36 1. FINANCIAL HISTORY OF THE REIGN OF LOUIS PHILIPPE.-PART II. Translated from the French of M. S. DUMON, late Minister of Finance, for the Merchants' Magazine. 19 II. MERCANTILE BIOGRAPHY.-GEORGE HUDSON, THE "RAILROAD KING" III. TRAITS OF TRADE-LAUDABLE AND INIQUITOUS.-ABOUT CREDIT-SPECULATIONS. By a Merchant of Boston.... ... ...... ......... 50 IV. COMMERCIAL CITIES AND TOWNS OF THE UNITED STATES.-No. XXXIV. THE VI. BANK NOTE COUNTERFEITS AND ALTERATIONS.-THEIR REMEDY. By a Bank 72 JOURNAL OF MERCANTILE LAW. Libel for Collision, (case in U. S. District Court). Letters of Credit, (case in Lord Mayor's Court, London).. 74 78 Bill of Lading-Quantity-Right to pay freight on overplus when cargo is damaged, (English EMBRACING A FINANCIAL AND COMMERCIAL REVIEW OF THE UNITED STATES, ETC., ILLUSTRA TED WITH TABLES, ETC., AS FOLLOWS: Close of the Fiscal Year, and General Review of the Commerce of the United States for the same-Some of the Causes and Effects of the Increased Prosperity of the Country-The Balance of Trade-Commercial Intercourse with the Interior-Supply and Value of Domestic Products-Increased Amount of Precious Metals in the hands of the people-Product of Australian Gold Fields-Product and Deposits of California Gold-Coinage for May-Imports at New York for May, and from January first-Imports of Dry Goods for May, and for five months-Cash Revenue of the Country-Exports from New York for May, and from January first-Comparative Shipments of Produce-Prospect of Future Demand for Breadstuffs Abroad -Advance in Rates of Discount by the Bank of Engiand, with the causes which produced it, and the effect upon this country-Stock Market-New Loan-Effect upon the Commercial World of the Political Troubles in Europe-China and the China Trade, with Statistics of our Direct Commerce with the Empire, etc., etc.. .81-89 JOURNAL OF BANKING, CURRENCY, AND FINANCE. Synopsis of the free banking law of Louisiana New banks established under free banking law of Louisiana Rates of city taxation in Cincinnati Finances and debt of the United States.-Savings Banks in Great Britain. Consolidated debt of New Orleans.. Basis of banking capital in New York-Gov. Seymour's veto message....... Coinage of the precious metals in Mexico.-Money of paper.. The coinage of England and the United States compared.. Specie and bullion in the Bank of England in each year from 1847 to 1853.. Early currency in New England Taxes on certain banks in Pennsylvania.-Transfers of public moneys of the United States COMMERCIAL STATISTICS. PAGE. 89 92 92 93 94 95 97 98 98 98 99 100 Commerce and navigation of the United Kingdom for years ending Jan. 5, 1852 and 1853. Export of teas from China to United States in 1851 and 1852... Exports of tea from China in each year from 1844 to 1852, inclusive........ Imports from and exports to Mexico from 1829 to 1851, inclusive Shipping, exports, and revenue of leading ports in the United Kingdom.. Act of Maine relating to peddlers.-Act of N. Y. to punish frauds and suppress mock auctions.. 111 Reduction of postage to Brazil and Java.-California incorporation law. 112 Tonnage duties on Spanish vessels from Cuba to Porto Rico.-Regulations of British tobacco trade 113 NAUTICAL INTELLIGENCE. The winds and currents of the seas-Fast sailing. By Lieut. M. F. Maury, LL. D. 114 116 RAILROAD, CANAL, AND STEAMBOAT STATISTICS. The radial railroad lines of Cincinnati.. .... Dividends of Massachusetts railroads in each year from 1848 to 1852 Ericsson's caloric engine.-Progress of railroads in Europe Appropriations for transporting the United States mail by steamers..... Progress of the railroad movement in Canada.-Freights on the canals and railroads of N. York. 119 Estimated cost of railroad transportation.. 117 120 121 121 122 123 STATISTICS OF POPULATION. Education of the population of France.-Census of the State of California in 1852. 124 126 Mortality of the population of Brooklyn (Long Island) 127 ........... Returns of the number of United States seamen.-Census of Toledo, Ohio... 127 128 JOURNAL OF MINING AND MANUFACTURES. Mineral productions of Spain-Silver, copper, tin, zinc, coal, marbles, glauberite, &c... Price of labor in San Francisco in 1853.-Product of Australian gold fields. Manufactures of New Hampshire.. Galena lead mines.-Bag loom, and new shuttle motion..... Unsuccessful manufactures.-Spanish lace, embroidery, etc... MERCANTILE MISCELLANIES. Foreign postage on pamphlets and magazines Letter from the Postmaster General to the editor of Merchants' Magazine. Letter from Alexander Vattemare to editor of Merchants' Magazine A short note on a "Sermon of Commerce" Mercantile honor-an anecdote of Boston merchants.. Note to article on the bearings of physical circumstances upon Commerce, &c.... THE BOOK TRADE. Notices of 33 new books, or editions..... HUNT'S MERCHANTS' MAGAZINE AND COMMERCIAL REVIEW. JULY, 1853. Art. I.—FINANCIAL HISTORY OF THE REIGN OF LOUIS PHILIPPE. PART II. IN 1840 the construction of Railways had but slightly engaged the public attention. The execution of the vast schemes proposed to the chambers in 1838 seemed to surpass the strength of the State and private enterprise succumbed under its first attempt. The discussions were wasted in idle controversies between systems. In 1840 all the systems were tested. The government made some concessions to companies, it encouraged others by loans, and it executed some lines at its own cost. The first essays illustrated the administration of M. le Comte Ianbert, and returned before long the most fortunate results. But unity was wanting to these trials. The system of railroads in France was not even traced by law. The government did not enter into this great and difficult enterprise until 1842. It could no longer keep back. The activity of Europe became a danger and a reproach to France. A law, frequently quoted in the history of our public works, was framed, (the law of the 10th June, 1812,) which traced the great lines that, parting from Paris on the center, would reach every one of our frontiers. The cost of establishment was divided between private enterprise and the State; the management was reserved to private enterprise. This system did not task sufficiently private enterprise; but after such continued adjournments any solution of the question was a benefit. Experience has taught that the solution thus adopted was susceptible of ameliorations, but at this time it was the only system practicable. Although the burdens of the State were somewhat reduced they were not less heavy, and extraordinary resources became necessary to support them. An appeal having been made so recently to the credit of the State, forbade hoping succor from that source for several years: the reserves of the sinking fund belonged to the three years that were burdened with a deficit, but as the establishment of the The present part is the conclusion of this paper, which was commenced in the number for June. equilibrium seemed nigh at hand, the reserves of the sinking fund would again become the resources of the future, while the floating debt was the temporary resource that provided the means until that future should arrive. Although it has appeared that these calculations were mistaken, it was not temerity to conceive them then. The consolidation of peace rapidly diminished the treasury deficit: the year 1843 left less than 40,000,000 at the charge of the reserve, which had already increased to nearly 70,000.000, the year 1844 did not even touch it, while the year 1845 had an excess of receipts, and the charges upon these three years would have furnished 178,000,000 to the great public works, if unexpected charges of the three preceding years had not absorbed this sum in advance. This difficult liquidation drew nigh its end, and 1846 opened with the prospect of leaving a disposable reserve, when the greatest physical calamities fell upon France. Famine aggravated the distress of disastrous flood -. While inundations almost unexampled destroyed the resources of several departments, bad harvests, and extraordinary price of grain, desolated all the land. A money and a commercial crisis pressed at the same moment upon the whole of Europe. There was no pay for the laborer and no resource for charity. The devotion of the government was worthy the courageous resignation of the country. It used largely the credits which had been voted, nor feared to demand new allowances. It closed the breaches in the rives, and thus found, even in the disaster itself, an occasion of ameliorating those people who suffered most from the misfortune: redoubling its activity in all of its uncompleted works, opening new works, which under other circumstances it would have adjourned, it urged, by its encouragement, all the communes in France to imitate its example, and the work of chemins vicinaux, or parish roads, created a vast atelier national in all the kingdom. It hastened the arrival of merchant ships laden with grain, by employing its war steamers to tow them through the Dardanelles and Straits of Gibraltar, and, admirably seconded by the railway and the canal companies, it superseded the tolls, which weighed upon the articles already too costly. Without doubt, during this lamentable year, some disorders and some great misery could not be shunned but the country nobly supported all these evils, and the government could also claim the honor of having faithfully served the country. This same distress was soon brought back by very different causes, and the population was tried by revolutions even more severely than by the inundations and the famine. The treasury again opened its coffers, nay, it exhausted itself to succor them. They may be able to tell us to day which served then most effectually, the government whose first care was to serve them or the government whose first thought was to please them. The charges upon the budge: felt the same pressure. The situation of the country affected them. It became necessary to increase the surveillance, that grain should circulate freely and the market be kept open. It was necessary to remove from the dangers of discouragement and the temptations of misery the poorer paid agents entrusted with watching over the public security and the receipt of duties. The high price of provisions and provender more than doubled the most important expenses of the army and navy. All these efforts which must be made, all these sacrifices which must be encountered, of necessity left profound trace upon the accounts of the minister, on whom the principal weight of these burdens fell. During these two years the minister of the interior was obliged to increase his expenses from 112 to 120 millions the first year, and to 142 millions the second year, the minister of public works from 61 to 66 millions and 70 millions, of war from 302 to 331 millions and to 353 millions, of the navy from 114 to 130 and to 132 millions. Who can be astonished after this that 1846 and 1847 should leave a deficit, the first of 41 millions, and the second of 109 millions, and that the reserve of these two years should have been absorbed by this increase of expense, so startling and so heavy. It was then that the reserve of the sinking fund escaped a second from the great public works at the very moment this resource seemed to be assured to them. Fortunate charges were introduced in the financial condition of these works. The unhoped success of the Orleans and Rouen railways had reanimated prostrate enterprise. Upon the most important lines the State was relieved from the cost of construction. A company bought the Northern Railway from it, and charged itself with the construction of the several collateral lines: another company reimbursed it the cost of the completed works upon the Lyons Railway, and undertook its completion; a third company undertook at its own cost the railway from Lyons to Avignon. Thus disembarrassed from important obligations, the government redoubled its activity upon these roads that remained upon its hands: but this same activity imposed a heavy burden upon the treasury: deprived temporarily of the reserves of the sinking fund, it became necessary to support the weight of its expenses by the floating debt. This temporary situation could not be increased without running some danger, therefore the Minister of Finance discharged the treasury from this abnormal condition by contracting the loan of the 10th November, 1847, for 250 millions. In the midst of the commercial crisis then general throughout Europe, when the Bank of France, for the first time in a great many years, increased the rate of its discounts, when the Bank of England, increasing its rate also, had limited the amount, when a general decline had depressed all the public funds in Europe, the government of July, yet in good credit, adjudicated, three months before its fall, a loan at little under 4 0-0. This was the last financial act of the Monarchy. It has not escaped the criticism of those who overturned it, and found themselves very glad to get for five francs of rente exactly the same sum the Monarchy obtained for three francs. Such would have been the financial situation of the last government, if it could have been immediately liquidated the 1st of January. 1848: all the deficits of the ordinary service were nearly extinguished, all the advances of the extraordinary service were covered by assured resources, and even already partly realized. Why therefore does the Minister of Finance, in his expose of the budget for 1850, discover a deficit of 441 millions, at the date we just indicated, in the budget of public works? Wherefore does he feel himself aut orized by this circumstance to charge the last government with the responsibility of the situation which he is obliged to meet with so many efforts and so many sacrifices? We are painfully surprised by this reproach. What is indeed a deficit? Is it not an expense incurred without a corresponding receipt or advance-an advance without a pledge, which must be supported by the floating debt until a resource is created to cover it? If this is the meaning of deficit, the budget of extraordinary works did not leave on the 1st of January, 1848, a deficit at the charge of the treasury. The Minister of Finance adds most carefully all the expenses on this head, but he forgets to add up all the receipts. He reckons, in this deficit, 136 millions for the works on the Northern Railroad, but entirely forgets that two companies must and have commenced paying this the cost to the State! He reckons |