The following table shows how this 5-20 loan was placed, and the subsequent table shows the same facts relative to the British loan of former years: NUMBER AND AMOUNT OF THE BONDS ISSUED UNDER THE ACT OF JULY 17TH, 1861, AND FEB. 25тп, 1862. 3 year 7 3-10 per cent. loan. ber of those whose dividends in the half year did not exceed the sums noted in heads below: the Dividends due to Public Companies, or to more than a single name. Number of Persons having a direct interest in the British Funds on each Description of Public Stock, and on each Description of terminable Annuities, showing the num (Par. Paper, Sess. 1833.) *0063 *0013 The largest English loans were made in 1812 and 1813, during the wars with Napoleon and the United States. In these two years the British exchequer borrowed 534 millions of dollars, being an average of 22 millions per month. In these two years it raised from loans only 34 millions more than the United States Treasury raised in nine months. At that period the received authorities estimate the wealth of the United Kingdom to have been 10,212 millions of dollars. By the census of 1860, the wealth of the loyal States, deducting slaves, is returned at 10,716 millions of dollars. Both these calculations are doubtless too low, but they are perhaps equally so. They indicate nearly equal wealth in the two nations in their respective periods of trial. In England, then, as in the United States now, the business of the country was carried on with a currency below the par of gold. The premium on gold in Bank of England notes stood at 411 per cent. from December, 1812, to March, 1813. It had been at 38 per cent. from September to December, and averaged 30 per cent. during the years 1812 and 1814. Thus under remarkably similar fiscal conditions the Government of Great Britain borrowed much less than half as 'much money as that of the United States in equal times, and at an average interest 57 per cent. higher than the normal rate of her loans, while the latter pays but 20 per cent. increased interest upon the loans of the last two years of the rebellion, if 5 per cent. is taken to be the standard of government credit in its best condition. In 1813 and 1814 the United States Treasury sold $42,269,776 of 6 per cent. stock at a discount of $6,282,014, a little less than 15 per cent. In about twice the length of time in which these loans were made, the present Secretary, Mr. Chase, has raised about 900 millions on loan, for longer or shorter periods, which, if charged with the whole amount of discounts upon those negotiated below the par of 6 per cent., would amount to about one per cent. discount upon the principal at 6 per cent. interest. This result is based upon the fact that a large amount of Government notes was issued without interest and convertible into bonds at par. The rate of interest paid by Great Britain upon 3,309 millions of dollars borrowed between 1793 and 1816, and unredeemed at the latter date, was 5 per cent. and a fraction upon the cash received for all the stock issued. In 1815 a loan of 175 millions of dollars was made at 5 and sixty-two hundredths on the cash received. In four years of her largest borrowing she raised but 89 millions of dollars at these rates. Great reliance was also placed by that Government on taxes; thus in 1815, when the expenditures reached 555 millions of dollars, about 190 millions were raised by loans; thus more than three-fifths of the whole expenditures of 1815 was raised by contemporaneous taxes, and less than two-fifths by loans. In 1863 little more than one-sixth of the expendi ture of the Treasury Department was raised by taxation, and nearly five-sixths of the remainder was sought by loans. Nevertheless the fluctuation in English stocks was often very great. In 1737 stock was at 107, but during the rebellion of 1745 went down to 76. In 1781, at the close of the American revolution, it fell to 54; and in 1797, on the failure of a treaty with France, and on the occasion of a mutiny in the navy, it fell to 473. In 1854 and 1855, under the pressure of the Crimean war upon the exchequer, the average price of consols for two years was 85 to 861. When the exchequer borrowed 80 millions to clear up the floating debt of that war consols fell to 90, and the loan was taken at the equivalent of 87 on the hundred, at 3 per cent. interest, corresponding to 5 in the United States. The loans and conversions of old debts into new in two years and a half made by the Federal Treasury amount to 1,800 millions. Thus the operations of the Secretary during nearly three years show a gradual advance from a condition of great weakness up to the highest point of national credit. At the outset he was hardly able to obtain the insignificant loans necessary to the ordinary wants of the Government, and in some instances he was more indebted for these to the impulses of patriotism in the citizens than to their confidence in the national credit; now he commands hundreds of millions, the whole resources of the country are at his service; the enterprises of individuals, the capital of the banks, and the energies of all the citizens are subservient to the great necessity. At the same time the prosperity of the people has kept pace with the progress of the Government in its great enterprise, and has been more universally diffused than ever before. The foregoing table (on page 405) is an official statement of the public debt, made at the first of December, 1863: The following statement from the "National Almanac" exhibits the aggregate amount of New Jersey.. .1,227,444 10 Oregon.. Kentucky. Missouri... Ohio... Indiana.. 45,349 77 .$2,012,592 46 844,418 97 409,306 88 285,902 71 59,561 27 88,906 46 631,831 88 61,804 89 154,341 15 12,838 45 9,818 00 Utah 66 6,140 96 91,116 15 Colorado 66 21,078 85 .1,882,771 89 .1,184,825 90 Washington .8,217,480 72 The following table contains the prices of fifty-five leading articles sold in the New York market, as quoted in the prices current: PRICES OF FIFTY-FIVE ARTICLES IN THE NEW YORK MARKET. 29 Total.. 791 04 a 818 89 1,224 11 a 1,400 79 This comprises most articles of importance, and shows that the rise has been universal. Each article was affected, as well those of which the supply has been cut off by the war as those of which the supply has been increased by the war, like western farm products, which, losing their accustomed markets down the Mississippi, came East in greater than their usual abundance. If we compare the average aggregates with the premium on gold, and the quantity of paper outstanding at different dates, we shall have results as follows: 1,245 62 a 1,401,40 1,642 40 a 1,744 60 It thus appears that gold under a speculative action in February, 1863, rose too rapidly, and that the same speculative action was imparted to goods, causing their rapid conversion into paper money, which was invested in the gold interest bearing stocks of the Government. There was a reaction from that speculation, and as usual in such cases, the prices fell below their natural level, gold touching 25 in July, a fall of 47 per cent., while goods fell but 26 per cent. The recovery from that point was more rapid in goods than in gold, because the supply upon the market diminished faster. Consequently at the close of the year, 1863, the rise in goods was 110 per cent. over the value of January, 1862, while gold was only 52 per cent. The following table shows the closing quotations for gold on every business day of the year, also the price of bankers' sterling for every steamer day throughout the year: |