Glasgow Courier. — 1857-10-15 (Glasgow, Strathclyde, Scotland)

SUICIDE. the yet  4 a felstabbing supposed. for some le to the  I with  Iprecepts  I we  we . came.  I please  in our midst, but for of such communications they alone are reto the public who are thereby injured; and it is time they should learn to sift carefully grounds for such communicated statements, ere engross them in their commercial intelligence. he state of monetary affairs in this city assuredly demands careful study ; and in searching les which have produced the present it will be well to review the various which in late years we have passed, as can the true remedy be prescribed. And a mat be found. Unpleasant circumstances vitally connected with our banking system have become too glaring to be longer concealed, and it becomes a public duty, as well as necessary precaution, t o see that, if possible, such will not again operate injuriously upon general commerce. We need not carry back our recollections beyond 1847. The sad occurrences of that year will not soon be forgotten. Amid the general crash Glasgow suffered severely, and to the consequences of that almost unexampled depression may be traced much of the non-commercial distress which thereafter prevailed. In rapid succession followed disasters which told more directly upon this city. The bursting of various speculative bubbles, the railway panic, the consequent fate of the Exchange companies, all acted with most direful effect upon our community. And now when the excitement caused by the late Australian panic has scarcely been stilled, we find ourselves, on the threshold of gloomy winter, threatened with a serious home crisis, and oppressed by enormous rates of interest, which will certainly be maintained for sometime, and may possibly ere long be increased. Can any one doubt that overtrading has been the cause of these commercial difficulties? We leave out of consideration those caused by wild unprincipled railway speculation, involving, as they did, a fearful amount of individual misery, and regard the time of that mania as a dark episode in our social rather than our commercial history: But we think the result has clearly proven that the others were caused by a. departure from the principles of legiti mate trade, and a course of action reckless in the extreme. At first sight it may seem strange that business men should so far forget the ordinary recepts of prudence, and be so blind to eelinterests, as to hazard on such rash yena their commercial honour; but when look deeper than the surface, and peer into the state of society beyond the Exchange, shall have no difficulty in ascertaining the "Te are in too great a haste to be rich. dinary profits of fair commerce will not suffice. per cent., ten per cent.,ififty per cent, will not even cent. per cent. is deemed is in too many cases. To supply the extravagant and luxurious wants of a large pro. -e commercial community a gold field t. The wheel must have oil and the oil can be procured. Self be the result to others. us; thus enlist  made between oxthe to  the extent of our trade, there is little inquiry a to the means by which such is carried on. The motto go ahead' is well acted upon, but there is a tendency to forget the advice, 'look before you leap.' There must be a license to overpass actual realised resources in the prosecution of commerce, but to that there is a decided and palpable limit. Unless enterprise is allowed the means of development, and there be certain facilities at the command of those who regulate their transactions according to the dictates of prudence, we could never have attained, nor can hold, our national position as the mart of the world; but when credit is carelessly granted and purely speculative venturers are encouraged, there must be sooner or later a check, and, what in such style of business invariably follows it, a crash. And in this the fair legitimate merchant is the only sufferer. The speculator has usually nothing to lose, either in commercial character or individual means; in most cases rising, piwunixlike, with increased energy from his ashes; whereas' by the fate of his unprincipled operations, not only are the less ambitious and more honest directly made sufferers, but the disposal of their stocks and future prospects of return are seriously injured. Thus ar the resources of the latter sacrificed: to speak plainly, their pockets are virtually picked. For the prosecution of this fast and loose com merce more than mere trade credit is necessary. This is to a certain extent a legitimate facility, and by their ability to waive it do wealthy firms derive both actual profit, and, what is of as much import ance, a substantial reputation. But the overtrader must have besides at command monetary support, which shall be capable of expansion according to the necessities of his business (if indeed we should apply to his doings such a term). With this aid he, can be, and sometimes is, supplied by the Scotch banking system. In itself this is a grand and valuable institution—one by which Scotland has planted her mercantile relations in every quarter of the world, and which our southern neighbours eagerly desire—but, like all blessings, it may be, and is abused. So long as the permitted accommodation is not overstepped, it is valuable in the extreme. Whenever it accords more than fair and prudent facility it is equally dangerous. To the honour of the system it must be granted, that prudence without severity, fostering care. not excessive indulgence, have generally characterised its operation in commercial circles ; but we have ever and anon cause to regret that in some individual cases accommodation has been granted with too liberal a hand, and undue support given to parties who did little to advance, much to injure the mercantile community. Than this no course can be more unfair and reprehensible. How can it be expected that the hard working and conscientious merchant, who seeks little accommodation, and traffics on his ascertained resources, can compete in any degree, or anywhere, with another, who is indebted to his banker for his very existence? The latter is naturally reckless of consequences, knowing well the claim of protection which he has on his banker in return for the counter claim for value received!' The struggle between the two classes is plainly unequal, and may result to the one in heavy loss, to which the other is utterly indifferent  This state of matters is most ruinous. To such unfair purposes the Scottish banking system must not be prostituted. We found to our loss what was the result of bank-bolstering during the late Australian panic, and again we are having the lesson repeated. For the good of the entire community, the credit of the system, and their own pro. sperity, we trust that Bank Directors will discon. tinue granting such enormous facilities to the few, and rather strive to benefit the many; encourage by all means legitimate commerce, and strenuously endeavour to check, instead of fostering, that spirit of overtradiug which can only end in bankruptcy.