Full text of The Merchants' Magazine and Commercial Review : July 1866, Vol. LV, No. I

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ME R C H A N T S ’ MA G A Z I N E
AND

COMMERCIAL REVIEW.
JULY,

1 8 6 6.

PRICE W IT n AND WITHOUT VALUE.
C. H. CARROLL.

I a m glad of the reappearance of your old contributor, ftichard Sulley,
in the pages of the M e r c h a n t s ’ M a g a z i n e . In former times I have been
indebted to him for good ideas in Political Economy, and I find much to
approve in his article in the May issue, just received, which is courteous in
criticism of the article on the Balance of Trade contributed by me to the
February number. I think I shall be able to convince him of the cor­
rectness of the principle to which he objects, that money cheapened by
mining, being capital, is profitably exported, when in natural excess, in
exchange for other capital; and is thus a source o f national wealth, like
everything else cheaply produced for foreign commerce— that is to say,
over and above the home demand. I ought to have said it is national
wealth, as well as the source o f it. Money is a simple commodity governed
by the same law o f value and exchange as all other commodities and all
other capital.
In the present stage of political economy there is an unaccountable
tendency among thinkers to look beyond the facts experience has estab­
lished (which constitute true science) into the regions of speculation and
obscurity for truth that lies at our feet. It seems to be given over, at
present, to metaphysical abstractions and scholastic subtilties that appall
practical minds, and render the science o f little or no use in the conduct
o f government or o f the business of life. By this sort of treatment two
points of great national inexplicity have been most thoroughly obfuscated
namely, money and value; and Mr. Sulley, I think, has not altogether
escaped the occult influence o f such teaching.
He says:— “ The opinion that money (gold and silver) is capital, and
that we get value for it when it is exported in the usual course of trade,
VOL. l v .— n o . i .




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[July,

is not peculiar to Mr. Carroll, although it has been incidentally combatted
in the pages of the Merchants’ M agazine. Nevertheless all the claim
it has to be considered capital, arises from its powers of saving labor by
facilitating exchanges; but paper money, where it has value, is just as
good as gold ; and the only reason why gold is preferred for exportation
is because its value is intrinsic, and therefore universal, while that of
paper money is only imputed, and therefore local.”
This argument is founded upon the abstration that money is merely a
medium of exchange, and everything professing the quality o f a medium
of exchange is money ; hence paper, stamped or issued by government, or
by corporations, is money. On this theory overvalued tokens are money
and wealth, because money is wealth, and the Spartans were as rich with
their iron currency as if they had earned and possessed its weight in gold
But money is no such abstraction. It is not merely a medium of exchange,
but also an object o f exchange, the product of labor and capital, from
which it derives its attribute of value, and by reason of which it is the
equivalent of other products o f labor and capital. Without this equiva­
lence there is no money, and with it a thing is not money, unless it is
acknowledged and accepted as such in absolute payment of intrinsic value,
by the commercial world.
Money was discovered or invented in the unknown past: its use and
its meaning were established before the records of history, and the com­
mon sense of mankind determines what is money to day with more
accuracy than the most profound disquisitions of the most learned politi­
cal economists. Indeed these learned men acknowledge the corruption of
the word, and^joncede the argument to common sense, when they use the
term real money. What is not real money? W h y, spurious money— no
money at all. And such is a currency o f debt, which expels money, and
is an incubus upon the capital of the country. It pays nothing, but
requires continually to be paid in money or in other capital, and when
this requirement becomes urgent, its issues assume the position of preferred
creditors, take possession of the money and floating capital of the public,
to the extent of their requirement, and plunge other debtors into insol­
vency and ruin. There is nothing o f this nature in money.
“ But,” Mr. Sulley says, “ paper money where it has value is just as
good as gold.” Let me assure him there is no place where it has value,
the element of value does not exist in a paper currency, nor in any other
description of debt whatever. The value to which all debt relates is the
property appropriated to pay it. There cannot be two values embracing
one and the same thing ; one in an estate and another in the deed of con­
veyance which certifies its ownership, or in the instrument of mortgage
upon it. The term “ paper money ” is a ridiculous sophism ; there can
be no such thing. The dollar, which in this country the maker of the
paper promises to pay, is 23.22 grains o f pure gold ; the gold is the
money, not the paper; and the value is in the gold, not in the paper.
Gold being acknowledged and accepted as a common equivalent of other
values all the world over, an equivalent of gold in other capital is capable
o f discharging an obligation to pay gold. The notion that there is the
value of a dollar in a memorandum o f a contract— a written promise to
pay a dollar— is the delusion upon which rests the whole scheme of
factitious credit miscalled “ paper money.” The amount of bank notes,


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as suck, is of no consequence in the consideration of this question. The
bank, having no value to lend, lends promises to pay dollars of value which
have no existence, and whether it inscribes this factitious credit on a piece
o f loose paper for circulation, or on a book o f account to be circulated by
check, makes not the slightest difference in principle or effect. Hence
•deposits in bank, subject to check at sight, are currency as completely as
bank notes deposited in one’s pocket. Naturally, the same proportion of
currency as of capital will be at rest, in the long run, waiting demand
somewhere.
In what is called the credit system, the currency is based on commer­
cial notes, by which the trade o f the country, that with a currency of
money would be a cash system, is forced through debt and credit. Under
the credit system the same value in raw material, or in the process of
manufacture, is frequently sold several times over on credit. The amount
of needless debt thus created can scarcely be conjectured ; but the daily
settlements at the Clearing Houses show that it is enormous. Does Mr.
Sulley, or does any one, imagine that this vast debt, whether needless or
otherwise, is value to be added to the inventory of the property o f the
country ? This would be necessary, on principle, if there were value in a
paper or debt currency. I do not understand the significance of the term
“ imputed value,” unless it means spurious value. It seems to me there
must be either value or no value in every thing. Debt circulates in its
evidences, not for the value it is, but for the value it promises.
Mr. Sulley appears to have overlooked, or perhaps does not remember,
an explication of this thing called “ paper money,” showing the fallacy of
the notion that it is as good as gold, that, without reference, I am sure
I have furnished in some one or more o f my contributions to this Maga­
zine. Let me repeat the idea in another example. It happens that the
aggregate price of the property o f this country, and doubtless of other
countries, is always about twenty-five times the sum of the currency. Let
the volume of currency vary as it may, the price of the whole property
in due time rises and falls accordingly, not equally, but in the aggregate.
Things in the most immediate request rise first, and in the greatest pro­
portion. If one thing does not advance in due proportion, something
else advances more than the due proportion, and thus the currency is duly
employed and the average completed. The circulating capital is in the
ratio, approximately, of 10 to 1 ; the fixed capital 10 to 1 ; and the un­
productive and enjoyable wealth, which is not capital, is as 6 to 1 of the
currency, making 25 to 1 in all, as before mentioned. This is an approxi­
mate calculation that is, perhaps, as nearly correct as an estimate of the
kind can be made. At all events, it is sufficiently accurate for my acquire­
ment.
In the last census year, 1860, the currency of this country, including
California, amounted” to about $640,000,000 ; consisting of say $436,000,000 net liabilities of banks, payable on demand, i. e., notes and
deposits and balances due to other banks, deducting specie reserves,
$4,000,000 of counterfeit currency, and $200,000,000 of money in and
out of bank and free o f hoards. Had this currency been money exclu­
sively the wealth o f the country would have been in money Value as
stated in the census, $16,000,000,000, divided as follows !




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[July,

Circulating Capital, comprising money and all value seeking to be exchanged___$6,400,000,000
Fixed Capital comprising i roperty employed for purposes o f gain not seeking to
be exchanged.............................. . ................................................................... 6,400,000,000
Unproductive Wealth, comprising money in hoards, houses, furniture, &c., in use
by their owners, and pleasure property per s e ................................................ 3,200,000,000

But money proportionate to other capital was absent to the amount of
$440,000,000, the value of the circulating capital was, theref>re, but
$5,960,000,000, and o f the total wealth but $15,560,000,000.
There is
a question of equivalence here that invites discussion, but which is not
essential to our present argument.
My belief is that because of the
deficiency of $440,000,000 in the circulating capital there was a deficiency
of the other two classes of wealth in the same proportion, because the
equivalent of fiction can be nothing but fiction.
Let us now assume, for argument’s sake, that this currency of $640,000,000 consisted o f gold and silver exclusively, there being no such thing
as fictitious credit to circulate in either notes or checks. It is obvious,
then, that the buying and selling of goods must have been for cash,
otherwise the currency could not be employed ; and the borrowing and
lending of capital would have been done by and through the banks
instead of by buying and selling goods on credit. At this point o f pure
money currency we will suppose that we begin the credit system o f mak­
ing currency through banking on commercial notes. Tiiis requires the
buying and selling o f goods on credit to produce the notes for discount ;
and suppose we pursue this plan of running in debt to each other for
existing capital, and getting notes discounted until we have an aggregate
o f $640,000,000 of “ deposits ” to our credit in bank, over and above alt
the deposits existing before.
This gives us $-1,280,000,000 of “ money,”
instead of $640,000,000, or double the “ money” to circulate the same
capital; and the price of the whole property necessarily rises from
$16,000,000,000 to $32,000,000,000 I Where does this additional $640,000,000 of money come from? and where does the additional $16,000,600,000 of property come from 2 There is no such thing as either. The
whole addition is pure fiction. There is no value in the money or cur­
rency above $640,000,000, and no value in the whole property above
$16,000,000,000; all the rest is price without value, the merest moon­
shine in the world. That which costs nothing to any one is like air and
solar light, no value and no wealth.
But the effect of this spurious money, while it is interchangeable with
real money, is to reduce the value of gold and silver, locally, one-half.
Two dollars possess no more purchasing power than one possessed before,
and o f course the export demand of commerce is changed from our mer­
chandise to our money, because the local depreciation of its value here has
no effect upon its value abroad until the money gets there and enters into
general circulation, when it becomes merged in the vast volume of cur­
rency in all other commercial countries, and has scarcely an appreciable
effect on the general value o f the money of the world. Not a particle o f
business can be done with the double volume of currency more than was
done with half the amount before, only what is done will be at double the
natural price, and people will run in debt at double the natural price, so long
as the double volume of currency can be maintained, which is longer, under
specie payment, than Adam Smith with his disciples have supposed. How
long, depends upon the quantity of gold and silver in the country to begin




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13

with, and support the drain, and upon the unreasoning confidence o f the
public in the “ paper money,” If people generally do not call upon the
banks for payment, the banks will supply additional currency by new dis­
counts as fast as the money can be exported, because it is for their interest
to do so, as they get additional interest on every additional factitious dollar
they make. I censure not them, but their system, for this.
The principle of this currency is that the bank lends you a contract to
pay money and value that have no existence, and throws upon you the
obligation to meet that contract, under bond and security, to provide the
institution with funds to discharge the same when it shall be called upon
to do so. O f course the loan is made upon some specified time, but that
time is arranged upon the principle stated, that the bank shall be put in
funds to meet the impossible contract, which in the end is inevitable
bankruptcy somewhere; since, the moment the banks withdraw any por­
tion o f their currency, they contract the measure o f price, leaving the
•debts made by the old measure to be discharged by the new, under which
the assets fail in price and become insufficient to discharge the obligations
resting upon them. The experience of England with the financial crisis,
while I write, in May, is a practical illustration o f this pernicious and pre­
posterous principle. The Bank of England is the mother of it, and it is
astonishing that the accomplished merchants and bankers of England do
not see the impossibility of meeting the contracts she impose upon them.
I think I have said enough to meet Mr. Sulley’s remark, that “ where
paper money has value, it is just as good as gold.” I hope he will see
that it has no value under any circumstances. The effect o f this spurious
money upon the capital o f the nation is the loss o f every dollar of gold or
silver shipped under the degradation of the value of money which it causes,
because the imports are advanced in price by that degradation, in common
with all other descriptions of capital, and it is the amount of the degrada­
tion that is sent abroad in gold and silver. Real money is thus paid to
foreigners for a false price. This important practical result, which all the
metaphysical economists have overlooked, I am happy to see that Mr.
Sulley understands; but I do not see how so good a thinker can imagine
that the same result follows the local increase of gold, or that a paper cur­
rency is even capital in the hands of an individual or o f the community.
“ Out of nothing, nothing is generated. This,” says De Quincey, “ is
pretty old ontology.” And when nothing is substituted for capital iu gold
exported, it is very clear that the capital is lost, which would not be the
case if the paper were capital.
The unsophisticated truth is that the individual who accepts a bank
note for his goods parts with his capital for that which has no value, and is
therefore no capital. He lends his capital on the note, and is no more
paid for his goods than if he had accepted his customer’ s note for them.
He cannot thus eat his cake and have it too. He cannot part with his
capital and possess it at the same time. He it is who lends capital in this
business, and not tbe bank; and he it is who pays the interest which is
included in the price of whatever he purchases. When he wants to re­
cover his capital, he parts with the paper promise and gets value for it ;
he is then paid in the value received for the value delivered, and not before,
and the exchange which was only half way made before is then complete.
Should the bank happen to burst while he holds its note, I think Mr.




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[July,

Sulley will see that in holding the note he does not hold his capital, and
is not paid. Hence the note is not and never was capital.
Mr. Sulley’s error, or what I conceive to be his error on this point, lies
in the following statement. I say, what I conceive to be bis error, for I
am open to conviction, and always intend to give heed to respectful witicism, such as I find in the writings of Mr. Sulley :
“ Money, no doubt, whether of paper or the precious metals, is capita]
in the hands o f individuals; but a larger or smaller quantity makes no
difference in the capital of a nation ; and if it be o f gold, and is exported
from excess, the nation will get nothing in return for it. If it increases in
a greater ratio than other commodities, it must o f necessity depreciate, as
no condition of cheapness will induce an adequate consumption. This has
been sufficiently shown by M. Chevalier, both from French and English
statistics. It must therefore be exported in price without value ; that is
to say, without any return being made for it in the imports. Consequently
to the nation that produces the precious metals, while at the same time it
produces large quantities of other commodities for exportation, the produc­
tion of the metals will be just so much loss. This is the evil o f a fixed
standard o f value.”
In making these remark's, Mr. Sulley overlooks the fact that all values
are reduced, specially, by an increase o f supply. The wealth o f the world
accumulates in this manner. W hat if the crops of grain are doubled this
year in this country? W ill not the bushel o f grain fall in value as well as
in price ?
That is to say, will it not exchange for less of commo­
dities in general as well as for less money than before ? Obviously,
any exported excess of grain commands desirable capital in exchange,
which is just so much added to the wealth the nation possessed
before that excess was produced.
And why is not this principle
applicable to gold and silver ? The miner who digs gold improves his
fortune like the miner who digs iron, and as much as he adds to his own
wealth by his labor he adds to the wealth o f his country. But, be it ob­
served, the gold must be produced in excess to supply the quantity export­
ed ; it must not be merely degraded in value to the exporter’s limit by
adulteration with “ paper money,” since by such adulteration and degra­
dation the quantity exported is drawn from the precreated stock and lost,
because nothing bnt debt remains to balance the value thus degraded and
sent abroad. In the one case, there is the same quantity of gold left after
the shipment of the excess as the nation possessed prior to the increased
production and the capital returned for the shipment beside ; in the other,
a less quantity of gold by the amount of the shipment and no more o f
other capital to compensate the loss.
The French economist, Frederic Bastiat, says : “ Utility is increased as
we succeed constraining nature to a more efficacious cooperation. So that
we may say that mankind have as many more satisfactions, as much more
wealth as they have less value.” In other words, mankind, by availing
themselves of natural forces more and more, continually have an increase
of utility, satisfactions, and wealth, at diminished cost.
Where nature furnishes the most efficacious co-operation in the mining
and transportation of gold, it can of course be supplied at the lowest
value, and if we can produce gold and exchange it for iron and cloth,
and other utilities, at less cost o f labor and capital than we can directly




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P rice with and without Value.

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produce the utilities themselves, we have “ as many more satisfactions,
as much more wealth, as we have less value.”
In what respect, then,
is it less advantageous to procure and possess cheap gold than cheap capi­
tal of any other description ? •provided always we have the gold, and not
an incubus upon capital in its place to cheapen it.
Jean Baptiste Say notes a striking example of the increase of wealth
by the reduction of value in the invention of the art of printing. “ So
that where there was formerly one copy only of a literary work (manu­
script) of the value o f 60 francs of present money, there are now a hun­
dred copies, the aggregate value o f which is 300 francs, though that of
each single copy be reduced to l-20tb.” That is to say, the reduction of
the money value, by the increase of supply from 60 francs to 3 francs
per copy, produces in this commodity a five-fold sum o f wealth. There
has been au abundant increase of wealth o f this description by cheapening
production since Say wrote in 1820.
“ Gold and silver,” says Adam Smith, “ whether in the shape o f coin or
o f plate, are utensils, it must be remembered, as much as the furniture of
the kitchen. Increase the use of them, increase the consumable commodi­
ties which are to be circulated, managed, and prepared by means o f them,
and you vvi 1 infallibly increase the quantity ; but if you attempt by ex­
traordinary means to increase the quantity you will as infallibly diminish
the use, and even the quantity too, which in those metals can never be
greater than what the use requires.”
Money cheapened by mining is, therefore, a cheap utensil and cheap
capital, as wheat cheapened by tillage is eheap capital, and any normal
excess of either over the home demand is equally a gain of national wealth.
But it is only in its function of capital, the subject or objeet o f commerce,
that the increase of money is of the least consequence. As the instrument
o f commerce, the measure of price, the most limited quantity consistent
with convenience in the coin is even better than a greater quantity, be­
cause lower general prices are thereby secured, and, other things being
equal, the nation or community having the lowest general prices, in other
words, the most valuable money, will have the advantage in the commerce
o f the world. But the two functions of money cannot be separated, any
more than the beauty of the diamond can be separated from its worth,
and the proper and only profitable course is to treat it as we treat.other
capital, accumulate as much as possible, and exchange the surplus for
pro ;ucts of greater value.
In regard to Mr. Sulley’s remark that a fixed standard of value is an
evil, I suppose he refers to the adoption of an irregular quantity o f metal
for tbe unit o f money, like our dollar, which is an unequal fraction of a
Troy ounce of gold, the French franc, which is out of the line of the
decimal notation of the Empire, the English sovereign, or pound sterling,
and the various units in use in commercial countries, which are “ names
indicative of nothing whatever,” as to the established and ordinary weights
employed in commerce. Unquestionably this is an evil. I have endeav­
ored to expose it in vour pages; but I do not see that it amounts to a fixed
standard of value. I do not find, and cannot conceive of such a standard
in money or in anything else. In the words o f Mr. De Quincey: “ An
object to stand still when all other objects are moving, showing how much
o f the change has belonged to one object, how much to the others, or




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Reform in England.

[July,

whether either has been stationary: this is a thing we shall never have ;
because no such qualification can arise for any object— nor can be privil­
eged from change affecting itself.” Let money change as it may, it is the
legitimate price o f things. I prefer, therefore, to call it the measure o f
price. When price is not money value, when it is made by a measure
which is notmoney, it is illegitimate and false. There is a ground of value
in the equivalence of labor and capital, to which objects must be referred
in money, however much it may change in itself.
To that true price is
the equivalent of money value.
It follows that the rise of general prices, which results from the actual
increase o f the precious metals, is not, as Mr. Sulley imagines,price without
value, but price with value, which, relating to our foreign commerce, is
returned in the imports.
And the export of gold or silver under this
normal condition of things is just as profitable to the nation as the export
of wheat or tobacco, or any other of the hundred commodities annually sent
abroad, whether they are the direct, or the indirect product o f the indus­
try of the country.
Twenty dollars is the price o f a barrel of flour to day lor my family use.
W hat sort of dollars ? Not such as are produced by labor and capital—
not dollars of value. If we had possessed twenty such dollars for such an
exchange, probably twelve o f them would have gone abroad long ago, and
returned the value of a barrel and a half of flour o f the same quality more
than the nation possesses at present in its capital. The dollars of to-day
are made by the scratch o f a pen ; these are inscribed as a “ deposit ”
when no dollars are deposited. They are not dollars o f value, because
they cost nothing. They are dollars o f price, and the strongest motive
which actuates man in society— self-interest— is involved in their further
and unlimited increase. Certain men in corporations are privileged to
make and take interest on such dollars as money.
Do you suppose they
will be checked in this business by the limitation of the issue of bank notes
to $300,000,000 ? Not in my opinion. When the barrel of flour costs
$100, as it will in time if the present financial system continues, perhaps
the folly of the system may be discovered, and suffering among the indus­
trious classes lead to its suppression. Already the bank deposits amount
to $610,000,000, including those due by banks to banks, while the notes
are but $260,000,000.
It Is an immense argument in favor o f the natural resources of this
country, and the untiring energy of the people, that the nation is not
ruined by its political economy in raising prices against itself by tariff, and,
especially, by creating prices without value.

REFORM IN ENGLAND,
Now, that the question of reform is being discussed with so much spirit
in England, and the late action of Parliament indicates the probable suc­
cess of the measure proposed by Government, any facts with regard to
the condition of the elective franchise and the changes proposed become
of interest to us. The key note of the present reform movement was
struck on the last night of the great debate in April. When Mr. DTsrseli
denounced the bill as an innovation of American principles, and M r.




1866

Reform in England.

17

Gladstone instead of repelling the charge, virtually admitted it, and pro­
nounced a glowing eulogium in favor of democratic progress and reform.
The measure in question, however, is chiefly important as an indication of
the gradual progress towards liberalism. The leading features of the bill
are : first, it proposes to reduce the present £50 county franchise to a £14
occupation, with or without land. This change, it is calculated, would
admit 172,000 persons, chiefly of the farming and middle classes. Second,
copy-holders and lease-holders in Parliamentary boroughs are to be placed
in the same position as freeholders. Lodgers paying £10 a year for apart­
ments, and persons having for two successive years a sum of £50 to their
credit in a savings bank, are entitled to vote in boroughs. This addition
is expected to add 24,000 to the electoral body. Third, the household
franchise in boroughs is to be reduced from £10 to £7, and a class known
as “ compound householders,” or persons whose taxes are paid by the
landlords, are to be permitted to vote. This change is expected to add
204,000 to the constituency. Mr. Gladstone calculated that these clauses
would, in the aggregate, add 400,000 votes to the electoral list, one-half
of whom would be workmen. The correctness of the latter estimate was
subsequently questioned by Mr. Bright, who gave apparently reliable data
in support of his position, that the proposed changes would operate chiefly
in favor of small traders and others, and that not more than 116,000
workmen would be added to the number of voters.
It is not, however, our purpose to discuss this government measure, but
merely to give some statistics prepared from the Englisn Blue Book, re­
cently issued, bearing upon this question of reform.
“ The first result shown is curious and satisfactory, and to most persons
unexpected.
One-third of a century has elapsed since the first Reform
Bill, and during that period the number of borough electors has increased
in a much greater ratio than the population ; showing that virtually a
sort of self-acting lowering o f the franchise has been going on, by the
gradual rising of rents and an increase in the numbers o f those who can
afford to live in £10 houses. Thus, between 1832 and 1868 the borough
population has increased just eighty per cent., and the number of electors
on the register in precisely the same proportion ; but as the freemen and
scot and lot voters have been gradually dying out, the number who are
on the register in virtue of a £10 occupancy has more than doubled— it
has increased at the rate o f 102 per cent. In round numbers, (and it is
with such only that we can deal at present), more than one-twentieth of
the entire population of Parliamentary boroughs are on the electoral list,
or one-fifth of the adult males.
If we analyze this return still further,
we shall find that in eleven of the largest manufacturing towns of the
North, whence the chief demand for an extension of the suffrage proceeds,
the number of electors on the register has increased since 1832 not less
than 178 per cent., while in the five metropolitan boroughs (excluding the
City) the increase has been 217 per cent.
In counties, as well as in
towns, the number of electors has more than kept pace with the popula­
tion, the former having increased 46 per cent, and the latter 33 per cent.;
but whether the augmentation is chiefly among freeholders or £50 ten­
ants we have no means o f ascertaining. The second result brought out
will astonish the world still more. It appears that not less than 26 per
cent, of the actual borough electors (or 128,000 out of 489,000) are bona




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Reform in England.

[July,

fide working men, men of the wage-class and supporting themselves by
daily labor; and that o f these, 108,000 vote not as freemen but in virtue
of a £10 occupancy. The genuine ten-pounders among the class of jour­
neymen mechanics, artisans, and handicraftsmen, constitute already 22
per cent., or nearly one-fourth, of the entire borough constituencies. Cer­
tainly few persons were aware of this startling fact till we announced about
a fortnight since that it would turn out thus.
But this table B shows
further that the working classes constitute, in the metropolitan boroughs,
one-sixth of the Finsbury, one-third of the Lambeth, one-fourth of the
Marylebone and Tower Hamlets, and one-half o f the Southwark constitu­
encies. And if we look at the manufacturing towns we find the follow­
ing proportions.
The working classes constitute o f the entire constitu­
ency, in—
Birmingham................ about 20 per cent.
Bolton.......................... “
21
“
Ashton
Lancaster. .
L e ice s te r.. ,
Manchester.

‘

19

‘
*

46
40

“

27

“

Newcastie......... . .
Salford........ ........... . . .
Sheffield ...............
Wolverhampton.. .
Wigan.....................

“
«
u
«

23
34
26
24
23

It is remarkable, however, that the Yorkshire towns are far less fortunate
in this respect than the Lancashire ones ; Leeds, Halifax, Bradford and
Huddersfield showing only 7, 10, 8, and 12 respectively, and only averag­
ing about ten per cent. Return E enables us to calculate roughly the
numbers who would be added to the borough constituencies by various
rating and rental qualifications. W e will consider only two of these.
The number of male occupiers rated at £6 upwards are 806,000; but as
nearly 30 per cent, of those who might be on the register are for sundry
reasons, such as non-payment of rates, change o f abode, &e., excluded
from it (639,000 £10 occupiers only giving 452,000 registered electors), a
£6 rating would only give 566,000 actual voters, or 114,000 more than at
present— an increase of 25 per cent. By a similar calculation, a £7 rental
qualification would add 146,000, or 32 per cent. A £6 rental would add
236 000, or 52 percent.- But either change would operate most unequally
in different towns. Thus, a £6 rating in Manchester would, as far as can
be calculated, raise the constituency from 21,00 ) to 26,000 ; in Leeds it
would raise it from 7,217 to 9,373 ; in Halifax it would affect the numbers
much less. Usually, a £7 rental qualification would add a third, and an
£8 a fourth to the existing constituencies ; but in Birmingham an £8
rental franchise would apparently raise the numbers from 15,000 to 27,000.
It is, however, impossible to say how these results might be modified by
any legislation bearing on the numerous cases— from a third to a half of
the whole— where the rates are paid by the landlord. As a rule, the
“ rateable value” of a house is about 17 per cent, below the “ gross esti­
mated rental.”
With regard to counties, the effect of the varions suggested changes may
be thus stated:
Total electors no.v on the Register ...............................................................
Number who are electors in right of a £50 occupancy................................
Number who would be added by a £20 occupancy franchise.....................
Additional number in case o f a £15 occupancy franchise............................
Addilional number in case of a £10 occupancy franchise...........................
Entire number who would be added by a £10 tenant franchise.................




543,000
117,000
94,000
45.0O0

75 000
214,0C0

V.

1866]

Reform in England.

19

In other words, a £10 tenant-at-will clause would add just 40 per cent
to the existing countituencies, and a £20 clause only 17-J- per cent. If a
rating franchise in lieu o f a rental one were adopted for the counties (of
which there is some intimation), a £10 limit would add about 230,000,
and a £15 limit perhaps 150,000. But this is conjectural. It is under­
stood that a savings bank qualification is to be introduced, and some re­
turns have been presented to Parliament along with the electoral statistics,
to enable us to judge of the effect of such a proposal. From them it ap­
pears that a qualification based upon the having had £50 in a savings
bank for one year would give the franchise to 97,000 adult males. If two
years were required, the number would be only 87,000. In either case
about 30,000 of these would, it is estimated, belong to the working
classes. Now the facts developed in these tables are remarkable ; and it
is still more remarkable that they all point in one direction. The follow­
ing conclusion from them seem irresistible, unexpected as they a re:— 1st.
That the electoral franchise is gradually extending itself by a natural
operation, and on the whole at a pretty rapid rate— much more rapidly
at all events than the population. 2nd. That already one-fourth of the
entire borough constituency of England and Wales consists of working
men, and in several towns considerably more. 3rd. That a £ 6 rating or
an £8 rental qualification would apparently add about 25 per cent to the
existing number o f borough electors, and that most of these new men
would belong to the working classes ; so that in some towns either mea­
sure would give the command of the representation to those classes. 4th.
That a £50 savings bank franchise would admit nearly 100,000 electors,
of whom one-third would be working men.”
The following is a return of the male occupiers at specified rentals :
Rental.
Male occupiers at £4 and under £ 5 .................
5
6 .................
“
t>
tt
It
6
7 ................. ................. 130,293
It
8 ...............
7
tt
8
9 ................. ................. 69,147
It
tf
9
1 0 .............................
tf
.................639,043
10 and over

Rateable Value
177,530
135,634
49,939
60,617
65,268
43,612
530,585

To the rateable value column should be added the occupiers at £6,
amounting to 55,668, which would make the number at £ 6 and under
£7,105,605.
The return for the counties is as follows:— The number of male occu­
piers o f a house or other building with or without land in counties was at
the rateable value of £10 and under £12, 47,268 ; at £12 and under £15,
53,885 ; at £15 and under £20, 60,903 ; at £20 and under £50, 125,489.
Total at £10 and under £50, 287,545; at £12 and under £50, 240,277 ;
and at £15 and under £50, 186,392. The number of electors on register
1864-5 as £50 occupying tenants was 116,860 ; the number of male oc­
cupiers at gross estimated rental of £50 and upward was 155,847 ; and the
total number of electors on register 1864 5 was 542,633. The population
of counties in 1831 was 8,689,277, and in 1861,11,427,655.
Regarding Birkenhead, Chester, Manchester, and Liverpool, the follow­
ing statistics are given: Birkenhead: Voters, 4,563; actual number o f
persons who were under description of mechanics, artizans, and others,




20

The Imperial Mexican Railway.

[July,

supporting themselves by manual labor, 2,065. Chester: Voters, 2,274 :
£10 occupiers, 3 6 1 ; freemen, 653 ; mechanics, artizans, &c., supporting
themselves by manual labor, 987. Liverpool: Voters, 20,618 ; £10 occu­
piers and freemen, or scot and lot voters, Potwallers, or other ancient right
qualifications, 381 ; mechanics, artizans, and other persons supporting
themselves by manual labor who have a vote, 2,680. Manchester : Voters,
21,542 ; mechanics, artizans, and other persons supporting themselves by
manual labor who have a vote, 5,822.
In table A we find lhat the population of the boroughs in England and
Wales in 1831 was 5,207,520. In 1865-6 it is estimated at 9,326,709,
showing a net increase of 4,120,000. The total number o f electors on
the register of 1832-3 was 282,938; in 1865-6, 514,026, including
double entries ; but not including double entries, 488,920. The net in ­
crease o f electors on register is 231,628. The number of electors who
voted at the last general election was 280,793, including in some cases
the votes recorded, when the number of voters could not be given.
It also appears that the total number of freemen on the register 1832-3
was 63,481 ; on the register 1865-6, 41,041, showinga decrease o f 2 1,810.
The total number of scot and lot voters, &o., in 1832-3, was 44,738 ;
their number now is 7,837, a decrease of freemen, scot and lot voters, &c,
is 57,741.
As to the number o f electors coming within the description of mechanics,
(fee., supporting themsdoes by daily manual labor, there are 108,298
among the £10 occupiers; 20,018 among the freemen; 2,348 among the
scot and lot voters— the total being 130,664. Deducting 2,061 for those
who are on the register in respect of more than one qualification, the actu­
al number of electors who come within the description is 128,603.
In the borough of Liverpool the gross estimated rental in 1S53 wa3
£1,680,824; the present, £2,655,838, showing an increase of £975,064.
The rateable value in 1856 was £1,527,831 ; the present £2,402,584,
showing an increase of £874,753. The number of male occupiers was at
a gross rental of under £ 6 ,1,385; £ 6 and under £7, 3,152 ; £7 and under
£8, 5,245: £8 and under £9, £.5,925; £9 and under £10, 4,737; £10
and over £40,079.

THE IMPERIAL MEXICAN RAILWAY.
W hatever may be said for or against the existing Imperial Govern­
ment o f Mexico, considered in the light o f political philosophy, one thing
at least the practical good sense o f mankind will sooner or later credit
it with ; that it has been the first government ever established in Mexi­
co which has extended a systematic and efficient protection to great
works o f internal improvement.
The question whether the true and lawful Republican authority in
Mexico resides in the person o f Benito Juarez, at Chihuahua, or in the
person o f Gonzales Atega, at E l Paso del Agnila, or in the person o f
General Ogazon, at some point just now not clearly ascertained, is one
which we do not profess to discuss. But the fact that the current month
o f June is destined to witness the opening o f nearly one hundred
miles o f railway communication between the City of Mexico and the
Junction o f Apizaco, on the way to Puebla, is, to say the least c f it, quite




1866]

The Imperial Mexican Railway.

21

as important to the commerce and the interests o f mankind ; and it is
hut fair to the capitalists and the contractors who, acting under the
authority o f Maxmilian, have achieved this result, that some notice should
be taken in foreign countries o f the resolution and the skill with which
they are pushing forward to completion the first grand steamhigh»'ay o f
Mexico. <
The “ Imperial Mexican Railway Company” was formed in Septem­
ber, 1864, for the purpose o f carrying out the project of a direct com ­
munication by steam between Vera Cruz and the capital, originally con­
ceived, many years ago, by one o f the few really enterprising natives
o f Modern Mexico, the late Don Manuel Escandon.
The project o f
Escandon was arrested in its development by the fearful political con­
dition o f the country. Since five Presidents during the ephemeral rule
offered the project a support which they never made g o o d ; and when
the present company was formed, under the auspices, o f the Empire,
there existed in M exico only about fifty miles o f railway, divided between
the State line, which running out of Vera Cruz terminated at La
Soledad, at which place the famous convention o f 1862 was signed between
Juarez and the European Allies, and the still shorter line which, running
out o f the City o f M exico, terminated at Guadalope, the “ sacred mount ”
o f Mexican Catholics in the Loretto o f the Indian populations in
and around the capital. A beginning had thus been made at both
ends, but between there intervened a vast distance o f nearly 300
miles, over which the most important traffic o f the country, between
its chief city aud its most flourishing seaport, had to be carried on
over an ancient and dilapidated Spanish road, climbing mountains and
sinking into gullies, and so tremendously difficult o f travel, even by
the heavy wagons and the indefatigable mules o f Mexico, that the
average cost o f transportation from M exico City to Vera Cruz has
long ranged in the neighborhood o f fo r t y dollars per ton. That, in spite
of these difficulties and the enormous consequent expense, a constant
demand existed at the City o f M exico for the costliest and most varied
cargoes o f European- and American goods which could be imported into
Vera Cruz, was a sufficient argument o f the results possible to be achieved
by the construction o f a through line o f railway. This, with other
arguments, being urged in London b y the leading capitalists o f Mexico,
the “ Imperial Mexican Company” was finally formed at the time we
have mentioned above; the Government o f Maximilian offering pro­
tection to the roads, aud a handsome contribution towards defraying
their cost. The contracts for building the road, 300 miles in length, were
given out originally to Smith, Knight & Co., o f London, b y whom they
were afterwards transferred to Crawley & Co., another well-known
English firm. The line o f the proposed road was surveyed and laid out
throughout its entire length b y one o f the most distinguished o f Am eri­
can railway engineers, Col. Andrew Talcott, and on the 13th o f Febru­
ary, 1865, M r. W m . Lloyd, the experienced constructor o f the most
difficult mountain railways o f South America, acting as Director-in-Chief
under the contract with Messrs. Crawley & Co., made a commencement
o f the railway at the point o f greatest difficulty, near the Cumbres, or
mountains o f Boca del Monte.
The road at that time had been carried on from La Soledad to Paso




22

The Imperial Mexican Railway.

[J uly,

del Macho, a point 65 miles distant from Yera Cruz, at which, during
the last year, a small town o f more than 2,000 inhabitants has sprung
up, with schools, hotels, a railway station, and all the other evidences
o f a state o f progress and civilization which we find germinating along
the path o f the railway in the expanding regions o f our own Western
domain.
To appreciate fully the progress made since that date, o f which pro­
gress the opening of the line between M exico and Apizaco is the imme­
diate and striking proof, it is necessary for the reader to bear w'ith us
while we sketch out for him hastily the enormous, the literally enor­
mous difficulties in the way o f this gigantic railway enterprise.
A s the crow flies, Mexico City lies at a distance o f about 200 miles
from Vera Cruz. But while Vera Cruz is seated on the edge o f the
ocean, Mexico City is situated on a height o f no less than 7,340 feet
above the sea-level.
Had it been found practicable to build a railway o f
uniform ascent from Vera Cruz to Mexico, therefore, it would have
been necessary to give that railway an ascending incline o f no less than
36-|- feet per mile, a piece o f engineering work which might well appal
the inexperienced and give the most experienced “ pause.”
But even
this was not practicable. Between Vera Cruz and M exico a point must
be passed much higher than the elevation o f Mexico itself.
The country
which intervenes between the two may be described as made up of
two great plateaux, united by an inclined plane— the lower plateau
averaging about 700 feet, and the upper about 8,000 feet in elevation
above the sea-level. Between these two plateaux is a distance o f about
fifty-five miles, which distance is broken up into lofty and rugged chains
o f mountains called in the country Cumbres, which form the eastern
flank o f the upper plateau. The width o f the lower plateau itself is just
about equal to that o f this intervening space, orfifty-five miles ; and con­
sequently, the ascent to the level o f the upper plateau had to be accom­
plished within a distance o f 110 miles from the coast, a feat absolutely
without paraellel in railway experience, and the proportions o f which
will be more fully comprehended when we remember that in travers­
ing the lower plateau which takes the road over one-half this distance,
or fifty-five miles, the engineers reach an elevation o f only 1,500 feet,
leaving them to master a further elevation o f nearly 7,000 feet within
the succeeding 55 miles to the crest o f the Cumbres above spoken of.
Here, then, was the problem o f the railway, to accomplish an ascent
o f 6,540 feet in 55 miles, corresponding to 119 feet per mile, or two
feet in 44£ feet throughout the whole distance.
The following table o f the severest ascents heretofore known in
railway engineering will give the most accurate idea possible o f the
task imposed upon Colonel Talcott and M . Lloyd.
Ascent.

Railway.

Feet per mile.

The Giovi
Incline...........................Tnrin & Genoa. Italy..........................
The Semmering “
.............. .......... Vienna & Trieste, Austria.................
The Chanarcillo “ ........................... Copiapo, Chili.....................................
The Tabon
“
...........................Valp. & Santiago, Chili.....................
The Alleghany “
...........................Baltimore & Ohio, U. S......... .............

147 for 6
113 for
196 for
120 for
117 for

miles.
13^ miles.
13miles.
12miles.
11milest

But even these figures do not fully set forth the extraordinary nature
o f these great works in M exico ; until we take into the account that
whereas the most abrupt ascent ever before achieved, that o f the




1866]

The Imperial Mexican Railway.

23

Chanarcillo on the Copiapo line in Chili, is o f 196 feet in 13 miles, the
chief incline o f the Imperial Mexican Railway at Maltrata near Orizaba
will overcome 211 feet per mile in a distance o f 23 miles. In achiev­
ing this part o f the works, the engineers have been called upon to
construct over the river Metlac, midway between the cities o f Orizaba
and Cordova, a viaduct which, when completed, will surpass any struc­
ture o f the kind now existing in the world, and will, o f itself, be well
worth a trip to Mexico to see. This viaduct, to consist o f an iron bridge,
now constructing and nearly completed in England, will carry the road
over the Barranca de Metlac, at the enormous height of 380 English feet
being nearly 150 feet higher than any such work now extant, so that it,
would be possible to pile upon the spire o f Trinity Church the spire
o f Grace without reaching the roadway sustained upon its magnificent
arches.
Some notion of the strictly engineering difficulties o f the work under­
taken by the Imperial Mexican Company, and to be completed, accord­
ing to the terms o f its contract with Crawley & Co., before the 80th
April, 1869, m'ay be derived even from these brief statistical notes. But
when the reader reflects further that all the most important materials,
the rails, the working tools, many o f the supplies for the great bodies
of workmen to be employed on the line, not only up to these heights o f
the Cumbres, but far beyond them upon he upper plateau, stretching
from the Cumbres by Puebla to M exico, must be imported from
Europe and America, and tansported hundreds o f miles on the backs o f
mules, or in the wide broad-wheeled wagons o f the country over the
most execrable roads on earth, he will readily agree with us, that when
the Imperial Company in June, 1866, can point to more than 160 miles,
or over half their whole line opened to commerce, they may fairly claim
to have accomplished as handsome a year’s work as men need be called
upon to do. In accomplishing this, the Company have expended, for
example, more than a million o f dollars upon the transportation o f rails
alone from the coast to the line on the upper plateau. They have em­
ployed, and now employ, a total force in all departments o f about 10,000
persons; they are receiving rails and other materials in the port o f Vera
Cruz at the rate o f about 2,000 tons per month. England having recog­
nized the de fa cto Imperial Government at M exico, the vast business
connected with this enterprise, which naturally and under ordinary cir­
cumstances would have inured to the benefit o f American industry and
capital, has, o f course, been chiefly carried on the profit o f Great Britain.
American engineers are, however, employed under Col. Talcott on all
parts o f the walls, the difficult section o f the Chiquihuite, on the edge o f
the tierra caliente, or tropical region, being under the charge o f M r.
Deckert, o f Pennsylvania, an engineer who has learned in Cuba to make
light o f Ihe vomito, and to keep a cool brain under the hottest suns.
The opening o f the upper sections between M exico and Otumba, and
Otumba and Apizaco, will give an immediate impulse to the iutercourse
between the two great cities o f Puebla and M exico, and to the develop­
ment o f the extensive intervening country. In conjunction with the
lower section, already in operation between Vera Cruz and Paso del
Macho, passengers from Vera Cruz to M exico will thus be enabled
to make their journey in two days, instead c f three, and light goods,




24

System Metrique.

[July,

which now require three weeks in the transport, will be forwarded in six
days. Such a consummation may truly be regarded as a great and
glorious victory won for civilization and true progress in Mexico.
Whether under the banner o f an Empire or the banner o f a Republic,
the “ road-maker ” is the true benefactor o f nations, the true precursor
and prophet of liberty, and all good things which come with liberty,
wisely understood and wisely practiced.

SYSTEME METRIQUE.
M o d e r n commerce has encountered no greater obstacle to its progress
than the multiplicity of weights, measures and' moneys used in its prose­
cution. Not alone the great nations of the world, but every petty principality
and power, until recently had their own denominations and values, differ­
ing greatly from one another and only translatable through the aid of
voluminous dictionaries compiled from elaborate comparisons. Such a
condition of affairs might be tolerated in the primitive eras of nations,
before travel and national interchanges of products became the great busi­
ness of the human race; but in the present era, when the railroad and
steamship carry passengers and freight with the swallow’s pace, and when
the commingling of nations makes the world as a single brotherhood,
something more simple and universal in its functions is demanded, which
the denizens of each and every nation, however foreign to each other in
language, can easily comprehend. The great want has been and still con­
tinues in a measure to be a universal system, with a nomenclature, founded
on the ancient Greek and Latin, languages in universal use. The adoption
of such a system was one of the first acts of the French Revolutionary
government, which in 1799 proclaimed the Systeme Metrique. It has since
boen adopted either wholly or partially, and its use become permissive or
obligatory in almost every civilized country. W e ourselves have for
many years used it in scientific processes, and are now about to bring it into
general use. A bill to this effect is before Congress, and has already been
sanctioned by the Representatives ; and there appears to be little doubt
but that the bill will finally become a law, and the system in a short time
be popularized throughout the Union. The change demanded by the new
system will come easier to ourselves than to nations wholly accustomed to
multiply and divide by the binary process. W e have learned the decimsl
mode o f proceeding from our own money system, and hence to carry its
application to weights and measures will soon become familiar. Other­
wise than this, the change contemplated by the present law is without
complexity, being simply the substitution o f one unit o f value for another.
W hat follows will explain the whole subject.
HARMONY OF THE FRENCH SYSTEM.

Though decimal weights and measures will be new to this country, they
are not new to the world. They originated in France three quarters of a
century ago, where they have been fully tested in the crucible of commerce ;
and the system there adopted has been proved to be the best that it ig
possible for man, aided by science, to devise. In France it has had the
best trial it is possible that it could have; for it is only in a country where




1866]

Systeme Metrique.

25

the monetary and metrical systems are both decimalized that it could be
thoroughly tested. W hen the Ignited States created its decimal currency,
and left its weights and measures unaltered, it did not even carry out a
half measure of reform. Sterne’s proverbial dictum, that “ they do these
things better in France,” was never a greater truism than in the
matter of her change to a decimal system. She did not pull down and
rebuild the half of an edifice, and present a structure, one half of which
did not accord with the other, but tore down the entire o f the old fabric,
and erected a new one that harmonized in all its parts.
THE ADVANTAGE OF ADOPTING THE FRENCH SYSTEM.

It is the French system o f weights and measures that we are about to
introduce. By adopting its units, which are founded on scientific data,
there is no placing an additional clog in the wheels of commerce, which
would undoubtedly be the case if a new system were introduced with other
units, although that system were a decimal one.
It is evident that the French system must, in the course of time, become
universal, and the sooner we thoroughly adopt it— that is, make its use
compulsory— the sooner we shall place ourselves on the smooth road upon
which all nations must eventually travel. The nomenclature, too, being
derived from the Greek and.Latin, renders it applicable to every modern
tongue, and thus prevents the necessity o f each country drawing from its
own lingual store names for new weights and measures which would not
be understood beyond its boundaries. The advantage in commercial trans­
actions of a universal system with a universal nomenclature is obvious.
THE ORIGIN OF THE DECIMAL SYSTEM,

The history of the inception and introduction of the metric system is a
matter o f much interest. It imparts to us a knowledge of the substantial
foundation upon which it rests, and the care which was bestowed to arrive
at a system in strict accordance with the law's of science. W e have no
space, however, to enter into a detailed account of the difficulties that beset
the path of those who were engaged in reducing the theory into practice ;
but when we state that the requisite surveys and experiments were carried
on in the most exciting period of French history, the result proves bow
successfully earnest and intelligent men are able to overcome, what to others
would be insurmountable, obstacles. Their labors began a year or two
before the commencement o f the’ revolutionary struggle, and did not ter­
minate until the last year of the century.
The ancient French system of weights and measures presented no uni­
formity ; there was no relation between the pied, used as the unit of the
measure of length, and the liore, as that of weight; and even although
those measures bore the same denominations in all provinces, they were
very different in their proportions in particular districts— the diversity
being, to use the epithet of Delambre, scandalous. Local consumers did
not feel the whole disadvantage which arose, but merchants often experi­
enced great difficulties in converting to their own local standard the quali­
ties expressed according to another rule.
One of the first objects which engaged the attention of the general
States in 1788, was to find a remedy for this defect. It was then agreed
VOL. LV.---- NO. I.




2

[July,
Systeme Melrique.
9
that some principle should be established, on which a new system should
be founded. It was desirable to find a natural and invariable standard ;
and it may be observed that mankind, in all ages, have been endeavoring
to obtain some such result, though they may have proceeded without accu­
rate scientific knowledge. Without science it is impossible to find an in­
variable standard in nature ; for there is such infinite variety in the indi­
vidual character o f her productions that no portions of animal or vegetable
matter can be found of equal or unchanging dimensions. It was therefore
the object of the French to establish, “ as the fundamental unity of all
measures, a type taken from nature itself, a type as unchangeable as the
globe upon which we dwell, to prepare a metrical system, of which all
the parts should be intimately connected, and of which the multiples and
subdivisions follow a natural progression, which would be simple, easy to
comprehend, and worthy of the enlightened age in which they lived.”
26

THE UNIT DECIDED UPON.

The Academie des Sciences was first requested to determine the length
of a pendulum, vibrating seconds according to given rules, under certain
circumstances. But this was objected to, because it was thought that the
result, depending upon the weather and arbitrary division o f time, was not
susceptible of the requisite accuracy. It was then agreed to adopt the
ten millionth part of the fourth part o f the meridian, or o f the quadrant
comprised between the Equator and the North Pole, for the unity of this
measure of length, and to derive all others from this standard.
PRINCIPLES OF THE METRICAL SYSTEM.

It was then proposed that the new system should be founded upon the
following principles :
1. That all weights and measures should be reduced to one uniform
standard of linear measure.
2. That this standard should be an aliquot part of the circumference of
the globe.
3. That the unit of linear measure applied to matter in its three modes
of extension, length, breadth, and thickness, should be the standard of all
measures of length, surface, and solidity.
4. That the cubic contents o f the linear measure in distilled water, at
the temperature of its greatest contraction, should furnish at once the
standard weight and measure of capacity.
5. That for everything susceptible o f being measured or weighed,
there should be only one measure of length, one weight, one measure o f
contents, with their multiples and subdivisions exclusively in decimal pro­
portions.
6. That the whole system should he equally suitable fo r the use o f all
mankind.
7. That every weight and every measure should be designated by an
appropriate, significant, characteristic name, applied exclusively to itself.
Thus it will be observed, according to this scheme, the unit of linear
measure is the basis of the whole system. For the purpose o f obtaining
the value of the unit, it was resolved that an arc of the meridian should be
actually measured.
M. M. Mechain and Dolambre were therefore ap-




27

Svsteme Metriaue.

pointed to ascertain, with the utmost precision, the length of the arc
comprised between Dunkirk and Rhodes, in France, a distance of nearly
550,009 toises, or about 570 miles.
M. Mecbain died in Spain from ex­
cessive fatigue in attempting to extend his labors to Barcelona, a distance
much further than had been required o f him.
The result o f the opera­
tions in which these savans were engaged, was, that a quadrant of the
meridan lying between the Equator and the North Pole measured 5,130,470 toises, and that the ten-millionth part o f this quantity, which was to
form the standard unit, was therefore equal to 443,293 lignes.
THE NEW NOMENCLATURE.

The unit of the measure of length, thus ascertained, was discriminated
a metre ; and being established as the legal standard upon which all other
weights and measures were to be predicated, the Academy proceeded to
to devise a new nomenclature.
The metre is almost exactly the length
of the seconds’ pendulum at Paris, or about 39^ English inches.
The unit of measures of capacity is a cube, whose side is one-tenth o f a
metre. It is called a litre, and is equal to about 2^ pints.
The unit of weights is the gramme.
It is the weight in vacuo o f a
quantity of pure water, and its maximum of density, that shall exactly fill
a cubical vessel, each side of which is one-hundredth part of the metre.
It is equivalent to about 15|- grains, Troy.
In land measures, the unit called the are, is a square surface, each of
whose sides is ten metres. It is nearly equal to four perches.
The unit of measure for fire-wood, denominated the stere, is a cubic me­
tre, comprising about 35^- English cubic feet, or somewhat more than one
fourth of a cord.
In order to express the .decimal proportions, the following vocabulary
of names has been adopted:
For Multipliers:
word Deca— prefixed, signifies...................................
word Hecto— prefixed, signifies................................
word Kilo— prefixed, signifies....................................
word Myria— prefixed, signifies................................
On the contrary, for Divisors:
the word Deci— expresses the..........................................
the word Centi—expresses the........................................
the word Milli— expresses the........ ...................... ..........

the
the
the
the

10
100
1,000
10,000

times;
times;
times;
times;

10th part;
100th part;
1,000th part;

It may assist the memory to observe that the terms for multipliers are
Greek, and those for divisors Latin. Thus, Deca-meler means ten meters,
Deci-metcr the tenth part of a meter ; Hecto-meter one hundred meters,
Centi-meter the hundredth part of a meter ; and so on for the rest.
“ The theory of this noraendature,” it is justly remarked, “ is perfectly
simple and beautiful. Twelve new words, five o f which denote the things,
and seven the number's, include the whole system of metrology ; give
distinct and significant names to every weight and measure, multiple, and
sub division of the whole system; discard the worst of all the sources of
error and confusion in weights and measures, the application of the same
name to different things, and keep constantly present to the mind the
principle of decimal arithmetic, which combines all the weights and mea­
sures, the proportion o f each weight and measure, with all its multiples




28

Svsteme M etrioue.

and divisions, and the chain of uniformity which connects together the
profoundest researches o f science with the most accomplished labors of art,
and the daily occupations and wants of domestic life, in all classes and
conditions of society.”
Such was the principle of the new system proposed by the Academy
o f Sciences in Feance, and the adoption of which, in that country, was en­
joined by a law enacted December 8, 1799, and which is now in a fair
way of being introduced into the United States.
THE NEW WEIGHTS AND

MEASURES

COMPARED WITH

THOSE AT PRESENT

IN USE.

The following tables o f the metric system will place before the reader
at a glance the relative value of the new weights and measures to one
another, and to those at present in use among us :
MEASDRRES OE LENGTH.

1
1
1
1
1
1
1
1

Names.
m y r ia m e te r ........................................ . . .
k ilo m e te r.....................................................
hectom eter...................................................
decam eter......................................................
M E T E R .......................................................
d ecim eter.....................................................
centim eter....................................................
m illim eter....................................................

Meters.
10000
1000
100
10
1
0 .1
0 .0 1
0 .0 0 1

Inches.
S93708. —* 6 .2 1 miles.
39370.8 —
0 .6 2 miles.
39 37.0 8 = 1 0 9.36 yards.
39 3.70 8 =
10 94 yards.
39.3708 =
1 .0 9 yards.
3.93708
0.39371
0.03937

A toise equal to 1 .9 5 meters, or 6 . 39'feet.

1
1
1
1
1
1
1
1

MEASURE* OF SURFACE.
Names.
Square meters.
square m yriam eter.............................................
luOOOOOOO
square kilom eter...................................................
. 1000000
square helim eter..................................................
10000
square decam eter.................................................
100
1
square m eter . ...... ...............................................
square decim eter..................................................
0 .0 1
square centim eter................................................
0.0 001
square m illim eter................................................
0.000001

1
1
1
1
1

Square inches.
155005913664.
1550059136.64
15500591.3664
155005.913664
1550 05913664
15.5005913664
0.15500591366
0.0 0155005913

square myriameter equal to 38.61 square miles.
square kilometer equal to 0.38 square miles.
hectometer equal to 11960.33 square yards.
decameter equal to 119.00 square yards.
meter equal to 1.20 square yards.
MEASURES OF CAPACITY.

1
1
1
1
1
1

Names.
cubic kilometer.
•
cubic heclimeter.................................
cubic decameter...........................................
cubic m e t e r ...................................................
cubic decim eter.................................
cubic centimeter.................................

Cubic meters.
1000000000
1000000
1000
1
0.001
O.OOCOOl

Cubic inches.
61027053379431 .
61027053379.431
61027053.379431
61027.053379431
61.027058379431
0.0610270533794

1 cubic meter equal to 1.31 31 cubic yard.
LAND MEASURE.

Names.
Square meters.
1 hectare.................................
10000
1 ARK........................................
100
1 c e n tia r c ,..........................
1




Square yards.
11960.33
119.6033
1.196083

=
=

2.47 acres.
3.95 square rods.

29

Systeme Metrique.

1866]

WOOD AND TIMBER MEASURE.
Cubic meters. Cubic inches.
61027.05
......................................
1
6102.705
610.2705
centister..............
61.02705
1.001
m inister.............. .....................................
Names.

1
1

Cubie feet.
35.316
3 .5 316
0.3 532
0 ,0 3 5 3

1 ster equel to 0.276 cord.
LIQUID AND DRY MEASURE.
Names
1 kiloliter ....................................................
5 hectoliter.....................................
1 decaliter......................................
1 LITER ............................................................
1 decaliter......................................

Cubic meters.
i

0 .1
0 .0 1
0.001
0.0001

Gallons
264 2
2 6 .4 2
2 642
0 .2 6 4
0 .0 2 6

Pints.
2 1 1 3 .5
2 1 1 .3 5
2 1 .1 3 5
2 .1 135
0 .2 1 1 3

Bushels.
83.047
3.3 047
0 .3 3 0 5
0 .0 330
0 .0 033

MEASURES OF GRAVITY OR WEIGHT COMPARED WITH TROY WEIGHT.
Cubic meters
o f water.
Names.
t k i l o g r a m .. ...............................
O.nOl
0.000001
■4 G R A M ...........................................................
1 decigram ..................................... 0 .0000001

Penny­
weights.
64 3.3
0.6 43
0 .0 6 4

Grains.
15438.
15.438
1.543S

Ounces.
32.163
0 .0 3 2
0 .0 0 3

1 kilogram, 2 .6 8 pounds, troy.
MEASURES

i
1
1
1
1

OF

GRAVITY OR WEIGHT COMPARED WITH AVORDUPOIS
WEIGHT,

Names.
myriagram ..................................
k ilo g r a m .................................... ...
hectogram .....................................
decagram ......................................

Grains.
10UO0
1000
100
10

: ............................................................

1

gram

Drams.
5646.
5 6 4 .6
5 6 .4 6
5 646
0 .5 6 5

Ounces.
852 9
■35 29
3.5 29
0 352
0 .0 3 5

Pound*.
22,055
2.2055
0 .2 2 0 5
0.0 221
0 .0 0 2 2

A quintal is 100 kilograms, aqd is equal to 220 55 pounds.
A millier (used for marine tonnage) is 1000 kilograms, and is equel to 2205.5
pounds.

In the bill before Congress the larger weights are the quintal and ton ;
the quintal being the same as the French quintal, and the ton the same
as the millier. Hectogram is to be called heeto, for short; and kilogram
kilo (pronouncing the vowel i in the latter the same as it is pronounced
in kill, or as in marine). Decaliter will be named, for short, deca. These
abbreviations have long been adopted in France.
APPROXIMATE EQUIVALENTS.

The bill also provides that for the purpose o f assessing or collecting du­
ties and taxes, for the sale or transfer of the public lands, and for all pur­
poses whatsoever, where strict accuracy is not required in order to prevent
interference witli contracts before entered into, the following approximate
equivalents shall be used until rates, priees, or xuantities be fixed accord­
ing to the standard of weights and measures enacted by the a c t:
LIST OR APPROXIMATE EQUIVALENTS.

1
5
1
!
1

decimeter.
m e te r ....
decameter
kilometer.
ceutiare. .

,
=
=
=
=




4 inches.
1.1 yard.
0 .5 chain.
0.625 mile.
1.2 square yards.

I
1
1
1
1

hectare..
l i t e r ___
kilogram.
kilogram.
ton . . . . .

=
=
=
=
=

2.5 acres.
05.875 gallon.
32 ounces, troy.
2.2 lbs. avordup’a
1 ton of 2,240 lbs.

30

Systeme Metrique.

[July,

The bill further provides that every rate, price, or quantity that is now
or hereafter may be fixed by law shall, on the adoption of the new stand­
ard, be held to be increased or diminished according to the above approx­
imate ratio,until a new rate, price, or quantity be fixed by law in lieu
thereof; but nothing contained in the act shall be held to interfere with
any contract heretofore entered into, or any grant heretofore made, so as
to prejudice any person or persons in the United States.
PROVISIONS OP THE NEW ACT.

Among the provisions of the bill legalizing the metric system, are the
following:
That for the purpose o f the post office one ounce shall be considered
equivalent to thirty grains, until or unless rates of postage be enacted with
special reference to the new standard.
That the public lauds shall, as heretofore, be surveyed in townships of
thirty-six sections, except that each section, when not fractional, shall, as
nearly as may be, contain 256 liectacres ; provided, however, that the Com­
missioner of the General Land Office may cause such portions to be sur-*
veyed with the chain of sixty-six feet as in his judgment may be necessary
to avoid inconvenient irregularities in joining on to or subdividing previous
surveys.
That the Secretary o f the Treasury shall cause to be prepared a list o f
the coins of the United States (which shall be of the same weight and
fineness as now provided by law), showing their weight in grains and de­
cimal parts thereof; as also the extent o f deviations now permitted in ad­
justing the weight of coins.
That from the time o f the passage o f die act it shall be lawful for an.y
person to buy, or sell, or contract by the metrical system o f weights and
measures.
A COMPROMISE SYSTEM

ADOPTED FOR A TIME IN FRANCE.

Although the agents o f the French government and the higher classes
in the commercial world soon understood and adopted the metric system,
the smaller tradesmen and laborers were unwilling to charge their mem­
ory with names which sounded so unlike their accustomed language. Con­
sequently the Emperor Napoleon— doubtlesss not unwilling to yield to the
prejudices of the people against a system that had been introduced into
the country by a republican government— caused an imperial decree to
be promulgated, February 12, 1812, that tolerated the names of the old
measures in the retail purchase o f goods; but, at the same time, by a slight
modification, the value o f those measures were-so fixed as to bear certain
definite proportions to the standards of the decimal system. It was also
required that the measures should bear ootli graduations, that is the car­
penters’ rule should have mi one side the metrical divisions and on the
other those of the toise and its subdivisions ; and the aune, or ell, should
bear on one of its sides its former divisions of halves, quarters, eighths,
ike., and on the other the corresponding metres and centimetres; in order
that both the purchaser and the dealer might be enabled to convert one
measure into the other.
The old and new systems thus combined formed what was called the
System usuel ou transitoire. Under it a measure or two metres was called




The European War.

31

a toise, which was divided into six feet; and the foot, which was one-third
of a metre, was divided into twelve thumbs, and the thumb into twelve
lines. A measure for cloth the length o f twelve decimetres was called the
aune, or ell, which was divided into halves, quarters, eighths, and six­
teenths , as well as into thirds, sixths, and twelfths. In like manner the
half of a kilogramme was denominated a livre, a pound, which was di­
vided into sixteen ounces; ane the ounce was subdivided into eight gros,
which was further split up into haves, quarters, and eights. For the retail
sale of spirits, etc., the litre was divided into halves, quarters, eighths, and
sixteenths; and for dry measures one eighth of an hectolitre was called a
boisseuu, which had its double, its half, and its quarter.
How absurd this system appears when compared with the simplicity of
the metric system, and yet if the reader will reflect he will find that it
very closely resembles the system at present in use in our own country.
The system usuel could only be legally used in retail sales, all whole­
sale dealers being compelled to follow the metric system.
Its introduc­
tion was attended with many difficulties at first, but it finally led to almost
the exclusive adoption o f the old system, which it was the province o f the
metric system to supersede. In consequence of this a law was passed, in
the reign of Louis Philippe, in July, 1737, interdicting, under a severe
penalty, after the 1st of January, 1810, the use o f all weights and mea­
sures other than those of the metric system.

THE EUROPEAN WAR.
Probably before this is seen by our readers, the strife whieh has so long
been fomenting on the continent o f Europe will have begun. As we write,
news reaches us of the entry of the Prussians into Holstein, which has
been evacuated by the Austrians. The Congress which was to have as­
sembled at Paris made just enough progress to show the hopelessness of
any further attempt to preserve peace. Austria coupled her acceptance
with a distinct assertion that she would entertain no propositions looking
to the cession of Venetia; Italy acceded with an equally distinct declara­
tion of the vital necessity of the acquisition of Venetia to her own internal
peace; and Prussia, angered, almost at the very moment of her acquies­
cence, by an Austrian decree in which the whole affair of the Danish Duchies
was decided in contempt of the Prussian policy, gave the Powers plainly
to understand that she could not consent to wait more than a fortnight
upon the action of the projected Congress. With sueh belligerent feelings
exhibited by each of the principal parties, the failure of the Congress was
a foregone conclusion.
With the chances of war thus imminent it is worth while to consider
what that war will be, what it may beeome and how it will affect the
United States. And first it will differ from any recent struggle in which
Austria has been engaged, in this very important particular, that the nonGerman populations subject to the Austrian rule appear to be throwing
themselves with extraordinary ardor into the defence of the Imperial
throne against the Prussian aspirations after a decisive supremacy in Ger­
many. The best information accessible on this point seems to put it be­
yond a doubt; and when we consider that the non-German populations




S2

The European War.

[July,

of Austria, exclusive o f her Italian dominions, amounted in 1851 to more
than 24,000,000 o f souls while her subjects of German origin numbered
less than 8,000,000 o f souls, it will be easy to see with what a tremendous
additional force a real warlike enthusiasm on the part o f these vastly pre­
ponderating races must arm the Empire. It is a great mistake o f which
the English press is guilty when it insists upon treating the coming out­
break in Central Europe as the work simply of the contending ambitions
o f a Premier on the one side and a Kaiser on the other.
The gradual admission of the non-German populations of Austria to
something like constitutional relations with the Empire has given strength
to the adherents in Austria of a policy which looks, not to the consolida­
tion of Germany under an Austrian sovereign,but to the prevention of the
consolidation of Germany under a Prussian sovereign. To keep Germany
disunited, and thereby to rob the forty millions of the German race of the
legitimate preponderance which, if once united, they cannot fail to acquire
in Central Europe, is, in the eyes of those who represent this new Austrian
policy, to secure suih a preponderance to the non-Germanic Austrian
Empire. By her Eastern subjects Austria has for years been made liable
to grave dangers from the l ’nnsclavic aspirations and intrigues of Russia.
By her Western relations with Germany she is exposed to the seductions
of a Teutonic imperialism. The election of a Prussian prince, Charles o f
Hohen Zollern, to the sovereignty of the Roumanian principalities on the
Lower Danube, would threaten her with Germany on the East as well as
on the West, were she to be defeated in the impending w ar; and the ge ieral rallying of her heterogeneous “ peoples,” as Kossuth used to call them,
around the standard of the Kaiser can only be rationally interpreted as an
evidence of the fact that the conception of an united Austrian Empire,
powerful enough to arrest the crystallization of German unity on the one
hand, and the progress of Russian domination on the other is at last be­
coming popular throughout the vast realm o f the Hapsburgs.
If this view of the temper and purposes with which Austria will enter
the war be correct, it follows, inevitably, that however reluctantly the
Prussian people may begin the fight, their passions not of nationallity
only, but race, must very soon be enlisted in supporting it.
Count Bismark is said to have replied to some one who endeavored to alarm him
by dwelling upon the popular opposition to the w ar'in Prussia: “ Yes,
yes, that is very true, but a single victory or a single defeat will change
the whole current.” Those who remember the conditions o f popular feel­
ing in this country at different moments during our recent struggle, will
appreciate the knowledge of human nature displayed in this observation of
the Prussian ruler. Whatever else may be said for or against Count Bismark, the credit of a cool and masterly perception o f the circumstances
amid which he is guiding his Ship o f State, and of an unscrupulous promp­
titude in availing himself of these circumstances, cannot be denied him. It
is upon these qualities in her Premier, even more than upon the admirable
condition of her exchequer, and the excellent organization of her army, we
opine, that Prussia will find herself compelled to rely most earnestly when
the shock of actual conflict comes with her gigantic enemy, Austria has
not as yet shown that she possesses any statesman fitted to cope with th©
astute and audacious minister of King William I.
The armies which the different powers will bring into the field will o f




1866]

The European War.

33

course be large. It is the custom, owing to an inaccurate view of the
Hungarian campaign, to disparage the military power of Austiia. but it
is really exceeded only by that of France. The Kaiser controls half a
million of efficient soldiers, supported by an unresisted conscription, care­
fully organized, particularly since the experience of 1859, and full of high
military pride, and the Emperor can in the last resort rely on immense
levies of races who, like the Croats, are alike ignorant and careless of the
merits of any contest. The immense number on the rolls must, however,
be reduced by at least 100,000 men to be left in Venetia, 100,000 in
Galicia and Hungary, and 50,000 more engaged in the fortresses and
regular garrison duty. On the other hand, the King of Prussia has the
immediate control of only 250,000 men, but he need not garrison any
part of his dominions except the Duchies, He has besides the support of
a very swift and effective conscription— the organization under which every
man in Prussia is not only to serve, but trail ed to do it well. Ilis army
is betU r armed than the Austrian, comprises a magnificent artillery,
honestly believes that the Danish war raised its military reputation as
highly as Waterloo, and has an advantage which its rival does not, we
believe, possess— the help o f a system o f laws, framed by Frederick the
Great, and by no means dormant, under which every horse, every cart, and,
indeed, all supplies throughout the kingdom may be made instantly avail­
able for the service of the State. In finance the Prussian Government has
slightly the advantage, as she possesses, besides her revenue, a reserve
treasure of some ten millions, which would last till a won battle enabled
her Government to raise a loan, or a lost one called out the patriotism of
the Chamber, which in extremity dare not leave an army based on the
whole population without supplies.
The Italian attack'upon Austria must be regarded, no matter how for­
midable its proportions may become, nor how gallantly it may be con­
ducted, as a diversion in favor of Prussia with the connivance, and in the
ultimate interest of France.
The practical neutrality of Russia being
guaranteed by the attitude of England, who will probably never again
draw the sword to redress any balance of power on the Continent o f
Europe, but who would, unquestionably, spring from her slumber like a
lion to arrest any new demonstration of the Czar toward Constantinople,
France has become the practical arbiter, in the last resort, of every serious
effort at a “ reconstruction of the map of Europe
and whatever may be
the changing incidents and accidents of the summer’s strife, we may be
sure that the ultimate determination of its results will proceed, with
authority, neither from Berlin nor Vienna, nor Florence, but from the
Tuileries: and when one great battle has been fought Napoleon becomes
the master of the situation able to demand his own price. Once France
moves, the war would be European in its range. The assailed wrould be
fighting for life, and would be compelled either to draw England into the
struggle, or that proving impossible— an assumption much too hastily
made while the Belgium is on the Rhine, and Turkey almost guaranteed—
buy the immense assistance o f Russia. Such combinations are of course
at present mere dreams; but with Austria and Prussia in open conflict
public law ceases in Europe, and anything becomes possible to those who
have bayonets at command. The scene o f 1815 may be repeated, and
though the war is almost sure to be short, it may accomplish changes as




31

The European War.

[July,

great as those which are registered and legalized by the Congress of
Vienna. England is for the present fairly out of tne fray, though the
ultimate result of all such wars, its compensation of the strong at the ex­
pense of the weak, may yet drag her into its vortex. As between Prussia
and Austria compensations are possible to almost any extent and o f little
concern to this country, which at heart would see Germany divided into a
Northern and Southern Empire not only with indifference but with plea­
sure. But France wants for her price a frontier which the elder statesmen
of England fear to concede, may ask one which they would resist by force.
Russia wants bits of Turkey, while Italy must have Venetia and possibly
Friuli and Italian Tyrol. And since Austria, bv her hold on the fortresses
known as the Quadrilateral, occupies a position on the Italian Peninsula
from which it will be extremely difficult for the Italians to dislodge her by
a direct front attack from the side o f Lombardy, it is by no means im­
probable that the war will begin on the South of the Empire by the efforts
o f the Italian volunteers to excite a revolution in the Alpine districts of
Austrian Italy, combined with naval demonstrations against Upper Dal­
matia and Trieste.
The sympathies of the United States in'this struggle will, without doubt,
be with Italy. Austria has already lost ground, before a battle has been
fought, or a gun fired, by her course with regard to a Congress. She has
thus placed herself in precisely the position her enemies would have chosen
for her. But those who imagine that the United States will be only benetitted by the outbreak, must have examined very superficially the bearings
of the question. Our development is, to an important extent, dependent
on European capital.
Not less than $250,000,000 of our securities are
held in Europe ; we, in the meantime, employing the capital advanced
upon them for the creation of wealth. The people of the Continent are
large consumers of our products, ana we in turn are dependent upon them
for the supply of a vast amount of merchandize, which, under existing cir­
cumstances, we can buy from them more advantageously than we can pro­
duce the articles ourselves. W e are also largely dependent upon European
credits for the importation of this merchandise. Indeed, for all practical
purposes, there is the same sort o f inter-dependence between the Old
W orld and the New W orld as exists between the several States of our own
Union.
Although it is true that the war involves no suspension of our trading
relations with the Continent, as in the case of belligerents ; yet it is in­
evitable that it must produce a very important modification o f those rela­
tions. One of the first results o f war is to cause bankers to call in their
loans, partially from motives o f caution and partially for the purpose of
placing themselves in a position to respond to the requirements of their
government.
W e are now beginning to feel the effects of this course.
Our importers find it impossible to avail themselves of their customary
letters of credit upon the Continental cities, and a large proportion of our
Fall importations must consequently be paid for in cash. This fact has
not only an important bearing upon domestic monetary affairs, but it
must result in a large curtailment of our importations; which means a
diminution of the trade and enjoyments of our people.
W e are experi­
encing another adverse result in the withdrawal of European capital allowed
to remain here for employment. Letters by the Scotia called home a con­




1866 J

The European War.

35

siderable amount o f funds thus held— one firm, we understand, having
remitted a single balance of over $1,000,000.
The large shipments of
specie this week have been chiefly destined to the Continent, and are in
response to demands of this character. To what further extent this pro­
cess may be carried it would be premature, at present, to estimate; but
foreign bankers are apprehensive that further large remittances on this
account may have to be made.
It yet remains to be seen whether any derangements will arise from the
return of Five-twenties from Europe. Probably not less than $200,000,000
of our bonds are held in States likely to be directly implicated in the war.
Thus far, the bonds returned from Europe have consisted chiefly of the
supply held by dealers, who have probably realised upon them, on account
of their being less depreciated than other securities. W e find no reason
for modifying our opinion, previously expressed, that the mass of private
holders will hold the bonds firmly on account o f their security, and being
less liable to fluctuation than other loans. A certain amount of Fivetwenties, however, is held by manufacturers and merchants: and it is
questionable whether this class of holders, being driven bv the curtailment
of bank credits to realize upon their reserve capital, will not prefer selling
our bonds, as the securities upon which they would lose least through
realization. Private financial advices indicate the commencement of a
movement of this character. Should the process be carried on to an im­
portant extent, it is quite probable a salutary check would be imposed
upon it by the New York gold market. The shipment of gold, in pay­
ment for bonds thus returned, would cause an advance in the premium,
which would so far reduce the gold value of the bonds as to neutralise the
motive for sending them here for realization. It is, however, to be sup­
posed that this realizing movement would prove to be but temporary.
The mercantile sellers would, after a brief period, find their assets coming
into their hands, and, having again an unemployed surplus, they would be
likely to invest in Five-twenties, which to them would appear cheaper and
saler than any other investment. It is, again, a question whether, in the
probable event of money becoming cheap in England at an early day,
there is not a chance that London dealers would buy largely of the bonds
thus temporarily thrown overboard by the Germans, with the hope of
being able to sell them at Frankfort at a profit, after the subsidence of the
first panicky effects o f war.
It is to be anticipated, as a natural consequence o f the interruption of
agriculture on the Continent, that war would be accompanied with an
enlarged demand for our food products at enhanced prices. Apparently,
this would increase our ability to pay for our imports o f merchandise ;
and yet only apparently, for it is not to be overlooked that the war would
cause a loss upon our exports o f cotton far exceeding any gain upon our
shipments of Western produce. Europe consumes one third of our cotton
cro p ; and the contraction of this large source of demand would cause a
material depreciation of the value of the entire crop, besides reducing the
price of the large amount now held on American account at Liverpool.
These are some of the many considerations which go to show that
Americans, in common with all who have trading relations with the Con­
tinental States, cannot but be effected injuriously by a European war.




36

Trade o f Great Britain with the United States.

[July,

TAXATION OF GOVERNMENT BONDS— KOTE.
In the article on“ Taxation of Government Bonds ” in the June number o f the M aga ­
zine

(pages 409, &c.,) there were two or three typographical errors which changed or

destroyed the meaning of the sentences in which they occurred ; well illustrating the
truth that man composes but the devil prints.

On page 410, 20th line from top, the

word printed “ over taxed u should read urataxed.
‘ our community ” should read one community.

Page 411, 24th line from top,

Page 411, 12th line from bottom,

“ when capital ” should read where capital.

TRADE OF GREAT BRITAIN WITH THE UNITED STATES.
COTTON, BREADSTUFFS PROVISIONS ETC.

' [Our London correspondent furnishes us an analysis of the cotton trade between
Great Britain and the United States for the four months ending April 30th, prepared
from the official returns first issued and those of previous years. As regards the
total va'ue of imports, the returns embrace a period of only three months ; but dur'
ing this period in the current year, the computed real value of the principal articles
imported was very high, and was nearly £14,000,000 in excess of 1865. The two
leading items causing this increase are cotton and breadstuff*, the augmented value of
the former being to the extent of £7,000,000, and of the latter £3,000,000. The
value of imports in each of the first three months of the last three years was as
under :—
1864.
£7.520,356
13,214,541
16,396,928

1865.
£6,398,922
12,891,252
13,005,394

1866.
£9,8‘7,564
16,610,159
19,891,204

Total............................................................................. £37,18 ,825

£32,295,568

£46,348,972

January............................................................................
February.........................................................................
Mirch................................................................................

Respecting the exports of British and Irish produce and manufactures, the returns
extend to the end of April. In that month, as compared with March, trade declined
to the extent of rather more than two millions sterling ; but the figures show an
increase over January, February, and over the corresponding months in the two pre­
ceding years. They are as follows :
EXPORTS OF BRITISH AND IR ISH PRODUCE AND MANUFACTURES.

January...........................................................................
February..........................................
March..............................................................................
April...............................................................................

1864.
£10,413,586
12,698,121
13,555,674
13,225,039

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

£49,892,420

1865.
1S66.
£10,489,339 £14,354,748
11.376,214
15,116,063
13,770,154
17.520,354
12,071,111
15,366,414
£47,706,818

£62,357,579

The total value of imports from the United States during the three months ending
March 31, was as follows:
From Atlantic ports, Northern.....................................
**
Southern .....................................
Pacific ports...................................................................

1864.
£3,385,142
77,263
115,555

1865.
£1,843,898
62,323
19,238

1866.
£5,37*,477
6,-21,19?
43,097

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

£3,577,9G0

£1,925,514

£12,241,771

The exports during the same period stood thus :
To Atlantic ports, Northern............... ..........................
“
Souther ..........................................
Pacific ports...................................................................

£6,699,353
36,839
171,835

£3,178,228
18,718
79,643

£9,137 644
298,312
218,997

£6,908,027

£3,276,594

£9,654,953

T otal.................................................................... .




1866]

Trade o f Great Britain with the United States.

37

COTTON.

Respecting cotton, we find that the United States, the Brazils, and the East Indies
have furnished during the present year increased supplies. On the other hand
the imports from Turkey, Egypt and minor countries have declined, whilst the
import trade in cotton, so far as China is concerned, is quite suspended. According!
however, to the latest advices from China, it appears that a few cargoes are now
afloat for Liverpool, but the quantity of produce they are likely to bring cannot have
any effect on the market. The total imports in April amounted to ],663,925 cwts.
against 592,096 cwts. in 1S65, and 627,452 cwts. in 1864. For the four months end’,
ing April 30, the imports were of the following magnitude :
IMPORTS OF COTTON INTO THE UNITED KINGDOM.

From United States,.........................
Cwts.
. “
Bahamas and Bermuda,............
. “
Mexico........................................
. it“
Brazil..........................................
Turkey........................................
E^ypt.......................................... ........ “
it
British India..............................
it
China..........................................
u
Other Countries.........................
Total..............................

1864
20,428
95,847
99,752
95.583
53,679
360,278
775,307
210,118
58,379

1865
38,029
137,309
106,914
161,630
87,056
600,693
635,510
142,818
115,4 0

1866
1,814.879
2.602
3,145
267,530
5 >.737
402,495
1,0« vfrO

1,759,423

2,025,3G9

3,689,434

72,666

From the foregoing it becomes evident that in considering the important question
of the future supply of cotton, Brazil must occupy a prominent place. No other
country has made during the past few years the same steady and rapid progress in
the cultivation of the great staple. In 1S63 less than 170,000 bales of 160 lbs each
were shipped from all ports. This year, its believed, the quantity will amount t >
nearly 600,000 bales. This extraordinary increase is in7t.he face of an export duty
exceeding 12 per cent., aDd an exhausting war, which among other evils, has deprived
the cotton grower o f thousands o f laborers.
The export demand for cotton in April was largely in excess of that for April last
year— the quantity taken by exporters in April having amounted to 294,960 Cwts.,
against 131,965 cwts.last year, and 189,418 cwts. in 1864. For the four months the
figures show a corresponding increase, the shipments to the leading consuming coun­
tries from the United Kingdom being as follows :
Russia, Northern ports.......
Prussia..................................
Hanover...............................
Hanse Towns.......................
Holland............................... .
Other countries..................

........

1804.
19,340

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

115,8S5
227,169

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

1865.
2,265
277
11,335
104,791
57,296
243,464

1866.
29.J46
27,757
5,033
37 <,31S
171,346
418,684

419,428

1,026,0S4

The computed real value o f our cotton imports for three months was £17,903,379,
against £10,819,439 last year, and £12,124,875 in 1864.
BREADSTUFFS.

The returns show an increase of more than one hundred per cent, in imports of
wheat from all quarters as compared with the corresponding month last year. France
continues to furnish liberal supplies, and from Russia, there is a large increase. The
United States figure in April for only 12,000 cwts., but that is an increase of 9,000
cwts. as compared with the same month last year. The leading import of flour is
now from France. The statement of imports is ae follows ;




38

Trade of Great Britain with the United States.

[July,

IMPORTS OF W HEAT AND FLOUR INTO THE UNITED KINGDOM IN FOUR MONTHS.
W

1864.
630,489
1,530,698
343,793
128,384
191,429
300.443
432,497
104,381
312,633
2,835,400
10.838
154,322

1865.
1,231,453
382,113
88,234
52,949
97,195
29.309
176,907
169,312

1866.
3.092,245
409,222
39.520
39,520
82,827
87,425
1,740.207
218.788

127,924
2,294
214,831

303,084
8,789
1,145,723

Total...............................................................................
Hanse Towns..........................................cwt.
France...................................................................
United States.......................................................
British North America........................................
Other countries....................................................

7,041,307
136.768
1,217 815
816,607
4,256
3S,440

2,573,521
85,392
767,622
94,238
11.385
20,739

7,183.408
78,127
2,011,452
162,412
6,043
86,374

Total...

2,213,886
578,276
1,129,001

98o,376
1,316,017
1,292,492

2,344,408
4,074,576
1,757,571

h eat—

From Russia........................ cwts...........
Prussia............... ..............................
Denmark............. . .................. .........
Schleswig, Holstein and Lauenburg..
Mecklenburg......................................
Hanse Towns......................................
France..................................................
Turkey and Wallachia and Moldavia
Egypt...................................................
United States ...................................
British N -rth America.......................
Other countries ................................

F l o u r — From

I n d ia n C o r n ,
O a t s ................

The annexed statement shows the value of our piincipal exports of Biitish and
Irish produce to America, during the four months ending-April 30, in each of the
last three years:
EXPORTS TO THE UNITED STATES FOR FOUR MONTHS.

Alkali............................................................................
Beer and a le .................................................................
Coals..............................................................................

1864.
£155,503
2-2,173
41,151

1865.
£131,745
11,4(2
27,100

1866.
£352,240

903,419
102,119
104,510
511,038

411,550
31,762
109,736
244,141

1,698,969
123,S05
248,044
648,509

40,980
40,083
124,139

37,404
22,783
52,349

120,778
48,712
259,983

1,117,075
79,559

715,140
48,815

1,658,093
86,110

102,639
396,892
427.849
7,053
120,387
139.850
234,098
11.718
150,346
315.809
43,332
11,898

21,591
48,946
38.536
1,053
15,441
58,208
94.107
9.107
5.007
229,440
39
8,630

127,548
223,428
190,404
0,343
111,891
90,111
222,551
23,694
59,065
548,575
49,971
48,675

44,910
10,882
22,357
49,988
5,846
28,702

19,253
999
9,082
32,328
9,970
303
250

75,564
5,489
21,549
48,522
27,973
3,734
242

468,881
19s,376
40,223

148,641
34.108
7,511

422,456
287,775
16,314

1,081,240

544,321

1,606,374

C otton M a n u factu res—

Piece goods................................................................
Thread .....................................................................
Earthenware and porcelain..........................................
Haberdashery and millinery........................................
H

ardw ares and

Cu t l e r y —

Knives, forks, & c.......................................................
Anvils, vices, &c....................................................
Manufactures o f German silver................................
L in e n M

25,006

an u factu res—

Piece goods...............................................................
Thread........................................................................
M

20.222

etals—

Iron—P ig ..................................................................
Bar, &c.............................................. —..........
Railroad.........................................................
Castings..........................................................
Hoops, sheets & boiler pla’s .........................
W rought............................................ ..........
Steel—Unwrought...................................................
Copper, wrought.......................................................
Lead, pig....................................................................
Tin plates...................................................................
Oilseed...........................................................................
Salt................................................................................
S il k M an u fac tu re s—

Broad piece goods.....................................................
Handkerchiefs, &c.................................................
Ribbons.....................................................................
Other articles of silk only........................................
Manuf. mixed with other materials.........................
Spirits, British.............................................................
W ool..............................................................................
W

oolen

21,200

M an u factu res—

Cloths of all kinds....................................................
Carpets and druggets................................................
Shawls, rugs, & c..................................................
Worsted stuffs of wool only, and of wool mixed wdth
other materials..........................................................

During April 28 American vessels entered inwards at ports in the United King­
dom, against 23 last year, and 22 in April, 1864. For the four months euditg April




1866]

39

Trade with the British Provinces.

30, the aggregate was 151 vessels, of 152,589 tons ; against 83 vessels, of 93,2*72 tons
in the corresponding period last year ; and 133 vessels of 151,589 tons, in 1864. The
clearances in April were 51, against 27 last year, and 45 in 1864, For the four
months they reached 188, against 94 in 1865, and 143 in 1864. Of all nationalties
the entries into the United Kingdom from United States’ ports were 133. against 35
m April last year, and 63 in 1864. These figures raise the total for the present year
v iz .: from Jan. 1 to April 30, to 546 vessels: And a comparison with previous yeats
shows favorable results, for during the corresponding months in 1865 the total was
confined to 156, and in 1864 it was 333.
The clearances of vessels, of all flags, from
the United Kingdom to the United States reached a total of 130. against 66 in April
last year, and 129 in 1864. The total for the year is 522, against 203 for the cones*
ponding months last year, and 331 in 1864.
PROVISIONS AND LIVE STOCK.

Below we give the arrivals of live stock and provisions during the four
ending April 30 :
LIVE STOCK.

Oxen, bulls and cows, number.
Calves, number.........................
Sheep and lambs, number........
Swine and hogs, number...........

1864.
21,143
6.262
58,378
4,437

1865.
40,719
6,093
96.134
21,369

1864.
347,383
164.856
70,222
260.604
162,088
99,350,040

1865.
232,242
81.585
58.390
292,398
177,271
107,821.440

PROVISIONS.

Bacon and hams, cwts.
Beef salt, cw t..............
Pork, salt, cw t............
Bntter, cw t..................
Cheese, cw t.................
Eggs, number.............
Lard, number..............

30,281

40,228

1S66.

225,8 g
72,567
80,662
270.945
127,305
140.,188,560
106,406

TRADE WITII THE BRITISH PROVINCES.
A resolution was some time ago adopted by the House o f Representatives calling
upon the Secretary of the Treasury to communicate certain specified information
with the view of assisting Congress in “ correctly estimating the trade resources ’>
of the British Provinces, “ and their relations to the trade and productions of the
United States.” The exact returns requested have not yet been presented, and there
is, therefore, no likelihood o f their being serviceable during the present session. With­
out waiting for them, however, Mr. Kelley, who sought the information, may form a
tolerably correct estimate by reference to official documents already in print. He
may learn, for instance, the growth and magnitude of the trade developed under the
Reciprocity Treaty, now no more, and may judge of its value to the United States
by a detailed comparison of our exports to the Provinces with the aggregate of our
exports to all other countries. For the enlightenment o f members like himself, we
have compiled a couple of tabular statements, Borne of the figures of which may
perhaps, surprise persons more familiar than Mr. Kelley professes to be with the
nature and extent of the interests concerned in onr export trade with the Provinces.
The first of these statements exhibits the total amount of imports and exports
during eleven years, ending the 30th June, 1864. It may serve both to convey an
idea of the annual aggregate o f trade between this country and the provinces
embraced within the Reciprocity Treaty and to correct the prevalent misapprehension
in regard to the relative proportion of imports and exports.




40

Trade with the British Provinces.

[July,

The second statement is now, we believe, for the first time published in its present
shape; and we commend it to the careful study of those who would comprehend the
value of the Provincial market to some of the leading branches of American indus­
try. With reference to some articles, it will be seen that our exports to the Prov­
inces exceed the total of exports to all other countries ; and, in more numerous instan ces, exports to the Provinces surpass in value our exports to any one o f the most
populous countries o f the old world. The claims of the Provinces to be classed
amongst the best customers of the United States seems, therefore, to be fairly estab­
lished.
1 —Imports and Exports from and to Canada and the British North American Provinces,
embraced within the Reciprocity Treaty, from June, 1858, to June, 1864.
Total Imports. Total exports.
Year ending June 30,1854----$8,927,560
$24,566,860
“
“ 1855 . . . .
15,136,734
27,806,020
1856.......
21,310,421
29,029.349
“
“ 1857........
22,124,296
24,262,482
*•
“ 1858........
15,806,519
23,651,727
“
“ 1859........
19,727,551
28,154,174
“
41 1860........
23,851,381
22,706,328
“
“ 1861........
23,062,933
22,745,613
“
“ 1862........
19,299,995
21,079,115
“
“ 1863.........
24,025,423
31,281,030
“
“ 1864.........
38,922,015
28,986,641
1L—Statement showing the relative position o f Canada and the British North American Prov­
inces among the thirty-two Foreign Countries to which the under-mentioned articles were
exported from the United Stales during the fiscal year ending 30th o f June, 1865.
To Canada &
To all
Brit. X. A.
other
Total
Articles exported.
Provinces. countries.
exports.
Acids...........................................................
....
$23,362
$48,930
$25,568
Animals, living—Horses...........................
....
59,073
51,157
110,230
Cattle...................................................
47,861
159,179
Sheep...................... ...........................
....
36,645
36,553
72,198
Other animals and fowls....................
3,668
17,691
14,023
Apples, green.............................................
....
367,672
111,584
479,256
Dried....................................................
56.844
99,561
Bark, etc., and tanners1dyes....................
3.600
154,895
158,495
Beef............................................................
3,178,211
3.304,771
Beer, ale, porter and cider..................
130,413
141,345
if.
Billiard tables and apparatus....................
6.001
46,762
40,701
Books—printed, blank and p o ck e t.........
63,474
399,080
335,606
Boots and shoes........................................
. ...
21S,256
1,804,954
2,023.210
Bricks.........................................................
11,575
49,295
60,870
Brooms and brushes................................
....
29,256
151,726
180,982
Butter.........................................................
6,968,802
7,234,173
Cables and cordage...................................
....
92,762
879,596
972,348
Candles, other than sperm and paraffine.
3,195,815
1,251,123
Carriages and parts, and children’ s d o ...
868,073
897,888
Cars, railroad and materials......................
. ...
11,950
365,919
377,869
Cheese.........................................................
....
234,565 11,450,362 11,684,927
Clocks ......................................................
13.942
891,539
905,541
Clothing—wool or cotton.........................
1,353,684
....
102,626
1,456,310
Clover seed................................................
....
22,464
424,381
446,845
Coal............................................................
793,039
1,348,371
Confectionery.............................................
38,663
45.456
Copper and brass, manufactures o f........ .
28,035
280,988
Cotton, other than Sea Island..................
5,381,195
5,424,370
Cotton manufactures—
Bleached, printed and colored............
23,423
594,800
618,223
Brown drills, sheeting, etc.................
27,402
44,742
All other...............................................
2,465,800
2,558,876
Drugs used in the arts..............................
....
29,249
22,423
51,672
Earthen and stone ware............................
71,934
87,957
7,713
43,505
51,218
g sg s............................................................
Fancy goods...............................................
400,075
450,606
Fertilizers...................................................
26,670
21,226
47,896
Fish, dried or smoked..............................
1,069,544
1,107,767
Fruits, dried and preserved..................... .
308,854
274.748
Glassware..................................................
1,245,588
3,093,709
Glue.............................................................
7,962
32,756
24,794
Hams and bacon........................................
10,184,0S5 10,521,702
Hardware....................................................
2,061,483
1,885,465
190,198
Hats o f wool, fur, or silk...........................
....
46,266
143,932




1866]

41

Provinces.
To Canada &
To all
Brit, N. A.
other
Provinces. countries.
175,505
....
109,246
150.147
880,460
1,328,400
1,877,718
...
237,920
9,125
21,810
2,649,091
...
233,603
1,256,283

Articles exported.

Hay__
H e m p ....................................................
Hides......................................................
Hops......................................................
Household furniture.............................
India rubber, manufactures of—shoes.

Iron and manufactures of—
Railroad bars or rails............................................
Castings and cast pipe........................................
Nails.....................................................................
27,028
Steam engines and boilers..................................
28,775
Other finished machinery...................................
83,353
Mac inery furnishings, & c.................................
49,509
800
Boiler plate and other wrought...........................
14,131
Safes and wrought doors ...................................
All other...............................................................................
274,361
Steel..... .............................................................
875
2,791
Steel springs and other mfs of, not spec............
Lampblack...................................................................
Leather and manufactures o f.....................................
27,950
Lime and cem ent.......................................................
4.911
Lumber—Laths, pickets, & c ..... ...............................
Marble and stone manufactures.............................. .
Rough stone......................... ; ..............................
Masts and spars...........................................................
7,866
Matches.......................................................................
500
Mathematical and scientific instruments.................
Medicines, prepared and patent................................
38,523
...
109,292
Musical instruments.................................................................
Ift9’292
Oils—Whale and other fish ......................................
59,295
Lard, &c., including tallow o i l ...........................
Onions..........................................................................
Oysters........................................................................
24,829
Paints Prepared ..........................................................
Paper and Stationery..................................................
Pickles and Sauces......................................................
Pork and Hogs........................................................................... 2,563,:
16,329
Potatoes.......................................................................
Rags............................................................................. .
4.702
R ic e ..............................................................................
Rosin and turpentine...... ...........................................
Rye and small grain—
Rye.........................................................................
Oats.......................................................................
26,088
Beans....................................................................
6,780
P eas...................................................................... .
Barley............... ....................................................
.. .
280,298
Salt ..............................................................................
Sand and other ballast.................... .........................
Scales and balances.....................................................
Seeds............... ................................... ... .•................
Shingles........................................................................
16,161
Skins other than fur....................................................
Snuff..,.........................................................................
Spirits and liquors other than Alcohol—
Whiskey.................................................................
3.255
Brandy......................... ...........................................
15,337
W in es.....................................................................
Cordials and all other...........................................
Starch............................................................................
Stoves and stove furnishings......................................
1,399
Straw g oods.................................................................
Sugar and molasses—
Brown....................................................................
18.643
Refined...................................................................
Molasses.................................................................
Tallow.........................................................................................
179,470
14,717
Tar and Pitch...............................................................
8,412
Telegraphic instruments and apparatus....................
Tinware........................................................................
.. .
629,728
Tobacco manufactured................................................
Cigars .
................... .........................................
9,402
Trunk and valises........................................................
Varnish.........................................................................
22,608
Vegetables not specified..............................................
Vinegar.........................................................................
VOL. LY.— NO. I.




3

Total
exports.
198,784
259,393
1,023,594
1,348,263
2,115,638
30,935
3,679,133
1,489,886

S3,632
16,736
908,752
574,777
2,016,771
5,320
754
44.530
602,285
3,032
53,881
4.842
334,651
57,439
22,258
134,439
40,7S7
134,568
145,724
1,213
81,932
161,219
757,199
129,504
203.717
112,590
173,905
670,611
38,065
4,292.086
708,264
173,314
58,728
148,896

103,072
61,058
935,780
603,552
2,100,124
54,829
1,554
58,661
876,646
3,907
56,672
5,485
517,717
85,389
27,169
184,512
69,816
139,904
153,500
1.713
120,455
270.511
816,494
155.454
220,694
122,169
198,734
766,428
42,553
6.855,906
724,593
176,979
63,430
157,662

96,035
172,234
171,808
173,280
4,179
75,171
7,698
134,528
175,145
158,034
596.623
37,897

133,430
256,949
197,896
18), 060
57,651
355,469
12,358
144,272
187,330
173,760
612,784
39,129

181,280
60,471
45,939
62,655
199,294
146,644
11,865

198,523
63,726
61.276
71,245
211.102
211,559
13,264

1,974
254, .62
4,048
4,799,665
61,317
83,164
96,662
2,910,251
130,827
198,543
54,787
51,353
54,481

20,617
284,946
16,268
4,979,135
76.034
91,576
100,872
3,439,979
140,260
207,945
66,982
73,961
40,100

[July.

Analyses o f Railroad Reports.

42

To Canada & To all
Brit. N. A.
other
Total
Provinces, countries, exports.
Articles exported.
10,714
323,084
333,708
Wagons, carts and wheelbarrows................. ........................
14,300,367 10,397,107
Wheat.......................................................................................... 5,006.830
Wheat-flonr................................................................................ 5,886,306
21,335,635 27,222,031
11,590
43.222
54,812
Window-sashes and blinds............................ ...........................
39,245
357,407
3' 6,652
Wooden ware ................................... ..........................................
70,443
787,793
858,236
Wood manufactures not specified............................................
33,941
220,780
254,721
W o o l...........................................................................................
53,693
78,851
132,544
Woolen cloths and other manufactures of wool not specified.
255,689
285,194
540,883
Unenumerated articles..............................................................

ANALYSES
I.

OF

RAILROAD

R E P O R T S . No.

10.

,

Pittsburg F ort Wayne and Chicago Railw ay.—I I . Illinois Central Railroad.—III. Chicago
and Rock Island Railroad.

PITTSBURG, PORT IVAYNE AND CHICAGO RAILWAY.

The Pittsburg, Fort Wayne, and Chicago Railway Company are a reorganization
of the P. F. W. <k C. Railroad Company, which in 1856 (August 1) had been formed
by consolidating three original companies whose lines conjointly connected the cities
o f Pittsburg, Pa., and Chicago, 111. The latter, having become involved in debt, was
sold out under foreclosure on the 24th October, 1861, and purchased by the agents o f
the present company, formed February 26, 1S62, to which the property was finally
conveyed March 1, 1862. This change having been made with the sanction of the
stock and bondholders of the old corporation, involved no business revolution, but was
simply an amendment in financial arrangement for the benefit of all interests. Since
this period the reorganized company have made four annual reports, from which
we compile the following statements showing their material and financial condition at
the close of each year, and the operations of the company for the four years from
January 1, 1862.
RAILROAD AND ROLLING STOCK.

The main railroad of the company is 468 miles long ; and in reference to its total
length in equ'valent single track at the end of each year has exhibited the following
changes:
M ainline............................
Sec’d track...........................
Sideings...............................
T o ta l...............................

,-------- 1862.------, ,------ -1863..------ , ^— 1864.-----, ,-------1865.------,
E.D. W.D. Tot’l. E.D. W.D. Tot. E.D. W.D. Tot.E.D W.D. Tot.
188
280 468 188 280 468 188 280 468 188 280 468
16
.. .
16
16
...
16
26 .. .
26 26
1
33
27
19
46
34
34
68
41 41
82 47 48 95
231

299

530

238

314

552

255 321

576 261 335

596

The late Cleveland, Zanesville, and Cincinnati Railroad, commonly called the “ Akron
Branch,” 61 miles, was purchased by the company in 1865. This road extends from
Hudson to Millersburg, Ohio, crossing the P., F. W . and C. Railway at Orrville, 124
miles from Pittsburg, 8 8 from Hudson, and 23 from Millersburg.
Since July 1, 1865, the company has operated under lease the Newcastle and
Beaver Valley Railroad, from Homewood, (35 m. W. from Pittsburg) to Newcastle,
15 miles.
The use of that portion of the company’s railroad between Pittsburg and Rochester,
26 miles, is rented to the Cleveland and Pittsburg Company at $85,000 per annum.
By agreement dated December 15,1862, the P., Ft. W. and C. and the C. and P.
railroad companies consolidated their gross earnings, the aggregate to be divided to




1866]

43

Analyses o f Railroad Reports.

the first named in the proportion of 73-J per cent, and to the latter o f 26J per cent.
An amendment to this agreement, made Feb. 16, 1866, provides that whenever the
gross earnings of either road shall exceed the per centage fixed, such excess shall be
equally divided between the contracting parties.
The number o f locomotives and cars owned by the company at the close o f each
fiscal year has been as fo llo w s:
First class coaches..........
Second do
....... ............1 Sr 11
Mail cars...........................
Baggage cars....................
U -s l
Express cars....................
I
Emigrant cars.................. ................ JIfc
Box cars............................
f
..........\
Freight
j
Stock & caboose...............
!
Platf’rm & coal............... .......... J trains, ' L
Total cars...................

/—1862.—,
119
53
8
6
14
3
8 - 92
655
316
297“ 1,268
1,360

,—1864.—,
182
73
8
6
7
18
18
19
13
18— 143
1 6 - 128
812
626
535
433
520- 1,579 629- 1,976

r-1865.—.
189
93
8
7
22
19
18— 167
883
547
759-2,189

2,119

2,356

r-1863.-^
146

67
8

1,707

Besides which the company own a liberal supply of wood and working cars, snow
plows, derricks, A c , Ac.
BUSINESS OPERATIONS ON THE ROAD.

The following statements show the mileage o f engines, the mileage of passenger
and freight cars, the number o f passengers carried and the mileage thereof, the tons of
freight carried and the tons carried one mile for the same years.
Mileage o f locomotive engines hauling cars—
1862.
859,308
1,651,072
122,436
61.651

1863.
1,068,170
2,114,853
108,289
181,732

1864.
1,287,158
2,293,560
120,334
217,386

1865.
1,403,345
2,837,458
120,715
263,481

2,694,467

3,472,914

3,9x8,438

4,624,999

Passenger ca r s........ . ...................................
Baggage cars.................................................

1862.
2,246,228
1,132,696

1863.
2,855,280
1,258,797

18e4.
4,315,650
1,710,665

1865.
; 5,522,129
2,169,054

Total in passenger trains..........................
Freight cars............................ .....................

3,378,924
21,154,406

4,114,077
26,409,318

6,026,315
27,938,931

7,691,’ 83
34,093,899

Total miles run by cars............................

24,533,330

30,523,395

33,965,246

41,785,082

1863.
399,175
442,857

1864.
627,058
657,147

1865.
691,596
769,599

Passenger Engines........................................
W ood

“

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

Total..........................................................
Mileage o f passenger and freight cars-

Passengers carried and passenger mileage, <fcc :
1862.
Passengers Eastward....................................
312,806
344,079#
“
W estward...............! ................
Both directions.................................... ......
Mileage: eastward.......................................
“
westward......................................

842,032

1,284,205

1,461,195

19,517,678% 29,571,835
25,893,776% 31,864,434

656,885#

35,068,591
54,753,077

34,504,031.
67,027,789

Both directions...........................................

45,311,455

61,436.266

89,821,668

101,531,820

Revenue from passengers.............................

$1,116,741

$1,562,409

$2,696,386

$3,391,221

From which w e deduce the following proportional results—
1862.
1863.
Ave. journey per passenger............................. ___miles.
69.07
72.96
Revenue per passenger.............................
$1:70
1:86
“
per mile travelled............................
0:02.47
0:02.54

1864.
1865.
69.99
69.50
2:10
2:32.
0:03.00 0:03.34

Tons o f freight carried and tons carried one mile, iA c.:
1862.
1863.
373,977
451,871
269,130
353,654

1864.
487,276
371,652

1865..
465,892
366,723

Both directions.............................. ............ .

858,928

832,615

Tons: eastward..............................................
u
westward........................................... .




643,107

805,525

44

Analyses o f Railroad Reports.

[July,

Mileage: eastward............................................
“
westward...........................................

83,294,054
42,752,851

105,817,270 110,348,935 128,940,410
00,753,361 04,272,935 04,849,485

Both directions...............................................
Hevenne from freight........................................

126,046,905
$2,401,630

166,570,631 174,621,870 198,789,901
$3,341,034 $4,148,504 $4,739,008

From which are deducted the following results :
Average carriage per ton................................miles. 196.00
Revenue per ton.........................................................
$3:73
“
per ton per mile..........................................
0:01.90

206.77
4:14
0:02.91

203.31
232,75
4:83
5:69
0:02.38
0:02.44

The freight (tons) included in the above table is classified as follows :
Product o f forest—lumber............
“
“ —other............... .
Animals —live stock ....................
u
products o f..................
Agricult’l products—flour & grain
“
“
other...........
Manufactures.................................
Merchandize..................................
Iron rails........................................
Miscellaneous—coal.......................
“
other....................
Total tons

1862.
40,263
1,776
122.231
59.971
102,973
26,006
93,883
86,041

1863.
51,100
1,502
156,849
70,165
105,430
31,583
131,782
103.773
120.773
15,346

1864.
57,987
15,914
164,262
61,660
101,180
36,855
166,792
75,590
6,712
150,153
21,823

1865.
47,210
26,000
184,242
57.108
96,206
32,512
150,033
75,086
13,584
129,770
20,864

100,627
9,336
643,107

788,090

858,928

832,615

1862.
3%966
85,366
115,887
426 821
13,2:13
28,4:10
392,444

1863.
41,654
129.573
348,721
480,687
8,759
30,147
407,504
111,057

1S64.
26,198
163,395
444,383
451,654
6,304
44,723
301,809
95,326

221,717
331,744
463,691
5,950
41,993
437,381
36,603

The following are specifically enumerated—
Horses............
Cattle..............
Sheep .............
Hugs...............
Beef................
P o rk ...............
F lour.............
L iq u o rs.........

K

.

OPERATING

“
tl
it

1865.
22,011

ACCOUNTS---- EARNINGS, EXPENSES, ETC.

The yearly earnings of the road for the four years ending December 31, 1865, the
operating expenses and the net earnings for the same have been as follows :
1862.
1863.
1864.
186?.
Freight earnings...................................... $2,401,630 13 $3,341,933 65 $4*148,503 00 $4,739,067 88
Passenger “
....................................... 1,116,740 62 1,562,409 05 2,696,387 00
149,658 52
Express
M
......................................
36,107 32
33,053 75
68,306 22 3,391,221 46
Mails
“
.......................................
93,900 00
93,900 00
93,'.'00 00
93,900 00
Rent o f road to C. & P. R.R Company...
85.000 00
85,000 00
85,000 00
85,000 00
Other rents.................................................
3,619 73
2,835 33
1,345 83
4,861 12
Miscellaneous............................................
8,312 82
14,701 96
27,023 81
25,354 08
Total earnings................................. $3,745,310 62 $5,132,933 74 $7,120,465 76 $8,489,062 56
Conducting transportat’ n .........................
$504,867 80 $779,316 48 $1,036,209 41 $1,220,978 7 6
Motive power............................................
634,006 55
904,246 19 1,260,900 37 1,620,948 54
Maintenance o f way................................
501,420 68
893,311 96 1,113,496 62 1,344,674 25
“
“ cars................................
169,122 72
232,078 98
334,946 91
539,103 94
General expenses......................................
68,980 97
217,356 95
355,850 32
587,810 09
Total expenses................................ $1,878,398 72 $3,026,310 56 $4,101,398 63 ; 5,205,515 58
Net earnings............................................. $1,866,911 90 $2,106,623 18 $3,019,u67 13 $3,283,546 9g

The following abstract of the income account exhibits the total fiscal operations o ^
the company for the same years:
1862.
1863.
(8 months)
(year)
By ba’ance................. ............................. $ ....
$...........
By discount on bonds redeemed..........
""eoo’ofh
By gross earnings................................... 2,599,159 34" 5,132,933 74
By C. & P. R.R. Co., on account o f joint
earnings..............................................
90,042 33
By assets of trustees, credited to in­
come account......................................
362,7S2 24
By balance to debit side.........................
183,671 11

Credit.




1804.
1865.
(year)
(year)
$97,055 00 $1,818,070 45
7,120,465 76

8,489,062 56

39,035 33

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

116,017 58

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

$2,783,430 45 $5,585,758 31 $7,372,573 67 $10,307,133 01

1866]

Analyses o f Railroad Reports.

45

To balance.....................................................................
183,67111
.......................................
To operating expenses........................... 1,342,919 64 3,026,310 56 4,101,398 63 5,205,515 58
To interest on bonds..............................
427,115 38
760,559 39
922,322 09
889,030 00
To dividends on stock.........................................................................
530,782 50
872,827 50
To C. & P. R.R. Co., on account o f joint
earnings..................................................................
..............
..............
277,029 18
To construction, & c................................
970,147 56 1,517,162 25
......................................
To taxes and sundries............................
43,247 87
..............
..............
..............
To balance to credit side..............................................
97,055 00 1,818,070 45
3,062,130 75
D e b i t ..............................................$2,783,430 45 $5,585,758 31 $7,372,573 67 $10,307,133 01
GENERAL ACCOUNT— LEDGER BALANCES.

The financial condition of the company, as shown in general account Dec. 31, yearly f
has been as follows :
1864.
1862.
1863.
1865.
Capital stock........................................ $5,709,591 61 $6,164,531 89 $8,181,126 12 $9,312,442 00
Funded debt........................................ 12,935,173 00 12,9:35,173 00 12,656,000 00 12,573,500 00
34,43!) 48
60,481 82
Due to otwer companies..... ............
44,623 45
184,871 85
242,188 22
371,676 71
Miscellaneous liabilities........ •..........
36,651 54
448,041 24
833,421 14
544,-297 75
Current expenses on debt and p rinc..
413,237 89
819,376 12
12,110 56
20,893 66
Trustees...............................................
312,399 20
115,331 13
97,055 00 1,818,070 45 3.062,130 75
Balance to credit of income......................................
Total.................................................$19,451,676 69$20,029,795 90 $23,942,669 90$26,545,693 G9
Cost o f railway, &c............................... 17,726,353 42 18,191,293 70 21,164,329 77 23.183,381 33
Supplies on hand..................................
462,541 08
536,719 22
1,052,058 70
969,053 93
Due from other companies..................
121,429 15
296,436 59
606,185 41
417,948 84
Miscellaneous assets............................
306,014 72
674,506 29
768,519 86
963,550 14
Cash in hand..........................................
641.667 21
330,840 10
351,576 15 1,011,758 85
Balance to debit o f incom e.................
183,671 11
..............
..............
..............
Total

$19,451,676 69 $20,029,795 90 $23,942,669 90 $26,545,693 09

The principal items (other than current) included under the head of “ Miscellaneous
Assets,” at the close of each fiscal year, are shown in the following statement:
Western Union Telegraph Co....................
“
“
(new).........
Akron Branch Bank (cost)...........................
Stock account................................................
Bond script....................................................
Sinking funds................. ....... ....................
Crestline estate.............................................
Illinois & So. Icwa R.R. Co., bond account
Pittsburg Grain Elevator—stock account..
Union Stock Yards, Chicago.......................

1864.
1862.
1863.
1865.
$3,830 02 $7,683 77 $14,815 87 $22,743 32
9,195 17
179,829 40
26.954 80
2,462 81
3,452 46
3,579 71
104,i00 00 208,200 00
8,006 60
9.538 99
10,094 61
8,750 00
149,861 71

The principal items under the head of “ Miscellaneous Liabilities,” are interest and
dividends uncalled for and bills payable—the latter as follows: In 1862, $2,781 ; in
1863, $198,369 26; in 1864, $228,050, and in 1865, $286,920 50.
The expenditures on account of construction and equipment, for the last four years,
have been to the following amounts :
Fiscal years.
1862 (4 months)...............................................
1862 (8 months)..................................................
1863 ......................................................................
1864 ..................................................................
1865 .................................................................

Eastern
Division.
(188 miles)
$67,472 57
363,302 02
633,084 01
1,510,223 08
1,149,575 87

Western
Division.
(2S0 miles)
$64,812 43
606,845 54
884,078 24
1,193,518 76
860,334 81

Total.
(468 miles)
$132,285 09
970,147 56
1,517,162 25
2,703 741 84
2,009,910 68

Aggregate.....................................................

$3,723,657 55

$3,609,589 78

$7,333,247 33

The funded debt of the company on the 31st December, 1865, was constituted as
follows:
Interest
Series.
Amount. Rate.
payable.
First Mortgage Bonds—A ...................................
$875,000
7 Jan. & July.
(dated Mar. 1,1862,
B .................................
875,000
7 Feb. & Aug.
and payable July
C .................................
875,000
7 Mar. & Sep.
1,1912.)
D .................................
875,000
7 April & Oct.
E ...................................
875,000 7
May & Nov.
F ...................................
875,000 7
June & Dec.




First coupon paid.
July 1, 1862
Aug. 1, 1862
Sep. l, 1862
Oct. 1, 1862
Nov. 1 186°
Dec. 1, 1862

46

Analyses o f Railroad Reports.

Second Mort’ ge Bonds—G..........
(dated Mar. 1, 1862, H ..........
and payable July
I ..........
(1, 1912.)
K ..........
L ..........
M ..........
Third Mortgage Bonds. |
(dated, &c., same.) j ..........
Bridge Bonds (C. & P. R R .))
(dated May 1, 1856:
V ...
due May 1,1876.)
)

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

..

[July*

860,000
860,000
860,000
860,000

7
7
7
7
7
7

Jan. & July.
Feb. & Aug.
Mar. & Sep.
April & Oct.
May & Nov.
June & Dec.

2,000,000

7

April & Oct.

7

May & Nov.

Jan. 1,
Feb. 1,
Mar. 1,
Oct. 1,
Nov. 1,
Dec. 1,

1836
1868
1863
1862
1862
1862

Nov. 1, 1856

Total.....................................
COST OF ROAD AND EARNINGS, ETC., SINCE CONSOLIDATION,

The business o f the consolidated road dates from August 1, 1856. The following
shows the progress of construction, and the result of operations for the nine years and
five months since that date to December 31, 1865 :
Fiscal
years.
1 56 (5 mon).........................
1S57......................................
1858 ..................................
1859 ..................................
1860 ..................................
1861 .....................................
1862 ..................................
1863 .................
1864 ..................................
1865 ..................................

Cost o f
Miles
road, &c. of road,
$12,764,894
338
14,048,759
383
14,681,110
383
15,557,779
465
16,700,407
467
18,663,595
467
17,736,353
468
18,191,293
468
21,164,330
468
23,183,381
468

Gross
earnings,
$795,579
1,660,425
1.567,232
1,965,988
2,335,354
3,031,787
3,745,311
5,132,934
7,120,466
8,489,062

Operating
expenses,
$273,434
1,036,011
965,573
l,291,8f3
1,573,799
1,732,066
1,878,599
3,026,311
4,101,399
5,205,515

Nett
Divid'd*
earnings, on stock.
$522,145
.....
625,414
349,830
601,659
.....
674,655
.....
761,555
.....
1,299,721
.....
1,866,912
.....
2,106,623
.....
3,019,067
530,782
3,2S3,547
872,827

The following, deduced from the above statement, exhibits the cost, earnings, etc,
per mile, the rate of expenses to earnings and of the nett earnings to cost of road ;
also, the rate of dividends paid for the same years :

1856 ................... ..............
1857.................... ..............
1858.................... .............
1859.................... ..............
1860.................... ..............
1861.................... ..............
1862.................... ..............
1863.................... ..............
1864.................... ..............
1865 ................... .............

Cost of
,-----Per mile of road.-----»
^-Rates p. c.—, Divi's
road, &c.
Gross
Operat’g Nett
Exp. to Nett earn, in st’k
p. mile. earnings. expenses. earn’gs. earn’gs. to cost,&c. p. c..
$2,354
$37,800
$513
$841
21.19
nil.
2.23
36,700
4,336
2,705
1,631
62.39
6
4.44
4,092
2,521
38,200
61.62
1,571
4.11
nil.
4,228
33,400
2,777
1,451
65.68
4.34
35,500
5,001
3,370
1,631
66.74
4.69
39.990
6,492
3,709
2,783
57.13
6 95
4,014
37,600
8,003
3,989
50.00
10.61
38,800
10.968
6,462
4,506
58.92
11.61
15,214
45,200
8,763
6,451
57.66
14.27
7%
18,139
49,500
11,123
7,016
61.45
14.19
10
PRICE OF STOCK AT NEW YO RK .

The following table exhibits the monthly range of prices paid for the stock of this
company in New York during the years lc63, ’64 and ’65 :
1863.
J muary.....................................
F ;bruary................................... ......................
M irch ......................................
A >ril.........................................
M ty ...........................................
June..........................................
July...........................................
August......................................
September................................
October.....................................
November................................
December................................. ......................
Y ear................................




81X©H8%

79X@87

1864.
82%@ 89
87 @1<*1
98 @146%
101 @152%
1Q5%©121%
112 @119
109 @117
110 @117
94 @110%
87 @102%
100%@110
99%@106%

1865.
90 @102X
90 © 97%
7 7 X 0 95%
80X0100
9Q%@102
9 1 X 0 97
95%@101
92 @ 98%
97X0100
95X0107
101X©10«%
102 © 100%

82X0152%

77X0107

1866]

Analyses o f Railroad Reports.

47

ILLINOIS CENTRAL RAILROAD.

The Illinois Central Railroad appears on the map as a great T , with its 'oot rcstirg
on Cairo at the confluence of the Ohio with the Mississippi, and its arms— the one
on Chicago, the principal port o f Lake Michigan, and the other on Dunleith
(opposite Dubuque), the most northerly port of Illinois on the upper Mississippi
The length o f these several constituents of the road is as f.llow s:
Leg...................................
Right arm............................
Lett arm..............................

Centraliato
Cairo..................................................
“ to Chicigo...........................................................
“ to Dunleith ........................................................

Total length o f lines owned by Company................................................................

112miles.
263 “
343 “
103 miles.

The whole line was completed and opened for travel and traffic in 1856, the last
rail having been laid down on the 27th September of that year. Since this date ten
annual reports have been issued ; but as the whole road has been ia use less than ten
years the following statements so far as they relate to business operations, cover only
the results of the nine full years ending December 31, 1865. The fiscal operations of
the company are given for the ten years 1856— 1865 both inclusive.
EQUIPMENT— ENGINES AND OARS.

The following statement exhibits the amount o f rolling stock, in use or otherwise
owned by the company at the close of the fiscal years 1856-65:
Close of
years.
1856............
1857............
1858 ..........
1859............
I860...........

Loco- .— Number o f Cars.-—,1Close o f
motives. Pass. Bag.,&c.Fre,t.|years.
91
62
18 1.610 1861............
127
75
22 2,301 1862............
129
72
24 2,305 1863............
123
73
23 2,36- 1864............
129
61
22 2,310 1865............

LocoNumber of Cars ,
motives. Pass. Bag.,&c. Fre’t.
128
71
23
2,347
112
23
2,312
71
29
72
2,955
29
78
3,275
126
33
148
79
3 ,3 3 7

The locomotives on December 31,1865, were classified as follow s:— 25 in passenger
trains, 81 in freight trains, 3 in working trains, 16 in switching, 1 in running pay car
and 2 2 under repairs in shops. Excepting 9, all the locomotives were coal burners.
OPERATIONS— ENGINE MOVEMENTS, PASSENGER AND FREIGHT TRAFFIC, ETC.

The following statements exhibit the main features of the operations of the com­
pany yearly for the nine years ending December 81, I 8 6 0 .
The miles run by locomotives hauling trains were as follows :
Years.
1857..................
1858
............
1859..................
1860..................
1861..................
1862..................
1863..................
1864..................
1865..................

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

Pass.
968,443
899,925

............
926,843
............
807,386
............
855.522
............
952,875
..........
942,5S0
............ 1,010,961

Freight. Work’s; Wood. Switch’g. Total. Costp m;
865,921 160,765 71,061 163,708 2.229.898 26:22 cts.
726,480 185,843 29,200 156,696 1,998.144 19:81
838,205 175,447 42,030 133,894 2*142,864 20:78 At
1,124,562 122,277 61,737 202.403 2,437,822 20:17 “
1,348,588
62,994 34,675 204,380 2k458,023 18:92 U
1.224,332
59,176
1,780 420,382 2,561,192 17:42 u
1,769 333,! >70 3,010,697 22128 u
1,611,197 110,886
1,997,709
75,826
4,620 366.115 3,386,850 33:52 ll
1,977,163
69,878
3,027 446,437 3,507,466 37:44 At

The number and mileage o f passengers, &c., yearly, were as follows :
Fiscal
years.
1857...................... ...............
1858......................
1859......................
18-iO......................
1861...................... ...............
1862......................
1863...................... ...............
1864......................
1865...................... ...............

Miles
Number Passengers Average /-------- Reveime.—------,
run by
of
carried one miles to
P. pass.
trains. passeng’s.
pass. Amount.
mile.
968.443
53,248,800
74.7 $1,064,978
714,707
Shio’cts
32,812,259
55.9
568,670
819,829
2:49 “
609,585
38,464,814
63 1
811,412
2:09 “
39,111,459
406,391
79.6
846,693
2:16 “
807,386
491,583
33,089,135
67.3
804,769
2:43 1
62,580,421
92.7
1,329,766
674,767
2:12 ‘ k
952,875
852,659
73,078,752
85.7
1,797,972
2:46 “
96,811,726
87.3
1,108,937
2,36U,398
2:44 “
1,010,961 1,214,054
88,614,4-39
2,722,262
73.0
3:07 “

The number of tons o f freight carried, and the tons of freight carried one mile, <Sic.,
are shown in the following statement:




48

Analyses o f Railroad Reports.
Miles
Tons of
rnn by
freight
trains, carried.
865,921
440,332
736,480
381,568
838,205
422,433
1,124,562
590,343
1.348,588
720,866
1,224.332
806,685
1,611,197
952,814
1,997,709 1.022,024
1,977,163 1,0*4,946

Fiscal
years.
1857 ..
18^8 ..
1859 ..
1860 ..
1861 ..
1862..
1863 ..
1S64 ..
1665..

Tons car­
ried one
mile.
51.650..364
85,102.839
103,4.37,547
101,762,144
134,777,404
153,271,668
136,494,661

[July*

Average /------- Revertue.----- P. ton
miles
p. ton. Amount,
p. m.
___cts.
$1,037,988
975,945
2:14
122.3
1,107.019
1:91
144.2
1,623,711
1:91 it
1.976,136
143.0
1,995.768
1:96 “
126.0
141.4
2,632,559
1:95 tt
2:;>1 »t
150.7
3,853.808
132.3
4,241,172
3:10

FISCAL OPERATIONS— EARNINGS, EXPENSES, ETC.

The sources and amount of gorss earnings, the expenses of operating the road, and
the amount o f profits yearly for the ten years ending December 31, 1865, are showed
in the following statement :
Fiscal
years.
1856 ..
1857 ..
1858 ..
1859 ..
1860 ..
1861 ..
1862 ..
1863 ..
1864 ..
1865 ..

—Gross earnings.
Passeng’ s. Freight.
Other.
Total
$1,112,402 $1,156,471 $207,162 $2,476,035
1,064.978 1,037,988 254,237 2,357,203
975,945 180,804 1,976,578
819,829
811,412 1,107,0'9 196,018 2,114 449
846,693 1,623,711 251,187 2,721,591
804,769 1,976,136 218,707 2,899,612
1,329,766 1,995,767 220,294 3.445.827
1,797,972 2,506,759 272,097 4.636.828
2,360,398 3,706,632 262.417 6,329,447
2,722,262 4,040,587 418,359 7,181,208

— Profits.-

2,868,708 2.463,194
2,671,414 2,174,924

The last column slows the profits less the charter tax of 7 per cent on the gross
earnings, payable to the State of Illinois. Including tJ>» income from land the net
ricei, t have been as follows:
Fiscal
Years.
1876 ...............
1857....................
1858....................
1859....................
I860....................
1 <61....................
i862....................
i863.
....................
j 865....................

Profits
as
above.
............

391,473

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

492,765
850,630

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

1.600,571

............ i864
2,403,104
............ 2174,924

^-Net rec. from L’ d D'pT applic. to-^
Interest Constructs Free Free land Profits & Total
bonds. land bonds, fund. . loss.
means.
fund
$304,861 $116,104 $11,847
$1,371,249
54.401
1,183,191
300,529
4 ’6,788
157.H4
374,173
56,951
1,012,856
72.202
39 ,545
14,802 $44,763
1.016.076
.......
52.060
1,503 943
428.164
173.0S9
.......
72.376
1,787.056
223,853
339.922
192,991
2,06.3,714
212,526
....... 57,627
151 084
3,396,881
660,244
406.706
4.987,478
730,971 1,440.090
....... 290,620 $62,604
4,166,664
432,905 1,212,062
....... 288,910 59,862

From which were disbursed the interest and dividend accounts as follows:
Fiscal
Years.
1856..
1857..
1858..
1859..
1860..
1831..
1862..
1863..
1864.. .
1865. .

.
.
.
.
.
.
.
.

,------- Coupons on bonds, viz------- .Interest Sterl- Divid’ s Cancel’d
Construe- Free
Other Redemp-on full ing ex- on bnds, scrip
tion.
land, bonds, tion. stuck, change, shares, divid*
$1,095 187 $209,552 ...............................................
1,081.318 207,445 $58,590 ..................................
1,110,610 202,860 27,527 ........................................
1,055,085 187,635 44,820 ........................................
1,026.507 119,497 38.560
$111,271 .............
1,026,9S7 ......... 30,827 ....... 319,062 .......
,
1,008.867 ......... 28.732
357,040 .......
990.337 ......... 25,790
194,500 $77,670 $779,056
950,212 ......... 23.055 $26.7b0 ......... 118,7181,665,830$1,772 270
643,875 ......... 12,635 153,540 ......... 128,5372,236,587

— and up to the close of 1857 interest was paid on the share stock. The balance re
maining after paying the above has mainly been applied to construction.
CAPITAL ACCOUNT.

The following is an analysis of the General Balance Sheet presented at the clos
o f each year;




1866]

Close
o fy ’r.
’56.........................
’57.........................
’58.................... .
’ 59.........................
’ 60.........................

’61....................

’62.........................

'63....................

’64.........................
’ 65.........................

49

Analyses o f Railroad Reports.
Cancelled
Net
Bonds
construe.
Bonds canc’d by float.
deliv’d
Capital bonds Funded Land Departs liabilLand
stock. scrip.
debt. Comtruc. F. l’ ds. ities.
Dept.*
$
$
$
$
$
$
$
3,258,615 ............. 17,705.495 .......................... 2,136,229 .............
18,00-^,650 ......................... 2,307,042
6,556,435
396,167 .............
80,18 J,210
17,532,779 .........................
11,117,090 ............ 17,962,749 ........................ 675,603 ............
15,654.980 ............. 15,672,340 ............
7,621
........................
15,829.095 1,884,500 15,277,500 2,086,500 138,000 172,929 .............
16,824,360 1.772.270 15,060,500 2,276,500 138,000
........................
17,243,700 1.772.270 14,649,000 2,671,000 ........................................
20,808,100 169,010 13,2:12,000 ......................................... 3,871,000
""MOO
37,160 12,331,500 ......................................... 4,925,000

Total
•amount.
$
23,100,339
26,872.127
+28,163,156
+30,020,202
33.211,720
33,504,024
36,071.630
36,335,970
38,080,110
40,668,060

Against which are charged, v iz .;
Fiscal
Years.
1856.....................
1S57.....................
1858.....................
1859......................
1860......................
1861....................
1862.....................
1863......................
1864......................
1865......................

Permanent
Expendit’s.

Interest &
Dividend
account.*
$1,623,538
2,829,053
3,886,733
4,728,203
4,996,214
4,978,366
6,2S4,741+
5,283,920+
4,521,108
7,161,608

Net assets Working
Total
Sundry in Chic. & stock of
account.
Items.
N. T. supplies.
$23,100,339
$2^,852
26,872,127
$605,405
28.163,156
551,182
30,020.202
429,954
695,263
33,211,720
479,121
31,054 $509,940
33,504,024
488,103
544,565
39.971,630
616.136
1,495,081
36,335,971)
615,425
1.826.396
38.080,110
353,673 2.456,242 1,073 677
40,60S,060
876,478
367,967 1,732,163

The following statement exhibits the amount of each series of bonds outstanding
December 31, yearly :
Total
Construction Free land Optional Deben- 8 per ct.
amount.
bonds.
bonds, right bonds, tures.
bonds.
$17,705,495
$14,798,945 $2,079,877 $826,673 $ ........
$ ........
18,008,650
15,192.559
2.079.877
736,214
..........................
17,532,779
15.387.902
2.079.877
65,000
..................... .
17.962,749
15.387.902
2.079.877
61,000
433,970
............
15,672,340
15.253.500
6,000
38,000
42,740 332,100
15,277,500
14.913.500
............
38,000
.........
326,000
14,649,000
14,329,000
...........
33,000
........
287,000
Redemp. bds.
1863
....................
15,131,50»
14,794,500
............
as,000
........
304,000
1864
....................
13,232,00
10,872,000
.............................. 33,0002,086,000 241,000
1365...........................
12,331,50)
..............................
32,000
2,563,000
3,000
9,733,500
Dec. 31,
1856.. .............................
1&57.................................
1858..........1*...........
1859. ____
1860.................................
1861......................
1862.................................

PROPORTIONAL DEDUCTIONS.

The following, deduced from the forgoing
perty, the amounts earned and expended
mile of road; the proportion of expenses to
property ; and the rate of dividends paill on
iug with December 31, 1866;

statements, exhibit the cost of the pro"
in operations, and the net earnings per
earn iDgs, and of net earnings to cost o^
the capital stock for the ten years clos’
Net

Cost of
/----- Amount per mile.------»
Fiscal
property
Gross Operati’g
Net
years.
per mile. earnings. expenses. earnings.
1856 ........... ..
$1,325
$3,497
$2,172
1857 ................. ............
33,104
3,329
2,776
553
1858 ................. ............
33,512
2,792
2,193
599
1859................. ............
34,134
2,986
696
2,290
1860 ................. ............
38,412
3,844
2,643
1,201
1861 .................
4,095
2,470
1,625
1862 ................. ............
39,217
4,867
2.606
2.261
1863 ................ ............
40,410
6,549
3.555
2,094
1864 .................
8,940
5,461
3,479
1865 .................
43.107
10,143
7,071
3,072
1806, Dividend in February.............

Expenses earn, to Div.on
to earn- cost of s ock,
ings. property. p. c.
62.11
4.37
83.39
6.67
78.55
1.80
76.69
2.04
3.13
68.97
4 19
60.32
53.54
5.77
7.41
4
54.30
8
61.09
8.30
7.13 10&10
69.71
5

* Less amount in hands o f Trustees.
+ & + Including Trustees Peoria & Oquawka R.R. bonds.

t Interest and dividend account, less avails o f interest fund.

I Including $1,772,270 cancelled bonds scrip dividends o f October, 1858, and January




50

Analyses o f Railroad Revorts
PRICE

OF STOCK AT

NEW TORK.

The following statement exhibits the monthly range at which the company’s
stock has sold for the last past six years :
Ja n ...........................
F e b ..........................
Mch..........................
Apr...........................
M ay.........................
June.........................
July..........................
Aug...........................
S ept.........................
Oct............................
Nov..........................
D ec...........................

,------------ Scrip Stock.------------- ,
1860.
1861.
1862.
55%@58% 74%@88% 61 @64
56 @57 «9>,'@84% 65%@65%
53 @63 75%@83
61%@66%
59%@62% 55%@81% 57 @63
59 @64% 57 @70% 60 @64
61 @64 62 @69
60%@66%
62%@77 62 @69% 5o%@61%
74%@S9 63%@65
67 @63%
83%@S9% 64%@68% 61%@77
70%@S6% 65 @69% 76%@84%
57%@74% 60%@65% 74 @81%
51%@75 56 @63
76%@80

,------------------ Full Stock.------------------ ,
1868.
1864.
1865.
83%© 91
112 @122
111 @127%
88 @ 93 115 @125
114 @122
91 @ 91 123 ©135%
90 @119
89 @ 90
121 @138
92 @118
94 @107
115 @129
113 @119%
92 @ 95 129 @132#
116 @129
96 @106 124 @131
122%@138%
106 @126 128 @182
118%@124%
111 @123 116%@128% 123%@128%
H3 @116 110%@130
130 @138%
115%®119% 123 @131% 131%@138
112%@112% 121 @131
131 @134

Year......................... 55%@89% 55%@88% 55%@84% 83%@126

110%@138

908%@13

CHICAGO AND ROCK ISLAND RAILROAD.
The Chicago and Rock Island Railroad extends from Chicago to Rock Island, a
distance o f ............................................................................................................. 181.8 miles.
The Peoria and Bureau Valley Railroad, which is leased and operated by the C &
R. I. Co., extends from Bureau Junction (114 miles west from Chicago) to
Peoria, has a length of.................................................................................................
46.6 “
Total line, owned, leased and operated.......................................... ................ 228.4 miles.

The doings of this Company for the five years and nine months ending March 31 >
1866, a period covering the war era, are summed up in the following statements.
The extent of new side track, and the replacements by new and rerolled rail yearly
have been as follows :
New side track............................................................... miles.
Re-laid with new iron..............................................................
Re-laid with re-rolled iron.......................................................
Total miles laid and relaid
Gross weight of new iron
Gross weight o f re-rolled iron...
Gross weight of Atlas Bteel rails,

1862-3. 1863-4. 1864-5. 1865-6.
(Year.) (Year.) (Year.) (Year.)
.......
2.59
1.20
1.71
20.25
19 . 6
5.30 11.43
......................................32.8043.87
......................
89.30
1,003
604
500
814
2,070
3,066
.....................................

57.01
999
4,136
26

These additions and repairs are exclusive of rails repaired at Company’ s shops.
The number of locomo ive engines owned b f the Company at the close of the fiscal
year ban been as follows:
Locomotive engines..........................................

1860-1. 1861-2. 1862-3. 1S63-4. 1864-5. 1865-6.
(Year.) (9mo’ s) (Year.) (Year.) (Year.) (Year.)
..
..
61
61
59
65

The description and D u m b e r of cars built, purchased and re-built in the two last years
are shown in the following :
Passenger, Mail and Baggage....................
Freight........................................................

,-----Built-----, ^-Purchased-,. Be b’lt—,
1864-5. ’65-6. ’64-5. ’65-6. ’64-5. ’05-6.
20
6
3
173
21
ioo
109

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

112

193

27

100

BUSINESS OPERATIONS, Y E A R L Y .

The following statements show the operations on the road, viz; the mileage o f en­
gines, the number and mileage of passengers, the tons and mileage of freight, the num­
ber of loaded cars and tons of freight crossing the Mississippi Bridge, <Ssc., <fcc., yearly :




1866]

Analyses o f Railroad Reports.

51

M ILEAGE OF ENGINES HAULING TRAINS.

1860-1.
Passenger eng’ s.........................,. 349.530
Freight engines......................... . 437,269
Wood <fcgravel d o ....................... . 92,858

(9 Months.)
1861-2.
1S62-3.
264,665
354,267
434.649
579,115
97,502
66,635

Total mileage............................. 879,657
Cost o f run’g eng....................... ... $201,529
Average cost permile run, cts
22.91

765,949
$152,424
19.90

PASSENGER

Through passengers carried ...
Way
“
“
Passengers carried W e st........
“
East............
“
both ways..
“
“
one mile. .
Avg. rate per pas.per mile, cts..

1,030,881
$214,218
20.78

1863-4.
348.818
7 '4,008
90,0(14
1,162,880
$245,949
21.15

1864-5.
347.582
783,056
82,014

1865-6.
364,S70
791,387
98,594

1,212,656 1,234,857
$401,519 $474,111
38.39.
33.11

TRAFFIC.

1864-5.
1865-6
1861-2.
1862-3.
1863-4.
70,234
61,371
.........
29,352
45,130
393,632
376,373
........
223,892 279,114
227,854
201,343
76,168
122,566 166,167
236,012
233,401
72,661
130,678 158,077
463,866
437,744
199,718
148,829
253,244 321,244
11,297,283 8,829,40114,206,292 20,401,500 29,888,967 26,934,579
3.41
3.73
2.87
3.05
3.15
1860-1.

FREIGHT

TRAFFIC.

1865-6;
1S60-1. 1861-2.
1862-3.
1863-4.
1S64-5.
24,015
23,995
Lo’d cars going W est......................................
12,330
16,395
20,811
31,099
32,708
“ “
“
East........................................
24,318
31,228
31,589
55,097
“ “ West & East......................................
36.648
47,623
56,723
52,400
459,986
Freig’ t carried—tons (2,000 lbs) ... 301,669 285,144
379,879
472.557
441,510
8.35
Average load,
do
do
..................
7.79
7.98
8.42
8 46
Tons carried 1 mile. ................................................ 38,558,462 56,539,150 63,414,831 59,218,395
3.45
Averg. rare per ton per mile, cts...............................
2.69
2.58
3.50

Business between the Illinois and Iowa shores, illustrated by statements of the
cars and freight passing over the Mississippi River Bridge—navigation of the Missis­
sippi River at Rock Island illustrated by the number of s earners, barges, and rafts,
passing the draw o f the bridge y e a r ly :
( Going West......................
Loaded Cars__ ■<Going East........................
( West and East.................
Going W est......................
Tons of Freights Going East.......................
( West and East..................
( G<4ng W est......................
Foot passengers-< Going East.......................
( West and East..................
( Going North....................
Steamers.......... ■<Goiim South................... ,
( North and South...............
( Going North......................
Barges..............•<Goino- South................... ,
( North and South.............
Rafts going South.........................................

1S60-1. 1861-2. 18G2-3. 1863-4. 1S64-5. 1865-6.
6,925 4,794 5,866 7,998 9,913 8.438
8.460 8,306 10,116 10,109 9,067
. . . . 14,202 13,254 14.172 18,114 20,022 17,505
. . . . 46,300 32,427 39,039 50.741 68,844 59,573
. . . . 62,752 67,019 71,542 89,914 81,157 82,752
....109,112 99,446 110,581 140,655 150,001 142,355
33,254 40,277 70,062 57,384 50,712
. . . . 35,254 33,362 40.166 69,932 58,311 50,963
.. . 70,069 66,616 80,443 140,894 115,755 101,675
473
162
152
353
106
453
354
203
167
154
43
329
026
306
707
398
....
238
125
155
255
110
129
493
235
284
576
296
121
287
276

....

FINANCIAL RESULTS OF OPERATION.

The following statements exhibit the gross earnings, the operating expenses, and
net earnings or profits yearly :
1860-1.
Passeng. earnings............................ $338,112
Freight............................................ 784.023
Mail*................................................
21.200
Other...............................................
20,683

1861-2.
1862-3.
1867-4.
1864-5.
1865-6.
(9 mos.)
$254,071 $433,297 $643,775$1,021,779 $1,005,872
737,144 1,034,850 1,448,965 2,222,309 2,016.306
21,200
21,200
21,200
21,200
21,200
22,289
39,794
35,935
94,102 110,857

Total gross earngs.......................... 1,164,018 1,054,704 1,529,141 2,143,875 3,359,390 3,154,235
Total operng. exp.......................... 708,054
531,387 800,987 1,040,462 1,467,681 1,711,454
Net eargs—profits...........................

455,964

523,317

728,154 1,103,413 1,891,709 1,442,781

The net earnings were disposed of as follows :
P. & B. R.R. Lease.......................................$125,000 $125,000 $125,000 $125,000 $125.000'$125,0C0
U. S. Tax on passgr. fares............ .................................... 5,353
16,415 64,710 93,7i3
Illinois Tax on Keal Estate........................... 32,615
11,408 35,001 38,978 54,318 63,462
Loss on Illinois currency..............................
26,557 .........
............................. ...................
Legal expenses.............................................................
2,287
3,908
4,061
5,603
7,362
Extraordinary repairs, & c............................
53,868 35,875 45,791 67,754 68,190 46,438
Interest on Funded Debt..............................
97,790
97,790 100,135 102,690 102,532 101,535
Interest on Bridge Bonds........................................................................
22,934 40,000 40,000
Dividends (incl.Excise Tax)........................................ 168,090 338,239 343,438 375,041 631,579
Balance Credit Income................................. 120,134
82,S66 74,726382,1421,056,250 333,682




S3

[July

Analyses o f Railroad Reports.
GENERAL ACCOUNT— LEDGER BALANCES.

The financial condition of the company at the close of the fiscal years ending June
30, 1861 and March 81, 1862-66 is shown in the following abstract:
1861.
1868.
1863.
1864.
1865.
1866.
Capital stock...................................$5,603,600 $5,603,000 $5,603,000 $6,000 000 $6,r00,000 $6,500,000
Mortgage bon ds........................... 1,397,000 1,397,000 1,397,000 1,397.000 1,397,000 1,397,000
Income bon ds.................................................................
71,000
TCXOOO
53,500
51,000
Sundries........................................
J50
4.796
10,078 . . . . . . . . .. ............................
Bal. o f income..............................
421,703
540 444
66 I 961
977,832 2,034,082 2,367,764

Total.......................................... 7,421,854
Accounted for, as follows:

7,545,220 7,743,039 8,444,832 9,484,582 10,315,764

R'd & equipment............................ $6,987,710 $7,023,936 $7,069,727 $7,429,433 $7,804,923 $8,050,132
B’ uel and mat’ls............................
89,957
60,154
62,268
156,976
207,260 257,218
Company’ s stock.........................
101,500
101,600
101,500 ................................................
Miss. & Mo. R.R. b o n d s ................................................................
116,250
500,000
952,243
Miss. Bridge Co............................................
20,000
20.000 ...............................................
Assets and dues...........................
2,820
279.714
116,273
245,738 174,688
Cash...............................................
239,S67
187,000
209,830
625,700
726,661 881,483
Total

7,421,854 7,545,220 7,743,039 8,444,832 9,485,582 10,315,764
GENERAL R E V IE W FOR TEN T EARS.

*

The following table gives the cost of the road (2*28.4 miles) estimating the cost of*
the P. & B Val. R. R. at ? 1,250,000 and the earnings, expense? and profits of ope­
rating the road, <fcc., &c. yearly fur the ten years ending March 31, 1866:
Cost o f
Ordinary Profits Interest Dividend Balance
Road and Gross
operat’g or net on funded paid on after lease
equipment, earn’gs expenses, earn’ s. debt.
stock, taxes, &c.
1856 57.............................. $7,878,273 $1,886,196 $1,036,157* $850,439 $137,970 j c447,610) $139,459
1857- 58....................... 8,026,119 1,407,846
778,817* 629,029 99,715} *503,600f
404,314
1858- 59....................... 8,026,119
889,300 537,668
851,632 97,790 ...........
92,685
1859- 60..
8,163.554 1,'93,934 622.661
471,273 97,79J 167,597
44,181
1S60-61............................ 8,237,710 1,164,018
708,054 455,964
97,990 ............
120,134
1861- 62 ....................... 8,273.936 1,054,704+ 531.387+ 523,317 +97,790 168.090
82,866
1862- 63 ....................... 8,319,727 1,529,141 800,987
7.8,154 100,1:85 338,239
74,726
186364 ....................... 8,679,433 2,143.875 1,010,462 1.103.413 102,690 843,438
382,142
18646 5 ..,................. 9,054,9-3 3,359 390 1.467,681 1,891,709 102.532 375,041 1,056,250
1865- 66..................
9,300,132 3,154,235 1,711,454 1,442,781 101535 631,579
333,682

In the following table will be found deductions from the foregoing, giving the cost
of road, &c., per mile, the earnings, tfec., per mile, and the rates of expenses to earn­
ings and of profits to cost, with the dividends, Ac., annually :
1856-57.................................
1657-58..................................
185859 ......................
1859-60 .................................
1860- 61 .................................
1861-62 .................................
1862-63.................................
1863-64.................................
1864-65 .................................
186566......................

Cost o f
road, p. m.
$34,553
35,202
35.202
35.805
36,120
36,285
36,488
38,067
39,714
40,790

,— Per mile o f Road.—, Exp’ s to Profits ,—Divid’ds—,
Earn’ s. Exp’ s. Profits, earnings, to cost. Cash. Stock.
10.78
1012#
54.94
$8,258 $4,537 $3,721
7.82
6,164
3,410
2,754
55.32
3,S93
4.93
2,354
1,539
60.47
5.76
3
4,789
2,726
2,0t 3
56.97
5.53
3,100
1,5*96
60.83
5,096
6.31
6
2,326
2,*291
50.38
4.617
8.19
6
6,695
3,705
2,990
52.38
9,386
4,556
4,830 48.53
12.70
6
6,426
8,243 43.81
20.75
8
14.939
7,506
6,328 54 25
15.51 10
13,834

MARKET VALUE OF STOCK AT NEW YORK.

The monthly ranges of prices in the New York market of the stock of the C. and
R. I. Co., are shown in the subjoined statement:
1862-63.
53%@ 56#
56 @66
62# @69%
60# @ 68#
62%@69#
66#@78%
77# @ 5 #
77# @ 8 3 #
77# @ 82#
82#@96%
87# @95
89 @95

1863-64.
88%@ 95
94 @108
93#@104
93 @106
103#@117
103 @113
106#@111#
102 @111#
100 @123#
122#@149#
117#@144#
119#@127%

1864-65.
110 @ .34
105 @119
110 @117#
107#@1!4
109#@114%
95 @109#
85 #@ 97
99 @110
101 #@ 108#
88%@105#
89# @ 98#
85#@100

Year........................... 42#@ 84# 30%@59# 53#@ 96#

88%@149#

85#@134

April.
May .
June.
July .

Nov
Dec.
Feb'.
Mar.

Including taxes on real estate.




1865-66.
81%@103
91 @105
93 @102
101%@109#
103 @109
10S#@113#
105 @113#
104#@109#
105%@108#
96# @109#
98 @107
104#@ 118#
8!#@ 118#

+ Operations for nine months only.

1866J

Missouri— St. Louis, the Commercial Centre.

53

MISSSODRI— ST. LOUIS, THE COMMERCIAL CENTRE OF NORTH AMERICA.
BT 8. WATERHOUSE.

St. Louis is ordained by the decrees of physical nature to become the
great inland metropolis of this continent. It cannot escape the magnifi­
cence of its destiny. Greatness is the necessity of its position. New
York may be the head, but St. Louis will be the heart o f America. The
stream o f traffic which must flow through this mart will enrich it with al­
luvial deposits of gold. Its central location and facilities of communica­
tion unmistakably indicate the leading part which this city will take in the
exchange and distribution ol the products of the Mississippi Valley. St.
Louis is situated upon the west bank of the Mississippi, at an altitude of
400 feet above the level of the sea. It is far above the highest floods that
ever swell the Father of Waters. Its latitude is thirty-eight degrees
thirty-seven minutes twenty-eight seconds north, and its longitude ninety
degrees fifteen minutes sixteen seconds west. It is twenty miles below
the mouth of the Missouri, and two hundred above the confluence of the
Ohio.
Distance by river
Miles.
Distance by rail
From 8 t. Louis to Keokuk..........
From St. Louis to
((
a
ti
“
Burlington....... .. 260
»
((
«
Kook Island.. . . 360
a
((
»
n
Dubuque......... . 480
et
tt
a
«
St Paul...........
it
a
tt
tt
Cairo................
ft
u
u
M
Memphis......... . 440
it
a
((
a
Vicksburg.. ,. . . 840
u
a
<(
u
New Orleans.. . . 1 ,2 0 0
it
a
u
«<
Louisville........
it
tt
It
'*
Cincinnati...... .. 760
U
u
a
n
Pittsburgh.. . . . . 1 ,2 0 0
((
u
Leavenworth.. .. 600
((
a
Omaha.............
«(
u
Sioux City. . . .
a
tt
Fort Benton. . . ..3,000

Miles.
Indianapolis.......
Chicago................
Cincinnati..........
Cleveland...........
Pittsburgh...........
Buffalo .............
New York......... . 1 ,0 0 0
Lawrence..........
Denver ..............
Salt Lake.......... ..1,300
Virginia C ity ...
San Francisco. . .2,300

St. Louis very nearly bisects the direct distance of 1,400 miles between
Superior City and the Balize.
It is the geographical centre o f a valley
which embraces 1,200,000 square miles. In its course of 3,200 miles, the
Mississippi borders on Missouri 470 miles. O f the 3,000 miles of the
Missouri, 500 lie within the limits of our own State. St. Louis is miztwss
of more than 16,500 miles of river navigation.
This metropolis, though in the infancy o f its greatness, is already a large
city. Its length is about eight miles, and its width three. Suburban
residences, the outposts of the grand advance, are now stationed six or
seven miles from the river. The present population of St. Louis is about
200,000. In 1865, the real and personal property of the city was assess­
ed at $100,000,000.
St. Louis is a well built city, but its architecture is rather substantial
than showy. The wide, well-paved streets, the spacious levee and com­
modious warehouses, the mills, machine-shops and manufactories, the fine
hotels, churches and public buildings, the universities, charitable institu­
tions, public schools and libraries, constitute an array of excellences and




54

Missouri— St. Louis, the Commercial Centre.

[Juiy>

attractions of which any city may justly be proud.
The Lindell and
Southern Hotels are two of the largest and most magniticent structures
which the world has ever dedicated to public hospitality. The Lindell is
itself a village.*
The appearance of St. Louis from the eastern bank of the Mississippi is
impressive. At East St. Louis, the eye sometimes commands a view of
100 steamboats lying at our levee. Notwithstanding the recent destruc­
tion by ice and fire of 10 or 15 boats, and the departure of more than 30
for Montana, there are at this date 70 steamers in the port of St. Louis.
A mile and a half of steamboats is a spectacle which naturally inspires
views of commercial greatness. The sight of our levee, thronged with
busy merchants, and covered with the commodities of every clime, from
the jeltries of the Rocky Mountains to the teas of China, does not tend to
lessen the magnitude of the impression.
The railroad system of Missouri is exhibited in the following tabular
statement :
Railroads.

Miles.

Railroads.

Cairo and Fulton......................
37 North viissouri....................
Platte Country....................................... 52 Hannibal and St. Joseph.
S. W. Branch of Pacific..........................76 Pacific....................................
Iron Mountain........................................ 87
Total length of railroads in operation within the State

Miles.

. .170
..2 3 3
..2 8 3
938

A vast enlargement of our railroad facilities is contemplated. More
than 10,000 miles have been projected on the west side of the Mississippi.
A quarter of a century may elapse before the completion of these exten­
sions, yet the very conception o f them shows that the public mind is alive
to the importance of ampler means of communication with the States and
Territories of the far West. Most of these roads have received grants o f
land from the Government, and upon some of the lines the work is already
far advanced. The terminal points o f the most important roads are :
Superior City and New Orleans via St. Paul, St. Louis, and Memphis; St.
Louis and San Francisco via Kansas City and Salt Lake ; Kansas City and
Fort Benton via Omaha; Leavenwerth and Galvestoij via Lawrence; St.
Louis and San Diego via Springfield. The extension of this last line from
Rolla merely to the south-west corner of Missouri would be an incalculable
benefit. The trade of the north-western roads may be partially diverted from
St. Louis by the construction of rival lines. But the south-west branch, by its
advantages of situation, will compel all connecting lines to be subsidiary to
itself; and its commerce, constantly swelled by the traffic o f tributary
roads, must necessarily flow to St. Louis. The extension of this road

* Though it is somewhat foreign to my subject, je t I cannot resist the temptation
to give the statistics of this massive edifice:
Area of plate glass.......... ..................... 1 acre Number o f windows..................................... 310
Length of gas-pipe........................................... 3miles
Weight o f water-pipe.........................30,000 lb
Stories, exclusive of basement....................... 7 Extent o f steam-pipe...................... 87,700 feet
Total lloorage....................................................7acres
Amount of lead...................................120,000 lb
Length o f carpeting......................... 18 miles Area o f flooring boards.................. 300,480 feet
Area o f plastering........................................... 27acres
Amount of wrought andcast iron.. 1,480,000 lb
Length ot bell-wire.........................
32 miles Cost oi furniture................................... $200,000
Surface o f mural brick................................... 38acres“
lo t..............................................$326,400
Higbt from the sidewalk................. .112 teet
“
the bu ildin g............................$955,000
Lumberof rooms..........................................530 Total cost o f the Lindell Hotel........ $1,476,400
Capacity of accommodation............. 800 guests




1866]

Missouri— St. Louis, the Commercial Centre.

55

would open to settlement vast tracts o f valuable land ; and, by tbe impulse
of cheap transportation, lead to an extended developement o f the rich
mines of south-western Missouri.
It is to be hoped that our citizens will press forward to anearly comple­
tion all the roads which will converge at St. Louis. On the east side of the
Mississippi an air-line road from Cleveland to this city is now in progress
of construction. This road will be a very important accession to our com­
mercial facilities. The great bridge whose arches will, within a few years,
span the Mississippi at this point, will put St. Louis in direct connection
with the entire railroad system of the Continent. The parallel and meri­
dian lines’-between oceans and zones will intersect at this city. From this
centre roads will radiate to the circumference o f our land.
The Union Pacific is already built 80 miles west to Kansas City. By
the 1st o f August it will reach Fort Riley, a distance of 448 miles from
St. Louis. The work upon this great Continental line is pushed forward
with great activity. The Vice-President of the Union Pacific authorizes
the statement that 6,000 men are now employed npon the California and
Eastern divisions of the line. The completion of this national highway
will strengthen the alliance of States with iron bands, and develop our
Western wilderness into populous commonwealths.
The growth of St. Louis, though greatly retarded by social institutions,
has been rapid. The population of the city in—
1840......................................................... was.........................................................
1850.......................................................... “
1860............................................................“

16,46?
77.S60
160,773

At the lowest rate of decennial increase, St. Louis in 1900 would con­
tain more than 1,000,000 inhabitants. This number certainly seems to
exceed the present probability of realization, but the future growth of St.
Louis, vitalized by the mightiest forces of a free civilization, and quickened
by the exchanges of a continental commerce, ought to surpass the rapidity
of its past development.
In 1865 the amount of duties payable in gold, collected at this port, was
$586,407. This sura is about one-fifth of the customs levied on goods
imported into St. Louis. This is only a Port o f Delivery. The imposts
upon our foreign merchandise are chiefly paid at the Ports of Entry.
From the records of the United States Assessor it appears that in 1865
the sales of 612 St. Louis firms amounted to $140,688,856. For the same
year the imports of this city reached an aggregate of $235,873,875.
The manufactures of St. Louis constitute an important element in our
commercial transactions. In 1860 the capital invested in manufactures
was $9,205,205, and the value of the product was $21,172,323. St.
Louis, though the eighth city in the United States in population, ranked
as seventh in the importance o f its manufactures. Missouri might profit­
ably imitate the activity o f its metropolis.
The extent of our social and commercial intercourse with the rest o f the
world may be inferred from the postal statistics o f this department. In
186 5 the number o f letters which passed through the St. Louis Post-office
for distribution, mail or delivery, was about 11,000,000. In the judgment
of the office, the transactions o f the first quarter indicate an aggregate for
1866 of 15,000,000 letters. In postal importance, St. Louis is the fifth
city of the Union.




56

Missouri— St. Louis, the Commercial Centre.

[July,

The earnings of our railroads indirectly exhibit the magnitude o f our
trade. For the fiscal year of 1865, the total receipts of
The North Missouri.......................................... were.......................................... $1,018,000
Pacific and Southwest Branch......................... “
1,939,000
Hannibal and St. Jos p h ................................. “
2,000,000

In 1865 the total number of passengers, by river or rail, who made St.
Louis their destination or a point of transit, amounted to $1,180,000,
The Register of the Custom-house shows that the number of arrivals at
the port during the last year was :
Barges and canal toats..........................................................................................
Steamboats.............................................................................................................

1,114
2,761

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

3,875

The tonnage owned and enrolled in the district of St. Louis was, in 1865,
97,000 tons.
Our commerce is aided by ample banking facilities. There are in St.
Louis, in addition to 15 or 20 private banks.

13 Savings institutions........................................
Banks.................................................................

11

,----------------- Capital------------------ ,
Actual.
Authorized.
$3,375,000
$5,830,000
9,179,000
14,149,000

The character of our banks stands deservedly high in the financial world.
The development of the territories is bringing large deposits to our banks,
creating new demands for capital, and extending the channels of circula­
tion.
Our trade with the mountains is large and rapidly increasing. In 1865
20 boats sailed from this port for Fort Benton, which is more than 3,000
miles from St. Louis, with a total freight o f 6,000,000 pounds.
This year more than 30 boats have already sailed for Fort Benton, and
the agtnt of the largest line of Montana steamers estimates the number of
passengers at 1,500, and the tons of freight at 5,000. In three instances
the cost of assorted goods was as follows :
13 Tons of merchandize........................................................................................
35
“
“
“
40 “
<•
“
Mean cost per
ton......................................................................................

$ 12,000
40,000
65,000
1,300

The agent who furnishes these facts feels authorized, by his experience
in the trade of the Upper Missouri, to appraise a ton of Montana mer­
chandize at $1,000. It is thought that at least ten boats more will sail for
the mountains.
The following table is an approximate estimate, based upon the preced­
ing data, of our commerce with Montana for the year 1866 :
Number of boats..................................................................................................
40
“
“ passengers................
2 ,0 0 0
Pounds o f 6 eight ............
13,000,000
$6,600,000
Value of merchandize.......................................

The trade across the Plains is of still greater magnitude. The overland
freight from Atchisou alone has increased from 8,000,000 in 1861 to
21.500,000 in 1865.




1866]

Missouri— St. Louis, the Commercial Centre.

57

Messrs. Butterfield and Forsyth of the Overland Dispatch Company have
courteously furnished me with estimates, based upon their own transac­
tions, of our total commerce with the territories in 1865. These figures
do not include the Fort Benton trade.
Number of passengers East and West by the overland coaches.............
“
“
“
by trains and private conveyances
Number o f wagons..........................................................................................
“
cattle and mules..........................................................................
Pounds of freight to Plattsmoutb.................................................................
‘
LeavenworthC it y .........................................................
“
Santa F e ......................................................................
“
St. Joseph.....................................................................
“
Nebraska City..............................................................
“
Atchison........................................................................
Government freight..........................................................................................

8,000,000
6 ,0 0 0 , 0 0 0
8,000,000
10,000,000
15,000,000
25,000,000
50,000,000

Total number of pounds.........................................................................
Amount o f treasure carried by express.......................................................
“
“
by private conveyance...................................

117,000,000
$3,000,000
30,000,000

4 800
60,000
8 ,0 0 0
1 0 0 ,0 0 0

The Overland Express charge three per cent for the transportation of
bullion. This high commission and the hostility of the Indian trihes in­
duced many miners to send their gold East by way o f San Francisco to
Panama.
The estimated product of our Rocky Mountain mines for the present
year is $50,000,000.
So great is the length of the overland routes that the trains are able to.
make but two through trips a year.
Before the first of August the Union Pacific Railroad will be completed'
to Fort Riley.
This will materially shorten the extent of overland
freightage.
Distance from St. Louis to
Ft. Riley to
“
Ft. Riley to
“
Ft. Riley to

Ft. R iley................................
Denver......................................................
Salt Lake C ity ........................................
Virginia City......................................

420 miles.
460
“
890
“
1,620 “

The length of these lines o f transportation, the slowness o f our present
means of communication, and the magnitude of our territorial population
and trade, forcibly illustrate the necessity o f a Pacific Railroad.
The foregoing summaries exhibit the commerce of the Mississippi
Valley with the mountains. But while St. Louis does not monopolize the
trade of the gold regions, it yet sends to the territories by far the largest
portion of their supplies. Even in cases where merchandise has been
procured at intermediate points, it is probable that the goods were origi­
nally purchased at St. Louis.
During the rebellion the commercial transactions of Cincinnati and
Chicago, doubtless exceeded those of St. Louis. The very events which
prostrated our trade, stimulated theirs into an unnatural activity. Their
sales were enlarged by the traffic which was wont to seek this market.
Our loss was their gain.
The Southern trade o f St. Louis was utterly destroyed by the blockade
of the Mississippi. The disruption by civil commotions o f our commer­
cial intercourse with the interior of Missouri was nearly complete. The
VOL. l v .— s o . i.




4

58

Missouri— St. Louis, the Commercial Centre.

[July,

trade o f the Northern States, bordering upon the Mississippi, was still un­
obstructed. But the merchants of St. Louis could not afford to buy com­
modities which they were unable to sell, and country dealers would not
purchase their goods where they could not dispose of their produce. Thus
S t. Louis, with every market wholly closed or greatly restricted, was smit­
ten with a commercial paralysis. Tlie prostration of busiuess was general
and disastrous. No comparison of claims can be just, which ignores the
circumstances that during the Rebellion retarded the commercial growth
of St. Louis, yet fostered that of rival cities.
Nothing more clearly demonstrates the geographical superiority of St.
Louis than the action o f the Government during the war. Notwithstand­
ing the strenuous competition of other cities, our facilities for distribution,
and a due regard for its own interests, compelled the Government to make
St. Louis the Western base of supplies and transportation. During the
Rebellion, the transactions o f the Government at this point were very
large. General Parsons, Chief o f Transportation in the Mississippi Valley,
has not yet completed his accounts, but he submits the following as an
approximate summary of the operations in his department from 1860 to
1865 :
AMOUNT o r

TRANSPORTATION,

■Cannon and Caissons..................................................................................
Wagons........................................................................................................
Cattle .........................................................................................................
Horses and mules.......................................................................................
T r o o p s ....
................................................................
Pounds of military st res.........................................................................

80U
13,0"0
80,000
250,000
1,000,000
1,950,000,000

Gen. Parsons thinks that full one-half of all the transpartation employed

b y the Government on the Mississippi and its tributaries was furnished
by St. Louis.
Prom Sept. 1, 1861, to Dec. 31, 1865, Gen. Haines, Chief Commis­
sioner of this Department, expended at St. Louis, for the purchase of subsistance stores, $50,700,000.
During the war, Gen. Myers, Chief Quartermaster o f this Department,
disbursed at this city, for supplies, transportation and incidental expenses
$180,000,000.
The National exigencies forced the Government to select the best point
o f distribution. The choice o f the Federal authorities is a conclusive proof
o f the commercial superiority of St. Louis.
The conquest of treason has restored to this mart the use of its natural
facilities. T rade is rapidly regaining its old channels. On its errands of
exchange, it visits the islands of the sea, traverses the ocean, and explores
foreign lands. It penetrates every State and Territory in the Mississippi
Valley, from Alabama and New Mexico to Minnesota and Montana. It
navigates every stream that pours its tributary waters into the Missis­
sippi.
But St. Louis can never realize its splendid possibilities without effort.
The trade of the vast domain lying east of the Rocky Mountains, and
south of the Missouri River, is naturally tributary to this mart. St. Louis,
by the exercise o f forecast and vigor, can easily control the commerce of
1,000,000 square miles. But there is urgent need of exertion. Chi­




1866]

Missouri— St. Louis, the Commercial Centre.

59

cago is an energetic rival. Its lines of railroad pierce every portion of
the Northwest.
It draws an immense commerce by its network of
railways.
The meshes which so closely interlace all the adjacent country gather
rich treasures from the tides o f commerce. Chicago is vigorously extend­
ing its lines of road across toward the Missouri River. The completion
of these roads will inevitably divert a portion o f the Montana trade from
this city to Chicago. The energy of an unlineal competitor may usurp
the legitimate honors of the imperial heir.
St. Louis cannot afford to
continue the masterly inactivity o f the old regime. A traditional and pas­
sive trust in the efficacy of natural advantages will no longer be a safe
policy. St. Louis must make exertions equal to its strength and worthy
of its opportunities. It must not only form great plans of commercial
empire, but must execute them with an energy defiant of failure. It must
complete its projected railroads to the mountains, and span the Mississippi
at St. Louis with a bridge whose solidity of masonary shall equal the
massiveness of Roman architecture, and whose grandeur shall be commen­
surate vvjih the future greatness of the Mississippi Valley. The structure
whose arches will bear the transit of a continental commerce should vie
with the great works of all time, and be a monument to distaut ages
of the triumph of e vil engineering and the material glory of the Great
Republic.
The initial steps for the erection o f a bridge across the Missouri at St.
Charles have already been taken. The work should be pushed forward
with untiring energy to it3 consummation.
The iron, stone and timber necessary for these structures can be ob­
tained within a few miles of St. Louis, and the greater part of the mate­
rials can be transported by water. The construction of public works whose
cost will be millions of dollars, would afford employment to thousands of
laborers, and give fresh impulse to the prosperity of St. Louis.
A full and persistent presentation of the superior claims of Carondelet
ought to induce the Government to establish a naval station at that point.
The supply of labor and material which a navy-yard would require would
be another source of wealth to Missouri and its metropolis.
The eflect of improvements upon the business of the city may be illus­
trated by the operations o f our city elevator. The elevator cost $450,000,
and has a capacity of 1,250,000 bushels. It is able to handle 10o,000
bushels a day. It began to receive grain last October. Before the 1st of
January its receipts amounted to 600,000 bushels, 200,000 o f which were
brought directly from Chicago. Grain can now be shipped, by way of St.
Louis and New Orleans, to New York and Europe 10 cents a bushel
cheaper than it can be carried to the Atlantic by rail.
The facilities which our elevator affords for the movement o f cereals,
have given rise to a new system of transportation. The Mississippi Valley
Transportation Company has been organized for the conveyance of grain
to New Orleans in barges. Steam tugs of immense strength have been
built for the use of the company. They carry no freight. They are simply
the motive power. They save delay by taking fuel for the round trip.
Landing only at the large cities, they stop barely long enough to attach
a loaded barge. By this economy of time and steady movement, they
equal the speed of steamboats.
The Mohawk made its first trip from St.




60

Missouri— St. Louis the Commercial Centre.

Louis in six days with ten barges in tow. The management o f the barges
is precisely like that of freight cars. The barges are loaded in the absence
of the tug. The tug arrives, leaves a train o f barges, takes another, and
proceeds. The tug itself is always at work. It does not lie at the levee
while the barges are loading. Its longest stoppage is made for fuel.
Steamboats are obliged to remain in port two or three days for the ship­
ment of freight. The heavy expense which this delay and the necessity
for large crews involve, is a grave objection to the old system of transpor­
tation. The service o f the steam tug requires but few men, and the cost
of running is relatively light. The advantages which are claimed for the
barge system are exhibited by the following table ;
Tag and
barges.

Stopping at intermediate points................................
................................
“
•* terminal
“
Crew.................................................................................
Tonnage..........................................................................
Daily expenses.............................................................
Original c o s t .................................................................

2 hours
24 “
15
25,000 tons
$200
15,000

Steamboats.

C hours
48 “
50
1,500 tons
$1,000
100,000

In addition to the ordinary precautions against fire, the barges have this
unmistakeable advantage over steamboats— they can be cut adrift from
each other, and the fire restricted to the narrowest limits.
The greater
safety of barges ought to secure for them lower rates o f insurance. The
barges are very strongly built, and have water-tight compartments for the
movement o f grain in bulk. The transportation of grain from Minnesota
to New Orleans by water costs no more than the freightage for the same
point to Chicago. After the erection of a floating elevator at New Orleans,
a boat load of grain from St. Paul will not be bandied again till it reaches
the Crescent City. At that port it will be transferred, by steam, to the
vessel which will convey it to New York or Europe. The possible mag­
nitude of this trade may be inferred from the fact that in 1865 Minnesota
alone raised 10,000,000 bushels o f wheat.
Of this quantity 8,000,000
fltrshels could have been exported, if facilities o f cheap transportation had
offered adequate inducement.
This new scheme of conveying freight by barges bids fair to revolutionize
the whole carrying trade of our Western waters. It will materially lessen
the expense of heavy transit, and augment the commerce of the Mississippi
River m proportion to the reduction it effects in the cost of transportation.
The improvement which facilitates the carriage of our cereals to market,
and makes it more profitable for the farmer to sell his grain than to burn
it, is a National benefit. This enterprise, which may yet change the chan­
nel of cereal transportation, shows what great results a spirit o f progres­
sive energy may accomplish.
The mercantile interests of the West imperatively demand the improve­
ment of the Mississippi and its main tributaries. This is a work of such
prime and transcendent importance to the commerce of the country
that it challenges the co-operation o f the Government.
A commercial
marine which annually transfers tens of millions of passengers and hun­
dreds of millions of property ought not to encounter the obstructions
which human efforts can remove. The yearly loss of capital, from the in­
terruption of communication and wreck of boats, reaches a startling aggre­
gate.




1866]

The Present High Prices.

61

For the accomplishment of an undertaking so vital to its municipal in­
terests, St. Louis should exert its mightiest energies. The prize for which
competition strives is too splendid to be lost by default. The Queen City
of the West should not voluntarily abdicate its commercial sovereignty.
If the emigrant merchants of America and Europe, who recognize in
the geographical position of St. Louis the guarantee o f mercantile supremancy, will become citizens of this metropolis, they will aid in bringing to a speedier fulfilment the prophesies of its greatness. The currents
of Western trade must flow through the heart of this valley.
The march o f St. Louis will keep equal step with the progress of the
West. Located at the intersection of the river which traverses zones and
the railway which belts the continent, with divergent roads from this cen­
ter to the circumference of the country, St. Louis enjoys commercial ad­
vantages which must inevitably make it the greatest inland emporium of
America. The movement of our vast harvests and the distribution o f the
domestic and foreign merchandise required by the myriad thousands who
will, in the near future, throng this valley, will develop St. Louis to a size
proportioned to the vastness of the commerce it will transact. This me­
tropolis will not only be the center of Western exchanges, but also, if ever
the seat of Government is transferred from its present locality, the capital
of the nation.
St. Louis, strong with the energies o f youthful freedom, and active in
the larger and more genial labors o f , peace,-will greet the merchants of
other States and lan,d£ w it.h.fjierqlly. wfisorae, .aifofd tliem.,tlte .oppor­
tunities of fortune, aijcGhJjntoj.tjiiSir sfeijvices in tl^Jatfhieyejhe.njqf fya great­
ness.

12
THE P E E M
The chief obstacle to the restoration to tflis’ country o f its former pros­
perity, the obstacle which must be removed as soon as practicable, is
the high rate o f prices upon all the necessaries o f life. It is o f com­
paratively small account what colossal fortunes are amassed, what
apparent exhibition o f wealth a people may be able to display. When
the nation is compelled to pay exorbitantly for whatever is eaten and
worn, it is fast becoming impoverished.
That is precisely the condi
tion o f matters in this country at this very moment. Food o f every
kind, however abundant, is dear ; and cloths are held at rates beyond the
ability o f the majority o f wearers.
W e have abundant witness to this on every hand. Men employed
in the various avocations o f industry find it no easy matter to make
the two ends meet, although wages generally are higher than ever.
They find themselves obliged to pay for rents an amount so exorbitant
as to leave little behind for other necessaries. In the City o f New York,
a large proportion o f them have been compelled to give up their more
comfortable homes for little unwholesome apartments in tenement houses,
where squalor, dirt and a noxious atmosphere speedily brutifies and
degrades the inmates. Luxuries being out o f the question altogether,
cheap liquors become a substitute.
A s for the hundred thousands o f female operatives, the burden falls on




62

The Present H igh Prices.

[July,

them most cruelly. They must he neatly dressed, and be able to fill up
all the hours o f labor, at a remuneration little greater than that received
for similar service ten years ago. W hatever increase o f compensation
may have been granted to laborers and other persons employed, it has
never been equivalent to that o f the prices o f the articles o f consump­
tion in our markets. Indeed, it is the ultimate natural influence o f high
prices to depress the rate o f wages to a point proportionately lower than
the prices o f the necessaries o f life. Observations at different periods
have shown that they naturally have this effect. The tendency, when
the means o f subsistence are hard to procure, is for all persons em­
ployed, and laborers, to increase their exertions, thus overstocking the
market with their labor. This was prevented during the war b y the
repeated calls for men in the military service. Now it is different, as
is evident from the unsuccessful termination o f the recent strikes, all
of which have resulted disastrously to the laborer.
W e cannot account for present prices b y pleading a short supply.
The careful observer has noticed that the receipts o f wheat and flour at
tide-water from the Western States during the present season, are
largely in excess o f what they were a year a g o ; larger, indeed, than
they have ever been at any former period. Besides, the wheat crop
which is now being gathered, is ample enough to supply the market for
the coming y e a r ; and there is no good reason, apparently, why flour
should not be furnished to consumers for six dollars a barrel.
So, too, with manufactured goods. They continue to be held at high
prices'* yyitftour^ajtgfrimt *gocjl re’agcfti. •Tfic fsitpjiCy is large enough to
justify the' Sxfectatitui, tifl hvi er •i-wtcs.;.
,?s fjr from being scarce,
and the coming crop. 'fill bte sufpciqijtlyabundant to warrant a handsome
reduction. But vw5 qan pterqeive nojirulfcation o f so desirable an event.
The high prices atC ltnrftitafnijd'almost'*as if the war still raged, and gold
was at 280, and there w«t?*n&Uber the supply o f raw material to be de­
pended upon, or the reqiftjit^ tajbor for its manufacture.
The addition made to prices b y taxation, o f course, occasions some­
what o f the increase ; but o f this we do not complain. W e would only
require o f our legislators, that whatever burdens they might impose, they
should confine them to the actual exigency, the maintenance o f the G ov­
ernment and the liquidation ot the public indebtedness.
Beyond this
extent would be oppressive, an incubus on prosperity, and a discour­
agement to industry. A ll taxation adds to the cost o f production, and
is reduplicated in the prices to the {consumer, too often built up in this
way until increased into a burden too grievous to bear.
But the very price at which labor is, as we have seen, necessarily
held, will be said by many to be the cause o f the extraordinary cost
entailed upon the necessaries o f life. It is a cause, but evidently not
the first cause. The farmer is compelled to pay two d o lla r and more
for work which he was able to obtain a few years ago for one dollar
or le s s ; and all his agricultural implements come to him loaded down
b y similar prices exacted by the mechanics. H e cannot, therefore, sup­
ply grain at the old prices and be able to carry on his business. The
cost o f transit to market is enhanced in a similar manner by the increased
cost o f handling. Our coal is kept from two to six dollars a ton too
high, in part because miners’ wages have increased. That these are facts,




The Strikes.

63

we will admit. High wages are necessarily followed by high prices.
It is, however, also equally true that high prices are necessarily followed
by high wages, and it will be remembered that wages were not the first
to rise. It is evident, therefore, that there is a cause back o f this, and
operating over the whole country, making high wages and high prices
equally a necessity; increasing the cost o f transportation, and fostering
speculation. In a word, the real difficulty lies in the fact that our paper
dollar has been watered until it is worth much less than a dollar, and on
this flood o f currency prices float.
The remedy therefore exists in Congress and the Government. Some­
thing, we will admit, has already been done ; but the country is begin­
ning to sicken at the slow progress made. Speculation, stimulated by
the inflated currency, is again rising on its paper wings, and the articles
o f prime necessity are being bought up and held by the men that can
most easily procure the capital.
In this manner flour and wheat at
the principal points in the W est were raised last Fall to a price as high
almost as they stood in the City o f New York. The banks lent the money
to keep up the margin and maintain the exorbitant prices, till in many
instances the grain became injured and heated in the storehouses. W e
are liable to have this repeated again this season, and the evil must
grow upon us unless efficient measures are soon taken to bring the cur­
rency at as early a day as possible to a specie basis. This will reduce
labor from its nominal to its equitable value. E very other expense
will undergo a similar transmutation. W e shall no more have prices o f
war and famine when the soil is productive and the nation is at peace.
The men who are doing business on borrowed capital, it is very likely,
will suffer; but the producing classes will be placed in better circum­
stances. They are the ones whose welfare should be first considered.
The present disparity is rapidly impoverishing the great majority o f
the people ; and a return must be had as soon as practicable to a sound
financial policy in order to obviate the danger o f actual calamity.

THE STRIKES.
There are apparent symptoms o f a disposition among the operatives
on strike to return to employment. The difficulty among the masons,
who struck for a quarter holiday on Saturday, is in course o f adjust­
m ent; while ship-earpenters o f New York and Brooklyn, who have been
“ on strike ” for several weeks, to secure the limitation o f the daily
term o f labor to eight hours, have unanimously resumed work upon the
old conditions.
The ship calkers, who professed the most resolute
determination to enforee their demands to the last extremity have at
last relinquished their demands and are willing to return to work upon
late terms.
In Boston, Portland, and Philadelphia, the calkers co-oper­
ated wfith those of New York ; so that it has been impossible for New
York ship-builders to evade their embarrassments by sending vessels to
any o f those ports. The calkers o f this port have even taken measures for
ensuring the co operation o f their trade in the ports o f England. Some
days ago, three vessels wrere sent from Boston to Liverpool, ballasted
with timber, to be calked at the latter port. N o sooner was this ascer-




64

The Strikes.

[July,

tained than prompt measures were taken for advising the association o f
calkers at Liverpool, with a view to preventing their working upon the
vessels. These instances o f co-operation among the organizations within
the same trade indicate one important source o f the strength and endur­
ance o f strikes. W e understand that the return o f the ship-carpenters
to work was a matter o f arrangement with the calkers. The latter
argued that the carpenters would prepare work for them, and would
consequently only increase the necessity for the shipbuilders to grant the
advance o f wages demanded. This may appear to have been an ingenious
device; but, like all such unnatural expedients, it has proved unavailing.
The shipbuilders were determined to make this a test case, and, at
whatever sacrifice, to prove which side is most capable o f endurance.
They were aware o f the extent to which the trades associations rely upon
their accumulated funds, in the event o f a strike, and were intent upon
ascertaining to what degree those resources could enable them to enforce
their demand. The strikers, on the other hand, were resolved upon test
ing the power o f endurance o f the employers. The dispute, indeed, had
resolved itself into a deliberate strategic trial o f strength, and the result
must have a material influence in the settlement o f future similar cases.
The trades associations manage their strikes with no little adroitness.
The weakness o f the operatives lies in their necessity to work as a
means o f income. A s a protection against this weak point, each asso­
ciation has its reserve fund, intended for use in the event o f a strike;
and the success o f any effort to enforce their demands, depends entirely
upon the management o f these funds. Hence, care is taken, through
the central union o f associations, not to have too many strikes at the same
time.
By a simultaneous halt o f all branches o f labor, the funds of
the several organizations would be early exhausted, and the operatives
would be compelled by necessity to yield. A few branches are, there­
fore, left to do the brunt o f the fighting; and the funds o f all the asso­
ciations are made available for their support. The whole force o f the
operatives is thus concentrated upon a few well chosen points on
the employers’ lines; and the pressure is consequently protracted and
attended with severe injury to the capitalist.
W ere the several branches o f trade united in common cause, so as to
enable them to meet the workmen with a like sympathetic opposition,
this very ingenious strategy would be abolished, because o f its fruitless
results. But no such general combination exists among employers,
and would obviously be very difficult o f organization. F or this reason,
the firmness with which the shipbuilders have withstood the unreason­
able demands o f their employees is deserving of all praise. Individuals
among them might have yielded, from narrow and mercenary considera­
tions ; but all have preferred to incur severe loss in the assertion o f a
principle in which not only they, but all employers, are vitally inter­
ested, and to ascertain definitely important points respecting the work
ing relations between employers and operatives. The power to conquer
is unquestionably in the hands o f the em ployers; and the result o f the
well planned and desperately supported strike o f the calkers is an evi­
dence that if the employers are united they have the power o f enforcing
their own settlement.
The calkers must have already suffered to an extent calculated to cool




1866*1

English Panics o f the Present Century.

65

their ardor for strikes. F or several weeks they have been absolutely
idle, their principal reliance being a weekly pittance from the funds
o f their association, and such charity as other organizations chose to bestow
upon them. In hundreds o f cases the father has eaten the bread earned
by the sweat o f his wife and children, driven to some form o f cheap
labor, and to compete with some branch of that common organization
o f labor which it was supposed the strike was calculated to support. In
the mean time, the place vacated by the idle striker was being filled'. The
shipbuilders were putting raw hands upon their vessels and training
them to efficiency; so that the calkers, on returning to work, find they
have created a large addition to their trade, who will be future
competitors for employment, tending to depress wages even below the
rates at which they refused to work. Thus will stiykes ever result in
the ultimate injury o f those who engage in them They may meet,
and have met, with apparent success for a time, but being against reason,
and opposed to that community o f interest which Providence has instituted
between the workman and the employer, they must in the end bring
the sure penalty that attends every infraction o f natural law. They
are a suspension o f that process which connects existence and enjoy
ment with the sources o f sustentation; and consequently they result in
injury to the most vital interests o f society.

ENGLISH PANICS OF THE PRESENT CENTURY.
The number o f wel’.-Jefined and purely monetary panics that have been w it­
nessed in the present century in England has been, including the one last month
(May.) five. In the early part o f the century there were numerous others—
indeed they were then o f rapid occurrence— but these, up to 1815, were all con­
nected with the varying fortunes o f war.

I t was in 1826 that the first purely

speculative panic took place. In the preceding year consols had steadily ad­
vanced from 84J to 9 6 f, and this upward movement had been accompanied by a
furor for the establishment o f join*-stock companies o f all descriptions. Mines
in M exico and other parts o f South Am erica were chiefly in favor ; but when
the mania was at its height there was scarcely a conceivable branch o f occupa­
tion, from pearl fishery in the Pacific down to the washing o f linen and an equit­
able system o f pawnbroking at home, that was not organized in a prospectus or
that failed to command a premium. Bank directors were in the vortex, and in
some o f the most ludicrous concerns the names o f leading merchants figured.
The proposed capital o f each company was. however, in those days much more
modest than now, the usual range being from £50,000 to £300 000, instead o f
from half a million to five millions, “ with power o f increase,” as at present. A t
length a rapid drain o f bullion set in, the funds precipitately went down, and
consols in 1826 touched 73J.

Universal ruin ensued, a run upon the bauks took

place, and Lombard street and Bartholomew lane presented a scene not unlike
that of Friday last.

In this emergency the pressure put upon the Government

for aid was so great that it was resolved to authorise an advance not exceeding
three millions sterling, to be made upon goods, merchandise, and other securities.
Commissioners were appointed to ca rry o u t the arrangement in the principa 1




6G

[July,

English Panics o f the Present Century.

commercial towns, and confidence was almost immediately re-awakened.

The

applications for assistance proved to be much fewer than had been expected, and
in many places the commissioners bad almost a sinecure. “ The knowledge that
a public fund exists,” it was remarked by a writer o f the period, “ ready to ad­
vance money to those who can furnish substantial deposits, infuses a similar con­
fidence into private individuals , and when one body, celebrated for prudence
and caution, has led the way in trusting its neighbors, others are gradually en­
couraged to follow in the same path, and return to their ordinary sources o f gain.”
The next panic occurred in 1837, but this was o f a more restricted character,
and was not attended with any violent fluctuations in the funds or in the rates o f
discount.

A n English paper attributes its rise from an eagerness to make loans

to the various States o f the American Union, and front a system o f “ open credits”
to the merchants o f New Y o rk , N ew Orleans, &c. The chief London houses, by
whom these credits bad been granted, were, in the first danger, assisted to an
extraordinary extent by the Bank o f England, but it was ultimately found im­
possible to prevent a total break up.
The next occasion was 1847. The preceding years h id been marked by the
introduction o f railway projects to the amount o f 300,000,0001, and by the
elevation of Mr. Hudson as a chief promoter. Consols on the 1st o f January
had stood within a fraction o f 94, and in October they were down to 78J. The
drain o f gold was extremely severe, and on the 25th of October (the Bank reserve
h iving been reduced to 1,170,7401) the Government, on a representation from
the principal discount houses, authorised the suspension of the Charter A ct,
which had then been three years in operation. The minimum rat at which
advances were to be made was on that occasion fixed at 8 per cent.

The effect

was as sudden as had been that o f the Government resolve to make advances on
goods in 1826.

In two months consols recovered from 7 8 f to 854, and within

seven months the rate o f discount was down to 34 per cent.

In the following

year it -went to 2 ), and it theD remained with little variation (ranging between
2 and 3 per cent.) for nearly three years.
In the panic of 1857, which was brought about by the most wild speculation
on the part o f exporting merchants, chiefly supported by reckless credits from
banks at Liverpool, Glasgow, and elsewhere, the suspension o f the A c t took
place on the 9th of November, and the minimum rate for advances was fixed at
10 per cent., being 2 per cent, higher than on the previous occasion.

Consols,

which had previously stood at 944, went during the panic to 861, and the Bank
reserve was down at 957,710.
was rapid and continuous.
o f discount had fallen to
between 2| and 5.

But on this, as in former instances, the recovery

In the next year Consols stood at 98 f, and the rate
per cent., after which, for tw o years, it ranged

24

Annexed is a comparison o f the state o f the Bank accounts, and the price of
Consols in each o f the three panics that have happened since the passing o f the
A c t o f 1844 ;—

Panic o f 1 847
“
1857
“
18c6




Bank Bullion.
8 ,4 0 8 ,7 6 0
6 ,4 8 4 ,0 8 6
1 2 ,8 2 3 ,8 0 5

N otes in
Keserve.
1 ,1 7 6 ,7 4 0
9 5 7 ,7 1 0
7 0 0 ,8 3 0

Bate o f
Price
Discount. Consols
8
7Sf
10
864
10
84f

Joint Stock Banks in Ireland.

1863]

67

AX OCEAN RACE IN 18 3 7 .

Mr. John Robertson, South Shields, England, supplies the following paiticulars o f a race which took place between Calcutta and London twenty nine years
ago. H e says : I was carpenter on board the barque Georgiana, o f London,
Captain Thoms, 500 tons, in the year 1837.
W e were then lying at Calcutta,
and the R oyal Saxon, another barque o f the same tonnage, lay in the next
anchoring berth from ours. A s both vessels got up their anchors together, and
both were bound for London, Captain Thoms bet the captain o f the Royal S ixon
a new hat that he would be into London before him.

W e sailed on the 18th o f

February from Calcutta, parted company at the Sand Heads on the 20th, when
the pilot left the ship, and on the 21st we lost sight of each other. On the after­
noon o f the 24th o f March, the Georgiana was beating round the Cape
o f Good H ope, making very heavy weather o f it. W e had actually dip­
ped our topgallant forecastle under water, and put out the fire in the cook’s gal­
ley (which was under the topgallant forecastle) when we suddenly discovered
our old companion, the Royal Saxon, beating away to the northward, like our­
selves, under double-reefed topsails.
most
ocean.

Strange to say, the night was one o f the

beautiful and yet one o f the gloomiest that ever was seen on the
Aw ay to the north west, the clouds were black and dense, the wind and

sea being excessively high ; in a minute or so the clouds would rend asunder, as
it were, and the heavens overhead were illuminated with a beauty such as I have
never witnessed since.

Captain Thoms— who was a Scotchman— a native o f

the city o f Aberdeen— had always divine service on board his vessel on the
Lord’s Day, when the weather permitted ; b ut on that day religious exercises
were omitted.

Still we persevered, and the R oyal Saxon and us lost sight of

each other at nightfall.

W e did not pick each other up again until we went

into St. Helena, which we did on the 7th o f M ay.
stowing her sails as we entered.

The R oyal Saxon was just

W e had 60 tons o f rice to discharge for the

garrison o f the island, and to take in water.

The Royal Saxon thereby got the

start of us by 12 hours, and we never sighted each other until we both arrived
in the Downs together at. midnight on the 3rd o f June, and when morning broke
on the 4th we were both within hail o f each other. W e both got up our anchors
together early in the morning, set our canvas, and went up the river in grand
style, sometimes abreast o f each other, and occasionally only a ship’s length or
so between us.

It was a very exciting race, and a very fine one from the begin­

ning, but the finest of it all was at the end, for, had the gates o f the East India
D ock been wide enough, we should both have entered the basin together.

We

let the Royal Saxon go in first, and as both vessels were entering— the R oyal
Saxon beiDg about half a ship’s length a head o f us— the crew o f e;.ch vessel
shouted to the other, “ A dead h e a t! a dead h ea t! W e ’ll have it over again 1”

JO IN T STOCK BANKS IN IRELAND.

From a report furnished to the Government by Mr. Neilson H ancock on the
deposits in joint stock banks in Ireland, it appears that the increase o f £2,628,376 during the year 1865— viz : from £14,422,176 in 1864 to £17,050,552 in




The Silk Spider o f South Carolina.

68

[July.

1865— was greater than the largest previous increase in one year— viz : of
£2,510,233, from £7,263,091 in 1851 to £10,773,324 in 1852.

It also appears

that the increase ot £4,083,821 in the last two years exceeded the withdrawals
during the four bad years, 1860-3, by £1,008,412, so that the deposits, £17,050,552, at the end o f 1865 exceeded by £1,000,000 the previous maximum o f £16,042,140 in 1859.

The deposits of £17,050,552 are more than twice the amount

in 1850— v iz : £8,268,838, and three times the amount in 1840— viz : £5,567,851. Considered with reference to changes in population, the deposits in 1840
were 13s. 7d. per head o f population ; in 1850, £1 2s. I d . ; in 1860. £ 2 14s. Id. ;
and in 1865, £ 3 3s , or nearly five times the amount per head o f population as in
1840

A s an evidence of absolute progress in wealth, and o f the recovery from

the effects o f losses in recent years, these figures are more interesting. They
show, too, that there is no want of Irish capital for thejm provem ent o f land, or
for any other legitimate Irish enterprise. Upon the larger question o f the wealth
o f Ireland, as compared with other portions of the United Kingdom , the extra­
ordinary advantages which England and Scotland enjoy over Ireland in mines
and minerals, and consequently in manufactures, have led to an equally remark­
able accumulation o f capital. Oue bank— the London and Westminster— holds
for bank deposits, circular notes, and other moneys payable on demand, no less a
sum than £19,224,571.

The Irish returns include deposits alone ; but if even

the cash balances were added, the sum in all the banks would not much exceed
what is held by one English bank.

T H E SILK SPID ER OF SOUTH CAROLINA.

Dr. B. C. W ilder, late surgeon o f the Fifty-fifth regiment Massachusetts
volunteers (colored) gave the first o f four lectures upon the above subject, in
Boston, Tuesday evening. The journal gives the following brief but interesting
synopsis:
The first o f this species o f spider was discovered by the lecturer, on the north
end o f P olly Island, while in camp there in August, 1863.

H e wound Irom its

body, in one hour and a quarter, one hundred and fifty yards of yellow silk.
The next year another officer wound from thirty spiders three thousand four
hundred and eighty-four yards, or nearly two miles o f the silk. A single thread
o f this was strong enough to sustain a weight of from lorty-four to one hundred
and seven grains. In 1865 D r. W ilder showed his specimen to Prof. Aggasiz
and others to whom the species was new. Returning to Charleston, he resumed
his researches, and after a variety o f adventures and disappointments, succeeded
in getting a number o f the spiders.
In the course o f the season these all died from lack o f knowledge as their
habits, mode o f living, & c.
were produced.

From the eggs deposited, however, many others

I t is the habit of the stronger to devour the weaker, so that

out o f seval thousand only a few hundred were raised.

The fact, however, was

clearly demonstrated that they could be raised and live through a Northern
winter.

In the succeding lectures the method o f securing the silk, and other

facts in regard to this interesting discovery will be given.




1866]

Internal Revenue Report.

69

Specimens o f the silk were exhibited, which were o f a golden yellow and a
silver white, and as brilliant as the metals in appearance. It is elastic, while
the silver colored thread is non elastic, and is used for the main stays o f the
w eb. Dr. W ilder has a. lot o f these spiders living in the Cambridge Conserva­
tory, and many young broods in his room in Boston.

The D octor has made lull

communications to the American Academ y, and to the Boston Society of
Natural H istory.

IN TER N A L R E V E N U E R E PO R T ,
The Secretary o f the Treasury on W ednesday June 20 transmitted to the House o f
Representatives, in answer to a resolution, a report from the Commissioner o f Internal
Revenue, from which it appears that the amount o f direct taxes by the act o f 1861
apportioned to V irginia is $98*7,560, o f which $379,491 has been collected ; appor.
tioned to North Carolina, $576,194, collected, $260,283 ; apportioned to South Caro­
lina, $863,570, collected, $205,882;

apportioned to Georgia, $584,367, collected

$54,421 : apportioned to Alabama, $529,313, none collected ; apportioned to Missis’
sippi, $413,084, collected, $25,000 ; apportioned to Louisiana, $385,836, collected.’
$301,167 ; apportioned to Tennessee, $669,498, collected, $83,811 ; apportioned to
Arkansas, $261,866, collections not reported; apportioned to Florida, $77,522, collec­
ted, $5,712 ; apportioned to Texas, $355,106, collected, $47,423.
The property held b y

the Government under sales authorized b y acts relating to

direct taxes, was purchased at prices amounting in the several States as follows :
Virginia, $32,268 ; South Carolina, $65,392 ; Florida, $6,168 ; Tennessee, $8,360.
In Arkansas lands were struck off for taxes unpaid to bidders who never com pleted
their purchases, to the amount o f $18,600.

The amounts received from sales in the

several States are as follows : V irgin ia, $ 3 ,1 3 0 ; South Carolina, $28,433 ; Florida
$ 3 4 9 ; Tennessee, $122,717.

Arkansas is not reported.

The whole amount standing

to the credit o f the Arkansas Commissioners, from taxes collected and the proceeds o f
sales deposited to the credit o f the United States, is $165,262.
The Secretary o f the Treasury in his letter inclosing the above facts, says : “ I avail
m yself o f the occasion to express an opinion based upon my observation o f the oper­
ation o f the law that an additional enactment authorizing the assumption by the
States, respectively, o f the remainder o f the direct tax due from each, would, in view
o f the present impoverished condition o f their people, prevent much hardship in indi­
vidual cases, and save from practical confiscation the property o f many persons against
whom the Government has no grounds o f complaint, while no public interest would be
injuriously affected.

Should this policy be adopted, the collection o f taxes under the

present system m ight and ought to b e discontinued until an opportunity for assump­
tion be offered.

W hether the amount realized from re-sales o f property, bid in for the

Government, should or should not be allowed to the States, respectively, in computing
the taxes still due is a question well deserving o f consideration, which I submit without
comment.”

The receipts on account o f internal revenue for the present year up to the

19th inst., inclusive, amount to $299,018,436, leaving less tban$l,000,000 to complete
$300,000,000, the estimate made at the Bureau o f Internal Revenue.

It is now

believed that the receipts o f the fiscalyear, ending with the 30th o f this month, will
amount to $306,000,000, from taxes for internal revenue alone.




10

National Bank Deposit Taxes.

[July,

iV A TIO M L B A M D EPOSIT TA X ES,

The following correspondence is of interest to the National Banks throughout the
country :
N a t io n a l M e c h a n ic s ’ a n d F a r m e r s ’ B a n k , \
A l b a n y , June 11, 1866.

)

Hon. F. E. Spinner:
M y D e a r S i r — The former Commissioner of Internal Revenue decided tha deposits growing

out o f collections for other banks, and remitted for at short dates, were not taxable. Your
decision, though couprehensive, still leaves the question open for bankers to interpret. Y on
require the tax on " collections made for other banks, and, in fact, on all descriptions ot
deposits which m aybe used by the bank.” Our interior banks collect for city banks and rtm it
by check on New York, w< ekly, semi-inonthly, and monthly, as the arrangement may be, at par.
W eekly remittances average three and a half days; semi-weekly remittances average seven and
a half days ; monthly remittances average fifteen and two-third days.
Deposits which remain
in interior banks through collections in miscellaneous currency only three and a half and seveif
and a half days, and are then remitted for by check on city banks, cannot, I think, be safely
used. I am not so clear in regard to an average deposit of fifteen and two-third days, and
therefore prefer to know and be governed by your views. A s an experienced country banker,
you can readily decide this question. Our canal tolls are collected on an allowance of twenty
days.
I think we may fairly claim that in case o f doubt we should have the benefit of it. This is
equitable in all cases, and especially in regard to banks, who are so over-taxed beyoud all other
property as to seriously threaten their destruction. The yearly taxes o f this bank— Govern­
ment, State and municipal—are over ten per cent, on our capital. This will excuse us for past
and future conflicts for rights which cannot be yielded without a surrender of our existence.
I am, therefore, induced to bring before you another question for your decision. Can a
deposit be «;xed more than once? For instance, the Mohawk Valley Bank has deposits
amounting to $100,000, upon which they pay the Government tax. They remit to us $*^5,000
o f said deposits ; and can the same be taxed a second time in our hands ? W e remit it, to our
credit, to a bank in New York, and if this duplicate taxation is claimed there is no limit to
its multiplication and consequent injustice and oppress on.
I suggested these points, and some others which the Government has since yielded, to the
present Secretary o f the Treasury when he was Comptroller o f the Currency, and he wrote me
that my suggestions had gre it weight, and that he would speak to the Commissioner o f Internal
Revenue on the subject. The sacrifices which the condition of our banks then required of us
no longer demand our unyielding acquiescence, and I trust the time has arrived for a just
and amicable adjustment o f these que tions.
I have the honor to be, dear Sir, yours,
T ilo M A S W . O LCOTT, President.
T r k a s u r y o f t h e U n it e d S t a t e s ,
1
D iv is io n o f N a t io n a l B a n k s ,
v
W a s h i n g t o n , June 18,1866. )
S i r — I h a v e r e c e iv e d y o u r s o f t h e 11th in s t ., t h e c o n t e n t s o f w h ic h I n o t e .

You quote the words o f the return : “ collections made for other banks, and in fact all des­
criptions of deposits which may be used by the bank,” and refer to collections made by coun­
try banks for city banks, for which payment is made at stated periods, which collections . ou
think would not properly come under the head o f deposits “ used by the b an k ."
In the semi-anmial return, after enumerating the different classes o f deposits, that have
occurred to me as likely to be made with a bank, the words, "a n d in fact all descriptions o f
deposits which may be used by the bank,” have been inserted to cover any deposits that may
not have been enumerated, and not as a qualification of the preceding classes.
I think deposits arising from collections areas clearly subject to duty as any class o f deposits.
The collecting bank has the use of the money from time of collection until it is paid; it goes
into general account with other funds o f the bank, and may be used as well.
The fact tbU
a emittance is made at stated periods does not operate against th'S view. It ir £ 5 even be an
advantage to a bank to know exactly how long a collection or deposit may remain with it. Jf
the collecting bank remits at stated periods at j ar f e stated) or without charge, it would seem
that it was an acknowledgement that benefit was derived by it from the collection.
In regard to the question, can a deposit be taxed more than once, instancing the Mohawk
Valley Bank as pay ng duty on $100,000 deposits, $25,000 o f which have been deposited with
you by that bank, upon which amount you pay duty, although you have remitted the amount
to a bank in N ew Y'ork, where it is subject to duty.
It is clear that the Mohawk Valley Bank
has received the $100,000 on deposit, the whole of which is available to it, although a portion
o f it may have been placed with you, as a fund against which it can draw, upon whi'-h it pro­
bably receives interest, although that would not be material to the question. It is not less
clear that you have received $25,000 on deposit, which you have transferred to the N ew York
bank with the same view, and that the New Yrork bank has the $25,000 on deposit, which it
may use as it may use any deposits, say of individuals. The question would not then be,
what use dots a bank make of its deposits, but what deposits has it on hand?
I know that the present duty and taxes on banks are onerous and burdensome ; but yet,
so long as the duty, with the collection of which I am intrusted, is laid upon them, it does not
seem a sufficient reason why I should authorize a departure from w'hat seems to be the spirit,
clear intent, and meaning o f the law, which might thus be so perverted as to fail to answer the
purpose designed. A bank should not be permitted, lor iis own benefit, to go behind its own
records and books, and to eliminate certain amounts which it judges not profitable; thus
opening a door to fraud and perjury. O f course there would be no suspicion o f evasion by a
bank of character and standing like your own ; but some banks it is undoubtly best to leave,
if possible, nothing undefined.
A remedy would oe for banks to decline to receive deposits on such terms as would not allow’




1866]

Commercial Chronicle and Review.

'll

a profit to them above the daty on other expenses; but, while competition among them for
business is so great, it docs not. seem probable that the rule would generally prevail.
The banks in New York and other cities were permitted, upon representations made by them,
to omit from their deposits of the day such checks as were deposited on that day, but remained
uncollected, and against which no checks were made, or rather paid.
But. no claim has been
made that any collections should be omitted from deposits after the money had been col'ected.
I notice propositions before Congress to reduce materially the duty upon banks, which, or
something similar to it, I shall hope to see become a law. It seems necessary, in the event,
that a burdensome State tax upon the banks shall be insisted upon, that Congress should, to a
certain extent, remit the duty to the Government.
F . E. SPINNER,
Treasurer United States.
Thos. W . O l c o t t , President National Mechanics’ and Farmers’ Bank, Albany, New York.

NEW YORK STATE BANK NOTES.
The following is from the Superintendent o f the Bank D epartm ent:
S tate of N e w Y o r k ,
B ank D epartm ent , Albany, May 31.

)

f

The impression obtains, to a considerable extent, that in consequence o f a law o f
Congress, the holders o f State Bank bills will be subject to a tax o f ten per centum
on paying them out, after the first o f July next; and there are bankers who sup­
pose they are subject to a like tax on all their outstanding circulation at that date.
Nothing is more erroneous.
The following is the only law o f Congress on the su b je ct:
S e c . 26 o f the amendments to the Internal Revenue Laws, approved March 3d, 1865 :
“ And be it further enacted, that every National Banking Association, State Bank, or State
Banking Association, shall pay a tax of 10 per centum on the amount of notes of any Stare
Bank or State Banking Association paid out by them, after the first of July, eighteen hundred
and sixty-six.”

It will be seen that Banks only are subject to the tax, and that, not on their out­
standing circulation, but only on such notes as they shall p a y ou t. Holders o f Now
York State Bank Bills, not bankers, are not subject to the tax.
They may hold
them, or pass them, the same as usual.
The notes o f New Y ork State Banks will be as safe and valuable after the fir-t
o f July, 1866, as at any time in the past. Securities for their redemption are held by
this Department, and are only surrendered on the return o f the notes.
Although the banks are being legislated out o f existence, their notes, as a circulat­
ing medium, will maintain their former high reputation for safety and value. There
can be no safer circulation than that of oui New Y ork ^tate Banks, and holders
may rest secure, that their State money is worth doll r for dollar in legal tenders.
Our banking system, so far as Congressional legislation can do it, is to pass away,
and be superseded by the National, whose highest merits rest upon the fact that it Is
modeled after our own.
G eo rg e W . S c h u yle r , Superintendent.

COMMERCIAL CHRONICLE AND REVIEW.
Increase in Exports o f Specie— Advance in G old -P rivate Sale and Purchase of Government
Securities— Rates of Discount— Prices o f American Securities at London— New York prices
o f Governments— Railroad Stocks—Course o f Gold for month— Treasure movement—E x ­
change, &c.

The disturbed condition o f Europe has further acted upon us the past month,
increasing largely the exports o f specie, and sending up the price o f gold, which
has now broken away from the control o f the Government.

Of course all values

are again unsettled, and very little business is being done. This, however, is the
dull season, and we cannot anticipate any decided activity, at least, until it is
time for the fall trade to begin.

The latest news from Europe gives a more

favorable account o f affairs in England.

The continued large arrivals o f bullion

from this side, and the comparatively limited exports to India and other quarters
have had a good effect, and the bauk rate has been reduced from 10 per cent to




72

Commercial Chronicle and Review.

8 per cent as the minimum.

[Ju ly,

On the other hand, the war news has been grow­

ing more and more warlike, and while this is the case it is wise to act with
caution.

The tidings o f the failure o f the proposed Congress, the last effort of

diplomacy to avert an appeal to arms, were followed on this side of the water by
a sudden and alarming advance in the premium on gold. W e do not propose to
enter into a discussion of the origin o f this phenomenon, or o f the probable con­
sequences to ourselves o f a wide-spread and destructive Continental war.

But

it is eminently desirable that we should be aroused by it to consider how greatly
our financial and commercial relations with Continental Europe have been changed
Dy the events of the last six years ; and how.much more] important those rela­
tions now are in their bearings upon our home interests, than they were before
the recent enormous development both o f our commerce with the German States
and of our national debt. The efforts and the influence o f France may for a
time hold back the smaller German States o f the South and West, Bavaria,
Baden, Wurtemberg, and the petty sovereignties immediately dependent upon
them, from the vortex of the war.

But nothing can avert the immediate action

of the conflict upon the commercial and industrial condition of these States, and
through them upon all communities in any degree connected with them ; and pru­
dent men will bear it in mind, here in Am erica as well as beyond the seas, that
the coming summer and autumn are certain to witness financial and commercial
disturbances analogous in kind if not equal in degree to those which for the four
years o f our civil war, fevered every branch o f industry and activity among us,
generated the passions and the perils of speculation, and unsettled all the system
qt our public and private economy. N o t that we believe this result must o f ne­
cessity be disastrous to ourselves, for if we only put our house in order and pre­
pare lor the storm, we may reap decided advantage from the strife now just
begun.
There has been cor.s'derable excitement, not unaturally produced, by the private
sale and purchase o f

Government

securities on account o f

the Treasury.

It is to be regretted that these transactions were conducted under the veil o f
secrecy, the public not being informed o f the facts until they appeared in Mr.
M cCulloch’s monthly statement o f the Treasury. It would have been better and
more consistent with 4he traditions, the habits, and the principles o f our popular
institutions, as well as more in accordance with what is done by other Govern­
ments, if there had been no attempt at secrecy. However, it is gratifying to
know, as has been elicited from the recent Congressional enquiry, that since the
l i t January all that M r. McCulloch has done

in this respect is to fund Seven-

thirties and Compound N otes into Five-twenties to the amount o f some 23 mil­
lions, and to purchase a small amount— about l £ millions— of the 173 millions
o f outstanding Ten-forties. This last transaction was altogether exceptional,
and we understand it will not be repeated. It is said, in justification, that by
these several movements a direct saving to the Government has been effected to
the amount of more than $800,000 ; the credit o f the Treasury has been im­
proved, the new Five-twenties have been negotiated at from two to three per
tent, piemium, the Ten-forties have advanced in the market from 92 to 96, and
the way has thus been in part prepared for any funding operations which may be
next entered upon.




This is all very well.

But why the secrecy ?

73

Commercial Chronicle and Review,

1866]

There are innumerable evils apparent to every one in allowing Government
officials thus secretly to influence the market, putting the price o f our bonds up
and down at will, and it is unnecessary for us to notice them here. I t cannot
but be hoped, however, by all friends of the Government, that this matupulating
o f our Securities will not soon be repeated. Below, we give the official paper
lately presented to Congress, showing at what times and rates Five-twenties
were sold by the Treasury Department between the 1st o f January and the 2d
o f June for the purpose o f funding Seven thirties,
OFFICIAL REPORT TO CONGRESS

OF

S e e .,

noticed above :

F IV E-TW EN TY BONDS ISSUED AND SOLD SINCE JAN. 1 )

1 8 6 6 , TO J u n e 4 , 1 8 6 6 .

Date.
Jan. 3*..........
6*..........
*
___
20*.......... . . . .
22*..........
23*..........
24............ ....
3............ . . . .
6 ............
(5..........
8.......... ___
............
12..........
15............ ___
10..........
16..........
17............ . . . .
18............
19..........
22............
29............ ___
............
2 ............
5 ............
'■6............
8 ............
8 ..............

9............
13............
15............
19............
20............
27............
20............
28............
14*..........
Mar. 3 ............
3 ............
13............
16............
21 ..........
19............

Hate of
Kate ol
Amount
Prin- prePrin- pre*
Amount
cipal. miiim. received. Date.
cipal. mium.
received.
$25,647 63 Apr. 20.............
$900,000 4X
$942,750 00
2*
10,382 22
150,000 4 X
10,000 2,X
156,937 50
500,000 3
520,589 05
550.000 4X
576,812 50
21...............
175.000 4X
i,coo;ooo 2 1,033,150 70
ia3,312 50
20,833 45
23.............
2,000,000 6
2,100,000 00
2*
108,347 95
100,000 2
24...............
250.000 5X
263,437 50
1,000,000 2 1,033,808 20
150,000 5X
157,875 <0
290,700 00
285^000 2
26...............
75.000 6>X
79,312 50
100,000 2X 102,125 00
27 ............
50.000 5X
52,875 00
451,000 1 X 458,892 50
30...............
75,000 5X
79,312 50
269,500 i x
274,216 25
600,000 fix
633,000 00
106,837 50
105,000
30...............
128,000 IX
10
130,240 00
IX
30,525 00
61,000 IX
30,000 IX
62,0(57 50
174,000 1M 177,015 00
122,000 IX
124,287 50
60,875 00
5o;ooo IX
100,000 X
1.. ............
100,250 00
3,000 IX
3,0 6 25
1............... 1,500,000 5X
1,584,375 00
1,578,(0) 1% 1,608,606 25
4 8,000 fix
1...............
475,875 00
38,665 00
38.000 IX
1...............
100,000 l x
101.875 00
50,875 00
50,000 IX
2+............. 1,021,500
1,021,500 00
10,000 2
10,200 00
4+.............
202,500
262,500 00
5,000 2
5,100 00
4 ...............
675.000 IX
687,656 25
200,000
600.000 IX
Fob. 22X 204,250 00
5 ...............
609,375 00
30,000 2X
30,675 00
5 ...............
250,000 2
255,000 00
51,125 00
50,000 2X
20,000 2X
20,425 00
7...............
10,225 00
8...............
10,0110 2
10,200 00
2X
60,000 2X
61,350 00
8 ................
1,500,500 IX
1,528.125 00
20,475 00
8 ................
54S,000 IX
557,413 13
2X
40,900 00
40,000 2*
162,500 2
11..............
165,750 00
36,000 2%
36,945 00
300,000
300,000 00
26t.............
50,000 2X
51,437 50
200,000
28t.............
200,000 00
5,168 75
100.000 ix
5,000 8«
18...............
101,875 00
15,4S7 50
500,000 2
3V
18...............
510,125 00
5,100 00
90,000 2
5,000 2
21 .............
91,800 00
31,012 50
26............... 1,000,000 IX
1,018,750 00
3X
3
16.995
00
16,500
28...............
70,000 2
71,400 00
100,000 2
103,726 03
70,800 2
21...............
72,216 00
Sii 30,937 50
64.000 t
26...............
65,000 00
3
39,140 00
30+.............
26,600
3
20,6'0 00 June 2...............
285,000 2
290.700 00
72,537 50
2............
220,000 115-16 224,262 60
3X
95,000 131-32 96,870 00
7,771 88
2...............
sy.
4X 627,750 00
4X 130,625 00 Total.................. $22,769,900 .. . $23,435,249 99

The money market during the month has exhibited great ease.
give the current rates for loans each week :

Below, we

KATES OF LOANS AND DISCOUNTS.

June 1.
Call loans .......................................... 5 @ 6
Loans on Bonds and M ortgage... 6 @ 7
A 1, endorsed bills, 2 mos.............
6
Good endorsed bills, 3 & 4 m o s .. . 6 @ 7
“
single names. 8 @ 9
Lower grades..........................in
@ 15
* With interest added.
VOL. LV----NO, I.




June 15. June
Jline 8.
5 @ 6
5 @ 4 @
6 @ 7
6 @ 7
6 @
6 @ 6J 5 @ 6* 6 @
SI 6 @ H 6 @
7 @ 9
7 @ 8 7 @
10 @15 18 @15 10 @ i

+ Exchanged for 7 3-10 notes.

5

t

22.

June 29.
4 @ 5
7 « @ 7
5i 5 @ o j
ti @ 6*
7
8 7 @ 8
10
2
@12
5

S ic

1,564

U

Commercial Chronicle and Review.

f July*

I t is to be regretted that Mr. McCulloch has found it necessary to defer the
issuing of the usual monthly statement o f the public d e b t; for, independently o f
other reasons, the condition o f the national finances is so strong, and the demand
for our Securities at home and abroad is so activd, that a much more w idelyabsorbing interest is expressed than for some time past to know those facts which
the report gives to the public relative to the recent movements o f the Treasury.
W e presume that there is in no degree a desire on the part o f the Secretary that
the doings o f the Treasury Department shall be invested with mystery, or de­
prived o f that publicity which is equally demanded by expediency and by law.
The much comp!ained-of delay is, probably, due in part to the multiplicity o f the
accounts with the National Banks which are deposotories o f the public money,
and to the obligation to get each account posted up to the 30th June, so as to
close np the fiscal year. Another cause o f the trouble, if we are not misinform­
ed, is connected with the accounts o f the Collectors of Internal Revenue, which
are said to be less promptly closed than might be wished by the remittance o f
o f the cash balances due to the Government.

W e trust, however, that whatever

be the origin o f the non-appearance o f the Treasury statement, it will be pub­
lished without further delay.
Another point on which there is considerable public anxiety at present is the
funding o f the short debt in to long bonds. It is impossible to contemplate with­
out concern the fact that during the coming tw o years one thousand millions o f
our debt will mature, and that we must pay off this large sum by issuing bonds
at long dates. H aving such a large amount o f bonds to sell within a limited
time, it is surely the part o f wisdom to begin the issue as soon as we can. A n d
it is especially our duty in the present case to put our bonds before the publie
immediately, for the state o f the money market is more favorable now than when
the Fall business begins. A t present, there is a superfluity o f idle capital seek­
ing investment, the current o f the circulation is gorged with bank notes and
other paper money, the paying off o f thirty million o f certificates drives out a
mass of floating capital to compete for profitable employment, and the heavy
payments making at this season on account o f the interest and dividends o f a
large number o f corporations and business firms contribute to augment the ple­
thora o f the loan market, and to render the present moment a more propitious
one than may perhaps occur again far the negotiation ; for suggestive indica­
tions are not wanting that if the auspicous advantages which now offer are not
embraced, the extreme ease in money will give a very mischievous impulse to
speculation, the feverish and debilitating effects o f which, when the inevitable
reaction sets in, may be very much in the way o f the success o f any government
loan. It is reported that Mr. McCulloch is waiting to see what Congress will
do, and what further powers will be confided to him before he makes any special
efforts at funding. This procrastination, it seems to us, is quite unnecessary.
I t might, perhaps, be in some respects preferable that Mr. Sherman's proposed
loan bill, or some other loan bill, should pass Congress, but we must not forget
that, under existing laws, Mr. McCulloch has all the power that is necessary to
issue five or six per cent, thirty-year or forty-year bonds in exchange for out­
standing securities. H e has iudeed availed himself o f these powers in his secret
negotiations noticed above. W h a t is necessary is to conduct on a larger scale




1866]

Commercial Chronicle and Review.

15

and in a more public manner similar negotiations of bonds for Seven-thirties and
Compound notes.
The objection is raised that the next loan must consist o f permanent consoli­
dated bonds, which, in process o f time, shall absorb all existing forms o f the
public debt, just as has been done by the Consols o f England and the Rentes o f
France. Doubtless, it would be a convenience if this could be done.
But it
must be remembered that our Consols cannot bear more than five per cent, interest, and that they should not be issued below par.

The opinion is held by

most o f us, indeed, that the time will come, and is not very distant, when five per
cent, bonds o f the United States will be at a premium ; but that, at present, the
large sums winch we want to raise cannot be obtained in the limited time alloted
to us, except by the issue o f six per cent, securities.

It has therefore been pro­

posed to issue Five-twenties at a premium, with a view o f paying them off in a
few years and replacing them by five per cent, securities. Some o f the advocates
o f the controllability o f the debt are in favor o f the issue o f a series o f new threeyear currency-bearing bonds, similar in character to the Seven thirties, and ex­
changeable for five per cent, bonds at maturity. Whatever plan Mr. McCulloch
may adopt, he should decide promptly.

Every one conversant with W all sireet

knows that gold-bearing bonds are extremely scarce. Five-twemies are as scarce
in foreign markets as they are here.

The investment demand for our citizens is

so eager that it has taken up the whole mass o f securities which have been re­
mitted here from abroad, and has taken them up so rapidly that the price is con ­
siderably higher now than when the return movement set in last April.

The

same vigorous and insatiable demand may be expected for new bonds which has
always been so conspicuous for the old ones.
The new tariff bill now before Congress has been the subject o f much solici­
tude during the month.

So far as we can understand, no one outside o f Congress

desires its passage, except a few irou men, and speculators with large stocks o f
goods on hand. Certainly such a bill is not for the interest o f manufacturers, for
every one will admit that stability in the tariff is o f all things most to be desired
by the manufacturer— and stability in the tariff is precisely what is endangered
by unnecessary and exciting agitation of it. It is an extraordinary thing, if one
will but calmly ,eflect upon it, that in a country which is ruled by a perpetual
recurrence to the will o f the majority, the large measure o f protection which
American manufacturers have received should ever have beed accorded to them.
Neither the influence o f the great commercial centres like N ew Y ork, which are
directly interested in throwing down as much as may be all barriers to the free
development of our import and export trade, nor that of the rapidly increasing
agricultural States of the West, has heretofore been consolidated for the purpose
o f doing away with the principle o f protection in our fiscal policy.
It cannot
certainly be the purpose o f the manufacturing States to provoke such a consolid­
ation, which, should it ever be effected, would rapidly and irresistably revolu­
tionize our whole commercial system ; and it is, therefore, very important that
the manfacturing States them-elves should take timely warning o f the perils
which they are certain to incur by an over-large desire on the part of their repre­
sentatives to push the principle of protection beyond the limits at which it has
been fixed for some years past.




76

Commercial Chronicle and Review.

Politics is an art o f expedients.

[July,

It is concerned with such waves o f popular

feelings, and such masses o f material interests, that the utmost judgment is re­
quired o f those who practice it to enable them to avoid pushing a given advant­
age so far as to unite an overwhelming reaction. A glance at thecensu3 tables,
and a brief retrospect of the part played by the Western States in the late civil
war, must satisfy every dispassionate observer that the practical control o f our
political affairs is destined, at no distant date, to pass into the hands o f the W e s t­
ern people. When the Southern States shall return to their position in the
Union as coequal participators in the halls o f national legislation, the agricultural
interests o f the republic, especially when combined with its commercial interests,
will be entirely irresistable.

Surely, then, it is but an ordinary discretion which

is needed to bear in mind the importance o f avoiding everything which leads-on
toward any direct conflict o f legislation in Congress with this formidable combin­
ation of the future.

The condition o f the currency, which must, for some time

to come, exert an influence on prices unfavorable to the com fort o f the
masses o f consumers, and the continued pressure o f taxation for public purposes,
will necessarily dispose the popular mind at the North and W est, as well as in
our great cities, to view with extreme suspicion everything which can be even
plausibly presented to it as wearing the aspect o f protection to “ a class ” rather
than to the general interest o f the country.
Let the cry once be raised against
the tariff that it is, as M r. W ilson, o f Iow a, has already described it, a
piece o f “ legislation in favor o f keeping up high prices,” and it needs no ghost
from the dead to tell us how dangerous a tide o f popular hostility may be raised,
not against a tariff o f prohibition only, but against a tariff o f protection as well.
F o r it is the characteristic o f reactions to be extreme, and precisely as we now
find the ultra advocates o f prohibition protesting that there are no industries
which ought not to be fostered into life in Am erica at any cost, so in the event
o f an anti-tariff reaction we may be sure that we shall hear the ultra enemies o f
protection affirming that no industries whatever merit or should receive legislative aid. A ll those manufacturers whose industries, under past tariff regulations,
have become firmly fixed, and either yield a present profit or promise well for
the near future, are directly concerned, and it should be their instant effort to
moderate the extreme zeal o f those advocates o f their interests who threaten to
jeopardize protection itself by urging it onward into practical prohibition.
The preparations for a great war in Europe have been productive o f some
verv unusual fluctuations in financial movements at this centre.

N o sooner had

we recovered from the drain o f specie resulting from the London panic than we
had to encounter a heavy demand from the capitalists o f France and Germany,
who, in anticipation o f a wide spread and protracted struggle, called home their
balances held in Am erica, refusing to accept liquidation in any other form than
gold.

I t was chiefly owing to this source o f demand for the precious metals

that, during the month o f June, we exported §15,936,307 o f treasure from this
port alone. A t the close o f the month the shipments had declined to a merely
nominal amount, indicating that the double drain to Europe is closed. T h e totaj
export o f specie for the last six months amounts to $45,493,138, an aggregate
much larger than has occurred for the same months during the last seven years, and
which exceeds the supply from California and from foreign sources by $27,685,-




1866 ]
769.

Commercial Chronicle and Review.

11

The export o f treasure from this port for the fiscal year ending June 30,

amounts to $58,590,062, which is 27,221,740 in excess o f the imports from
California and from foreign countries.

Taking the movement for the last seven

fiscal years, we find that the exports from N ew Y ork have aggregated $319,427.935, while we have drawn from California and foreign countries $236,692,439,
showing an excess o f exports over receipts o f $82,745,496 for the whole peiiod
or an average o f $11,820,785 per annum.
The following is a statement showing the supply o f treasure from California
and foreign ports for the first six months o f the current year, and the corres.
ponding period for the previous seven years ; also the amount exporied for the
same months and years :
•
,------------- New Supply.------------,
Months, &e.
California. Foreign.
Total,
January................................. $1,485,316 $72,771 $1,558,087
February...............................
3,603,000 172,122
3,775,122
March....................................
3,958 290
285,854 4,244,145
A p ril.....................................
1.539.321
161,817 1.701,138
May........................................
3,992,148
393.073 4.385,221
Jane ...................................
1,812,271
201,385 2,043,656

Exports to ,------ Excess o ' ------,
for. ports.
Supply. Export.
$2,546,236$
$988 149
1,787,029 1,98*093 . . . . . . . .
1,085.030 3,209,106
554,654 1,146,484
23.833,873 ............. 19 448 65*2
15,736,307 ............. 13 692651

Jan.June,’6G......................... $16,420,347 $1,2S7.022 $17,7 7,369 $45.4I>3,188 $ ........... $27,785,769
do do ’65........................... 8.942,322 1,065.523 10.007,845 17.906,759
............
7,898.914
do do ’64.......................... 6.822.571 1,427.014 7,249.585 27,789,563
.........
20,539,978
do do ’63..........................
7,296.913
853,768 8,150.681 20,631,969
............ 12,481,288
do do ’62.......................... 11,982,067
511,555 12,493.622 27,967,3)1
............ 15,482,729
do
do ’61.......................... 19.120.037 25,909,668 45,029,705 3,249.438 .......
do do ’60.......................... 17,591,976
691,831 18,283,807 21.578,841 41,780,267 3.295,034
do do ’59........................... 17,262,878 1,125,943 18,383,821 33,197,372
............ 14,808,551

The following are the totals for the fiscal years ending June 30 :
,-------------- New Supply-------------* Exports to ,------ Excess of-------*
California. Foreign. Total.
for. ports.
Supply.
Export.
$29,009,811 $2,358,510 $31,308,321 $58,590,062 $ ........
$27,221,740
10,027,556 1,904,031
17,931,587 40,911,318 .............. 22.979,731
10.732.978 2,101,525
12,834,503 56,911,050 .............. 44,077,147
21.294,033 1,732,490
23.037,123 52,092.639 .............
29,055,516
27.347.979 11,090,300 39,038.279 28.903,103 10,075,110
............
36.10^,332 34.070,107
70,178,499 23,801,768 46,310,731
............
39,921,818 2,382,309
42,304,127 58,097,3:35 .............. 15,793.208

1805-66.
1804-65.
1803-04.
1862-63.
1801-02,
1800-01.
1859-GO.

Seven years........................... 180,443,107 56,239,332 2 6.682.439 319,427,935
Ann’al av’ge........................... 25,777,587 8,034,190 33,811,777 45,631,502

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

82,745,496
11,820,785

The usual export demand for gold hits caused some extreme fluctuations in the
premium.

Speculation has seized the opportunity for forcing up the premium ;

large amounts of gol'd having been bought up and held off the market by cliques
much to the dismay o f those who had sold heavily for future delivery. The
openiug price o f the month was 1 4 0 f ;

on the 18th the price touched 1 6 7 f. but

on the .same day fell to 156£, aud has since ranged between 157 and 148£.
These extraordinary oscillations in the premium show how largely the price o f
gold may be influenced by considerations other than the credit o f the govern­
ment,. W ithin one week we find a change o f nineteen points in the premium,
resulting entirely from speculative operations.

The price for the month has

averaged six higher than for the same period o f 1865.
shows the course o f gold for the month ;




The following statement

78

[July,

Commercial Chronicle and Review.

141 140% 141
141% 140% 141
143%
146%
145%
145%
141%
139%

140#
143%
143#
142%
138#
139%

139#
14S%
140%
141%
149%
100

137%
141%
143%
145%
147%
154

143%
146%
144#
142%
139%
189%

Date.

154%!l54%
Tuesday.............
Wednesday........ ....20 153 153%
Thursday............ ....21 151# 151%
Friday............... ....2 2 149% 149%
Saturday........... ....2 3 151% 153#
.. .24
153 155
Monday........
1=4% 157
Tuesday..............
Wednesday........ ....2 7 155% 155#
Thursday............ ....2 8 154 154
Friday................ .... 29 153# 155
Saturday............. ....30 154 154

139%
143
145%
147% June, 1866........
“
1865........
147%
159
“
1864........
“
1863........
“
1862 .......
101% 156# 156%

140%
138
194
146#
103%

167#
147%
250
148%
109%

Closing

1 140%
2 141%
3
4 140%
5 148%
6 144%
7 145%
8,140%
9 139#
1 0 .......
It! 137#
12,143#
13 143#
14 145#
15! 148%
101154
17
18|167#

n
*53
o
O

Lowest.

Friday........
Saturday ...
Sunday.......
Monday___
Tuesday__
Wednesday.
Thursday...
F riday.......
Saturday. . .
Sunday......
Monday...
Tuesday__
Wednesday,
Thursday...
Friday........
Saturday ...
Sanday.......
Monday___

4
£

ft
O

High’ st.

Date.

*5
O
£
i-3

Openi’g

COURSE OF GOLD FOR JUNE.

fee
c
0)

149#
152
148%
148%
151%

152
152%
149%
149%
152%

152% If 5
1=4% 155%
154# 1155
151 % :152%
153# 154#
152# 153%
137%
13b#
193
140%
108%

153%
141
147%
146%
109

The course o f foreign exchange h as varied with the extraordinary movements
in foreign balances. F o r the first h a lf of the mouth remittances were made
almost entirely in sight bills, drawn chiefly against gold or Five-twenties. This
caused a depression in sixty-days ’ bills, which was turned to account by parties
“ sh o rt” in gold, who borrowed e x change for sixty days, and forced it upon the
market, in order to realize coin for covering their gold contracts. This had the
effect o f forcing down the best bankers’ sixty-days’ sterling bills from 109£ to
10 7 f.

Confidence in time bills recovered

toward the close o f the month, and

exchange may be now considered to have recovered its ordinary tone and condi­
tion. A t the close o f the month there was a very marked caution in drawing
upon Frankfort and Berlin, and to a certain extent on Ham burg also.
The following table shows the daily fluctuations
don, Paris, Amsterdam, Bremen, Ham burg and

o f Exchange (long) on L on ­
Berlin, at N ew

Y ork , for

June, 1866 :
COURSE OF EXCHANGE FOR JUNE.

Days.
1..................
2 ..................
4 .................. ..........
5 .........................
6.................. ..........
7..................
8 .................. ..........
9 .................. ..........

London.
cents for
54 pence.

109#@110
109#©110

512#@510
512# @510
512%@508%
515 @508#
515 ©510
515 @510

42 @ 42#
42 @42%
42 @ 42#
42%@43%
42 @42%
42 @12%

79#@80
79#@S0
79# ©80
79# @ 80#
79%@80
79%@80

36%@37%
36%@37%
36%@37%
36%@37%
36# @ 37#
36%@37%

78%@74
73%@74
73%@74
74 @74%
74 @ 74#
74 @ 74#

11.................. ..........
1 2 ................. ..........
13.................. ........
14.................. ..........
15.................. ..........
16.................. ..........

109#@109#
109# @109#
109%@109%
109%@109%
109#@109#
10S%@109%

515
515
515
515
515
515

42 @ 42#
41%@42%
41%@42%
42 @42%
41%@42%
41%@42%

36%@37%
79%@S0
36# @ 37#
79#©80
30%©37%
79%@80
36%@37%
79#@80
79 @79% 36% ©37%
79 @79% 36#@ 37#

74 @ 74#
74#@75
74%@75
74%@75
74 @75
74 @75

18.................. ..........
19.................. ..........
20.................. ..........
21................ - ..........
22.................. ..........
23.................. ..........

107#@i08#
107%@108%
107%@10S%
107#@10S#
108 @108#
10S ©108#

515 @507#
517#@510
517#@510
517#@510
518#@512#
518#@512#

42
41
41
41
40
40

@ 42#
@43%
©41%
@41%
@ 41#
@ 41#

79 @80
78 @79
78 @79
78 @79
77%@79
77%®79

36#@37
36© 36#
36 @ 36#
36 © 36#
36 @86%
36 ©36%

74
73
73
73
73
73

25.................. ..........

108 @109

518#@512# 40 @ 41#

77%@79

36 @36#

73 @74




109#@110
109#©110
109#@110

Paris. Amsterdam. Bremen. Hamburg.
Berlin.
centimes
cents for cents for
cents for
cents for
for dollar.
florin.
rix daler. M. banco.
thaler.
(Business closed—Gen. Scott’s funeral.)
512#@510
41%@42% 79%@S0% 36%®37% 73%@74

@510#
@510
©510
@508#
@510
@510

@75
@74
@74
@74
@74
@74

1866]
26
27
28
29
30

Commercial Chronicle and Review.

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

Jane.........................
May.........................
Apr.........................
Mar.........................
Feb.........................
Jan.........................

108 @109
109 @109
108 @109
10S*@109
108*@108*
107*@110
108*@.109*
106*@108*
106*@108%
107*@108*
108 @109*

618*©512*
518*@ 5!2*
520 @ 512*
517*@513*
517*@513*
520 © 507*
520 @510
537*@517*
530@ 518*
532*©517*
523*©515

40 @ 4 1 * 7T*@7S
40 @41 * 77*@78
40 @ 4 1 * 77 @79
40*@40* 77*@79
4 0 *© 4 0* 77*@79
40 @ 4 2 *
40*@ 42*
39*@41
40 @41
40*@41
40*@41

77 @ 8 0 *
78*@80
7 0 *@ 7 8*
77 @ 7 8 *
77 @79
78 @ 7 9 *

TO
86 @ 36* 74 @75
36 @36% 74 @75
S5*@ 36* 73*@74
36 @ 3 6 * 74 @75
36 @ 3 6 * 74 @75
35*@ 37*
38 @ 8 7 *
35 @ 36*
35 *@ 3 6*
35 *@ 3 6*
36 @ 3 6 *

73 @75
71 @74
69 *@ 7 1*
70%@71*
7 0 *@ 7 1*
71 @ 7 1 *

Stock speculation has beeD steady, but feeble, partially owing to the diversion
o f attention to the Gold Room , and partially to the absence o f operators in the
country.

The chief activity has been in Erie common stock, which has fluc­

tuated between 5 7 i and 651, and the aggregate transactions on which for the
month have amounted to 457,820 shares. Prices, however, have been, on the
the whole, steadily maintained.

The following comparison is o f interest, as

showing the number o f shares sold at the S tock Exchange and the P u blic
Board during each o f the last twelve months :
Shares
Bank
o f stocks shares
sold.
sold.
July, 1395.............................. 1,237.461
1,686 January, 1866........
August.................................. 1,101,256
1,876 February.
fee]) e m b e r........................... 1,171,933
2,372 March___
October.................................
1,714 April.......
November..........................
2,142,985
1.623 May........
December.............................. 1,862,447
2,608 June.......
Total................................

Shares
Bank
of stocks shares
sold.
sold.
2,459.475
4,7H
1,593,725
4,207
1,888,617
8,535
4,527
1,108,195
4,489
2,305,515
1,445,276
3,430
21,857,099

36,62

The following are the closing quotations for leading stocks compared with
those o f previous weeks
Cumberland Coal............
Quicksilver....................
canton Co........................
Mariposa p re f.................
New Yorli Central..........
E rie..................................
Hudson R iver.................
Reading...........................
Michigan Southern........
Michigan Central............
Cleveland and Pittsburg .
Cleveland and Toledo___
Nor. hwestern.................
“
preferred..
Rock Island....................
Fort W ayne....................
Illinois Central...............

May 25.
45*
62*
67*
23*
94*
68*
113*
110*
80
108
86*
104%
28*
58
93
96*
118

May 31. June 8.
46
52*
51*
6»
59*
24*
24*
98
97*
63
60*
113*
109*
109*
80*
79*
107
108
84*
82
. . . . xd.104
28*
31*
58*
60*
92*
96*
67*
121
118*

June 15. June 22 June 29. July 6
45
45%
50*
47*
47*
59
60
54*
55*
24
23
22*
23*
98*
99%
98*
98*
68*
59*
61*
61*
llll*
111*
109% xcl0 7%
109%
108*
80
79
78*
79*
. . . . X C105%
109
108
82
84*
82*
83*
108%
105
106*
106*
80
31*
30*
29*
59*
59*
58*
61*
96
95
94
94
98*
98*
97*
97*
121
122
120*
121*

The monthly range o f prices o f leading stocks sold at N ew Y o rk for the first
six months o f the current year are as follows :




MOKTHLY RANGE OF STOCKS— JANCARY-J5JNE,

1866

[July,




Commercial Chronicle and Review.

.—February
,------ March.------ *
/---- January.-----»
,------ April.-------»
,------ May.------ s
--------June.------- .
Railroad stocks, v iz.:
High. Low. Last.
High. Low. L<ast.
High Low. Last. High. Low. Last. High. Low. Last.
High. Low. Last.
Central of New J ersey....................
119 114 114
114 113 113
107*
110
:
116
117 115V 117
111V 104
117 110
106V 109V
Chicago and Alton............................
105V 103 104*
119 102 113
86
90*
99
91
96
99
m
98*
112* 83
90* 84
do
do preferred............
118
107 105 107
120 103 118
94* 94*
96
93
96
101 109 101
102 102 102
do
Burlington and Qaincy___
114 109V 109V
112 112 112
121 116 121
115 113V H5
117 113 115*
117V H5 117
do
and Northwestern.............
29* 20* 27*
26
36* 27
28*
27* 25
30* 24
29* 26* 23*
27*
31V 28* 30*
do
do
pref.......
57* 52
59
62* 53* 56
56* 53* 54*
53*
59* 53* 53
61* 58
61* 55* 58 V
do
and Rock Island................
109* 96* 101*
98 103*
118* 104* 111*
91
107
122
95
94*
96* 89* 93*
123V 107
115 114 114
Cleveland, Columbus & Cincinnati..
115 111 115
123 110 115
115 114* 114*
115 114 115
118V 116 117
do
and Pittsburg..................
82
76
87
74* 82*
77*
75*
77*
76*
84*
80
82*
80*
87*
82*
: 84*
99
80V
do
and Toledo......................
108V 105 108
U 3V 103 107
113 107 108
107 104* 106*
106* 99V 104
105V 103 10IV
Delaware, Lackawanna & Western..
158 149 149
145 140 141
147 144 147
125V 121 125*
130 130 130
140 135 140
Erie.......................................
93
85*
87
74* 74*
80* 82
65* 57* 61*
83* 76
79* 71* 74
75
57V 61*
do preferred.....................................
83* 81
81
82
81
80
80
80
74
82* 80
80* 77
74
72
74*
77*
76
Hudson River....................................
104* 99 103*
112
110V 102V 109V
109 V 98V 102
109V 102V 107V
113V 108 113*
ii3 v n o
Illinois Central.................................
131V 115 116*
124
114
119
124
117
120*
116V H2V 11-5
122V 115
ii9 v m V i n
121V
104 101 101*
Michigan Central.............................
108V 101V 101V
105* 100V 102V
109V 106 107
104V 102V 104
107V 191V 107V
Michigan Southern.................
83* 69* 83*
75* 60V 69*
96* 78
78*
71* 66v 70*
80*
80* 78V 78*
81V 77
Milwaukee and Prarie du Chien___
98
91
91
97
90
97
91
91
93
93
94
91
92
90* 96
41
Milwaukee and St. Paul..................
45
46
42
59
46* 45
42
43
59
50
55
57
47
51*
New York Central............................
98
93
93
86* 91*
90* 90*
98*
9(1* 92*
93* 90V 92*
9 8 * 91* 98
99* 97
245 235 240
243 240 243
251 250 250
260 260 260
Pittsburg, Fort Wayne & Chicago...
104* 91V 94*
93
95* 91V 92*
100
95
88* 92*
98V
100v 02V 97*
98 V
100V 88
Reading.............................................
107
97* 100*
103* 96* 99*
105* 98V 105V
102* 97V 100V
110V 107 109V
11IV 105V 109V
St. Louis, Alton and Terre Haute...
33
36
30
32
35
29
33
33
31*
38
30
36
32
30
31
34
34V 30
do
do
Prefei red...
56
61
58
61
71
56
67
57
67
68 61 66*
61* 62
63*
63
66V 61
Toledo, Wabash and Western..........
42
42
42
40
38
33
35
31
81* 32
39
32
38*
36
35
37V 33V 35*
Coal stocks, viz:
American...........................................
69
65
60
58
65
59
60
66
60
66
62
61
61
61
60
65
62V 65
Ashburton.........................................
14
14
13
13
13
14
14
12
18
14* 16
13*
Central...............................................
43
53
43
43
43
41
45
47* 41
45*
44
42
42* 42*
42
Cumberland.......................................
44*
45*
42
45*
45*
43*
46*
47
41* 45
42* 45
49
43 V 45*
47V 41* 45 V
135V 133 133
Deleware and Hudson Canal..........
139 134* 134*
136 134 135
1-6 133 136
155 146 155
150 141V 145
Pennsylvania ...................................
170 167* 167*
162 155 155
150 142 142
135 131 135
145 140 141
147V 142 147*
Spring Mountain...............................
44
42
56
55
56
45* 44
55
54
54
39V 41
39V 32* 37
Spruce Hill.........................................
3
..
4
*
5
*
4
4
4
7
4*
4*
4*
4*
5*
Wilkesbarre......................................
60
60
50
50
48
60
50
48
48
52
48
52
55
54
54*
44
44
53
50
52*
49
49
44
37
40
40
40
40
40
52*
40
39V 40
Miscellaneous stocks, v iz :
Boston Water Power........................
43* 34* 37
51* 31* 51
51* 33* 34
Brunswick City................................
8
8
5*
12
7 * 10
8* 8
8
6*
5*
10
8V
8*
ft
Canton......................................... ..
44
46* 42
44* 43
44*
48* 46* 47*
57* 47
56*
61* 53* 54*
62
55V 61*
14
Cary .................................................
14
14
18
12* 12*
16V 12
16*
Western Lnion Telegraph..............
54
60
52
58
70
59
57*
64
57
62
09*
57* 57*
60*
49* 5(1*
44* 52*
do
do Russ. ext...............
109 108 10S
109 106* 107
108 107 107
107V 105 106
Atlantic Mail Steamship.................
135 108 115
136 102 131
131*
133
121*
121*
130 124 125*
133V 128
132V 122V 126
210 180 185
212 185 203
215 205 215
Pacific Mail Steamship....................
227 215 225
225 225 225
212V 212 212
Mariposa Gold.................................
15
13* 13
13
10V 12
13* 11
12*' a * 12*
13* n * 12*
12*
12* 10* 10*
do
do preferred.................
17*
25* 17* 24*
26* 19* 24V
22*
17* 15
17*
19* 16
18V 16* 18*
26 V 21
44
43*
40
41
58
40
53
48
Quicksilver......................................
44* 36* 40*
52
48
52*
39V 44
56V 49

1866]

Commercial Chronicle and Review,

81

Government securities have exhibited usual activity during the month. This
has been partly the result o f a demand for export to Europe, but perhaps owing
more to the wants o f home investors, who desire this form o f security for em­
ploying their large surplus balances.

The amount o f Government bonds aud

Treasury notes sold at the boards during June has been as follows:
Government Bonds........................................................................................................
“
N otes........................................................................................................
T ota l...................................................

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

$7,463,800
3,485,350
$9,949,0t0

Below we give the sale prices at the N ew Y ork Stock Exchange Government
Securities represented by the closing sale each day during the moDth o f June,1866 :
P R IC E S O P G O VERN M EN T S E C U R IT IE S , A P R IL . 1 8 6 6 .

Day of
month.
Saturday... 2
Sunday___3
Monday___4
Tuesday ... 5
Wednesday 6
Thursday .. 7
Friday....... 8
Saturday... 9
Sunday...... 10
Monday__ 11
Tuesday .. .12
Wednesday 13
Thursday .. 14
Fr.day...... 15
Saturday.. .16
Sunday...... 17
Monday... 18
Tuesday. ..19
Wednesday20
Thursday . .21
Friday.......22
Saturday.. 23
Sunday__ 24
Monday — 25
Tuesday .26
Wednesday 27
Thursday . .28
Friday...... 29
Saturday .. .30
Opening.......
HighesF.......
Lowest.........
Closing........

,---- 6’ s, 1881.---- ,
Coup.
Reg.

/—6’s, 5-20 yrs.-s
Coup.
Reg.

109%

102*

110

101%
102
102*
103%
102*
102*

109%
109%
109%
109%
110%

107
105%

110%
110%
110%
110%
110%
110%
110%
110%

106%
106%
.. . .

110%
110%

109%
110%
109*
110%

107
107
105%
106%

103%
102%

102%

103%
103%
103%
102%
103%
103%

102%
102%
102%

104
103%
103%
103%
103%
103%

103
103
103

103%
103%
104
104%
104%
104%

103%

103%
104%
102
104%

102%
103%
102%
103%

5’ s, 10-40 yrs.—,
Coup.
Reg.

7-30’s,
1867.

96

102*

96%
95%
96
96
96%
96%

102%
02%
102%

96*
96%
96%
96%
96%

102%

96%

96*
96%
96%
96%
96%

102%
102*
102%
102%
102*
102%
102%
102%

....

96%
96%
96%
97%
97%
96
97*
96%
97%

1 v’ r
certif.

96%
96%
96%
96*

100%

102%
102%
102%
102%
102%
103%
103%
103*

i66%
100%

102%
103%
102%
103*

100%
100%
100%
100%

The following are the returns for May (and the first five months of the year,)
o f the principal railroads which make regular reports :
Chicago and Alton .............................................
Chicago and Great Eastern................................
Chicago and Northwestern................................
Chicago and Rock Island................................... ..........
Cleveland and Pittsburg...................................... ..........
Detroit and Milwaukee-. ...................................
Erie.................................................
Illinois Central ..................................................
Marietta and Cincinnati.....................................
Michigan Central.................................................
Michigan Southern............................................. ..........
Milwaukee and Prairie du Chien.................. . ..
Milwaukee and St. Paul......................................
New York Central............................................... ..........
Ohio and Mississippi.......................................... ..........
Pittsburg, Fort Wayne & Chicago.....................
St. Louis, Alton & Terre Haute (Apr.)............. ...........
Toledo. Wabash and W estern............................
Western Union.............
Total.............................................................




/------------ -------- May.----------V
1865.
1866.
$333,432
Inc. $11,205
Inc. 32,299
108,973
Inc. 150,459
735.082
Inc. 37.345
264,605
227.260
215,784
198,082
Dec. 17,702
Dec.
522
30,276
Dec. 323.451
1.101,668
Inc. 47,257
507,830
Inc. 21,822
95,664
Dec. 36,260
365,196
Inc. 73,299
358.194
426,493
Inc. 20,545
167,488
Inc. 42,493
245.511
Dec. 85,000
1,107,000
1,255,000
Dec. 7,786
290,914
283,130
Inc. 35,442
672,628
Dec. 1,998
169.299
167,301
Inc. 177,695
316,433
86,913
Inc. 23,051
$7,213,705

Inc. 136,192

82

Journal o f BanJcina. Currency and Finance
The earnings for the first five months o f the year compare as follows :
1865.
$1,455,605
390,759
2,576,446
1,254,719
988,046
5,996,636
2,694,354
434,269
1,668,385
1,132,763
496,838
589,900
1.374,719
3,597.283
721,747
211,193

1866.
$1,427,290
490,911
2,706,762
1,100,461
859,551
5,496,440
2,526,280
435,685
1,594,324
1,250,314
554.378
752,236
1,4 0.439
2.963,322
1,263.366
250,653

$25,483,662

$25,072,412

Chicago and A lto n .......................................... .......
Chicago and Great Eastern.......................................
Chicago and Northwestern.......................................
Chicago and Ilock Island.......................
............
Cleveland and Pittsburg............................................
Erie............................. ............................................
Illinois Central .........................................................
Marietta and Cincinnati............................................
Michigan Cen r a l......................................................
Michigan Southern..................................................
Milwaukee and Prairie du Chien............................
Milwaukee an St. Paul............................................
Ohio and M ississippi...............................................
Pittsbnrg, Ft. Wayne and Chicago...........................
Toledo, Wabash and Western................................
Western U nion.........................................................
Total (16 lines

Dec.
Inc.
Inc.
Dec.
Dec.
Dec.
Dec.
Inc.
Dec.
Inc.
Inc.
Inc.
Inc.
Dec.
Inc.
Inc.

$28,315
100,152
130,316
154,258
128,495
500,196
168,074
1,416
74,061
117,551
57,540
162,336
25,720
633,961
541,619
39,460

Dec. 411,250

The length o f the T., W . and W . in 1865 was 242 miles, and in I860, 484
miles ; and hence it results that a relative decrease has been made, instead of
the absolute increase shown above
The earnings o f the Cleveland and Pittsbar g for the first five months., 1864,
’65. and ’ 66, have been monthly as follows :
1864.

1865.

1S66

January .............................. ...........................
February............................ ...........................
March................................. ............................
April.................................. ............................
Hay.....................................

$139,414
170,879
202,857
193,919

$173,557
180,140
222,411
196,154
215,784

$168,799
151.931
167,007
173,732
198,082

1864-5. 1865-6.
Increase. Dec.
$4,758
$34,143
28,209
9,739
55,404
51,532
22,422
2,235
17,702
12,270

Five months............................................

$910,583

$988,046

$859,551

$77,403 $128,495

JOURNAL OF BANKING, CURRENCY, AND FINANCE.
Instructions of Comptroller o f New York to Assessors, respecting taxation of Stockholders in
Na ional Banks—Prices ol N. Y. City Bank Shares for six months—Reiurns of Banks of the
three citi< s.

The Comntroller of the State o f N ew Y ork has issued the following circular
to assessors o f taxes, under the law relating to the assessment and taxation of
the shareholders o f banks :
State

op

New Y

ork,

C o m p t r o l l e r ’ s O f f ic e , 1

A l b a n y , June 2 8 ,1 8 6 6 .
f
Under the provisions o f law which direct the Comptroller from tim e to time to transmit
forms and instructions to the assessors throughout the State, acdwhic ’ require assessors to
be governed thereby, the Comptroller deems it his duty to call the alter lion of these officers
to the requirements of the act, chapter 751, laws of 1S66. relating to the ass i ssment and taxation
o f the shareholders of banks, and to prescribe the following rules for their observance:
First, In estim .ting the value o f bank shares the usual course has ho c l to assess them at
their par value. But this standard cannot always be relied on as con ec . The real value de­
pends very much on the amount o f surplus funds that has been accunnila 1 c( ,aud where these
amount to a large per centage on the capital, as they do in many install t »* .thi real value of
the shares will be increased m proportion. Hence to assess on the par v i ‘U as a fixed rule,
would result in a discrinrnation in favor o f banks holding large amounts » t surplus funds, and
against others not similarly situated. Assessors should decide as tot he v i.c on the best in­
formation within their reach. In no case, however, should the assessmen t 1 1- k ss than the par
value, without proper evidence that the capital has been impaired, t^i i« i l Ii losses actually
chargedover on the books. The Comptroller is informed that in several c cui tics the assessors
are disposed to assess bank shares at a price much less than the par value , tiuter the pretence
that in so doing they would only be giving to personal property, in the 1 onu c,f bank s-hares,
the same advantage that is enjoyed by individual holders of other kinds ol p rsonal property, a
large proportion o f which it is said is concealed, and therefore not asses sed or taxed. There
is nothing in the act which justifies so loose and incorrect a mode of as^os smcnt. The provis­
ion in the first section that the shares shall not be estimated “ at a greater rate than is assessed
upon other moneyed capital in the hands o f individuals,” evidently rcfo is to the rate per cent.




I
1806]

Journal of Banking, Currency, and Finance,

83

of tax, and not to the amount o f the assessment. Such is the construction given to the pass­
age by this department, and assessors should conform thereto.
Second. No deduction should be allowed shareholders from the assessment of their shares for
debts. The only deduction provided for is a proportionate part o f the real estate of the bank
which is to be assessed against the corporation. I f it had been the intention of the Legislature
to allow o f other deductions, it is fair to presume that they would have been expressly men­
tioned in the act. The inference that, because the value of the fhares is to be included in the
valuation o f the personal property of the shareholder, his right of offset for debts will attach to
this, as well as other items o f his personal estate, docs not appear reasonable or just. The
value of the shares is to be included in the valuation of the personal property of the shareholder,
“ at the place, town or ward where the bank is located, and not elsewhere.” Now, as a large
proportion o f the holders of bank shares reside in places, towns and wards other than where
the institutions are located, it is plain the value o f their shares cannot be included in the valu­
ation of the personal property o f this class, because it is a gene.1at provision of law that the
taxpayer is to be assessed for his personal effects in the district where he resides. Hence, if the
law were administered on the inference stated, it would give resident shareholders a privilege
not posseted by non-residents, and thus result in an inequality which it may be pre umed the
legislature did not intend to sanction. It would have anoiher bad effect, by making it imprac­
ticable for banks to assume and pay the taxes levied on the respective interests of their share­
holders, as it is believed most of them will do, provided the shares arc included in the valuation
of the personal property of the stockholders, as a separate a>d distinct item. If mingled with
other property, subject to deduction for debts, it would be difficult, if not impossible, to seperate it from the mass, and ascertain the exact amount o f tax with wlreh it was chargeable.
Thus, any benefit and convenience to be derived from an assumption of the tax by the banks
would be lost. Practically, the question is o f no importance, except to the few taxpayers,
where debts exceed the value o f their personal property other than bank stock. To the great
majority the right o f off et would be o f no advantage if admitted, while it would create inequal­
ities and embarrassments that would render the administration of the law more difficult.
Third, No deduction should be allowed for the proportionate interest of a shareholder in the
stock or bonds of the United States held by the corporation. It is true that these securities
cannot be taxed, either in the hands o f corporations or individuals, but the Supreme Court of
the United States, in the case <f Van Allen vs. Nolan et al., asset-sors, has decided that a tax
on the shares is neither a tax of the capital o f the bank nor o f the stocks of the United States,
where the whole or a portion of the capital may be invested in such siocks. However opin­
ions may have differed on this subject, the case referred to must be taken as an authoritative
decision of the q .estion, which leaves the whole ol the interest o f the shareholder subject to the
tax.
Fourth, In case o f individual bankers, the act contemplates that they are to be assessed in
the same way as banks and banking associations. This appears evident from the (act that,
although they may not issue certificates of stock, each $100 of their capital, tor the purpose of
taxation, is to be held and regarded as one individual share, and the shares are declared to be
personal property. It should be understood, however, that the term “ individual banker ” does
not include persons engaged in business under the name o f bankers who are not organized as
smh under the banking laws of the State, who issue no circulation, and who do not therefore
appear to come within the designat ion of the term as used in the act. The capital of this class
is to be assessed on the same principle as the property o f other individuals, and they are en­
titled to he same deductions from the amount o f their assessments, for debts and investments
in United States stocks.
Fifth, By the seventh section o f the act, “ the franchises and privileges granted by tho
Legislature to savi* gs banks or institutions for savings are declared to be personal property,
and liable to taxation as such in the town or ward where they are located to an amount not
exceeding the gross sum o f their surplus earned and in the possession of 6aid bank or insti­
tution.”
The right to tax corporations for their franchises is so clear that it is difficult to see how it
can be strengthened by making them personal property, if that were possible. It is no less
difficult to realize the policy or justice o f taxing a bank for them to an amount equal to its
whole earned surplus, a procedure which would at once close up every saving institution in the
State. Construing the section in conformity with what is believed to have been the intention
of the Legislature, though the language fails to express it, the Comptroller concludes that
these institutions should be assessed on the amount of their surplus funds, after deducting such
portion as may be inserted in the stocks of the United States, lr. is not eas}r to see how this
deduction can be avoided by a tax on the franchises and priveliges, as provided in the act, if
such tax be imposed in the usual form o f a percentage on a fixed valuation or assessment.
The stocks o f the United States being exempt from taxation, they could not properly bo
included in the assessment and must therefore escape.
It is equally clear that these securities, as owned ny savings banks, do nnt come within the
^°P® ° f the Supreme Court before referred to. It is there held, substantially, thar a tax on
the shares ot a banking corporation is not a tax on the stocks o f ihe United States in the pos­
session and ownership of the institution, out that,, on the contrary, it is a lax upon the new use
and application of these securities, conferred by the charter o f the association. As there is no
use or application o f the indebtedness of the Government open to savings banks except such
as is enjoyed in common with individuals—that is, the right o f holding them for the im pose
of investment—it seems plain that they are as fully exempted from local taxat.on in the one
case as in the other.
T ho. H

il l h o u s e ,

Comptroller.

These instructions, issued by the Comptroller, need no comment as they are
clear and explicit, and every shareholder will read them for nimself.




W e give

84

Journal o f Banking, Currency, and Finance.

[July

below a table showing the monthly range o f Bank Shares for the first six months
o f the current year :
Banks.
January.
America........ 133 @135
Amer. Exch 110 @113
B. & Drovers’ ... @ . . .
Central ........ 107#@108
Chatham..........
@ .
Commerce . . 103 @105
Commonw'th. ... @ .
Continental... 90 @ 97#
Corn Exch..........
@ ..
First .................... © . . .
Fourth.......... 90 @ 98
F ulton.......... 150 @150
Gallatin............... @ . . .
Hanover__
@ ...
Imp.& Traders 100 @100
Ir v in "........... HO @110
Leather Manuf ... @ .
Manhattan ...
@ ...
Manuf & Mer. ... @ . . .
Market.......... 133 @1*3
Mechanics.... 115 @115
Mech. B Assoc ... @ . . .
Merchants’ ... 210 @110#
Mercli. Exch . ... @ . . .
Metropolitan.. 1 2 0 !<f(® 1 2 2
assau.
@ ...
New York ... 110 @112
Ninth ........ 102 Co109#
North Amer.. .
@ ...
North River........ @ . . .
Ocean............ 95 @ 95
Park .. ......... 145 @150
Peoples’ ............... © . .
Phoenix__
90 @ 96
Republic.......110 @112
St. Nicholas........ @ . . .
Shoe & Leath. 100 @103
State of N. Y. ... @ . . .
Tradesman's. . . @ . . .
Union............ 116 @ . . .

Febniary.
137 @140
113 @114
© ...
ios @109
@ ...
104 @107
101 @101
90 @ 97
115 @115
212 @212
97 @ 98
@ ...
© ...
@ ...
ioo @102
@ ...
180 @180
@ ...
@ ...
@ ...
113 @114
@ ...
iio @110
103 @100
120#@122
107 @107
112 @112
108 @108
@ ...
120 @120
92 @ 93
145 @145
@ ...
97 @100
108 @109
@ ...
102 @100#
@ ...
@ ...
iis @120

April.
137 @140
115 @110
© ...
102#@100
@ . ..
100 @108
103 @103
97 @100
@ ...
® ...
100#@1C3
@ . ..
@ ...
@ . ..
io o # @ io 2
107 @110
... @ . . .
@ ...
.. . @ . . .
© .
@ ...
.. . @ . . .
102 ©103
@ ...
108 @108
@ ...
113 @114
113 @113
108 @108
. © ...
114 @115
110#@113
100 @107
109 @113
120#®121# 120 @122
... @ . . .
© .
i i5 # @ n e
112 @113
109 @110
107 @109
. . <&...
110 @110
102 @102
® ...
9 !# @ 90
97#@ 98
145 @155
® ...
118 @118
. .. © .
90 # 93
93 @ 98
100 @109
109 @109
101 @101
100# @102
110 @110
108 @111
100 @100
103 @108
131 @131
185 @135
... © . .
@ ...

March.
137 @137
110 @113
120 @120
io :# @ io o
135 @137
105 @100
100 @101
90# - 97
114 @114
... @ .
97 @100
... @ . ..
110 @110

W e give below the bank returns o f the three cities.

June.
May.
.@ ...
140#@140#
ii2 @113#
110 @114
145 @145
@ ...
105 @107
107 ©108
@ ...
109#@110# iio @114
101 @102
101 ©101#
100 @102
97 @100
@ ...
@ ...
@ ...
@ ...
103#®104 x. 98#®100
@ ...
@.
103 @107# 107V@ 08
@ ...
113 @113
ii3 @114#
108 @115
■
@ ...
@ ...
@ . ..
132 @132
© ...
103 @105
@ ...
114#@114#
@ ...
@ ...
@. .
105 @100
104 @100
110 @110
114#@J10
107 @110
115 @115
122 @129
120 @123
@ ...
@ ...
@ ...
© ...
ii2 @112
iio © I ll
n o @110
100 @107
© ...
@ ...
ioo @100
@102
ioo
150 ©150# 150 @150
@ ...
@ ...
104 @104
103 @105
@113
113
111 © i n
104#@105
@ ...
@...
.
iio @110
10S#@109
100 @109
@
4
.
.
.
@ . ..
iis @115
@ ...

It will be seen that the

specie in New Y ork city is now reduced to the low figure o f 87.797.218 while
the legal tenders are increased and now amount to 881 882 640.

The following

are the returns o f the N ew Y ork City Banks :
NEW YORK CITY BANK RETURNS.

Date.
Loans.
Jan. 6,1866.. . $233,185,059
“ 13.......... . 234,9.38,193
“ 20.......... . 239,337.720
“ 27.......... . 240,407.830
Feb. 3 .......... . 242,510,382
“ 10........ . 242,008,872
“ 17.......... . 243.008,252
“ 24.......... . 239.776.200
Mar. 3.......... . 235.339,412
“ 10.......... . 233,008.274
“ 17.......... . 233,517,378
“ 24.......... . 234,500.518
“ 31 ......... . 237,310,009
Apr. 7 .......... . 242.043,753
“ 14.......... . 244,009,839
“ 21.......... . 242 007.003
“ 28.......... . 245.017,092
May 5.......... . 2 3,974,134
“ 1 2 ........ . 257,021,317
“ 19.......... . 255,690,463
“ 20.......... . 257,909,593
June 2 .......... . 250,959,022
“ 9 ........ . 249.538,959
“ 10.......... . 217,301,547
“ 23.......... . 248,430,808
“ 30.......... . 250,884,108




Circulation.
Specie.
$15,77S,741 $18,588,428
19.102.917
10,852,508
20.475,707
15,205,327
20,905,883
13,100,759
21,494,234
10,937,474
22.240,409
10,129,800
22.983,274
10,308,758
14,213,351
22.959,918
22,994,080
17,181.130
2-3,033,237
10,503.237
15,015 242
23.303,057
23.243,400
13,945,651
23,730.534
11.930,392
24,1*-7 0 »1
11,480,295
24.533,981
11,035,129
9,495,403
21.045,857
8,243.937
25,377,280
25,415,077
10 914.997
13,970,402
24.693,259
13.595,405
25,189,864
19,730,929
20,223.807
26.244, 55
21,858,093
25,907,253
15,821,063
25,887,S76
11,217.3' '5
8,504,090
26,585,894
7,797,218
20,700,622

Deposits. Leaal Tend’ s. A ", clear'gs
$195,482,254 $71,017,487 $870,017,023
608,082,837
197,700,999
73,019,957
638,9-19,311
198,810,248
72.799,892
70,319,140
5'6,323,672
195012,454
508,669,123
191,011,095
68,790,250
08,430.013
493,431,032
188,701,403
189,777,290
471,886,751
64,802,980
497,150.087
183.241,404
61,602,726
526.539,959
181,444,378
58,700.145
594,204,912
180.515.881
04.341.802
579,216.60#
08,402,764
185,438,707
593,448.864
185,808,245
09,490,033
529,240,640
188,554,592
72,15S,t 99
602,315.748
189,094.961
71.445.0 5
578,537,853
193,153,469
73.910,370
190.808,578
77.0 2,088
535.834,778
202.718,574
80,589,022
546,339,668
210,373,303
81.2 4,447
603.556.177
217,552.853
85.040,659
523,093,53s
217,427.729
579.342,483
85,710.107
713.575.444
208,977,905
73,829,947
198.12 ,289
713.575.444
09,188, 92
202,503,949
633,656,381
74,628,074
613,698.301
202,415,073
79,179,304
201,909,288
696,447.630
80.840,578
204.357,272
568,842,490
81,88^,610

1866]

Imports o f D ry Goods fo r the Year 1865-66

85

The returns o f the Philadelphia Banks have been as follows :
PHILADELPHIA BANK RETURNS.

Date.
Jan. 2, 1866....
“ 8...............
‘ 15...............
“ 22...............
“ 29............
Feb. 3...............
“ 10...............
“ 17...............
“ 24..............
Mar. 3 ............
10.............
“ 17.............
“ 24............
“ 31.............
April 7 ............
“ 1 4 ............
“ 2 1 ............
“ 2 8 ............
May 5 ............
“ 1 2 ............
'■ 1 9 ............
“ 2 6 ............
June 2 ............
“ 9 ..........
“ 1 6 ............
“ 2 3 ............
“ 3 0 ............

Legal Tenders.
$17,181,229
17,236,320
17,267,412
17,052.559
16,241,277
16,481,005
16,852,737
16.777,175
17,282.602
17,447.635
17,292,534
16.375,608
15,969,814
15,954,832
16,622,233
18,323.759
18,660,513
18,949,719
19,144,660
19,646,263
19.648,232
19,715,093
21,154 909
21,568,085
20,568,591
21,105.316
21,455,836

Loans.
$4:.,941,001
46,774,150
47,350,423
47,254,622
47,607,558
47,233,661
47,249,383
46.981,337
46,865,5112
46,604,752
46,546,878
46,690,788
46,642.150
46,043,488
46,028,641
45,114,699
45,762,733
46,832,734
48,006,654
48,236,256
48,336,567
48,036,984
47,564,996
48,118,897
48,616,145
48,166,814
48,266,904

Specie. Circulation. Deposits.
$890,822 $7,226,369 $35,342,306
36.618,004
983,685
7.319.528
1,007,186
7,357,972
36,947,700
7,411,337
36,214,65*
1,012,9S0
35,460,881
1,008,825
7,432,534
34,681,135
1,000,689
7,668.365
996,312
7,819.599
34,464,070
7,843,002
33,926,542
953,207
1,026,408
33,052,25*
7,732,070
32,835,094
1,041,392
8,HT,049
1,055,694
8.248,100
32,504,508
8,438,184
1,026,068
32,102,427
981,932
8,580,200
32,144,250
990,630
32,257.653
8.(566.230
946,282
8,720,270
32,762,2440
949,116
34,6400-6 i
8,743,396
936,876
8,761,213
35,448.055
890,241
8,779,166
36,032.862
912,023
8,794,348
36,987, v/07
896,741
8,930,420
38,414.588
897,913
8,918,938
37,296,645
867,094
8,988,712
37,078,418
890,121
38,189.566
9,022.553
859,633
9,007,515
38.326,’.(34
897,381
9,219,553
36,972.476
899,999
9,290.094
36,715,308
863,454
9,325,475
37,242,979

The returns o f the Boston Bonks are as follow s :
BOSTON BANK RETURNS.

January 1....... ..
“
8 .... ..
“
15
..
“
22....... ..
“
20....... ..
February 5....... ..
“
12....... ..
“
19....... ..
“
26 . . . . ..
March
5....... ..
“
12....... ..
“
19..., ..
“
26....... ..
April
2.. . ..
“
9....... ..
“
16....... ..
“
23....... ..
“
3 0 ... ..
May
7.......
“
1 4 .... .
“
21....... ..
“
28....... ..
June
4 ....... ..
“
11....... ..
“
18*.... ..
“
25....... ..

(Capital Jan. 1L, 1866, $41,900,000.)
Legal
Loans.
Deposits.
Specie.
Tenders.
$91,421,477
$801,415 $19,807,300 $38,451,794
41,718,132
92,245,129
19,914,065
1,031,327
92,959,364
1,029,105
40,939,870
20,438,014
92,665,111
1.040,114
20,750,698
40,300,619
1,008,013
30,153,816
92,877,783
20,544,830
40,436,163
94,578,358
805,237
20,568,135
38,768,019
94,083,827
632,591
20,412,589
38,494,696
20,418,909
95,250,429
508,428
36,398,481
93,539,0i0
521,292
20,262,177
35,581,876
92,990,512
556,856
20,034,968
90,705,159
35,297,498
623,938
19,905,120
36,696,321
91,902,811
606,992
20,470,018
35,887,368
91,931,236
20,913,521
513,153
36,697,227
92,351,979
20,761,014
532,556
37.426,560
92,142,975
487,455
20,334,570
37,606,696
91,250,882
457,648
19,902,047
36,946,182
86,120,897
411,693
19,309,145
38,396,210
86,723.001
401,113
19.549.614
41,205,276
90,369,569
576,150
21,415,716
90,328,554
42,021,976
501.013
22.462,522
89,634,864
22,973,509
472,172
41,61 <,149
41.631,746
91,833,402
436,391
23,658,956
42,992,749
92 287,648
503,991
26,148,678
42,858,086
89,878,993
374,966
25,470,926
41.992,820
87,568,533
371,596
24,426,749
42,587,020
94,336,170
323,335
25,019,436

,------- Ci rculation------- ^
National.
State.
$21,407,354 $1,404,721
21,806,180
1,328,793
21,946,595
1,273,948
22,034,642
1,215,675
21,800,318
1,157,848
22,325,428
1,125.728
22,348,638
1,057,323
22,602,531
1,033,391
22,887,971
1,048,022
22,606,835
1,006,719
22,730,329
721.809
24,018,916
910,740
23,019,887
901,620
23,087,693
869,329
23.266,642
830,069
23,635,043
777,198
22,469,488
744,041
22.856,656
744,425
23 516,330
719.688
23,551,579
695,527
23,195,968
661,819
23,702,277
644,658
23,679,0’5
609,371
22,016,559
480,599
21,845,077
544,941
23,633,008
507,371

IMPORTS OF DRY GOODS FOR TIIE YEAR 1S65-66.
We are now able to complete our tables showing the imports of foreign dry goods
at this port for the month of June and for the fiscal year which has just clo ed. It
will be seen that the imports the past month have been less than for any previous
month since Jan. 1, except May, and yet the total is larger than for the same period
of either one of the previous three years. The total value landed here since the 1st
of June was $7,336,618; during the same time $7,738,309 went directly into con­
sumption. and $3/)*i8,974 went into warehouse. Below are the figures for the month
* For the week ending June 18 no returns were received from the Nat Bank o f Redemption,




86

Im p o rts o f D r y

G oods f o r

the

Y ea r

1865-63.

[July,

IMPORTS OF FOREIGN DRY GOODS AT NEW YOKE FOR THE MONTH OF JUNE.
ENTERED FOR CONSUMPTION.

Manufactures of w ool.............
do
cotton.....................................
.........................
do
flax ........... .........................
Miscellaneous dry goods.......... .........................

160,804
553,784
313,658
92,822

1864.
$282,521
138,269
720,041
149,692
32,951

1865.
$1,2:3.639
59 ',375
1,370 554
855,011
165,052

1866.
$1,788,17»
752,347
752,827
739,8:35
344,456

Total entered for consumption..........................

$1,688,672

$1,232,474

$4,260,661

$4,377,644

1865.
$695,181
180,018
198,114
258,112
36,083

1866.
1,626,486
382 182
501.310
771,381
78,276

1863.

W IT H D R A W N FR O M W A R E H O U SE .

18G4.
$31,786
30,254
66,354
55,206
3,154

1863.
Manufactures of w ool...............
do
cotton............ .......................
do
silk ...............
clo
flax .............. .......................
Miscellaneous drygoods..........

60.US9
107,533

Total withd’n from warehouse. .......................
Add entered for consumption.. .......................

$600,418
1.688,672

$176,754
1,323,474

Total thrown on the market... . : ....................

$2,289,090

$1,500,228

$1,369,108 $3,359,665
4,260,66 L 4,377,644
$5,629,769

$7,737,309

1865.
$657,547
39,266
322,472
139.533
22,589

1866.
$1,630,995
410,988
385,941
444,134
100,916

E N T E R E D F O R W A R E H O U S IN G .

Manufactures of w ool............. .......................
do
cotton........... .......................
do
silk............... .......................
do
flax............... .......................
Miscellaneous dry goods......... .......................

1863.
$654,339
189,225
135,415
210,888
22,884

1S64
$1,812,200
276,9)5
837,473
390,950
160,701

Total ent. for warehousing----- .......................
Add ent. for consumption........ ......................

$1,212,751
1,683,672

$3,473,229
1,323,474

$1,181,407
4,260,661

$3,008,974
4,377,643

Total entered at the port........... ....................

$2,901,423

$4,801,703

$5,442,068

$7,386,618

We now present a table showing the total imported here during the last six months .
IMPORTS OF FOREIGN

DRY GOODS AT

NEW YORK FOR SIX MONTHS FROM

JANUARY 1.
ENTERED

Manufactures o f wool
cotton,
do
silk ..
do
flax...
do
Miscellaneous dry goods...
Total ent. for consumption

FOR CONSUMPTION.

1864.
1863.
$8,051,673 $13,2:34.303
2,863,167
4,294.404
4,887,776
9,031.525
3,837,430
4,840,662
2,107,345
1,372,376

1866.
1365.
$ftj**959 $16,029,707
9,506,099
2.35S,891
9,974,791
4.34S.221
7,625,686
3,351,881
3,892,201
963,522

. $21,012,422 $33,508,239 $17,075,474 $47,028,484
ROM WAREHOUSE.

1863.
$2,096,435
7.58,788
1,414,422
780,640
243,1:35

Total withdr’ wn from wareh’e
Add entered for consumption.

$5,303,420 $10,407,017 $12,024,789 $20,047,552
21,012,422 33,508,239 17,075,474 47,028,484

Total thrown on the market..,

1864.
$4,255,204
1,672,773
2,192,726
1,912,099
374,210

1865.
$4,481,465
2,137,358
2,132,819
2,731,723
541,424

1866.
$8,340,111
4,067,910
3,825,483
3,170,749
643,299

Manufactures o f w ool..........
do
cotton.........
do
silk..............
do
flax ..............
Miscellaneous dry goods........

$26,315,842 $43,915,256 $29,100,263 $07,076,038
1 WAREHOUSING.

Manufactures o f wool
cotton
do
silk ...
do
fla x...
do
Miscellaneous dry goods.......

1863.
$3,773,278
1,816,257
1,695,393
1,748,426
352,784

Total entered warehouse......
Add entered for consumption

$9,387,138 $12,851,740
21,012,422 33,508,239

Total entered at the p o rt. ..

1864.
1865.
1866.
$6,172,685 [$3,180,236 $10,303,540
1,371,514
1,170,143
3,791,850
2,848,148
1,14S,060
2,491,061
1,724,359
3,496,333
2,094,957
454,436
325,894
739,443
$7,548,692 $20,732,229
17,075,474 47,028,484

$30,399,560 $46,359,979 $21,624,160 $67,760,713

From the foregoing we see that since January 1st there has been landel here, in
foreign dry goods, a total value of $67,760,713, and that an equal amount has been
thrown upon the market. We now give the figures for the fiscal year, which closes
with June, showing the relative totals of dry goods imported at New York during the
last twelve months:




Imports o f Wheat and Flour into Great Britain.

1866]

IMPORTS OF FOREIGN

87

DRY GOODS AT NEW YORK FOR THE FISCAL
ENDING WITH JUNE.

YEAR

ENTERED FOR CONSUMPTION.

1862-3.
Manufactures o f w ool...................................... $21,005,248
do
cotton.....................................
5,951,521
do
silk .........................................
10,944,736
do
fla x .........................................
7.705,165
Miscellaneous dry goods..................................
2,814,713
Total entered for consnmpt’n..........................

1868-4.
27,084,879
6.685,070
16,355.165
' 8,339,549
3,879,810

1864-5.
1865-6.
$0,708,058 $37,257,371
3,406,868 18,007,481
6,330,872 21,038,609
5.592,0% 15,606,335
1.654,8.;2
6,900,467

$48,421,383 $63,245,473 $26,762,595 $100,613,375

WITHDRAWN FROM WAREHOUSE FOR CONSUMPTION.

Manufactures o f w ool.......... .........................
do
cotton....................................
do
silk.........................................
do
flax.........................................
Miscellaneous dry goods...................................

1862-3.
$3,776,048
1,489.269
2,357,640
1,334,934
593,384

Total withdr’ n from w’house,
Add ent’d for consumption...

$9,551,275 $18,527,030 $25,096,619 $30,194,3136
48,421,383 63,245,473 26,762 595 100,613,3 5

Total tnrown on the market............................

1S63-4.
1861-5.
1865-6.
$8,080,252 $12,341,240 $14,134,743
2,760,618
3.270.S30
4,020,502
3,407.231
4,6*0,578
5,553,117
3,596,923
4.578,056 4,674,277
592,006
1,125,015
911,608

$57,072,658 $81,772,503 $52,759,214 $130,807,711

ENTERED FOR WAREHOUSING.

Manufactures o f w ool......................................
do
cOtton......................................
do
s ilk .........................................
do
fla x .........................................
Miscellaneous dry goods...................................

1862-3.
$5,648,602
2.523.387
2,467,514
2,307.415
594,736

Total entered for warehousing......................... $13,541,654
Add entered for consumption........................... 48,421,383

1863-4.
1864-5.
1865-6.
$9,311,114 $11,469,214 $15,923,266
2,215,381
2,861,404 6,204,498
4,473,803
3,470,M6 5,468,133
3,301,273
4,260,357 6,852,026
687,917
1,029,463
1,014,347
$19,980,493
63,245,473

$23,091,344$35,462,270
26,762,595100,613,375

Total entered at the port.................................. $61,963,037 $83,234,966
$49,853,939$136,075,645
W e thus have a total value for the year of $136,075,645 ot foreign dry goods

landed at the port of New York, being almost three times the total o f last y ear.
Hat! it not been for our exports of cotton since the close of the war, we can easily
imagine what would have been the effect of such immense importations. It should
be remembered, too, that the values given in these tables represent the foreign cost
of the goods in gold, freight and duty not added. To show the excess of the imports
of dry goods this year over previous years, we give the following table of totals for
sixteen years:
IMPORTS OF FOREIGN D RY GOODS AT NEW

Year.
1850-51.......
1851-52.......
1852-53......
1853-54......
1854-55.......
1855-56.......

*
Value.
.........$64,613,747
.........
.........
.........

Year.
1856-57..........
1857-58..........
1858-59
92,389,627 1859-60..........
62,918,443 1860-61........
85,898,690 1861-62........

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

1 OKK.

Values. |Year.
$92,669,088 |1852-63..........
67,317,136 |1863-64..........
93 549,083 11864-65..........
107^843,205 |1865-66..........
83,310,345 |
38,155,720 j

Value.
........ $6',963,037
........ 83,234,966
....... 49,853 939
......... 136,075,645

That our readers may see the total of each description of goods imported during the
year, we have classified them, giving also in the table below a comparrison with the
three previons years :
IMPORTS OF D R Y GOODS AT NEW YORK FOR THE Y E A R ENDING W ITH JUNE.

Description o f Goods.
18*12-3.
1863-4.
1864-5.
1865-6.
Manufactures of W ool...................................... $26,653,850 $37,295,993 $21,238,172 $53,174,637
do
cotton......................................
8,474,908
8,900,451
6,268,362 25,111,979
do
s ilk .........................................
13,412,250 20,829,973
9,81",688 27,406.832
do
fla x ..........................................
10,012,580 11 640,822
9,852,452 22,458,383
Miscellaneous dry goods...................................
3,409,449
4,567,727
2,684,265
7,923,814
Total im ports.............................................

$61,963,037 $83,234,966 $49,853,939 $136,075,645

IM PORTS OF W H EA T AND FLOUR I I T 0 GREAT BRITA IN AND AVERAGE P R IC E S
SINCE 18 5 4 .

Below, we give a statement showing the extent of the imports into Great Britain
and Ireland o f wheat and flour from each principal country in each of the last five
years. Prussia figures for a considerable quantity : but, on comparing the statement
with the return for the four months published in this number o f the M agazine , page




88

Im p o rts o f

W h ea t and F lo u r into Great B r ita in .

[July,

38, it will be observed that Prussia, this year, has not been shipping on so extensive
a 6cale as in 1864. It is necessary, however, to bear in mind that, during the first
four months of the year, Prussian ports have been blocked up by ice, so that arrivals
during that period afford no criterion as to the probable extent of the year’s shipments.
With respect to France a d Russia, it will be observed that, during the present year,
th*dr shipments have been on a considerably larger scale than in former years :
IMPORTS OF W HEAT AND FLOUR INTO TIIK UNITED KINGDOM IN EACH OF THE LAST FIVE YEARS.
W HEAT.

IS61.
Russia—Northern ports........................ cwts. 617,127
Southern ports................................. 3,835,871
Denmark and the Duchies.............................
988,680
Prussia............................................................ 4,453,510
Hanse Towns.....................................
927,966
Germany (other parts)................................... 563,026
France............................................................
783,913
Spain................................................................
712,417
Wallachia and Moldavia.................................
591,491
Turkish Dominions (not otherwise speciiied) 411,277
Egypt............................................................... 1,472,514
British North America................................... 2,381,275
United States.................................................. 10,866,891
Other countries.............................................. 1,289,574

1862.
669,730
5,081,288
629,798
6,285,431
679,038
410,401
974,285
9
474,972
1,284,439
3,289,156
3,732,959
16,140,670
1,381,327

1863.
670,6S3
3,863,622
555,338
4,410,497
316,390
386,689
147,481
4
132,526
282,993
2,319,590
2,093,997
8,704,401
479,960

1804.
1,307,278
3,S) 1,956
1,001,535
4,9:35,323
494,407
679.698
587,105
1,824
127,908
35 -,086
366,868
1,225,523
7,895,015
407,183

1865.
844,045
7,249,834
895,432
5,403,914
486,069
673,150
2.252.873
123,361
188,043
386,142
10.063
306,765
1,177,618
965,654

.29,955,532 41,033,503 24,364,171 23,196,714 20,962,963

Total

FLOUR.

1861.
1862.
1863.
1864.
1865.
Russia—Northern ports ....................... cwts.
21,851
3,769
8,703
8,141
88
“
Southern ports.................................
134
88
..........................
.........
Denmark and the Duchies..............................
20,357
13,563
30,069
37,786
45,646
Prussia.............................................................
7,250
2,483
10,724
33,537
66,267
Hanse Towns.............................................
279,609
256,972
806.217
330,770 247,796
Germany (other parts).....................................
12,468
3,245
8,675
4,230
3,146
France.............................................................. 460,775
700,040 1,367,938 1,813,855 3,044,823
Spain................................................................
467,872
253,498
9,111
125
8,395
Wallachia and Moldavia.................................................
3
..........................
.........
Turkish Dominions (not otherwise specified)
....
121
4
..........................
Egypt...............................................................
1,573
12,338
2,437
475
.
British North America....................
805,339 1,108,591
883,352
485,099 177,353
United States.................................................. 3,794,865 4,499,534 2,531,822 1,745,933 256,769
Other countries ..........................................
280,842
262,908
64,925
52,420
54,188
Total........................................................... 6,152,938 7,207,113 5,218,977 4,512,391 3,904,471

The average price of English wheat in Englaud is now 52s., against 41s. last year.
The finest Prussian wheats are worth 66s, the finest Russian 52s. to 54s., and the
finest red American 51s. per quarter. The following prices o) wheal for ten years are
made up from cfficial sources:
/—Average price o f V heat per qr.-> /—Average price o f Flour per cwt.—^
Rus’a. Prus’a. Egypt. U. S.
France. Spain. U. S. B.N. Amer.
£ . s. d. £. s.d. £. s d. £ . s. d. £ . s. d. £ . s. d .^ £ . s. d. £ . s d.—x
3 6 8 3 13 6 2 3 4 3 11 3 1 2 2
1 3 2
116
1854 ...........
1855 .............................. 2 19 8 4 0 0 2 10 0 4 3 9 1 4 6
1 46
1 40
1856 ......................... 3 1 0 3 13 0 2 2 6 3 10 0 1 4 0
1 40
100
1857 ......................... 2 11 3 3 0 10 1 19 9 2 18 9 1 0 5 ^ 1 1 0
0 17 7 0 15 1
1858 ......................... 2 2 4 2 6 9 1 9 5 2 8 1 0 18 7% 0 18 8 0 15 1 0 14 6 #
1859 .............................. 2 2 4 2 8 8 1 11 3 2 3 10
0 14 6 0 14 2 0 14 0
0 13 9
I8 6 0 ............................ 2 14 7 2 19 4 2 4 8 2 17 8 0 18 2
0 IS 2 0 16 2
0 16 6
1861 ......................... 2 13 9 3 0 2 1 19 9 2 15 2 0 18 8
0 18 0 0 15 5
0 15 3
1862.............................. 2 7 2 2 15 4 1 14 8 2 10 3 0 17 6 0 18 4 0 14 4
0 14 3
1863 ......................... 1 19 0 2 9 9 1 13 8 2 3 9 0 15
0 15 4% 0 12 7J£ 0 12 0%
1864 ......................... 1 16 6 2 3 10 1 16 2 2 0 5 0 13 7 # 0 12 0 0 11 10X 0
111 #

CONTENTS
1.
2.
3.
4.
5.
6.
7.
8.
9.
10.
11.
12.

OF

Price with and without Value..............
Reform in England................................
The Imperial Mexican Rai.way............
Systeme Metrique..................................
Tne European War.....................
Taxation of Government Bonds—Note
Trade o f Grtat Britain with the United
States....................................................
Trade with the British Provinces........
Analyses o f Railroad Reports..............
Missouri—St. Louis, the Commercial
Cemre o f North America......................
The Present High Prices......................
The Strikes...............................




JULY
9
16
20
28
31
36

13.
14.
15.
16.
17.
18.
19.
36 20.
39 21.
42
22.
53
61 23.
63

NUMBER.

English Panics of the Present Century.
An Ocean Race in 1&37.........................
Joint Stock Banks in Ireland.......... ..
i he Silk Spider of South Carolina.......
Internal Revenue Report......................
National Bank Deposit Taxes..............
New York State Bank Notes...............
Commercial Chronicle and Review___
Journal o f Banking, Currency and
Finance....................................................
Imports o f Dry Goods tor the Year
1865-66 .................................................
Imports o f Wheat and Flour into Great
Britain....................................................

65
67
67
68
69
70
71
71
82
85
87