Year: 1867

Loss of confidence in public bonds is leading


feature in the financial status both of Europe
| and America In Europe the insecurity of all
public obligations is generally conceded. Even
| now they are beginning to prefer the bonds of
the United States to the best European securi-
ties known in their markets. But circum-
| stance has occurred to throw much distrust and
uncertainty upon American bonds. The dis
covery of large number of counterfeit seven
thirties to be in circulation on both sides of the
ocean, has greatly shocked public confidence,
and seriously checked the European demand for
this paper


But independently of this discovery, there is
everywhere growing feeling in favor of invest
ments in real estate and other permanent and
tangible forms of wealth. We read of immense
aecumulations of cash capital in London and
Paris. The case is the same proportionally in
all the money centres of the world. The reluc-
tance to invest in public debentures, is not an
ephemeral feeling incident to the revolutionary
condition of Europe and America. 1t has a
deeper seat and broader foundation. The
debts of all the principal governments are enor
mously and unprecedently great. There is
scarcely any one of the great powers, except the
United States, which can possibly, under any
probable future contingency, pay off its debt.
They are nearly all "kiting' and kiting in
most desperate manner Well may capitalists
distrust their paper, and refuse to touch it.


The effect of this distrust will be highly ben
efcial to all forms and classes of industry 1t is
already so. Capitalists, instead of putting their
money in the hands of Kings and Emperors to
be employed in feeding standing armies, and to
be wasted in the manufacture of deadly weapons
and useless ornaments, are putting it in the
hands private enterprise, to be employed in
works that shall minister to the material and NOR
al welfare of the human race.


Already is the effect of this happy diversion
of capital observable all over the world. In our
own country, a wonderful impetus has been given
to the construction of various works in the diff
ferent departments of art. The Pacific railroad
the bridging, at stupendous COST OF the great
rivers of the continent; vast telegraphic cables
and lines; stately and swift ocean steamers for
the Pacific, the Atlantic, and the Australian, as
well as the coastwise trade;-these are but more
capital. Lesser evidences are seen on every
hand. All kinds of building, in all the cities
and towns, have felt the influence of this diver
sion of capital. Every department of enterprise
is experiencing the benefit of this impulse.


In the South, cur moneyed men no longer pre-
fer State and Federal bonds to local investments.
They prefer to invest their capital in buildings
and manufacturing establishments, and in enter
prises creating life and activity and prosperity
in the communities around them.


In view of these things, what cheering fu-
ture is in store for our country, if we address
ourselves in patriotic sincerity and honesty to
the settlement of our political troubles. Why
should we wantonly reject prosperity which
benignant Providence tenders with open hand?
-NortoM Journal.