Full text of The Merchants' Magazine and Commercial Review : January 1850, Vol. XXII, No. I

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THE

MERCHANTS’ MAGAZINE,
E s t a b l i s h e d J u l y ? 1839,

BY FREEMAN HUNT, EDITOR AND PROPRIETOR.

VOLUME X X II.

J A N U A R Y , 185 0.

CONTENTS

OF NO. I,

NUMBER I.

YOL. X X II.

ARTICLES.
PAGE.

ART.

I. T E A : A N D TH E T E A T R A D E . By a G id e o n N y e , Esq., m erchant o f Canton, C h in a ... 19
H . TH E CONDITION AND PROSPECTS OF AM E RICA N COTTON M AN U FACTU RES
IN 1849. By A . A . L a w r e n c e , Esq., o f Massachusetts............................................................. 26
III. TH E M O R T A L IT Y OF BA LT IM O R E : W ITH REFE RE N C E TO TH E PRINCIPLES
OF L IF E INSURAN CE. By Professor C. F. M ’ C a y , o f the University o f G eorgia......... 35
TV. TH E P R A C TIC A L W O R K IN G OF CH E AP PO STAG E. By J o s h u a L e a v i t t , Corre­
sponding Secretary o f the Boston Cheap Postage Association.................................................. 44
V . C O M M ER CIAL CITIES A N D TO W N S OF TH E UNITED ST A TE S—N o. X I X .- T ^ E
CITY OF W O R CE STE R, M a s s a c h u s e t t s .................................................................................. 54
V I. BA N K R U P TCY— BAN KIN G. A Letter to the Editor, in R eply to an Article in the De­
cem ber num ber o f the M erchants' M agazine................................................................................
65
V II.
G IL B A R T ’ S PR A C T IC A L T R E A TISE ON BAN KIN G. On the Nature o f Banking—The
Utility o f Banking—On the General Administration o f a Bank................................................ 68

Vin.

CO M M ERCIAL CODE OF SPATN.—N o. X I —CONCERNING INTERPRETING BRO­
K ERS OF SHIPS. Translated from the Spanish by A . N a s h , Esq., o f New Y o rk B a r ..

73

M E R C A N T I L E L A W CASES.
Sight B ills: a Decision in the Fourth District Court, N ew Orleans.......................................................... 74
A ction to R ecover Money L o a n e d : a Decision o f the Supreme Court, N ew Y o r k ............................ 75
Suit to R ecover Clothing furnished a M in o r: a Case in the Commercial Court, Cincinnati.............. 76
Absent D ebtor—Insolvent Law o f Massachusetts: a Case in Supreme Judicial Court o f that
S tate.......................................................................................................................................................................

77

C O M M E R C I A L C H R O N I C L E AND R E V I E W :
EMBRACING A FINANCIAL AND COMMERCIAL REV IE W OF THE UNITED STATES, ETC., ILLUSTRA TED W IT H TABLES, ETC., AS FOLLOWS *.

Increased Abundance in the Money Market— Export o f Cotton— Arrival o f G old from California
— Emigration to California—Production o f the Mines—Tendency to Speculate— Increase o f
Banking Capital—Ocean Bank o f the City o f New Y ork— Dividends o f Free and Chartered
Banks Compared— Dry G oods im ported into New Y ork for last six months—Flattering Pros­
pects o f the Cotton Market—High rate o f W ages—The Cotton Speculation o f 1839— Bank o f
France, etc....................................................................................................................................................
V O L . X X I I .-----N O . I .
2




78-83

18

CONTENTS OF N O . I ., V O L . X X I I.
PAGE

COMMERCIAL STATISTICS.
Production o f Hogs and B eef Cattle in Ohio in 1848 and 1849..................................................................
Foreign Dry Goods Trade o f New Y ork in 1849...........................................................................................
G oods withdrawn from W arehouse during the year 1849...........................................................................
Virginia Tobacco T rad e: Exports, Stocks, & c — Coffee Production o f Ceylon in 1848-9..................
Statistics o f Licenses, and the Liquor Trade o f New Y o rk City in 1839...............................................
The Coal Trade with London, England, from 1560 to 1848........................................................................

84
84
85
86
87
87

COMMERCIAL REGULATIONS.
Changes m ade in the Jamaica Tariff.................................................................................................................
A n abstract o f the Corporation Laws o f Indiana..........................................................................................

88
89

NAUTICAL INTELLIGENCE.
Discovery o f Four Shoals in the Main Channel, Nantucket.—N ew Light-house on Ardnamarchan.
Shoal on the South-east Point o f Fort Tinge.—Light-house on the Ostergarns....................................

90
91

J O U R N A L OF B A N K I N G , C U R R E N C Y , A N D F I N A N C E .
Condition o f the Banks o f the State o f New Y ork on the 22d o f September, 1849............................
United States Treasury Notes Outstanding, D ecem ber 1, 1849 ..................................................................
O f the Uniformity o f the G old Coin o f the United States........................................................................
A Statement o f the Debts and Finances o f Virginia in 1849....................................................................
D ebt and Finances o f Georgia in 1849.............................................................................................................
Debt and Finances o f South Carolina in 1849................................................................................................
D ebt o f Indiana in 1849.......................................................................................................................................
Oates’ Interest Tables...........................................................................................................................................
Valuation o f the Real and Personal Property o f each W ard o f New Y ork City in 1849..................
Merchants’ Exchange Bank in the City o f N ew Y o rk ..................................................................................
Letter to the Editor about a Mutual Bank for D eposit and D iscount......................................................
The National Bank at Vienna, Austria............................................................................................................
State Tax on the Profits o f the Banks in O h io ................................................................................................
British Fees in Bankruptcy.— Bullen, the Rich Banker..............................................................................

92
93
93
94
96
97
98
99
101
102
102
103
103
103

R A I L R O A D , C A N A L , A ND S T E A M B O A T S T A T I S T I C S .
Statistics o f the Central Railroad and Banking Company o f Georgia in 1848-9....................................
Railway Speculation and the Stock Exchange in England........................................................................
M ovem ent o f Railroads between Albany and Buffalo for the W inter o f 1849-50................................
Opening and Closing o f the New Y ork Canals in each year from 1824 to 1849....................................
Business o f the Colum bia and Philadelphia Railroad in 1849....................................................................

JOURNAL

104
105
106
106
107

OF M I N I N G A ND M A N U F A C T U R E S .

Manufacture o f Cotton G oods at the S o u th : a Letter referring to the Cotton Discussion com ­
m enced in the N ovem ber num ber o f this Magazine, from W illiam G r e g g , o f S. Carolina___
A Letter from General C. T. J am es , on the same Subject.— Cannel Coal in Virginia..........................
The W orld’s Exhibition o f the Produce o f Industry in 1851....................................................................
A n Experim ent with Semi-bituminous Coal..................................................................................................
Rolling Mills in and near Cincinnati, O h io .................................................................................... .................
Manufactures o f Dayton, Ohio.—The Mining Prospects o f England in 1849-50..................................
The Product o f the Cliff Mine o f Lake Superior in 1849............................................................................
Manufacture o f Paint from Z in c in Newark, New Jersey..........................................................................

107
109
109
HO
HI
112
112
113

MERCANTILE MISCELLANIES.
Bankruptcy in Batavia, Island o f Java............................................................................................................
In a G ood Business................................................................................................................................................
A Great Business or a Small Business.—Rom an Markets........................................................................ ..
Character for Integrity.— The Electric Telegraph in Prussia......................................................................
The Morality o f Life Insurance.— Commercial Swindling in L o n d o n ....................................................
O f Purchasing Merchandise Fraudulently Obtained.— The E conom y o f Eggs, and the E gg Trade.
O f Discounts on Merchandise.............................................................................................................................
Smuggling in Russia.— O f the Measurement o f Foreign Deals.................................................................
Singular Cotton Speculation in the N eighborhood o f Manchester............................................................
Excerpts for Business Men.— D iscovery o f Ancient Coins in the Isle o f W ight...................................
L iverpool Trade with Africa.— Cattle im ported into England....................................................................

113
114
115
116
117
118
118
119
120
120
120

THE BOOK TR A D E .
Comprehensive N otices o f 38 new W orks or new Editions................................................................ 121-128




HUNT’ S

MERCHANTS’ MAGAZINE
AN D

COMMERCIAL REVIEW.
J A N U A R Y , 1 850.

Art. I.— T E A : A ND f H E

TEA TRADE.

W h e t h e r regarded as a necessary o f life, o r as forming an element in the
amelioration o f the intercourse o f nations, the article o f Tea takes the first
rank in the history of Commerce.
The production o f one countrv, its use has spread over almost every other
civilized one, until its name has become a synonyme o f the ancient empire
where it grows, and suggests to the mind, not so much the healthful proper­
ties of a simple shrub, as the history o f the intercourse with China, and of
China itself.
N o other production o f the soil has, in an equal degree, stimulated the in­
tercourse of the most distant portions o f the globe ; nor has any other beve­
rage, with equally unalloyed benefit, so commended itself to the palates of
the people of the more civilized nations, or become so much a source o f com­
fort, and a means o f temperance, healthfulness, and cheerfulness, whilst it
may be doubted if any other is equally a restorative and stimulative of the
intellectual faculties of man.
The incentive to the industry of many millions in China, it is the direct
source of an immense revenue to the British exchequer,* and o f much pros­
perity to the manufacturing and commercial interests o f the British empire,
and other nations ; and whilst its agreeable and healthful properties have
diffused comfort and cheerfulness, and promoted temperance amongst the
households of the western nations, these, reciprocally, have contributed to
the moral influences o f this interchange o f commerce upon the millions of
the populous and farthest East.
But, in tracing the progress o f its use, and estimating the mutual benefits
that it has conferred, the satisfaction that is derived therefrom is not wholly un­
alloyed— for, whilst it forms on one side the healthful element o f a reciprocal

* The duty upon tea imported into Great Britain, has reached the almost incredible
sum of £5,400,000 sterling, or about 125,000,000 per annum.




Tea : and the Tea Trade.

20

commerce, we find that it has become, (at a recent period, and mainly indirectly,
it is true,) in some degree, the interchange o f an article of commerce— opium
— whose effects are widely injurious, thus presenting, to the western nations,
the humiliating contrast, of the gift of what is fraught with the worst of
evils, with that from which flows unmixed good.
Until the taste for this pernicious drug had spread insidiously over the em­
pire, and the traffic in it had largely increased, China was the recipient of
the precious metals from the western nations, in the adjustment o f the bal­
ance o f trade in her favor; but since the expiration o f the East India Com­
pany’s charter, (1834,) the consumption of it has so largely augmented* that,
although the exports o f Chinese produce have also greatly increased, yet the
export o f the precious metals, in adjustment of the balance adverse to China,
has reached the annual sum of about $10,000,000 ; thus inflicting upon
China a two-fold injury, in the demoralization o f her people, and the under­
mining o f her pecuniary resources— whose effects are o f the most grave mo­
ment, as threatening the very integrity of the empire.
A s one o f the impediments in the way of the prosperity of the tea trade,
the consideration o f the influences o f this immense traffic is in no wise a di­
gression ; nor can we, consistently, content ourselves with merely an inciden­
tal allusion to it, although it is no part o f our purpose to discuss the moral
question, for we find it greatly prejudicial to the whole legal trade with
China.)
*
It seriously disturbs the financial affairs o f the country, thus impairing
confidence, and directly depressing the prices of all other articles of importa­
tion, whilst, at the same time, raising those o f export articles.
These are the direct commercial evils, irrespective o f the disturbing politi­
cal questions that it involves.
The legalization o f the trade in the drug would, no doubt, tend to lessen

* The rapid growth and great amount of the opium trade is shown bv the following
figures and dates:— In the year 1767, the import of opium had reached but 1,000
chests; in 1816, it was about 3,200 chests; in 1826, about 9,900 chests; in 1836,
about 26,000 chests; in 1845, about 40,000 chests ; in 1848, considerably more. The
net revenue to the British Indian government had, in 1845-6, already reached the large
sum of £4,^66,536 sterling, or about $23,000,000 !
f A letter o f August last, from a house at Shangliae, speaks directly to the point,
as quoted b elow ; as does the following evidence of George Moffat, Esq., M. P., before
the Select Committee of the House of Commons:— “ The value of opium imported into
China from India, is very little short, I believe, in the last year, (for which there is no
official return,) o f £5,000,000 sterling; for the year 1844, for which there is a return,
the value was £4,800,000 sterling, making the balance of trade very much against the
Chinese ; hence they demand and obtain a very high price for their tea, which the im­
porters into China o f English produce are compelled to take in payment.”
EXTRACT FROM A LETTER OF AUGUST LAST, FROM A HOUSE AT SHANGHAE.

“ W e do not know if the same cause operates quite as much here as at Canton; but
think there is much truth in an article in the ‘ Register,’ (newspaper,) attributing the
small demand for European (foreign) manufactures to the quantity of drug placed
against produce. We expected, here, for instance, a revival of demand, when produce
came freely to market, but were disappointed, and attributed it, at the time, mostly to
this cause. The country cannot take both goods and drug; and thus the question is,
so far as England is concerned, which branch of industry should be encouraged 1
“ The East India Company will never give up the drug; and probably the govern­
ment would not, should the company’s charter not be renewed in 1854. It appears to
us the difficulty must increase with the increasing quantity of the luxury imported.”




Tea : and the Tea Trade.

21

its price, and work some amelioration o f these commercial evils ; nor is it
improbable that the sum of its deleterious effects, morally and physically,
upon the consumers o f it, may be lessened, by thus robbing it of the fascina­
tion o f a forbidden and expensive luxury.
The greatest and most direct discouragement and impediment o f the tea
trade, and one involving a greater wrong to China, considered in a commer­
cial sense alone, remains, however, to be noticed; and is found where those
who confided in Sir Robert Peel’s enunciation o f the free trade policy, made
about fo ir years ago, would not expect, at this day, to find it in the British
T ariff o f Duties. Nor would one who, with a regard to international jus­
tice, and the comity of nations, should refer to the existing treaties between
the two powers, credit the existence, in British law, o f such a “ gross injus­
tice to China,” * as is involved in the unparalleled and oppressive tax exacted
upon the importation o f tea into England.
The enormous sum of the duty annnally collected upon the importation o f
tea, has already been stated ;f and the nature and extent o f the injustice to
China, in thus taxing her great staple, is shown by a comparison o f the tariffs
o f duties of the two countries, that o f England exacting a duty o f 2s. 2| d.
per pound on tea, which exceeds 250 per cent upon the cost of it, whilst that
of China imposes an average duty o f only 5 to 7 per cent upon British
goods ! Nor does the rate o f duty represent the amount o f the imposition,
or o f the enhancement o f the cost to the consumers, for the reason that the
duty forms so large a part o f the cost, that the interest upon the money re­
quired to conduct the business, is a large per centage upon the first cost, and
that the consequent necessity for a large capital enables a few wealthy houses
to retain a virtual monopoly o f the business, after it passes from the hands of
the importers, thus depriving the consumers o f the advantages o f the com­
petition which, in most other articles o f importation, tends to moderate the
prices.
But, as between the British government and the mass o f the consumers,
there is also involved, in the practical working of this law, a grevious injus­
tice, which, as tending directly to lessen the consumption o f the leaf, demands
notice in this article. The duty, it will be observed, is a fixed one, (of 2s.
2-}d. sterling per pound,) upon all classes o f tea alike, so that the consumers
whose means do not admit o f their using the higher cost classes, (but whose
comfort, health, and temperance, depend, in the greatest degree, upon the use
of tea,J) are compelled to pay the government a tax o f 200 to 400 percent,
in the form o f duty, whilst the wealthy consumers pay but 50 to 100 per
cent, on the qualities used by them. The effect o f this inequality in the
levying o f the tax, seeing that it acts upon that class of the population with
whom the question o f price is the most important one, in seriously checking
the consumption, will be obvious.
* The expression used by Sir George Larpent, Bart., before the Select Committee
o f the House of Commons, in 1847.
f It is now £5,400,000 sterling, per annum ; and were not the real necessities of the
treasury known, it would seem that the remarkable capability of expansion which has
characterized this source of revenue, served but to increase the greediness of a minis­
ter careless of the consequences to the comforts of the people, or the trade of the
country, for the writer remembers that when the question of the reduction of the duty
was agitated some years ago, the minister professed himself satisfied with what he then
got from tea, but unwilling to part witii any of that, which was but £3,800,000, or
about $8,000,000 less than n ow !
j; Vide subsequent copies of papers of Mr. Norton, page—




22

Tea : and the Tea Trade.

Indirectly, also, this exorbitant duty has done great harm to the trade, by
engendering speculations, based upon the expectation o f its reduction, at dif­
ferent times; and it is thus that it has been a fruitful source of the vicissitudes
which have marked its course, the past six years especially.
In respect to the whole question o f this excessive duty, it may be said that
a radical reduction o f it to about one shilling per pound, would satisfactorily
adjust it, even though its fixed and uniform character were retained, for so
moderate a uniform tax would tend to a greater assimilation of the qualities
o f the tea imported, and the inequality of it to the consumers would, there­
fore, scarcely form a matter o f complaint.
The necessity for a measure o f this nature, to relieve the trade from its
present depressed state, is forcibly and conclusively shown in the following ex­
tracts from the report of the Select Committee of the House of Commons,
(184V,) and in the extract from the circular of a highly respectable tea bro­
kerage house in England, o f a recent date, also, annexed hereto.
The following are the extracts from the report of the Select Committee, as
above alluded to :—
“ W e must look to tea mainly, and to an increased consumption o f tea, for the
means o f maintaining, still more of extending, a profitable trade with those vast
regions.
“ For such an extended consumption, unless we are content to wait for the slow
progress of an increase dependent solely on the increasing numbers of our pop­
ulation, we can only look to some considerable reduction o f the price; and for
such reduction, now that competion, since the abolition of the monopoly o f the
East India Company, has had its full effect, and that new sources of supply have,
for some time, been opened, we can only look to a reduction o f the duty. On a
first cost, ranging on the qualities in most general demand, from 8d. to 10d., in
the ports o f China, if any reduction can be effected, it might be o f advantage to
the merchant, but would have no important effect upon the selling prices in Eng­
land. It is only through the duty, a duty on the average qualities of about 200
per cent, and on the worst qualities o f above 350 per cent, that any such reduc­
tion to the consumer can be effected, as to stimulate consumption in any sensible
degree; and such a reduction thus becomes essential to a healthy and an extended
trade.
“ That it is desirable in itself, as promoting the increased consumption of a bev­
erage wholesome and agreeable to every class o f our population, and one which
is increasingly desired as a substitute for intoxicating liquors; and that it would be
no more than is due to the Chinese, who tax our products so lightly, while we
burthen theirs so heavily, and with such inconvenience to their trade, your Com­
mittee conceive to be equally clear. In fact, the sole difficulty exists in the effect
which any material reduction, and none other would be o f much value, may be
expected to have upon the resources o f the exchequer.”
Extract from Messrs. Brodribb and Coates’ Tea Circular, o f August 2 2d,
1 8 4 0 :—
“ Tiie stock here, as also in the United Kingdom, is much smaller than at the
same period last year, especially o f black, W’hile prices do not range higher. The
demand has kept pace with that of last year, as will be seen by the annexed ta­
bles. This anomaly cannot be accounted for on the ordinary principles o f demand
and supply, but must be attributed to other causes. By a return brought by the
last mail o f the “ British Trade in China,” it appears that the value o f tea exported
in 1847, was £2,849,577, while in 1848 it was only £1,909,900. W e cannot put
the position o f the trade in a truer light than by placing opposite to these sums
the amount o f duty paid on tea in each o f these years; they are as follows :—




23

Tea : and the Tea Trade.

1847 ........
1848 ........

Value o f tea
exported from
China.

Am ount o f
duty paid on
tea in the
United Kingdom .

£2,849,577
1,909,900

£5,067,042
5,330,537 .

England.

Scotland.

Ireland.

£3,859,720
4,075,777

£494,847
520,453

£712,475
734,307

This is, we believe, the real cause o f the depressed state o f the tea trade. H ow
is it possible, under such a load o f taxation, that the trade can expand ? H ow is
it possible, while such an amount o f additional capital is required to put the tea
into circulation for consumption, that first hand buyers should be otherwise than
very limited in number— that importers should, in consequence, be dependant for the
ready sale o f their cargoes upon only a very few large first class houses— that with
even these houses their first care should be to provide means to meet the impera­
tive demands for duty— that under such circumstances, the free competition which
would otherwise insure to the merchant the highest value for his produce, is not
only destroyed, but the purchasing o f tea from first hands converted into a virtual
monopoly ? The reimbursement o f the merchant’s capital, by payment for his
teas, is, from this cause, made secondary to, and in some measure dependant upon,
the ability o f first advancing money for the duty.”

It will be observed that the expediency, nay, the necessity, o f the material re­
duction of the duty is unreservedly declared by the committee; and it is known
that the sole reasons for the delay have been found in the necessities o f the
treasury, which, since the report was made, has been kept in an unsatisfactory
state, by unforeseen causes ; first, the famine in Ireland, which rendered a loan
necessary ; secondly, by the monetary crises o f 1847 ; thirdly, by the revo­
lutions of 18 48 -9.
As the apprehension o f the recurrence of these causes of embarrassment
is subsiding, and the revenue is recovering itself, whilst the various interests
o f the country are prosperous again, it is reasonable to suppose that this im­
portant change may be proposed during the next session o f Parliament.
It will give an immense impulse to the trade ; and, although in two or three
years, no doubt, the supply will become adjusted to the extent o f the demand,
yet for the succeeding one or two years, a considerable advance above the
current values of teas, generally, will take place. This need not, however,
raise prices above the scale at which they ruled, until a recent period, in this
country.
In striking contrast with these hindrances to the tea trade, on the part of
Great Britain, is the remarkable fact o f the total exemption o f tea from duty
in the United States. This has been the case since 1832 ; and it brings us
to the more immediate consideration of the trade in this country. That it
is far short o f its full practical development here, is apparent to any one who has
observed attentively the system pursued in England, and the means taken to
extend its use ; indeed, it is surprising that the consumption is so much less
than it is in England, after allowing for the difference in the modes o f intro­
ducing its use, considering the general habits and almost universal prosperity
o f our people. It would seem that this is to be attributed, in a great degree,
to the general want o f knowledge o f the preferable modes o f preparing i t ;
to the use o f unsuitable water; or to the abuse of it, by making the infusion
too strong. But there is no doubt that where an actual distaste for the bev­
erage exists, it has chiefly arisen from the introduction of false tea, and of
very inferior qualities o f genuine ; and this has, in part, been forced upon
the importer by the demand in this country for a “ cheap ” article, which, in
effect, means usually a low priced but dear one, for it has not yet become
generally known, here, that economy in tea consists in buying the better
classes— that is to say, the medium, and the higher priced.




24

Tea : and the Tea Trade.

W h en it is considered that a large part o f the cost o f tea is made up of
the transportation and similar charges, with the cost of chests and lead, and
the export duty in China— (about three cents per pound, on all kinds alike)—
(the land and canal carriage in China, hundreds o f miles, and the freight and
similar charges from China)— which from their nature, are made proportionate
to bulk and weight, it will be perceived that a tea costing sixty cents per
pound, incurs no more, on the pQund, for these charges, than a tea costing but
thirty cents ; and that whilst these charges, assumed at ten cents per pound,
make up one-third the cost o f the last named, they amount to but one-sixth
the cost o f the sixty cent tea— thus leaving, in genuine intrinsic value, fivesixths of the cost in the latter, and showing that thirty cents invested in h alf
a pound o f the better tea, would leave twenty-five cents’ value in tea, whilst
in the lower quality the same outlay would leave but twenty cents’ value o f
tea / and it is only necessary to extend this calculation to a family’s annual
supply to show how material is the pecuniary saving, which, however, is not
so important as the avoidance o f what may be injurious to health, in the spu­
rious or low qualities.
That a more extended use o f tea should he encouraged, as conducive to
temperance and to the social comforts o f the people, has long been the opinion
o f a majority o f their representatives in Congress, and has always proved
the prevailing argument in favor o f its continued exemption from duty.
That the taste for it may be greatly diffused by judicious management on
the part o f the dealers, in the western and southern portions o f the country
especially, where the inferior qualities have been largely sent, there can be no
doubt on the minds o f those who have witnessed its extended use and bene­
ficial effects in England and China.
It has been well said by Dr. Williams, in his work upon China,* that
“ wherever it has been denounced, the opposition may usually be traced to
the use of a simulated preparation.” A nd he remarks that “ in Europe its
progress has been well compared to that o f truth.”
“ Suspected at first, though very palatable to those who had the courage
to taste it, resisted as it encroached; abused as its popularity seemed to
spread ; and establishing its triumph at last, in cheering the whole land,
fr o m the palace to the cottage, only by the slow and resistless effects e f time
and its own virtues.”
The predilection o f the great Dr. Johnson for tea, is well known ; and the
numerous medical, and other authorities, in favor o f it, need not be quoted
here, for beyond all these is the practical eviednce of its appreciation, in the
constant increase o f the consumption in England, where the modes o f pre­
paring it are most regarded, notwithstanding the enormous tax it bears. O f
its first use in England, Mr. Montgomery Martin says :— “ In 1662, Charles
II. married the Princess Catherine o f Portugal, who, it is said, was fond o f
tea, having been accustomed to it in her own country; hence it became fash­
ionable in England. Waller, in a birth-day ode to her Majesty, ascribes the
introduction of the herbf to the Queen, in the following lines :—
“ ‘ The best of Queens and best of herbs we owe
To that bold nation, who the way did show
To that fair region where the sun doth rise,
Whose rich productions we so justly prize.’

* The “ Middle Kingdom.’




f Shrub.

T ea : and the Tea Trade.

25

“ The same poet attributes an inspiring power to the Chinese le a f:—
“ 1The muses’ friend, tea, does our fancy aid,
Repress those vapors which the head invade.’ ”
The appreciation in which it has long been held in China by the people,
is shown by the writings o f many native authors, some extracts o f transla­
tions from which (published in the Chinese Repository, o f January last) are
here given, including directions for the preparation o f tea. The observance
o f the last in using tea (the writer has many years’ experience in China for
declaring) will tend greatly to extend a predilection for the beverage; and
the enjoyment derived will be proportionate to the heed bestowed upon this
point.
“ Whenever the tea is to be infused for use,” says Tung-po, “ take water from
a running stream, and boil it over a lively fire. It is an old custom to use run­
ning water boiled over a lively fire; that from springs in the hills is said to be
the best, and river water the next, while well water is the worst. A lively fire is
a clear and bright charcoal fire.
“ When making an infusion, do not boil the water too hastily ; at first it begins
to sparkle like 1crabs’ eyes; then somewhat like ‘ fishes’ eyes,’ and lastly, it boils up
like pearls innumerable, springing and waving about. This is the way to boil the
water, which without a lively fire cannot possibly be done well.
“ Tea is o f a cooling nature, and if drank too freely, will produce exhaustion and
lassitude; country people before drinking it, add ginger and salt to counteract
this cooling property. It is an exceedingly useful plant; cultivate it, and the
benefit will be widely spread ; drink it, and the animal spirits are lively and clear.
The chief rulers, dukes and nobility, esteem it ;— the lower people, the poor and
beggarly, will not be destitute of it;— all will be able daily to use it and like it.”
Another authority says:— “ By drinking the genuine tea, people require less
sleep,” which is really the case; but as the tea is good and efficacious, so like­
wise is the tea dust to drink, but the leaves should not be boiled.
Another author says:—“ That drinking it tends to clear away all impurities,
drives oft' drowsiness, and removes or prevents head-ache, and is universally in
high esteem.”
It will be seen that spring or river water is preferable to well w ater; and
it may be added that water with any impregnation of limestone is unsuitable.
In China, an earthen vessel for heating the water, and a tea-pot o f Chinaware are both considered indispensable.
The mode suggested by M. Soyer, of the Reform Club, London, as given
below, is no doubt worthy o f adoption, with special care that the water is
really b oilin g; and to have the tea in perfection, the first infusion, only,
should be used. If, therefore, sufficient drink has not been obtained from the
first filling o f the tea-pot, it should be cleansed, and fresh leaves put in, with
boiling water again ; and thus the tea-pot should always be cleansed after use.
H OW TO MAKE A GOOD CTJP OP TE A .

M. Soyer recommends that, before pouring in any water, the teapot, with the
tea in it, shall be placed in the oven till hot, or heated by means o f a spirit lamp,
or in front o f the fire (not too close, o f course,) and the pot then filled with boil­
ing water. The result, he says, will be, in about aminnte, amost delicious cup of
tea much superior to that drawn in the ordinary way.
To revert to the question o f duty in this country, it is pretty certain that
no one will propose so unpopular a measure, so long as the wants o f the
treasury can be supplied from sources less objectionable. Neither tea or
coffee are grown within the limits o f the United States, so that a duty upon




26

The Condition and Prospects o f Am erican

them would appear like a direct tax upon the consumers, without a compen­
sating benefit to any interest in the country ; and as a check to the consump­
tion of tea here tends to check the demand for our cotton manufactures in
China, where those have to come in competition with the product o f the
cheaper labor of England, it would seem to be impolitic to impose a duty
upon the leaf, so long as other sources, which do not reach the prosperity of
the country, or the social comforts of the people, exist.
There are, also, national considerations o f the greatest importance involved
in this question o f duty, for it is undeniable that the exemption o f the great
staple of China from all imposts gives us, as a nation, a just advantageground in any negotiations with the Chinese government. The value o f this
position can be estimated by those who have marked the almost marvelous
progress westward, and toward China, made by this country the past year,
and who can appreciate the advantages which are to be derived from the ex­
tension o f our territories, in closer proximity to that empire. Nor will such
fail to recognize and admire the sagacity of those to whose enlightened en­
terprise we are indebted, at this early period in the history of our newly-ac­
quired territories, for that efficient and admirable link in the chain (already
so golden an one) which at present binds our distant portions together so
firmly. W e need hardly say that we allude to the Pacific line o f steamers
from Panama to California, established by Messrs. Howland & Aspinwall, and
their associates, which has served so materially to develope and render acces­
sible the wonderful resources o f that region, whose treasures had lain undis­
turbed, if not unknown, until about a twelvemonth a g o ; and which is so
important as a pioneer line, and connecting link in that chain formed by mu­
tual interests, which is destined to draw more closely the oldest o f Empires
and the New W orld.
Having, in the foregoing, presented the subject of the tea trade as a whole,
and in its several aspects, considered historically, politically, commercially,
economically, and socially, with reference, especially, to the producing coun­
try, and the two principal consuming countries, we shall, in a future number
o f this Magazine, proceed to exhibit its statistical progress and present posi­
tion in all the more considerable consuming countries, and in China, accom­
panied by remarks upon the results shown thereby.

Art. II.— THE CONDITION AND PROSPECTS OF AMERICAN COTTON
MANUFACTURES IN 1849.
Iu the last number of this Magazine, we endeavored to point out some er­
rors which we believed were calculated to do harm, in an article in the N o­
vember number, under the title of “ Production and Manufacture of Cotton,
with reference to its Manufacture in the Cotton-Growing States, by General
Charles T. James, civil engineer, o f Rhode Island.” In doing so, we stated:—
That the increase o f machinery for manufacturing cotton, has outrun the
production of the raw material. This is made evident by the amount taken
by the manufacturers during the last five years, and the amount of the crop
for the same years, showing an excess of consumption of 616,000 bales. Also
by the present high price of cotton, which is not caused by speculation




Cotton M anufactures in 1849.

27

merely, but is based upon the fact stated above; also by the present low price
o f goods, o f which some kinds, especially those of which the cotton comprises a
great part o f the value, cannot be sold at the cost.
W e endeavored to show that the profits o f manufacturing in this country
have not been as large as they have been represented, and we have given a
table of the dividends, for eleven years, o f 26 manufacturing establishments
in New England, o f the first class, with capitals amounting to $24,925,000.
W e gave some reasons why the cotton planters are not in a condition at
the present time, to establish manufactures on so extensive a scale as is re­
commended.
In what follows we wish to give some more facts, which will go to confirm
the conclusions already reached, and to show the unsoundness of the views
o f those who would artificially stimulate the business o f manufacturing, even
in districts wholly unsuited for it.
For the sake of making a fair exhibition o f the results o f manufacturing,
under the most favorable circumstances, we selected for the table referred to,
only mills o f the first class ; that is, those with ample capitals, good water­
power, good machinery and buildings, responsible and skilful agents, and all
the appliances for pursuing the business in the best manner. W e believe
there is no part o f this country where the same fabrics have been manufac­
tured with as good success, or will be for some time to come. In fact we can­
not expect that the same mills will again produce results at all equal to these
for so long a period. The steam-mills we have omitted altogether, as we con­
sider them to have a radical defect, which does not allow them to be
placed in the list o f the “ first class.” Their success here, even under the
most favorable circumstances, has been, on the whole, bad, as we shall show
hereafter. B y calculating the rate o f dividends paid to the proprietors o f
these first class mills, from the profits made duriug these eleven years, we
shall find it to average
per cent per annum. The dividends of the
Laconia Company have been 11 per cent since 1846, instead o f 6
per cent, as stated in the table. But if the losses in bad years, and the
loss which would result from a sale of the shares at the present prices were
to be deducted from the dividends, this average rate would be considerably
reduced. W ou ld the cotton planters be satisfied with the same interest* on
their investment, and assume the same risk to obtain it ?f
* If any one will examine the statements in a work published in 1844, called “ Notes
on Political Economy, as applicable to the United States; by a Southern Planter,” he
will be satisfied that the profits of growing cotton are anything but small; and that
when the planter attends to his own crop, and manages his business with his own cap­
ital, the income from his investment has been more liberal than from any principal
branch of business in the manufacturing States.
f If, owing to civil convulsions, to war, to foreign competition, or any other cause,
the business of manufacturing should cease to be profitable, the value of the cotton
mills would soon be entirely lo s t; in fact, a stoppage of three years would be as dis­
astrous as a loss of one-half of it. Neither could any sale be made of this species of
property, or any benefit whatever derived from it.
We see, now, at the present time, when no uncommon embarrassment exists, the
market value of the shares in some of the best manufacturing establishments, with
handsome reserves, is from 15 to 20 per cent below the par. On the other hand, the
cotton planter, in case his present business is broken up, may raise other products. He
will have his laud, which an intermission o f crops will improve, rather than injure;
and though it probably would not be so valuable to sell, it would possess all its capa­
bility to produce, and he and his family might live upon it, and be well supported.




28

The Condition and Prospects o f Am erican

If it would add any force to our argument, beyond that of the facts already
given, we would make a list o f establishments commenced upon estimates
made by one set o f proprietors and completed by others, with a total loss of
the first outlay ; o f individuals and corporations ruined by changing from fa­
brics found to be unprofitable to others which became not less s o ; o f others
whose capital has been lost by locating on imperfect water-power, creating
the necessity o f abandoning their works for other uses, or o f calling in requi­
sition the aid o f steam, always an expensive remedy, and, in some localities,
disastrous; of others, (and this includes a large class,) who have undertaken
more than, under a money pressure, they could carry on, and who have broken
down from inability to meet their engagements, even with a great amount of
property in their hands.
It would hardly be too much to say that all the country mills in New Eng­
land, which have been built fifteen years, have wholly or partially failed. There
are exceptions, but they are only exceptions to the general truth. Some of
those which are now ranked among the first class, were a total loss to the
original proprietors. Even during the last ten years, which have been gene­
rally so prosperous for the manufacturers, how many mills have changed
hands from the necessities of the owner 1*
The following list shows the dividends of the largest establishments in
New Hampshire for a series o f years up to the first o f January, 1849 :— f
Nashua Company...........................................
Jackson Company...........................................
Stark Company................................................
Merrimack Mills...............................................
Cocheco Company............................................
Great Falls Company......................................
Exeter Company..............................................
Salmon Falls Company..................................
New Market Company...............................
Portsmouth Steam Mills..............................
Columbian Company.....................................
Pittsfield Company.........................................
Portsmouth Company, South Berwick........

Capital.
$1,000,000
480,000
1,250,000
1,200,000
1,300,000
1,500,000
162,000
1,000,000
600,000

Years. Dividends.
85 per cent.
10
120
10
8
13

180,000
150,000
183,000

21
133
2 di vid’s in 13 y’rs.
40 per cent.
15

“

2*
10
9
10
4
10

2*

40
90
55
41
44

“

M

Total....................................................

The average dividend, (calling the Pittsfield 20 per cent,) is less than
6/ jV Per cent P31' annum. If the difference between the cost o f the stocks
and their present market value be taken from the amount o f the dividends,
(which will produce the only true result,) the rate will be less than 5 per
cent per annum.
* While the Merrimack Company, for example, has been making large dividends
from making printed calicoes, and the Cocheco Company has made good earnings by
the same business, the large and long-established works of the Messrs. Robeson, at
Fall River, have been stopped by the ill success and failure of the energetic and lib­
eral proprietors. The same has happened to the large works at North Adams, Massa­
chusetts, at Providence, and some other places in Rhode Island, and in the vicinity of
New York and Philadelphia.
f This does not include the Amoskeag Company, of $2,500,000 capital, which is not
exclusively a manufacturing company, but derives its profits, in a great measure, from
sales of land and water-power. This list includes some of the companies given in the
previous number, among those of the “ first class,” and as it was made out at a different
time, and not by the same person it differs from that slightly, but not in any material
point.




Cotton M anufactures in 1849.

29

This is a faithful exhibition of the results o f manufacturing, taking the
good and the bad together. These mills are chiefly owned in Massachusetts,
and are carried on in the same manner as the Lowell mills and others within
the State. A list o f Massachusetts mills taken indiscriminately for the same
period, would show a result very similar.
Y et manufactures have been a source o f great wealth to New Hampshire, and
to New England. The monthly pay rolls of these New Hampshire compa­
nies amount to 5187,757, or $2,013,084 per annum,* a great part o f which
is sent home by the workmen and women, a part is deposited in the savings
banks, and the rest is expended for dress and luxuries. The same benefits
to the working class will be derived, in whatever part o f our country factories
are established, under circumstances which allow o f their being kept in ope­
ration.
The merits o f steam as a motive-power have often been discussed, and
many estimates have been made o f its advantages even over water-power.
This question we do not purpose to disturb; but we will give some facts which
may be o f service to those who are making plans for going into the business
o f building mills.
In the article in the November number, to which wo have before referred,
a statement is made, in detail, o f the last year’s business o f a mill with
10,000 spindles, which resulted in a profit o f $89,000, on a capital of
$250,000. There is an error in addition of $10,000, which would leave by these
figures a profit o f $79,000, or more than 31 per cent for the year 1848.
This, we are told, was from a steam-mill, and it is so different from the re­
sult o f the best water-mills, that one unacquainted with the subject might
infer that the dift'erenco arises from the power used. Perhaps the northern
steam-mills are not a fair criterion by which to judge o f the profits of steammills in other parts of the country, though the writer informs us that “ they
are driven at as great a profit, to say the least, as the water-mills.”
The most celebrated in New England are those in Portsmouth, New Hamp­
shire, Newburyport, and Salem, Massachusetts, most o f them built under the
superintendance of General James, the writer o f the article to which we allude.
The Portsmouth mill was erected in 1845-6, after a course o f lectures deV livered in that town by General Jame3. By a reference to these lectures,
which were printed, it will be seen at a glance that the estimates and calcu­
lations have been wholly disregarded by the results. The public spirited
stockholders have waited patiently for dividends, but have not, as yet, been
gratified, and the price o f the shares has continued to sink, until they cannot
now be sold for more than the interest which has been lost upon them.f
The “ James S t e a m - M i l l , a t Newburyport, is sometimes held up as a
model for all steam-mills. It has 17,000 spindles, and manufactures fine
shirtings. It was put in operation in 1843, just before a period o f as great
* The dividends o f the New Market Company, for example, have amounted to 44
per cent, for ten years, which, on the present capital, would be less than $300,000,
while the pay roll for the same period, has been $1,014,840.
■j Within the past year, the directors have obtained the services of Mr. Samuel
Batchelder, formerly the agent of the York Company, at Saco; and under his manage­
ment it is hoped that this company will reap the reward which every one wishes to at­
tend the efforts made in establishing a new branch of manufacture.
I The statements here made, in regard to the Newburyport Mills, are given by Mr.
Samuel Frothingham, who has been acquainted with their history from the commence­
ment, and has been the Boston agent of the Bartlett Mills, since they were started.




30

The Condition and Prospects o f Am erican

prosperity as manufacturers had ever seen in this country. The dividends
have been as follows :— 3, 4, 5, 7, 6, 3, per cent, or -8 per cent in rather less
than 6 years, or about 5 per cent per annum.
To show the uncertainty with which estimates o f the cost o f mills should
be received, we will mention that this was at first designed for 6,000 spindles,
and was to have cost $65,000. The first subscription was for $75,000, which
would have left but a small cash capital; but it was supposed that with a
good run o f business it would answer the purpose. W h en the mill was
completed it was found to have cost $100,000, and the stockholders were
called upon for an additional subscription. Afterwards a plan was intro­
duced for increasing the machinery to 11,000 spindles, which were to make
the whole cost $189,000. But when the whole was completed the cost was
found to be over $250,000, and the stockholders were again called on for
subscriptions. W e do not know what the cost has been up to this time.
It would be difficult to guess at what price $10,000 of the stock could be
so ld ; certainly not near the par value.
Another mill, called the “ Globe,” in the same town, has been erected un­
der the same supervision as the “ James.” It has 12,200 spindles, for the
manufacture o f number 14 drillings. This was put in operation in 1846, and
has made no dividends, but a loss.'* This mill was planned for 10,000 spin­
dles, and was estimated to cost $200,000, hut when complete it contained
12,200 spindles, and had cost $348,797 TVo- Here again the stockholders
were forced to make a new subscription, which they did, at the rate of $400
a share, instead o f $500, the price of the first. The present value o f the shares
is not more than $180, and we think they cannot be sold at that price.
But the last, the largest, and the most expensive o f the steam-mills i
New England, is the Naumkeag, at Salem. This has 24,000 spindles, and
cost, with the appurtenances, $680,000. This expenditure is very wide for
first estimate, and has consumed the whole capital, requiring a new sub­
scription. The mill is a very fine one ; it has been in operation two years,
but has not paid simple interest on the investment. N o considerable amount
o f the stock can be sold in the market without submitting to a reduction
equal to all the dividends yet made. It is in the hands of able and wealthy
men, who will bring out its full capacity.
These three mills as here desribed, are the last built, and are said to be the
finest steam-mills in the United States.f They have all been built under the
superintendance o f the writer, who now informs the southern planters, as
an argument for building mills to manufacture their own cotton, and who are
not within reach o f water-power, that “ it would be better to pay for steampower contiguous to navigable waters, than to have water-power gratis
taxed with twenty miles transportation.” ^
* The selling agents are Messrs. Read and Chadwick, one of the best commission
houses in Massachusetts. W e mention this to show that the bad success of the mill
cannot be attributed to bad management of the goods, but must be traced to the m ill
itself.
f The Bartlett Mills, at Newburyport, were built before either of these, and have
been more successful, though they cost $334,000, instead o f $265,000, which is the
estimate.
\ All the mills in our list of “ first class,” given in the last number, are more than
twenty miles inland; some are more than fifty miles— while the steam mills at New­
buryport and Salem are in sea-port towns, with good harbors, affording every facility




Cotton M anufactures in 1849.

31

If it were possible to find a locality where mills driven by water-power
and by steam-power are running together side by side, with the latter un­
der the greatest advantages for cheapness of fuel and labor, we should know
by the value of water-power in that neighborhood, which of the two is most
appreciated. If the steam-power is really better than the water, then the
water-power would cease to be used, and steam would take its place ; for
who, merely for the sake of having his machinery turned by water, would
incur a daily and hourly expense which he could as well avoid. There are
several places in this country where the two powers are used, and even in
the same establishment ;* but we do not know of any where the steampower is applied under the greatest possible advantages, that is, in the vici­
nity of a coal region, where fuel is at its lowest price, and where the raw
material and the labor are not higher than the average rate. This fact may,
in some measure, account for the low estimation in which steam-power is
held in places where water can be h a d ; besides, we have not yet, by a long
series of years, had an opportunity to test the relative value o f each.
But fortunately there are places in Europe where the two are used to­
gether ; there are many in Great Britain, where the steam engine had its
birth, and where it has been brought nearest to perfection ; where coal, too
is in abundance, almost at the cost o f transportation merely ; and where the
two powers have been tested ever since the steam-engine was invented.
If, then, we can find a neighborhood, where, under all the favorable cir­
cumstances here named for making a comparison, a rate of value for each
is established, we may take it as a criterion of value for all the rest. Taking
then, for example, the vicinity o f Manchester, where, for a long period, water
was the only power used, do we find that since the introduction of steam it
has lost its value 2 So far from true is it, that the water rents were never
so high as at present; much higher than when steam was first introduced ;
higher than in any part o f this country, and twice as high as at Lowell,
Lawrence, Amoskeag, Saco, Hadley, and other places in New England.
The following letter is from a gentleman who holds a high place in the
estimation of the successful manufacturers in Massachusetts, (and to whose
success few have contributed more,) who, by his long experience in applying
the moving power to machinery, as well as by a recent visit to the manufacfor freight. Coal, which is the chief article to be considered in saving freight for a
steam mill, has been delivered at these wharves as cheap ($5 to $6 a ton) as it is said
to have cost the two nameless mills, which are given in the November article as exam­
ples of the great success of manufacturing by steam at the North, and which earned
from 30 to 40 per cent, during the last year, “ and made more money, in proportion to
their number of spindles, than any two in the North driven by water.” (This is true ;
but it might be added that they earned more than any five other mills driven by
steam; and we are the more curious to know where these two wonderful mills are sit­
uated.) Certainly our friend, the General, will not refuse to inform us what mills these
are, and under whose management such results have been achieved.
* The Cocheco Company, at Dover, New Hampshire, have four mills, one of which,
containing 1,200 spindles, is driven by steam during a part of the year. The expense
o f running this mill, including fuel, labor on the steam-engine, repairs of engine, oil,
and interest, has been 845 a day, or at the rate of $13,500 a year. But as it is seldom
driven by steam more than six months in the year, the actual expense is only $6,250—
more than is required to run the same amount of machinery in the other mills. This
is but four years old, and has an expensive engine, and is a first-rate mill, with the ex­
ception o f the steam. It would have been cheaper for the company to have purchased
the additional water-power required, at an expense of $75,000.




32

The Condition and Prospects o f Am erican

hiring districts of England and Scotland, is as well informed on this subject
as any one in this country. It shows the exact value of water power in the
center o f a large manufacturing district, where steam is used under the
greatest advantages.
L o w e l l , November, 24, 1849.
D e a r S ir :— In July last I visited Greenock, in Scotland, and the water­

power, called the Shaw’s W ater W orks, being to me one o f the most interesting
things in the town. I called on Mr. Morrison, the superintendent, who very po­
litely communicated to me the following information, o f which I took notes at
the time.
The water is collected from various sources in an artificial reservoir, situated
about six miles from Greenock, called Loch Thorn, after the engineer w ho pro­
posed the scheme. The quantity o f water to be relied upon for regular use, is
esitimated at 1,200 cubic feet per minute, the use being limited to twelve hours
per day, and 310 days per annum. The total fall is 512 feet. The power is
used for various purposes, and is leased at prices depending on the situation o f
the privilege. The sites near the upper parts o f the fall are difficult o f access;
some o f these are leased at £ 1 10s. per horse-power per annum. The water
company do not furnish the mill site, or, in fact, any land; this is leased by the
mill owners from other parties, at the rate o f about £ 1 2 per Scots acre per
annum.
The lower falls are in the business part o f the town, and are leased at £ 4 10s.
per horse-power per annum ; the rent o f land at the lower falls I did not learn,
it must be much greater, however, than at the upper falls. The cost o f coal at
the mills, on the lower falls, Mr. Morrison stated to be six shillings sterling per
ton.
The horse-power o f the different falls is determined from the total power o f
the water, reckoning 44,000 lbs. one foot per minute, equal to one horse-power.
T o compare this with the price o f water-power at Lowell, I will take the last
sale o f warranted water-power. This was in 1839, when the Massachusetts
cotton mills, chartered in that year, purchased nine mill powers, on the lower
fall, and about 400,000 square feet o f land.
They paid in cash at the time o f the purchase, $84,024, which, at six per cent
interest, represents an annual rent o f $5,041 44. They also stipulated to pay in
addition to the above, an annual rent o f $2,700, making a total o f $7,741 44,
which may be taken as the annual rent paid by the Massachusetts cotton mills,
for their water-power, and the necessary quantity o f land on which to erect their
mills. B y the terms o f the lease, each mill power is declared to be 45-J- cubic
feet o f water per second, on a 17 feet fall. Consequently, by the Greenock
mode o f computation, the nine mill-powers are equal to 592 horse-power.
Taking Greenock rates, 592 horse-power at £4 10............................................
7J- Scots acres of land at £12...................................

£2,664
87

Annual rent of power........................................

£2,751

A t $ 4 84 to the pound sterling, this is equal to $13,314 84 per annum, or 72
per cent greater than the actual rates paid at Lowell. Taking into account that
coal in any part o f Massachusetts costs at least three times as much as at
Greenock, it will be readily seen that the cost o f steam-power in Massachusetts,
is enormously greater than the actual rates paid at Low ell for water-power.
Yours very respectfully,
JAMES B. FRANCIS.

In the last number we gave the market price o f the shares in the princi­
pal manufacturing corporations, as it has been during the past year, and as it
is now.* By that it will be seen that very few of them are worth the par
* Within the last month sales have been made of some of these stocks at auction,
as well as at the brokers’ board, in Boston, and by ineividuals, at prices lower than the




Cotton M anufactures in 1849.

33

value, and that the greater proportion are at a discount o f from 10 to 30
per cent, and a few even lower than thi£. Some o f these establishments
have large reserved funds accumulated b y many years of successful business,
all have some reserve, which is absolutely necessary for renewing the ma­
chinery and buildings, and to secure improvements required by the improve­
ment made every year in the process o f manufacturing. The machinery o f
most o f them is kept in perfect order, and the shares are generally more val­
uable than when first created, since new mills must have sufficient success to
lay aside the same contingent funds, before they can venture to divide their
profits.* This depreciation occurs, too, when there is no unusual fear of in­
vestments in manufacturing, and at a time of depression not as great as has
occurred several times before. Does not this strengthen the assertion which
we have made, that the business o f manufacturing cotton, here and else­
where, has been pushed beyond the limits of the present demand for goods,
and beyond the supply of cotton. W ere there no other proof, would not
this be enough to assure us that the profits of manufacturing are now small,
and have been so for some time past, and must continue so until there is a
change in the course of trade. How can we otherwise account for the un­
willingness o f capitalists to buy the shares at the present low rates.
If it is true that there is a plenty o f capital at the South ready for invest­
ment, would it not be far more profitable for the holders o f it to send it to
the North, and purchase the best stocks, which will be the first to feel a re­
turn o f prosperity, rather than to build new mills, to be driven by steam, or
even by water-power.
Some idea o f the competition in manufacturing, and its consequences, and
o f the necessity for those engaged in it to use the greatest vigilance and ac­
tivity to keep up with the constant improvements which are made, may be
formed by reviewing the prices of any o f the staple goods ten or twenty
years ago, and at the present time. In 1828 Amoskeag tickings were sold
at 271 cents and 23 cents a yard ; the same as are now sold at 11 and 9J
cents. Merrimac prints fell from 17 cents, in 1837, to 9.28 in 1849. Cocheco prints, in 1837, were 14T'T4T cents, and now 8 T9/ 5. Printing cloths
which in 1835, were sold at 10 cents, are now at 5 to 6 cents. The Indian Head,
Tremont, and other staple sheetings o f N o. 14 yarn, which, in 1832, were
sold at 10 cents, are now at 6^ to 7 cents. The prices o f Newmarket cot­
tons in 1837 were 12, 13, and 111 cents ; they are now 7-^, 61, and 6 cents.
The Boott and Suffolk drillings in 1836 were sold at 14 cents, and now at 7
cents. Neither has this reduction been sudden,f but has gone on steadily to
the present time.
quotations of Messrs. Head and Perkins ; which indicates that others equally as good
would meet with a similar reduction, if forced into market. Chicopee, for instance,
sold for $505, Perkins at §670, and Cabot at $760, for $1,000.
* Take, for example, the Hamilton Company, at Lowell, which has a very large re­
serve, of nearly $200,000. The dividends, for the last five years, have been 44 per
cent, and the shares can be bought at 80 per cent. The Boott Company has a large
contingent fund, also, and the dividends of the last five years have been 48 per cent;
the shares cannot be sold higher than $900 for $1,000. The Chickopee, with $36,000
reserve, and of which the dividends, for the last five years, have been 30 per cent, has
lately been sold, as above, at about 50 per cent of the cost.
f The argument that protective duties on goods tends to raise the price, loses its
force, when we look at these results. The rise in price, may be for a few months, but
the reduction caused by competition is a perpetual benefit to the consumer. W e have
no fear now, o f foreign competition in the heavy goods, and we care little what the
V O L . X X I I . --- N O . I .




3

34

Condition and Prospects o f Am erican Cotton M anufactures.

Cotton was formerly much higher than now, but the reduction in the
price o f it has not been at all equal to that o f the goods. The following ta­
ble indicates the price of cotton to the manufacturer, for the last fifteen years;
and also the cost o f the cloth per pound during the same time. It embraces
two qualities o f cotton, tis well as o f cloth.*
Year.

1835....................... ..............
1836....................... .............
1837....................... .............
1838....................... .............
1839....................... .............
1840........................
1841.....................................
1842.....................................
1843.....................................
1844......................... ...........
1845......................... ...........
1846......................... ...........
1847......................... ...........
1848......................... ...........
1849......................... ...........

Fine cotton.

20. 5
21. 6
19. 8
13.28
16. 5
12. 5
11.
8.
9. 5
7.25
8.12
10. 4
9.34
8. to I l f

Coarse.

Fine cloth.

18.36
19.36
17.44
11.55
14.53
9.7810.58
9. 2
6.88
8.71
6.03
7.61
10. 4
8.
7 to 11 6 mos.

35.39
43. 9
43.86
36.19
34.08
33.33
29.55
28.21
25.52
21.48
22.49
22.37
21.69
23.62
20.36 6 mos.

Coarse.

28.12
29.22
26.92
19.67
23.66
18.12
18.31
16.96
13.57
14.91
12.43
15.42
18.26
15.12
14.65

Showing that the reduction in the price o f cotton has been 10 and 9 cents,
/ while in the cost o f cloth it has been 15.03, and 13.47 cents a pound, (or
rather less, if carried out for the whole o f 1849).f
Labor, too, is much higher than formerly, especially that o f females, and
so far adds to the cost;\ so are the articles o f oil, starch, and some others used
upon the machinery, and in the processes. The improvement in machinery,
and the constant effort to produce at a cheaper rate, are the chief causes of
this great change in value. W e can hardly imagine that this cheapening
process can go on much farther, and yet it has appeared as improbable for
several years past as it does now.
Neither will this competition become less. The great number o f mills
imposes the necessity upon the managers to watch every improvement, and
to spare no pains and no expense to secure it. A new invention, or a new
process by which a saving can be made, is no sooner adopted by one, than
others are forced to follow. Besides this, as long as a fair interest can be
rate of duty may be. But some new fabrics, such as lawns, ginghams, and also cali­
coes, and some others, require protective duties for some time longer. The mixed
goods (cotton and wool) all require some protection, and all woolen goods, unless the
duty should be taken off the raw material.
* This was made up from the books of the Lawrence Company.
f Cotton is no lower, at the present time, (Dec. 1, 1849,) than it was in the years
1823, 1826, 1827, 1828, 1829, 1830, 1831, 1832, 1833, 1838, 1840, 1841, 1842, 1843,
1844, 1845, 1846, 1847, 1848, and is much higher than during some of these years.
^ In 1814, and to 1818, a woman’s labor, for one week, would enable her to buy but
one yard of ticking. Now it will buy 23 yards. Then she earned 2 yards of sheeting
with a week’s work ; now, 35 yards. Then, 2£ yards of calico; now, 30 yards. Then,
aj- yards of shirting; now, 39 yards. Women’s wages have risen nearly, or quite,
threefold, and men's have doubled. Then we imported all the woolen cloth used, ex­
cept what was made on hand looms ; now we export many articles. To some coun­
tries we export the very goods which we once received from them. The export of
cotton goods has steadily increased, from $2,898,750, in 1844, to $5,718,205, in 1848 ;
and the increase is greater than appears by this valuation, since the price of goods was
much lower in 1848, and a larger quantity was required to reach the same value. The
export o f this year will probably be larger than ever.




The M ortality o f B a ltim ore: w ith R eference, etc.

35

obtained, or whenever there is a prospect o f doing a profitable business, no
opportunity will be lost to get up new establishments, upon the great water
powers, created with such a vast outlay. The great dam just made at Had­
ley, Massachusetts, and the other preparations for a great manufacturing city,
will yield no income, unless the water which it affords can be sold or leased ;
and the proprietors themselves will be the first to embark in new enterprises.
The same is true o f Lawrence, of Amoskeag, Saco, and many other places of
less note. The unoccupied water-power, situated or owned in Massachusetts
alone, is enough to drive all the cotton machinery now running in the United
States, out o f Massachusetts.
Though the benefits o f manufacturing have been so great to Hew Eng­
land, they have, for the most part, but indirectly reached the proprietors.
H ow great the increase of wealth would have been, had it not been under­
taken, cannot now be known : but we think the result would not have been
so very different as is sometimes supposed. The people are industrious and
enterprising : and the result o f thirty years o f general industry is a great in­
crease in the comforts o f living and in wealth ; it is very much the same as it
would be with an individual.* The same industry and well-directed enterprise
will produce the same results in the Southern States. The erection o f steam
mills will not do it, nor any other mills built with borrowed capital. Skill,
industry, perseverance, and capital must be u nited; and when they do exist
together, success will follow at the South as well as at the North.
“ Expec'tes et sustineas necesse est; nam tita
Quod solvat non habet area Jo vis.”

Art. III.— T H E M O R T A L I T Y OF B A L T I M O R E :
W IT H

REFERENCE

TO THE

P R IN C IP L E S

O F L IF E

IN S U R A N C E .

T h e contributions that have been made to vital statistics in the United
States, have been exceedingly meagre and unsatisfactory. Our Life Insu­
rance companies are altogether dependent on the experience o f other coun­
tries. W hether our mortality exceeds that o f Carlisle, or even that of North­
ampton, is not, by any means, a settled question. The bills o f mortality
published for all our cities, give the ratio of the deaths to the whole popula­
tion ; but this is not enough to enable us to institute a comparison between
the mortality here and elsewhere. Although 1 in 42 die annually in Philadeljihia, and 1 in 46 in England, the probabilities o f living in the former
place may be greater than in the latter. Our population is increasing ra­
pidly— theirs slowly. The children here are more numerous than there, and
as the mortality in infancy is very large, this may produce so great an effect
as to make the probability of living, at every period of life, as great at Phila­
delphia as in England. On the other hand, we are receiving a large number
o f immigrants, who are in the prime o f life, when the vital energies are strong,

* The other manufacturers, in proportion to their magnitude, have not added less to
the wealth of the whole of the people ; neither are they in any respect less important.
The woolen manufacture, and the boot and shoe manufacture are each nearly, or quite,
equal to that of cotton in New England.




36

The M ortality o f B altim ore: with Reference

so as to resist the attacks o f disease, and recover from the injuries inflicted by
accident or violence. W e have but few who have reached old age, when
the vital powers are feeble. For both these reasons, the ratio o f the deaths
to the whole population must be small. Now, whether these conflicting
causes neutralize each other, or if not, how far one overbalances the other, it
will be difficult or impossible for any one to say. W e may thus see that
our bills o f mortality do not furnish any accurate comparison between our
mortality and that o f other countries.
O f as little service are they to the Insurance offices. It is their wish to
know what are the chances o f living, at every period o f life, from youth to
old age. The premiums they charge for insuring an individual at 30, for his
whole life, depend on the probabilities o f life at 30, 40, 50, and even up to
100. Their rates o f insurance for a single year, depend on the probabilities
of life for a single year ; but when they insure for life, they must know the
chances o f dying at every subsequent age. Our bills of mortality, and the
ratio o f deaths to the whole population, supply no knowledge o f this kind.
They tell us, indeed, that the number dying between 20 and 30 years o f age
is greater than the number between 60 and 70 ; but this gives no knowledge
o f the liability to death between these two periods; much less does it give
this for every age in each period o f ten years.
To make a comparison between the mortality o f different places, it is ne­
cessary to reduce both to a common standard. The common standard usu­
ally adopted is, to determine the number that would be living at every period
o f life, supposing the chances o f dying to continue unaltered, and the popu­
lation to remain stationary, affected neither by immigration, emigration, or
natural increase. W e suppose, for instance, at any place, 10,000 persons
born, and from the rate o f mortality prevailing among children at that
place, we determine how many o f these survive the first year, the second,
<fec., and in like manner we determine how many arrive at every period o f
life, till all are carried off by death. W h en such a table is constructed for
two places which we wish to compare with each other, it is easy to decide on
their comparative mortality, at every age, from infancy to the extreme limit
o f human life.
It is in this form that tables o f mortality become useful to a life insu­
rance company. The Carlisle and Northampton tables profess to give the
number living at every age, in a stationary population. O f 10,000 persons
born, they say how many arrive at the age o f 20, 21, 90, 91, <fcc., and thus
enable the insurance company to determine the chances o f living, at every
period o f life. If, out of the 10,000, 6,000 live to the age o f 20, 20 to the
age of 90, and 1 to the age o f 100, the chance that a man at 20 has o f lin­
ing to the age of 90, is 1 in 300, and to the age o f 100, it is 1 in 6,000.
Our census tables do not give this information. I f there were found 100
persons in Philadelphia, at the age o f 90, and one at the age o f 100, no
guess could be made o f the chance that a man at 90 has o f living 10 years,
for we do not know how many were living at 90 ten years before, out of
whom this one survives. In our increasing and ever-changing pojmlation, it
is impossible to tell, merely from a census, how many o f any particular age
survive to any other age. However minute and accurate the census should
be made, this would be true. Much more is it true, when our census only
gives the whole number living between each ten years from 20 up to 100.
To make, then, any comparison between our mortality in the United
States and that in foreign countries, or to determine the chances o f living to




To the P rinciples o f L ife Insurance.

37

any particular period o f life, so as to inform an insurance company o f the
premiums they ought to charge, it is necessary to construct a table o f mor­
tality for a stationary population. To do this, when we have both the bills
o f mortality, and the census of the people, and o f their ages, is not a diffi­
cult problem ; but I am not aware that it has been attempted hitherto in
the United States. Excepting only Dr. W igglewortli’s table, published many
years ago for New England, I know no other that has been constructed in
this country. The recent extension o f the life insurance companies in the
United States, demands that all the information that may be accessible and
useful to them, should be brought forward, that they may have experience at
home, as well as abroad, to guide them in the contingent and uncertain con­
tracts on which they are venturing.
I propose to explain, briefly, a table I have constructed for the city of
Baltimore. In the February number o f the Banker's Magazine, the average
interments in the city o f Baltimore, from 1826 to 1848, were published by
J. H. Alexander, Esq., and I have been kindly furnished by him with the
numbers for each year, with only three exceptions, one o f these being the
year 1832, when the cholera prevailed. B y uniting these with the census
returns o f 1830 and 1840, sufficient materials may be had for constructing
a table o f mortality for a stationary population.
Table I., at the end of this article, contains the average interments from
1826 to 1848, and tables II. and III. contain the census o f the white popu­
lation at the two enumerations in 1830 and 1840. To obtain the popula­
tion for the intervening years, I have taken each decade by itself, and sup­
posed the numbers to increase in geometrical progression. The numbers be­
ing thus found for each year, the average o f the whole period is taken, and in­
serted in table IV . The colored population was treated in the same manner,
except that I supposed, for facility in calculation, the rate o f increase to be
in arithmetical progression, which is allowable, on account o f their slow rate
o f increase. These results are contained in tables V., VI., and VII.
Before combining the white and black population, it is necessary to inter­
polate the numbers for the latter, so as to distribute them into periods of ten
years each, to correspond with the white population. This is rendered diffi­
cult, by the long and irregular intervals in the census, and by the changes
constantly taking place, both among free blacks, and the slaves. To assist in
this interpolation, I have had recourse to the interments. It is a principle
well established by Dr. Price, and others, that, in a stationary population,
the numbers o f the people, at every period o f life, may be obtained from
the ages o f the dying, by beginning at the oldest, and adding together the
number of the dying at each preceding age. Thus, if one die at 100, two
at 99, three at 98, and four at 97, the number o f the living at 97 would be
10 ; at 98, 6 ; at 99, 3 ; and at 100, 1. A nd so for all the preceding ages.
In an increasing population, this mode o f procedure would give the num­
bers o f the people everywhere too small. But in Baltimore, as the census
shows the colored population, after 55, (table V . and VI.,) to be stationary,
and, as many elderly persons among the merchants and men o f business re­
tire from the city, this method will give results nearly accurate for the latter
periods o f life. Let us try it, and notice the results to which it leads.
The deaths (table I.) over 100 are 4 ; over 90, they are 9 ; and this makes
the living at 90 to be 13. In like manner, the number at 80 is found to be
55. By interpolating these numbers, we have the living, at each age, nearly
as follow s:—




38

The M ortality o f B altim ore: with Reference

A t 90............................
91
.............
92
.............
93
.............
94
.............

IS
12
11
10
9

A t 95............................
.............
96
97
.............
98
.............
99
.............

8
7
6
5
5

A t 1 0 0 ............................
1 01
................
1 02
...........
103
................
104
................

4
3
2
1
1

Making the total population above 90 to be 97. A nd these numbers ought
to be too small, according to the mode of investigation, since the population
is not stationary, but increasing. But the census gives the whites over 90
at 36, leaving 61 for the colored. As, however, the whites in the city ex­
ceed the blacks two or three times, it is almost impossible that the colored
over 90 should so far outnumber the whites. Admitting longevity to prevail
among the former much more than among the latter, such a disproportion is
• ipcredible. To those who are acquainted with the colored population in our
Southern States, there can be no hesitation in ascribing the apparent improbability to which we have arrived to an over-estimate in the age o f the dying.
It is necessary thus to reduce the deaths over 100, to one or t w o ; and even
then, the living over 90, and also over 80, will be probably too large. As,
however, it is dangerous to make changes in the facts on which our reason­
ings are based, it will not be safe to introduce any considerable corrections. I f
we suppose only one death to occur annually, over 100, and transfer two of
the others to the number between 90 and 100, and one to the preceding de­
cade, the numbers living at 70, 80, 90, and 100, would be 132, 55, 12, and
1. If these numbers be interpolated, the population over 90 would be about
56 ; over 80, about 316 ; and over 70, about 957, as appears by the follow­
ing table, in which the numbers are taken for ten years, and thus increased
ten-fold, to give greater regularity to the several decrements :—
A ge.

Living.

90 ....................
91 ....................
92 ....................
93 ....................
94 ....................
95 ....................
96 .....................
97 .....................
98 .....................
99 .....................
100.......................
101 .....................
102 ....................
103 ....................
104 ....................

120
98
79
63
50
39
30
23
18
14
10
7
5
3
1

Total...........

560

A ge.

80
81
82
83
84
85
86
87
88
89

Living. A ge.

L ivin g.

...........
...........
...........
...........
...........
...........
...........
...........
...........
...........

550
484
423
367
317
272
233
200
170
144

70
...........
71
..........
72
...........
9 3 . . .....................
74
...........
75
...........
76
...........
...........
77
78
...........
79
...........

1,320
1,235
1,159
1,061
989
910
833
759
687
617

Total...........

3,160

Total...........

9,570

Now, as the whites over 70, 80, and 90, are (table IV .) 588, 167, and 36,
this will leave for the blacks 369, 149, and 20, or 538 as the whole number
over 70. The census (table V II.) gives the number o f the colored popula­
tion over 54, at 1,247, and this will leave 709 as the number from 54 to 70.
Now, if w'e observe that 369 is the number o f the colored between 70 and
80, it will be evident that 709 is probably as small a number as can be al­
lowed for the living between 54 and 70. The principle o f Dr. Price, which
we have used as the basis o f our investigation, forbids this number to be too
large. It may, therefore, be safely regarded as representing very nearly the
true number o f the colored population between 54 and 70. So, also, for the
numbers we have obtained for the later ages. Thus, by considering the in-




To the P rinciples o f L ife Insurance.

39

terments, and by using Dr. Price’s method for a stationary population, we
have found four additional numbers to aid in interpolating the colored popu­
lation. W e have—
Under 10..................................
“ 2 4 . . . . ...........................
“ 36...................................
“ 55...................................

4,914
6,229
4,199
3,308

Under 1 0 .................................
“
80 ...............................
“
90 ...............................
Over
90...............................

109
369
149
20

From these numbers, table VIII. has been constructed, and if we take from
this interpolated table, the numbers for each decade, as in table IX ., and join
them with the census o f the white population, in table IV., we will have the
total numbers o f both the white and the colored, for each period o f 10 years4
This result is inserted in table X . W e have next interpolated this result,
and the interments, (table I.,) and by this means formed tables X I. and,
X II. By comparing these, we have the ratios between the living and dying,
for every year, from infancy to old age. These ratios, in ten thousandths
are inserted in table X H I. After the age o f 20, they increase pretty regu­
larly, and it is best to correct for any irregularities in the preceding interpo­
lations, by taking the mean o f 3 or 5 of these ratios, and to regard this mean
as representing the true mortality. These averages are inserted in table X IV .
W e are now ready for constructing the table o f mortality for a stationary
population. W e suppose 10,000 j>ersons born, and representing the deaths
in the first year o f their life by x, the number entering on the second year
would be 10,000— x, and the number o f the living between 0 and 1 would
be 10,000— ±x, and this, multiplied by the ratios previously obtained, would
give the deaths for the first year, that is, (10,000— -i*,) . 1 6 4 3 = 2 ; and,
hence, 2 = 1 6 4 3 -^ 1 .0 8 2 1 5 = 1 5 1 8 . Hence, the survivors for the second
year would be 8,482. In like manner, the deaths and the surviv rs were
formed for every successive year, and the numbers inserted in tablesX V. and
X V I. Finally, I have constructed table X V II., by means o f a mathemati­
cal formula, which I have found to coincide very nearly with the law o f mor­
tality in every table I have examined, and this harmonized result I regard as
expressing even more correctly than table X V ., the probable survivors in a
stationary population at Baltimore. As, however, I do not here present the
evidence in favor o f this formula, I shall use table X V . in making the com­
parisons which I shall now institute between the mortality at Baltimore and
other places.
B y the term probable life, is understood the period that any one has an
equal chance of attaining. Thus, if 50 persons are living at the age o f 20,
and 25 of these survive at 52, the probable life at 20 will be 32 years. It
is, therefore, the time that elapses before the death of half o f the number of
persons living at any age. Table X V III. contains the probable life in Balti­
more, Carlisle, and Sweden. It is evident at once, from an inspection o f this
table, that for all the middle periods of life, from 10 up to 60, the mortality
at Baltimore is greatly in excess o f the other two places. A t the age o f 70
and upwards, it is less.
B y expectation o f life, the writers on human mortality understand the
average duration o f all the lives o f the persons living, at any age. Thus, if
20 persons were living at 95, and at the end of 1 year 10 o f these should
die ; at the end o f 2 years, 5 ; at the end o f 3 years, 3 ; and at the end o f
4 years, 2 ; then the expectation o f life would be 10 times 1, added to 5
times 2, added to 3 times 3, added to 4 times 2, and the sum divided by 20,
making 1.85. But, if while 10 died at the end of the 1st year, 4 died at




40

The M ortality o f B altim ore: with Reference

the end o f the 2d, 2 at the 3d, 2 at the 4th, and 2 at the 5th, then the ex­
pectation would have been 10 -fr 8 + 6 + 8 + 10, divided by 20, or 2.1
years. In both cases, the probable life is one year. But in the first the ex­
pectation o f life is nearly 2 years, and in the second it is more than 2. Table
X I X . contains the expectation o f life at the three places before mentioned.
It appears from this mode o f comparison, as before, that the mortality in
middle life is in excess at Baltimore. A t the age o f 60, the expectation is
greater at Baltimore than in Sweden, this result being brought about not by
a lower mortality at 60, but by the greater longevity at the ages of 80 and 90.
The most satisfactory mode o f comparison is, to take the chances o f living
1 0 years, or of living 1 year. This at once reveals at what period o f life the
mortality at Baltimore exceeds that of the other places. These chances are
inserted in tables X X . and X X I . W e see immediately, by inspecting these,
that the mortality at Baltimore is less at all ages under 20, and over 70 ; but.
for the intervening period, it is greatly in excess. A t the ages o f 20, 30,
and 40, the mortality is fully one-half more. A t 50, the chance o f dying
in one year is twice as much at Baltimore as at Carlisle.
After making these comparisons, we are reminded that as our life insurance
companies almost everywhere use the Carlisle table, in determining their
premiums, they are more or less in danger o f charging too low for insurance.
I f this is done, the mutual companies cannot sustain themselves, and the
stock companies are in similar danger, since their capital bears but a small
ratio to the amounts insured.
In considering this inquiry, I would remark, first, that the Girard Compa­
ny, o f Philadelphia, the X ew Y ork Mutual, and a large number who profess
to use the Carlisle tables, have increased their premiums beyond what these
tables demand. If 121 per cent be added to the rates that ought to be
charged, on account of expenses of all kinds, their charges for insuring $100
for a single year, should be according to the Carlisle tables :—
20.

10.

40.

50.

60.

.80

1.14

1.46

1.51

3.77

1.69

1.96

4.35

Whereas their actual rates are—
.91

1.31

The rates founded on the mortality at Baltimore, with the 121
addition, would be—
1.19

1.66

2.28

3.18

4.38

So that, although the average charges at these six periods are 18 per cent
more than the Carlisle tables demand, they are still 33 per cent below what
are indicated by the experience o f Baltimore.
It may be further remarked, that the persons insured are select and healthy
lives, free from the taint o f hereditary disease, and at the time o f insurance,
free from actual disease. But, although it is thus asserted in the declaration
made by the assured, it cannot be supposed that this is even generally true.
Often it is true, and then the company is the gainer. But too frequently the
applicant feels some secret uneasiness, some symptoms o f debility and feeble­
ness not yet developed into disease, some change in his health, which warns
him to guard against the contingency of death, by making a provision for
his family. For these reasons the select character o f the lives cannot afford
much security to the companies.
Another consideration is o f more importance. The mortality o f Baltimore




41

T o the P r in g le s o f L ife Insurance.

may be greater than tbe average in the United States. This is doubtless
true. The health o f cities is everywhere below that o f the surrounding
country. The causes of this are well known and fully understood. But
when it is remembered that by far the greater portion o f those who are avail­
ing themselves o f the benefits o f insurance are residents o f our cities and
large towns, this consideration will be o f little benefit to the companies.
I f there is thus more or less doubt whether our life insurance companies
are not charging rates that are too low, our anxieties for those companies
who have reduced their charges below the earlier standard, become of the
most serious character. If there is much reason to fear that the old rates
are too low, even for the times o f ordinary mortality, what fears must be
felt for the stability o f companies who have reduced these rates, when the
average mortality is doubled by the ravages o f cholera.
These fears and anxieties are not quelled by remembering that dividends o f
50 per cent profits have been hitherto made by most o f the companies ; for
it is easily perceived that at the first, when the insured are all in good health,
the number o f deaths will be far below the average. Already, the oldest
mutual company has experienced a mortality nearly as great as at Carlisle;
and when the results o f the present year are added to their experience, it is
to be feared their deaths will be fully equal to the amount indicated by their
tables.
Let, therefore, all the companies be warned in time. Let prudence, cau­
tion, and the most watchful carefulness characterize the conduct o f their di­
rectors, and especially let them beware o f reducing their rates so as to en­
danger their existence, ruin the confidence reposed in them by the assured,
blast the hopes o f the widow and the orphan, and endanger the success of
societies calculated to do so much good throughout the length and breadth
o f our land. Let them keep up their charges to the old limits. If they are
too high, the excess will be returned to the assured as dividends. I f too low,
disgraceful bankruptcy, blasted expectations, and violated confidence form a
picture o f the future, too frightful to contemplate.
T A B L E I.

T A B L E II.

A verage interments
in Baltimore
from 1826 to 1848.

W hite population
o f Baltimore
in 1830.

nder
“
“
“
“
“
“
“
“
“
“

“
“
er

X.
2.
5.
10.
21.
3 0 ..
4 0 ..
50.
60.

.#
..
..
..

.,

TO..

80.
9 0 .. . .
100..
100 ..




601
229
251
114
140
225
241
191
129
103
11
42
9
4

Under 5 ____
it
10___
(t
15___
it
20___
it
30___
it
40___
it
50___
it
60___
it
1 0 ....
a
80 . . .
tt
90___
Over 90___

T A B L E III.

T A B L E IV.

W hite popu’ n
Average
o f Baltimore
white popu’ n
in 1840.
from 1826 to ’ 48.

8,994
1,291
1,011
1,916
13,009
8,105
4,148
2,664
1,268
415
135
32

12,510
9,121
8,238
9,384
18,001
11,265
6,240
3,620
1,862
626
118
31

11,646
8,610
1,892
8,984
16,116
10,336
5,844
3,311
1,111
588
161
36

61,114

81,142

15,901

42

The M ortality o f B altim ore: with Reference

Under
ti
ii
it
it

Over
(C

10............... . . . .
24............... ___
36...............
55............... ___
100............... ___
100............... ___
54 ............... ___

TABLE V.
TABLE VI.
TABLE VII.
Colored population
Average
of Baltimore Colored population colored popu’n.
in 1830.
in 1840.
from 1826 to 1848.
4,518
5,069
4,914
5,903
6,368
6,229
4,199
5,016
2,931
3,461
3,308
1,193
1,203
55
43
1,248
1,246
1,241

Total...............

Under
«

it
ti
it
ii
it
it
ii
ti
ii

Over

21,266
TABLE IX.
Average
colored population
from 1826 to 1848.
2,635
2,219
2,250
2,225
4,302
3,414
1,115
622
451
369
149
20

5 ............... .....................
10...............
15...............
20...............
30...............
40...............
50...............
60...............
10...............
80...............
90...............
90...............

Total...............

Age.

0 ....
1___
2 ___
8 ___
4 ___
5 ___
6 ___
1 ___
8 ___
9 ___
10___
11___
12___
13___

14___
15___
16___
11___
18___
19___
20___
2 1 ....
22___
23___

TABLE VIII. XI.
Q
o
-3
Po
2S
2©
1 -3
°
c^
p
pTo
p, p"
n
". o'
•a
•
I o'
l S'
•J3
641
3,65^r
540
2,990
500
2,680
480
2,530
468
2,430
460
2,330
451
2,250
2,110
455
2,100
454
2,039
453
2,020
452
2,010
451
2,010
450
449
2,030
2,062
448
2,130
. 441
446
2,200
445
2,260
444
2,300
443
2,319
441
2,340
439
2,300
438
2,260
436
2,220




XII.
MB*
ao
p-g
: b
• os
: g
; ST
• ■3
: 9
601
229
126
15
50
38
28
21
16
11
9
8
8
8
9
10
11
14
11
21
25
25
25
25

XIII.
erzr.
<
0O
mo

■S
•
o’
1,643
166
410
291
206
163
125
91
16
54
45
40
40
40
44
41
50
62
14
90
101
109
111
113

20,491
XIV.
XV.
m
>
eg
©
B o'
1
** 3^
>
■*
p
■
■ ■oB
§'
:. 'oB

io i
109

in
114

20,491
TABLE X.
Average
white and colored
from 1826 to 1848.
14,281
10,889
10,142
11,209
21,018
13,150
1,619
3,993
2,114
951
316
56
96,404
XVI.
o
oP
•< S’
*T3 p
•§ S'
E.B

c g:
Bo
: b
1,518
10,000
8,482
626
361
1,856
1,495
219
148
1,216
1,128
115
1,013
81
6,926
61
52
6,859
6,801
31
6,110
30
6,140
21
6,113 •
21
6,686
21
6,659
29
6,630
31
33
6,599
6,566
40
6,526
48
6,418
58
6,420
68
6,352
69
6,283
10
6,213
11

XVII.
m
Ba
§2
IV
n
o
: a1
: ?
....
« ...
....
....
....
....
....
....
....
....
....
....
....
....
6,420
6,346
6,211
6,195

43

To the P rinciples o f L ife Insurance.
2 5 ....
26___
21___
28___
2 9 ....
30___
31___
32___
33___
34___
35___
36 ___
31___
38___
39 . . .
4 0 ....
41___
4 2 ___
43___
44___
45___
4 6 ___
41___
48___
49___
50___
51___
52___
53___
54___
55___
5 6 ....
51___
5 8 ....
5 9 ___
60___
61 ___
62___
63___
64___
65___
66___
61___
68___
69___
10___
11___
12___
13___
14___
15___
16___
11___
18___
19___
80___
81___
82___
83___
84___
8 5 ....
86___
8 1 ....

431
428
424
419
413
406
391
386
312
354
336
311
299
282
265
248
232
216
200
184
169
154
139
124
109
95
83
12
63
51
53
51
50
49
49
48
48
41
41
46
46
45
44
43
43
42
41
40
39
38
31
36
34
32
30
26
23
21
19
16
14
11
9




2,090
2,020
1,950
1,810
1,808
1,150
1,660
1,480
1,410
1,410
1,340
1,230
1,110
1,090
1,050
916
950
815
850
800
145
690
635
515
524
491
483
432
419
406
393
380
340
328
315
303
261
256
245
214
204
194
184
158
149
1,320
1,535
1,151
1,069
989
910
833
159
681
611
550
484
423
861
311
212
233
200

25
25
25
25
25
26
26
- 26
25
25
25
24
24
23
23
22
22
21
21
20
19
18
11
16
15
14
14
13
13
13
13
M
rc
12
12
12
11
11
11
10
10
10
10
9
9
85
84
82
80
19
11
14
12
10
61
66
61
56
50
45
39
33
30

120
124
129
134
138
149
157
165
110

m

181
195
205

211
219
225
231
240
241
250
255
261
268
218
286
282
290
301
310
320
331
342
353
366
381
396
412
430
449
468
490
516
544
510
604
644
680
112
148
199
846
888
949
1,019
1,086
120
126
132
136
142
144
142
150

121
125
129
135
142
149
156
164
111
119
181
195
203
211
218
225
232
238
244
250
256
262
269
216
283
281
294
301
311
321
331
342
355
368
382
391
414
431
450
411
494
518
545
516
608
640
618
111
151
199
846
900
958
1,028
1,103
119
125
131
136
139
143
146
151

6,010
5,991
5,922
5,846
5,168
5,681
5,603
5,516
5,426
5,334
5,239
5,142
5,043
4,942
4,839
4,135
4,630
4,524
4,418
4,312
4,206
4,100
3,994
3,888
3,182
3,611
3,513
3,469
3,366
3,263
3,160
3,051
2,954
2,851
2,148
2,645
2,542
2,439
2,336
2,233
•2,130
2,021
1,925
1,823
1,121
1,620
1,520
1,421
1,323
1,221
1,133
1,041
951
864
119
698
619
546
419
416
362
314
211

13
15
16
18
81
84
81
90
92
95
91
99
101
103
104
105
106
106
106
106
106
106
106
106
105
104
104
103
103
103
103
103
103
103
103
103
103
103
103
103
103
102
102
102
101
100
99
98
96
94
92
90
87
85
81
79
73
37
63
54
48
43
38

6,038
5,958
5,877
5,795
5,712
5,628
5,543
5,457
5,370
5,282
5,193
5,103
5,011
4,918
4,824
4,729
4,633
4,536
4,438
4,344
4,244
4,143
4,041
3,938
3,834
3,729
3,623
3,517
3,410
3,302
3,194
3,085
2,976
2,867
2,768
2,649
2,540
2,431
2,322
2,213
2,107
2,001
1,896
1,792
1,689
1,587
l-,487
1,389
1,293
1,200
1,109
1,021
936
854
776
701
630
562
500
441
396
344
296

44
8 8 ....
89___
90___
91___
92___
93___
94___
95___
96___
97___
98___
99___
100 __
101 __
102___
103___
104___
105____

The P ractical W orking o f Cheap P ostage.
6
4
3
3
3
2
2
2
1
1
1
1
1

Birth......................
10...........................
20...........................
30...........................
40...........................
50...........................
60...........................
70...........................
80...........................
90 ...............

170
144
120
98
79
63
50
39
30
23
18
14
10
7
5
3
1

153
167
183
194
203
206
220
231
233
217
222
286
300
285
400
667
1,000

26
24
22
19
16
13
11
9

7
5
4
4
3
2
2
2
1

....

159
170
180
191
201
211
219
221
225
238
252
262
299
388
490
692
1,000

85
31
28
24
21
19
15
12
10
8

233
199
168
140
116
95
76
61
49
39
31
24
18
13
9
5
2

....

7
6
5
4
4
3
2

252
213
178
147
120
97

77
60
46
35
26
19
13
9
6
4
2
1

T A B L E X V III.

T A B L E X IX .

PR O B A B LE L IF E .

E X P E C T A T IO N OF L I F E .

Baltimore.
Years.

Carlisle.
Years.

37.4
38.0
35.3
28.0
22.7
17.7
13.0
8 .6
5 .3
3 .6

41.0
53.3
45.2
36.6
28.9
21.6
14.1
8.1
4 .6
2.2

Sweden. Baltimore.
Years.
Years

36.8
50.5
42.3
34.3
26.5
19.0
12.1
7 .0
3.9
2.5

.

36.9
46.4
35.4
29.0
23.9
19.3
14.6
10.1
7.1
5 .0

Carlisle. Sweden.
Years.
Years.

38.7
48.8
41.5
34.3
27.6
21.1
14.3
9.2
5.5
3.3

36.1
46.2
39.0
32.1
25.4
19.0
12.8
8 .0
4 .8
3.0

T A B L E X X I.
TABLE f c .
10 Y E A R S . C H A N C E O F D Y IN G IN 1 Y E A R .
Carlisle. Sweden.
Baltimore. Carlisle. Sweden. Baltimore

C H A N C E OF D Y IN G IN

Birth......................
10...........................
20...........................
30 ...............
4 0 ...............
50 ...............
60 ...............
70 ...............
80 ...............
0 ..............................

.20

.90

.35
.06
.07
.10
.13
.17
.34
.60
.85
.94

.37
.06
.09
.11
.15
.22
.41
.67
.88
1.00

.152
.004
.011
.015
.022
.028
.039
.062
.113
.167

.154
.004
.007
.010
.013
.014
.033
.052
.122
.261

.201
.007
.007
.011
.014
.020
.033
.076
.146
.233

•

Art. IV.-— THE PRACTICAL WORKING OF CHEAP POSTAGE.
T he adoption o f cheap postage will be a virtual revolution in the post-of­
fice. It will change the genius o f the institution, from that o f sharp exac­
tion to that o f wise and liberal accommodation; because it will change its
vital principle from that o f tax to that o f freight. The old saw, that “ the
post-office must support itself,” meant, in practice, that letters must be taxed
sufficient to defray all the expenses that may be put upon the post-office.
Major Hobbie showed this conclusively, in his very able letter, o f December
21, 1848. H e says o f the British system o f cheap postage :—

“ The most important circumstance is, that in reducing their postage from high




The P ractical W orking o f Cheap Postage.

45

rates to a low and uniform one, they changed its nature, from that o f a tax, (yield­
ing a net revenue to the crown, nearly equal to $8,000,000 annually,) to that o f
freight, or the price, merely o f transportation, including delivery, &c.
“ W e have numerous unproductive routes, many of which yield a revenue of
less than half o f their cost. This circumstance, and the fact that the postage on
newspapers fails to pay the cost on their transportation, by about one-third, and
that this item o f expense, and the cost o f transporting the franked matter through
the mails, are cast upon the postage assessed upon charged letters, gives to our post­
age the character of a tax.
“ I am well satisfied, from a general estimate, that the surplus cost o f the un­
productive routes, the expense of transporting newspapers, beyond what the post­
age upon them defrays, and the amount that free matter would come to, if charged
with postage, could not be less, at the most moderate estimation, than $1,000,000.
“ Supposing Congress should provide some other way for raising this $1,000,000,
than by assessing it as a tax exclusively upon the postage payers o f private cor­
respondence, then, what would be required would be a letter postage revenue equal
to the actual cost o f the transportation o f letters.”
This estimate of a million o f dollars, as the amount o f tax exacted from
letter postage, is more likely to be under the mark than over it. Be it
more or less, it is very unjust. The government, which requires these branches
o f service, should pay the expense. If the public good requires the expense,
the public treasury should pay it. The nesessity o f raising this million o f
dollars tax out o f letter postage, has been the great tidal o f every successive
Chief o f the Department, and has given character to the institution, alike
under every administration— mousing for mites to make up this vast amount.
This has caused the various altercations between the Department and the
Members of Congress about franking and its abuses. The fact is, there is no
abuse o f franking, so far as lexers are concerned, because the frank, by its
proper import, covers whatever may be under it— within the prescribed limit
o f two ounces. The sending o f other books or things under the name o f
public documents is an abuse, a simple fraud, a proper penitentiary crime.
But the franking o f letters for other people is the nature o f the privilege.
On this point, therefore, so long as the franking privilege continues, the De­
partment was wrong, and yet its necessities have been allowed to serve as its
apology.
The impertinence o f prying into letters, under the old system, for the pur­
pose o f finding out whether there was not a bank note, or some other piece
o f paper concealed within its folds, and under the present law, to see if there is
not a letter enclosed for another person, grows out o f this principle. Only
charge postage as freight, or just remuneration for service rendered, and it is
evident that the contents o f a letter can make no difference in the rate charged,
because they make no difference in the sendee rendered. N o carrier o f freight
thinks o f charging an extra price on the parcel he conveys to A , because there
may be enclosed in it an article belonging to B.
W h en it is thus settled, that the sender o f a letter by mail is to pay only
what that service is fairly worth, and that he is not to be taxed for the sup­
port o f any other service, or the accomplishment o f any other object o f the
government, we then come to the practical inquiry, what is the service worth ?
W h at is a fair price for carrying a letter ? W h at can it be done for ? The
English experiment is conclusive on this point, that it is a remunerative bu­
siness to carry letters to any distance for a penny sterling, which is about two
cents o f our money. Nay, it is not only remunerative, but may become
productive, in the event o f a very large increase of business ; the British g o ­




46

The P ractical W orking o f Cheap Postage.

vernment, in fact, realizing a net profit o f above three and a half millions
o f dollars per annum, while their post-office costs two millions o f dollars a
year more than ours. Make whatever deduction you please on account of
mail packet service, £701,580, which is paid by the Admiralty and not by
the post-office, there remains a sufficient amount received from penny postage
alone, to pay the whole expense o f the post-office, while nothing is credited
for the newspapers, which, instead o f postage, pay a stamp duty o f above
£250,000 to the treasury.
That the government can afford to carry letters for a penny, is further
proved by the operation of the increase o f letters. The first year of the new
system, the number o f letters added to the work o f the post-office was
93,000,000, while the addition to the cost of management averaged only a
farthing per letter. The actual cost o f the Deparment, at this time, ave­
rages 3.838 farthings per letter.
There is no escape from this conclusion. Major Hobbie, in his letter be­
fore quoted, says, “ Considering the vastness o f our territory, and the mag­
nitude o f our system of mails, and the still greater extent to which it must
be carried, three cents here will be a fa r cheaj>er rate, in comparison to service
performed, than one penny in England.” That the aggregate service o f the
post-office is performed in this country for two-thirds o f what the service costs
in Great Britain, ($4,346,850 to £1,386,853, equal, in federal currency, to
Se,*? 12,368,) shows the fallacy o f this argument. Besides this, we derive an
income o f $750,000 from newspaper postage, which yields nothing to the
English post-office. In addition, Major Hobbie says that there ought to be a
million o f dollars paid out o f the Treasury, for government postage, franked
documents, unproductive routes, and the deficiency of newspaper postage.
W ith these deductions, we have only two millions and a half o f dollars to
charge to the amount o f letter postage, where the English post-office charges
six millions.
But there is another thing to be noticed. The reason alleged why three
cents should be regarded as a just equivalent for services, which, in England,
are amply compensated by two cents, is “ the vastness o f our territory, and
the magnitude of our system o f mails.” This can only operate by enhancing
the cost o f transportation. But the fact is, that the transportation of mails
costs, in this country, $2,448,756, and in England, £507,773, equal to
$2,229,763, a difference o f $218,993, less than 10 per cen t; a sum averag­
ing only one-third o f a cent upon tha present number o f paying letters in
this country.
Even this is on the assumption that the whole cost o f transportation should
be charged on the letters, whereas, in fact, only a very small part of it should
be so charged, the greater part o f the cost being incurred for newspapers, and
for running mails that carry few or no letters.
It is evident, therefore,- that if the freight principle is adopted, two
cents is the highest rate that can be charged, and that every proposition
to charge a higher rate, is, in fact, a scheme to tax letter postage for the
benefit o f some other object, aud is an abandonment o f the freight principle,
which is vital to the system o f cheap postage. The friends of cheap postage
will, therefore, feel bound to resist any and every attempt o f this kind, as in
fact, subversive of the object they have in view.
Some have supposed that, a postage o f one cent would pay. The distin­
guished philanthropist, Dr. S. G. Howe, o f Boston, in a brilliant article which
he wrote for the Massachusetts Quarterly Review, earnestly advocated a one




The P ractical W orking o f Cheap Postage.

47

cent rate. But this would he a departure in the opposite direction, from
the true principle o f freight, or a just equivalent for services rendered, which
is deemed essential to the success o f cheap postage. Let it be known
that the service required is paid for, and an essential motive to fidelity is
supplied, without which it would be impossible to keep so vast a machine in
order. The experiment with newspapers at one cent, although they require
less handling than letters, proves that letter postage at one cent never would
be made to pay. For, although we are such a newspaper reading people,
the one cent rate does not yield, at the end o f sixty years, more than twothirds o f the expense. The amount o f handling required in the care o f let­
ters would swell the expense, so that no supposable increase o f numbers would
meet the cost o f postage. As there can be no intermediate rate, because
there is no coin in which payment can be made, it follows that two cents is
the freight mark, and cannot be abandoned for any other.
Another proof of the correctness o f this rate is seen in the still continued
energy and growth o f the British post-office. The net revenue for the year
ending October 5th, 1849, is £60,000 above that o f last year, a proof that
the rate is not too high.
The profits which, with good management, cannot fail to accrue, will be
■well employed in increasing the public accomodation by the mail.
Let us now suppose the cheap postage law passed, and that the Depart­
ment has fully impregnated itself with the ruling idea o f freigh t, not tax.
The chief is no longer earnest to merit applause by his success in worming
out that million o f dollars from letter postage to pay other objects. Postage
itself is no longer a mystery of prerogative, but a mere dollar and cent af­
fair of quid p ro quo, to be managed like any other matter o f business, ac­
cording to the dictates o f common sense.
It is now evident that the administrative credit, and success o f the D e­
partment will now depend upon two things, the greatest possible increase in
the number o f letters carried in the mails, and the greatest possible economy,
in avoiding unnecessary expense. N o outlay of money would now be spared,
if, in any way, by direct or indirect operation, it could be made to pay. N o
expense would be incurred, through favoritism or other motive, which could
be curtailed or dispensed with. The spirit o f public accommodation would
take possession of the whole corps o f post-office officials and servants; and
each would vie with all in endeavoring to afford the greatest facilities, to en­
courage the greatest multiplication o f letters.
It would also lead to a great simplification of the whole business of the
post-office, both at the general post-office, and in every branch of the service.
The uniformity o f rate would simplify the accounts, to an amazing degree.
It is said that several additional clerks were required in the general post-of­
fice, under the old system, merely from the fact that every return from a
post-office necessarily had one column o f fractions of a cent. The payment
o f postage by stamps would guard the Departmet against losses. It would
so simplify the business of the local post-offices, that they could bo kept at
much less expense, with less cost o f clerk hire, and by persons who would be
satisfied with a lower rate of compensation. In this manner would the D e­
partment compensate itself for the additional labor of receiving and deliver­
ing three or four times the present number of letters.
It would not be easy to specify all the ways in which the labor of keeping
a post-office will be diminished by the general practice of prepayment with
stamps. These stamps will be for sale, not only at the post-office, but at




48

The P ractical W orking o f Cheap Postage.

the shops, the keepers o f which find it for their interest to have them, not for
the profits o f the sale, for there are none, but for the accommodation of their
customers, and to secure the trade in other things. The office o f reception
has then no trouble o f running to the window and making change on a pre­
paid letter; and the office o f delivery no trouble in trusting out unpaid let­
ters to persons with short memories.
In curious contrast with this is the mode now in use o f selling postage
stamps. Y ou find them for sale no where but at the post-office, and at the
post-office you cannot buy stamps at the window. N o clerk can be trusted with
the precious charge. But you must go round by a back way, through an ob­
scure door, up a narrow, winding stairway, into a lobby having several doors,
and when you find the one leading to the cashier’s room, you may enter there,
and be allowed to purchase stamps ! This is but a specimen o f a hundred ab­
surd and vexatious inconveniences to which the community submit, which
will be voted intolerable under the reign o f cheap postage.
There will be a certain revolution in the system, or rather wn-system,
at present pursued in the gathering and distribution o f letters in our
large towns. This cannot fail to take place, for the simple reason that the •
present method will be found too cumbersome and costly to pay, while a far
more simple and more convenient system cannot fail to pay, in all cases where
sound judgment may warrant its adoption. One essential change will be,
that by adopting a strictly uniform rate, for all distances or no distance, the
distinction between mail letters and drop letters will be abolished, and the
local distribution will become an integral portion of the post-office, and en­
joy all its supervisions, privileges, and responsibilities, instead o f the anomolous, insecure, and irresponsible management which now exists in this city, it
is said under the sanction and authority o f the Department at Washington.
It is surprising that the citizens submit with so much apathy to this state
o f things. It was stated, a few weeks ago, in the E ra newspaper, that there
were over 700 letters in one o f these sub-post-office establishments, (Boyd’s,)
designed for the mails, but not forwarded because the fe e was not prepaid.
W h o can tell the sad hearts, perhaps the failing fortunes, that may be occa­
sioned by this suppression o f seven hundred letters ? Correspondents o f
the daily papers are ever and anon complaining that letters deposited in
these sub-post-offices, with the expectation that they will be delivered at
once, are not delivered till two or three days after, when the objectof writing
has been frustrated by the delay. This will be greatly remedied by making
the sub-offices a part o f the post-office, under the control and responsibility
o f the post-master.
W alk around the old “ Middle Dutch,” and observe the extent o f the
apparatus, the frontage required, and the number o f persons employed, for
the delivery o f letters to those who make it a point to call for their letters.
There are 3,228 boxes, for which rent is voluntarily paid by individuals who wish
to find their letters deposited separately from the mass. There are 15 windows
for general delivery, including that for ladies, and that for newspapers. A nd
if you watch, after the arrival o f a steamer, or just at the close o f the day,
when the workingmen leave their toil, and hurry to snatch their only oppor­
tunity o f calling for a letter, you will often find long rows o f men waiting their
turn to call at the window. W h at would be thought o f the wisdom o f our
W ater authorities, if they had established one reservoir at the corner o f Nas­
sau and Cedar streets, for the use o f all the inhabitants living below Chambers
street, and then employed a dozen or twenty men to deal it out to those who




The Practical W orking o f Cheap Postage.

49

came for a supply ? “ As cold water to the thirsty, so is good news from
afar.” A nd yet for this comfort we must all huddle to one place, instead o f
having safe and ready conduits to bring it promptly to every man’s door.
W ithout data for a particular estimate, it is quite within bounds to say, that
a thousand dollars per day would not pay for the time spent by the people
o f New York in going and sending to the post-office, when, with cheap post­
age and prepayment, a hundred dollars a day would cause all the letters to
be delivered at the dwellings or counting rooms o f the people, three times
daily, within half an hour after the mails are ready for delivery.
It is not very difficult to see how this plan o f free delivery o f prepaid let­
ters, all over the city, three or four times a day, could be made to pay ex­
penses. Embracing all letters alike, whether coming by mail or originating
in the city, it would greatly increase correspondence through the mails, by
the facility o f the process, and the absence o f extra expense. And then, with
a well arranged and trustworthy management, an immense internal corres­
pondence would arise among the inhabitants, for business and friendship,
which would yield a harvest o f profit to the post-office, and a far richer har*vest o f commercial and social benefits to the people.
In London, where there are ten deliveries daily, over a circuit o f three miles
from the general post-office, the weekly number o f district post-letters de­
livered, that is, o f letters originating in London, or what our department
calls “ drop letters,” in February, 1848, was 707,674, and o f general post­
letters, that is, letters brought by mail, 2,192,302, making a total o f 2,899,976,
equal to 414,439 daily. A nd so perfect is the system, that a stranger rare­
ly remains a week in London without being reached by his letters, even when
bearing only the general address of London. A nd so satisfactory is it, that
there are no private boxes, and one window answers for all calls o f every
description. The number o f drop letters has increased nearly three fold
since the establishment o f the penny rate, which reduced the postage one
half. This is a case in point, to show what would be the effect o f a reduc­
tion from five cents to two cents. W h y should 2,000,000 o f people in Lon­
don receive 150,000,000 o f letters in a year, while 21,000,000 in the
Unitech States receive only 62,000,000 ? Cheap postage and free delivery are
the cause. W h at an immense amount o f business and o f social intercourse
is indicated by the circulation of 120,000 city letters every day. H ow many
transactions would be facilitated among us, how many inconveniences avoided,
by even three or four reliable opportunities o f sending to any individual in
any part o f the city or suburbs— for two cents.
Letters produce letters. Each letter received naturally leads to a reply.
Every man who writes on his own business will o f course enclose a stamp to
prepay the postage on the answer. But dead letters bring no answers. The
esprit du corps of the department, which will prevail under the new system,
will be the ambition o f showing the greatest possible multiplication o f letters,
as the sole test o f administrative ability. If a sufficient number o f competent
carriers are employed, they will soon come to know the names o f nearly every
person in their respective districts, and o f course will be almost sure o f effecting
the delivery of every letter to its direction. This will supercede the present costly
system o f advertising. It will also greatly diminish the proportion o f dead let­
ters, now amounting to upwards o f two millions a year, which is a dead loss,
to the department, including expenses, o f $200,000, nearly the whole o f which
will be avoided by the general adoption of prepayment. In England, with six
V O L . X X I I . ----- S O . I .




4

50

The Practical W orking o f Cheap Postage.

times our number o f letters, the dead letters are only half as many as in
this country.
To show the facility with which such small services can be performed for
the most trifling consideration, with ready pay, observe that the cost o f deliver­
ing the daily papers by carriers is not more than half a dollar a year for 310
papers. The dealers in penny papers often lay up money by buying papers
at 67 cents per hundred and selling them for a cent a piece, or serving them
to subscribers at 6 cents per week, which they collect weekly. It may be said,
and with truth, that letters require to be delivered with more care than pa­
pers, so that even prepaid letters will require more time. But many persons
will have letter boxes at the door, properly secured, into which the carrier
can drop his prepaid letters, ring the bell, and pass on. For it must not be
forgotten that, when the old spirit o f exaction shall be cast out, and the spirit o f
accommodation becomes the inspiring genius o f . the post-office, all reasonable
and decent people will be equally as^ansioue' to, acSwimodate it, as it is to
accommodate them. A nd this ri^dry o f mutual facilitation will be o f itself
a stride in the progress o f sociab feflncijient- .(■?' ' j i '
Another branch o f the servicd wnich'jneeds, and' will feel the renovating
effects o f cheap postage, is the arrangement, o f tiio mails, especially those
which are connected with the steamboat andTmlroad lines. For example :
The mails from Boston for the surrounding villages, two, three, five, or ten
miles distant, are mostly sent early in the morning, and are made up over
night. A large share of the letters and papers for those places are from the
South, and are brought to Boston by the steamboat line from New York,
which arrives after those mails are made up, but before they are actually de­
spatched. The consequence is, that all those letters lie in the Boston postoffice till the next mail— often 24 hours. If there is a noon mail, they get
them, but too late to reply by return o f mail. The contents of the English
mail, when it comes to New York, are subject to a similar detention. The
remedy is, to require the traveling mail agents to sort and arrange all those
mails during the passage from New York, so that they can be despatched
in a moment with the outgoing morning mails for Boston.
The same thing might be done to a great extent in the railroad trains, by
just securing a proper apartment for the post-office in one o f the cars. Even
if additional clerks should be required to perform the labor, it would be so
much labor saved from the clerks in the office. And the difference o f expense
would be trifling in comparison with the public advantage, and the great in­
crease o f correspondence which it would produce. Such a system, were it
introduced, would lead to a multiplication o f mails in some proportion to the
number o f trains running daily. Only simplify the process, and take away
the mystery and machinery with which the business is invested, and there is
no good reason why letrers should not be delivered as frequently as parcels.
In connection with this would be a more reasonable provision for late posted
letters. The mail now closes at Boston one hour before the departure of the
train, and after that no letter can pass through the post-office for New York.
But by sending half a mile, to the railroad station, a letter can be dropped
in the box at the very instant of departure. A nd the mail itself is not taken
from the post-office till within 20 minutes o f departure. W h y, then, may
not a pocket be kept open at the post-office, in which late letters nay be de­
posited, for an additional postage, up to the time that the mail is taken ?
Such a practice existed, by connivance, though without an additional fee, for
late letters. A n d those letters, with those left at the cars, were sorted by




The Practical W orking o f Cheap Postage.

51

the traveling agent during the passage to New York. But the Postmaster
has legally ordered it discontinued, at some inconvenience to the public.
W hat we want is a new system.
A recent case will illustrate several points in this connection. The mail
agents on the railroad lines had been in the practice o f receiving all letters
deposited with them or in the letter box o f the car, and these letters they
sorted and mailed, as far as they could. But a question arose in regard to
the legality o f this practice, and the matter was referred to the general postoffice for decision. The Postmaster-General thereupon issued a circular,
stating that the proper duty o f the route agents is the care and delivery o f
the mails, “ but inasmuch as necessity may at times require letters to be written
too late to be mailed at the office,” the route agents “ are permitted to receive
and mail them,” it being “ presumed” that no person will thus deliver letters
“ except in a real case o f necessity.” This order was considered by some o f
the agents to be a virtual permission to refuse letters ; which produced com­
plaints, and the case went back to the Postmaster-General for explanation.
This produced the following order, which is placed on record as a memorial
o f the no-system which now governs the post-office— the fault o f the insti­
tution more than o f those who are compelled to administer it.
P

o st-O f f ic e

D

epartm en t,

November 23c?, 1849.

S ir : It is represented that some route agents on the railroads have given such

construction to a circular recently issued, as to refuse to receive letters for the mail.
Such is not the language or object o f that circular. Its object was to induce the com­
munity, as far as possible, to deposit all letters in the post-offices, where their de­
spatch would be most convenient and certain, but at the same time to have the
agents receive those delivered to them, and to mail them as far as in their power.
They will continue to receive all that are offered, and to mail to destination all
that they can. Respectfully, your obedient servant,
J. C o l l a m e r , Postmaster-General.
It reminds one o f Mr. Adams’ famous “ Ebony and Topaz” toast, the strug­
gle between light and darkness, the endeavor to harmonize the spirit o f ex­
action with the spirit o f accommodation. W ill any one tell us what was the
object aimed at by the circular, that is not given up by the explanatory or­
der ? The fault is in the system. The people demand accommodation,
while the genius o f the system prompts to exaction. There is no way to
restore consistency and uniformity o f action, but by establishing unity o f
principle, in conformity with the demands o f the people.
To facilitate and systematize these arrangements, and superintend their
working, and keep them in order, we need a division o f the work into dis­
tricts, from ten to twenty in number, on a plan partly suggested by Major
Hobbie’s letter. In each district there should be a deputy Postmaster-Gene­
ral, with a surveyor and clerk, who might have the entire direction o f the
mails and routes, under the paramount orders o f the Postmaster-General.
Our post-office army is now made up o f a General, three Majors, and 20,000
privates, each one o f the latter being in direct correspondence with the Chief.
No service can be made effective under an organization so defective and un­
business like. A district deputy, with a proper force o f assistants, would
have, in effect, a personal supervision o f the whole work. It would involve
some additional expense, but at the same time it would greatly simplify the
work, and reduce the labor and cost o f the general post-office ; and would
more than pay for itself by its promptness in stopping innumerable small leaks,
which now go undetected. It would give unity and consistency o f move­




52

The Practical W orking o f Cheap Postage.

ment to the whole work, prevent many complaints, and greatly promote the
public accommodation.
Perhaps it will not be out o f place to consider what may be the working
o f the new system in regard to the postage o f Congress, which is now such
a big affair. The Postmaster-General, in his report o f the present month,
(December, 1849,) states the value o f the postage o f Congress at $792,700,
in addition to the sums allowed to postmasters for distributing free letters;
amounting, probably, to §150,000 more. The labor o f franking so many
speeches and documents, which custom has imposed upon members o f Con­
gress, is felt by very many o f them to be a grievous bondage, from which
they would very gladly be freed, if it could be done with honor, and without
the loss o f popularity or o f political advantage. In order to have a correct
understanding o f the case, it is necessary to divide the business into three
classes, letters, public documents, and speeches.
The letters to and from members o f Congress are very numerous, in con­
sequence o f their having the frank. A nd the great number o f letters they
receive, and o f answers they write, may be a good illustration o f the way
letters will be multiplied when every body gets what will be equivalent to
the franking privilege— that is, a rate o f postage so low that no one will ever
omit writing on account o f the expense o f postage. If the Congressional
franking privilege be abolished in the “ A ct for establishing cheap postage,”
it will not tax members with the expense o f postage on letters sent to them,
because all such letters will be prepaid by the sender, who will also, if he is
a gentleman, enclose a stamp to prepay the answer. Or, if Congress shall
think it necessary, each member can be supplied with a certain quota o f let­
ter-stamps, as he is now furnished at each session with a fixed allowance o f
stationery.
The public documents published by Congress, for the information o f the
people, have been the subject o f much censure that they do not deserve.
It will be a bad day when Congress shall cease the circulation o f documen­
tary details of the public business. It may be that there has sometimes
been an excess. But o f this Congress must be the only judge. W e must
have documents published, large ones, in large numbers.
A n d they
must be circulated through the mail, at least to a great extent, because there is
no other channel through which they can be spread to all parts o f the country.
All that the friends o f cheap postage should ask is, that the expense of circu­
lating these documents should be paid by Congress, and not made a tax upon
the letter correspondence as at present. In that case the documents would be
enveloped for the mail, and each one officially stamped, “ Document o f the Sen­
ate,” or “ Document o f the House of Representatives.” A member, on learning
the number and description o f documents allotted to his disposal, would have
nothing more to do but to hand to the proper clerk a list o f names to whom
they should be forwarded, and they would be directed and sent, the whole
being weighed at the post-office, and. the postage charged to the House fund.
I f members wish to have the documents show from whence they come, it
would be easy to procure stamps with each member’s name to be applied to
all his documents.
The business o f franking speeches and electioneering documents will all
be superceded by the provision o f stamped bands or envelopes, at one cent,
for all newspapers and pamphlets not exceeding two ounces in weight. There
is the whole matter o f Congressional postage, disposed o f with the emancipa­
tion o f members from the burden o f franking.




The Practical W orking o f Cheap Postage.

53

A s soon as the system o f cheap postage shall he adopted the public will
demand its extension to the ocean also. It will be a sorry blunder if our
statesmen allow Great Britain to take the lead o f us in establishing “ ocean pen­
ny postage.” W ith 3,000,000 of citizens who were born in the old world,
and half a million more coming over every year, it is an abuse for Congress
to allow their correspondence with the “ loved and left beyond the sea,” to be
clogged with an enormous tax.
There is no reason whatever why the
principles o f cheap postage should not be as well applied on the sea as on
the land, and with as good success. B y establishing sea postage at two
cents in all American packets and vessels, we should lay three millions o f ca­
pillary tubes, through which the principles and example o f our freedom
would be communicated to the hearts o f the people all over Europe.
The great convenience o f stamps for prepayment o f postage is well worthy
o f consideration. This has not been realized in the use of stamps under
the present system, because no special inducement has been offered for
prepayment. W ith the existing rates o f postage it would not do to charge
a double rate on unpaid letters. But with a postage o f two cents, when pre­
paid with stamps, and the stamps kept for sale at every post-office and every
shop, their use would become universal. They would answer to remit small
sums by mail. There is no trouble o f making change at the window, no
loss o f money by a child in going to the post-office. In a word, the diffe­
rence in the ease and despatch o f business, between cheap postage and any
possible modification of the present system, is as great as between a well-or­
dered railroad, and an old-fashioned two-horse stage, without springs, on a
muddy winter road.
It is hardly within the compass o f possibility that the expectations o f the
friends o f cheap postage should not be much more than realized in its success.
It is not credible that we should not send 120,000,000 or 130,000,000 of
letters the first year ; or that we should not double again in five or six years
more. W h y , Ireland, poor Ireland, in her squalid misery, without a legisla­
ture, and without foreign commerce, and with millions o f people who never
taste o f bread— Ireland mails 28,587,090 letters in a year, under the influ­
ence o f cheap postage. Scotland, with but 2,628,957 inhabitants, and no
great commercial center, or political metropolis, sends 28,669,169 letters
yearly. Scotland and Ireland together, with 11,000,000 o f inhabitants, send
57,000,000 ; only 5,000,000 less than the number we have reached in the
fourth year o f our reduced postage.
Does any sensible man, who is acquainted with the working o f cheap post­
age in Great Britain, entertain a doubt that this system is to he adopted
here ? Nothing short o f it can satisfy the reasonable demands of the peo­
ple. W h y delay ? W h y waste time in experiments that we know must be
futile ? It will cost less money, create less complaint, and confer greater
benefits, to do at once, what all must see is to be done at last. H ow many
generations will honor the memory o f the thirty-first Congress, if they will
make their first act o f general legislation the “ A ct to establish C h e a p
P ostage .”




54

Commercial Cities and Towns o f the United States.

Art. V.— COMMERCIAL CITIES AND TOWNS OF THE UNITED STATES.
NUM BER

S IX .

THE CITY OF WORCESTER,

Ma ss ac h u se tts.

L O C A T IO N — E A R L Y S E T T L E M E N T A N D H IS T O R Y — M A N U F A C T U R E S — P R O G R E S S IN P O P U L A T IO N — W E A L T H
A N D T A X A T IO N — B A N K IN G IN S T IT U T I O N S — S A V IN G S B A N K — R A IL R O A D S , E T C .

T h e town, or ratlier city o f Worcester, this ancient and flourishing place
having recently been admitted to the rank and liberties o f a municipal incor­
poration, is the shire town o f Worcester county, Massachusetts. It is situ­
ated 40 miles west from Boston, 50 miles east from the Connecticut River
at Northampton, about half-way, therefore, between the two, 194 miles from
the city o f New York, and 394 miles from Washington. The Connecticut
is the nearest navigable stream o f importance. Through the valley o f W o r­
cester flows the Blackstone, which, with its branches, rill, rivulet, and brook,
penetrates to almost every farm, and drains the whole valley. The largest
body o f water in the vicinity is a pond, or rather lake, lying partly in W o r ­
cester and partly in Salesbury township, which extends, from north to south,
about four miles in length, with bold shores, dotted with islands, some o f
which are said to be still clothed with their primeval forests, and whose
waters, uniting with those o f H alf Moon, Round, and Flint Ponds, find an
outlet in the Little Blackstone. This lake, sometimes called Long Pond, is,
we are assured by the antiquarian and historian, entitled to the ancient Indian
name of Quinsigamond. By this name the district, as well as the pond, are
designated in the early colonial records.
Like most Massachusetts towns, Worcester is lucky enough to have an
origin which, without a stretch o f language, may be called ancient, and a
history running far enough back into the past, to possess an interest for the
antiquarian, and to perplex him with its obscurity.
As early as the 18th May, 1664, a grant o f 3,200 acres, made by the
colony as early as 1657 to Mr. Increase Nowell, was located on the east side
o f Quinsigamond, Quansiggemuck, Quinsigamug, or Quonsigamong, which
are a few o f the various readings which antiquity supplies o f this ancient
name.
The Indians o f this region were o f the Nipmuck, or Nipnet, Tribe, whose
lands are believed to have extended over part o f the north o f Worcester
county, the whole o f the southern part, into Connecticut, and, possibly, as
far west as the Connecticut River.*
In 1665, commissioners were appointed by the “ Great and General Court ”
to make a survey, and determine if there be “ a meet place for a plantation,
that it may be improved for that end, and not spoiled by granting farms.”
N o survey was made until 20th October, 1668, when a report was pre­
sented recommending the reservation o f the site for a town, it “ being con­
veniently situated, and well watered with ponds and brooks, and lying near
midway between Boston and Springfield, about one day’s journey from either.”
The land is pronounced “ very good chesnut-tree land.” The Court there­
upon appointed a committee o f four to settle the town so recommended in

* The reader w ho w ould learn the w hole history o f this town is referred to the w ell-w ritten and
interesting “ History o f W orcester, Massachusetts.” By W i l l i a m L i n c o l n , W orcester, 1837.




The City o f Worcester, Massachusetts.

55

the report. The committee held its first meeting in Cambridge, July 6,
1669, and formed a plan for the settlement, in which it was proposed to di­
vide the territory into ninety twenty-five acre house lo ts; that the most con­
venient place, nearest the middle of the town, should be set apart and im­
proved for placing the meeting-house for the worship of G o d ; a convenient
lot o f fifty acres for the first minister should be laid out as near to it as might
b e ; another lot in the next convenient place, not far from thence, for the
ministry that should succeed in all future tim es; that twenty acres should
be reserved, near the center, for a training field, and to build a school-house
upon ; that a lot o f twenty-five acres should be appropriated for a school and
school-master, to remain in that use forever; and that two hundred and fifty
acres should be for the use o f the county.
Thus careful was colonial wisdom, in laying the foundation o f their State,
to secure religion and learning for its corner-stone, and whatever doubts po­
litical theory may suggest as to the policy and justice o f uniting church and
State, who can fail to see that, under the circumstances, the founders o f W o r­
cester pursued the only wise course, and showed true foresight 1
In 1675, the work o f settlement went on with vigor, surveys were made,
numerous grants confirmed, and six or seven houses erected. The settlement
clustered around the “ old Indian fort,” a block house erected at an early pe­
riod on the ancient “ county r o a d ” to Connecticut, which passed near the
pond. The time was not yet gone by when such prudence was needless.
Although the Nipmuck o f Pokachoag were o f a more gentle and peaceful
character than other tribes, and although the pious labors o! Elliot, who
visited them in September, 1674, had not been without effect, yet overruled
by their fiercer neighbors, and by the genius o f Philip, they also became a
dangerous enemy.
The town, from which the inhabitants had fled on the approach o f the
Indians, was destroyed by them, December 2 ,1 6 7 5 . On the return o f peace
vigorous efforts were made to rebuild i t ; the land, be it observed, had been
before purchased o f the Indians, but one Sagamore Paunasunet not having
joined in the conveyance, his title was purchased of his heirs.
On the 10th September, 1674, the “ Great and General Court” permitted
the “ plantation at Quansigamond to be called Worcester.” But, on the
breaking out o f Queen Anne’s W ar, when danger from the Indians again
threatened, the town, or rather the attempt to build, was again abandoned.
“ The inhabitants fled, and the place was given up to decay.”
Finally, a last successful attempt was made in 1713, and Colonel Adam
W inthrop, Gershon, Jonas Rice, and others, are'th emen to whose daring,
or whose enterprise, Worcester owes its first successful settlement. The first
male child born in Worcester was Adonijah, the son o f Jonas Rice, on the
7th November, 1714. In 1718, it was estimated to contain fifty-eight dwell­
ing houses.
But it is not our design to detail the past fortunes so much as the present
prosperity o f Worcester. In all the struggles and dangers o f Indian and
French wars, in the trials and perils which afforded so useful, not to say ne­
cessary, a preparation to the people o f colonial America for the revolutionary
struggle that was coming on, the citizens o f Worcester shared fully and hon­
orably.
Worcester was, in fact, a sort of interior capital o f the State, the center
of the more western counties, and, from the beginning of the contest o f words




56

Commercial Cities and Towns o f the United States.

and negotiation to the end o f that o f the sword, its citizens never failed to
respond to the call o f patriotism from the eastern capital, Boston.
On the 21st October, l^GS, the town instructed its fepresentatives to join
in no measure countenancing the Stamp Act. A t the same time the people
o f Worcester, through their grand jury, with the discrimination o f the true
patriot, condemned the rioters who destroyed the property o f Governor
Hutchinson, in Boston.
The tax on tea called forth from Worcester a cry o f indignation and re­
monstrance, and a spirit of resistance full as deep and strong as from any
other place. Many o f the inhabitants entered into an agreement not to buy
any European commodity but what was absolutely necessary; “ that we will not
at funerals use any gloves, except those made here, or purchase any article
o f mourning but what shall be absolutely necessary.” They consented to
abandon the use o f all foreign tea, “ which are clearly superfluous, our own
fields abounding in herbs more healthful.” A convention o f ladies, animated
by the spirit o f these resolutions, held at Boston, recommended the Labrador
tea (Ledum Palustre) as a substitute.
Worcester was the home o f many obstinate tories as well as zealous
whigs. Chandler, whose family was distinguished in the early history o f the
town, and Putnam, a most able lawyer, put forth their strength to check the
spirit o f rebellion; but, after a struggle, the rogated party was prostrated.
The energy and vigilance o f such men as Timothy Bigelow, Jonas Hubbard,
and a little later of Isaiah Thomas, insured the triumph o f the whigs.
In March, 1775, minute men were organized, who trained half a day in
each week. The tradition is yet preserved in many o f the villages o f W o r ­
cester, o f a horseman mounted on a white horse, death’s messenger, if not
death, who came riding into town on the morning of the 19th April, 1775,
shouting, as he passed, “ To arms ! to arm s! the Avar is begun !” W hen
he reached the church his horse fell exhausted, his white sides red with blood,
and wet with sweat. That day, one hundred and ten men, under Captain
Bigelow, marched from Worcester. In the daring and disastrous march
against Quebec, Arnold was joined by Major Bigelow, Captain Hubbard, and
twelve men from Worcester. From the Kennebec, the heroic Hubbard wrote
to his wife :— “ I know not whether I shall ever see you again. The weather
grows severe cold, and the woods, they say, are terrible to pass; but I do
not value life or property, if I can secure liberty for m y children.” The ter­
rible forests were passed, but the “ son o f liberty ” fell in the attack at the
head o f his command. l i e refused to be removed from the falling snow and
flying balls. “ I came here to serve with you, I will stay here to die with
you,” were his dying words.
It was to Worcester that Isaiah Thomas took refuge from the persecution
which the patriotic tone o f the “ Massachusetts Spy ” called down upon him
at Boston. His press having been previously removed in secret, after a busy
day at Lexington on the 19th, where Mr. Thomas was with the militia, mus­
ket in hand, he journeyed all night, and reached Worcester the next day.
The Spy, then first published at Worcester, has been continued to this day,
running a career ancient and honorable. The activity and industry o f Isaiah
Thomas, succeeded in building up one o f the most extensive, and, we think,
earliest printing and publishing establishments in the country. His “ His­
tory o f Printing,” in two octavo volumes, was published at Worcester in
1810. A copy of the New Testament in the original, bearing the colophon
“ Wigormal, Massachusetteusi, Excudebat Isaias Thomas, Jr., April, 1800,”




The City o f Worcester, Massachusetts.

57

is now in our possession, and is valued as the first American edition of that
work, and one o f the first Greek hooks printed in America.
On the 14th July, 1776, the Declaration of Independence was received at
Worcester. It was publicly read by Isaiah Thomas. On Monday following,
the first fourth o f July celebration in Worcester took place. A m ong the
toasts were— 1. Prosperity and perpetuity to the United States of America.
4. His Excellency, George Washington. 6. Commodore Hopkins. 13.
Sore eyes to all tories, and a chestnut-burr for an eye-stone. 14. Perpetual
itching without the benefit o f scratching, to the enemies o f America, &c.—
somewhat coarse, but just. Any great historical picture, if you scan it closely,
betrays such little coarseness, why not that o f the Revolution ?
In the course o f the war Worcester furnished the army with one colonel,
two lieutenant colonels, two majors, seven captains, ten lieutenants, five en­
signs, twenty sergeants, and three hundred and eighty-nine privates.
N o sooner was the Revolution over than the citizens o f Worcester were
called upon to pass through another trial, which visited all the colonies in a
degree, but only at one or two points led to peril to the State. The Revo­
lution left behind it financial ruin. There was no trade— there were no man­
ufactures— there was no currency. It was, indeed, a commercial crisis, as
well as a political one. The two were blended together, and the former came
well nigh inducing a political crisis dangerous to liberty. W orcester was
the seat and center o f Shay’s rebellion, as it has been called, not from the
disaffection o f its own citizens, but because being the capital, in fact, o f the
district, the seat o f justice, where the courts were held, it became the first
point o f attack for the seditious, whose object was to prevent the prosecution
o f suits, and whose excuse was the ruined condition of all classes, which ren­
dered the payment of debts, de fa cto, impossible, and their prosecution, de
ju re, somewhat of a farce, and almost an oppression. The arguments which
can justify a general bankrupt law, may almost palliate Shay’s rebellion.
“ In 1784,” says Lincoln, “ more than 2,000 actions were entered in the
county o f Worcester, then having a population less than 50,000, and in
1785, about 1,700. Lands and goods were seized and sacrificed on sale,
when the general difficulties drove away purchasers.
For some weeks the insurgents held possession o f the town, which, how­
ever, they abandoned about the 8th December, 1786. The remnants of their
forces under Shay, at Petersham, were broken up, and the insurrection brought
to an end by a bold and sudden movement o f General Benjamin Lincoln,
who, at the head o f 4,400 men, by a forced march which has been pro­
nounced one o f the most “ indefatigable ever performed in Am erica”— a
march o f thirty miles performed in one intensely cold and snowy night, fell
upon them as if from the clouds, and routed them without firing a gun, on
the 4th February, 1787.
The career and progress of Worcester, during the long years o f peace
that followed, more pleasant than interesting in the recital, are best seen in
the recital o f its present prosperity.
Worcester is the center o f one of the richest and most productive agri­
cultural regions in Massachusetts, and few towns in the State produce a
greater variety o f manufactured articles, or a larger amount, if wo take into
view the fact that there is not a single chartered company for manufacturing
purposes in the city, all being carried on by individual skill, capital, and en­
terprise.
W e have no later official data than a document prepared from the re­




58

Commercial Cities and Towns o f the United States .

turns o f the assessors by the Hon. J ohn G . P a l f r e y , late Secretary o f the
Commonwealth o f Massachusetts, for the year ending April 1, 1845. The
four or five years that have elapsed since that time, have not only added
some new branches o f industry, and increased the number in several o f those
then in operation, but extended the operations of almost every branch o f
manufactures in this rural and industrial city. From these returns we de­
rive the following particulars o f the productions, &c., o f Worcester for the
year 1845. The returns for the year 1850, would doubtless show an in­
crease in the aggregate, o f from one-third to one-half in the value o f the
manufactured articles.
Cotton mills, 3 ; spindles, 4,800; cotton consumed, 360,000 lbs.; sheetings manufac­
tured, 637,597 yards; value, $*36,944; cotton yarn manufactured, and not made into
cloth, 2,100 lbs.; value. §410; cotton thread manufactured, 21,500 lbs.; value, §7,830;
capital invested, §53,200; males employed, 4 2 ; females employed, 35.
Woolen mills, 6 ; sets of machinery, 11; wool consumed, 307,550 lbs.; broadcloth
manufactured, 88,960 yards ; value, §124,540 ; satinet, 166,000 yards ; value, §72,500;
males employed, 72; females employed, 61.
Mills for the manufacture of carpeting, 1.
Furnaces for the manufacture of hollow ware and castings, other than pig iron, 3 ;
hollow ware and castings manufactured, 1,750 tons ; value, §134,500; capital invested,
§47,500; persons employed, 135.
Establishments for the manufacture of cotton, woolen, and other machinery, 12;
value of machinery manufactured, §310,000; capital invested, §89,800; persons em­
ployed, 239.
Lock manufactories, 2; Jocks manufactured, 19,200 ; value, §6,000; capital invested,
§2,700; persons employed, 11.
Plough manufactories, 1; ploughs and other agricultural tools manufactured, 8,000;
value, §48,000: capital invested, §10,000 ; persons employed, 35.
Brass foundries, 1; value of articles manufactured, §2,000; capital invested, §400;
persons employed, 3.
Paper manufactories, 1 ; stock consumed, 450,000 lbs.; paper manufactured, 300,000
lb s .; value, §30,000; capital invested, §11,000; persons employed, 12.
Saddle, harness, and trunk manufactories, 4 ; value of articles manufactured, §7,500;
capital invested, §2,000; persons employed, 12.
Hat and cap manufactories, 5 ; hats and caps manufactured, 14,182 ; value, §24,752 ;
capital invested, §11,600; persons employed, 32.
Cordage manufactories, 1: cordage manufactured, 14 tons; value, §4,000; capital
invested, §1,500; persons employed, 4.
Card manufactories, 2 ; value of cards manufactured, §22,000; capital invested,
§7,000 ; persons employed, 8.
Establishments for the manufacture of railroad coaches and other vehicles, 5 ; value
of vehicles manufactured, §221,100; capital invested, §67,450; persons employed, 127.
Soap and tallow candle manufactories, 2 ; soap manufactured, 800 bbls.; value,
§3,200; tallow candles manufactured, 10,000 lbs.; value, §900; capital invested, §2,000;
persons employed, 4.
Chair and cabinet ware manufactories, 3 ; value of articles manufactured, §27,500;
capital invested, §15,500 ; persons employed, 28.
Tin ware manufactories, 6 ; value of ware, §38,500; capital invested, §8,600; per­
sons employed, 26.
Boots manufactured, 140,000 pairs ; shoes, 143,000 pairs ; value of boots and shoes,
§288,550 ; males employed, 566 ; females employed, 119.
Straw bonnets and hats manufactured, 4,000 ; value, §10,000; female employed, 10.
Bricks manufactured, 5,600,000 ; value, §28,000 ; persons employed, 40.
Value of snuff, tobacco, and cigars manufactured, §4,000; persons employed, 8.
Value of building stone quarried and prepared, §23,500; persons employed, 51.
Value of whips manufactured, §1,500; persons employed, 2.
Value of mechanics’ tools manufactured, §12,000; persons employed, 8.
Value of wooden ware manufactured, §7,250; persons employed, 10.
Lumber prepared, 500,000 feet; value, §6,000; persons employed, 8.
Fire wood prepared, 2,644 cords ; value, §9,254 ; persons employed, 8.




The City o f Worcester , Massachusetts.

59

Sperm oil consumed in manufacturing, 7,660 gallons; value, $7,660 ; all other kinds
of oil, 750 gallons; value, $600; anthracite coal consumedin manufacturing, 577 tons ;

value, $4,6] 6 ; bituminous coal consumed, 85 chaldrons; value, $935 ; value of all other
articles of American production, excepting cotton, wool, and iron, consumed in manufac­
turing $110,000; value of all other articles of foreign production consumed, excepting as
above, $45,000.
Value of letter presses manufactured, $3,500; capital invested, $1,600; persons
employed, 4.
Value of machine card presses manufactured, $18,000; capital invested, $5,000;
persons employed, 4.
Value of hand card presses manufactured, $4,000; capital invested, $2,000; persons
employed, 4.
Value of patent water wheels manufactured, $5,000; capital invested, $3,000; per­
sons employed, 5.
Value of sashes, doors, and blinds manufactured, $16,500; capital invested, $8,500 ;
persons employed, 23.
Value of fancy boxes manufactured, $2,500; capital invested, $500; persons em­
ployed, 5.
Value of sieves and wire work manufactured, $8,000; capital invested, $3,000 ;
persons employed, 11.
Value of paper hangings manufactured, $6,500; capital invested, $2,500; persons
employed, 7.
Value of window blind hangings and fastenings manufactured, $2,400; capital in­
vested, $400; persons employed, 3.
Value of musical instruments manufactured, $300; capital invested, $100; persons
employed, 1.
Value of marble monuments manufactured, $5,000; capital invested, $2,200; persons
employed, 7.
Value of Japan and varnish manufactured, $7,500; capital invested, $1,000; persons
employed, 1.
Value of silver plated ware manufactured, $1,500; capital invested, $500; persons
employed, 2.
Value o f reeds and harnesses manufactured, $8,000; capital invested, $1,500; per­
sons employed, 25.
Value of nuts and washers manufactured, $1,500 ; capital invested, $1,000; persons
employed, 2.
Value of trusses manufactured, $350; capital invested, $1,000; persons employed, 1.
Value o f umbrellas manufactured, $4,500 ; capital invested, $3,000 ; persons em­
ployed, 6.
Value of copper and wood pumps manufactured, $2,500; capital invested, $700;
persons employed, 6.
Value of cotton carpeting manufactured, $26,000; capital invested, $7,000; persons
employed, 11.
Value of card wire manufactured, $110,000 ; capital invested, $60,000; persons em­
ployed, 51.

W e passed some time in Worcester during the past season, and visited
several o f the manufacturing establishments; and, among others, the wire
manufactory o f Mr. Ichabod Washburn. This establishment has been in
operation about 17 years, employs 50 hands, and turns out from 300 to 500
tons o f the various sizes, including card, reed, cotton flyer, annealed, broom,
buckle, and spring wire ; also, all kinds o f round, flat, or oval wire, adapted
to various machine purposes. The telegraphic wire manufactured at this es­
tablishment is made from foreign extra refined iron, which experience has
shown to be more reliable than American iron, although in this respect im­
provements are being made.
W e also visited the extensive pistol factory o f Messrs. Allen and Thurber.
One hundred men are employed in the various processes o f manufacture, and
every pistol goes through some twenty-five different hands, who turn out
fifty per day, or nearly 15,000 per annum. The California speculation has




CO

Commercial Cities and Towns o f the United States.

created a great demand for this article, and its reliable quality has secured for
Messrs. Allen and Thurber a ready market for all that they are able to turn
out. Every pistol is tested before it is sold. For beauty and strength we
believe that these pistols stand unrivalled in the market.
The progress o f Worcester in population and wealth since 1840 has been
remarkable. Few cities in the New England States, if we except Lowell,
Lawrence, &c., which have been built up by incorporated capital invested in
extensive manufactures, show a greater increase in population or in wealth.
W e here subjoin a table exhibiting the population in different years from
1763 to 1849. The census in each year from 1790 to 1840 is the official,
as shown by the census o f the United States, and that for 1S45, by the State.
The census o f 1847 was taken by Worcester, preparatory to applying for a
city charter. For 1849, we have given an estimate, based on the official
census o f 1845 and 1847. The progress in wealth, or in the increased val­
uation o f property, is equally remarkable, especially during the last nine or
ten years, as will be seen by the subjoined table:—
POPULATION AND VALUATION OF PROPERTY FROM

Years.
1163___
1116___
1190.......
1800.......
1810........
1820........
1830........

___
___
___
___
___
___
___

1763

Population. Val.of prop. Years.
1,418
1840...........
R925
1845............
2,095
1846............
2^411
$296,542 1841............
2,511
1,416,383 1848...........
2,962
2,015,150 1849............
4,112
2,141,8001

TO

1849.

Population. VaL of prop.
1,491
84,2S8,950
6J)04^050
11,556
l,116'l00
1,690^850
15,643
8,121,100
10,150,282

W e cannot, perhaps, give a better idea o f the distribution o f wealth in an
inland city, in one o f the most wealthy States in the Union, than by pub­
lishing a list of the persons who paid a tax in 1849 upon $20,000 and up­
wards. The property o f the wealthiest man in the city, it will be seen, is
valued at $511,000. The valuation is probably below the market value.
The following schedule embraces the name o f ninety-one individuals and
firms in the city of Worcester, the valuation o f whose property amounts
each to $20,000 and upwards, with the amount o f tax assessed upon each,
at the rate o f $6 75 per $1,000 :—
Valuation.

Stephen Salisbury.
Sarah W aldo........
Isaac Davis...........
Elizabeth Salisbury

Tax.

$511,000 $3,449 25 R’gles, Nourse cfc Co
145,100
919 42 Fred. W. Paine... .
143,150
910 34 Est. Eliz. Waldo.. .
143,200
966 60 Ephraim M ower...
139,054
928 61
Wm. A. Wheeler..
809 i i Wm. T. Merrifield.
12l'350
Icliabod Washburn
115,850
181 98 F. H. Kinnicutt. . . .
L. & E. L. Barnard.
111,290
151 20 Abiel Jaques.........
John G reen.. . . . .
101,300
683 11 Wm. M. Bickford..
George Bowen___
94,000
634 50 John W. Lincoln..
Charles Paine........
89,900
606 82 Pliny Merrick........
Henry Goulding . .
86,100
585 22 Est. Amos Brown..
Bradley
Rice... .
11,000
519 10 James Estabrook..
Sam’l M. Burnside.
508 11 George T. Bice.. . .
16,550
Fox, Rice & Co.. . .
10,000
412 50 Samuel H. Colton.
Charles Washburn.
381 21 Tucker & Bonney..
51,300
386 43
57,250
Willard Browu....
384 21 Ira M. Barton.........
56^930
Edwin Conant. . . .
311 25 Albert Brown........
55,000
Alfred D. Foster..
369 22 John F. Pond........
54,100
John Davis............
359 50 Charles Thurber. .
53,260




Valuation.

$53,150
53,000
52,106
50,610
49,110
49J00
48,500
41,150
41,000
44,020
43,800
42,850
41,000
40,650
40,630
40,500
39.850
31^250
31,000
36,300
36,150

Tax.

$358
351
355
342
331
331
321
318
311
291
295
288
216
214
214
213
268
251
250
245
244

16
15
16
02
49
42
31
26
25
13
12
63
15
38
25
31
98
43
25
02
12

The City o f Worcester, Massachusetts.
Benj. F. Heywood.
Samuel Davis........
Daniel Goddard. . .
Geo. A. Trumbull..
Horatio N. Tower..
Est. Kebec’a Waldo
Francis T. Merrick.
George Hobbs. . . .
Wm. Dickinson___
Rejoice N ew ton.. .
Perley Goddard. . .
Simeon Burt..........
Thos. Kinnicutt.. . .
E. H. Hemmenway
Horatio Phelps___
E. P. .Partridge.. . .
Lewis Bigelow___
ElijjjM-Eliigg..........
t. DaStiieJl Waldo.
.Samuel IX Harding
Fjrancis Ll.-pfewey.
Safnuel Perry........
' >Charles Allen . . .
' Edward Earje........
Wiljiam ijrfw n . . .
V

V

.. • '

Valuation.
135,700
35,300
35,110
34;850
34,100
33,317
33,100
32,900
32,000
31,285
30,000
30,000
29,700
29,700
29,500
29,400
29,260
29,220
29,000
28,950
28,450
28,220
28,130
27,615
26,400

s/

Tax.

$239
238
236
233
230
224
223
228
216
210
202
202
200
200
199
198
197
197
195
195
190
190
189
186
178

97
27
99
23
17
88
42
07
00
97
50
50
47
47
12
45
50
23
75
41
68
48
87
40
20

John Hammond. . .
James H. W all... .
Artem’s Ward, 2d.
Simon S. Gates. . .
L. & S. P. Harring’n
Paine Aldrich... . .
W m. Harrington. .
B. L. Hardon & Co.
Frederic W. Gale..
Geo. W.Kichardson
A. M. Merrifield...
C. A. <fcE. Harring’n
E. T. Balcom b.__
Horace Chenery...
Abijah Bigelow. . .
William C. Clark..
David S. Messinger
J. & B. Harrington.
Alvin Waite...........
Jonathan Grout. . .
George Chandler..
Kinnicut <Ss Co___
Benjamin Buffum..
A. Chamberlin___

61

Valuation.
$26,025
25,755
25,650
25,600
25,400
25,300
25,200
25,200
24,800
24,400
24,375
23,750
23,300
22,883
22,260
22,250
22,100
21,510
21,100
21,050
20,300
20,000
20,000
20,000

Tax.

$176
173
173
172
171
170
170
170
167
164
164
160
157
151
150
150
149
145
142
142
137
135
135
135

66
84
13
80
45
77
10
10
40
70
53
31
27
08
25
18
17
19
42
08
02
00
00
00

NON-RESIDENTS.

Valuation.

n and Worcester Railroad.............................
George Brinley, Hartford........................................
Heirs P. Amidon, Boston........................................
Worcester and Nashua Railroad............................
Western Railroad...................................................
Providence and Worcester Railroad.....................
Catholic C ollege......................................................
Edward Lamb, Boston............................................

$100,400
16,000
34,000
29,900
28,200
26,000
24,000
24,000

$677
513
229
203
190
175
152
152

70
00
50
82
35
50
00
00

As we have given the “ upper twenty thousand,” we may as well subjoin
the “ upper ten thousand,” who pay a tax upon $10,000 and upwards, but
below $20,000. Should either o f the classes o f “ uppers ” discover any in­
justice in the valuation o f tht-'r. property, that if is either overtpr under esti­
mated, we will cheerfully, s® . tjip matter to. right; hj a future number o f our
journal; remarking, at the same time, that” th e' errols, i f any, have been
committed by the assessors, and. not by $he.e3jtbr.o* the Merchants? M aga­
zine. The worthy citizens of tVorsester.whc af& het”t enrolled in either of
the lists must console themselves with the/eflection that they have a smaller
tax to pay, and that they constitute an cvevwfjelming majority of its popu­
lation.
Allen tfc Thurber..
Baker, Smith.........
Bangs, Mary G.. . .
Barber, Wm. & Sil’s
Billings, Samuel...
Bliss, Harrison. . . .
Brittan, Josiah. . . .
Bigelow, W. & Son.
Bowen, Charles___
Bowen, Eben. H .. .
Bartlett, Stephen..
Bigelow, W. R . . . .




Valuation.
$18,500
10,600
17,600
12,150
14,400
17,280
19,350
19,250
10,345
18,560
11,200
16,400

Tax.
$124 88
73 05
118 80
85 01
98 70
118 16
132 11
132 83
71 36
126 83
77 10
112 20

Barnes, A. P ..........
Brooks, Silas.........
Bryant, Ira............
Brooks, Nath.........
Butman, Benj........
Brown, Wm. & A..
Buffum, Benj..........
Boy den, Jos...........
Chamberlin, H. H.
Chapman, J.’s Est.
Coes, L. & A. G . . .
Corey, John...........

Valuation.
$11,200
12,700
12,500
15,810
19,600
14,600
17,100
19,700
17,100
12,000
12,650
11,700

Tax.
$77 10
87 23
85 88
108 27
133 81
98 56
116 93
134 48
116 93
81 00
88 39
80 48

62

Commercial Cities and Towns o f the United States.

Curtis, Beriah . . . .
Chapmin, Henry.. .
Chase, Anthony. . .
Corbett, Otis..........
Davis <fc Tourtellot.
Draper & Clark. . .
Draper Wm. A ___
Dixie, E. F .............
Earle, John Milton.
Eaton, William___
Earle, T. K. C o... .
Fox, Wm. B...........
Fletcher, J o e l........
Flagg, Joel............
Fisher, W. A ..........
Green, Jas. & C o ..
Hathaway, Ruth. .
Hooper, Wm. R . . .
Harrington, Eben .
Hardon, B. L .........
Hammond, Perley.
Hadwin, Charles...
Heywood, B.’s H’rs
Jennison, Samuel..
Jennison, W m .....
Litch, Joel H ........
Lincoln, D. W . . . .
Lamb, Edward___
Miller, Henry W ..
Morse, Mason H . .
Mason, Joseph___
Merrifield, Alpheus
Mann, John............

Valuation.
$10,670
11,400
18,000
13,700
10,600
14,700
14,120
18,700
11,700
10^500
12,200
11,050
19,300
12,500
10,250
13,800
15,000
16,700
18^400
11,000
12/760
18^660
17,500
19,200
10,600
11,150
14,600
19,500
18,900
12,690
10^650
16,620
11,680
16,400
16,700
15,450
15,850
13,150

Tax.
$73 50
78 45
123 00
93 78
70 88
99 23
96 79
127 73
78 98
72 38
83 85
74 59
131 67
85 88
70 69
94 65
101 25
120 31
124 20
75 75
87 68
127 50
118 13
85 88
73 05
76 79
98 55
133 13
129 08
88 46
73 39
113 66
80 37
112 20
114 23
105 79
108 49
90 26

Morgan, W illiam ..
Morse, Adolphus..
JNewton, H ester...
O’Keefe, Patrick...
Parkhurst, Nat . . .
Patch, Wm. M . . . .
Parker, W m ..........
Paine, Gardiner. . .
Putnam, Samuel...
Prentiss, Charles G.
Pouty, Calvin........
Perry, J. G .& D .H .
Rice & Goddard . .
Rice. Edward B. . .
Spurr, S.’s Heirs.. .
Sargent, Joseph ...
Scott, Samuel B.. .
Stebbens, O. F. . . .
Stowell & So n . . . .
Simmons, John... .
Thomas, Benj. F.. .
Tolman, A lb ert.. .
Taft, A. & S. M . . .
Vose, Mrs., child’n .
Walker, Asa..........
Univ’rsalist Socie’y
Warden, John___
Wesson, W. R . __
Whiting, Israel. . .
Washburn, H. S . .
White, Charles . . .
Warren, J. G .........

NON-RESIDENTS.

Roland, ’iV ljfa i.j ..* •. ISJOAS; * 108 00.
Nor. <St Wo(. BSiii’cf • \ foftoo • • *67 50
Denny, Daniel.. . .
JM0Q . .105 SO
Damon, Samuel.. .
w op
‘. l 2 , w
De Witt, Alexand’r
0. • ••94 €0

,

.

Valuation.
$10,160
15,200
14,500
11,500
10,150
16,280
18,600
24,790
10,280
13,900
16,200
10,700
15,350
21,100
11,560
12,000
19,150
16,420
10^700
10,900
1R470
11,000
14,540
11,700
12,400
10,800
10,660
15,500
10,300
10,700
16^600
12,500
12,600
12,900
16.350
14,800
10,250

Tax.
$70 13
104 10
97 88
79 13
70 01
114 20
127 05
170 58
70 91
95 33
110 85
73 73
106 61
142 43
79 58
81 00
130 76
112 31
77 73
15 08
80 40
74 25
102 60
80 48
85 20
72 90
75 00
104 63
71 03
73 75
112 05
85 88
86 55
88 69
111 S6
101 63
70 69

••

fiaHe,
. :
’ &ale, tfyrus...........
H ..........
H$st jn*Jg, Rufus.. .
Rdbin^Sn, Jer........

13,000
10,600
11,300
10,550
17,750

87
71
76
71
119

75
55
28
21
81

B a n k in g I nstitutions . T fi'jrj'j'i'c five incorporated banks in Worcester,
(besides an institution for savings*) with an aggregate capital o f $650,000.
The Central, the Quinsigamond, and the Mechanics’, have each a capital of
$100,000, the Worcester Bank has a capital o f $200,000, and the Citizen’s
a capital o f $150,000.
T he W orcester C ounty I nstitution f o r S a v in g s , located in the city
o f Worcester, was incorporated in 1828, and commenced business the same
year. It pays interest at the rate o f 4 per cent per annum. The dividends
are made in January and July, and, if not called for under three months, are
added to the principal and placed on interest. After appropriating the
amount o f the semi-annual dividends, the surplus income is divided every
fifth year, and placed in the same manner to the accounts which have ex­
isted for one or more years, in equitable proportion. For the following state­




The City o f Worcester , Massachusetts.

63

ment o f the deposits and payments for twenty-one years, (including the div­
idends in the receipts,) we are indebted to the politeness o f Samuel Jennison,
Esq., the trustworthy Treasurer o f the institution:—
Years.
1829___
1830___
1831___
1832___
1833 . . .
1834___
1 8 3 5 ....
1836___
1837___
1838___
1839___
1840___

Deposits.
7,795 16
11,902 47
29,087 63
50,371 59
52,659 65
68,093 30
113,572 55
98,102 67
75,519 21
69,814 34
146,012 54
98,337 9 3 '

P’d depos’s.
1,999 00
2,227 54
3,659 23
7,780 60
18,999 00
28,239 26
32,628 90
48,517 77
61,941 74
64,522 50
87,594 33
70,951 83

Years.
1841___
1842___
1843___
1844___
1845___
1846___
1847___
1848___
1849___

Total..

Deposits.
$121,264 39
141,279 59
143,717 51
297,118 19
246,446 01
223,920 17
233,365 05
237,640 73
293,044 05

P’d depos’s.
$56,640 48
70,291 39
91,728 25
122,327 59
114,732 89
164,414 15
149,999 97
215,304 31
274,403 81

2,759,064 73

1,678,894 54

The following table shows the state o f the Worcester County Institution
for Savings on the 11th o f April, 1849, as per the Treasurer’s official re­
port :—
The Treasurer charges himself for amount due to 6,514 depositors,
and credited on their accounts..............................................................
For balance due to sundry depositors, not on interest..........................
Dividend of January, 1849.............................................. ........................
Profits received and undivided...................................................... . . . . .
Total.......... .....................................................................................
And is credited—
By amount o f bankstock...........................................................................
By United Statesstock...............................................................................
By notes of the county of Worcester, and of towns...........................
By notes secured by pledge of Boston Water Loan...........................
By notes secured by pledge o f bank stock............................................
By notes secured by mortgage of real estate........................................
By notes with personal security...............................................................
By cash.........................................................................................................
Total................................................................................................

$1,059,124
1,027
20,487
3,784

13
20
01
69

$1,084,423 03
137,830
102,700
176,819
6,900
32,600
547,531
75,692
4,350

00
00
07
00
00
16
44
36

$1,084,423 03

R a il r o a d s . Worcester is the center o f an extensive railroad system, a
circumstance that has contributed, in no small degree, to the recent rapid
growth in population and wealth. The railroads o f five distinct corpora­
tions center or terminate at Worcester, namely, the Boston and Worcester,
the Western, which connects with the former, and extends from Worcester
to the west line o f the Massachusetts, in the town o f W est Stockbridge,
where, by means o f the Albany and W est Stockbridge Road, it forms a con­
tinuous line to Albany and Buffalo; the Norwich and Worcester, connecting
with the Boston and Worcester, and forming a direct railroad and steamboat
line between Boston and New York, by the steamers from Allyn’s Point, six
miles below N orw ich; the Providence and Worcester, between the two cities,
and connecting at Worcester with the several roads centering there, and at
Providence with the Stonington R o a d ; and finally the Worcester and Nashua,
extending from the former to the last named place. The Worcester and
Nashua, the Norwich and Worcester, and the Providence and Worcester
Roads pass through a great number o f thriving manufacturing villages.
That our readers may have a clear idea of the connection o f Worcester,
by means o f these roads, with the different places on their several routes, we
subjoin a tabular statement o f each road as follows :—




64

Commercial Cities and Towns o f the United States.

I>LACE3, DISTANCES, AND FARES ON THE PROVIDENCE AND WORCESTER RAILROAD, FROM
WORCESTER.

Fares.
Miles.
Fares.
Places.
Miles.
Places.
..
254
SO 80
Worcester.......................
Waterford.......................
0 85
Woonsocket....................
i
$0 15
27
Grand Junction.............
0 85
6
0 25 Hamlet............................
274
Milbury...........................
0 95
0 30 Manville.........................
30 4
Sutton.............................
84
32
1 00
0 30 A lbion.............................
9
Grafton............................
38-J1 10
0 35 A sh ton ...........................
Farnum’s .........................
10 4
364
1 20
0 40 Lonsdale..........................
North Bridge...................
124
1 20
16f
0 55 Valley Falls...................
374
W hitins..........................
1 25
38J
0 60 Pawtucket.....................
U xbridge.......................
184
1 30
0 75 Providence.....................
23
Millville...........................
434
25
0 80
Blackstone.....................
PLACES, DISTANCES, AND FARES ON THE WESTERN RAILROAD.
Miles
Miles,
from Boston. Fares.
Places.
Places.
from Boston. Fares.
....
40
$1 00 Middlefield.....................
Worcester.......................
$3 60
1 25 Becket.............................
135
53
Clappville.......................
1 40 W ashington....................
138
3 70
Cliarleton.........................
57
62
1 50 Hinsdale.........................
143
3 85
Spencer...........................
146
3 90
1 60 Dalton.............................
64
East Brookfield..............
151
4 00
1 70 Pittsfield*.......................
67
South Brookfield............
154
4 20
69
1 75 Shaker Village..............
West Brookfield............
159
4 35
73
1 85 Richmond.......................
Warren............................
..
4 45
162
. . . . State Linef....................
Brimfield.........................
4 60
167
83
2 10 Canaan.............................
Palmer.............................
4 70
92
172
2 40 East Chatham...............
Wilbraham.....................
4 80
98
2 50 Chatham four Corners^.
177
Springfield............ , . . . ,
181
4 90
100
West Springfield...........
2 60 Chatham Center............
184
4 95
108
2 80 Kinderkook.....................
W estfield.......................
116
192
5 00
3 05 Scliodack.........................
Russell.............................
119
200
5 00
3 15 Albany.............................
Chester Village.............
126
3 35
Chester Factories...........
PLACES, DISTANCES, AND FARES ON THE NORWICH AND WORCESTER ROAD FROM WORCESTER.
Fares.
Miles.
Places.
Miles.
Fares.
Places.
26
80 70
Pomfret...........................
Worcester.......................
0 75
i
$0 05 Daysville.......................
Grand Junction.............
314
0 85
34
0 12 Danielsonville................
Auburn............................
44
40
1 00
0 25 Central Village..............
O xford............................
Hi
1 10
I4 f
43
0 35 Plainfield.......................
North V illage................
1 25
494
16
0 35 Jewett City....................
W ebster.........................
1 50
58
0 55 Greenville.......................
W ilson's.........................
194
1 50
59
204
Fisherville.....................
0 55 Norwich...........................
1 75
66
0 60 Allyn’s Point..................
Mason’s ............................
214
Thompson.......................
234
0 60
PLACES, DISTANCES, AND FARES ON THE WORCESTER AND NASHUA RAILROAD.^

Places.

Worcester....................... •
West Boylston...............
Oakdale...........................
Sterling...........................
Clintonville....................
New Boston...................
Lancaster........................

Miles.

..
9
10
12
16
18
19

Fares.

$0
0
0
0
0
0

20
25
35
45
50
50

Places.

Miles.

Still River......................
Howard...........................
Groton Junction.............
Groton.............................
Pepperell........................
H ollis.............................
Nashua.............................

23
25
28
31
36
39
45

Fares.

SO
0
0
0
1
1
1

65
70
80
90
00
10
25

* The Pittsfield and North Adams Road connects at this place, extending from Pitts­
field to North Adams, a distance of 20 miles.
I The Housatonic connects at State Line.
i The Hudson and Berkshire Road connects at Chatham four Corners.
§ This road connects, at the Groton Junction, with up and down trains of the Fitch­
burg, Stony Brook and Peterboro, and Sliirly Railroads; and, at Worcester, with the
Norwich and Worcester, Providence and Worcester, and Western.




Bankruptcy — Banking.

65

PLACES, DISTANCES, AND FAKES ON THE BOSTON AND WORCESTER ROAD, FROM WORCESTER.

Places.
Worcester.....................
Millbury*......................
Grafton..........................
W estboro................ .
Soutkboro.....................
Ashland.......................
Milford*........................
Holliston*....................
Framingham................
Saxonville*..................
Cochituate Village*. . .

Miles.
7
13
17
21
•

•♦

Fares,
1st cl’s.
0
0
0
0

15
25
35
45

,,,,
0 50

.

Places.
Natick........................
West Needham..........
Grantville...................
Lower Falls*.............
Auburndale*..............
West Newton............
Newtonville................
Newton Corner...........
Brighton......................
Cambridge..................
Boston.........................

Miles.
27*
30*
31*
36
37
40
40*
45

Fares,
1st cl’s.
0 60
0 65
0 65
0
0
0
0

80
80
85
90

1 00

W e made several visits to Worcester during the last summer, and collected
considerable information, which we have attempted to embody in the pre­
ceding pages; and, although this article has grown to a much greater length
than we proposed in the outset, we have been compelled to omit many
points o f interest in its industrial progress and social condition, which it
would have afforded us pleasure to introduce. The fact is, with but few
exceptions, we received but little aid in collecting facts and materials for that
purpose from the residents o f Worcester. W e may, however, resume the
subject at some future time, and should our friends in Worcester furnish us
with the desired information, we shall be able to give a more comprehensive
and complete account o f one o f the most interesting and important inland
towns in New England. Every city or town, o f any considerable importance
in the industrial scale, would do well to collect, at intervals o f one or two
years, all the “ facts and figures ” bearing upon their industrial interests, and
upon their moral and social condition and progress, not only for the use of
the citizens, as a contribution to the general information, but for the common
benefit of our common country. It will, we may remark in this connection,
afford us great pleasure to embody all reliable information calculated to ex­
hibit the condition o f any of our large towns, wherever located, and em­
brace an account o f their resources in our series o f “ C om m ercial C ities
and

T ow ns

of

T he U nited S tates .”

Art. VI.— B A N K R U P T C Y — B A N K I N G .
Mr. F reeman H unt, E sq, Editor o f the Merchants' Magazine, etc.
D e a r S ir :— The article in your Magazine for November, 1849, whose title
we have placed at the head o f our communication, deserves attention for the im­
portance o f the subject it discusses, and for its originality. The fact which it as­
sumes as its basis, the extensive prevalence o f bankruptcy among the mercantile
class o f society, is no doubt one o f its characteristics; whether to the extent as­
serted is of no importance to the argument. The cause o f the fact should, if
practicable, be ascertained; but we believe the cause assigned by your corre­
spondent inadequate— not the true one— and the reasons which he gives
for his opinion entirely fallacious.
After various statements to prove the truth o f his first position, which con­

* Branches of the Boston and Worcester Road.
VOL. XXII.----NO. I.




5

66

Bankruptcy — Banking.

firm the general proposition, and go far to establish the fact that mercantile
pursuits are particularly liable to the result o f bankruptcy, he reaches the
conclusion that the cause o f the evil is “ the too high rate o f interest.” H e
assumes his conclusion to be true, and all further investigation as useless.
Let us first ascertain— what is the true nature and character o f interest—
examine his reasons for his opinion, and then endeavor to assign other and
better causes as reasons for the generally admitted fact, the tendency o f mer­
cantile pursuits to bankruptcy.
Interest is the amount paid for the use o f capital in the form o f money. In
the earlier days o f society the opinion prevailed that this was a proper sub­
ject for legal enactment, and that opinion still pervades society. There is
some reason for the opinion, especially since money o f credit is so generally
in use ; but were capital only used as money, then there would be no pro­
priety in legalizing the price o f its use, except what arises from the fact that
it is the legal medium for the extinguishment o f debt. The law should cer­
tainly be retained in relation to those who exercise the power o f creating the
money o f credit. General laws, however, still exist on the subject; but in re­
ality they are o f little force, the price o f money, like that o f all other com­
modities, is determined by the law o f supply and demand. Money being
capital in a form adapted to ready conversion into all other forms, interest, or
the price o f its use may be more than the price of the use o f other forms of
capital; it can never be less; it may be assumed, however, that the price of
the use o f money will, as a general rule, correspond to the use of other cap­
ital ; the rent o f lands, o f houses, and other forms of capital must correspond
to the rent of money, or interest, the tendency to an equilibrium in the pro­
ductive power o f capital would undoubtedly bring about such a result.
If, then, it is demonstrated by your correspondent that the rate o f interest
is too high, the demonstration goes farther, and proves that the income de­
rived from all capital is too great. I f the small amount o f capital as money
used by others than its owners is productive of the mischief described, then
the price paid for the vastly greater amount of capital, in other forms, would
long since have worked the bankruptcy of all classes o f society who use pro­
perty not their o w n ; the tendency to bankruptcy would have been general,
and not peculiar.
The first argument o f your correspondent in support o f his proposition is,
that as the increase of the wealth o f the State o f New York, for ten years,
from 1835 to 1845, was only 1J- per cent, per annum, upon its capital o f
$531,000,000, without compounding the interest, therefore seven per cent in­
terest is excessive. In the first place, is any reliance to be placed upon the
statistics 2 During the ten years the population o f the State has increased
30* per c e n t; to have preserved its w e a lth ie r capita, it should have been in
1845, $690,000,000, assuming it to have been in 1835, $531,000,000, while
it is stated to be only $605,000,000. Now, will it be pretended that the per
capita wealth o f New York in 1845 is not equal to what it was in 1835?
Has the State been adding thousands o f acres o f cultivated land, building
cities, constructing canals, railroads, ships, and all other forms and varieties
o f permanent capital during the period, and yet its wealth,per capita, been
diminishing ? The idea is ridiculous ; such statistics are not only o f no value,
but positively mischievous, since, while they claim to be authoritative, they
prove not only that the people o f New York cannot afford to pay 7 percent,




* Sufficiently near the truth for our argument.

Bankruptcy — Banking.

67

but tbat they would grow poor without paying any interest; and more, that
the interest paid is abstracted from the general wealth, though paid to its
own citizens ; or in other words, that capital is o f no advantage to the results
o f labor. Doubtless something is to be attributed to the great expansion of
price in 1835 ; but statistics which militate against all the known facts o f ex­
perience are o f no possible value or use. The same disposition may be made
o f the statistics of Massachusetts ; they are o f no avail in the argument. His
allusion to “ Kellogg on Labor and other Capital” leads us to say with your
correspondent, it is “ a work well worthy attentive perusal and study, because it
discusses the great subjects o f currency and finance, subjects with which so­
ciety are yet in almost utter ignorance, but which are the basis of economic
science,” and not because its principles are true, its reasons logical, or its sug­
gestions original.
The next proposition which forms the basis o f your correspondent’s argu­
ment is, that as society cannot afford to pay interest upon its whole capital,
therefore it cannot pay interest upon any portion which might be added, and
which might give increased activity to the whole. The general public is but
an aggregation o f individuals ; what is true o f the individual must be true of
the aggregate. Labor is the primal cause o f all increase o f wealth; but mere
labor is a weak instrument o f production, compared with itself, in combina­
tion with capital. The farmer without a plough, and the artizan without
tools or materials, are examples o f the former, and with them o f the latter ;
it would be difficult to persuade either of these parties, destitute o f the capi­
tal necessary to make their labor productive, that 7 per cent per annum was
unwise in them to pay, or unreasonable in others to receive, for the use o f the
capital without which their capital, labor, would be either wasted, or o f little
avail. If it quadrupled, as it would, the product o f their labor, your corres­
pondent, with all his sophistry, would hardly be able to induce them to fore­
go its use, because its proprietor demanded one fourteenth, not o f the gene­
ral result, but o f the sum which he contributed to its production; while both
the plough, and the tools, and materials, remain to repay the principal when
required. A nd though society, if entirely destitute o f capital, and obliged
to borrow its whole stock, might not be able to pay 7 per cent, while in­
dulging in its present liberal consumption o f the products o f its industry, in
combination with its borrowed capital, yet it might pay interest at the present
rate, and yet be in a better situation than if entirely destitute o f capital, and
dependent upon mere labor for the supply o f its wants.
But all such comparisons are ideal m erely; capital is civilization ; without it
man is a savage; like all other commodities, its value must depend upon
the law of supply and demand. N o man is compelled to use it, and no one
has a right to its use except with the consent o f its owner ; to encourage its
accumulation is the method to reduce its price; that isralso the wisdom o f the
State, since its accumulation is the basis o f civilization, and the larger the
accumulation the less will be its value, and the more facile its appropriation
by those, who in the order o f Providence, are without it.
Your correspondent further alleges that the fact that though interest up­
on our debts is payable to our own citizens, and not to those o f another coun­
try, yet this “ serves only to cover up the fatal wound.” This is mere dog­
matism, obviously; if interest were payable out o f the country, its tendency
would be constantly to diminish capital, and thus increase its price, especially on
his assumption that the amount of interest is greater than its advantage to la­
bor ; and not only that, but it would diminish the value o f our labor, since




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68

its expenditure, for which only it is desired, and by which alone it can be
made productive, would go to employ the labor o f other countries, whi le if
expended at home it would increase the demand for, and value of, our own
labor, as well as increase the amonnt of, and thus diminish the value of, cap­
ital.
“ Money does not produce— does not increase o f itself” — its only “ accumu­
lation is that of rent.”
Neither do houses, nor lands, nor labor saving ma­
chinery ; they do not only not increase, they perish if labor is not bestowed
upon them, not only for their preservation, but for their occupation ; so mo­
ney, if left idle, is of no value, and in this condition commands no interest.
Human hands and human skill, if not exercised, produce nothing ; are they,
therefore, o f no value, and is their use and exercise worthy o f no reward ?
The burden o f interest upon our debts must be borne by p r o d u c tio n d o e s
not capital produce ? The railroad and the spinning jenny are capital; do not
they produce when they transport commodities which must otherwise be car­
ried on men’s backs, or make yarn which would otherwise be twisted with
the fingers? The only value to capital is its power o f production ; who would
pay for that which would produce nothing. Capital is the coordinate of la­
bor, its aid and friend, equally necessary with labor to any adequate supply
of human wants; neither can produce without the other, and every effort to
array them in opposition to each other is treason to humanity.
Capital has the advantage o f labor in that while it is comparatively per­
manent, labor is evanescent; the advancing horn's consume the one, while
the tooth of time but slowly destroys the other; in the natural antagonism
between these two forces, capital has the advantage, and therefore should be
liberal to its weaker friend ; but if labor would be more careful o f capital, it
would soon render its burden light.
Having demonstrated, as we think, the defects o f your correspondent’s
positions, we will endeavor in our next to offer our own reasons for the fact
admitted— the extensive prevalence o f bankruptcy among the mercantile
classes o f society.
g . b .

Art. VII.— GILBART’S PRACTICAL TREATISE ON BANKING.*
I n our number for July, 1849, we gave a brief notice, with extracts, o f a
“ Treatise on Banking Bookkeeping,” as practised in the banking houses of
Great Britain, stating that the work then before us was only a single section
of a “ Practical Treatise on Banking,” then passing through the press. The
complete work is now received, consisting o f two volumes, and extending to
nearly eight hundred pages. It is beautifully executed, and invites a perusal
from all who are interested to understand the details o f the system, by which
the monetary affairs o f the Old W orld are managed, and the practical ope­
ration o f principles, which centuries o f large experience have developed and
matured.
W e do not profess a thorough acquaintance with the subject discussed in
this work, nor have we any other interest in it than that we feel for every
* A Practical Treatise on Banking. By J a m e s W ii .u a m G t l b a r t , F. R . S., General
Manager of the London and Westminster Bank. Fifth Edition. In two volumes.
London: 1849.




Gilbart’s Practical Treatise on Banking.

69

department o f mercantile science, on the fair development and just applica­
tion of which the prosperity and happiness o f civilized nations so much de­
pend. In this point o f view, it has strong claims upon the attention o f sev­
eral classes o f persons to whom we beg leave to commend it as a study. To
those who are practically engaged in the business o f banking, however deep­
ly they may be versed in the science, it may ofter many useful suggestions.
To those who are called upon to write, speak, or legislate upon the system,
as it is every year, in one form or another, agitated among us, it may furnish
sound practical views in place of those unfledged theories and crude concep­
tions, which so often disturb the harmony o f our counsels, and the symmetry
o f our legislative enactments.
The principles o f a science are always and everywhere the same. The
practical application o f them may vary indefinitely with the habits and cus­
toms o f the people among whom they are applied. However widely, there­
fore, the mode o f conducting the business o f banking in Great Britain may
differ from that, o f the United States, the fundamental principles, wliich lie
at the bottom o f the system, must be the same in both. Money is the same
element here as there, and is regulated and controlled by the same fixed
and unchangeable laws. It is subject to the same fluctuations of scarcety
and plenty, of pressure and plethora, and from the same general causes.
Whoever, therefore, treats ably o f these matters, as observed and understood
in Europe, may be profitably consulted and studied by the political econo­
mist of America.
Mr. Gilbart’s work, to use a common phrase in such cases, seems “ to cover
the whole ground.” It surveys the entire field of the science o f banking,
and o f the art, as practised in England, and leaves nothing unsaid which can
elucidate the one, or illustrate the other. It realizes, to the full, the high
anticipations o f our previous notice, being strictly scientific in its arrange­
ment and analysis, and attractively artistic in the disposition and finish o f its
parts. Mr. Gilbart’s style is beautifully clear and lucid, blending the brevity
and point o f a thorough bred merchant, with the purity and harmony o f a
finished scholar. In this respect, we take leave to commend it, as a model,
to any who may have occasion to treat elaborately o f mercantile science or
practice.
The work is divided into two parts, each part comprising a volume. Part
I. treats o f Practical Banking. Part II. o f Banking Institutions.
Part I. comprises fourteen sections, and treats o f the Nature and Utility
o f Banking— Banking Terms— The General Administration of a Bank— Its
Administration, with reference to several Departments of its Business, and
during a Pressure— The Administration o f the Bank o f England and of
Joint Stock Banks, with an Inquiry into the Causes o f the Failure o f the
Latter— Banking Bookkeeping— Banking Calculations— and Banking docu­
ments.
Part n . comprises ten sections, and treats o f the Bank o f England— The
London Private Bankers— -The Joint Stock Banks of London— The Banks
o f the Country, o f Scotland, and o f Ireland— and the Moral and Religious
Duties o f Banking Companies.
The following extracts will serve to justify to our readers the opinion we
have expressed o f the style and manner o f the work. W e should be grati­
fied to know that they also served to create a demand, not for an American
edition o f the work, but for such an importation o f the original as shall give
to the accomplished author substantial evidence that we are not alone in our
appreciation o f his merits :—




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OilbarCs Practical Treatise on Banking.
ON THE NATURE OF BANKINO.

“ What is it that we call a Banker ? There is in this city a company or corpora­
tion, called goldsmiths, and most o f those called bankers are o f that corporation;
but so far as I know, there is not a company or corporation in England called
bankers, nor has the business any definition or description either by common law
or by statute. By custom we call a man a banker who has an open shop, with
proper counters, servants, and books, for receiving other people’s money, in order
to keep it safe, and return it upon demand; and when any man has opened such
a shop, we call him a banker, without inquiring whether any man has given him
money to keep or n o ; for this is a trade where no apprenticeship is required, it
having never yet been supposed that a man who sets up the trade o f banking,
could be sued upon the statute o f Queen Elizabeth, which enacts, that none shall
use any art or mystery then used, but such as have served an apprenticeship in
the same.” *
The term bank is derived from banco, the Italian word for bench, as the Lom­
bard Jews in Italy kept benches in the market-place, where they exchanged money
and bills. When a banker failed, his bench was broken by the populace; and
from this circumstance we have our term bank-rupt.
A banker is a dealer in capital, or more properly a dealer in money. He is an
intermediate party between the borrower and the lender. He borrows o f one
party, and lends to another; and the difference between the terms at which he
borrows and those at which he lends, forms the source o f his profit. By this
means he draws into active operation those small sums o f money, whieh were
previously unproductive in the hands o f private individuals; and at the same time
furnishes accommodation to those who have need o f additional capital to carry on
their commercial transactions.
Banks have been divided into private and public. A private bank is that in
which there are hut a few partners, and these attend personally to its manage­
ment. A public hank is that in which there are numerous partners, and they elect
from their own body a certain number, who are entrusted with its management.
The latter are usually called joint-stock banks.
The business o f banking consists chiefly in receiving deposits o f money, upon
which interest may or may not be allowed;— in making advances o f money, prin­
cipally in the way o f discounting bills;—and effecting the transmission o f money
from one place to another. Private banks in metropolitan cities are usually the
agents o f the banks in the provinces, and charge a commission on their transac­
tions. In making payments many country banks issue their own notes.
The disposable means o f a bank consists of—First, the capital paid down by
the partners, or shareholders. Secondly, the amount o f money lodged by their
customers. Thirdly the amount o f notes they are able to keep out in circulation.
Fourthly, the amount o f money in the course o f transmission— that is, money they
have received, and are to re-pay, in some distant place, at a future time.
These disposable means are employed— First, in discounting bills. Secondly,
in advance o f money in the form o f cash credits, loans, or overdrawn accounts.
Thirdly, in the purchase o f government or other securities. Fourthly, a part is
kept in the banker’s till, to meet the current demands. O f these four ways of
employing the capital o f a bank, three are productive, and one is unproductive.
The discounting o f bills yields interest— the loans, and the cash credits, and the
overdrawn accounts, yield interest— the government securities yield interest— the
money in the till yields no interest.
The expenses o f a bank may be classified thus; rent, taxes, and repairs o f the
house in which the business is carried on ; salaries o f the officers; stationer’ s
bill for books, paper, notes, stamps, &c. ;J incidental expenses, as postages,
coals, &c.
The profits o f a bank are that portion o f its total receipts— including discount,
interest, dividends, and commission— which exceeds the amount o f the expenses.
* Speech, delivered in the House of Commons, in 1746.—See the London Magazine
for that year, page 120.




Gilbart's Practical Treatise on Banking.

11

ON THE U TILITY OF BANKING.

Banking also exercises a powerful influence upon the morals o f society. It
tends to produce honesty and punctuality in pecuniary engagements. Bankers,
for their own interest, always have a regard to the moral character o f the party
with whom they deal; they inquire whether he be honest or trickey, industrious
or idle, prudent or speculative, thrifty or prodigal, and they will more readily make
advances to a man o f moderate property and good morals, than to a man o f large
property but o f inferior reputation. Thus the establishment o f a bank in any
place immediately advances the pecuniary value o f a good moral character. There
are numerous instances of persons having arisen from obscurity to wealth only
by means o f their moral character, and the confidence which that character pro­
duced in the mind o f their banker. It is not merely by way o f loan or discount
that a banker serves such a person. He also speaks well of him to those persons
who may make inquiries respecting him : and the banker’s good opinion will be the
means of procuring him a higher degree o f credit with the parties with whom he trades.
These effects are easily perceivable in country towns; and even in London if a
house be known to have engaged in gambling or smuggling transactions, or in any
other way to have acted discreditably, their bills will be taken by the bankers less
readily than those of an honorable house o f inferior property.
It is thus that bankers perform the functions o f public conservators o f the
commercial virtues. From motives o f private interest they encourage the indus­
trious, the prudent, the punctual, and the honest— while they discountenance the
spendthiift and the gambler, the liar and the knave. They hold out inducements
to uprightness, which are not disregarded by even the most abandoned. There is
many a man who would be deterred from dishonesty by the frown o f a banker,
though he might care but little for the admonitions o f a bishop.
ON THE GENERAL ADMINISTRATION OF A BANK.

T o be a good banker requires some intellectual and some moral qualifications.
A banker need not be a man o f talent, but he should be a man o f wisdom.
Talent, in the sense in which the word is ordinarily used, implies a strong de­
velopment o f some one faculty o f the mind. Wisdom implies the due propor­
tion o f all the faculties. A banker need not be a poet or a philosopher— a man
o f science or o f literature— an orator or a statesman. He need not possess any
one remarkable quality by which he is distinguished from the rest o f mankind.
He will possibly be a better banker without any o f these distinctions. It is only
necessary that he should possess a large portion o f that practical quality which is
called common sense. Banking talent (using the word talent here in the sense o f
adaptation of character to any particular pursuit) consists more in the union o f a
number of qualities, not in themselves individually o f a striking character, but
rare only in their combination in the same person. It is a mistake to suppose
that banking is such a routine employment that it requires neither knowledge nor
skill. The number of banks that have failed within the last fifty years are suf­
ficient to show that to be a good banker requires qualities as rare and as important
as those which are necessary to attain eminence in any other pursuit. The dealer
in money exercises intellectual faculties o f a high order, and o f great value to
the community. His profession has a powerful bearing on the practical happiness
o f mankind.
But though wisdom— or, in other words, a high degree of common sense— does
not imply the possession o f any remarkable talent, (the undue development o f any
one faculty,) it always implies the absence of any remarkable defect. One great
defect in a banker is a want o f decision. A banker ought to know how to bal­
ance the evidence on each side of a question, and to arrive speedily at a just
conclusion.
Another defect is a want of firmness. A banker having after a mature consider­
ation, made up his mind, should be capable o f a strict adherance to his previous
determination: ho should know when to say, N o; and having once said No, he
should adhere to it.




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Gilbart's Practical Treatise on Banking.

Another defect is a hasty or impetuous temper.*
Another defect is that of being swayed by any personal or constitutional pre­
possession. Almost every man— not excepting even the banker— has a sin by
which he is most easily beset; a constitutional defect, against which it is necessary
he should be upon his guard.
It is a great advantage to a banker, and indeed to every one else, to know him­
self. He should know wherein he excels, and wherein he is deficient. He ought
to know whether he is disposed from his temperament to be excessively cautious,
or excessively liberal— whether his manners are courteous or abrupt— whether he
is apt to view matters on their gloomy or on their bright side— whether social in­
tercourse renders him more or less fit for his official engagements— whether the
presents and civilities he receives from his customers do, or do not, affect his trans­
actions with them in matters o f business. When he has made a loss, he should
examine whether the loss was occasioned by the ordinary operation o f events, or
produced by any little weaknesses o f his own character. He should record all
those instances in which he has shown a want o f firmness, o f discretion, of dis­
crimination, or o f perseverance; and should guard in future against the exhibition
o f any similar defect:
“ Man, know thyself; all wisdom centers there.”
But while a banker should make himself acquainted with his own defects, he
ought not to let his customers become acquainted with them. All wise men know
their own defects; none but fools publish them. Crafty men, who often have oc­
casion to borrow money, are quick in perceiving the weaknes o f their banker.
And if they find that by coaxing, or flattering, or gossiping, or bribing, or threat­
ening, they can influence his conduct, he will always be at their mercy. On this
account it is, perhaps, advisable that a banker should not have too much social in­
tercourse with those o f his customers who have occasion to ask him for any large
amount o f accommodation.
The section on “ A Season o f Pressure,” (page 96,) which is full o f in­
terest and instruction, cannot be appreciated by an extract, it should be read
entire.f
W ith the History o f Banks and Banking Operations, treated o f in the
second part, our American bankers, and our shipping and importing mer­
chants, who have so much to do with the bankers o f Europe, ought to be
well acquainted. W e have no space for extracts ; but we cannot leave the
work without commending to the special attention o f all who are “ making
haste to be rich,” the eighth section o f the second part— on the Moral and
Religious Duties o f Banking Companies.
W e admire the moral heroism and Christian independence which dictated
that section, and wish the examples may become much more frequent, o f ac­
complished men o f business carrying the religion they profess at home to their
counting-houses and stores, and wearing it in their every day concerns, not
as a cloak, but as a garment.
W e regret that time and space will not permit us to make further extracts
from this work. W e trust, however, that the almost random passages quoted
will induce all who desire to become accomplished in the practice o f banking
to make themselves perfectly familiar with the contents o f this admirable
treatise.
* “ He that answereth a matter before he heareth it, it is folly and shame unto him.”
“ He that is slow to wrath is of great understanding, but he that is hasty of spirit exalteth folly.” “ A wise man will hear and will increase learning; and a man of under­
standing shall attain unto wise counsels.”
f We hope to find room for this section in some future number of our Magazine.




Commercial Code o f Spain.

73

Art. T ill.— C O M M E R C I A L C O D E OF S P A I N .
NUM BER X I.

CONCERNING TH E INTERPRETING BR OK ER S OF SHIPS.

A rticle '729. In all the ports o f the sea open for foreign com m erce, there
shall be such a num ber o f interpreting brokers o f ships as m ay be ju d g ed
necessary, in proportion to the extension o f their com m ercial relations.

For these duties, they shall always be preferred to the ordinary brokers of
the same place, when they understand two living idioms o f the languages of
Europe ; which knowledge shall be an indispensable requisite for every one
who may be an interpreting broker of a ship.
130. Upon the appointment, aptitude, and requisites, which the brokers
o f ships shall possess, for the purpose of entering into possession o f their
offices, there shall be observed the regulations prescribed with respect to the
ordinary brokers, in the first section, second title, book first, with only the
restriction that the amount o f their security shall be reduced to one-half
designated in the article referred to.
731. The particular functions o f interpreting brokers o f ships are—
F irst. To intervene in contracts o f affreightments, which the captains or
consignees o f vessels have not m ade directly with the freighters.

Second. To assist the captains and supercargoes o f foreign vessels, and to
serve as interpreters in their declarations, protests, and other proceedings,
which may occur to them in the tribunals and official offices, it being under­
stood that such persons shall remain at liberty not to avail themselves o f the
services o f a broker, when they can manage their affairs by themselves, or by
the assistance o f their consignees.
Third. To translate the documents which the above-mentioned foreign
captain and supercargo may have to present in the same offices, certifying that
the translations have been made well and faithfully, without which requisite
they shall not be admitted.
Fourth. To represent the captains and supercargoes in the judicial tribu­
nals, when they cannot personally appear themselves, or through the medium
of the naviero or the consignee o f the ship.
732. The obligation o f the interpreting brokers shall also be to make three
kinds o f entries—
First. Concerning the captains to whom they (the brokers) may render
the assistance which corresponds to their duties, expressing the flag, the
name, the quality, and the tonnage, o f the vessel, and the ports o f her departure^ and destination.
Second. The documents which they may translate, copying the transla­
tions to the letter, in the register.
Third. Concerning the contracts o f affreightment, in which the brokers
may intervene, expressing in each article the name o f the vessel, its flag, its
matriculation and tonnage, the names o f the captain and the freighter, the
destination for which she may be freighted, the price o f the freight, and the
money in which it shall be paid, the effects o f the cargo, the special condi­
tions agreed upon between the freighter and the captain, upon the subject o f
demurrage, and the time fixed for commencing and finishing the loading o f
the vessel, referring upon this subject to the original contract signed by the
parties o f which the broker ought to preserve a copy.




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Mercantile Law Cases.

These three classes o f entries shall be made in seperate books, with the
formalities prescribed in article 40 of this Code.
733. The interpreting brokers are prohibited from purchasing any goods
on board of the vessels which they go to visit in port, neither for themselves,
or any other person.
734. These ship brokers shall be also subject to the prohibitions prescribed
in the articles 99, 100, 101, 103, 104, 106, and 107, o f this Code.
735. In case of the decease or removal o f an interpreting broker, his
books shall be taken possession o f in the same manner as with respect to the
ordinary ship brokers, as is prescribed in article 96 of this Code.
736. The pay which belongs to ship brokers, for their functions, shall be
regulated in port by a particular taritf, for the approbation o f which the
Crown reserves its rights, and in the meantime the practice shall be pursued,
which is, at the present time, actually observed.

MERCANTILE LAW CASES.
SIGHT BILLS.

The decision rendered by Judge Strawbridge, o f the Fourth District Court,
New Orleans, in the case o f Nimick is. Martin & Co., will be found interesting
to merchants. The action was on a bill o f exchange for $1,500, drawn at sight
by Martin & Co., o f New Orleans, on J. S. Lake & Co., o f New York. Pay­
ment being refused on presentation, the bill was protested for non-payment, and
suit instituted. There was no protest for non-acceptance. The following are the
reasons given by the Judge for sustaining the action o f the plaintiff:—
The question mainly debated in this case is, whether a bill o f exchange at sight
is payable on presentation or entitled to grace ?
On the abstract question, as part o f the common law, I have not now, nor have
I for thirty years had the least doubt. Chitty, in his Treatise on Bills, page 409,
speaks o f a difference in decisions and treatises on the subject, but concludes that
“ it is now settled that the days of grace are allowed.” Judge Kent, in his Com­
mentaries, vol. 3, page 100, uses similar expressions, but qualifies this as “ the
better opinion.” Neither of them refer to any decisions, nor has the research of
any one engaged in this case found one which sustains the position of the defend­
ant. The treatises referred to are those o f Chitty and Bailey, who admit the days
o f grace, and Kidd and Beaurs, who deny them, without citing any authority ; and
the foreign writers, Pothier and Jousse. O f these latter it may be remarked, that
notwithstanding the very great weight due to the opinion of Pothier, the reason giv­
en by him, namely : “ the inconvenience a traveller might sustain by waiting whilst
the days o f grace are running,” is insufficient to show that such is the law. The
inconvenience might easily be avoided by taking a draft at sight without grace,
(which, by the way, though well known amongst merchants, would be a very
useless and incongruous act, if all drafts at sight were payable on presentation)
or a draft on demand, or the more common device almost universal in this country
o f a bank check. Be the opinion o f these civil law writers correct or not, it can­
not establish such to be the law merchant in the city of New York. If we were
at liberty to examine into the reason o f the thing, it would seem much stronger
in favor o f a sight draft, than o f one at sixty days or six months, where all rea­
son fails.
The plaintiff, however, relies on the usage o f New York, and under a com­
mission issued from this court he has produced a mass o f proof almost overwhelm­
ing.
Some opposing testimony has also been taken. If as has been asserted,
more such could have been produced, it is the error of the defendant not to have




Mercantile Law Cases.

75

done so. The court cannot hesitate, under the great preponderaney o f testimony,
in which merchants, lawyers, brokers, and notaries almost unanimously concur.
It has, however, not been introduced without opposition, and very high authority
pro and core has been laid before the court to establish or impeach the rule that
“ where the law is clear, proof o f custom cannot be received to vary it.” I concur
in the opinion o f Judge Story, in 2 Summer’s Report, 377, “ that usages amongst
merchants are to be sparingly adopted, as being often founded in mere mistake,”
and it may be added, on crude opinions of the laws, and not from the knowledge
and experience o f numerous cases and facts, but he never asserted that they were
to be disregarded. Perhaps these conflicting opinions might be reconciled by close
examination; perhaps some o f these were eases of positive legislation and fixed
rule which certainly cannot be varied by usage, whilst others were cases o f com­
mercial laws almost wholly dependant on the usage o f merchants, in which cases
it would be difficult to assign any good reason why a system based on custom
should not be changed in the same manner. Indeed, in a case referred to by Chitty,
Judge Buffer mentioned a case before Justice Willes in London, where it was
left to a jury o f merchants, who decided (of course under the custom) that days
o f grace were allowed on sight bills. No one would think of offering proof that,
by the custom o f the city of New York, the right of primogeniture existed there.
Nor would any one, I think, deny the right to show by proof that it was the usage
there to pay notes in bank before three o’clock, or they would be subject to
protest.
The treatises on insurance present numerous instances where the constructions
o f a policy here is different from that adopted in England, and like differences ex­
ist in different States, all arising out o f usage.
It is not, however, necessary, in this case, to reconcile these differences.
The
case of Renner vs. the Bank of Columbia, 9 Wheaton, 58, appears to the Court
decisive o f the present. The biff there sued on had not been protested until the
fourth day after that of payment, and by the general Merchant law, the liability of
the endorser was gone. This was, however, shown to be in conformity with the
usage o f the banks in the district, and, on the showing, the plaintiff had judg­
ment, If, then, the custom o f any community can vary the law by adding a fourth
day o f grace, it can abridge them a day, or dispense with them altogether. Here
the proof does establish that for forty years, and longer than any witness produced
can remember, the usage in the city o f New York has been to pay sight drafts on
presentment, or protest followed.
It has not escaped the notice of the court, that the testimony given in Renner’s
case was not excepted t o ; and secondly: that some o f Judge Thompson’s expres­
sions appear to lay stress on the fact o f defendant’s having before dealt with the
bank, and knew their mode o f business. But leaving these out o f view, the broad
principles laid down and on which the case was decided, cover all that is in con­
test here. Judgment is therefore rendered for the plaintiff with damages and
costs. J. Livingston for plaintiff; Kendall & Howard for defendants.
ACTION TO RECOVER MONET LOANED.

In the Superior Court, (city o f New York, Sept. 1849.) Judge Sanford presid­
ing. Jeremiah Van Rensselaer, and others vs. William A. Bayley.
This was an action for money lent. From the accounts produced by the plain­
tiffs, it appeared that during the year 1847, they had lent various sums to the
defendant, and received part payment on account of them. From their accounts,
it appeared that in January, 1848, there was a balance due to the plaintiffs o f
about $6,000, which they now sued for. The plaintiffs relied on the implied ad­
mission of defendant that their account against him was correct, as he had an in­
terview with them after they furnished the account, and made no objection to it.
As security for the money lent defendant, he had hypothecated with plaintiff 550
shares of Harlem Railroad Stock, which they sold on the 11th o f January, 184 8.
The defendant now alleged that this stock was sold without his authority o r
giving him due notice, and in an improper manner, and he claimed as an offse t




Mercantile Law Cases.

76

against the plaintiffs’ demand, the loss which he had sustained by the sale o f the
stock. In reply to this, the plaintiffs produced the testimony o f their agent, who
deposed to having given the defendant notice on a Saturday that unless the
plaintiffs where paid their money, the stock would be sold on the following Tues­
day. As to the stock being sold on the day, and in the manner alleged by the plain­
tiffs, the evidence was not very clear. It appeared from the evidence o f the brokers
who it was alleged sold the stock, that they did sell a quantity o f Harlem Railroad
stock at the Board o f Brokers, on the day on which plaintiffs alleged that defend­
ant’s stock was sold, but there was no entry in their books going to positively
identify the defendant’s stock, as that which was sold by them on that day.
The court charged the jury, that according to the rule of law and common
sense, when a man receives an account, and afterwards comes in contact with the
persons who presented it and makes no objection to it, it is implied that he then
deems it correct; leaving him however, at liberty, if he afterwards finds it incor­
rect, to show it to be so. If the defendant had satisfied the jury that the plain­
tiffs sold his stock without proper notice or in an improper manner, then such sale
was illegal, and the defendant is entitled to claim the highest price which such
stock since sold fo r; and if the sale o f the stock was illegal, it extinguishes the
plaintiffs’ claim, as it sold but for 39 percent, and has since sold at 63, which would
amount to more than the plaintiffs’ debt. To render the sale legal, the stock, in
this case, should be sold only with reasonable notice, and in a proper manner.
The stock must be sold at auction, no other way o f sale being known to the law.
There might, however, be some custom in relation to such sales, but no proof had
been offered to show it. In regard to the place o f sale, there was nothing in the
constitution or nature o f the Board o f Brokers to show that it was not as good
a place for the sale as any other in the Exchange. A sale made at the Board o f
Brokers was therefore as good a sale as if made elsewhere. If the jury were
satisfied that the sale was not made with sufficient notice, or at auction, or without
the defendant being called on before the sale to pay his balance, then they would
find for the defendant. But if they were satisfied that those requsites were com­
plied with, then they should find for the plaintiffs.
Verdict for plaintiffs, $6,384.
•
SUIT TO RECOVER FOR CLOTHING, ETC., FURNISHED A MINOR.

In the Commercial Court, Cincinnati, (October 9, 1849,) Collins & Timberlake
vs. Srunker.
The plaintiffs, storekeepers in Lexington, Ky., brought the suit to recover $286
for articles o f clothing, &c., furnished to defendant’s son, in 1843, within a period
o f about eighteen months, while he was a student in Lexington College, under
the charge o f Professor McCown.
The evidence was documentary, and rather voluminous, and included the ac­
counts o f the plaintiffs.
Mr. Riddle for the plaintiffs, in his defence, relied upon the testimony he had
introduced, to show that positive instructions had been given to Professor McCown
not to open an account, a sufficient supply of the requisite articles being furnished
by defendant for the use o f his son, when he entered the College; and drew the
attention o f the Court to the case o f Watson vs. Watson, in Johnson’s Reports ;
where upon a case taken up to one o f the higher courts on a certiorari, a judg­
ment, giving a tradesman damages for goods furnished to a minor, was reversed,
upon the principle, that the discretion o f the parent was to determine the necessity
o f the articles required. This did not, o f course, apply to the case o f a delin­
quent parent, but the principle was obviously applicable to the present case, the
defendant having equiped his son in a manner suitable to his situation. Counsel
then read the plaintiffs’ bill, drawing particular attention to sundry items for Cologne
and Florida water, tobacco, kid gloves, fancy scarfs, cigars, penknives, powder and
shot, four pair o f fine boots, and the same number of shoes, within two months ;
all which matters he submitted were more abundantly dealt out to this young lad
than would be proper even if he were the son o f a rich Carolina or Louisiana planter,




Mercantile Law Cases.

77

or of a Cincinnati attorney— in full practice, (a laugh,) much less required for the
son o f a plain, old-fashioned Methodist preacher.
Mr. Henry for the defendant, contended that the evidence, in showing Professor
McCown’s agency in relation to defendant’s son, fully established his liability.
The articles were furnished upon his representations, and those representations
were true. Defendant, too, was aware o f the transaction— he had been transmit­
ted a copy of the account while it was in progress, and so far from expressing his
disapprobation, he remitted a portion of the debt, and promised to pay the balance.
Counsel in referring to the items in the account, said they were not at all incon­
sistent with the position o f a student in Lexington, one of the most fashionable
places in the United States, where all kinds of extravigant habits were practised—and
if defendant was not satisfied to have his son educated in Ohio, he should not be held
irresponsible for the debts contracted for these articles, when lie removed him from
his own care to the charge of Professor McCown, who opened this account, in
consequence o f the absolute necessity— the fact not being as represented, that
he had furnished a complete supply o f the requisite clothing and other articles to
his son.
The court then briefly charged, remarking that the defendant could be held lia­
ble only so far as he had created Professor McCown his authorized agent. A
parent certainly was liable for any necessaries furnished to a child; but it was
only in the case o f a palpable omission o f duties that a third party could in­
terfere.
The jury returned a verdict for plaintiffs; $209 damages.
ABSENT DEBTOR— INSOLVENT L A W S OF MASSACHUSETTS.

In the Supreme Judicial Court, (Massachusetts, 1849.) Nicholas H. Brigham
vs. Frederick A. Henderson.
This was an action o f assumpsit brought by the plaintiff to recover the amount
o f a draft for $399 84, drawn in favor o f the plaintiff, and accepted by the defend­
ant. All the parties, at the time, were citizens of Massachusetts, and the draft
was payable at either hank in Boston. The defendant pleaded his discharge un­
der the insolvent laws of Massachusetts. It appeared, that at the date of the
acceptance, the plaintiff was a citizen o f the State, but contemplated removing to
New Orleans, for which city he soon left, and there resided at the time the de­
fendant took advantage of the insolvent laws, and also when this action was com­
menced. The Court below instructed the jury proforma, that the plaintiff being
a citizen o f another State, he was not affected by the defendant’s discharge in in­
solvency ; whereupon they returned a verdict for the plaintiff, and the defendant
took exceptions to the ruling.
M etcalf , J., delivered the opinion o f the court. He remarked that the case
presented a question o f considerable labor which the counsel should have shared
with the court. But that the same points has arisen in another case, in which
elaborate written arguments had been prepared, and from which the court had re­
ceived much assistance in the case before them.
The statute of 1838, chap. 163, sec. 7, which was the same as that reported by
the commissioners in 1831, declared in what cases the operation o f the insolvent
laws ahould discharge the debtor. From all debts proveable under that act, which
were founded on any contract made by him, after that act should go into operation,
if made within the commonwealth, or to be performed within the same. The at­
tention of the commissioners had been directed to the question, and they were of
the opinion that the provision o f the statute did not conflict with that clause o f
the constitution o f the United States prohibiting the states from passing laws im­
pairing the obligations o f contracts. The plaintiff had relied upon the case of
Ogden vs. Saunders ; but whatever that case may have decided, or was supposed
to have decided, it did not reach the precise point in the present case. Nor was
there"?any decision of the United States Courts that did; and in the absence o f
such decisions, the court would rely upon the validity o f the statute, and sustain
he defendant’s executions.




Commercial Chronicle and Revie ic.

78

COMMERCIAL CHRONICLE AND REVIEW.
I N C R E A S E D A B U N D A N C E IN T I I E M O N E Y M A R K E T — E X P O R T OF C O T T O N — A R R I V A L OF G O L D F R O M C A L I ­
F O R N IA — E M I G R A T I O N T O C A L IF O R N IA — P R O D U C T IO N O F T H E
C R E A S E OF B A N K IN G C A P IT A L — O C E A N B A N K OF T H E
C H A R TE R E D BANKS COM PARED— DRY

G O O D S I M P O R T E D IN T O

F L A T T E R I N G P R O S P E C T S OF T H E C O T T O N
T IO N O F

1839—

M IN E S — T E N D E N C Y T O S P E C U L A T E — IN ­

C I T Y OF N E W

M A R K E T — H IG H

NEW

RATE

Y O R K — D IV ID E N D S
YORK

FO R

LAST

OF F R E E AND
S IX M O N TH S—

OF W A G E S — T H E C O T F O N S P E C U L A ­

B A N K OF F R A N C E , E T C .

T he progress of the season has as usual been marked by a continued increase
in the abundance o f money, and its accumulation is now proceeding in a more
rapid ratio than has perhaps ever before been known in this country. The rate
at 30 a 60 days for money on good securities, is 3 a 4 per cent per annum; on
first class bills o f longer date, 5 a 6 per cent, while produce, particularly cotton,
is firm abroad, and going forward in a manner to supply the bill market freely.
The exports o f cotton from the United States from September 1st, to December
1st, are 200,000 bales, worth, at average rates, $8,800,000, or nearly $2,000,000
more than the value o f cotton exported at the same time last year. As a conse­
quence, the rate o f bills is falling. Sterling is nominal at 7 i a 8£; top-rates, for
first class signatures, 8J a 8^; francs, 5.27 i a 5.26-J-. At this season, the imports
o f goods usually decline, and the remittances for spring importations not being
active, the demand is limited. As it is, there is a prospect o f importing specie
from Europe for the spring. The arrivals from California at the Philadelphia
mint, up to the close o f November, had reached $3,800,000, and the arrival o f the
Crescent City has supplied a further sum o f $1,218,000, to various firms. The
accounts she furnishes, are o f large arrivals o f immigrants, being 4,000 for the
month o f November, making, as estimated, 30,000 o f inhabitants in the city, and
80,000 at the mines. The labor of these latter continues to be rewarded with
fair returns, and there is no apparent diminution in the probable productions of
the mines. Under all these circumstances favoring the continued abundance of
money, there is a growing disposition to speculate; real estate, and stocks par­
ticularly, are showing such results as must necessarily promote confidence in
them as investments. Perhaps there can be no better indication o f the general
prosperity o f the banks, as well as o f their customers, than is furnished in the
comparative high rates o f dividends. The usual result of abundance o f money,
accompanied by large earnings o f corporate associations, is manifesting itself on
all sides, in the formation of new capital. In Boston, two new banks are in pro­
cess o f formation, one with a capital o f $1,000,000, and the other with one of
$500,000. There are also applications before the New Jersey Legislature for
twelve new charters, viz :— Mercer County Bank, at Trenton, capital $200,000 ;
Farmers’ and Mechanics’, at Salem, $50,000; one at Cape May, $50,000; at New
Brunswick, $200,000; at Bordentown, $100,000; at Freehold; at Phillipsburg,
(Warren county;) at Jersey City, $200,000; at Elizabethtown; at Deptford,
(Gloucester;) at Jersey City or Van Vorst, $100,000; and one at Patterson.
The aggregate thus demanded will not be far from one million of dollars. In
Pennsylvania, the notices of applications for new banks, and re-charters of old
ones, to the coming Legislature, are as follow s:— Kensington Bank, Philadelphia,
(additional capital,) $250,000; Carlisle Deposit Bank, Carlisle, Pa., $226,762;




Commercial Chronicle and Review.

79

Farmers’ and Mechanics’ Bank, Easton, $300,000; Miners’ Bank, Pottsville, (ad­
ditional capital,) $200,000; Anthracite Bank, Tamaqua, $500,000; Mechanics’
Bank, Pittsburgh, $200,000; Bank of Pottstown, $200,000; City Bank, Phila­
delphia, $500,000; Dauphin Bank, Harrisburg, $200,000; Farmers’ and Mechan­
ics’ Bank, Allentown, $150,000; Exchange Bank, Pittsburg, (renewal,) $819,580 ;
Southwark Bank, Phila., (additional cap.,) $150,000; Canal Bank, Erie, $300,000 ;
Wellsboro’ Bank, Wellsboro’, $150,000; Central Bank, Harrisburg, $500,000 ;
Bank o f Spring Garden, Philadelphia, $300,000; West Branch Bank, Williams­
port, (renewal,) $100,000; Lebanon Bank, Lebanon, Pa., (renewal,) $70,280;
Spring Garden Bank, Philadelphia, $250,000; Blair County Bank, $200,000;
Farmers’ Deposit Bank, Pittsburg, $62,500; Harrisburg Bank, Harrisburg, (re­
newal,) $300,000 ; Schuylkill Bank, Philadelphia, (renewal,) $1,000,000. Making
an increase o f nearly $5,000,000 in the capital o f the State employed in banking.
In the State o f New York, about $2,000,000 o f new capital is being organized,
embracing that o f the Ocean Bank, which, with a capital o f $535,000, went into
operation December 10th, under Nathaniel Weed, Esq., the books remaining open
until the 1st inst., for an additional subscription o f $250,000. This institution
promises to be one o f the most useful, and it may he remarked, as an indica­
tion of the sources whence cash capital is being derived, that the largest stock­
holder in this new bank, is a successful California adventurer. In the interior
o f New York there are also many new banks being organized under the new law,
or general law. As this permits banks to organize and go into operation with­
out special legislation, they have only to proceed at pleasure, checked only by the
high price o f New York Stock, to which they are restricted as securites for issues.
It is also the case that the clause o f the constitution, which requires all stock­
holders in banks that issue paper to circulate as money, to become responsible
for all the debts o f the concern to an amount equal to the shares, comes into opera­
tion on the 1st o f January, 1850, but this does not appear to effect the value or posi­
tion of bank stocks. The disposition to promote the circulation o f bank credits, is
fast increasing over many of the States, and the legislators o f each should take
prompt measures for checking the excess o f the evil, and of rendering its regular
action at once conducive to the State interests, and beneficial to the note-holders.
In New York, it has been found that the application o f the principle o f securities
for circulation, and the operation o f a general law for the organization o f banks,
has in no degree diminished the profits of institutions; on the other hand, the
dividends declared by the institutions, under the free law, are, as a general thing,
superior to those of the chartered institutions. Thus the following banks, o f
about equal capital, earned as follows last year:—
Free Banks.

Am. Ex. Bank.
Fulton.............
Chemical........
North R iver..
Total..........

Capital.

Per Ct.

ilivid's.

Chartered.

$1,155,400 9 $103,986 Phcenix.............
600,000 10
60,000 Leather Manuf.
300,000 12
36,000 Mech. & Trades.
645,000 8
52,400 National...........
$2,710,400 9.31 $252,386

Total............

Capital.

$1,200,000
600,000
200,000
750,000

Per Ct,. D ivid’ s.

7 :$84,000
8 48,000
10 20,000
8 60,000

$2,750,000 17.70$ 212,000

The free banks, which gave security for their circulation to the full amount in
New York State Stocks, have declared nearly one and a half per cent more profit
than nearly similar amounts o f capital employed under charters. This fact is con­
clusive, that there is nothing in those requirements for the security o f the public,
to interfere with the profits o f the institutions, and therefore, the opposition which




80

Commercial Chronicle and Review.

the system receives from chartered interests, cannot proceed from an intelligent
understanding of the true interests o f a regular business. It proceeds more par­
ticularly from those whose designs are directed against the public, through the
hope of getting into circulation large amounts o f unsecured paper, in view o f ulti­
mate insolvency. Under these circumstances, it would seem to be the duty o f
the Pennsylvania and New Jersey Legislatures, where the demand for new char­
ters is so rife, at once to pass a general law, requiring, in the former State, Penn­
sylvania Stocks to be deposited as security. As $5,000,000 o f new capital are
asked for, such a demand for the stocks o f the State, would bring a considerable
quantity from abroad, into the State, and by so much retain the interest at home,
while bill-holders would be amply secured. The details of the shocking frauds
recently exposed, would show the necessity for some mode of protecting the
public. In New Jersey, where no State stocks exist, those o f the Federal Gov­
ernment would form an absolute and necessary security. In Michigan, where
few or no banks exist, and the stock o f that State is small, a general law o f such
a character would probably cause all its stock to be brought within the borders
o f the State, and the dividends would remain within it, while an ample and sound
currency would, with the increasing amounts o f coin in the country, displace the
circulation o f irresponsible institutions. /
The business o f the fall usually ceases with the closing of the canals, which
took place this year on the 5th o f December. O f late, however, the use o f the
telegraph, and the increase o f railway communication, has served to prolong
transactions through the year; while, by means o f the former, the city merchant
can: ascertain the home-standing o f a country dealer, before his purchases are
completed. So can that dealer order goods, and receive them by express, in al­
most any period o f the year. The business, therefore, is now more distributed
throughout the year, and there is no time when, as formerly, the dealer might
say that his business is entirely quiet. The amount o f dry goods entered at the
port o f New York, for the fall season, has this year been much larger than for the
previous one, as follow s:—
D RY GOODS IMPORTED INTO THE PORT OF NEW YORK, FROM JUNE 1ST, TO DEC. 1ST.

Woolens.
Entered............. 6,808,872
With, f ’m Wareh. 1,321,860

Cottons.
3,400,133
374,190

Silks.
Flax. Miscellaneous.
Total.
7,262,288 2,058,375 1,223,473 20,753,146
548,000
272,553
125,473
26,41,476

Total, 1849.... $8,130,732 3,774,323 7,810,288
“
1848.... 5,884,873 4,118,906 6,056,745
Increase........ $2,245,959
Decrease........

1,753,543
344,583

2,330,928
2,009,852

1,348,346
1,472,949

321,076

23,394,632
19,543,325
3,851,307

124,603

This large importation has sold well, at constantly rising prices, and while the
dull quarter finds smaller stocks on hand than usual, the prices are higher than at
the commencement o f the season. The generally good demand throughout the
country, indicated in these facts, comprised as well an inquiry for merchandise of
domestic origin, and both proceeded from the general state o f prosperity arising
from well sustained prices o f raw produce, although this was sent to market in
very considerable quantities. The position and prospects o f cotton are flattering;
for nearly a year, the market has been on the rise, under the weight of a large
crop, influenced by an unusual demand for consumption, supported by rumors o f




Commercial Chronicle and Review.

81

diminished production, and prices now range from 60 to 100 per cent over those
current one year ago. This advance in the price o f raw material, has naturally
affected the cost o f wrought fabrics, and improved the demands o f manufactures,
without adding much to their actual profits. These, between high rates for labor,
and high prices for raw materials, cannot be large, without a material rise in the
prices o f goods, beyond what has taken place. The high rates o f wages is a di­
rect and necessary consequence o f the general prosperity o f the country, which
finds employments for the many, more agreeable and lucrative than the drudgery
o f factory service. Nevertheless, it does not appear that the high price o f cotton
diminishes the quantity consum ed; although it is a necessary law o f trade, that
high prices discourage consumption, yet its operation, or rather the fact o f high
prices, is always comparative. These prices for an article o f general consumption,
which, in a season o f dear food, and scarcity o f money in England, are high, are
by no means so in aseason where both these great elements areabundant and
cheap.
Thatis to say, where the ability to consume more, exists, the consequent
demand is not checked by a money price for the thing desired somewhat higher
than that o f a previous and less prosperous year. This appears now to be the
case with cotton. The speculation which exists in that article, is, in some re­
spects, similar to that which marked the year 1839. During the decade which has
since elapsed, the article has undergone many and great vicissitudes. The crop o f
1837-8, and 1838-9, compares with the last and the present, as follow s:—
Crop.

1837- 8 .............................
1838- 9 .............................

Crop.

1,801,497 I 1848-9.............
1,360,622 | 1849-50...........

2,728,596
2,200,000

The actual proportionate decline in the production o f cotton in 1839, was mueh
larger than the estimated decline this year. It may be serviceable to recur to the
circumstances o f the speculation, and its utter failure o f the year 1839. The crop
declined during the year ending with August, 1838. It had annually increased
since 1832, and had exceeded that o f the previous year, by 378,000 hales, or 25
per cent, and, as a consequence, had ruled lower, averaging 7 f cents in Liverpool,
throughout the year. F or the thirteen previous years, there had been an unin­
terrupted annual increase in consumption, averaging 9 per cent per annum, and
the purchases by the trade were very large, proportioned to the large crop.
W hen, therefore, it became apparent that a decline o f 25 per cent would take
place in the production, the safety o f speculating for a rise was supposed beyond
question. There were, however, then in operation many elements fatal to the
success o f such an enterprise. In the first place, the large purchases by the trade
in 1838, which were unusual for consumption, were taken by spinners as stock
ahead. Thus, Messrs. Strutt, o f Derbyshire, had, anticipating an advance in price,
taken stock for three years ahead, at the rate o f 10,000 bales per annum. The
prevalence o f this disposition, aided by the abundance o f money, had swollen the
apparent demand for consumption. W ith the spinners so well stocked, the Eng­
lish harvest o f 1838 failed. A t the same time, the state o f affairs in the United
States was very unsound. Prices o f cotton, under the direct purchases o f the
late National Bank, which issued its bills o f the old institution, had been forced
unnaturally high, and in October, 1838, new fair to good fair, sold at 14£ a 15
cents per pound. Such prices, even with a continued good demand, left a small
margin for an advance.
V O L . X X I I .-----N O . I .




Nevertheless, the United States Bank, and all who com6

Commercial Chronicle and Review.

82

manded credit, entered the market with avidity, and the Bank o f England, not­
withstanding rising prices for food, and a continued drain o f the precious metals,
continued to reduce the rate o f interest, and thus facilitated the cotton move­
ment. The follow ing figures describe the movement from the close o f the crop
year 1838, to the reaction and ruin o f 1839:—
1838, October.....................
“ November................
“ December................
1839, January...................
“ February.................
“ March.......................
“ April........................
“ May.........................
“ June.........................
“ July.........................
“ August.....................
“ September...............
“ October...................

Fair Cotton.
6f
7±
H
H
H
9±
8J
8±
8
n
n
6f

Brokers’ rate o f

Bullion

Wheat. disc’nt, per ct.
65
3
69
H
74
H
78
Si
77
H
73
3f
70
3f
70
H
69
5
68
H
70
6
71
6i
70

in Bank.
89,500,000
9,250,000
9,000,000
9.250,000
8,750,000
8,250,000
7,000,000
6,000,000
5,000,000
3,750,000
3,250,000
2,750,000
2,500,000

N ow , although cotton had risen 50 per cent, wheat 12s. per quarter, and the
specie diminished £2,500,000, the Bank o f England in March, 1839, offered to
reduce the rate o f interest to 31 per cent on exchange bills, until April. This
was followed by more adverse circumstances. The importation o f food contin­
ued large, and the bullion in bank to sink, until the alarmed institution, in May,
altered its course, and continued to advance the rate o f interest, availing itself, for
the first time, o f the repeal o f the usury laws, to raise the rate o f interest above
5 per cent, a point that it had not previously attained since 1704. A ll was o f no
avail; the failure o f the United States bank took place on the 9th October, 1839,
and that o f England in the follow ing month, was prevented only by a 1oan from the
Bank o f France. Under these circumstances it was, that the great falling off in the
production o f cotton was more than countervailed by the high price o f the raw ma­
terial, the famine price o f food, and the financial revulsion abroad, with the catastro­
phe o f the late National Bank here. None o f these circumstances attend the position
o f the great staple this year. The great relaxations that have taken place in the
commercial policy o f England, has greatly promoted the consumption o f goods, at­
tended as it has been by a removal o f duties upon consumable articles, particu­
larly cotton, a large railroad expenditure, and an abundant supply o f cheap food.
I f w e compare the state o f affairs now, with that o f 1839, w e have the follow ing
results:—
PRICES OK COTTON IN NEW YORK, OCTOBER 1ST, 1 8 3 8 , AND 1 8 4 9 .
Ordinary &. m id.

1838..................................................................................
1849.................................................................................

10 a 13
91 a 10

Fair & good .

13J a 14
11 a 11£

This being the state o f prices in New York at the opening o f both crops, the
situation o f things abroad is indicated as follows
Price, fair cotton.

d.

d.

Wheat.

1838...............................
1849.............................. ...............

H a 7±

s. d.
74 6
41 5

.............

l£ a li

33 1

Increase .....................




Discount.
31

21

Bullion in bank.

£9,250.000
16,038,290

1
£6,788,290

Commei'cial Chronicle and Review.

83

In addition to this actual state o f affairs favoring a large consumption o f goods
this year, it is to be remembered that the corn trade has become regular, and the
importation o f even the large quantities that were made during the yfear ending
with August, 1849, failed to disturb exchanges— that the Bank o f England,
which, in 1839 confessedly reduced the circulation, with the object o f reducing
the value o f cotton, has, by its new charter, been shorn o f that power, while the
large railroad expenditure, and active employment, as well in England as in
Western Europe, afford the means o f a considerable consumption o f goods. The
circumstances recounted were mainly instrumental in reducing the consumption
o f cotton in England 30 per cen t; but to attain this, it was requisite that prices
in New Y ork should rise to such rates as the follow ing quotations in New York,
May, 1839:—
N ew Orleans.

Ordinary a middling fair........................................
Fair a good fair......................................................

M obile.

14 a 15^ c.
16£ a 16}

14 a l 5 J c .
1 6 J a l6 £

These are 25 per cent higher than the present prices o f the raw material, and
the so-called high price now relatively to food and interest. It is the case, un­
doubtedly, that many o f the spinners have large stocks o f cotton, purchased with
the abundant money, at the low prices o f the past year, and also that many o f the
goods-markets have been well stocked; but it is also the case that the general ability
to consume is great. A s an indication o f the views o f the United States manufaoturers, we may take a table o f the purchasers for consum ption:T o Oct. 31.

T o N ov. 30.

St’k, Sep. 1.
Rec’ts, Oct.

140,934
154,792

140,934
497,567

S u pply.. .
E xp ort.... 59,489
Stock........ 177,561

29,7526

12, 1849.
140,934
566,440

D ec.

638,501
194.193
318,404

To Dec. 12,1848.
144,815
597,077

707,374
226,626
343,285

741,892
371,745
277,282

237,050
Tak. for c@n.
Price, fair....

68,676
U f a 12

125,904
lO f a 11£

137,463
10J a 11|-

92,365
6} a 7

Thus, with a price 50 to 80 per cent higher than last year, the United States
manufacturers have taken 50 per cent more cotton this year than for the corre­
sponding season last year. Under these circumstances, the prospect for sustained
prices o f the raw material, are better than usual; the demand for goods being
such as to warrant the advance manifest in the raw materials.
It appears from the accounts o f the Bank o f France, that the cash in hand had
increased by 2,000,000 francs in Paris, and decreased by l,500,000f. in the depart­
ments. T he commercial bills discounted have diminished by 4,500,000 francs.
The protested bills have decreased by 130,000 francs. The bank notes in circu­
lation have diminished by 5,250,000 francs in Paris, whilst they have increased in
the departments by 750,000 francs. The balance to the credit o f the treasury
has increased by 5 ,750 ,000f., and the sundry credits have decreased by 5,500,000f.




Commercial Statistics.

84

COMMERCIAL STATISTICS.
PRODUCTION OF HOGS AND BEEF CATTLE IN OHIO.
"We published a table, in the December number, 1849, of the Merchants' Magazine,
showing the number and value of hogs and beef cattle, in fifty-nine counties, in the
State of Ohio, as returned for taxation, by the township assessors, and equalized by
the County Board, for the year 1848. From an official copy of the annual report o f
the Auditor of that State, and the Cincinnati P rice Current, we are enabled to give
the returns for the remaining twenty-seven counties, as follows:—

1848.
Hogs.
59 Counties
br’ t for’ard
D efiance----Fayette........
Geauga........
L a k e ............
L o r a in ........
L u c a s ..........
M ontgom ery
T ru m b u ll.. .
W a y n e ........
W illia m s....
A th e n s ........
E rie..............
W ashington
..........
S h elby..........
Anglaize . . .
D a r k e ..........
H ancock----Jackson ----L i c k i n g ----M adison----M e rce r........
Pickaw ay. . .
P i k e ............
P u tn a m ----S h e lb y ........
Stark............
T o t a l...

1849.

Value.

Hogs.

Value.

1,374,891 $1,692,524
5,903
5,177
35,314
57,314
G8,700
12,165
5,702
10,283
14,391
21,259
9,902
10,316
40,000
59,652
22,062
13,983
28,149
28,161
6,109
4,879
18,011
15,546
11.613
8,912
20,100
16,401
23,369
17,678
14,547
16,223
8,697
11,719
27.339
29,669
18,951
13,686
13,834
15,813
37,639
35,473
25,007
33,596
7,509
10,577
91,206
54,589
16,211
24,482
6,134
7,694
14,547
16,223
32,343
36,988

1,464,514 $1,839,811
5,224
4.600
34,125
52,590
6,345
9,119
4,842
7,650
12,725
16,208
8,341
8,588
51,242
34,243
12,550
17,719
27,375
24,506
6,290
5,165
19,692
21,551
8,032.
10,502
16.561
20,645
16,540
20,830
H uron
15,241
13,812
11.980
9,251
29,014
29,369
17,532
12,752
16,481
19,607
33,891
38,287
23,587
32,609
11,009
8.830
54,382
94,937
26,032
19,356
8,174
6,192
15,241
13,812
29,983
32,234

1,886,263 $1,322,968

1,967,998 $2,444,312

1848.
Beef.

Value.

647,804 $6,092,264
3,183
29,641
15,444
217,701
18,516
245.197
9,959
126,829
17,253
220,611
9,560
103,294
13,863
102,756
31,088
399.740
17,894
132,761
4,509
44,716
10,231
84,696
8,079
94,G87
10,289
96.665
15,036
171,984
6,893
47,183
5,842
41,348
10,241
71,468
8,486
65,317
8,449
65,744
18,891
156,797
22,592
322.223
4,102
29,909
24,416
442,928
5,214
48,935
3,809
27,623
6,893
47,383
18,607
165,412
1,017,143 $9,695,372

1849.
Beef.
708,103
3,621
14,815
21,767
11,140
20,879
10,093
13,996
35,968
19,035
5,287
11,343
8,939
16,282
17,373
7,541
6,706
10,803
9,493
9,687
19,832
20,600
4,709
23,899
5,601
4,246
7,541
19,793

.

Value.
$6,464,958
33,738
195,711
277,829
142,728
262,261
101,705
107,605
431,915
137,033
52,358
97,351
104,610
110,936
195,058
51,303
48,549
74,868
71,748
79,217
175,097
286,279
32,738
427,801
66,380
29,893
53,303
i79,798

1,069,102 $10,292,860

THE FOREIGN DRY GOODS TRADE OF NEW YORK.*
There are few persons who have any definite idea of the value of the dry goods
which annually pass through our custom-house into the hands of consumers. New
York is called the commercial emporium of the country; but with many this term is
treated as a complimentary cognomen, which has no significant application to our city,
and to which we have no peculiar title, except through the courtesy which concedes
it. Others suppose the commercial importance of New York consists in the huge
warehouses which shadow a considerable portion of the city, as if piles of brick and
mortar could create wealth. The true secret of our prosperity, apart from the manu­
facturing carried on within the borders of New YTork city, may be found in the constant
stream of created value which passes through this channel, and is distributed far and
wide over the country. It is not local or individual wealth which fills the warehouses
and throngs the streets. Stagnant water breeds but the pestilence. It is the flowing
stream which irrigates and fertilizes what would otherwise be a desert waste. So
it is the constant flow of a nation’s supplies, through the facilities here offered for
trade, which supports half a million of people, and gives New Y’ ork the first rank on
this continent. We furnish receiving and distributing warehouses for the products of




* From the Journal of Commerce.

Commercial Statistics.

85

American fields and workshops, and for the tributes to our wants which come from
abroad. It is impossible to show the extent of this trade in every department at one
view. W e subjoin the value of foreign dry goods which have passed through this
channel for the year ending with the close of the fall trade. These tables have been
prepared with much expense of time and labor, and, we believe, may be relied on as
correct:—
VALUE OF FOREIGN D R Y GOODS ENTERED FOR CONSUMPTION DURING THE YEAR ENDING DE­
CEMBER 1ST, 1 8 4 9 .

Months.

W oolen.

Cotton.

December.....
January.........
February........
March.............
April...............
M a y ...............
J une................
J u ly ...............
August...........
Septem ber...
October...........
November - . .

$100,580
321,011
925,657
722,013
450,708
304,474
474,865
1,020,673
2,963,604
1,330,783
600,413
418,534

$280,945
718,226
1.642,339
1,478,902
471,877
410,671
376,450
817,520
1,142,686
548,516
269,654
245,312

T o t a l....

$ 9 ,6 3 3 ,3 2 5

$ 8 ,4 0 3 ,0 9 8

Silk.
$298,539
1,861,999
1,798,582
1,276,090
836,986
314,482
456,643
1,784,797
2,859,992
1,130,523
529,063
501,270
$ 1 3 ,6 4 8 ,9 6 6

Flax.
$174,794
234,496
524,371
149,721
281,638
245,431
158,264
231,650
706,075
443,266
227,291
291,829
$ 4 ,2 6 8 ,8 2 6

Mis’laneous.
$210,167
253,077
568,011
514,933
287,441
304,918
194,280
262,297
361,336
209.243
95,184
101,332
$ 3 ,3 6 2 ,2 1 9

GOODS WITHDRAWN FROM WAREHOUSE DURING THE YEAR ENDING DECEMBER 1 s t , 1 8 4 9 .
Months.

W oolen.

December... .
January........
February . . .
March...........
April............
May ...........
June.............
J u ly .............
August.........
September..
October.........
November . .

Silk.

Flax.

$ 3 7 ,1 7 2

$ 7 9 ,4 3 8

$ 6 0 ,5 5 6

$ 1 8 ,4 6 0

1 8 0 ,9 0 9

2 1 3 ,1 9 2

2 3 6 ,9 1 0

1 7 ,2 0 4

4 7 ,9 6 7

1 7 6 ,2 9 4

2 5 4 ,4 6 2

2 5 6 ,1 5 2

6 2 ,5 5 2

4 2 ,1 9 5

1 2 3 ,7 0 1

1 5 6 ,2 3 3

1 8 3 ,8 7 3

6 6 ,6 5 6

8 5 ,5 8 9

4 7 ,4 4 1

8 9 ,4 7 9

9 9 ,1 9 8

2 9 ,3 5 1

5 2 ,5 0 6

4 5 ,3 7 4

6 4 ,3 7 5

5 7 ,1 5 6

6 3 ,9 4 9

2 5 ,0 9 1

3 0 ,4 4 7

3 8 ,1 5 6

4 0 ,9 3 0

3 4 ,9 8 3

2 1 ,4 2 9
2 4 ,4 3 1

Cotton.

Mis’laneous.
$ 5 3 ,9 6 8

1 0 5 ,6 9 4

8 8 ,0 7 8

7 9 ,6 5 6

5 9 ,1 3 9

6 6 6 .6 7 6

1 2 9 ,1 0 1

2 0 1 ,4 3 1

9 0 ,4 7 3

2 1 ,3 3 2

3 3 0 ,5 0 4

8 4 ,9 9 5

1 1 3 ,5 7 7

3 0 ,2 3 6

2 3 ,7 9 0

1 4 5 ,3 6 2

1 8 ,4 4 0

5 3 ,1 2 3

3 3 ,5 7 1

1 1 ,6 2 6

4 3 ,1 7 7

1 4 ,2 2 0

5 9 ,2 8 3

2 4 ,1 5 1

2 2 ,2 7 5

T ota l.......
Goods enter’d

1 ,9 3 2 , 7 5 7

1 ,2 3 1 , 3 6 9

1 ,4 4 1 , 8 4 5

6 2 0 ,7 2 5

4 3 2 ,1 9 9

9 ,6 3 3 , 3 2 5

8 ,4 0 3 , 0 9 8

1 3 ,6 4 8 ,9 6 6

4 ,2 6 8 ,8 2 6

3 ,3 6 2 , 2 1 9

Grand total

$ 1 1 ,5 6 6 ,0 8 2

$ 9 ,6 3 4 ,4 6 7

$ 1 5 ,0 9 0 ,8 1 1

$ 4 ,8 8 9 ,5 5 1

$ 3 ,7 9 4 ,4 1 8

RECAPITULATION OF THE ABOVE TABLES.
Description o f goods.

"Woolens........................................
Cotton..........................................
S ilk ..............................................
Flax..............................................
Miscellaneous........................

Ent’ d for consum ption. W ith d’ n from warehouse.

$9,633,325
8,403,098
13,648,966
4,268,826
3,362,219

$1,932,751
1,231,369
1,441,845
620,725
431,199

$39,316,434

5,657,895
39,316,434

Total taken for consumption...........................

$44,974,329

The increase over the imports for the previous year is not as great as many antici­
pated. The principal cause of this disappointment was the prevalence of the cholera
during the summer, which curtailed the orders for the fall trade. Still, owing to the
increased quantity of woolens brought out, the importations for the last six months
exceed those of the corresponding period of 1848, although there has been a heavy
falling off in cotton and silk goods, as the following comparative table will show :—




Commercial Statistics.

86

TOTAL VALUE OF DRY GOODS W HICH PASSED INTO CONSUMPTION FOR THE SIX MONTHS ENDING
DECEMBER 1ST, IN EACH YEAR.

Description of goods.
Manufactures of w ool............................... .
“
cotton...............................
“
s ilk .................................
“
flax..................................
Miscellaneous.............................................

1849.

1848.
84,851,198
4,631,124
8,234,060
1,815,082
1,445,236

88,130,732
3,774,228
7,810,288
2,330,928
1,348,955

820,976,700

823,395,131
20,976,700
82,418,431

Total increase in six months..........

VIRGINIA TOBACCO TRADE.
In the Merchants’ Magazine for November, 1848, (vol xix., page 545,) we published
a tabular statement, showing the quantity of tobacco inspected, the stock on hand, and
and the exports, foreign and domestic, in each year from 1843 to 1848, furnished by a
reliable correspondent, residing in Richmond, Virginia. The same gentleman has sent
us, in continuation of that statement, the following additional particulars :—
Stock on hand October 1,1848................... ............hhds.
Inspected, year ending September 30, 1849.................

13,959
44,904
--------

58,863

EXPORTS.

Great Britain. . .
France................ .
Cowes, for orders
Belgium..............
Bremen..............

9,667 |Holland............
3,267 Italy, Spain, &c
551
1,478
T ota l....
1,045

Manufactured and shipped coastwise.....................hhds.
Stock on hand, October 1,1849............... ........................

663
2,972
19,643
27,720
11,500
--------

58,863

The shipments coastwise were, to New York, about 2,100 hhds; the shipments to
other ports probably about 600 libds.; and there was manufactured in Virginia about
25,000 hhds.: in addition to which there is manufactured a large quantity’ of tobacco not
packed in hogsheads, nor inspected, but brought to market loose. A portion of this is
afterwards packed and inspected, but the larger portion manufactured. The extent of
this cannot be ascertained. It may be equal to 2,000 to 4,000 hogsheads in different
years.
COFFEE PRODUCTION OF CEYLON.
According to the latest accounts of the crop of 1848-49 in Ceylon, there had been
shipped 239,199 cwts. of plantation coffee, against 190,685 cwts. in the preceding yea r;
and of native coffee 127,796 cwts. against 86,170 cwts.; making a total of the ship­
ments in the present year of 41,103,440 lbs., against 31,007,760 lbs. in 1848. The ac­
counts of the growing crop are of the most favorable description, and the estimate of
its yields, so far as plantation coffee is concerned, is no less than 273,000 cwts.; so that if
the shipments of native coffee should be only the same as in the last year, and we have
every reason to believe there will be a considerable increase, the entire shipments w ill
amount to no less than 44,889,152 lbs. Two years ago, in 1847, they did not reach
20,000,000 lbs. and that was the largest crop up to that time. So rapid an increase o f
production, together with the great improvement which has taken place in the price o f
this description of coffee of late, cannot fail to restore prosperity to that important
island. Native Ceylon coffee, which a year ago was sold in Liverpool at 27s, is now




Commercial Statistics .

81

worth 46s. 6d per cwt. The following is the estimate of the growing crop of the coffee
plantations:—
*
No. o f
estates. Est. crops.

Districts.

Saffragam and Ouvah.. .
Badullah.........................
Four Kories.................... .
Seven Kories..................
Kotm alie......................... .
Dolosbagie ...................
Bulatgamma...................
Yrattenoweyra................

21
20
17
5
31
6
46
26

ciots.
9,000
9,900
9,000
4,500
22,500
8,500
20,000
22,000

N o. o f

estates. Est. crops.
cwts.
9,000
Oodenewera.......... ........
12
Oodapalata.............
60,000
9,500
Harrispatto............ ........
14
23,000
Hewapetta..............
24
15,000
Matelle.................... ........
55,000
D om bera...............
Drstricts.

Total...................

273,000

STATISTICS OF LIQUOR LICENCES IN NEW YORK CITY.
NVe give below a statement of the number of licenses granted in the city of New
York, since the 9th of May. 1849, in the several wards. The table shows, taking the
population of 1845— the last official census— the proportion o f the licenses to the in­
habitants. It would seem, from this table, that the retail liquor trade, selling it by the
glass, was a profitable business, there being one license granted for every 98 o f the
population. Besides, we are credibly informed that in the 6th ward alone, there are
more than 300 places where liquor is sold without licenses. Deducting members of
the temperance societies, women and children, who do not patronize places where
liquor is sold by the glass, which, on the very lowest estimate, may be put down at
one-half of the whole population, we find that we have one license, or retailer, for
every 49 persons in the city of New York.
Licenses

Wards.

1st...............
2 d ..............
3 d ..............
4th ...........
5 th .............
6 th .............
7 th .............

............
............
...........
........
...........
...........
...........
...........

9 th

10th............. ...........

Popu- Proporlation.
tion.

342
160
192
345
193
222
215
216

12,230
6,962
11,900
21,000
20,360
19,343
25,556
30,900

36
64
62
61
106
66
119
143

194

30 907

1 59

165

20*993

127

W ards.

Licenses.

n t h ...............
12t h ...............
13 t h ...............
14th ...............
15t h ..............
1 6 th ...............
17th...............
18th...............
T o t a l..

253
128
215
116
299
216
182
...

3,779

Popular Proportion.
tion.

27,259
13,378
22,411
21,103
19,422
40,350
27,147

108
106
179
98
168
84
126

371,223

98

THE COAL TRADE WITH LONDON.
The London Shipping Gazette gives the following summary view of the coal trade
of that city, derived from official sources:—
About 300 years ago (say about 1550) one or two ships were sufficient for the de­
mand and supply of London. In 1615 about 200 were equal to its demand; in 1705
about 600 ships were engaged in the London coal trade. In 1805. 4,856 cargoes, con­
taining about 1,350,000 tons; in 1820, 5,884 cargoes, containing 1,692,992 tons; in
1830, 7,108 cargoes, containing 2,079.275 tons; in 1840, 9,132 cargoes, containing
2,566,889 tons; in 1845, 2,695 ships were employed in carrying 11,987 cargoes, con­
taining 3,403,320 tons ; and during the past year, (1848) 2,717 ships, making 12,267
voyages, and containing 3,418,340 tons. The increase in the importation during the
last ten years, that is to say, from the year 1838 to the year 1848, when the respec­
tive importation was 2,518,085 tons, and 3,418,340 tons, is upwards of 90 per cent.
Now, by taking 2,700 vessels as the actual number now employed, and by calculation
such vessels averaging 300 tons burthen per ship, and giving to a vessel of that size a
crew of eight men, it will appear that at the present time 21,600 seamen are employ­
ed in the carrying department of the London coal trade.




Commercial Regulations.

88

COMMERCIAL REGULATIONS.
CHANGED I3V THE JAMAICA TARIFF.
The House of Assembly of Jamaica have finally passed a revenue bill, laying duties
on imports, which has been concurred in by the Council, and signed by the Governor.
The following table shows the duty under the expired act, and that under the new bill
now in force:—
Duty under
new bill.

Beef, pork, and tongues...........................................
Bread or biscuit......................................., . ..............
Cattle ..........................................................................
Cheese..................... / .................................................
Drugs...........................................................................
Salm on...................................................................... .
Rye Flour................................. ..................................
Preserved meats..........................................................
Rice..............................................................................
Salt..............................................................................
Brandy.........................................................................
Rum, gin, and whisky................................................
A ll other spirits and cordials.....................................
Refined sugar..............................................................
Tobacco, manufactured on every £100 value........
And farther per pound weight.................................
Tobacco, manufactured, on every £100 value........
For every pound weight....................... %.................
Spring carriages, not used for agricultural purpo­
ses, plate, gold watches, gold and silver watch­
es, gold and silver clocks, jewelry......................
On all other goods, wares, or merchandise, plan­
tation supplies, clothing, <fec., effects of every
k in d......................... ...............................................

Duty under
expired act.

20s. per bbl.
16s. per bbl.
6s. per cwt.
4s. per cwt.
10s. per head
4s. per head.
10s. per cwt.
Is. per cwt.
100s. per cent.
Free.
10s. per bbl.
8s. per bbl.
2s.
“
4s.
“
£6 per cent.
2 per cent,
2s. per cwt.
15
“
Id. per cwt.
6d.
“
8s. per gallon. 6s. per gallon.
6s.
6s.
12s.
6s.
2d. per lb.
Id. per lb.
50 per cent.
32 per cent.
6d.
“
3d.
“
24
15
3d.
“
3d.
“
10
drawback,
2
“
8 per cent.
5
“
drawback,
2 “
3 percent.

Except coke, coals, (fee., diamond, hay, straw, ice, turtle, beeswax, tortoise-shell, raw
hides, and hemp.
ABSTRACT OF THE CORPORATION LAWS OF INDIANA.
We copied into the Merchants' Magazine, for August, 1849, from the “ Economist,”
a valuable journal, recently established at Cannelton, Indiana, for the purpose of pro­
moting the industrial interests of the west, a succinct account of the law of limited
partnerships, as it exists in Indiana. The same journal examines, as germain to the
subject, the law of corporations, and gives a brief synopsis of its provisions, as follows:
The general powers of corpoi ations “ to sue and be sued, appear, prosecute, and de- *
fend the final judgment and execution, to have common seal which may be altered at
pleasure, to elect officers, make by-laws and regulations,” are the same here as in
most other States. Many of the wants of corporation are provided for in their several
charters, which provisions set aside the provisions of the general la w ; in all other
cases the statute regulations prevail.
The first meeting of all corporations not otherwise provided for in this act of incor­
poration is required to be called by notice, signed by any one or more of the persons
named in the act of incorporation, stating the time, place, and purpose of the meeting.
The notice to be seven days previous to the meeting, and delivered to each member, or
published in some newspaper in the county, if any such there b e ; if not, then in an
adjoining county. A t this meeting thus assembled, they may proceed to fill vacan­
cies and transact any business that may be done at any regular meeting.
Such corporations may hold lands to the amount authorized by law, and may con




i

Commercial Regulations.

89

vey the same. This corporate power, except for the purpose of prosecuting the busi­
ness for which they were established, continues for three years after their charters
have expired by limitation, forfeiture, or otherwise, for the purpose of closing up their
concerns.
When the charter of any corporation expires or is annulled, any creditor, stock­
holder, or member of the same, upon application to the circuit court of the county in
which such corporation carries on its business, or has its principal place of business, at any
time within the said three years, may have one more persons appointed to be receiv­
ers or trustees of, and for such corporation, to have charge of the estate and effects
thereof, and to collect all debts, prosecute and defend suits and do all acts which
might be done by the corporation, if in being, for the settlement of any unfinished
business.
Upon all such applications, the same circuit court has chancery jurisdiction, and
may make such order, injunctions, and decrees as equity may require.
It is made the duty of said receiver to pay all debts due from the corporation, if
there be sufficient funds, and if not, to distribute the same rateablv among creditors.
The balance remaining, after payment of debts, is to be distributed in the same way
among those entitled to it.
Actions brought against such corporation, for the recovery of any debt, ate com­
menced by issuing a summons which may be executed on the president, presiding offi­
cer, or a majority of the members.
Whenever a corporation shall have offended against any of the provisions of the act
or acts, creating, altering, or renewing such corporation, or violated the provisions of
any law, by which such corporation shall have forfeited its charter by misuser, or for­
feited its privilege by non-user, or done or omitted any acts which amount to a sur­
render of its corporate rights, privileges, and franchises, or whenever it shall exercise
any franchise or privilege not conferred upon it by law, an information in the nature
of a quo warranto may be filed by the prosecuting attorney, upon his own relation, on
leave granted against the same; and it is made the duty of the prosecuting attorney
to file such information in the office of the clerk of the Circuit Court, whenever he has
good reasons to believe such information can be established by proof, and leave to file
such information may be granted by the Circuit Court in term time.
Whenever any judgment shall be rendered against a corporation upon such inform­
ation, the court, as a court of Chancery, may restrain such corporation, appoint a re­
ceiver of its property and effects, and take an account, and make distribution thereof
among its creditors.
The president, cashier, secretary, treasurer, or other proper officers of such corprations, must, on or before the 25th day of May in each year, make and deliver to the
county assessor of the county wherein such corporation is liable to be taxed, a written
statement specifying under oath the real estate, if any, owned by such company, the
township and counties in which it is situated, and the sums actually paid therefor, the
capital stock actually paid in, and secured to be paid in, the amount of capital, stock
held by the State and by any incorporated literary or charitable institution, the town
or place in which the principal office or place of transacting the financial business is
situated. Penalty for non-conformity to these regulations within thirty days after the
time specified above, is the forfeiture of $250 to the State.
The cash value of the stock of all such companies is to be ascertained, by the as­
sessor, by the sales of stock, or in any other manner, deducting therefrom, the sums
paid for real estate then owned by such company, and the amount of stock, if any,
belonging to the State, and to incorporated literary and charitable institutions, which
value thus ascertained, together with the value of the real estate of such companies,
shall constitute the amount on which the tax of such company shall be assessed.
In case there is no real estate belonging to such corporation upon which the taxes
can be made, the court may order the sequestration of part of such company’s prop­
erty, sufficient to meet all demands.
Such are the main features of the corporation laws of Indiana, which together with
the liberal provisions that pervade the charters of those companies which have their
operations within this State, have been found to afford the fullest security and encour­
agement tq the investment of associated capital.
Under these laws several cases have been argued and determined in the Supreme
Court of the State. W e refer to only two of these decisions.
“ It is held that a judgment against a corporation, in the case of a forfeiture of its
charter, is, that the franchise be seized into the hands of the State, and that when its




90

N autical Intelligence .

franchises are seized by execution, on the judgment, then, and not till then, the corpo­
ration is dissolved; also that the whole corporation is answerable, so far as its fran­
chises are in question, for the misconduct of the president and directors, or other select
body in the management of the concerns under their control.— (1 Black, p. 167.)

NUTICAL INTELLIGENCE.
NANTUCKET SHOALS.
A. D. Bache, the superintendant of the United States Coast Survey, communicated
to the Secretary of the Treasury, on the 5th of November, 1849, the subjoined report
of Lieutenant Charles H. M’Blair, U. S. N., showing the position of four shoals, in the
main channel in Nantucket Shoals, discovered in the course of Lieutenant M’Blair’s hy­
drographic operations, during the last season. A sketch showing the position of these
discoveries has been prepared, which will be published.
U nited S tates S urveying S teamer B ibb, )

Wilfleet Bay, October 8, 1849.

)

S ir — I beg leave to report that we have recently discovered four shoals lying

on what is known by the pilots as the Main Ship Channel over the Nantucket
Shoals.
They consist, as far as we have yet been able to determine, of sharp and abrupt
ridges of fine white sand. Beginning at the most western shoal and designating them
numerically as they lie east of each other, it may be stated that numbers one and three
stretch in a North Westerly direction, the former being about one-quarter and the latter
one-sixth of a mile long. The remaining two, designated by numbers two and four, are
very small spots somewhat circular in shape.
The smallest sounding, reduced to mean low water mark, show, on No. 1, 14 feet;
on No. 2, 15 feet; on No. 3, 14 feet; and on No. 4, 9 feet.
The bearings and distances of the shoalest spots on each, from points determined on
Nantucket Island, are as follows:—
No. 1, from Great Point Light, N. 86° 30' E. (true) distance 9.5 nautical miles.
No. 1, from Great Sankaty Head, N. 39° 58' E. (true) distance 9.6 nautical miles.
No. 2, from Great Point Light, N, 85° 40' E. (true) distance 10.2 nautical miles.
No. 2, from Sankaty Head, N. 42° 18' E. (true) distance 9.7 nautical miles.
No. 3, from Great Point Light, N. 87° E. (true) distance 10.3 nautical miles.
No. 3, from Sankaty Head, N. 43° 55' E. (true) distance 9.6 nautical miles.
No. 4, from Great Point Light, N. 86° 45' E. (true) distance 10.7 nautical miles.
No. 4, from Sankaty Head, N. 44° 50' E. (true) distance 9.9 nautical miles.
These shoals can readily be discovered by the rip (or ripples) formed on them
by the tides at all stages, except during slack water, when they can no longer be
detected by this means; but, in daylight, they exhibit the usual discoloration of
water.
Besides the shoals already noticed, I subjoin the bearings and distances of two spots
of small extent, on which we found 18 feet water at reduced soundings. One bears
from Great Point Light, N. 85° 40' E. (true) distance 9.8 nautical miles; and from
Sankaty Head, N. 40° 16' (true) distance 9.4 nautical miles. The other bears from
Great Point Light, N. 85° 10' E. (true) distance 11.2 nautical miles ; and from Sankaty
Head, N. 45° 25' E. (true) distance 10.5 nautical miles.
I am , respectfully, yours,
C. H. M’ B L A IR .
Prof. A. D. B ache, Sup't U. S. Coast Survey.
NEW LIGHT-HOUSE ON ARDNAMURCHAN.
W e learn from the St. John’s New Brunswicker, of November 29th. 1849, that notice
has been received at the port of St, John, of a new light-house which has been erected
upon the Point of Ardnainurchan, in the county of Argyle. The light of which was
exhibited on the night of Saturday, the 1st of December, 1849, and every night there­




N autical Intelligence .

91

after, from sunset until sunrise, and for the benefit of which the commissioners of the
Nothern Light-houses are authorized, by virtue of a warrant from the queen in council,
to levy the toll of one farthing per ton on all vessels not in ballast, or privileged foreign
vessels, and one-half penny per ton for such foreign unprivileged vessel. The following
is a specification and description of the light-house:— The light-house is in lat. 56° 48'
45" N. and Ion. 6° 13' 30" W. By compass, the light house bears from Calliach Head,
N. E. f E. distant seven miles; from the Cairns of Coll, E. S. E. distant three miles;
from Kana Head, S. £ E. distant thirty miles; from Scour of Eigg, S. W. by S. £ W .
distant eleven miles; and from Bo Askadil Rock, W. S. W. distant seven miles. The
Ardnamurchan Light will be known to mariners as a fixed light, of the natural appear­
ance. It will be visible in a North Westerly direction from N. E. by E. £ E. round to
S. W. by S. The lantern is elevated 180 feet above the level of the sea ; and the light
will be seen at the distance of about six leagues ; and at lesser distances according to
the state o f the atmosphere.
SHOAL ON THE S. E. POINT OF FORT TONE.
On the north side of the entrance of the. harbor of Marsamusetto, a.shoal runs off
from the S. E. part of the low rocky point of Fort Tigne, in a S. E. by E. direction,
about 48 or 50 fathoms. A t that distance from the shore there is a depth of 24 feet
of water over a rocky and uneven bottom.
MARKS FOR AVOIDING THIS SHOAL.

A black mark, six feet broad, and eight feet deep, (with a white border,) is painted
on the north part of the Bastion of Fort St. Elmo. This mark, brought in a line with
St. Elmo Light-house, bearing S. by E., by compass, leads along the East side of that
shoal in six and seven fathoms water.
And Boschetto Palace brought open to the southward of the S. W. Bastion of Fort
Manoel, bearing W. by S., leads along the south side of the shoal in four and five fa­
thoms w’ater, passing about 30 fathoms from the shore of Fort Tigne.
In the angle of meeting of these marks, where both are on, there is 7£ fathoms
water.
These marks are perfectly safe, but close, and must not be passed towards the
shoal.
In working out, keep Boschetto Palace open to the Southward of the S. W. Bastion
of Fort Manoel, until the light house is open on the east side of the black mark, on the
north part of the bastion of Fort St. Elmo.
And in working in, keep the light-house open to the eastward of the black mark on
St. Elmo, until Boschetto Palace is open to the southward of the bastion of Fort
Manoel.
DESCRIPTION OF MARKS.

The south end of the bastion of Fort Manoel is remarkable, being close to the wa­
ter, having a stone sentry box built on the top of it.
The Palace of Boschetto is also remarkable, being a large square building on the
most distant high land, near the center of the island.
The light-house of St. Elmo, with the black mark, bearing S. by E. and N. by W.,
from each other cannot be mistaken.
LIGHT-HOUSE ON THE OSTERGARNS ISLET.
The following is a translation of an ordinance issued by the Royal Navy Board at
Stockholm, under date of the 16th October :—
The Royal Navy Board hereby makes known, for the information and guidance of
mariners, that the Coal Light-house, situated on the Ostergams Islet, East Gothland,
has been rebuilt, and that a stationary, or fixed light, of the third class, has been
erected there. The said light was exhibited for the the first time, on the 1st of Octo­
ber, 1849, and is to be kept burning during the same time, as all other lights in this
kingdom. The tower of the light-house has been considerably elevated, so that the
light will burn at the height of 104 feet above the level of the sea, and will be seen
all round the horizon. In clear weather, the said light ought, consequently, to be
visible from an ordinary vessel’s deck, during the night-time, at a distance of 3£ geo­
graphical or German miles, or more.




Journal o f Banking , Currency , and Finance.

92

JOURNAL OF BANKING, CURRENCY, AND FINANCE.
CONDITION OF THE BANKS OF THE STATE OF NEW YORK.
We have carefully compiled the following statement of the condition of the Banks of
the State of New York, from the Controller’s statement of September 22d, 1849. It will
be seen that the Controller has made a new classification, as follows:— 1st. Of the in­
corporated (or Safety Fund) Banks of New York city; 2d. Banking Associations of
New York city; 3d. Other Incorporated Banks out of the city of New Y ork; 4th,
Other Banking Associations out of the city of New Y ork ; 5th. Other Individual Banks,
or banks owned by indiduals, under the free banking system of the State. The returns
embrace one hundred and eighty-seven banks and two branches. No reports were re­
ceived from the “ Drovers’ Bank of Cattaraugus,” and the “ Village Bank.”
R E SOU RCES.

Other
Other
Incorporated Banking incorporated banking
Other
banks o f
assoc’ns o f
Banks
associations individual
N. Y . city. N. Y . city, o f the State, o f the State, banks.
Loans & D isco’nts, except to
Directors and Brokers....... $31,549,359 $15,116,289 $23,657,663
Loans & disc’ts to Directors.
1,'802,332
923,421
1,315,053
A ll other liabilities, absolute
or contingent o f Directors.
530,864
A ll sums due from brokers..
625,530
1,062,279
220,560
Real estaie.............. .................
i;731,594
1,731,594
382,019
1,116,309
93,796
54,311
Bonds and m ortgages............
744,259
Stocks........................................
978,169
2,843,215
823,873
Promissory notes, other than
for loans and discou n ts.. .
12,874
119,393
Loss and expense account...
112.668
191,717
66,615
O verdrafts................................
19,104
5,466
64,916
S p ecie ........................................
1,849,683
6,172,563
683,925
Cash item s................................
1,555.945
4,821,562
770,722
Bills o f solv’ t banks on hand
287,660
369,772
1,204.854
Bills o f susp’ d banks on hand
2,256
Estimated value o f the same.
907
Due f ’m solv’t b’ks on dem ’d
848,755
2,966,730
4,416,447
Due Pm solv’ t b’ ks on credit
329,029
Due f’ m susp’d b’ljs on dem ’ d
251.288
4,833
Estimated vau e o f the same.
58,292
Due f ’m susp’d b’ks on credit
4,418
Estimated value o f the same.

........

.........

18,341,285 $2,454,327
654,872
249,950
‘266,497
1,682,888
4,558,950
52.910
82,253
81,272
227,009
250,172
236,811
1,748
811
844,020
30,142
13.845
448

Total resources................ $51,776,509 $24,724,089 $35,526,968 $17,572,203

81,299
52,916
202,880
3,158,542
51,498
35,905
12,405
86,995
74,260
134,867
1,719
1,137
278,254
31.000

Grand
Total.
$81,118,923
4,695,678
1,618,814
2,239,618
3549,335
2,778,134
12,362,748
236,675
489,168
183,163
9,020,175
7,472,661
2,233,964
5,723
2,855
9,354,206
390,171
269,966
58,740
4,418

.6,704 $136^56,473

L IA B IL IT IE S .

Capital........................................ $16,251,200 $8,817,500 $12,664,060 $6,347,638 $1,507,928
Profits........................................
901,973
227,843
2,585,818
1,140,542
2,458,450
Notes in cir’ la’n, not regist’ d
282,637
368,136
Registered notes in circulat’ n
3,959,710
4,521,412 3,222,754
1,747,753
9,584,126
331,640
212,494
906,786
Due Treasurer o f State o f N. Y
1,116,207
D ue Commis. o f Canal Fund
Due depositors on d em a n d .. 19,835,301
2,763,943 1,119,853
8,64Q,927
5,130,746
Due individuals & corp ’ns,
489,746
99,995
oth. than b ’ ks & depositors
48,712
89,679
20,152
1,454,208
153,017
Due banks on dem and..........
8,233,056
2,076,097
4,119,223
40,000
193,431
64,968
Due banks on credit..............
399,015
Due to others, not included
327,562
53,007
28,881
in either o f above h ea d s...
231,979
734,368
Total liabilities.

$45,588,326
7,314,616
650,773
23,035,755
2,567,127
37,342,770
748,284
16,935,601
697,414
1,375,797

$51,776,509 $24,724,089 $35,526,968 $17,572,203 $6,656,704 $136,256,473

S U M M A R Y OF T H E I T E M S O F C A P IT A L , C IR C U L A T IO N , A N D D E P O S I T S — S P E C IE A N D C A S H I T E M S — P U B L IC
S E C U R I T I E S , A N D P R I V A T E S E C U R I T I E S , OF T H E B A N K S O F T H E S T A T E O F N E W Y O R K , ON T H E M O R N ­
IN G OF T H E

22d

D A Y OF S E P T E M B E R ,

1849.

Capital...................................................... $45,588,326 i S pecie......................................................
Cir’ t’n (old em isson)........
$650,773
Cash Item s.................................................
“
(registered n otes).
23,035,755
' Public securities.....................................
23,686,528 : Private securities...................................
37,342,770 I
Deposits,




$9,020,175
7,472,621
12,599,423
91,015,516

93

Journal o f Banicing, Currency , and Finance.
UNITED STATES TREASURY NOTES OUTSTANDING, DEC. 1, 1849,

T reasury D epartment, Register’s Office, Dec. 1, 1849.

Amount outstanding of the several issues prior to the 22d July, 1846,
as per records of this office,.............................................................. ..
Amount outstanding of the issue of the 22d July, as per records of this
office, ................................................................................. ......................
Amount outstanding of the issue of the 28th January, 1847, as per re­
cords of this office.....................................................................................

$143,289 31
64,250 00
2,551,650 00
2,759,189 31

Deduct cancelled notes in the hands of the accounting officers, of which
$200 is under acts prior to 22d July, 1846 ; $1,950 under act of 22d
July, 1846, and $1,400 under act of 28th January, 1847...................

3,550 00
$2,755,639 31

A L L E N A . H A L L , Register o f the Treasury.

OF THE UNIFORMITY OF THE GOLD COIN OF THE UNITED STATES.
It having been stated in one of the New York journals, that the United
States Mint at Philadelphia, sends forth gold coin lacking in certainty and uniformity
of value, and that the Bank of England would not loan money on American coin for
want of uniformity in its denominational value, the Hon. J. Phillips Phoenix, member
of Congress from New York, addressed a letter to R. M. Patterson Esq., Director of the
Mint, enclosing the statement in the New York paper. The following is the Director’s
reply to the charge:—
M
P

i n t ok t h e

h il a d e l p h ia ,

N

U

ov.

n it e d S t a t e s , )
24, 1849.
f

S i r :— Your communication of the 8th inst., enclosing a slip from one of the New
York papers, was received a few days since. It required some time, especiaUy in a
press of business, to consider what answer should or could be made to so grave and
surprising an allegation, the force of which is condensed in the caption of “ false mint­
age.” As to accuracy of assaying and melting, I confidently affirm that there is not
a mint in the world which can show a stricter faithfulness to the legal standards than
has been maintained here for a long series of years.
I have taken steps to ascertain whether the statement is true, that the Bank of
England does not receive our gold coin, without previous melting and assay. Sup­
posing it to be true, as I have little doubt it is, there are two ways of accounting for
the fact, which should cause any writer, understanding his subject, to hesitate before
publishing a wholesale discredit of the national currency, and wounding the reputation
and the feelings of those who are entrusted with its manufacture.
The first is, within the past sixteen years we have had three various standards es­
tablished by law, for our gold coin: first, up to June, 1834, it was 22 carats, or 9168qousandths; at that time it was reduced to 899-225 thousandths; and in January
1837, there was a farther change to the more simple proportion of 900 thousandths’
or nine-tenths. Of this fact I have been surprised to find that even our most intelli­
gent dealers in foreign exchange have not a clear apprehension; and it is not, there­
fore, wonderful, if the Bank of England, unwilling to take the trouble of discrimina­
ting by dates and devices, should use the shorter course of melting down a i l assaying
The other solution, and rather the more probable, (though they may consist with
each other,) is that it is contrary to usage, everywhere, for the mint of one country to
take the coins of another by tale, or at the alleged fineness. It is not done here • we
receive the gold sovereign, not at the alleged fineness, which it does not reach, but at
its actual assay, after melting. In a matter of this kind there is no courtesy to be
wasted, on one side or the other. The Bank of England, you are aware, is the channel
through which the mint of England is supplied with material, the two institutions
being closely connected.
YTou will perceive, then, that we have been charged with false mintage, and the cur­
rency of the country has been disgraced, because we have followed the various stan­




94

Journal o f Banking , Currency , and Finance .

dards enacted by law, or else, because the mint of England, like all other mints, takes
our coin upon its o\^n assay, and not upon our testimony.
Allow me, in conclusion, to express my obligations to you, for having made me ac­
quainted with this charge, and thus enabled me to repel it.
Very respectfully, your faithful servant,
H on . J. P hilips 1‘ n a :s ix . M em ber o f Congress.

R . M. PATTERSON , Director.

DEBT AND FINANCES OF VIRGINIA IN 1849.
A reliable correspondent of the Merchants' Magazine, residing in Richmond, Vir­
ginia, has sent us the subjoined tabular statement of the condition of the public debt
and resources of Virginia, on the 30th of September, 1849 :—
PUBLIC DEBT AND RESOURCES OF VIRGINIA, SEPTEMBER 30, 1849.

State stocks held by private parties—
Issued for internal improvements..........................................
“
for subscriptions to banks............................................

$7,091,187
450,107
*7,541,294

Held by State institutions—
Held by the literary fund (increase in 1849, $76,000).........
“
Board of Public Works (inc. in 1849, $12,239).

1,096,106
366,863
1,462.969

Total......................................
The outstanding debt is held thus—
In Great Britain................................................
In Prance, Germany, Asc.................................

$2,200,700
80,400

In Virginia........................................................
Maryland.....................
District of Columbia...................................
Other States................................................

4,703,267
374,277
57,600
125,050

$9,004,263

2.281,100

5,260.194
$7,541,294
Redeemable as follows :—
At option of State
«<
after 1852..
«
a 1854..
«
a 1855..
«
u 1858..
«
a 1859..
a
a I860..
u 1861..
u
“ 1862..
«(
« 1863..
it
a 1865..
it
u 1867..
ti
“ 1868..
it
a 1869..
it
a 1872..
u
it 1873..

$215;300 Within 15 years after 1844.
“
80,000
1845.
it
145,000
1852.
it
1,171,900
1854.
U
1,685,418
1855.
ti
859,788
1858.
314,215 Irredeemable until 1 8 5 0 ...
91,180 To be redeemed in 1855 ..
it
245,542
1 8 5 8 ...
ti
16,838
1 8 5 9 ...
it
18,750
1 8 6 0 ...
it
277.500
1 8 6 1 ...
it
391,820
1 8 6 2 ...
it
112,100
1 8 6 3 ...
242,000
600,000

$300,000

100,000
50.000
20.000
138.000
63.500
245.000
25.500
24.500
4,900
9,150
21,366
61,966
10,061
1,073,943
6,467,351
$7,541,294

FUNDS AND RESOURCES OF THE COMMONWEALTH.

The amount held by the State is $2,677,505 ; the Literary fund, 490,070; by the
Board of Public Works, $8,6^7,241; showing a total of $11,854,816.*
* O f this amount, the portion bearing 6 per cent interest is $6,462,994; the portion bearing 5 per
cent interest is §1,053,069; the portion bearing 51 per cent interest, is $25,300.




Journal o f Banking , Currency , and Finance .

95

Consisting as follows— Productive Stocks—
Bank stocks, at par (paying near 7 per cent)...................
Old stock, Janies River Co. (paying near 6 per cen t).. . .
Certificates and bonds (paying near 6 per cent).................

§3,808,220
254,000
135,460
------------$4,197,680
Stocks in railroad companies................................................
1,084,133
Stocks in turnpike companies................................................
381,064
Stocks in navigation companies .........................................
361,873
Loans to public institutions, secured by mortgages..........
1,354,705
---------------------- 3,181,775
Total of Productive Stocks and funds.................................................
7,379,455
Unproductive, or more or less available......................................................
154,741
Stocks in public works not completed.........................................................
3,674,254
Stocks in works completed orsuspended, but unproductive......................
646,366
T o ta l...................................................................................................
The above does not include the cost of stocks in works
transferred, sold, abandoned, or useless............................
Roads constructed on State account, or in aid of counties..
The aggregate receipts amounted to......................................
“
disbursements................................................
Balance in the Treasury, on the 30th September, 1 8 4 9 ...
The receipts for dividends, interest, ifec., of the productive
stocks and funds included in the above, were..................
Amount of loans obtained and paid into the Treasury
Stocks issued for loan of 1847, to James R. & K. C o........
Stocks cancelled by the sinking fund....................................

$11,854,816

$879,534
978,212
------------- $1,857,764
$998,388
962,957
73,393
430,752
478,217
250,000
92,721

LIABILITIES OF THE COMMONWEALTH AUTHORIZED BY LAW, WHEN DEMANDED.

Bonds of corporations guaranteed by the State—
James River & Kenauha Co.’s bonds...................................
“
“
to be issued.........................
Chesapeak Ohio Canal Co...................................................
“
“
to be issued.............................
Valley Turnpike Co.................................................................
City of Wheeling, to be guaranteed........................................
Alexandria Canal, to be guaranteed........................................

$1,400,000
500,000
300,000
200,000
20,874
500,000
43,520
------------$2,964,394
Loans which may be called for under existing laws, to complete State subscriptions for
internal improvements—
To be paid on aaceunt of subscriptions to works in progress
$2,840,729
Subscriptions made to organized companies, not called for
349,400
“
authorized by law to organized companies,
but not yet required...................................
1,850,564
“
authorized to companies when organized.. . .
998,600
------------6,039,293
T o ta l.....................................................................................................
$9,003,687
In connection with the foregoing statements, furnished by our correspondent, we here
subjoin an extract from Governor Floyd’s message to the Virginia Senate and House of
Delegates, made on the 3d of December, 1849, on the same subject:—
“ It will be, I am sure, gratifying to you, and to the people at large, to know that
Virginia has at her command ample means to discharge all her subsisting public debt,
with the exception of a very small and inconsiderable sum. If it were thought desir­
able to-morrow to wipe out the public debt, a sale at par of her profitable and inter­
est-paying stocks would effect it. This present subsisting debt amounts to $7,541,294
11. The annual interest and dividends received by the State, amount to $430,752 08;
showing that the stocks yielding this sum are worth, at par, $7,197,200, or about the
amount of the public deb t; that is, within $362,000 of our present indebtedness.
There is, however, an additional sum of $6,000,000, which, under existing laws, may




96

Journal o f Banking , Currency, and Finance.

be called for out of the treasury, and about $5,000,000 of which will, it is thought, be
certainly demanded in the course of a few years ; hence this sum, although not now a
subsisting debt, will become so, and ought, therefore, to be taken into the estimates of
our liabilities. This view shows the precise condition of our financial situation, and is
fully sustained by the reports and documents which will be laid before the Legislature.
The State, it is true, has guaranteed loans to a consideraole amount for various incor­
porated companies, which securityship some have regarded as a part of the public
deb t; but this is unquestionably an error, for a knowledge of the resources, and the
prospects of the companies, whose bonds have been guarantied, will satisfy all that
tey are, or will ultimately be, amply able to pay their bonds, as, up to this time,
they have always done the interest on them.”
DEBT AID FINANCES OF GEORGIA.
We give below a report of the financial condition of Georgia, embracing a detailed
statement of her public debt, derived from official returns to the Legislature now in
session, made up to the 20th of October, 1849 :—
FINANCES.

Balance in the Treasury, October 20, 1848...................................
Receipts from all sources, for the fiscal year ending 20th of Oc­
tober, 1849......................................................................................

$365,587 73

Total.....................................................................
The total disbursements for the same time were—
For the expenses of the State Government...........
Interest on the public debt........................................
Paid off part of the public debt...............................

$629,216 93

263,629 20

$88,696 08
110,823 33
75,000 00
274,519 41

Total........................................................................................

$354,697 52

STATISTICS OF THE PUBLIC DEBT.

Total debt of Georgia, October, 1847.............................................
Bonds having 5, 15, and 20 years to run, issued un­
der act of General Assembly, passed December
23d, 1847, and delivered to the engineer of the
Western and Atlantic Railroad, for the final com­
pletion of the road..................................................
375,000 00
Issued in 1848, for payment of claim of Peter
Frezevant..................................................................
22,222 22
-----------------

$1,578,875 61

Total................................................................................................
Paid off in 1848, £16,000 sterling bonds, issued to Reid, Irving, &
Co., London, due in 1848.......................................................................

1,976,097 83

Amount of debt, December 1, 1848........................................................
Federal bonds paid off in 1849................................................................

1,903,472 22
75,000 00

Total debt, as stated in the above exhibit.................................
In making up a reliable statement of the total indebtedness of the
State of Georgia, it is proper to add the probable deficiency arising
from the winding up of the Central Bank, at Milledgeville, the
property o f the State, which was put in liquidation about four years
ago. The Finance Committee made a report to the Legislature in
1848, that the deficit would be from $175,000 to $195,000. We
add to the funded debt of the State the maximum estimate...........

397,222 22

72,625 61

$1,828,472 22

195,00000

Making the liability of Georgia in every shape....................
$2,023,472 22
It will be seen that bonds are payable from 1853 to 1874. If the annual payments
of principal are equal to those for the last two years, the whole amount of the State
debt could be absorbed within the respective periods the bonds fall due. The




Journal o f Banking, Currency, and Finance.

97

Treasurer, in his report to the Legislature, remarks: “ Believing that the public sen­
timent looks to a continuation of such reductions, by the annual appropriation to that
object of all sums in the Treasury, which the wants of the government do not require,
and confidently trusting that legislative provision for that purpose will be made du­
ring your present session, I have inserted in the estimate of expenditures sums con­
formable to these views.” In the estimates referred to for the years 1850 and 1851,
the following amounts are inserted:—
$72,000 is put down for the reduction of the debt in 1850.
70,000
“
“
“
“
“
1851.
The next meeting o f the Legislature will be 1851.
DEBT AND FINANCES OF SOUTH CAROLINA IN 1849.
The following statements relating to the public debts, the finances, and bank of South
Carolina is derived from the last annual message of the govenor, to the Legislature
of South Carolina: the public debt of South Carolina, and the means for its liquidation
is thus stated in the message :—
Am ount now

Rate, interest and date o f Loan.

6 per cent
6
“
5
“
6

“

5
6
6
5
3

“
“
“
"
“

Railroad loan, 1839 ....................
«(

«

u

Fire loan,
“

“

M

U

it

a

........

......

Randolph Stock,
........
Railroad Bank cap.,.........
Revolutionary.
........

owing.
$176,328 71
276,328 71
486,666 67
482,722 20
488,888 88
325,808 90
10,000 00
46,714 34
117,438 40

W hen
payable.

W here
payable.

1850
Charleston.
1852
Charleston.
1858
London.
1860
Charleston.
1868
London.
1870
Charleston.
1850
Charleston.
1859
Charleston.
A t pls’re Charleston*

$2,310,896 81
The resources of the bank, applicable to the payment of this debt, amount to
$3,888,368 60, which is an excess, or available assets over the liabilities of the State of
$1,532,843 99, or over two and a half millions, if the sum of $1,051,000, received/rom
the Federal Government on deposit, be included.
The following sketch of the history of the bank of South Carolina, is thus given in
the same message:—
This institution was chartered in 1812. To the pecuniary pressure of the times, in­
duced by the restrictive policy of the Federal Government, it owed its existence. The
distress of the planting community was so general and paralizing, that the Legislature,
after investigating every mode of relief, ultimately adopted the scheme of a system of
public loans, in the nature of discount on real or personal property. The accommoda­
tion furnished on mortgage to individuals, limited at first to $2,000 each, but by the act
of 1825, increased to $10,000. The 7th section of the original law prescribed should
be distributed in proportionate amounts among the election districts. This provision, I
believe has never been carried into effect. Its execution, if required at the time, was
soon rendered unneccessary, as it is well known, that our agricultural population recov­
ered from the consequences of the sudden revulsion in their condition, at an early period
subsequent to the war.
In 1820, the capital of the bank was pledged for the redemption of the public debt.
This was done to meet the expenses consequent on the establishment of a system of
internal improvement, then commenced by the State. The immediate effect was to
convert the bank, for many years practically only as a loan office, into an institution to
be conducted on purely commercial principles. By the usual accommodation on bonds,
it incurred embarrassments and hazards, and the operation was too slow to attain the
end, which, by a virtual modification of the principal, if not exclusive design of the
orignal act, it was henceforth to fulfil.
In 1833, it was deemed “ expedient and beneficial, both to its citizens and the State,

V O L T . X X I.-----N O . I.




* Valued at $72,810 60.
7

Journal o f Banking , Currency , and Finance.

98

to re-charter the bank.” It now becomes the solemn duty of the legislature to inquire,
whether its existence shall be prolonged beyond the year 1856, to which by law it is
limited.
In concluding this subject, he says:—
In submitting a plan for winding up the bank, I scarcely need assure you, that the
subject has received my most attentive examination, and that in suggesting the necessity
for your action upon it I have been influenced solely by a high sense of official
duty.
It is proper that I should inform you, that Messrs. Baring, Brothers <fc Co., of Lon­
don, have addressed to me a communication substantially protesting against closing the
bank, on the ground that that institution was voluntarily offered by the State, as one of
the securities for the loan negotiated by them. I will only here remark, that it is not
proposed to destroy the bank, but to deprive it of its banking powers. It will con­
tinue as a corporation until 1860— four years beyond the period to which its duration
extends by the existing law. A t that time, only *188,888 88 of the foreign, and
8398,619 50 of the domestic debt will be due, while the assets of the bank will amount
to about two and a half millions. But, in truth, the foreign debt will then have been
paid, if the plan of hypothecating securities, or emitting new bonds, should the ordi­
nary means fail, be resorted to. In order to secure that result, the directors should be
invested with full powers. By this expedient, the argument of violated faith wil have
no ground on which to rest. The State will have discharged its obligations in full, and
that, too, before the period specified in the contracts. In the meanwhile, let the assets
o f the bank, not required for the redemption of the liabilities of that institution, bo
solemnly set aside for the liquidation of the public debt.
STATE DEBT OF INDIANA.
The readers of the Merchants’ Magazine, are referred to the number for August, 1849,
(voL xxi., page 147 to 153,) for a full and comprehensive statement of the debts, finan­
ces and resources of Indiana. The subjoined statement touching the debt of Indiana,
may be regarded as a note to that article, including the last official statement, derived
from the message of the governor to the Legislature, at the opening of the last session, on
the first Monday in December, 1849.
The debt of Indiana is complicated, and requires some explanation. By the acts of
the Legislature of the 19th of January, 1846, and the 27th January, 1847, proposals
were made to the holders of the bonds (and then about 811,000,000 were held in Great
Britain,) that they should complete the Wabash and Erie Canal, and take the State’s
interest in it for one-half of this debt, and the State would issue new certificates for
the other half, upon which she would pay interest at the rate of 4 per cent per annum,
until January, 1853, and after that time at 5 per cent per annum, and issue certificates
for half the arrears of interest, upon which she would pay interest at the rate o f 2£
per cent per annum after 1st January, 1853. In this 2| per cent stock is included 1
per cent per annum of principal, which gives the holders of the old bonds 5 per cent
interest per annum upon the new 5 per cent stock from the dividend day, next preced­
ing the surrender of the old bonds.
There has been surrendered and converted into new stock to 1st July last. $9,530,000
•Since July 1st...................................................................................................
33,000
Making........................ .........................................................................
$9,563,000
Leaving yet to come into this arrangement, 1,488 bonds, or $1,488,000. Classified
as follow s:—
State’s half of principal of bonds surrendered, interest payable in New
York semi-annually, 5 per cent, $4 in cash; $1 added to back inter­
est—redeemable in 1867 and 1868...........................................................
$4,781,500
State’s half bonds for back interest, with one per cent of principal as
above, interest payable in New York semi-annually after 1853, 2£ per
cent......... ....................................................................................................
1,642,617
Domestic floating debt, Treasury notes, &c...................................................
334,820
Old bond’s unsurrendered on 31st October, 1849, (the State’s half is ) .. .
744,000
Total amount on which the State pays interest..........................................
Bonds on which the State Bank pays the interest, redeemable in 1855 to
1865, at — per cent per annum....................................................................
Total debt of Indiana.........................................................................




$7,502,937
1,390,000
$6,892,937

Journal o f Banking , Currency, and Finance.

99

C A N A L DEBT.

Canal's half of principal of bonds, redeemable in 1867, 5
per cent interest as above..................................................
Canal's half interest on bonds, for arrears of interest 2£
per cent stock, interest payable after 1858.....................
Canal’s half unsurrendered bonds.........................................
Preferred canal stock, 6 per cent interest, principal and
interest payable out of canal revenues before any other
payments can be made, for the completion of the canal.

§4,781,500
1,360,475
744,000
800,000
---------------

7,685,975

Amount of the State’s former liabilities, principal and interest................. §16,578,915
The property of the canal is pledged for the payment, principal and interest, of the
canal debt, and the State, agreeable to the acts of the Legislature referred to above, is
free from any responsibility for this half of her late indebtedness, and the means to
preserve the value of these bonds depend entirely upon the receipts from the canal.
The fund held by the bank is considered ample to pay the interest on the §1,390,000.
It holds a sinking fund for the redemption of the Treasury notes issued in 1839-40.
These notes are receivable for all State dues, and are being rapidly withdrawn.
Joseph A. Wright, the governor of Indiana, took the oath of office on the 16th of De­
cember, 1849. In his inaugural message to the Legislature, delivered on that occasion,
he says:—
“I take this occasion, in the commencement of my duties, to express to you this day,
and through you to your fellow-citizens, the assurance that no effort of mine shall
be spared to keep fair the credit of the State, and faithfully to keep all our past
contracts.
“ We should now mutually covenant and agree with each other, as the representa­
tives of our people, that we will maintain at any and every sacrifice, the credit of In­
diana upon our past engagements; and that we will not hereafter pledge her faith for
another dollar of public money. It is not only our duty to take this position and keep
it firmly, but to go one step further.
“ By increased property, subject to taxation, as well as new objects of revenue, to be
reached by judicious enactments, we may. so soon as the small amount of six per cent
treasury notes now outstanding is provided for, command means to create a sinking
fund whereby the extinguishment of our State debt may be immediately thereafter
commenced.
“ The Wabash and Erie Canal is accomplishing, as it progresses, all that its friends
predicted by the arrangements made by the State with our creditors. Its progress
equals the expectations of its warmest friends. Due credit should be given to the
board of trustees for the energy they have displayed in pressing forward this great
work.
“ It is your plain duty in good faith to carry out all the stipulations and agreements
entered into with our creditors in connection with this work, and in no manner whatever
throw any obstacles in the way of its advancement. If this work progresses the next
two years as it has the past, we shall have by that time, the waters of the lakes united
with the Mississippi. We then shall have in actual operation the longest canal in the
United States, carrying upon its bosom the productions of the most fertile part of the
Mississippi valley.”
OATES’ INTEREST TABLES.
Mr. George Oates has in press, and will publish in a few days two series of interest
tables bearing the above title, one at 6, the other at 7 per cent per annum, which will
be found equally useful to banking institutions, who charge interest by days, at the rate
of 360 days to the year, and to merchants and others who charge interest by years,
months and days, each month being the twelfth part of a year of 365 days. They
give the interest on any sum from §1 to §1,000, consecutively, for any length of time
from 1 day to 360 days, by the first mode of calculation, or by the second mode, from
1 day to 2£ years, by the addition of two sums only, and which are both seen at a glance.
The following tables are introduced to show their construction, and the way in which
they are used.
Example o f the first mode. Wanted the interest on §598, for 163 days. Turn to the
table headed §598— and on a line with figure 5, will be found 150, (5 months of 30




Journal o f Banking , Currency, and Finance .

100

day8 to the month, making 150 days) the interest on which, found in the second column
(months) is $17 44 2 ; then turn to figures 13, opposite to which in the first column
(days) is $1 51 2, together $18 95 4, say $18 95, 4 mills being less than half a cent
are thrown aside.
Example o f the second mode. Wanted the interest on $596, for 1 year 7 months and
14 days. Turn to the table headed $596, and in the second column, (months,) opposite
19— (19 months being 1 year and 7 months,) will be found $66 05 7 ; then turn to the
first column (days,) and opposite 14, is found $1 62 2, together $67 67 9, equal to $67
68, nine mills being more than half a cent, are reckoned one cent. These two examples
explain the whole method, the only difference i>eing in the amount to be sought for.
and the time for which interest is to be charged.
Mr. Oates in his preface says, “ in preparing these interest tables, the author has attemp
ed to produce such as combine the two important requisites, simplicity and comprehend
siveness, in a greater degree than has hitherto been attained,” and in our opinion, after
an examination of these tables, it will be conceded that he has been eminently
successful.
These tables are extended so as to give the interest on any sum from $1 to $10,000,
by the introduction of tables from $1,000 to $10,000 by thousands, which for easy re­
ference, will be placed on the inside of each cover of the book.

'

TABLES)

)'rtj
'

j

1

11
23
34
46
.57
69
•81
92
04
15
27
39
50
62
73
85
97
08

3

4
5

6
7

8
9
10

11
12
13
14

15
16
17
18

19
20
21

22
23
24
25
26
27
28
29
30

20
31
43
55

66
■78
89
01

.12
24
36
47

1
2
3
4
5
6
20-86
2 4 .3 3
7
8
27-81
9
3 1 .2 9
34.7 6
O 10
38.2 4
11
8
-02 12
4 1 .7 2
13
4 5 .1 9
14
48 .6 7
15
5 2 .1 5
16
55.6 2
17
59.1 0
18
6 2 .5 8
19
66.0517
20
09.5313
7 3 .0 1 0 g 21
7 6 -4 8 7 J* 22
23
79.90J3 E&
83.44(0 -O i 24
25
8 6 .9 ) 7
26
9 0 .3 9 3
27
9 3 .8 7 0
28
97-34(7
29
100-82 3
30
1 0 4 .3 0 0
3 .4 7
6-9 5
10-43
13-90
17-38




PEJ1 C E N T i

$ 597.
Days.
$ c. m.

2

7

•11 6
.23 2
•34 8
•46 4
•58 0
•69 7
■81 3
•92 9
1-04 4
1.16 1
1-27 7
1-39 3
1-50 9
1-62 5
174 1
1-85 7
1 -97 3
2 -0 9 0
2 -2 0 6
2 .3 2 2
2 -4 3 8
2 -5 5 4
2 .6 7 0
2-78 6
2 -90 2
301 8
3 .1 3 4
3 -2 5 0
3 36|6
3.48)3

u

Months.
!*<
$ c. m. s 5
3-48 3
6-96 5
10-44 8
1393 0
17-41 3
2 0 -89 5
2 4 .3 7 8
27-86 0
31.3 4 3
3 4 .8 2 5
3 8 .3 0 8
4 1 -79 0
4 5 .2 7 3
4 8 -7 5 5
5 2 .2 3 8
5 5 .7 2 0
5 9 .2 0 3
62.6 8 5
6 6 .1 6 8
6 9 .6 5 0
7 3 .1 3 3
76.61 T)
8 0 .0 9 8
8 3 .5 8 0
87-06 3
90.5 4 5
9 4 .0 2 8
97-51 0
100-99 3
104.47 5

3o 1
60 2
90 3
120 4
i5o 5
180 6
210 7
240 8
27O 9
3oo 10
33o 11
36o 12
13
14
15
16
17
18
19
20
s 21
22
% 23
-0 3 24
25
26
27
28
29
30

$ 598.
Days.
$ c. m.
•11
.23
.34
•46
.58
•69
•81
.93
1.04
1.16
1.27
1.39
1.51
1-62
1-74
1.86
1-97
2-09
2-20
2-32
2-44
2 -5 5
2-67
2 -7 9
2-90
3-02
3-14
3 .2 5
337
3-48

Months.
$ c. m.

6
3 -48'8
3
6 -9 7 7
9 1 0 -4 6 5
5 13.95 3
1 17-44(2
8 2 0 -93 0
4 24.41)8
0 2 7 -9 0 7
7 3 1 .3 9 5
3 3 4 -8 8 3
9 3 8 -37 2
5 4 1 .8 6 0
2 4 5 .3 4 8
8 48-83,7
4 52-32,5
0 55.8113
7 59.30(2
3 6 2 -79 0
9 6 6 -27 8
6 69-76(7
2 7 3 -2 5 5
8 76-74|3
4 80.23)2
1 8 3 .7 2 0
7 8 7 -2 0 8
3 9 0 -6 9 7
0 94.18(5
6 9 7 -6 7 3
2 101.16(2
8 104.65(0

Journal o f Banking, Currency, and Finance.

101

VALUATION OF PROPERTY IN NEW YORK CITY.

W e publish below a tabular statement of the “ relative value of the real and per­
sonal estate in the city and county of New York, as assessed in 1848 and 1849,” from
the official records in the Controller’s office. Five of the wards of the city and county
show a decrease in valuation of $2,819,758 41, and thirteen wards an increase of
$4,843,324 77; giving an increase, in all the wards of the city, of $2,033,566 36, in
1849, over the valuation of 1848. The total valuations, in each year, from 1845 to
1849, inclusive, has been as follows :—

1845.

1846.

1847.

1848.

$239,995,517

$244,952,404

$247,152,303

$254,192,027

1849.
$256,217,093

Exhibiting an increase, in five years, of $16,221,476.
RELATIVE VALUE OF THE REAL AND PERSONAL ESTATE IN THE CITY AND COUNTY OF NEW
YORK, AS ASSESSED IN 1848 AND 1849.

$61,164,451 12

$197,761,919 00

TOTAL.

W ards.

1S48.

i...
i i ...
h i ...
IV...
V...
VI...
VII...
VIII...
IX...
X . ..
XI...
XII...
XIII...
X IV...
X V ...
XVI...
XVII...
XVIII.. .

$52,410,201- 84
16,301,797 46
17,051,339 74
9,142,157 00
11,370,400 00
8,098,260 00
13,182,727 00
13,122,799 00
12,126,914 20
7,219,737 00
5,402,850 00
7,396,161 00
4,641,955 73
8,793,327 40
29,421,805 55
10,032,164 20
13,417,020 00
15,061,910 00

Total . .

$254,193,527 12




Personal estate.
.$24,216,930 67
1,808,696 68
4,661,456 09
983,750 00
1,719,600 00
' 1,030,050 00
2,281,145 00
1,074,550 00
1,661,323 38
813,450 00
138,839 26
673,900 00
440,555 73
1,675,359 16
10,233,554 41
756,614 20
2,261,600 00
2,003,800 00
Ol

$193,029,076 00

1849.

A S S E S S M E N T S OF

Real estate
$28,011,100 00
14,831,250 00
12,627,750 00
8,080,170 00
9,514,700 00
7,488,850 00
11,018,463 00
11,518,850 00
10,707,150 00
6,415,600 00
5,467,950 00
6,917,021 00
4,403,900 00
7,149,600 00
17,294,400 00
10,062,115 00
11,496,900 00
14,756,150 00

04

Total

1848.

Personal estate.
$24,677,851 84
1,754,447 46
4,665,739 74
1,188,937 00
1,945,400 00
587,300 00
2,311,522 00
1,687,699 00
1,620,114 20
844,337 00
153,450 00
674,850 00
395,905 73
1,793,127 40
12,373,305 55
473,014 20
2,316.870 00
1,700,580 00

04

IV .
V.
V I.
V II.
V III.
IX .
X.
X I.
X II.
X III.
X IV .
XV.
X V I.
xvn .
X V III.

Real estate.
$27,732,350 00
14,547,350 00
12,385,600 00
7,953,220 00
9,425,000 00
7,510,960 00
10,871,205 00
11,435,100 00
10,506,800 00
6,375,400 00
5,249,400 00
6,721,311 00
4,246,050 00
7,000,200 00
17,048,500 00
9,559,150 00
11,100,150 00
13,361,330 00

00

A SSESSM EN TS OF

Wards.
i.
ii.
in .

48

TO TAL.

1849.
$52,228,300
16,639,946
17,309,206
9,063,920
11,234,300
8,518,900
13,299,608
12',593,400
12,368,473
7,229,050
5,606,789
7,590,921
4,844,455
8,824,959
27,527,954
10,818,729
13,758,500
16,759,950

Increase

Decrease.

57
68
09
00
00
00
00
00
38
00
26
00
73
16
41
20
00
00

786,565 00
341,480 00
1,698,040 00

$256,217,093 48

$4,843,324 77

$182,171 27
$338,149 22
257,866 35
78,232 00
136,100 00
420,640 00
116,881 00
529,399 00
241,559
9,313
203,939
194,760
202,500
31,631

18
00
26
00
00
76
1,893,851 14

$2,819,758 41

102

Journal o f Banking , Currency , and Finance.
Total valuation in county...........................................
water district.................................
“
lamp
“ .................................
“
south of cefiter of 34th street... .

$256,217,093
245,098,457
248,849 227
246,671,067

48
48
48
48

Total increase of real estate...........................................
Total decrease of personal estate...................................

$4,732,843 00
2,709,276 64

Total increase......................................... ..............

$2,023,566 36

TH E MERCHANTS’ EXCHANGE BANK IN TH E CITY OF NEW YORK.

This bank was chartered in 1828, with a capital of $750,000, under the Safety Fund
System, but did not go into operation, or commence business, -until 1831. The original
charter expired on the 1st of June, 1849 ; but the stockholders were prepared to meet
this emergency, having organised under the Free Banking Law in January, 1849, when
they opened their books, and in sixty days, $1,235,000 was subscribed; every dollar
of the old stock being transferred to the books of the new association. The new insti­
tution, under the title of the “ Merchants' Exchange Bank in the City o f New York”
went into operation on the 1st of June, 1849. The old bank has never failed to pay
a dividend. For the first two or three years, it made a semi-annual dividend of 3-Jper cent, and for the last seven years, it has paid a semi-annual dividend of 4 per cent,
or 8 per cent per annum. The first semi-annual dividend of the new association,
payable early in January, 1850, will, we understand, amount to 4 per cent, and leave
a surplus on hand of some $20,000 clear, besides the extra expenses incurred in fitting
up the new banking-house. The building of the old bank has been taken down, and a
new edifice erected on the site of the old, with the addition of another lot. The new
bank is built in the most substantial manner, at an expense of $20,000. It is in the
Grecian style of architecture, and is one of the most beautiful, safe, and convenient
buildings designed for banking purposes to be found in New York. As we have no
banking facilities, or favors to ask, we may be permitted, in this connection, to express
our high appreciation of the characters of Messrs. J ames Y an N ostrand, and W illiam
H. J ohnson, the President and Cashier, who have filled their respective offices, the for­
mer for eight, and the latter for the last ten years, in such a manner as to command
the respect of customers, and the confidence of the directors and stockholders. But
the history, which we have briefly sketched, is the best comment upon the manage­
ment of this bank.
MUTUAL BANK OF DEPOSIT AND DISCOUNT.

The plan proposed, or the suggestions made, in a former number of the Merchants’
Magazine, by our correspondent “ F. 6 . S.,” for the establishment of a Mutual Bank for
discount and deposit, it would seem, by the following extract from a private letter ad­
dressed to the editor, had attracted the attention of a number of gentlemen at Syra­
cuse, in New York. W e do not feel at liberty, however, to give the name of our cor­
respondent; but his references in the city of New York, are among our most respect­
able merchants:—
Extract from a private letter to the editor, dated Syracuse, Dec. 21, 1849.
“ D ear S ir :— A preliminary meeting has been held to consider the subject of estab­

lishing a Mutual Bank for discount and deposit, in our city, at which a committee wa3
appointed to draw up a plan for such an institution, to report at an adjourned meeting,
and as a member of that committee, I would say that we need more information on
the subject, as to its details; and if you, or any of your correspondents, can send me
anything that will aid in forming the details of a bank based upon the general princi­
ples of the article signed F. G. S., in your November number, you will confer a great
favor upon the committee, ant aid, as I believe, a most excellent cause.”




Journal of. Banking, Currency, and Finance.

ips

TH E NATIONAL BANK AT VIENNA, AUSTRIA.

The Journal des Debats, contains a letter from Vienna, dated October 31st, 1849,
giving the following account of the National Bank of Austria:—
The Bank of Austria has eleven branch establishments, one at Prague, others at
Brunn, Buda, Gratz, &c. The object of these branch banks is to exchange bills for
bills, bills for cash, or cash for bills, and to reimburse the bills of the central bank
drawn on them, and to draw on the Bank of Vienna. None of the branch establish­
ments -discount bills of exchange, except that of Prague, where the discount is 4
per cent; there is a discount bank also at Brunn, but it is regulated by a commercial
committee, and has its funds supplied by the head establishment. The Bank of
Vienna, like that of France, is influenced by passing events; in periods of crisis it has
with the authorization of the government, opened temporary credits to the great com­
mercial establishments of the country, and thereby saved them from ruin. The great­
est act of importance performed by the bank has, however, been to assist the govern­
ment itself, during the late political shocks, and to have enabled it, in spite of the
enormous military expenditure, to avoid the necessity of levying extraordinary taxes,
and to wait for the most favorable moment to contract a loan. The debt of the State
to the bank, comprising the floating debt, is large, but the new loan, as well as a part
of the Sardinian indemnity, are to be devoted to diminish that obligation. As the
revenues of the monarchy will augment by the regular division of the taxes, and as the
expenses of the army will necessarily decrease, the government will be enabled to
pay off the remaining portion of the debt, and thus the bank will again return to its
ordinary modes of business, and render that assistance to the public which it did before
the events of 1848.”
TAX ON TH E PRO FITS OF BANKS IN OHIO.

A question of some importance to the revenue of the State came up for decision at
a recent term of the Common Pleas Court in Ohio.
This question arose upon the 6th section of the Banking Act of 1845—which pro­
vides that each banking company shall, semi-annually, on the day designated for de­
claring its dividend, “ set off to the State 6 per cent on the profits, deducting therefrom
the expenses and ascertained losses of the company for the six months next preceding,
which sum or amount, so set off, shall be in lieu of all taxes to which such company
would otherwise be subject.” Some of the banks so construed this section as to con­
sider the 6 per cent so payable to the State, as a part of the expenses, and to be deduct­
ed from the semi-annual profits, and set off to the State 6 per cent on the residuum
of profits after such deduction. To settle this question, a suit was brought by the
State against the Franklin Branch in Cincinnati, one of the banks claiming to deduct
the 6 per cent as expenses. The court held that this 6 per cent payable to the
State was not to be considered as a part of the expenses of the bank, but rather as a
part or share of the dividend of profits, and gave judgment for the State accordingly.
BRITISH FE E S IN BANKRUPTCY.

Under the new English Bankruptcy Act, in lieu of fees, payment is to be made by
stamp duty. On every petition for adjudication of bankruptcy, or for arrangement
between any debtor and his creditors, under the superintendence and control of the
court, or for certificate of arrangement by deed, £10 duty. Every declaration of in­
solvency, 2s. 6d.; every summons of trader debtor, 2s. 6d.; every admission or depo­
sition of trader debtor, 2s. 6 d .; every bond, with sureties, 2s. 6d.; every application
for search for petition or other proceeding, (except search for the appointment of any
sitting or meeting, Is. The stamp duty on allocations by any officer of the court for
any costs, charges, or disbursements, varying from Is. 6d. to £5. The Commissioners
of Inland Revenue are to carry out the act with respect to stamp duties in lieu of fees,
and to appoint persons for the sale and distribution, and to make allowances with re­
gard to the same.
CHRISTOPHER BULLEN, TH E RICH BANKER.

Christopher Bullen, of the banking firm of Leyland, Bullen & Co., recently died at
his residence, near Liverpool. Mr. Bullen was probably one of the wealthiest men in
Europe, for he lias, it is confidently stated, by the English Journalists, left behind him




104

Railroad , Canal, and Steamboat Statistics.

cash to the amount of £5,000,000 or £7,000,000. Although so very rich, he was par­
simonious to an extreme degree. He resided in the house of his uncle, Mr. Leyland,
the tjpuuder of the bank; but although a comparatively small mansion, he occupied
only two or three apartments, and allowed the remainder to fall into decay— so much
so, that the parlors and drawing-rooms were tenanted by sparrows, swallows, and bats,
the unglazed windows affording them free ingress and egress. He saw no company,
courted no society, and indulged only in one taste— the purchase of pictures. His
paintings are numerous, but he never hung them up, never exposed them, aud they
now remain as they did during his life-time, piled up with their faces turned to the
walL For several years his health had been bad, and some time ago he paid a visit to
Malta, Smyrna, <fcc., and returned greatly improved in constitution, but the expense
distressed him, and it was only by threat of legal proceedings, thas he was induced to
pay the physician who accompanied him £700. Some time ago, a merchant in difficulties,
was lamenting to him the state of his finances, when he observed, “ You are happier
much happier than I am ; you have got no money, but you have got good health. I
have plenty of money, but I have bad health; I wish I could exchange with you.”

RAILROAD, CANAL, AND STEAMBOAT STATISTICS.
C E M ’RAL RAILROAD OF GEORGIA.

In the Merchants' Magazine for April, 1849, (Yol. xx., pages 146, 147,) we gave a
tabular statement of the places, distances, and rates of fare on this road, and also an
abstract of the annual report of the Board of Directors of the “ Central Railroad and
Banking Company of Georgia,” for the year ending December, 1848. The tables pub­
lished in our abstract embraced an account of the number of passengers, and freight
carried over the road in each month of the year, as compared with the previous year,
(1847.) From the report of W. M. Wadley, the Superintendent, now before us, we
are enabled to give a statistical view of the business of the road for the year ending
December 1st, 1849. From this report, it appears that the earnings of the road for
1849 have been.....................................................................................
$668,383 91
The total expenses, same time...............................................................
337,628 87
Leaving a balance, as nett profits, o f...........................................
$330,755 04
Showing an increase in the gross receipts of the road, over 1848, of $152,131.
The following table shows a comparison of the various branches of business for the
year just closed, with the previous one:—

1848.

1849.

Up freight............. .through.
....... way.
Down freight......... . through.
“
......
Up passage........... . through.
.......way.
Down passage.. . . .through.
“
. . . . ----- way.
United States Mail

§108,211 41
32,825 49
241,894 74
46,583 29
19,854 82
13,534 28
15,968 08
12,180 53
19,200 00

$167,721
39,774
304,572
66,003
22,345
13,753
21,611
12,851
19,750

49
37
86
32
66
28
18
75
00

Difference.
$59,510 08
6,948 83
56,678 12
19.420 03
2,490 84
219 00
5,643 10
671 22
550 00

Total earnings.
Bales cotton........... .through.

$516,252 64
137,157
31,571

$668,383 91
164,334
39,391

$152,131 27
27,077
7,830

Total bales cotton...........
168,718
203,725
35,007
The following table exhibits the number of passengers, and also the number of bales
of cotton transported over the road in each month of the year, from December 1st,
1848, to December 1st, 1849:—




Railroad , Canal, awe? Steamboat Statistics.

N U M B E R O F B A L E S OF C O T T O N .

N U M B E R OF P A S S E N G E R S .

Through.

Way.

M onths.

Up.

D ow n.

Up.

Down.

D e c .__
Jan........
Feb . . .
March.. .
A p r il...
M a y .. . .
June. . . .
July.......
August..
Sep........
Oct........
N o v .. . .

296
227
373
445
281
218
268
291
232
40S
662
407

246
256
290
263
317
301
400
393
301
319
349
364

697
699
530
573
669
575
513
664
638
592
743
972

713
653
497
600
564
603
432
613
600
634
724
1,044

Total.

4,208

3,799

7,865

7,677

10 5

M on th s.

Dec.........
Jan.........
Feb.........
March... .
A pril. . . .
May . . . .
Jun e.. . .
July . . . .
A ug........
Sep.........
Oct..........
Nov.........
Total...

Through.
21,852
19,690
18,375
20,506
19,056
9,074
3,341
3,785
2,678
3,186
16,769
25,721

Way.
7,061
6,252
5,766
4,859
1,308
369
106
108
979
1,354
3,553
7,176

Total.
28,913
26,452
24,141
25,365
20,344
9,443
3,447
3,894
2,957
4,540
20,322
32,896

164,334

39,391

203,725

The current expenses of the road during the year, are exhibited under the .appro­
priate heads, as follows:—
Maintenance of way, including salaries, <fcc., <fec......................................
machinery and motive power........................................
“
of cars...............................................................................
Transportation expenses.............................................................................
Incidental expenses.. . . , ...........................................................................
Total expenses.........................................................................................

§126,S it
94,466
32,040
80,213
3,490

35
44
41
*74
93

$337,755 06

The total number of miles run by all the engines during the year, has been 346,240.
The company have, at this time, seven eight wheel passenger cars, three eight wheel lug­
gage cars, three four wheel luggage cars, 105 eight wheel box freight cars, 113 eight
wheel platform cars, and fifteen four wheel gravel cars; or a total of 246 cars.
On the 1st day of August, 1849, the rate of travel in the passenger cars was re­
duced to three cents per mile. The Western and Atlantic Road, and Georgia Rail­
road rates have been reduced to the same point. What effect this reduction will
have on the revenues of this company, remains to be seen; but the Board believes,
that whilst the act of reducing to so low a figure furnishes evidence of the willing­
ness o f the direction of this company to yield to the generally expressed public
wish on this subject, the interests of the company will be promoted by the measure.
W e have no doubt but that the company have pursued a wise policy, in making
this reduction. Cheap fares work well in New York, and in the New England
States.
This Company, says Mr. Cuyler, the President of the Board, and the South West­
ern Railroad Company, stand pledged to the Corporation of Savannah, that their two
railroads shall be united at the earliest convenient moment. With a view to that
junction, and a connection, at the same time, with the Macon and Western Road, a
bill is now before the Legislature of Georgia, which this Board hopes will be passed
into a law.
RAILWAY SPECULATION AND TH E STOCK EXCHANGE.

A step was recently taken by a leading firm in the London Stock Exchange, which
is likely to have a powerful effect in checking the reckless speculation in railway shares,
which has been so long prevalent. A seller being unable to deliver a certain number
of Great Western shares which he had disposed of on speculation for the account, the
brokers by whom they had been purchased resolved to exercise their right of rebuy­
ing them publicly, according to the rules o f the Stock Exchange, thus rendering him
liable for any difference in price they might be compelled to pay. The dealers, aware
o f what was to take place (the purchase being made by parties specifically employed
by the committee of the house,) generally forbore to accept the biddings, and hence




Railroad , Canal, and Steamboat Statistics.

106

the price, which was nominally about 60, was driven up to 73 before the transaction
could be completed. It is evident that, says the Liverpool Chronicle, if all the respect­
able brokers will henceforth, without favor or exception, act in this way^such gambling
fluctuations as those in the table of prices for the month, will, for the future, far less
frequently be recorded.
RAILROADS BETWEEN ALBANY AND BUFFALO,
The superintendents of the several railroad companies between Albany and Buffa­
lo, have agreed upon the following schedule for the winter of 1849-50. The arrange­
ment took effect from the 17th of December, 1849. The passenger trains going east
and west, leave Albany and Buffalo as follows:—
PASSENGER TRAINS GOING WEST, LEAVE AS FOLLOWS:
Express.

Leave Albany............................
“ Schenectady....................
“ Utica.................................
“
Syracuse.........................
“ Auburn.............................
“ Rochester.........................
Arrive at Buffalo.......................

7
7
11
2
3
6
10

A. M.
45 “
36 “
M. P.
15 “
30 “
“

Mail.

10
A. M.
11
“
3 30 “
7
P. M.
8 45 “
2
A. M.
6
“

Night.

7
P. M
8
*
12
“
2 30 A.M.
4 30
“
9
“
1
P. M.

PASSENGER TRAINS GOING EAST, AS FOLLOWS:
Express.

Leave Buffalo.............................
“
Rochester.......................
“
Auburn...........................
“ Syracuse...........................
“ Utica.................................
“
Schenectady...................
Arrive at A lbany......................

7
A. M.
10
“
1 30 P. M.
3 15 “
5 45 “
9
“
9 45 “

Mail.

10
A. M.
2 30 P.M .
7 45 “
9 45 “
1 A. M.
5
“
6
“

Night.

7
P. M.
1115 “
4 30 A.M.
7
“
10
145 P. M.
2 30 “

FREIGHT TRAINS LEAVE EAST AND WEST, AS FOLLOWS:

Leave A lbany.
“ Schen’dv.
“ Utica.......
“ Syracuse.
“ Auburn..
“ Roch’ter..
“ Buffalo...

2
P.
M.
7
A. M.Leave Buffalo..1
P. M.
3 20 “
8
“
“
Roch’ter. 6
“
ll
“
1 3 0 P.M.
“
Auburn.. 1
A. M.
7 A. M. 6 30
“
“ Syracuse. 3 30
“
6 A. M.
9 30 “
“ Utica
9
“ 10 30 “
4 30 P. M.
“ Schen’dy. 3
P. M. 5
P. M.
10
“
Arrive at Alb’ny. 4
“
6
“

It will be seen, from the above tables, that there are three passenger trains each way
between Albany and Buffalo, and one freight train each way, daily.
OPENING AND CLOSING OF THE NEW YORK CANALS.
The following table shows the time of the opening and closing of the New York
canals, for the last twenty-six years; or in each year, from 1824 to 1849, inclusive:—
Opened.
Closed. No. days. 1 Year.
Closed. No. days.
Opened.
Year.
April 20
219 1837___
Dec. 9
234
Dec. 4
April 80
1824___
“ 12
238 1838___
No. 25
228
“ 5
“ 12
1825___
213 1839___
“ 20
De. 16
228
“ 18
“ 20
1826___
241 1840___
“ 20
“ 18
227
“ 23
1827___
“ ?
“ 26
269 1841___
No. 29
218
“ 20
Mar. 27
1828___
“ 20
“ 23
230 1842___
218
“ 17
1829___
May 2
May
1
242 1843___
De. 1
214
April 20
“ 17
1 8 3 0 ....
April 18
“ 1
230 1844___
No. 26
223
“ 16
1831___
“
15
228
241 1845___
“ 29
“ 21
1832___
“ 25
“ 16
224
“ 12
238 1846___
25
“ 19
1833___
May
1
De. 21
234
240 1847___
“ 12
1834___
“ 17
“
1
“
9
223
230 1848___
No. 30
“ 15
1835___
“
1
“ 5
216 1849___
219
“ 26
“ 25
1836___




/

Journal o f M ining and Manufactures.

107

BUSINESS OF TH E COLUMBIA AND PHILADELPHIA RAILROAD,

The following report of John Dunlap, the weighmaster of this road, shows the tram
her of cars, and the amount of tonnage weighed, from the 1st of December, 1848, to
the 1st of December, 1849, which shows an excess over last year’s report of 8711 cars,
and 5,466,278 lbs. loading:—
Aggregate
No. cars
No. cars, Aggregate
weighed. w’t load’g.
weighed.
w’t load’g.
3,009,478
531
3,342,400 July...................
Decem ber........
2,917,741
520
January ........... . . . .
5,422,900 August...............
875
2,686,638
538
February ........ ___
1,181
7,527,200 September........
3,897,544
733
March............... . . . 1,093
6,772,708 O ctober.............
4,273,670
729
4,124,799 November..........
A p r il............... . . .
712*
M a y .................
715*
4,100,572
Total.......... . . . . 8,903* 52,190,978
4,115,228
June................. . . .
711*

JOURNAL OF MINING AND MANUFACTURES.
TH E MANUFACTURE OF COTTON GOODS IN TH E SOUTH.

The controversey commenced by an article from Gen. C. T. J ames, published in the
November, and continued by Mr. A. A. L awrence in the December and present num­
ber of the Merchants' Magazine, is calculated to shed much light upon the whole sub­
ject; and however exaggerated may have been the statements of Gen. J ames, we fully
concur in the opinion of our esteemed correspondent, Mr. G regg, the writer of the fol­
lowing paper, that the publication of that article will neither “ do our Journal or its
readers any harm.” W e go for the free and fair discussion of every topic legitimately
falling within the original design and scope of our Journal, and shall, therefore, admit
whatever is furnished for publication on this subject from any respectable and re­
sponsible source:—
F reeman H unt, E sq., Editor o f the Merchants' Magazine, etc.
D ear S ir :— I have read, with great interest, Mr. A. A. Lawrence’s article in your
December number, and also your remarks, in connection with extracts from private
letters and anonymous newspaper articles, all criticising an article from the pen of
General C. T. James, which appeared in your Journal for November last.
The article referred to, I read very carefully, and think it will do your Journal, or its
readers, no harm, especially after what follows in the last (December) number, which
every one who noticed the article so severely criticised, will read.
The able essay of Mr. Lawrence, although true, is, in my opinion, calculated to do
us quite as much harm as that of General James. The latter’s low estimates of the
requisite capital, and his extravagant calculation with regard to profits, may lead a few
of our unthinking capitalists into embarrassment, and possibly loss of entire invest­
ments ; while the remarks of the former are calculated to discourage the spirit of pro­
gress, at present manifested at the South.
I have never encouraged persons to look for more than 10, 12, or 14, per cent, on in­
vestments in manufacturing; but the remuneration which capital receives, when in­
vested in such pursuits, is not a criterion from which to judge of the profits derived by
a country at large. While we admit Mr. Lawrence’s statement relative to the dividends
paid, we cannot but notice the fact, that New England has grown rich and prosperous,
beyond all precedent, since her capitalists engaged in this particular field of enter­
prise. No one can for a moment doubt that the manufacturing of cotton goods has
been chiefly instrumental in producing the great changes wrought in New England,
during the last thirty years. The low dividends of Mr. Lawrence, and the high esti­
mate of profits of General James, are both calculated to mislead. Such results as
those set forth in General James’ article, are utterly fallacious, for the difference be­
tween good and bad management will dissipate even exorbitant profits. A cotton
plantation in South Carolina, where the land is but tolerably productive, if well man­




10 8

Journal o f M ining and Manufactures.

aged, will generally yield a fair interest on the capital invested : the same, badly man­
aged, may bring the proprietor in debt. What is true of a cotton plantation, is equally
so of a cotton factory. It may be truly said, that in regard to individual profits, figures
do not tell the truth ; but when we extend our views beyond the immediate profit to
the owner, and look at the subject in a national point of view, they may be relied oil
with more safety.
The productive power of machinery adds wonderfully to the value of labor. Three
hundred efficient and disciplined hands, mostly women, and many of them children,
will work a sufficient number of spindles and looms, to manufacture into No. 14 cloth,
three thousand six hundred bales of cotton, of four hundred pounds each, per annum;
which, under any circumstances, will be worth double the cost of the raw material, and
generally three times as much. By this statement, it appears that three hundred hands
in a factory, will produce, at the lowest estimate, what is equivalent to twelve bales
per hand, and, in prosperous times, from eighteen to twenty bales; while the same
number of hands, even admitting them all to be adults, would not, in South Carolina,
average more than two and a half to three and a half bales to the hand, per annum,
from the soil, besides raising the provisions necessary for their subsistence, estimated
at not more than one bale. Additional force is given to the argument, by the fact that
manufacturing labor is supplied mainly from that portion of society which cannot be
rendered available in agriculture, and this has peculiar force, in reference to the policy
of the Southern States engaging in the manufacture of cotton; for a large portion of
our poor white people, are not only unproductive, but actually a burthen to us. In the
face of low dividends, these illustrations will show the great advantages which may be de­
rived from the introduction of manufactures, and it also explains satisfactorily how the
Eastern people have grown rich from a pursuit which has paid capitalists only a mod­
erate interest on their money.
The naked statement that an individual can produce in a factory that which is
equivalent to from twelve to eighteen bales of cotton per annum, would induce an in­
experienced person to conclude that this business was enormously profitable, for he
does not see the multitude of channels through which the large gross profits of the
manufacturer are dwindled down to very moderate ones. But it is enough for us, at
the South, to know that manufacturing has heretofore paid sufficiently well to induce
the continued annual investment of immensely large sums, for thirty years past, both
in the Middle and Eastern States, as well as in all parts of Europe— that we have la­
bor, both white and black, at least 20 per cent cheaper than in New England, and with
few exceptions, as cheap as in any part of the world— that water-power may be had
for almost nothing—that our provisions are as cheap, and, above all, that we have the
cotton at hand, sound, bright, and unsullied by the rain, mud, smoke, <fcc., incident to its
transit from the interior of our State, to its final destination.
This last item alone, is equal to £ of a cent a pound in our favor, and explains what
the generality of persons do not understand— why southern manufactured domestics
are superior in quality to a similar style manufactured in the Eastern States. Fair
cotton is a very different article by the time it reaches New England, from what it was
when it left the interior of any of the Southern States. So far as our consumption is
concerned, (which has not yet been reached by southern production, and may not for
many years to come,) our advantages are too apparent to need argument. Add the
transportation and charges both ways, (the cotton going to the manufacturing district,
and the cloth returning to us,) and it makes a difference in our favor, which foreigners
cannot overcome by superior skill, provided we exercise that caution in the first invest­
ment which prudent men should do, and pay such attention to the judicious direction
o f labor, as is necessary to success on a cotton plantation.
I am very respectfully and truly yours.
Charleston, (8 . C.) Dec. 20th, 1849.
WILLIAM GREGG.
W e published in our December number an interesting letter from Mr. G regg, the
writer of the foregoing communication, giving an account of the Graniteville (S. C.)
Cotton Manufactory, <fcc. Since the publication of that letter, we have received from
the writer an address delivered before the South Carolina Institute by Mr. G regg ,
which we shall publish as soon as we can find room for it. Mr. G regg , the founder of
the Graniteville Cotton Manufactory, is a gentleman of character and intelligence, and
is earnestly engaged in promoting the industrial progress of the Southern States, by
means of a judicious diversification of their pursuits.




Journal o f M ining and Manufactures.

10 9

LETT ER FROM GENERAL C. T. JAMES,

We cheerfully publish the subjoined letter from Gen. C. T. J ames, the writer
o f the article in the November number of the Merchants’ Magazine, on the “ Pro­
duction and Manufacture of Cotton, and its manufacture in the Cotton-Growing States.’’
F reeman H unt, E sq., Editor o f the Merchants' Magazine, dec.
D ear S ir :— Having noticed, in an editorial paragraph in your Magazine for De­
cember, 1849, a quotation relative to the Globe Mill, at Newbury, Massachusetts, from
an article signed “ I,” in the Boston Courier, permit me to say:— The truth of that
statement, as well as of many others made by the same writer, was promptly denied
by me, over my own signature, in the columns of the Courier. It is not to be expected
that I should follow an anonymous writer farther. A gentleman of acknowledged
ability being engaged in reviewing my article published in your November number, I
shall await with patience the conclusion of his labors in the January number, that I
may be able, in February, to place before your readers such an array of facts, as shall
fully substantiate the truth of my article in the November number.
Respectfully yours,
Providence, Bee. 22, 1849.
C. T. JAMES.
C A M E L COAL IN VIRGINIA.

W e cheerfully give place to the following communication, fcrreeting an error in a
communication of “ Observer,” published in a former number of this Magazine. The
error, we believe, was made in the manuscript of our correspondent, and not by the
printer:—
F reeman H unt, E sq., Editor o f the Merchants’ Magazine, etc.
D ear S ir :— In your number for December, (page 676,) in ray notice of the Cumber­
land Coal, and Cannel Coal found in this country, there is made by the printer, a ma­
terial error, in stating the distance of the Great Falls of the Potomac to be 165 miles
from Washington. It should be 14 miles. There is, at these falls, an immense power
for machinery, which must, in all probability, be brought into use before long.
Since sending you my first note, mentioning four localities of Cannel Coal, I have
lately heard of a fifth, viz., in Virginia, on Elk River, winch falls into the Great Ka­
nawa, at the Charlestown Salt Works. This Cannel Coal is said to be found in col­
umnar blocks, of 14 to. 18 inches diameter, like the basaltic columns on the west side of
Mount Holyoke, near Northampton, Massachusetts, and also like the columns of the
Giants Causeway in Ireland. For making gas, it is superior to all other coals. A
company has been incorporated for working this mine, with a capital of a million of
dollars. How much has been paid in, I have not heard.
O bserver.
TH E WORLD’S EXHIBITION OF TH E PRODUCE OF INDUSTRY IN 1851.

W e copy from the French Journal des Bebats, which published an elaborate article
on the subject, afew passages referringto the proposed world’s exhibition of the produce
of industry in 1851. We trust that our countrymen will not be backward in furnishing
specimens of American skill and industry:—
An exhibition of the produce of industry will take place in London in the year
1851. This will not be a purely English exhibition by any means; the produce of the
entire globe is invited to be present. Nor -will the exhibition be exclusively confined
to manufactured articles, for raw material of all sorts will figure thereat; all produc­
tion, in a word, which will bear the carriage to London, so as to appear in good con­
dition.
To sum up the speech of one of the commissioners sent to the Right Hon. the Lord
Mayor by Prince Albert, to whom the initiative of this vast scheme is owing, a ren­
dezvous is given to everything that man extracts from the surface and the bowels of
our planet—to everything that he creates by combining the materials with which he
is furnished by the working of the earth. Africa will be represented at the exhibition
of 1851 by elephants’ teeth and gold dust; Asia by her silks, which will be placed
opposite those of Europe, Italy, and the Levant. Near the cottons of Egypt will be
seen those of India and China, Brazil and the United States of Am erica; in juxtapo­




110

Journal of M ining and Manufactures.

sition with the hemp and flax of Europe will be observed the textile materials of the
equinoctial regions of the globe; beside the precious metals of Mexico, Peru, Chili,
and California, will glitter the gold of Siberia and Transylvania, the iron and tin of
Great Britain, the silver of Germany, and the mineral produce of France ; the woolens
of Hungary, Saxony, and Spain will be contrasted with those of Australia, and the furs
of Siberia with those of Canada; and the spectacle will be rendered complete by the
addition of the spices of the Levant, the olives of the borders of the Mediterranean,
the grapes or the vintages of all growths, grain of all sorts, from the corn of Poland,
Southern Russia, and Sicily, to the lice of Carolina, Piedmont, China, and India, to the
maize of Mexico, Turkey, and the United States of America.
In this gigantic exhibition will be included steam engines, from the locomotive to the
exhausting machine of Cornounaille; looms for the manufacture of cloth, from those of
Manchester and Lowell, to the rude apparatus of the Indian weaver; implements of
agriculture and trade, and the most delicately manufactured scientific instruments, both
those of Gambey ami those of the successors of Ramsden.
Every sort of fabric, every kind of art, from the rudest and most clumsy to the most
refined and delicate specimen, from the most primitive contrivance to one in which
taste and imagination shall be displayed in the highest degree; everything will be re­
ceived and exhibited in the most favorable light, from whatever country it may have
been transmitted.
The hospitality of Great Britain is offered to all that the industrious inhabitants of
the planet are capable of producing.
The impulse has al£ady been given in the British empire. The directors of the
powerful company which rules the Indies have already despatched to their immense
empire all the nect
1
° " ' nsmission from those remote regions— which
were the cradle
contingent to this great and interesting
solemnity.
It will certainly be no light honor to be distinguished in the midst of competitors so
numerous by a jury of independent and influential men. The medals of the exhibition
of London will be titles of which the possessor will have every reason to be proud.
But there will be something more than mere medals. Great prizes will be awarded
to those who, by advancing art, have thereby rendered a service to civilization. There
will be a prize of £2,000, and four of £1,000 for the four great divisions that appear to
be already adopted,— raw materials or agricultural articles, machinery, manufactured
articles, and sculptures, and works of art in general.
This exhibition, according to the idea of those who are its promoters, will be renew­
ed quinquennially, as in France. The expense will not be charged to the state. The
government will merely be asked to grant a site, on which will be erected a temporary
edifice for the exhibition, as in our Champs Elysees; but it may be imagined, from the
particulars already adduced, what its extent will be. The funds will be raised by
subscription, and it is estimated that £100,000 will be sufficient. In this manner the
politeness shown to the other nations of the world will be more spontaneous and
cordial.

AN EX PER IM EN T W ITH SEMI-BITUMINOUS COAL.

An interesting an important experiment, as we learn from the Harrisburg Telegraph,
was recently made at Harrisburg, (Penn..) on a locomotive on the railroad, with the
semi-bituminous coal of the Dauphin and Susquehanna Company. The fire was regu­
lated by Mr. Kirk Few, the superintendent of the Harrisburg and Mount Joy Railroad
Company, accompanied by several gentlemen interested in the application of this fuel
for steaming purposes. Although the fire box was constructed for the use of wood, the
combustion of the coal was so rapid, and the flame so intense, that steam was genera­
ted to an excess that required to be blown off frequently. The whole trial was com­
pletely successful, and Mr. Few expressed his entire satisfaction that it would accom­
plish all that could be desired for driving locomotives— that it was indeed the perfec­
tion of fuel for this purpose. Even while going up grade, and both pumps supplying
water to the boiler, the steam was in such excess as to be required to be blown off. It
is gratifying for us to state that the railroad to the mines is now finished, and that an
inexhaustible supply awaits the industry of the miner to bring it to the Harrisburg
market, which, being the center from which canals and railroads radiate in all direc­
tions, will supply a want already severely felt in the scarcity and dearness of wood.




Journal o f M ining and Manufactures .

I l l

ROLLING MILLS IN AND NEAR CINCINNATI.

, The “ Cincinnati Price Current ” has commenced the publication of a series of short
articles, which the editors propose to continue as they may be able to collect the facts,
relative to manufactures in the West, and more particularly of Cincinnati. Introduc­
tory to this series, the editors of the Price Current justly remark:—
“ The situation of Cincinnati, as a commercial city, and her resources, both natural
and acquired, render this the most desirable location in the west for manufactures.
Hence it is that she is rapidly approaching that point in manufactures to which she
long since attained in commerce. It may, we think, be truly said that Cincinnati is the
Gotham of the west. In regard to manufactures, she has many superior advantages
over sister cities; situated in a State, or we may say, the midst of States, abounding
in both agricultural and mineral products, where employment for the masses is abun­
dant, varied, and profitable, the merchant, farmer, miner, and mechanic, all have their
respective fields of labor. The soil is most productive, and beneath it the earth abounds
in coal and iron, which furnish the principal material for the manufacturer. But these
are only her natural advantages. With every portion, almost, of our own and adjoin­
ing States there is constant and cheap communication. Canals or railroads, running
east, west and north, from this city, makes it the center of a large and thickly pop­
ulated country ; besides, there are the Ohio and Mississippi Rivers, and their tributaries,
which are navigated in every direction ; so that, by either river, railroad, or canal, ac­
cess is had to every city or town in the western country. The population of the west
is being rapidly extended ; and where, a few years ago, the Indian might have stood,
and almost exclaimed, with Selkirk,
“ From the centre, all round to the sea,
I am lord of the fowl and the brute,”
cities and towns are springing up “ as if by magic.” With the increase of population
there must be an increased demand for manufactures; and with all the resources and
advantages of the west, the east should not supply her citizens with those articles for
which we have been accustomed to look to New England and the north Atlantic
States.
“ So accustomed have we been to look to, and depend upon Pittsburg, for supplies of
iron, that very many of the western people have supposed all the iron sold in this mar­
ket was of Pittsburg manufacture. Such, however, is not the fact, as will be seen by
the statement appended. There are, it will be seen, ten Rolling Mills, in and near
Cincinnati, all of which depend on, and find a market in Cincinnati for their products.
These produce near 22,000 tons of iron, annually, the yearly value of which falls but
little short of two million dollars,”
The statement we here give of the several mills, their location, etc., we have obtain­
ed from the most reliable sources.
STATEMENT OF TEN ROLLING MILLS, IN AND NEAR CINCINNATI.

Name o f W orks.
Kentucky Iron W orks.a.........
Jacking Iron W orks.a.............
Newport Iron W ork s.i............
Fulton Rolling M ills.c*..........

Location.
Covington........
d o ...............
N e w p o r t ........
F u lt o n ............

Owners.
J .R . M cN ickol..............
Bush & Jordan..............
D . W olfe & C o ..............
Shreve, Steele &.C o . ...

G lobe Iron and W ire W orks A

Cincinnati........

W orthington &. Pullan.

Mill Creek Iron W ork s.cf........
Lockland Rolling Mill.e^........
Portsmouth Iron W orks.c___
Hanging R ock It. M ill.c.........
Pom eroy Rolling Mill.e............

Cincinnati........
L o ck la n d ........
P orlsm ou th ...
Hanging R ock.
P o m e r o y ........

Cin. Iron C o ..................
Phelps & Chapman----J. G. G aylo.d &. C o ....
W illiam s & C o ..............
Pom eroy Iron C o ..........

Capacity for
yearly
Production.
Value.
3.000 tons___
$225,000
1,500 d o .........
140.000
1.000 do,
110.000
3.000 d o .........
250,000
t 3,500 in iron £
360,000
4.000
600
2,500
1,200
1.000

t o n s ....
d o .........
d o .........
d o .........
d o . -----

325.000
50.000

200.000
90.000
75.000

21,700
Total annual value o f products..........

$1,825,000

* Burned in September; now rebuilding.
f Not finished.
\ Not running.
Works in the table marked (a) manufacture Bar and Sheet Iron ; those marked (b)
Sheet and Plate Iron ; those marked (c) Bar and Sheet Iron, and Nails ; those marked
(d) Bar and Sheet Iron, and W ire; those marked (e) Bar Iron.




112

Journal o f M ining and Manufactures .
MANUFACTURES OF DAYTON, OHIO.

Dayton has a population of about 15,000, and is located in the heart of one of the
richest agricultural sections of the west. A Dayton correspondent of the Ohio States­
man gives the following exhibit of the manufactures of Dayton:—
There are five oil mills that purchase from the farmers about 160,000 bushels of
flax seed annually, at a cost of $160,000, producing 340,000 gallons of oil, and 400,000
lbs. of oil cake, and employing in the business from forty to fifty hands, besides
twenty coopers to furnish them with barrels. The five iron foundries give permanent
employment to 100 hands, and cast annually nearly 900 tons of pig iron. The four
flouring mills grind annually from 150,000 to 170,000 bushels of wheat. A last and
peg factory turn out some $20,000 worth of stock yearly, which gives constant pro­
fitable employment to twenty-five hands, and produce every variety of goods in that
line, possessing a very superior finish. Woolen machinery, such as carding machines,
power looms, spring jacks, <fcc., are manufactured after the most approved eastern pat­
terns. Carpets and coverlets of a great variety of patterns, and style of finish, are
made, and the proprietor of this establishment has some difficulty to supply the orders
that are given for his goods, tiiey being in such great demand. A large capital has
lately been invested in establishing a linen factory, which is destined, under proper
management, to become a great auxiliary to the agriculture of Montgomery county, as
it will supply a cash market for the fiber of the flax plant, which up to this time, has
been thrown away as useless. The cotton and woolen factories give employment to a
great number of hands, mostly girls and boys, and both branches are in a flourishing
condition. Three paper mills give employment to between 40 and 50 hands, manu­
facturing nearly 500 tons of paper, which net the establishments about $80,000 per
annum.
TH E MINING PROSPECTS OF ENGLAND.

The London Mining Journal, in speaking of the subject of which it is the special
weekly organ, says, that to whatever part of the mining horizon of England it looks,
there business is characterized by great steadiness and regularity in all its depart­
ments ; that it is able to testify to the firmness of prices and the vivacity of the mar­
kets generally; and that there are prospects for a good winter trade. The same jour­
nal, in noticing a rise of 10s. per ton on the price of lead, and the spirited demand at
the periodical sale at Holywell, November, 1849, when a large quantity of ore was
brought forward aud sold, observes:— “ As this improvement in . trade is mainly at­
tributed to the large demand that has arisen for export this year to the United States
of America, it may be serviceable to those of our readers who are interested in this
metal to learn that we have been informed by an intelligent correspondent on the
other side, that the production of the mines in the United States has so materially
fallen oft* while the amount of consumption has so greatly increased, that they will re­
quire an importation during the next year of at least 15,000 tons to meet the wants of
the country. Such an export in the present state of the stocks here, must have the
effect of producing a considerable advance in the price of lead.”
TH E CLIFF COPPER M INE OF LAKE SUPERIOR.

It appears from a statement of Col. McKnight, that the yield of the Cliff Copper
Mine, last year, (1849,) amounted to one thousand tons. This copper is shipped in
large masses, some weighing as high as three tons. It goes to Pittsburg, (Penn.,)
where it is melted into ingots, and from thence to the Atlantic cities, where it meets a
ready and constant market. The yield of this thousand tons will be some 75 per cent,
making the product of ingot copper 750 tons, which is worth $380 per ton, and which,
shows the product of the mine for the year 1849 to be as follows:—
750 tons of copper at $380 per ton............................................................
$285,000
Deduct expenses, $7,000 per month...........................................................
84,000
Leaves nett profit..............................................................................
$201,000
The stock of this company, (the Boston and Pittsburg Mining,) is divided into 4,000
shares, which cost originally $18 50 per share, and on which a dividend of $20 per
share will be declared this year, leaving in the treasury money enough to nearly pay
the expenses for another year. The stockholders of the Boston and Pittsburg Com­
pany, as we learn from the Detroit Tribune, expended the sum of $110,000, before
they obtained any results.




Mercantile Miscellanies.

11 3

MANUFACTURE OF PAINTS FROM ZINC.
W e learn from the Newark (N. J.) Daily Advertiser, that the Sussex Zinc Com­
pany, of Newark, have been for some time past experimenting in the manufacture of
this article, with such satisfactory results, that the zinc paint, which is the white
oxide of zinc, will be one of the chief articles of manufacture at the large works which
they are about to erect on the banks of the Passaic. The ore of the Sussex mines is
said to be of such a nature, that the white oxide can be made from it without the necessity of first reducing it to the metallic state, which is necessary in France, and it can
therefore be made at less cost.
The process o f making the paint is interesting. The ore is pulverized and mixed
with a small proportion of anthracite or charcoal, as a flux; and about forty pounds is
used as a charge for a cylindrical retort made of clay, three and a half feet in length,
and is eight inches in diameter. The retort is placed in a reverberatory furnace hori­
zontally, one end being exposed by an opening in the furnace w a ll: a sheet-iron re­
ceiver is attached to the mouth of the retort, having an opening at the neck to admit
atmospheric air. The receiver is elongated by flexible tubes that serve as additional
receivers, and also to carry off the carbonic oxide. When the proper heat is applied,
the zinc is set free from the ore, and conveyed into the receiver as a vapor of zinc,
where, meeting the current of atmospheric air, from which it takes up the oxygen, it
falls at once as a beautiful powder of pearly whiteness.
The small furnace now works four retorts. The metallic zinc is made in the same
manner, with the exception that in the latter case the air necessary to form the oxide
is entirely excluded. The furnace to be erected on the river is to work one hundred
and eight retorts. The white paint, which has been tried, is said to be more durable
than that made from white lead, and less liable to turn dark. It is a somewhat dif­
ferent shade of white from the paint made of white lead.

MERCANTILE MISCELLANIES.
BANKRUPTCY IN BATAVIA, ISLAND OF JAVA.
W e are indebted to an esteemed correspondent, a highly respectable merchant of
Boston, for several extracts from the manuscript of a private letter, dated Batavia,
(Island of Java,) September 22d, 1849. It was received just as the last sheet of the Mer­
chants' Magazine was going to press, or we should publish the extracts entire. As it
is, we can only find room for a few passages, touching the condition of a bankrupt
in that island, as follows:—
To be bankrupt here, is a somewhat different affair from what it is in the United
States. Immediately on becoming bankrupt, the names of the parties are placarded
about town, and in the Exchange, as if prima facie infamous. The books are then ex­
amined by the public officer for that purpose. If the estate does not pay 60 per cent,
and the bankrupt can be proved to have done business after he knew that fact, he is
put into prison, as a criminal, for a number of years, and declared “ aloost,’' which sig­
nifies infamous, or without character. After this, the “ aloost” person is indeed ex­
communicated. His word is not to be taken; he is not allowed to be a witness, even
on oath, and if a man trusts him, he does it at his own risk; he has no legal remedy
against him. On the other hand, if a man takes his books to the public officer, and de­
clares that he has given up all he has, and it does not appear that he has been doing
business, knowing he was a bankrupt, and after a strict investigation there are no sus­
picious circumstances, his creditors must sign his papers. Thus, the creditor is protected
without oppressing the debtor; the rogue is distinguished from the honest; and a person
is obliged, by a terrible penalty, to know the state of his affairs, and when once em­
barrassed, to refrain from speculating to retrieve himself.
'This law came into operation May, 1848, and it was not long before it caught some­
thing in the shape of an English concern, who pay about one-quarter of 1 per cent,
and whose partners are now expiating their offence in prison.
I suspect you could not get such a law at home. The 60 per cent would be rather
V O L . X X I I.-----N O . I .




8

11 4

Mercantile Miscellanies.

objectionable, in some places, and, besides, what would be the use of doing business,
if a man could not cheat his creditors ? It would be taking away one of the largest
profits of commerce.
There is a story told of a man here, who was once in prison for debt, under the old
law. When he had an opportunity, he said to his detaining creditor, who was paying
sixty guilders per month for his support—■
“ Now what is the use of your keeping me
here at such an expense ? Just give me thirty guilders a month, and let me find myBelf, and let the other thirty go toward writing otf the debt.”
The writer of this letter, who, it seems, arrived at Batavia on the 14th of September’
1849, gives an interesting table of distances on the route from New York to that place,
with the time occupied in performing the voyage, as taken from the ship’s log-books,
etc. This we shall publish in the February number of the Merchants' Magazine.

Ii\ A GOOD BUSINESS.
Many seem to think that success in life depends wholly upon the start they take,
and that if they can but have their bark rightly trimmed and squared with the cur­
rent, they may rest upon their oars and still be sure of their wished-for haven. If a
man once “ get into a good business,” they regard his fortune as made, without refer­
ence to his own exertions, and think that there can be no fear of the result. But the
contrary of this is quite as frequently true; and it is no uncommon thing to see the
finally prosperous man, encounter the butfetings of adverse storms at the beginning of
his career, and those who at first sailed smoothly along an unruffled sea, make ship­
wreck at last. Indeed, we may see the reason of this in the fact that the discipline of
early difficulties prepares the harassed mariner for final triumph, while the favoring
gales which have marked the course of others, have lulled them into a iatal security.
Perpetual mutability is characteristic of human affairs, and a season of calm should
blind none to the chances of a coming storm. We do not allude to this to dishearten
any who are sailing with us on life's troubled sea, or to excite coward fears. A storm
is not a shipwreck— the leaping waves dash harmlessly against the bow of the welltrimmed bark— aud a furious gale may but bear the skilful mariner more rapidly to
his destined port. We would have none shrink from an effort on the sea, because the
voyage is dangerous, but simply warn those whom a deceitful calmness may have led
into a careless indifference to the future.
The present is a time when merchants should be unusually careful, particularly in
giving credits. The past season has been a trying one through the country, and our
advice given to our readers a few weeks since to examine their ledgers, is daily grow­
ing of more importance. The visits of the epidemic throughout the country have al­
tered the standing and prospects of many country merchants, some of whom will come
to market to ask for credit. If any of them are unsound at present, this is the very
moment for them to stop, and farther credit should be refused. Let no one, in the
vain hope that their debtor may improve his position, add to the amount at risk by
farther sales. It is always better to pocket a loss at once which must be made, than
to postpone it with a risk of its increasing. A customer of doubtful credit ought to
have no place upon a merchant’s books. If the jobber trusts only undoubted custom­
ers, he will lose enough in the course of trade, but whenever there is room for doubt,
he should give himself the benefit of it, as the jury do a prisoner on trial, and refuse
the credit a-ked. This should be an invariable rule, never to be violated. And now
with regard to those who lmve been safe in the past, let there be renewed scrutiny
into their responsibility. That a man has been at some former period in a good busisiness, is no safeguard against his present insolvency. The foundations of many have
been sorely shaken. Some have had but a light trade, or anxious to keep up their ac­
tive sales, have entrusted their goods to irresponsible persons who will buy at any
season on credit. Such should be carefully watched, and if necessary stricken off the
roll of customers. This undertaking, simple as it may seem, requires courage, and
that too in a high degree. It is a difficult matter to bring our lips to a decided nega­
tive, when an old customer asks credit. Many a man has been ruined because he had
not the moral firmness to pronounce the little monosyllable. Its importance should,
therefore, be fully understood, and when judgment says “ N o ” the lips should not
shrink from echoing its verdict.— Merchants’ Gazette.




Mercantile Miscellanies .

11 5

A GREAT BUSINESS OR A SMALL BUSINESS.
A merchant, a manufacturer, or trader, observes a recent English writer, should
keep within his capital. The same applies to his talents. He should never under­
take more than he cau properly manage; the last error or loss being always on the
other side.
It may therefore be laid down as a maxim, that a small business, well conducted, is
more profitable than a great business, ill, or indifferently conducted; for in the one
case there is a gain, although it may be small, in the other most probably a positive
loss. This may be illustrated by a mistake sometimes fallen into by poor emigrants
to the west, who, having plenty of land for nothing, or cheap, are induced to bring
under tillage a large surface which they are unable to do justice to, when they would
have been much better off with a small surface, well cultivated ; the former scarcely
producing anything, while the latter would most likely have yielded a good return, or
crop. It is true in the general, the terms small and great business, must be under­
stood with considerable latitude, and with reference to a persons means and capabili­
ties— command of money and labor, as well as means of management. But it is easy
to perceive, that while many failures in business take place in default of the former,
there are not a few also, in respect of the latter.
Anxious indeed as traders always are to extend business intent upon gain, or too
often impatient of the slow returns of industry, it is a thing which not seldom happens,
that they undertake more than they can duly manage. More particularly dangerous
indeed, are a number of different avocations or engagements, commonly termed irons
in the fire, which confound and distract, and take up time (a thing to be particularly
guarded against) in passing from one to another. Hence the remark frequently made,
that those who do most business, do most ill.
We do not indeed decry, or wish to discourage enterprise; but are of opinion that
in all cases, men should be cautious in quitting a certainty for an uncertainty ; where
they are well, they should endeavor to keep well. For instance, if a shopkeeper is
thriving in a shop of mean appearance, in an obscure part of the town for which ho
pays little rent, the quitting of, for an expensive shop, in a more fashionable quarter,
becomes a question of serious consideration, as incurring a great hazard : such a mea­
sure may, indeed, sometimes be necessary, from the change in the place, either in
buildings, or fashion, the one including the other; and, indeed, so much is this a case of
circumstance, that the very neglecting of it may be an error, but it ought always to be
adopted warily, and after due deliberation— the number ruined by the species of am­
bition referred to, it being unnecessary to say.
The same must apply with greater force, as being a matter of greater importance
to entering into a new business, or changing one business for another; and although
we may be a little deviating from our subject, it may not be amiss here to state what
occurs to us in similar respect, with regard to a clerk, or, that is when he finds himself
comfortably placed, and satisfies his employers, he ought not to be tempted by an in­
crease of emolument, or higher wages, rashly to change a situation which has all the
appearance o f permanency, for one which may be of no long duration.
ROMAN MARKETS.
Waterton, the naturalist, relates that when in Rome he was more fond of visiting
the markets than the repositories of sculpture and paintings. I passed, says he, a
considerable portion of my time in the extensive bird-market of Rome. I must, how­
ever, remark, that the studio of Vallati, the renowned painter of wild boars, had great
attractions for me ; and I have now at home a wild boar done by him in so masterly
a style, and finished so exquisitely, that it obtains unqualified approbation from all
who inspect it. The bird-market of Rome is held in the environs of the Rotunda, for­
merly the Pantheon. Nothing astonished me more than the quantities of birds which
were daily exposed for sale during the season; I could often count over four hundred
thrushes and blackbirds, and often a hundred robin red-breasts in one-quarter of i t ;
with twice as many larks, and other small birds in vast profusion. In the course of
one day, seventeen thousand quails have passed the Roman custom-house; these
pretty vernal and autumnal travellers are taken in nets of prodigious extent, on the
shores of the Mediterranean. In the spring of the year, and at the close of summer,
cartloads of ringdoves arrive at the stalls near the Rotunda. * * As you enter Rome
at the Porto del Popolo, a little on your right, is the great slaughter house, with a fine




11 6

Mercantile Miscellanies .

stream of water running through it. It is probably inferior to none in Italy, for an ex­
pensive plan, and for judicious arrangements. Here some seven or eight hundred pigs
are killed on every Friday during the winter season.
Nothing can exceed the dexterity with which they are dispatched. About thirty of
these large and fat black pigs are driven into a commodious pen, followed by three or
four men, each with a sharp skewer in his hand, bent at one end in order that it may
be used with advantage. On entering the pen, these performers, who put you vastly
in mind of assassins, make a rush at the hogs, each seizing one by the leg, amid a gen­
eral yell of horror on the part of the victims. Whilst the hog and the man are strug­
gling on the ground, the latter, with the rapidity of thought, pushes his skewer be­
twixt the fore leg aud the body quite into the heart, and there gives it a turn or two.
The pig can rise no more, but screams for a minute or so, and then expires. This pro­
cess is continued until they are all despatched, the brutes sometimes rolling over the
butchers, and sometimes the butchers over the brutes, with a yelling enough to stun
one’s ears. In the meantime the screams become fainter and fainter, and then all is
silence on the death of the last pig. A cart is in attendance ; the carcasses are lifted
into it, and it proceeds through the streets, leaving one or more dead hogs at the door
of the different pork shops. No blood appears outwardly, nor is the internal hem­
orrhage prejudicial to the meat, for Rome cannot be surpassed in the flavor of her ba­
con, or in the soundness of her hams.

CHARACTER FOR INTEGRITY.
W e have somewhere seen a notice of a Rotterdam thread merchant who had accu­
mulated fifty thousand dollars by his own industry, punctuality and integrity, and it
was remarked of him that he never let a yard of bad thread go out of his hands, and
would never take more than a reasonable profit. By these means he acquired such
entire public confidence, that his customers would as willingly send a blind roan or a
child to buy for them as go themselves.
We refer to the case not to intimate that we have no such instances among our­
selves, but for the purpose of suggesting the great value to any business man of such
a character, and the exceeding agreeableness to dealers with him of the confidence he
inspires. And we affirm nothing extravagant in saying that the character for strict
integrity acquired, is of as much real worth to its possessor as the pecuniary savings
of his industry. Let such a man lose by any misfortune all his money, he is still a
man of capital, of weight of influence, and is the superior, on mere business calcula­
tions, of many a man of large monied means.
But the beauty of the thing is this, that any man, however small his business and
limited his capital, has just as good an opportunity of winning confidence as the
millionaire. Integrity in small things is even more impressive than integrity in great
things. And after all that men may say in praise of the enterprise, skill, shrewdness,
and tact of particular business men, there is one character towards which all minds in­
stinctively render their reverence— and that is, the man who would rather be honest
than wealthy, and who prefers integrity to gain.

TIIE ELECTRIC TELEGRAPH IN PRUSSIA.
The electric telegraph bureau returns the government a revenue of about one hundred
thalers a d a y ; it ought to be much more, considering the extent of the intercourse be­
tween three such cities as Berlin, Hamburgh, and Cologne; but the tariff is fixed too
high,— double the charge made on the English lines,— and the regulations are too intri­
cate to be gone through for any but the most important communication. The previous
submission of the despatch to the chief of the bureau; the reference to the president
of the police in case of doubt; the receiving the necessary order ; the writing, stamp­
ing, and sealing of all the forms (supposing any doubt to have arisen,) make it better,
in ordinary cases, to keep to the post, which is, in some instances that have been report­
ed, actually the quicker. Simplicity and despatch in any matter of business are not yet
German qualities. A telegraphic message was recently sent by a banker in London to
Leipsic over Madgeburgh ; at the same time, a letter was posted to the same address,
to make assurance doubly sure, and the precaution was a wise on e; the telegraphic
communication arrived half an hour after the letter was delivered.




Mercantile Miscellanies.

117

THE MORALITY OF LIFE INSURANCE.
“ But if any provide not for liis own, and especially for those of his own house, he
hath denied the faith, and is worse than an inhdel.”
Many persons have doubted the propriety of insuring their life, through a mistaken
notion that insurance is distrusting God or his protecting care. But no one doubts the
propriety of investing funds in safe and undoubted securities, that the heirs may derive
benefit of them. Yet, what is the difference of the two in respect to the government
and providential arrangements of our heavenly benefactor ? Why should not we trust
our property without any security ? Because, it is not rational, wise or judicious.
A life insurance is an investment of funds for the benefit of the heirs. It is nothing
more or less.
A man of the age of forty wishes to secure to his family $ 1,000. to protect them
from want in the event of his death. The house that he has labored to build for a
home to his family, stands on ground mortgaged to the person of whom he purchased it
for $1,000. He hopes in a few years to acquire a competency and discharge the mort­
gage. But, he has no lease of his life. Its brittle thread may be unexpectedly sundered,
and he may leave his wife and children destitute, whose support and care required all
his ability. The widow cannot pay the incumberance on the property, and must soon
be without a home. But,----------if the husband had made a deposit with a Life Insu­
rance Company of $32 each year, then at the time of his death his widow would have
been furnished at once with the means to pay the mortgage, and retain the possession
of a home that no creditor of her husband could wrest from her. Is not this providing
fo r his own? Is this distrusting God? Is it not employing the means by which the Pro­
vidence of God acts, to make safe and valuable deposit ? Has not lie set the bounds
that you cannot pass ? Are you careful in all your doings to accomplish the desire of
your heart ?-itSWhere is to be found a certainty ? In the insurance of the life, and in
that alone.
Will it not be to you a source of high gratification at the hour of dying, that while in
health you made that provision in a Life Insurance Company that will be valuable to
your family when you can render them no other aid ?
No one can doubt for a moment that money will give more effectual benefit to a
widow and her fatherless children, than all the mere sympathy of a selfish world.—
Brewster.
COMMERCIAL SWINDLING IN LONDON.
It is necessary again to warn the mercantile public against some dexterous persons,
who, by means of forged letters, and other documents, are endeavoring to obtain ad­
vances from foreign bankers and their connections in London. A case has just occur­
red in which a foreign letter, dated New York, purporting to be from Baron Roenne,
the representative of the German Central Power in the United States, was addressed
to a firm in London, and by means of which it was sought to obtain credit for $140,000.
The letter stated that Mr. Y. Greisheim had rbeen left sole executor to a brother in
Ohio, who had died with large landed possessions, besides $176,000, which were now
lying at Mr. V. Greisheim’s disposal at New York, and that this Mr. Y. Greisheim,
who was at present in Europe, would call upon the firm in question to make arrange­
ments so as to draw for the amount. Of course upon presenting himself Mr. V. Greis­
heim wished his draught on New York to be cashed, but upon this being refused he
was willing to wait while it was sent over for collection. The reply from Baron
Roenne was that he knew nothing of the parties, and the bill was accordingly sent
back protested. Meanwhile, however, the pretended Mr. V. Greisheim had started
from London to Paris, whence he had written to the London firm requesting them to
hold the proceeds of the bill, as soon as they should be received, at the disposal of his
brother-in-law, a Colonel V. Obenreiter, and having obtained their reply, stating that
his request should be attended to, he appears to have gone to Munich, where by mak­
ing use of his original story, coupled with the letter of the London firm, together with
another and subsequent letter (to which their signature has been forged) announcing
that they have placed the $140,000 at his credit, he has endeavored to negotiate his
draught at one o f the leading banking-houses for £3,000, adroitly professing not to de­
sire cash, but simply Frankfort paper to that extent. Here, however, he has also
been foiled, the bankers having taken the precaution of writing to London; but the
letters seem to have been so ingeniously fabricated, and the entire story so well got
up, that without the publicity wre have now given to the matter, it would be probable
some houses might ultimately be taken off their guard.




Mercantile Miscellanies.

11 8

OF PURCHASING MERCHANDISE FRAUDULENTLY OBTAINED.
A case of considerable general interest was recently decided before Judge Jones in
New York city. It seems that a man by the name of Morris Jacobs bought a valu­
able case of Sinchews of Messrs. Godfrey, Pattinmn & Co., for cash, paying them by
a sight draft on H. Pincus, of Philadelphia. He sent a porter to take the goods away,
and left three or four hours after, in the Sarah Sands, for Liverpool. Mr. Pincus de­
clined accepting the draft, and it was ascertained that Jacobs had cheated other par­
ties in the same way. The house thus defrauded, set about tracing the goods, and
found that the case valued at about $6,000, had been taken to the Carleton House,
where Jacobs boarded, and from thence had come, in some way, into the possess­
ion of Levi Drucker, 26 Cedar Street.
They visited Mr. Drucker’s room, at the Hotel de Paris, where they found a wrapper
whicli they identified, and on meeting that gentleman, he acknowledged possession, but
said that he had bought them in a regular way. Suit was immediately brought against
him for the goods. Judge Jones charged the jury that the evidence tracing the goods
directly from Jacobs to Druker, was defective, but the jury, being under the new code
judges of the law, as well as the facts, brought in a verdict for the plaintiffs for value
of the goods, with interest. Although this at first might seem to be hard upon the
innocent holder of merchandise honestly obtained, yet a moment’s reflection will satisfy
every reader that it is just.
I f a merchant purchases valuable goods of a total stranger, or of an acquaintance
even, under very suspicious circumstances, he should be made to understand that he
does so at his own risk, and proof of the honesty of the transaction must rest upon
him. Jacobs could not have had over three hours in which to make the sale and re­
ceive the money, and the transaction must have taken place at his room in the hotel, a
suspicious place for the location of a silk house. We trust this will put merchants
on their guard against purchasing goods which may have been stolen or obtained by
fraud.
THE ECONOMY OF EGGS, AND THE EGG TRADE.
Some very interesting experiments relative to the production of eggs, were made
about ten years ago by Mr. Mouat, of Stoke, near Guildford. He obtained three pul­
lets of the Polish breed, on the 1st December, 1835, which had been hatched in June
previous, and they commenced laying on the 15th of the same month. They laid from
the 1st December, 1835, to the 1st December, 1836, between them, 524. During the
year they consumed three bushels of barley, seventeen pounds of rice, and a small
portion of barley meal and peas, the cost of which amounted to about 16s. lOd. The
number of eggs being 524, gives about 31 eggs per every shilling expended, and, assu­
ming the weight of each egg to be one and a quarter ounce, we have a result of fortyone pounds of the most nutritious food that can possibly be procured at the low cost of
4£d. per pound; or if these eggs were, instead of being consumed, sold to a retailer, a
profit of about 100 per cent accrued to the producer. Out of 72,000,000 eggs annually
imported into England from France, Germany, the Netherlands, and other countries,
France contributes 55,000,000. Calculating the first cost at 4£d. per dozen, England
pays annually to France for eggs about £77,000.
OF DISCOUNTS ON MERCHANDISE.
A late number of the London Economist makes the following remarks on this
subject:—
“ There are many and serious practical losses sustained by want of a clear under­
standing o f the effect of discounts. The net cost of the £100 of goods, purchased by
A at 20 per cent discount, would be £8 0; the net cost of the same, purchased by B at
30 per cent discount, would be £70; the difference therefore, between these two sums
would be the measure of the cheapness of the goods of B, compared with the goods of
A : that difference is £10, which on £80 is 124 per cent. The subject is one of great
importance to illiterate persons, who very often, from great perseverance and ingenuity,
rise into very important positions in trade. We know an instance of a very deserving
person being ruined by a miscalculation of discounts. The article he manufactured he
at fir^t supplied to retail dealers at a large profit of about 30 per cent. He afterwards
confined his trade almost exclusively to large wholesale houses, to whom he charged




Mercantile Miscellanies.

119

the same price, but under discount of 20 per cent, believing that he was still realizing
10 per cent for his own profit. His trade was very extensive; and it was not till after
some years that he discovered the fact, that in the place of making 10 per cent profit,
as he imagined by this mode of making his sales, he was *-ealizing only 4 percent. To
£100 of goods he added 30 per cent, and invoiced them at £130. At the end of each
, month, in the settlement of accounts, amounting to some thousands of pounds with in­
dividual houses, he deducted 20 per cent, or 26 on each £130, leaving £104 net for
every £100 value of goods at prime cost, in place of £110, as he all along expected.
It is by far the simplest and best plan to conduct transactions at net prices, or subject
only to such moderate discount as may fairly apply to an early, in place of a distant,
payment.
SMUGGLING IN RUSSIA.
The following statements of smuggling, derived from a reliable source, will serve to
illustrate the influence of high or prohibitory tariffs on the manners and morals of a
people:—
The line of frontier between Prussia and Russia is becoming the seat of a formidable
system of smuggling, carried on by armed bands of men, who in some cases, after es­
corting their wagons to points within the Russian territory, have made their retreat
with such military precision and order, that it is believed they must have turned the
discipline acquired in the Prussian army to good account. The border country may
be described as in a perpetual state of war, and that of the worst kind; the Russian
preventive corps have the severest instructions, and carry them out in the severest
manner; but the smugglers are often more numerous and quite as well trained, and
know the ground perfectly, and thus set them at defiance. Unfortunately, another
“ border” practice has lately become more frequent— the smuggler bands have become
robbers. One of them, headed by a man named Krotinus, is now notorious ; it has
plundered the houses of several of the richer Russian landowners on the frontier, re­
turning across the line into Prussia to spend the proceeds. A party of this band re­
cently passed the day at a village wine-house, and were called out towards evening
by a man who proved to be the captain himself, “ for duty
he was mo3t particular in
inquiring whether his men had behaved respectably and paid for every thing !
OF THE MEASUREMENT OF FOREIGN DEALS.
The revenue authorities of Great Britain, having had under their consideration an ap "
plication from the Superintendent of the Grand Surrey Canal Docks, London, request­
ing that the ad-measurement singly of each deal exceeding twenty one feet in length,
required under the customs general regulation of October, 1843, may be dispensed
with, and that ten per cent only of each assortment of such deals may in future be
measured singly, and that the remainder of the importation may be delivered, and the
quantity calculated according to the average ascertained from the deals actually measur­
ed. The customs authorities have sanctioned the adoption of the proposed arrangement
with respect to deals and battens exceeding twenty-one feet in length, (not being deck
deals,) in those cases in which the parties interested in the disposal of the goods may
not object thereto, and orders have been issued for the measure to be carried into effect
accordingly. This privilege which was granted at the request of the Dock Company
with respect to the measurement of foreign deals imported into the port of London, has,
upon a request to that effect from one of the principal outports, been extended to all
the ports throughout the United Kingdoms, where the new mode of measurement for
the duties will be permitted, if desired from the present time.
SINGULAR COTTON SPECULATION.
A late number of Wilmer and Smith’s Liverpool Times furnishes an account of the
closing of a cotton speculation, which is almost without a parallel in the obstinacy and
fatuity which it exhibits. The following is a statement of the transaction, as we find
it recorded in the journal referred to above:—
“ A lot of cotton has been sold in our market, which was originally purchased during the speculative mania of 1825, and which has, consequently, been held for twenty-




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Mercantile Miscellanies.

four years, the owner refusing to sell for less than it originally cost. The results are
as follows: The price in 1825 was, we believe, Is. 9d. per lb .; the cost, with interest,
warehousing, <fec., when sold, 10s. 6d. The price realized was 7fd. The article, when
sold, was of excellent quality, and in good condition. We believe that the neighbor­
hood of Manchester furnished the sensible speculator.”
EXCERPTS FOR BUSINESS MEN:
OR, THOUGHTS AND OBSERVATIONS ON BUSINESS, FROM “ ACTON.”
T h e S h r e w d M en. Men who are so shrewd and well-practised in the ensnaring
arts of business that no one can possibly circumvent them, are very often self-circum­
vented in their efforts to surpass others. Nothing is more common than for those per­
sons to deceive themselves, whom nobody can deceive. Thus the simple and the wise
are brought at last to occupy the same level, for the cunning of the wise is taxed for
the simplicity of the simple. Moreover, in business, as in politics, the crafty are not
the profound.
O ve rreach in g in B usiness.
In dealing, we must in most cases submit to the
dealer. The advantage is naturally on his side, but he takes double advantage of an
advantage; and frequently, if we buy only an egg, or an oyster, something extra
must be paid for the shell; if a bundle, a trifle for the string; and twenty per cent
more for the rent of the store. If we have a knack of buying without money and are
booked, then the double and single entry process is served upon us.
A B ad B usiness . Khol, in his travels in Russia, observes, that while at Moscow
he happened to take a stroll through one of the markets of that city. He saw there
a man, who sold frozen fish by the pound. “ Friend,” said he to him, “ how do you
come on in your business ?” “ Thank God,” replied the man, “ very badly.”

DISCOVERY OF ANCIENT COINS IN THE ISLE OF WIGHT.
A most curious and interesting discovery of coins of the 14th century was recently
made by the workmen employed in erecting some buildings at the back of the prem­
ises of Messrs. Perress and Dallimore, drapers, of High-street, Newport. They consist
principally of the pennies of the reigns of Edward I., II. and III., of the mints of Lon­
don, Canterbury, York, Durham, Berwick, Newcastle, Lincoln, St. Edmund's, Bristol,
Dublin, and Waterford, intermixed with many of the reign of Alexander of Scotland.
About 2,500 are in the possession of Mr. Perress, and it is known that very many more
were taken by the workmen, previously to his becoming aware of the discovery. So
large a horde of coin, of one period, has not before been discovered in the island, and
is equalled only by that brought to light some few years since at Buriton, in Hamp­
shire, and which consisted exclusively of pennies of the Conqueror. From the circum­
stance that all the coins now found are immediately anterior to the time of King
Richard II., the period of the deposit may not unreasonably be referred to the burning
of Newport by the French, in the second year of the reign of that monarch.
LIVERPOOL TRADE WITH AFRICA.
W e learn from late Liverpool papers that it is in contemplation by some Liverpool
merchants to form an African Company, with a capital of £100,000, in 2,000 shares of
£50 each. The following is from the programme:— “ Deposite 10s. per share. Liabili­
ty to extend only to amount of shares. No dividends to be made until a reserve fund
of £50,000 has been accumulated. A. call of £10 per share to be made as soon as the
committee are formed; and a further call of £10 in three months afterwards, a call of
£10 in nine months, and the remainded as the committee may appoint as requsite or re­
quired. To be under a committee of management of five individuals to be selected from
the shareholders. Operations to com-mence when 1,000 shares are subscribed for.”
CATTLE IMPORTED INTO ENGLAND FROM IRELAND.
It appears from the London Inspectors of Imports and Exports, that in 1848 there
was imported into Great Britain, from Ireland, 189,960 oxen, bulls, and cows; 9.992
calves, 324,179 sheep and lambs, and 106,407 swine, and in 1849, 196,042 oxen, bulls
and cows, 7,080, calves, 255,682 sheep and lambs, and 110,787 swine.




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The Boole Trade.

TIIE BOOK TRADE.
1. — A Copious and Critical English-Latin Lexicon, founded on the German-Latin
Dictionary o f Dr. Charles Earnest Georges. By the Rev. J oseph E smond B id dle ,
M. A., of St. Edward Hall, Oxford, author of a “ Complete Latin-English Diction­
ary,” ike., and the Rev. T homas K er ch ev er A rn old , M. A., Rector of Lynden, and
late Fellow of Trinity College, Cambridge. First American edition, carefully revised,
and contianing a copious dictionary of proper names, from the best sources. By
C h ar les A nthon , Professor of the Greek and Latin languages in Columbia College
Royal 8vo., pp. 754. New York: Harper & Brothers.
A slight inspection, as is well remarked, in the preface to the London edition of this
work, will show that it aims at a far higher standard of accuracy and completeness,
than any of its English predecessors. Indeed, says the same authority, it can hardly
be said to have had any predecessor in its kind; for no English Latin Dictionary hitherto
published, has ever professed to give any account of the use of words set down, their
synonymical distinctions, the niceties connected with their employment by classical
writers, with such remarks and corrections as a cursory glance at any important word
in this work will prove that it has at least attempted to supply. The learned, and al­
most Herculean labors, in the department of classical literature, and the eminent suc­
cess of Dr. Anthon, the American editor, in former works, are circumstances well cal­
culated to inspire confidence in the character of the present enterprise.
2. — The Whale and His Captors. By the Rev. H en ry T. C h ee v e r . Harper &
Brothers.
This little work, which may be properly considered a biography #f the largest ani­
mal in the world, will gladden the heart of many a youth, whose young mind, filled
with the imaginary delights of a sea life, eagerly seizes upon every description of its
perilous incidents. It would be fortunate, were they always to find so much truth as
in this; the dangers, “ disagreeables and disgustings,” properly added, which is usually
felt by boys of a certain age to go to sea. Not only is it an excellent work, full of
interest for youth, for whom its many excellent engravings particularly adapt i t ; but
it will be found instructive to more mature minds. The first chapter condenses the
facts and figures of the whale fishery, from which, among other statistics, we find that
six hundred and ten vessels, amounting to 196,113 tons, are engaged in the American
whale fishery, being much less than the number employed in 1844, though no reason
for this diminution is stated. The crude value of the fishery was, in 1848, $7,392,488.
3. — Fairy Tales from all Nations. By A nthony R. M ontalba . With twenty-four
illustrations. 12mo., pp. 359. Harper & Brothers.
The materials of this collection of tales were selected, as we are informed, from
more than a hundred volumes of the fairy lore of all nations. Accustomed as we have
been to travel in the dusty paths of every-day life, it is not surprising that our taste
does not permit us to appreciate fairy tales, although in imagination we sometimes
wander into the regions of the supernatural. Still we are inclined to think with Mrs.
Embury, that an attractive fairy tale, so thoroughly pervaded by a fine moral truth,
that the youthful mind cannot but imbibe its influence, is of far more effective benefit
than an overstrained moral tale, where improbable incidents, and. exaggerated ideas
of excellence, tend to give false views of life, and its duties. The volume contains
some thirty tales, from almost as many different languages, including the Arabic, Sla­
vonic, Hebrew, German, Sweedisli, Sanskrit, Hungarian, Norman, Bohemian, Fran­
conian, Italian, &c. The admirable illustrations of Richard Doyle, add not a little to
the attractiveness of the collection.
4.— The History o f A lfred the Great.
York: Harper & Brothers.

By J acob A bbott.

12mo., pp. 270.

New

It is the design o f this volume, to exhibit, in a popular and compressed style, the
biography o f a prominent king of England, and one of the principal founders of the
British monarchy. The narrative of these facts associated with his career, and which
is found in the more extended historical works regarding that country, is here set
forth in a clear and comprehensive form, and the book is illustrated by several en­
gravings, which portray, in some degree, the character of the period o f which it treats.




122

The Book Trade.

5-— The Miscellaneous Works o f Oliver Goldsmith. Including a Variety o f Pieces
now first Collected. By J ames P rior , Fellow of the Society of Antiquaries, author
of the Life of Goldsmith, Life of Burke, etc., etc. In four volumes. 12mo., pp.
586. New York: George P. Putnam.
Prior to the appearance (in 1837) o f the present collection of the miscellaneous
works of Goldsmith, a writer who has long taken his stand, both in verse and prose,
as an English classic, but one attempt, anonymous, had been made in that direction.
It proved, however, to be quite imperfect, as all who will take the trouble to compare
it with the carefully edited collection of the indefatigable Prior, whose immense
research and scrupulous fidelity are so highly and deservedly commended by Irving,
will readily perceive. The first volume of Mr. Putnam’s edition, before us, contains
all the essays and papers of Goldsmith, which appeared in “ The Bee,” a weakly paper
commenced October 6th, and terminating with the eighth number, November 24th,
1759, on diverse subjects, the inquiry into the state of the polite learning in Europe, and
the prefaces to his histories and various other works, etc. Both the old and new ma­
terials collected by Mr. Prior, and embraced in this edition, are accompanied with
brief notes, clearing up the local and temporary allusions in which they abound, and
which another generation would have rendered it impossible for any diligence to ex­
plain.
6. — Orations and Occasional Discourses.
By G eorge W. B ethune , D. D. 12mo.»
pp, 428. New York : George P. Putnam.
The author of this volume enjoys a wide reputation in this country as a pulpit ora­
tor, and a public lecturer. It contains twelve discourses, orations and addresses de­
livered before literary, and other societies. The third, in the collection entitled “ Lei­
sure, its Uses and Abuses,” delivered before the Mercantile Library Association in
1839, was originally published in the first volume of the Merchants’ Magazine. A l­
though they are not marked for any extraordinary degree of originality of conception,
there is a grace and scholarly elegance in their composition, that will commend them
to readers of a refined and cultivated taste. The admiring friends of the author will
not object to the “ repetition of some main thoughts, in several of the discourses.”
7.— Success in L i f e ; a Series o f Books, Six in Number, each Complete in Itself •
The Successful Merchant, Lawyer, Mechanic, Artist, Physician, Farmer. To con­
sist o f Biography, Anecdotes, Maxims, dtc. By Mrs. C. T uthill. New York:
George P. Putnam.
The present volume is the first of a series of books, designed to illustrate the causes
and principles of success in the various professions and occupations of life. It is en­
titled “ The Merchant.” Each chapter is devoted to a distinct subject, but all bearing
upon the author’s design of exhibiting those principles of action and traits o f character
which go to form the upright, enterprising and successful merchant. The materials are
derived from the mercantile biographies that have from time to time been published
in the Merchants' Magazine, and other sources. These she has contrived to work up
into an agreeable and instructive volume, that is well calculated to stimulate the young
who aspire for distinction and success in mercantile pursuits.
8. — The King o f the Hurons. By the author of the “ First of the Knickerbockers,”
and the “ Young Patroon.” New York: George P. Putnam.
The King of the Hurons, says the author, is a story of civilized rather than savage
life, notwithstanding the seeming indication to the contrary contained in its title, and
those of its readers who are familiar with the events of the age in which its scenes
are supposed to have occurred, will readily remember the historical personage from
whom the idea of its principal character has been derived. The deserved popularity
of the previous tales of this comparatively new candidate for public favor, will doubt­
less secure for the present work a wide circulation— but not wider than it deserves.
9. — Oliver Goldsmith; a Biography. By W ashington I r v in g . With Illustrations.
New York: George P. Putnam.
We noticed this charming book, on its appearance, some months since, when pub­
lished in connection with the complete works of Mr. Irving. The present edition is
more ample in its dimensions, and is copiously and beautifully illustrated with scenes
drawn from the varied life and occupations of the clever, kind-hearted Goldsmith,
graphically portrayed by Prior, and his last and most graceful biographer, the author
of the present volume. It affords another illustration of the taste and liberality evinced
by Mr. Putnam in the production of elegant books.




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10. — Women o f the Old and New Testament: a Series o f Portraits. With Characterestic Descriptions. By several American Clergymen. Edited by W illiam B.
S pragu e , D. D. Eighteen Original Designs engraved expressly fur this Work. 4to.
New York : D. Appleton <fc Co.
This is one of the most magnificent publications ever, produced in the United States.
Elegant and beautiful as was the “ Women of the Bible,” issued some year or two
since, by the same enterprising publishers, this is an evident improvement on that
work, in all that constitutes artistic beauty and completeness; and, as we are informed,
the uncommon favor with which that work has been justly regarded by those most
competent to estimate its merits, induced the publishers to offer to the public another
o f the same general character. The former work was confined to the characters sup­
plied by the Old Testament, while the present has taken the larger number of its sub­
jects from the New. The volume before us contains twenty-eight plates, from draw­
ings by G. Staahl, engraved in the highest style of the art, as follows:— “ Virgin and
Infant Saviour;” “ S a r a h “ E l i z a b e t h “ M i r i a m “ Anne the P r o p h e t e s s “ Rah a b “ Herodias;” “ The Levite’s W ife;” “ Zepporah;” “ The Canaanitish Woman;”
“ The Witch of Endor ;” “ Daughter of Jairus;” “ Widow of Nain ;” “ Michael;” “ Mar­
tha ;” “ Mary Magdalen,” and “ Bathsheba.” The letter-press illustrations are furnished
by living divines of different denominations, as follows:— W. Ingraham Kipp, D. D .;
Erskine Mason, D. D .; William B. Sprague, D. D .; Rev. Charles Wadsworth; Rev.
E. N. Kirk; Rev. B. A. W ood; E. Haller, D. D .; N. S. S. Bemen, D. D .; Right Rev.
J. P. H. Henshaw, D. D .; John Todd, D. D .; Thomas Smyth, D. D .; Samuel Hansen
Cox, D. D .; Right Rev. J. H. Hopkins, D. D .; Rev. J. F. Stearns ; Rev. Robert Hallam ; Nicholas Murray. D. D., and Rev. R. S. Storrs, jr. The sketches are something
more than a mere outline of the history of the individuals to whom they relate. “ They
aim to bring out those great lessons of truth and wisdom which, in some form or other,
lie embodied in all their characters, and which are adapted to form the mind to virtue,
usefulness, and immortal felicity.” They of course exhibit great diversity of style ; but
are probably among the best efforts of their authors. The engravings would do credit
to that model of artistic excellence, the “ Art Journal;” and the letter-press, paper,
binding, &e., afford a fine illustration of the tas e and liberality of the publishers, and
are in perfect keeping with the general excellence of the -work.
11. — Hearts and Homes; or Social Distinction.
A Story. By Mrs. E llis , author
of the “ Women of England.” 8vo., pp. 714. New York : D. Appleton & Co.
Few writers o f domestic tales, designed to illustrate the moral and social virtues of
every-day life, in the present day, have succeeded in securing so wide a circle of read­
ers, as the author of the present volume. Though more elaborate than any preceding
work from the same pen, it will, we presume, be read with equal interest by all who
have been gratified and instructed by like labors in the same department of literature.
Without exhibiting any remarkable "degree of vigor, or portraying any fine spun tran­
scendental ideas of life, her writings inculcate those ordinary every-day morals and man­
ners so intelligible to the popular mind, in England and the United States.”
12. — The Four Gospels; Arranged as a Practical Family Commentary fo r Every
D ay in the Year. By the author of “ Peep of Day,” <fcc. Edited, with an introductory
preface, by S tephen H. T yng , D. D., Rector of St. George’s Church, New York. Il­
lustrated with twelve highly-finished engravings. 8vo., pp. 548. New York : D.
Appleton & Co.
Dr. Tyng recommends this work “ in a very cordial and unqualified manner,” as well
calculated “ to open the precious and imperishable blessings of the Gospel to those who
familiarly use it.” The comments on the Gospel are of course in harmony with the
religious tenets and sentiments of that earnest divine, and eloquent and popular
preacher.
13. — Home Recreation; a Collection o f Tales o f Peril and Adventure, Voyages and
Travels, Biography, Manners and Customs, Poetry, and other Entertaining Sketches.
A new Gift Book fo r Young Readers. By G randfath er M er r ym a n . With Col­
ored Illustrations. New York: D. Appleton & Co.
The design of this work, as may be inferred from the title, which we have quoted
at length, is to interest as well as amuse; to excite the imagination through the
medium of the feelings. It embraces in its range of subjects almost every variety
of reading, tales of adventure and peril, voyages and travels, biography, natural his­
tory, sporting and hunting sketches, new riddles, poetry, and a variety of miscellany.




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14. — Poems and Prose Writings. By R ichard H enry D ana. In two volumes. 8vo.,
pp. 443 and 440. New Y ork : Baker
Scribner.
These volumes contain the prominent efforts of one of the most distinguished poets
and classical prose writers in this country. The poems and prose writings in the first
of these volumes, with a few additions, were embraced in a collection published in
1833, including the series of tales published under the general title of the I dle M an.
The second volume, now first published in a collective form, embraces articles upon
several subjects, which have been contributed to the North American Review, and
other leading periodicals. It is a gratifying feature of the recent enterprises of our
publishing houses, that the labors of our more eminent authors are thus incorporated
in a permanent form. It is by such means that their actual merits can be most prop­
erly appreciated. The leading efforts of high genius, are admired, like beautiful works
of sculpture, or painting, and such authors as Dana, Willis, Bryant, Longfellow, and
Lowell, are brilliant gems, worthy of enduring caskets. The handsome style in which
these volumes are produced, is creditable to the taste and liberality of these enter­
prising publishers.
15. — The Brilliant: A Gift f o r 1850. Edited by T. S. A rthur. 8 v o ., pp. 300. New
York: Baker tfe Scribner.
We regret that this annual was received too late for notice in our December issue;
for it is the first appearance of a new candidate for public favor, and merits such en­
couragement as will secure its annual visits. Brilliant binding, beautiful pictures, fine
paper, and clear and handsome print, although constituting the material of the book,
so far as its manufacture is concerned, is by no means its chief excellence, or its most
valuable characteristic— exquisitely beautiful, and artistic as are its illustrations, “ not
the less excellent and beautiful are the literary portions.” A ll the engravings, fifteen
in number, are line and stipple, the works of eminent artists, and finished in the most
elaborate style. If any of our readers have delayed, in this “ festive season of the
year, when kind feelings flow forth in gifts, tokens, and remembrances,” to “ supply
the demand” thus suggested, we will venture to recommend them to examine a copy
of the “ Brilliant,” and leave the decision to their taste and judgment, confident that
the result will be such as to meet the approbation of the worthy publishers.
— Sacred Scenes and Characters. By J. T. H eadley , author of “ Sacred Moun­
tains,” <fcc. With original designs by Dailey. New York: Baker & Scribner.

16.

The Bible, like fine gold, is capable of a wide expansion. Its comprehensive truths
furnish material for an almost infinite variety of illustration. It is full of scenes and
sketches given only in outline, the filling up of which, is left to the inspiration or the
imagination of the reader. In the present work, Mr. Headley, leaving the fields of
dogmatic theology, and of ethics,.takes some of the striking or remarkable scenes and
characters of the sacred historians, and expands them into glowing pictures, not, how­
ever, forgetting the great truth each outline is designed to illustrate or enforce. The
high-wrought, and, withal, graceful and graphic style of the author seems peculiarly
well adapted to the scenes selected, some of the most thrilling and pathetic that the
wonderful book, on which they are based, embraces. The book is published in the
style of the annuals, in so far as its typography and external appearance are concerned,
and is beautiful enough in its material form, and pure enough in its spiritual essence,
for the drawing-room, or “ center-table,” o f any of our most orthodox friends.
17. — The Miscellaneous Works o f the Rev. J. T. Headley, with a Biographical Sketch
and Portrait o f the Author. 2 Vols., 12mo., pp. 322 and 319. New York: John
S. Taylor.
These two volumes embrace the prominent contributions of the author to the lead­
ing periodicals of the day. Mr. Headley’s productions enjoy a wide popularity. Few
writers possess, in a more eminent degree, the faculty of impressing their own glow of
feeling upon the minds of their readers. He carries his reader along with him through
his high-wrought, and sometimes thrilling scenes. The reader does not find time to
stop; and if he stumbles, we stumble too, and are up again and on. Mr. Headley’s
delineation of the character of Napoleon, in the “ Waterloo” miscellany, is not the Na­
poleon of his later, and more elaborate account of that extraordinary man. The for­
mer was written for the “ Christian Parlor,” and the latter to meet the wants of the
popular mind. Few writers of the present day have attracted more attention. The
present volumes contain some of his happiest efforts of the descriptive character.




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18. — Leavitt's Reading Series. By J oshua L eavitt. Boston : John P. Jewett.
This series consists of four books, namely, “ The Primer; or, Little Lessons for
Little Learners,” “ Easy Lessons in Reading for the Younger Classes in Common
Schools,” “ Reading Lessons for the Use of the Middle Classes in Common Schools,”
and “ Selections for R-eading and Speaking for the Higher Classes in Common Schools.”
Mr. Leavitt starts with the settled axiom that “ there is no royal road to learning’” ex­
cept that acquired by “ dint of repetition.” His first book is, therefore, designed “ to
furnish an arrangement of lessons, at once convenient for the drilling process,” and cal­
culated to “ aid those associations of ideas, and that systematic progress, from lesson to
lesson, which may make it easier for our little friends to climb the first round in the
ladder of learning.” In the second book, “ Easy Lessons,” he has succeeded in making
“ such a selection of pieces as must engage the attention and interest the mind of
children, and lead them naturally into an animated and graceful style of reading.” The
third book furnishes similar advantages to the middle classes. It contains nothing
“ that can give reasonable offense to any deserving portion of the community— nothing
that is immoral or irreligious— nothing adverse to the welfare of mankind, or incon­
sistent with true patriotism.” The fourth, possesses all the moral and intellectual char­
acteristics of the preceding numbers of the series, and is evidently “ prepared with
great care, both in making up the elementary exercises, as well as in selecting the les­
sons for reading and speaking.” The whole series will bear a careful and critical ex­
amination. Every page of it bears the impress of the author’s untiring industry, good
sense, and correct taste. Indeed, we have never examined a series of books better
adapted to promote the objects for which they were designed than this of Mr. Leavitt,
and we should rejoice to learn that they were universally adopted in all our common
schools.
19. — Sketches o f Reforms and Reformers o f Great Britain and Ireland.
B. S tanton. 12mo., pp. 393. New York : John W illy.

By H enry

It appears to be the aim of Mr. Stanton to exhibit a summary view of the most im­
portant general reforms which have been effected or attempted in Great Britain and
Ireland, from the period of the French Revolution down to the present time. Prom­
inent popular movements are noticed in their order of time, and in connection with
each are sketches, more or less full of persons who bore a leading part in them. “ It
is,” we quote from Mr. Stanton’s candid preface, “ an humble attempt to make some of
the reformers of America better acquainted with some of the reformers of the Old
World— to show that the Anglo-Saxon love of liberty, which inspires so many hearts
on both sides of the Atlantic, flows from the same kindred fountain— to prove that,
though when measured by her own vaunted standards, Great Britain is one of the most
oppressive and despicable governments on earth, her radical reformers constitute as
noble a band of democratic philanthropists as the world has ever seen.” The work is
written in a strong and spirited style, and the author gives utterance to the generous
impulses of his warm and manly soul in “ thoughts that breath and words that burn.”
W e heartily commend the volume to all who have any faith in human progress, or who
desire that the Right should supplant the Wrong.
20. — The Western World, or Travels in the United States, in 1846 to 184*7; Exhibit­
ing them in their Latest Developments, Social, Political, and Industrial, including a
Chapter on California. By A lexander M ackay, Esq., of the Middle Temple, Bar­
rister at Law. 2 vols., 12mo. pp. 312 and 316. Philadelphia: Lea & Blanchard.
Mr. Mackay spent some years in the United States, before he undertook the journey
described in this work. A circumstance, which afforded him every opportunity of
studying the American character in all its national, and most of its individual manifes­
tations— of acquainting himself with the different spheres of society, and with the
manners and domestic habits of our people, and of observing the workings of our com­
plicated political machine, from the administration of Federal affairs, to the supervision
of those of a township—from the election o f a President, to that of the lowest office
in the gift of a country village. The journey, upon which the work is made, was com­
menced in 1846, when he visited America for the second time, residing several months
at Washington, during a critical period in the international affairs of Great Britain and
the United States. Under such circumstances, we are not surprised to find a fair and
candid account of the social, political, and industrial development of the country. It
is, in the main, the most unprejudiced work relating to our country and its institutions,
from the pen of an Englishman, that we have ever read.




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21. — The Illustrated Atlas and Modern History o f the World, Geographical, Politi­
cal, Commercial, and Statistical. Edited by R. M ontgomery M artin , Esq., author
of the “ History of the British Colonies.” London: J. & F. Tellis. New York: J.
B. Ford.
'
We have received nine parts of this atlas, by far the most beautiful production of
its class that has ever come within the reach of our observation. Each part consists of
two illustrated colored maps, engraved on steel, and accompanied by four large pages
of descriptive letter-press, exhibiting an outline of all the more important geographi­
cal, statistical, and commercial facts and features of the several kingdoms and coun­
tries, in a clear and comprehensive form. The nine numbers before us embrace maps
o f the Eastern Hemisphere, Cabool, the Punjab and Beloochistan, Austria, Mexico,
California and Texas, Northern Italy, Western Hemisphere, Denmark, Southern Italy,
Prussia, France, Germany, Russia in Europe, the British Isles, Spain and Portugal,
Sweden and Norway, China, Belgium, and Turkey in Europe, all in the order we have
named them. The maps were drawn and engraved by J. Rupkin, from government,
and other authentic sources, including all new boundaries, discoveries, and railways of
which accounts have been received in London to the time of going to press. The space
on each map is taken up with views of public buildings, etc., executed in a style of art
that would do credit to the skill and taste usually displayed in the “ Art-Journal.” The
work is as cheap as it is beautiful, the numbers being sold at 25 cents each, so that the
whole work, with 32 maps and the letter-press, will cost but $8 when completed.
22. — Ten Discourses on Orthodoxy. By J oseph H enry A llen , Pastor of the Unita­
rian Church, Washington. 12mo., pp. 227. Boston: Crosby <fc Nichols.
W e have read almost theology enough in our day to “ make a preacher,” Indeed,
as Franklin would say, it has been one of the errors of our life. The dogmas of “ Calvin­
ism,” “ Orthodoxy.” or “ Unitarianism,” never, we apprehend, made us, or anyone,
more truly religious, charitable, just, humane, or virtuous. We are willing, nay, de­
sirous of accepting and practising whatever is good, and true, and practicable, in any
aud every creed. But this is not the place either to discuss the subject or express our
opinion as to the truth or error of this or that dogma: but there are those who take
an interest in theological discussion, and such will find in this volume the Unitarian
side of the question, fairly stated and ably defended. The author of these discourses
regards “ Orthodoxy not merely as a false or defective system, but as standing in the
way of a more broad and positive conception of Christianity.” The volume contains
ten discourses, devoted to a discussion of the prominent points at issue between the
“ Orthodox ” and the “ Unitarian ” theory of Christian faith. The first two discourses
are devoted to a statement of the “ Orthodox Theory of Christianity,” and the author’s
objections to that theory, followed by sermons on the “ Trinity,” the “ Deity of Christ,”
the “ Vicarious Atonement,” “ Depravity of Human Nature,” “ Eternal Punishment,”
“ Scripture Infallibility, etc.
23. — Vegetable D iet: A s Sanctioned by Medical Men. and by Experience in all Ages,
Including a System o f Vegetable Cookery. By W jlliam A . A i-cott, author of the
“ YToung Man’s Guide,” “ Young Woman’s Guide,” “ Young Mother,” “ Young House­
keeper.” 12mo., pp. 312. New York: Fowlers Jr Wells.
This appears to be a new and revised edition of a work prepared and published by
Dr. Alcott, some ten or twelve years ago. The original intention of the author, as we
learn from the preface to the present edition, was simply to show the safety of a vege­
table and fruit diet, both for those afflicted with many forms of chronic disease, and for
the healthy. As the author proceeded in the investigation o f the subject, he became
convinced that he ought to go further, and show its superiority over every other. This
he has attempted to do, with what success, we are not prepared to say. The volume
embraces the testimony of more than a hundred individuals, besides that of societies
and communities, among whom are many persons of considerable distinction; some
fifty of them either medical men, or such as have made physiology, Ac., a leading or
favorite study.
2J.— Chronic Diseases; especially Nervous Diseases o f Women. By D. Rosen. Trans­
lated from the German, by C harles D umming. New York: Fowlers <fc Wells.
Without endorsing all that the author of tl .is volume, has put forth, we can heartily
commend it to general perusal, believing, as we. do, that it contains many valuable sug­
gestions, and is, on the whole, calculated to promote not only the physical, but the
moral and intellectual happiness of the human race.




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25. — The Annals o f the English Bible. By C hristopher A nderson. Abridged and
Continued by S amuel I ren^eus P rime, Secretary of the American Bible Society.
8vo., pp. 549. New York: Robert Carter & Brothers.
Prior to the publication of this volume in 1845, no connected history of the English
Bible had been published either in England or the United States, a deficiency to be
regretted, if we take into view the heart stirring incidents, the frequent peril of life,
and the hair-breadth escapes its history involves. The English Bible, it is well re­
marked by the author of the present work, at this moment is the only version in ex­
istence on which the sun never sits. Commencing with a brief summary of the ages
which preceded any printing of the. Scriptures in the English tongue, the author traces
more elaborately its history through a period of some three hundred years, in Eng­
land, Scotland, and North America, bringing it down to our own time. The value of
such a work, in a literary as well as theological point of view, will scarcely be disputed
by any one at all familiar with ecclesiastical history from the time of Tyndale, the
original translator, or at least who regards the Bible as containing a divine revelation
touching man’s, duty and destiny. Those who regard it merely as a record of portions
of the human race through a long series of ages, will not find it entirely void of interest.
26.— History o f the Puritans in England, and the Pilgrim Fathers. 12mo., pp. 508.
New Y ork: Robert Carter Brothers.
This volume embraces two works, namely, the Puritans in England by the Rev. W.
H. Stowell, Professor of Theology, Rotherham College, and the Pilgrim Fathers, by D.
Wilson, F. S. A., Scotland, author of “ Cromwell and the Protectorate,” etc. The first
is intended to compress within narrow limits the stoiy o f the English Puritans, by
weaving into the tissue of the general narrative some biographical details respecting
the men who bore that name. The writer professes to have consulted the best author­
ities on both sides o f the great controversey of which Puritanism was the result. He
aims at fairness and candor, and, although not entirely divested of the tone of an ad­
vocate and admirer of the Puritan character, it is less eulogistic than some other works
o f the same description. The second work “ The Pilgrim Fathers,” exhibits their vir­
tues by a narrative of their deeds, and an exposition of the principles of which they
were actuated, expanding into a somewhat comprehensive view the remarkable results
of English Puritanism. The work will doutless obtain a more extensive circulation
among the descendants of the Pilgrims than it has in the United Kingdom. \
27. — Pastorial Reminiscences. By S hepard K. K ollock. With an Introduction, by
A. Alexander, Professor in the Theological Seminary, at Princeton, New Jersey.
This volume contains a detailed account of several interesting cases of experience
which occurred in the pastorial life of the author, and of which he was a witness. As
two of the narratives relate to seamen, it is hoped that it will circulate among that
class o f people, “ and be useful to many both as containing a warning from the exam­
ple of the ‘ Naval Apostle,’ and encouragement from that case of conversion which
was proved to be genuine by the fruits of holiness wliicli ensued.”
28. — The Crocus; a Fresh Flower fo r the Holidays. Edited by S arah J osepha
H ale. Illustrated with thirty-two engravings, from original designs. New Y ork:
Edward Dunigan.
This beautiful volume contains some seven or eight stories, translated from the Ger­
man of Christopher Von Schmid, one of the best and most popular writers for the
young in Europe, interspersed with several poems from Miss Gould, Mrs. Howitt, Mrs.
Sigourney, Mrs. Hale, and Mrs. Osgood. Innocence and love, truth and industry, obe­
dience and piety, are the graces and qualities that our young friends will learn with
delight from the perusal of these well-told tales. The illustrations are chaste in de­
sign, and artistic in execution.
29. — Dunigan's Popidar Library o f Instruction and Amusement. New York: E.
Dunigan <fc Brother.
The eleventh, twelfth, and thirteenth numbers of this beautiful little library embrace
three as amusing and instructive stories as are to be found in the English language.
The numerous engravings are among the best that we have seen applied to the
illustration of juvenile books.
30. — Sidonia, the Sorceress; the supposed Destroyer o f the whole Reigning Ducal
House o f Pomerania. By W illiam M eeniiold, author of the “ Amber Witch.’'
New York: Harper <fc Brothers’ Library of Select Novels.




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31. — The A rt Journal. London and New York: George Virtue.
The illustrations of the November number of this splendid work consist of three
masterly engravings on steel, viz., the “ First Ear-Ring,” and the “ Dutch Ferry,” both
from paintings in the Vernon Gallery; the former engraving by W. Greatback, and
the latter by R. Wallis. “ Michael and Satan,” the third illustration on steel, was en­
graved bv W. Roffe, after the Group in Marble, by J. Flexman, R. A. “ The Death of
Marmi onand a “ Summer day’s Retreat,” from passages in Milton and Thompson, are
as beautiful in design as they are finished in execution. There is no falling off either
in the artistic or literary department of this noble work.
32. — Wandering Sketches o f People and Things in South America, Polynesia, Cali­
forn ia , and other places visited during a Cruise on board o f the United States ships
Levant, Portsmouth, and Savannah. By W illiam M axwell W ood, M. D., Surgeon
United States Navy, late Fleet Surgeon of the Pacific Squadron. Philadelphia:
Carey and Hart.
The author of this work, from having been officially associated with the naval ser­
vice, possessed a favorable opportunity of observing the countries and scenes which he
describes. He has accordingly given to us numerous very interesting sketches of those
observations made in South America, Polynesia, and California, as well as other places.
A portion of those* countries has attracted a considerable degree of interest from our
recent relations with its territory, and we have no doubt that the work will be re­
ceived with favor.
33. — Longs' Library o f Select Novels. 8vo. New Y o rk : H. Long &, Brother.
We have received five numbers of this series of novels, embracing “ Mothers and
Daughters,” by Mrs. Gore, and “ The Dowager, or the new School for Scandal,” by the
same author; also, “ Ellen Percy, or Discipline,” by Mary Brunton; “ Jeremiah Parkes,”
by Mrs. Mackenzie Daniel; “ Rockingham, or the Younger Brother,” and “ Jack Ariel,
or Life on Board of an East Indiaman ” all highly commended by the critical authorities
in England. They are all neatly printed, done up in the pamphlet form, and sold for
25 cents each.
34. — The Great Metropolis; or New York Almanac f o r 1850. New York: H. Wil­
son <fc Co.
^
This manual, of some two hundred pages, besides the usual callendar for 1850, con­
tains a mass of information almost indispensable to the merchant and the mechanic,
the citizen and the stranger. It answers concisely the questions of every class of men,
and should be in the possession of every person residing in, or visiting, the “ Commer­
cial Emporium.”
35. — Disturnell's United States Almanac and National Register fo r 1850. New Y ork’
J. Disturnell.
This manual for 1850 contains a mass of information useful for present and future
reference. It is compiled with great care, and the information it embraces is reefnt and
accurate.
36. — The Wheat-Sheaf Gathered from our Oicn Fields. By F. C. W oodworth , and
T. S. A rthur. 18mo., pp. 288. New York : M. W. Dodd.
The plain English of this volume, divested of its metaphor, is that it contains a
number of tales and sketches gathered from two different minds, or fields of thought;
both capable of appreciating the wants of an improved taste in juvenile literature, and,
at the same time, furnishing the most healthful food, served up in the most palateable
style. It is a pleasure to recommend to parents good books—books that will aid in
surrounding their children with the highest and best influences.
37. — Anecdotes o f the Puritans. New York : M. W. Dodd.
A collection of anecdotes illustrative of the character and habits of the Puritans,
drawn from authentic sources, not readily accessible to the American public. They will
be found interesting and suggestive of profitable thoughts ; and are, moreover, calcu­
lated to stimulate the reader to a more thorough study of Puritan history.
38. — Pictorial Edition o f the Poetical Works o f Lord Byron. New York and Lon­
don : George Virtue.
Parts 10 and 11 of this edition contain four fine line engravings, illustrative of pas­
sages in the poems. It will, when completed, form a beautiful copy of Byron’s com­
plete poetical works.