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Leader (1850-1860), 11th June 1859, Edition 2 of 3, Page 19, SOCIAL PROSPERITY. Tut! steady progress ...

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      . —•»-. . Panic At Bombay. The Late Acco...

      attracted to the pursuit of the metal . In such cases it commonly happens that while a , few individuals engaged iu the business make fortunes , the great mass npake- little or nothing . But , most people being sanguine enough to think that they will toe found in the fortunate class , the supply 6 f bullion may be largely increased , and its value reduced , even though the majority of those engaged in its production should be really carrying on a losing employment . " According to Mr . M'Culloeh , therefore , the quantity of skill and labour does not determine this value , ljufc some gambling propensity , and that the precious me tills , contrary ~ to all other things , may be .

      continually supplied in vast quantities , though the majority of those engaged in sending the supply to market should find it a losing employment . We iiave no intention to corroborate our own view by any detailed arguments , but we must say that Mr . M'GullocU ' s observation gives up the very principle on which 2 > oh " tical economy is founded . If gambling propensities determine the continued production and value of any one commodity , they may determine the continued production and value of all commodities , and all certainty will be

      banished from tlic science . It is only a science because the wants of man permanently recurring are of a definite amount , and can be supplied by a definite amount of labour and skill , and because those wants will always be most readily supplied which are ' more urgent or of winch the supply is most ' 'profitable . By a definite amount of labour and skill all exchanges are determined and all profit measured ; and if men will continue to labour without profit , or in a losing employment , there is an end of the rule which , according to political economists , determines exchanges .

      ^Commerciax.] Tifre Leader. 727

      ^ Commerciax . ] TIfrE LEADER . 727

      Further Fall In Discount. Again Tlic; Ba...

      FURTHER FALL IN DISCOUNT . Again tlic ; Bank of England , following the market , has reduced itsi minimum rate of discount from 3 | to 3 per cent . Capital continues to flow into England , and the demand for it continues slack . The war contributes to these effects by making the securities of other Governments less safe than those of our Government , and by interrupting old enterprises and preventing new ones . Almost everywhere commercial enterprise is checkedeverywhere doubt chills the ardent spirit which begins new undertakings , and the savings of past years are -found more than sufficient to supply the present demand for capital . As the war goes on , checking production and increasintr destruction , the balance will turn the

      other way , and as more exertions become necessary to supply what war wasted , capital will grow scarcer and money dearer . At present the rapidity of communication conveys the effects from avory enlarged commercial circle to the centre of the money market , and the rapid changes which take place here are the consequences of many smaller changes elsewhere communicated hither . That the rate of discount will not . in a short time , agaiu go as rupidly up as it did a month ago , and as it has since gone down , would be most hazardous to assert . We should think , accordingly , that any business arrangements now made for considerable periods , on the presumption that money -will remain at 3 per cent ., would be unwarranted .

      Social Prosperity. Tut! Steady Progress ...

      SOCIAL PROSPERITY . Tut ! steady progress of all social and private associations for tlio promotion of prudence , and the facilitating mutual advantages is one of the best signs of our times . It is in vain to attempt to separate political prosperity iroin social . All states that have done so liavq come to ruin , or undergone violent revolutions that have been ruinous fur the time . The source of public power must l ) C private energy ; and there can be no real public wealth without private prosperity . The gorgeous monarchies of the Continent have been proved but to bo whited sepulchres . The riches of the Spanish kings was but dust and ashos , 'when a nation of marauders supported the throne by the plunder of Mexico and Peru . The glory and show of Louis XIV . was but a gilded bankruptcy , and there are existing European monarchies that ro . it equully unstably on the forced contributions of an overtaxed people . England rests on no such hollow basis , but is supported on a foundation of real wealth , and is sustained by the indomitable energy and industry

      of all classes of her subjects . We have been led into these reflections by our attention being called to the annual report of one of the many assurance societies that do such incalculable service to the prudent classes . The , European Assurance Society held its annual meeting lately , and in another pai't of our paper will be found its report . It will be seen to be in a highly prosperous condition , for while it has accumulated a large capital , and acquired a revenue of upwards of £ 110 , 000 per annum , it is not , like some other of the larger Assurance Institutions , sluggish in its efforts to extend its interests , as during the past year the new business transacted produced a revenue which exceeds £ 15 , 000 . Any Company increasing its business and connections so rapidly cannot fail

      to achieve decided success , and prove beneficial to its policy holders . In fact , from a valuation of its assets and liabilities , as appears from the evidence given before a Committee of the House of Lords in March last / there is a surplus , after providing for all liabilities , of , £ 335 , 708 16 s . 3 d ., and if a division of profits were now to be made , there would be a sum of no less than £ 128 , 000 to appropriate as bonus , without cntrencliing on the resources of future years . We may therefore congratulate all the assured in this Company on Laving their interests so well protected by so much financial strength and thoroughly good management . Altogether , we may take the European as a happy sample of those innumerable commercial institutions

      which while they are almost peculiar to England , are at once a proof of her strength and her freedom . Nopossible paternal government could overproduce such , a mass of well-directed wealth as does the private and spontaneous energy of associated iudivklunlsin our insulated and free-trade land .

      The Money Market,, Though. Lower Than Th...

      The money market ,, though . lower than the rate of discount at the Bank of England , is not so easy as it was . People doing business with the IBank expected the reduction , ana now that it is made are sending-their bills to market , and consequently the demand for money has increased . In general , 2 per cent . is . given for money on call , and the best bills are discounted at 2 £ , arid from that to 3 per cent . A report prevails that the silk crops of France and Italy have failed , which will require large supplies of siJk from China , and . already preparations are making for sending silver in larger quantities to that countrv , which must be obtained by buying it on the contine ' nt with gold , and this is expected to have an effect on our money market . Rentes , too , in Paris , arc declining , in relation to the price of our funds , which will induce a fiow of gold to the continent , and

      contriopinion of the world cannot have chancged . Diplomacy has , in truth , incurred freah disgrace , and military power is repeating in Italy the spe tacle of useless slaughter which in the Crimea—wearying , disgusting , and horrible—was hidden as soon as possible behind a patched-up peace . Probably , affairs may again arrange themselves without much aid from diplomacj ' , and the destruction in Italy of the armies of two despotic Governments may be of all things the most favourable to peace , freedom , and prosperity . The . Bank of England returns , which we subjoin , will show the reasons which induced the Bank to lower its rate : — BANK OF ENGLAND . An Account , pursuant to the Act 7 tli ami Sth Victoria , cdp . 32 , for the week cndiiiff on Wednesday , the Sth day Of June , 1 X 59 : —" . issue department : Notes issued £ : Jl , 741 , Si ) O cioverainent Debt £ 11 , 015 , 100 Uther Securities .. : 3 , 4 o ' . ) , UOO ' Mold Coin & Bullion 17 , 200 , 800 Silver Bullion j £ : Jl , 741 , S ! M £ 31 , 741 , 800 BANKING DEPARTMENT . Proprietors * Capi- Government Secutal £ 14 , 553 , 000 ritios ( including Rest 3 , 160 , 157 ' l > ead "Weiffl . it Public Deposits ( in- Annuity ) ... . £ 11 , 281 , 370 cludiii" - Kxchc- Other Securities .. l » , 049 , W 12 quor . Saving's' Notes 10 , 607 , 545 Bunks , Coiumis- Gold and Silver sioncrs of ' [ Na- Coin 000 , 097 tioiial Debt , 'and ¦ Dividend Accounts ) . 7 , 210 , 397 Other Deposits .... 15 , 042 , 702 Seven Day and other Bills 74 S . £ 41 , 0 ' ^ P , 830 £ 41 , 029 , 830 31 . M VBSHALL , Chief Cashier . Dated June 9 , 1350 .

      bute to harden our money market . It is not expected , therefore , to decline any further , but rather to go upwards . In addition , the late observations in the House of Commons concerning ; our finances have given rise to the opinion that a loan will be necessary , while the probability of the war being protracted in Italy makes it be supposed that money will bo much wanted to carry it on . Jn the Stock Exchange to-day , notwithstanding the reduction of the Bank rate of discount , there was no activity . Through the week the funds have shown a tendency upwards . To day consols opened rather flat at 03 . } , ' but became firmer , and were afterwards done nt 03 J and 04 . At the close they were not quite so good . Iomorrow they will he closed for the dividend , atter winch they will he quoted ex-dividend , and appear at o lower fleure . Other species of stocks and railway shares are

      MONEY MARKET & STOCK EXCHANGE .

      all firm . In railways there has been increased business , at butter prices . In some foreign stocks , too , as Turkish , the prices have improved . Ifnot well known that non-political cauara influence thomonoy-markot . and consequently the Stock hxclmnge more than political causes , it mig-ht bo interred from the rise of the funds in the week , that , the events in Italy ore oxflctly what dealers in the funds wish for . Nor would it bo surprising should men of businoss , whoso brand in taken out of their mouths to feed soldiers , rognrd with satisfaction the great nnd mutual destruction ot their oaomies in Italy . Already loss of officers and mon on both siJes , followed by no great advantage to oltliev belligerent , aeoms precisely the condition in which ( peaceful men may hope for success in npponling to thorn to lay down their arms . As military irlory becomes merely an

      artistic and hateful dribbling In blood , tho radiant glory of peaceful industry will increase , nnd trndera , manufacturers , nnd money dealers will speak more authoritatively to emperors , morshalls , nnd fronomls . There Is a general desire in all tlno markets oj Europe fox tho restoration and preservation of pcaoe , and nothing can bo more favourable to it thnn disparagement of military prowess . Again a time is como lor men of buelnoss to make good their opinions agalnat thto men of diplomacy and tho sword . Not long Hgo those hnd fallen into disfavour . Secret diplomacy was unevenly divided , and military power was spoken of us merely wasting tho strength or nations . Tho former nddoil not to Ut ) honour and its strength by drifting l « to the Ituaslnn war , nor did the latter gain any laurai * by tlio manner in which It was conducted . AH at onoo tlio

      Prices Of T He Principal Stocks, Shares,...

      PRICES OF T HE PRINCIPAL STOCKS , SHARES , AMD COMMODITIES AT THE CLOSE OF THE MARKET .

      Last This Week "Week

      Last This Week "Week

      Stocks. 3 Pet Cent. Consols—Money 03i 94...

      STOCKS . 3 pet cent . Consols—Money 03 i 94 Ditto" Reduced 9 ~ 92 £ Ditto New .............. £ - '; 03 Jianfc Stock ., •• *« i ¦ 219 $ India •» -. .. Exchequer Bills Canada Government 6 per cent >• New Brunswick Government 0 per cent New South Wales Government 5 per cent . ... ¦ .. South Australia Government 0 per cent .. .. Victoria Government 0 per ceut . Austrian Bonds , 5 per cent ¦ • Brazilian Bonds , 5 per cent l « ° French Itentes , 3 per ceut Mexican Bonds , 3 nor cent 18 J Peruvian Bonds , 4 £ per cent • Spanish Bonds , 3 per cent 4 J _ .. Turkish Scrip , 0 per ecut 02 < o RAILWAYS . Bristol and Exeter «* 0 ? Caledonian - /'„ 78 Eastern Counties fijr o * i East Lancashire rf . , *>• Great Northern t ™ * 00 „ Western ! > -n g * Lancashire and Yorkshire *< t 8 S London and Blackwall «» 4 . «» London , Brighton , nnd South Coast 1 »« 1 W 8 London and North-Woatom W ° H London and South-Western »«' ? 'J Midland , »? . »«} North British £ » A Mk North Staffordshire 1 $ 4 j |« Oxford , Worcester , and Wolverhampton .. f > 41 South-Eastern <> /* «»• * South Walca .. ° - ol Bombay , Baroda and Central India ... 1 ° 5 !<> £ Calcutta » nd Soutli Eastern P' » r Eastern Bengal l « ¦** East Indian ¦ * 10 J Groat Indian lVninaula , U » i v 8 Madras « •• . Hcinrlo : l Yf Bull ' ulo und Laki ; Huron * i " 4 firiuul Trunk oi" Canada •»>![ •«» Clruat WoHturn of Canada I'J 1 J I Antwerp and Uottordain ^ i .. If . Dutch llhonlsh "f O 9 J ? Eastern of Franco f > "ls . Groat Luxemburg «• '' y . f Lombardo- VonetJun ] "a Northern of France ;"' j £% PttriB , Lyons , and MocUtorranean >» f * *| Piirln nnd OrWiin ^ Y . M Southern of France , ' ** , * , 'f Woutern and North- Won torn of l'Vnuov .. « 0 J -. 04

      Pout Of London.—Tho Business Of Tho Port...

      Pout of London . —Tho business of tho port during the past week has boon rather Inactive .., Pho number of voseols announced inwards at tho Custom House amounted to 152 . Thoro wore five from Ireland , ami forty-ono colliers . Tho entries outwurd . 1 amounted to 120 ; and tlioso cloftrod to 110 j besides eleven in ballast . The departures for the Australian colonies wore flvo vessels , viz ., one to Adelaide of 540 tons , two to Port , Phillip of 1 , 019 tons , one to Sydney of 751 tons , and ouo to Now Zealand of 805 tons j mulling a total of 3 , 721 tons .

  • Citation
    • Leader (1850-1860), June 11, 1859, page 19, in the Nineteenth-Century Serials Edition (2008; 2018) ncse-os.kdl.kcl.ac.uk/periodicals/l/issues/cld_11061859/page/19/