The advocate., 1891-09-30
TWO PICTURES HISTORIC ILLUSTRATIONS
OF NATIONAL FINANCE

10 the Editor OF THE ADVOCATE.
In the year 1l71 coin failed TO meet
Che national requirements OF the govern
ment Of Venice. The republic cut loose
from coin and adopted q book credit
money, with no actual or pretended coin
redemption. Those book credits were
the lawful money Of Venice for more
than six hundred years. During that
time Venice became and remained the
commercial center Of the world and the
clearing house Of Europe. In 1907 coin
failed In England. That proud financial
center paid out all her gold, and her last
silver sixpense In obedience to the god
of coin redemption, and the proud en-
pire Of Great Britain was about to be-
come a province Of France. England
then, as Venice had done, cut loose from
coin and adopted paper as the current
money of the realm for the space Of
twenty-five years. The results, as related
by Sir Archibald Alison, is the first pic
ture of my illustration. 1t Is drawn by
the able and reliable hand of England'S
most volumlnous and faithful historian
In his history of the wars Of Napoleon:
Although the war had now continued four
years, and it was obvious to all the world
that England and France were the princi-
pies in the contest, yet these two states had
not as yet come into immediate and vio-
lent collision. Inferior powers required TO
be struCh down, weaker states to be re-
moved from the combat, before the leaders
Of the fight dealt their blows at each other;
like the champions Of chivalry, who were
separated in the commencement of the
ARRAY by subordinate knights, and did not
engage in mortal conflict till the field was
cleared of the dead and dying. The period,
however, was now approaching when this
could no longer continue, and the success
Of France had been such as to compel
Britain to fight, not merely for victory, but
for existence. All the allies with whom and
for whose protection she had engaged in
the contest we're either struggling in the ex-
tremity Of disaster or openly arrayed under
the banners of her enemies. Austria, after
desperate and heroic resistance in Italy,
was preparing for the defense Of her last
barriers in the passes Of the Alps. Holland
was virtually incorporated with the con-
quering republic. Spain had recently
joined its forces; the whole continent from
the Texel to Gibralter was Rrrayed against
Great Britain; and all men we're sensible
that, in spite of her marine superiority, she
had in the preceding winter narrowly es-
capped invasion in the most vulnerable
quarter, and owed to the winds and the
waves her exemption from the horrors Of
civil war. The aspect Of rubliC affairs in
Britain had never been 30 clouded since the
commencement Of the war, nor, indeed,
during the whole Of the nineteenth century,
as they we're at the opening Of the year 1877.
The return of Lord Malmesbury from Paris
had closed every hope Of terminating con-
test in which the nationa' burdens were
daily increasing, while the prospect Of sue
cess was continually diminishing. Party
spirit ragged with uncommon violence in
every part of the empire. InsurreCtlons
prevailed in many districts Of Ireland, dis
contents and suffering in all; commercial
endorsements were rapidly increasing,
and the continued pressure on the bank
threatened a total dissolution Of public
credit. The consequence Of this aOcumula-
zion of disasters was a rapid fall Of the
public securities, the per cents. were sold