Year: 1870

4
systems of nations, and while our Congress
and the press are occupied In discussing
questions pertaining to the currency and specie
payments, there is silent power at work
which Is revolutionzing the ideas Of mankind
on this subject and changing old customs. The
magnetic telegraph and steam power are fast
breaking down the dogmas and practice of the
past Statesmen, bankers, financiers gene
rally, and commercial men, begin to see the
power of these modern agencies of civilization
and progress. Conservative as men naturally
are who deal largely in financial matters.
whether national or private, and slow as they
may be to depart from established systems
yield to the revolution that is going
on. Nor is it In monetary, financial or
commercial affairs only that great changes are
taking place; the same agencies are revOu-
tionizing the political and social condition Of
the world. But we see the dawn merely Of a
! wonderful future. The next generation will
probably be as astonished at the progress
made over the present time as we are at the
| progress made within the last forty or fifty
years.


| In former times, when it took months to cross
| the Atlantic, from Europe to America, in the
comparatively slow going sailing vessels, weeks
to cross the German Ocean, and years to circum-
navigate the globe, commercial nations were
very much isolated. Intelligence of events or
affairs moved slowly and did not spread far.
The rivalry of different countries was in
tensely selfish and created jealousy and hos
tility. nation that was ambitious of extend
ing its commerce, or of commercial supremacy,
saw no other way of accomplishing the
object than by destroying a rival. Eng
land, more than any other country, pur-
sued this course, and made relentless
war upon her commercial rivals. Although
this old spirit is not entirely suppressed, and
there will still be rivalry among nations for
commercial advantages or supremacy, more
liberal views are fast spreading over the
world. Steam power and the magnetic tele-
graph are bringing the people of all countries
into closer and more friendly relations with each
other. They are breaking down the barriers
of nationalities, caste and sects. They are
tending rapidly to make all mankind brethren.
The telegraph especially is diffusiug the light
of intelligence over great part of the globe,
and not many years hence it will illuminate
every corner of the EARTH Prejudices will be
removed and the ideas of people everywhere
will assimilate.


With regard to financial or monetary mat
ters, then, we must not go back to the past for
precedents. The new age upon which we
have entered will require a new financial
system, or, at least, great modification
of the old one. Important changes are
taking place already. Not long since
the rate of exchange between countries COM
paratively near each other was high generally,
and sometimes even between parts of the
same country. This, too, was often indepen-
dent of the balance Of trade, and resulted
from the length Of time required to communi-
cate from one place to another. The percentage
for making exchange, or the cost of transmitting
specie, used to be heavy charge, amounting
sometimes to from five to ten per cent. Even
up to very recent period this was a consider
able burden. as well as an obstruction tc
trade, particularly to a debtor nation. Nor
have we become entirely emancipated yet
from the old system. Now, however, person
can pay his debt or establish his credit abroad
by depositing money in New York or in some
other city, and by telegraphing the fact. HI
need neither buy bill Of exchange nor ship
money. The telegraph does the business
through certain established agencies. VIZ
may see, consequently, that the time
is coming when all the financial
transactions between different nations, al
well as between different parts of the same
country, will be adjusted through the telegraph
The balances can be struck in this way just al
well as if persons appeared personally will
their bills and bags of specie in hand o.
course much less currency or Of the precious
metals viii be required in commerce. A very
small amount generally will be sufficient tt
balance transactions of the largest SCALE and
covering large part of the world. By thu
use of the telegraph certain financial centres
will become for the whole commercial worlt
what the Clearing House of New York is fo
the banks here. Transactions to the amour
, of hundreds of millions can thus be adjusted
or balanced by the use of a few millions only


Specie may become the currency Of all ma
tions for the ordinary purposes of trad
from hand to hand, and the time ma.
come when there will be universe
specie standard; but whether one natiol
should find it best to have paper currency
and another metallic one, the course of trad'
and the intimate commercial relations among
all must, under ordinary circumstances, assimi-
late the value. Acts of the Legislature arr
not necessary in this age to regulate the cur
reucy; the laws Of trade, which are more pow
erful, will do that. Indeed, legislative acts
under normal condition Of things, have almos
always proved mischievous. AS to our owl
fhorof fho of Ioa