared
that all this wealth was fictitious; that many
OF our schemes were Utopian, so in August,
1885, it sounded the first distinctive note OF
caution. For few months its course was
vacillating, but finally it gave the decisive
blow by stopping the credit OF several
American clearinghouse in London.
These banking-houses were, OF course, COM
PEELED to call on the American merchants
for immediate payment, AID for this pur-
pose the specie Of the banks was required.
The end had come. To avert the blow and
to break the full the Bank Of the United
States, of Pennsylvania; issued more than a
million sterling of It's bonds for remittances
to Europe, but this had no perceptible
effect. There were failures all over the
land; they were innumerable. The dis
tress was universal. In some OF the States
it was difficult for those who were wealthy
TO obtain money for the daily uses of life.
A deep gloom settled upon mems minds.
felt it as much as individuals.
Their ordinary resources were diminished. |
rrhoir maanc of 0htaininn extraordinary