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Lae diegrammea auivanta illuatrant la mAthode. 12 3 1 2 3 4 5 6 z/;/^ EVERY MERCHANT, EVERY BANKI EVERY/kEAL ESTATE DEALER, tVERY SHIPPER, AND EVERY O^E UVING .IN, OR DOING BUSINESS WITH THE WEST, SHOULD POSSESS A COPY OF THE NEW COMPILATIOir OF The Statutes of Illinois, JUST PUBUSHED BY D. B. COOKE & CO., /n eompUance tdth *d Act of the Ltgidiatnn. The work contflns over 1 500 pages, bound in very strong law sheep, aod is fumiflied at die following low price : t ITT-Tl pains or ( inthiaw •nd inde: ThU e< DMiedat ICT-Ki in UN, fti th« work wiilch an Court b«) foUowi : "Wet and publ exaoutioi the parol B. Scatea l^pring Ctbrarg KINGSTON, ONTARIO ark Uiat no oyer iiaaed i of content* (eneral law* ijt the work execution of but the law the Suprenu reeeired, aa Blaokwiu, i mechanical ' An Act for Hon. Walter 567.' " ON, NNBR, IRBB8B, tfH* Ootirt, ALSO PUBLISH Blackwell on Tax Titles, A Practical Treatiw on the Power to Sell Land for the non-payment of Taxes asMMed thereon, embracing the Deeiiloni of the Federal Conrta, and of the Supreme Judicial Tribunala of the wTeral Statea. By B. S. Blaokwiu, of the CUoa^ Bar. 1 vol., 8to. 800 pages. S6.60. FkEEMAN's Illinois Digest, Being a ftiU and complete Digest and Compilation of all the Decision* of the Supreme Court of the State of Illinois, flrom Brreae's Reports to the 16tl) rolume of lUlnoi* Beportt, ineln- stre. IroyalSfO. TOlumes. Iaw sheep. SIO.OO. The Illinois Reports. Breese's Beporta, 8 6.00 I Oilman's Reports. StoIi 926.00 Scammon's Reports. 4to1b. 20.00 | Peck's Reporta. Srols 40.00 IN PRESS. Freeman's Xllinois Fomui, Pleadings and Practice, An Indispeniable Hand Book for cTsry Lawyer, Olark, Sheriff, and Business Man. p. B. COOKE & CO., Publiahera, Chioago. ^\vVS tt££ttttfefiA«MMMiMMtM PRINTING AND BINDING. m^» «^^ »^^i ' OHA8. SOOTT & OO. ! BOOKAND JOB PRINTERS STEREOTYPERS AND RINDERS, (HILI.IARD*t ILOOK,) Corner Clark and South Water Streets, CHICAGO, ILLINOIS. Ml, |fl wl Jsiiri €m^ PRINTINa IN EVERY VARIETY OF STYLE. t |UR SACILITIES are sneh that Books can be Printed, (Stereotyped, if Desired,) and Bound, without having the ett^tbltMhrnait, enabling as tnns to accomplisli ranch saTtng of time and expense to publisher*, as well as to pro* daoe a superior quality of work, crerything being undff our own immeaiate supervision. HOOK nxMusnfG A.NT) rxjlhstg. Periodicals of any Publication bound in the most ftncy or substaBtfal styles, in Calf, Extra, Oilt Morocco, or in the SPLENDID ANTIQUE STYLE. 07*BlaQk Books Buled and Bound to any Pattern. » » » > >yo^»ip^^jS^^ggi»i^^^^^ iTy » i '^^f'i^^i^i!SS!iSt9w^'9wif^99ir WmUm«m, TBI BBrBSSBlTTATiySS OF THB INTKBSBTB IMTOLTBD, ran HUMBLB CONTBIBUTION TO THB LITIRATURt OP INTERNATIONAL TRAOB, n RMPMtnnxT moaoiD IT TU AUTHOR. 686i'l PREFACE. No apology is needed, at the present time, in bringing the subject of international trade before the business public ct the United States and Canada, as the people of the latter country are now warmly engaged ranging themselves on the dde of protection or free trade, and there are strong indications that the people of the United States will promptly follow suit. The English reader will bear willingly with the applica- tion of fomiliar principles, where the mterests of his conntiy are in- volved, and whatever, therefore, the demerits of the matter of the following pages, either in ezpresoon or in thought, they come before the public at the proper time ; and it may not be out of place to say, that the writer, however tedious and inelegant his expositions may appear, has had the benefit of several years' experience in the practical work of the international trade of the countries of which he speaks. He has sought to give expression to his own thoughts in an unreserved and homely way, feeling satisfied that it is essential to be understood, and that a fundamental treatment of the subject matter is indispensably required. The chapter on OanaSian trade, embraces the Reciprocity and Pro- tection agitation that is going on in Canada ; and Canadians are to understand that the writer is without partiality either to their country, or to the United States, or to England, and not identified with any class ^r interest. The same remark applies to the last chapter, in which the relative advantages of different routes from the West to the Seaboard, are freely canvassed. There is no other end in view than that of stating things as they really are ; and if injury results to any interest, firom that being done, the mass at least will reap the benefit. It is high time that American capitalists on the seaboard, and the grain and provision and shipping interests of England, were informed of the outs and ins of Western trade, and in an especial manner brought into more immediate 8 PBEFAGE. sympathy with Illinois. Here, at present and in all time, is to be found the greatest aooomnlaiion of human food, raised with the least expendi- ture of capital and labor, and yet that aecomulation finds its way to shipping ports, in a manner calculated to keep production down to the lowest point. It is not controlled by large capitalists, nor taken in exchange for imported articles, but finds its way by repeated handlings to the seaboard. That practice must be changed, and it is by writing and agitation that it can be done. What has built up New York and eveiy other great conmieroial centre, but direct communication with other countries? and what but that can develop fuUy the productive forces of the West ? We want the cottons of Manchester, the stuffi of Bradford, and the silks of Lyons and Spitalfields, put down where the wheat and com are grown, and while we would then have these manu- fixtures cheaper, our wheat and com would be received by the foreigner on better terms. The West and Chicago are ripe and able for European enterprise, and for the opening up of what ultimately will become the best European market in the United States ; and the writer's object shall have been attained, if, with the enunciation of sound principles of trade, he has aided in directing attention to a neglected but mutually advantageous field of international intercourse between the Umted States and Europe. Exception may be taken to the low producing cost of wheat in Illi- nois, but the statement is made advisedly, as I 111 i Pi English level, the manafactores of Belgium and France and HambArg violently ooUapsed, and general suffering at once followed. This, we. Inust admit, is rather an old instance, but it is not less conclusive on that account. Like- effects follow like causes in all time, ahd it would perhaps be difficult, in the whole range of history, to find an instance more free from disturbing elements, and less susceptible of doubt. Eighteen hundred and thirty-eight occupies a position midway between the revolutions I of '80 and '48, and general contentment and prosperity prevailed. England was then self-supporting, growing all the wheat and grain that was consumed, and the continent of Europe was doing the same. So much was this the case, that in 1830, wheat was one price in Britain, an- other price in France, and another in Dantzic. In the first- named country the imperial quarter averaged 64s Zd; in France 4l5, and in Dan^c, only 34s M. In 1837 the same irregular rates were ruling : wheat in Britain was 55s lOd ; in France 41s, and in Dantzic 29s. All at once, in 1838, the English harvest failed, and the price of wheat advanced promptly to that point which admitted of the continent en- gaging in the trade. Wheat, and other cereals in propor- tion, started everywhere to that level which admitted of a mere average profit on the shipping trade. The French, the Flemish and the Prussian laborers now found their little in- comes insufficient to provide anything beyond the staff of life ; and unprecedented difficulty accompanied a large influx of the precious metals ; and some years elapsed before the manufacturing and trading interests regained their former vigorous and healthy state. Difficulty in England then forced English manufactures into every market, irrespective of all protective duties that prevailed, and until that game was played anr" rroro pi\ pitious seasons had come round, every interest Wu6 sacrificti^d everywhere, in the meting out of a deficient stock of that great necessary for which all will make any sacrifice. V BALANOB OF TRADE. 2T ^ 8. Another popular misconoeption is that known as th^ theory of the balance of trade ; or the means of making a nation rich, and preventing it from becoming poor. This theory is not a modem one, but of very early date, and is based on the assumption that what a nation gives to otherii, those others have to pay ; and what a nation gets, has in the same way to be paid ; and the only way, therefore, for a nation to increase in wealth, is to give more than it receives ; in other words, to export more to foreign countries than it imports. The difference between the exports and the im- ports is the balance of trade, and is said to be in favor of or against a country as the exports or the imports may happen to prevail. . The following table gives the aggregate exports and im- ports of the United States since 1850 : SKDINO JCMB 30. TOTAL BZPOBTB. TOTAL IMPOBTS. dmio't imposts. 1850 $151.8 $178.1 1851 218.3 216.2 $S.l 1852 209.6 212.9 1853 230.9 267.9 1854 278.3 304.5 1855 275.1 261.4 13.6 1856 326.9 314.6 12.8 1857 362.9 360.8 2.0 Totals, $2,053.7 $2,116.4 2,053.7 $62.7 $30.0 Non.— The totel Tidue of the import! from 1789 to Jane 80, 1866, wm t7,a97,6«l,::)6; and the total Talne of the ezporti for the same period, 86,497,M1,896 ; ahowlng, aoeorduig to the balaoee theory, that In uie foreign trade we hare been lonng all along. It is scarcely necessary to observe that the figures in the above export and import table are millions and decimal parts of millions. The figures $151.8 are to be understood as signifying $151,800,000. The excess of imports for the period is therefore sixty- two million dollars ; and according to the theory of the bal- ance, that is the full measure of our loss, in the prosecution of foreign trade for the past eight years. We would be I' II: 1 1'! 11' hi; 28 HISGONCEPnONS AB TO THE ftirther told, however, that our trade daring the past three jean had been QuccessAil, the balance in our favor being no less than thirty million dollars. These deductions, we need scarcely say, are not borne out by facts. With respect to the three past years, we are more likely to have lost than gained; and with respect to the five previous years, the probability is, that the trade left us a handsome profit. It is most unlikely that a large increasing inward and outward trade, should be prosecuted for five years without it^ paying, when capital was abundant and so many ways presented themselves in which money could be made. Then in these three years in which our imports leave a thirty million balance to be drawn against abroad, there is reason to apprehend that the trade was forced, in consequence of the stagnant state of the home demand. Eighteen hun- dred and fifty-five and subsequent years were, as we have already seen, years of high priced food, and as a consequence years in which agricultural products absorbed an undue pro- portion of the national income, and left little for investment in manufactured articles, and forced these articles into for- eign markets, to be realized promptly at whatever they would bring. The reverse, therefore, of the theory in reality ob- tains, and the foreign trade of 1850 to 1854, was the period in which advantage was likely to be gained, even although our imports were then so largely in excess. Foreign trade, like domestic trade, has for its object an increase of those utilities which all desire, and how any in- crease could be made if we were t^ receive really less than we really ^ve, is not easy to understand. If we send a thousand dollars' worth of wheat from Illinois to Liverpool, and it nets two thousand dollars, the thousand dollars' profit which we would receive, would stand against us if the theory of the balance were to be believed ; and in the case supposed the nearer we approached to receiving nothing we would be the better off. With that doctrine it would be also difficult to reconcile the utility of a fishing expedition to the Southern ocean, which would possibly involve the receipt of one or two hundred thousand dollars* worth of oil ; or a trading V BALANOB OF TBAIM. S 29 voyage from New York to somewhere else and back, whioh; quintupled the amount of capital originally embarked. Such a theory is therefore quite absurd, and quite unworthy of the intelligence of the present day. But there is another and more convincing groimd of con^ demnation of this flimsy system, whioh has so long deluded people, and whose vestiges and spirit are still living in France and other parts of Europe, and to a certain extent among ourselves. That is the utter worthlessness of all statements of exported or imported values. Not the slight* est reliability can be placed upon them, and such being the case, all legislative policy so grounded must be erroneous ; and all efforts in that kind of way to arrive at the knowledge whether we are making an accumulation or diminution of those utilities known as wealth, are absurd. To make this plain, it is only necessary to inquire into the working of the system of foreign trade. A firm in New York, a firm in Liverpool, and a firm in Havre, agree to engage in the American trade ; or what is not unusual, a speculative indi- vidual opens in New York as William Jones & Co., in Liver- pool as Jones & Co., and in Havre as simple William Jones. To start this triangular kind of system, in a responsible looking sort of way, the New York firm opens a credit with Duncan, Sherman & Co., for the firm in Liverpool ; and with the Bank of the Republic for the firm in Havre. The New York ar- rangements are then in trim. Meanwhile the Liverpool and Havre firms have been at work, credits have been opened in Liverpool with the Royal Bank and the Bank of England, respectively, in favor of the Havre and the New York firms ; and in Havre the New York firm is accommodated on a Jew, and the firm in Liverpool on the Bank of France. The circle is now complete, and businesss is started in a spirited and imposing way. Now mark what follows, in nine oases out of every ten. These credits are at once stretched to their ut- most limit, and the credit of each firm written besides upon as many bills of lading as can be sold. The priiK^iple laid down and acted on is this, that a certain amount is to be shipped and drawn for every month, irrespective of the state 80 mSOONOEPTIONS AB TO THE nil ' !l>l| i ! I ! ! !i m\ of the market at either end, it being conceived that disturb* ances in the profitable relations of demand and supply will be only temporary, and that it is safer to calculate on a gen* oral ayerage profit for the year, than to regulate transactions by quotations at the time. This policy accounts abundantly for shipments and Importations being made in the worst of times. The fact is, that once a stupendous business system, such as those in the foreign trade, is set agoing, it cannot stop, unless for the purpose of presenting to its constituents the alternatives of extension or liquidation. Bills are maturing and can be only met by continued operations, no matter although dry goods are unsaleable in New York, unless by retail ; and although cotton presents no margin in Liverpool or Havre, and has a declining aspect. These considerations do not weigh in the balance when the questions of existence and bankruptcy become involved; and the losing game is boldly played. Now we .'would ask, what light can possibly bo thrown upon the condition 6f the nation by an examina- tion of the exports and imports of the year, when such prac- dcQS obtain ? The cotton shipped at New York anrl New Orleans, and entered at 10 cents a pound, may not be worth that on reaching Liverpool or Havre, and when landed there it may be advanced upon, and sold ultimately to some one who perhaps does not pay. In settling up, such a transac- tion would be expressed as nil for the United States, although when shipped at New Orleans it was written down at a mil- lion dollars. Then a million dollars' worth of silks may be received from Havre, and to cheat the revenue, the foreign invoices are adroitly cooked, and the import table does not bear the fair market value at the shipping port. But these silks are sold, and as sometimes happens, are never paid, and as a consequence the house in Havre is not credited with a dime, and the import value is never paid. Such is the modus operandi of perhaps half the foreign business of the world ; the other half being conducted in what is called a legitimate sort of way ; and seeing how closely and how intricately one country interlaces itself with every .other, it is simply "impossible even to conjecture how BALANOE TBADI. 8f we stand with aaj nation, or hoW my nation stands with us. < The large imports we have been receiving lately, and the large exports we have made, turned out, in the one case daring the revulsion, to belong in part to France and Eng- land, and in the other, to belong to us. France and England; were shipping to themselves in the United States, and the United States to themselves in Liverpool and Havre; thus demonstrating the futility of ever attempting to unravel the tangled web, and to render official trading tables of little use. One of the great objects of the theory of the balance of trade, was to enable a nation to see precisely how it stood, so that what was considered an approach to an unfavorable balance could be promptly checked ; or a balance raised, and specie drawn to such extent as might be desired. Wlien, therefore, a country was sending in more stuff than it was taking off, as in the famous instances in the William and Mary time, some effective steps were taken in the form of duties, or otherwise, to correct the evil, and, when con< sidered necessary, bounties were freely paid on exportation. Now, so far as controlling the movement of specie from another country is concerned, that depends on the state of the exchange ; in other words, upon the extent of the demands which one country may have and can make upon another. If the demands of both are equal, then no bullion will be passed ; and even if unequal, no bullion will be passed unless bullion is (he cheapest commodity that can be sent. Suppose that the excess of the value of the bills or claims drawn by New York on Liverpool were $1,000,000, then the question for Liverpool is to find the means of discharging the differ- once in the least expensive way. If commodities costing $999,000, but worth $1,000,000 in New York, were sent and drawn for, then the difference would be settled satis- factorily; the United States receiving ' what they were entitled to, and England reaping the benefit of such natural or acquired advantages as it possessed. If, however, no merchandize could be sent with the reasonable prospect of realizing cost, then a specie shipment would assuredly be the 82 msooiioBPnoifB ab to tbb I :i II pill m I r ilM best, and the drafts being for yalue, in fact, in the case of produce, it may be for greater Talue than the purchase price, no disadvantage wonld be entailed on Enr land, but the United Statias, instead of reaping increased bonefit from the specie, wonld, in reality, only have the bare price for pro- duce which would have been paid at homo, while, if merchan- dize had been received, another profit would have been gained. Then it is to be observed that representative as well as real capital enters into the exchanges between natious, and is of sufficient magnitude to destroy the theory of balances, even if its principle were as strong as confessedly as it is weak. The stocks, bonds, mortgages and debentures of all unrepudiating states and nations are saleable on the London Stoek Exchange, and when sold there, constitute as effective demands upon the floating capital of England, as the bread- stuff and cotton bills, of New York and New Orleans. It is worthy of note, also, that these securities can be returned upon their makers without regard to what England may be really owing for grain or cotton, and retake all the gold that has been acquired. It is, also, a well known fact that the operations or wants of the United States in the other hemisphere, necessitate at all times the opening of credits with London bankers, and considering the real or possible extent of such transactions, any trimming of the imports, with the view of keeping the exchanges in our exclusive favor, would he liable, at any moment, to be overturned and set aside. Not a single straw returns from the outlays of the government, in its court and consular appointments, or the movements of its ships of war ; and the expenses of one year may be doubled in another. The theory of the balance of trade is erroneous, therefore, and in no sense whatever is it of any use. A nation, like an individual, must get more than it gives, import more than it exports, or trade will be a losing game. Then, as to making international payments, it is unnecessary at any time to open up the national ledger. The exchanges are not regulated on theoretical grounds, but by the matter of fact demand and INFLUINOB OF BANKIMO. 88 supply of bills. If bills are plentifal on Baro|te, then th^ exchange is low aid in &vor of the United States, and vice verta. These bills may not be drawn against what it known as trade, but against bonds and stocics of the United States sold in England, or against legacies and payments due to parties here. Bills on the United States may, on the other hand, be drawn against the disbursemMits of the American government, or against the disbursements of American citi- zens in any part of Europe. The balance of transaetions has, therefore, no concern with the rate of the exchange. ^ 4. Another misconception, closely identified with the first, which we have named, is that which relates 4o banking. It is v6tj generally supposed that prosperity and adversity are con- tingent on the action of the bunks ; and that a real specie basis, and large unemployed reserves, are only needed to prevent difficulty and disaster in the future. Now when it is consid- ered that the bo iking capital and deposits of the nation form but a fractional part of the whole national capital, and be- long, in the deposits, to the mass, and not to the bankers, these opinions must be largely modified. According to the report of the Secretary of the Treasury, the paid-in capital of the whole fourteen hundred banks, in the United States, amounts to only $870,000,000 ; a sum a few millions short of what the United States paid for wheat in 1857; and $125,000,000 less than would have been paid, if wheat, in 1857, had been the same price as it was in 1855. The real iafluence of banking ?s therefore trifling ; its actual measured value being no greater than a crop of wheat, valued at a fair average of prices ruling in years of dearth and plenty. How then can it possibly be so omnipotent as is generally believed ? In times of stringency, we admit, that traders do not have the same line of discount, and as a consequence, sus- pend payments ; and that these suspensions constitute a crisis, and so on ; but we deny that stringency is brought about at the mere will and pleasure of the banks. Bankers*, as a rule, do not use their means, but lend their means to others, and if these means are used unproductively, and are not in the mean- 8 84 MISCONCEPTIONS AS TO THE Ml' time replaced by the income of the country, then means or float- ing capital is scarce ; and i)eing scarce, the sums on deposit in bankers' bands are reduced, and a positiye Inability to lend to the prefvious Extent, is the stem truth told the banker. Who is responsible ? Not tlte banker surely, as he has not laid out or absorbed the means : but the people, or the seasons. Let a banker curtail his discounts, when times are good, and what he withholds will be taken from him in deposits ; and let him be indulgent, when the income of the country has been ab- sorbed or wasted, and all his treasure will only form a mouth- ful. This principle admits of easy explanation. Bankers, though the principal are not the exclusive lenders of monied capital^ but private parties having a surplus, in other words, having deposits at their bankers, compete to a greater or lesser extent, in making loans, according to the circumstances of the time. Supposing that unemployed capital were abun- dant in the country, and bankers resolved to reduce their loans. This course would render them careless about increas- ing their deposit stock ; and accordingly a very low rate of interest would be allowed on deposits put into their hands. Depositors would then look about for a higher rate of inter- est than that allowed by bankers ; and would find that, in the bills thrown out by bankers in the contracting process. The contraction or stringency would be therefore nominal, and borne only by the weekly statements of the banks ; and in reality would not exist out of doors. Every one with good security to ofier, would be supplied to the same extent pre- cisely as if bankers had made no contraction of their loans. In this way the whole discounting business of the country might pass into other hands ; but bankers would find that the contracting process would not do, and very speedily relax their hands, and take the leading part again in this depart- ment of their trade. So much, therefore, for the talked-of power of bankers to crush the country, when the humor takes them. A more egregious fallacy was never entertained. On the other hand, supposing that the floating capital of the country had been absorbed freely, find there was an active inquiry for that portion whioh bankers stiU possessed, what, INFLUENCE OF BANKINO. 35 we would ask, conld bankers do to meet the crisis ¥ Sapposh ing that they did not advance their rates, in other words, did not contract their loans, what follows ? Every weekly state- ment becomes more gloomy than another, as the amount of treasure becomes diminished ; and depositors taking fright, make a run, and suspension is promptly brought about. But supposing that rates were advanced, and the " screw'' adopted, the practical issue would still be the same, and bankers as powerless to fill the vacuum. The country would be in the position of a man called upon to pay a doUar who could / raise fifty cents only, and the consequences would be the same. His note of hand would be worthless for the present; and so would be the promises of a Wall street banking house, to pay, in the case supposed. If this were not so, then why any crisis or revulsion, or any clogging of commer- cial wheels at all ? But not only is a banking system necessarily passive in its operations, and of less account than a crop of wheat ; but contrasted with the aggregate value of the real and personal estate of the country, its amount, as we have already said, is fractional and trifling. Prom the recent reports of the Sec- retary of the Treasury we take the following items : June, 1856, Real and personal estate, $11,000,000,000 Jan., 1857, Total capital of Banks, 370,000,000 Jan., 1857, Total deposits of Banks, 230,000,000 Jan., 1857, Total circulation of Banks, 214,000,000 Jan., 1857, Total loans and discounts, 684,000,000 Jan., 1857, Total specie of Banks, 58,000,000 Here then, we have the real and personal property of the United States put in at eleven thousand millions, and the circulation of the banks at two himdredand fourteen mil- lions ; a sixtieth part of the former sum. Now considering that real and personal property are convertible into other things, and into gold, the presumption is, that no greater amount of circulation than what we have named is really wanted, as the least inconvenience would have called into existence a further sum. That is all that is really needed, and all that can be forced upon the public, even although six 86 msooNOEPnoNS as to the li I'i! U U il f : ill'!;. liiiili hundred and eighty-four millions, in the form of loans and discounts, have been paid away. Was ever popular error more conclusively exposed ? The proportion of the circulat- ing medium to the real and personal property of the country, is a sixtieth only ; and that, at a period of undue inflation. That amount sufficed to do the business of the country ; and a larger sum would have done it, not a whit the better. What difference is there in the position of the business of two New York bankers, one of whom avails himself of the clearing house, giving or receiving the trifling balances of the day, while the other collects and distributes, each and every item in its individual and aggregate of notes or coin ? and what difference, if the circulation of the United States were reduced a half? What difference, in point of fact, if, coin and notes were abrogated, and the clearing house, recording and offset system, brought down to the lesser transactions of daily life ? Start a bank in Chicago with a capital of a million dollars. The proprietors do not pay their shares in gold or silver, or in anything possessed of intrinsic value ; but in the notes of other banks. The capital of the bank consists, therefore, of claims on others; and ;,he capital of these others, consists, it may be, of claims on New York; demonstrating at every turn that money is not the foundation nor the prop of the business system, but a mere auxiliary or comer stone. It is easy to account satisfactorily for the confused and crude notions that prevail generally on banking subjects. Money is the great object of desire to young and old, and the clear, intelligible way in which it is acquired, and afterwards exchanged for something else, has made inquiry a work of supererogation; Every one saw the whole matter at a glance, and respectfully declined to be enlightened, or to seek further information. " Give us money," it was said, " and we will get the rest;" and who has not heard the proverb that " money make? thQ mare to go." At one period it was believed that there was a certain amount of money in the world, and that trade was neither more nor less than a scram- ble for it ; and that what one nation gained, another nation INFLIUNCB OF BAMEINO. 87 scram- nation lost. The discovery of the California and Australia mines] and the paper money substitute, rather injured that theory, and thinned the ranks of those who entertained it ; but the benefit and felicity of lots of money was someUiliig whiqh only fools or madmen could dispute. What but money ptit the laborer to work, and found him in the necessaries and decencies of life ? and what did the trader and the merchant scheme and strive for? Money, therefore, was the great object of desire, and tens of thousands at the present time, cannot hear of specie shipments to other countries, withoM lamenting the ignorance and delusion that prevent the gov- ernment from forcibly retaining every dollar within the country, and straining every nerve for the indefinite augmen- tation of the stock of gdd and silver, and the manufacture of paper bills. This, ho^^ever, has not been the only form of error on the subject. The fallacy of an indefinite multiplication of paper money has given way only to that of a multiplication on a "specie basis." Give us currency, it is said, but let it be secured. When Illinois is overflowing with wheat and corn, . and New York and Liverpool are scantily supplied, "let notes issue against the crop," and each and all participate without let or hindrance in its movement to the seaboard. Very little reflection is needed to show the impracticability of such a scheme. The farmers cannot issue notes without , becoming bankers ; and bankers could not issue notes without the wheat. Antecedently, therefore, to the issue of the notes, the wheat would be moved, and the notes would not be needed. But supposing this difficulty overcome, and the wheat crop of Illinois represented in paper money, that its movement might be secured. What then ? Is the money to be scattered broadcast without value being received ? If so, then the money costing nothing, will be possessed of little value ; and if to be issued like other paper money, wherein is the advantage to be derived ? As things are, wheat or any other produce article, can be purchased on its own security, for a given period, and currency obtained to make the pay- ment. The hue and cry for currency, that produce may be 38 MISOONOEPnONS AS TO THE I IH' moved, is a mistake, therefore, and something else is in reality required ; and tiiat somethii^ else is to be found in an improved feeling in the future, and more confidence between man and man. A specie basis, instead of a wheat one, would not mend the matter, fi» it is not currency bnt confidence that is required. Supposing that A. buys &om B. one thou- sand bushels of wheat, and has to pay B. one thousand dol> lars. B. possibly draws the money from banker 0., and on A. receiving it, he forthwith makes a deposit with banker D. Banker 0. has so much less funds in hand thati he had, and banker D: so- much more ; but another business operation, by other parties, may retake the same money from D. and put it temporarily into wheat again, and then replace it into the hands of 0. Money therefore performs a ceaseless round of services ; and it is a mistake to fancy that one sum can only discharge a single function. The fact rather is, that the identical circulating medium of the time, if worth preserving, and incapable of being destroyed or worn, by repeated hand- ling, might operate the business of the countnr, without the least inconvenience, for the next hundred years. - To be sure, the circulation in 1858 was almost double what it was twenty years ago ; but nothing has yet been done in the way of clear- ing western issues. These, instead of being deficient are largely in excess ; and no better services could be rendered than to cut them down. What is really practicable, on a specie basis, is the protec- tion of the paper money which the public have in hand. That is the limit, and that limit being transgressed, the miscon^ ception of which we speak occurs. In a community or coun- try where the practice of daily^ or even weekly, clearances obtains, just as in a community or country where such a prac- tice is unknown, there is an almost fixed sum, always out, either in transitu, from the issuing to the clearing point, or kept in perpetual motion, as in Illinois, making few and far between returns to the place whence it came, and that sum it is only needful to secure. To go beyond that point is unne- cessary and absurd, as what a bank issues in excess, is either held by other banks or returned ; and no puUic risk is run. INFLUERCB OF BANKING. 30 Betorning to oar table, at page 35, we find the fioUowing a^ the circulation, and protecting specie of the banJcs in the United states in January, 1857 : $214,000,000. $58,000,000. i A large accomnlation of specie is therefore needed to bring up the circulation to a specie standard ; and until that is done we may well spare ourselves anxiety as to keeping out a still greater sum. Our next care should rather be to devise means by which deposits should also \^ecome secured. These cover a larger sum than the circulation, and if dissipated by bankers, or recovered only after a tedious process of liquida- tion, the injury to society is not less severa than that of broken bills. Stocks and bonds are good unquestionably to the full extent that they go, but time and again we have had experience of the fact, that securities of every kind are most inconvertible when most required, and that there is no limit to the depreciation which they may attain. A currency based on these is treacherous and unsafe, and cannot be remedied a single hour too soon. It is to tiiis imperfection of western currency, that the derangement of the internal exchanges is clearly owing, and this circumstance we shall have to con- sider by and by in its pr(^r place. It follows, therefore, that the influence of banking is very trifling, that it is in fact not an active but a passive ageney, and its real benefit consists in gathering together and lending out such unemployed monied capital as a people have. When that unemployed capital is abundant, bankers' hands are full, and loans are made without stint or measure; but when a bad season,' or excessive investments in unproductive objects, has absorbed the stock unduly, then the little left is given out grudgingly and on stringent terms. The banker, however, is not to Hame. He is not a manufacturer of monied capital, but a mere receiver and distributor of what' may be agoing. True, he may issue an unlimited amount of notes ; but it is on the presumption that these notes are representative of wealth, which is immediately convertible into coin. The wealth, therefore, existed before the notes, and has not been created M OENBBAL APPUOATION. by them ; and Dotos based on nothing, can be nothing else than a fraud. They may set industry in motion, and in their own depreciatiofa increase the value o!f other things, but when the day of discredit and reckoning comes, the ha|dess holder finds that he has labored for that which is not bread, and for that which satisfieth not. Further, we have found that the proportion of banking capital to other wealth is fractional and trifling only ; and that by the agency of the clearing sys- tem the circulation of the country may be much reduced, and need not want augmentation for another hundred years. 1 § 5. But it may be asked, ^hat have these things to do with international trade ? What has our local or national banking system to do with it ; or the price of agricultural produce ; or the balance of trade ; or the misconceptions as to wealth ? These questions, thereforei„we must answer before proceeding with the subject matter. With regard to what constitutes wealth it must be mani- fest that if there is any misoonception on the subject — ^if it is conceived that an accumulation of the precious metals is the great aim and end of international and domestic trade, and that the imported produce and products of foreign countries are a public loss, then the first thing to be done is to disabuse the public mind on the subject, and to show that real wealth consists not in gold and silver, but in the abundance of those things that are useful and agreeable to man, without respect to the source from which they are derived. If the greut end of trade is misconceived, a vicious practice will be cherished, and injury unwittingly inflicted upon ourselves. We will insist upon producing those things which we coidd purchase cheaper elsewhere ; and to that extent withdraw production from those commodities in which our advantage is the most. We will seek gold, when seeking other things would secure to us those advantages which result from exchange with foreign nations, and which returns in gold rarely yield. The price of agricultural produce has a most intimate con- nection with prosperity or depression, not only in domestic but in foreign trade. When prices are low, capital is abun- V QENB&AL APPUOATION. 41 dant, the consamptive demand brisk, and trade good ; and when prices are high, capital is scarce, the consumptive de- mand heavy, and trade dull. Then when the home demand fails, we have the necessary result of forced sales, ciOnsigniiM; in excess to foreign markets, aid sympathetic derangement In foreign countries. Gonsidciring then the ever-recurring pe- riods of deficient harvests, and their invariable sequence, an important disturbing influence is brought to light in foreign and domestic trade which should not be overlooked. The price of wheat should be the barometer of the business man, directing him when to crowd on sail and when to make things snug to face the storm ; and it is full time that a generous, intelligent sympathy were extended to the hapless trader who is borne down by circmnstances over which he can exercise no control. If the capital or income of the conntiy is a given annual sum, and unexpectedly an undue proportion is absorbed in buying bread, who ie to blame for the ccmsequences that follow ? If the mass, from necessity, diminish their expendi- ture for domestic or imported articles, and the manufacturer or holder of these becomes embarrassed, in consequence of the absence of that demand which he anticipated, is it more reasonable to charge him or the season with the irregularity and the loss that is sustained ? Is he, when the first manifes- tation of collapse occurs, to go into the bankrupt court, and not venture upon a single sacrifice, in the faith and hope that things will speedily improve, and any little breach in capital be repaired ? and is he, in the adoption of either of these alternatives, to be treated equally with distrust and blame ? These are questions of commanding interest to the business public at the present time, and when traced back to remote issues, give the cue to those revulsions with which everything in turn has been blamed. The theory of the balance of trade has figured so conspic- uously in every dissertation on foreign trade, and still has too strong a hold upon the mass to remain unnoticed. We might show the advantage of this and that to a country ; but a man prejudiced in favor of looking at things in the aggre- gate, even although the aggregations are misleading and in- 4t OENBBAL AFPUOATION. correct, would not be satisfied. We might tell him that it was better to grow wheat and cotton, and to buy the prodaots of Europe with them, than to manufaotore these things for onrselves ; bnt demonstration would be lost, if it were be- lieved that he had to account for every dollar's worth that may be borne upon the customs imports. It was therefore neces* sary to show that a nation like an individual is enriched by what it gets, and impoverished by what it gives, no matter whether the amodnt is great or small ; and that since the foundation of Ibe government, the imports of the country exceed the exports. Wherein then would consist the motive of foreign trade, if, after reclaiming miUions, of acres of pro- ductive soil, and reaping and scattering their golden crops abroad upon the world, we were still poorer than when we made the start ? Finally) with respect tol banking, it is necessary to show that it is a passive and not an active organism. In domestic trade the banker offers inducement to the unemployed oa()ital of the country, being gathered into his hands, that he may lend it out, and derive a profit ; and it is so also in foreign trade. It is with the means of others that he almost wholly deals, and these means have to be surrendered, whether capi- tal is scarce or pientifiil, or times good or bad, and whether these means were deposited in bills on Ixmdon or in domestic currency. CHAPTER II. OENEKAL PBINOIPLES OF THEOBT AND PBACTIGE. Thb ** theory of international trade," is to be understood as embracing the abetract specalations incidental to the snb- ject matter; and the "practice of international trade," as embracing die praotioal details of business operations. The general principles of the theory and practice of international trade comprehend, tiierefore, the abstract reasonings of the ** theorist," and the deductions and api^ioations of the " practical" man, in the matter of the trade of the United States and England, and in the matter of the trade <^ the United States and Oanada. Special considerations are reserved for the succeeding chapters^ and nothing more is aimed at here than a few informal illustrations of principles and practice in their mors general form. Foreign and domestic trade may be considered in two dif- ferent points of view : the state of barter, and the state in which money is employed. It may appear unnecessary to treat of trade in a state of barter, as it may be said we are not likely to relapse into that primitive state of things ; but, it is to be observed, that as no misapprehension can possibly enter into transactions in which mere commodities are employed, it is essential to mark the points of difference, when money is used as a medium of exchange, that we may better understand the utility and the function of the latter. Supposing, then, that the present money system were annulled, and all commodities trucked against each other, how would domestic and international trade be governed ? Cotton and breadstuffs would continue to be shipped to Europe, as Europe would want them just as much as ever, and we would still seek and get the products of the other 44 GENERAL PRINCIPLES hemisphere. The fanner in the interior of Illinois would send his wheat and com to Chicago ; the Chicago merchant make his consigtimentsi to New York ; and the New York mer- chant make his consignments to his Mends in Liverpool ; each receiving those eqtdyalents which he desired. If Chi- cago wanted more from New York than New York wanted from Chicago, then Chicago produce would require to be given at a lower value, that additional demand might be excited in New York ; and if we wanted more firom foreign nations than foreign nations were disposed to take from us, then, in the same, waj, our produce would require to be lowered in value, that the demand abroad might be inore. sed. If, on the other hand, Chicago wanted less from New York than New York wanted from Chicago, theh New York would offer more inducement that its wants might be sup- plied ; nd if we wante^ less from foreign nations than foreign nations were disposed to take froii^. us, then foreign nations would offer such inducements as would be required. Suppose a farmer possessed of so much wheat, and a speculator possessed of so much land, agreed on one occasion to exchange so much wheat and land, and afterwards the farmer wanted a further transaction, about which the land speculator was indifferent and careless. The farmer has then to offer better terms to the land speculator than in the pre- vious case, as otherwise he cannot exchange his wheat, and by offering favorable terms he may dispose of all the wheat he has. The indifference of the land speculator at one value vanishes the moment a more favorable one is named, and the principle is of universal application. We may want more of European stuffs than Europe wants of our staple produce, and that greater quantity and value is only to be had and balanced by the lowering of the value of what we have to offer. Such, in its simplest form, is the barter system ; and in what does the money system differ ? Under the money system, trade is still the exchange of one commodity for another, and if the values are alike, the settlements are made without money being interposed; If, OF THIOBT AND PRACnCV. 46 and in inge of ke, the ^d. If, for instance, the sums due to and from Ohicago in New fork,' or due to and from New York in Liverpool, are the same, the mere offset practice of the clearing house obtains, and the claims are canoelltkl without a single piece of coin being used. When such a state of things occurs, and not unfre- qnently it does,' the moTcment of coin, between distant places, is unnecessary, and would entail loss either of a positive or comparative kind. The exchange between distant places would then be said to be at par ; and, in such a case, there is no difference between the money and tl^e barter system. Suppose, however, that Ohicago, under the money system, began to buy more in New York than it sold, and that New York began to buy more in Liverpool than it sold, what new phenomena would be brought about ? At once the difference would be paid in coin; and so long as the unfavorable balance of trade was reproduced, the specie drain would be continued. This, then, is the point at which the barter and the money systems part. Un^er the barter system, Ve could not have sent money from Chicago to New York, nor from New York to Liverpool, the presumption being that money was unknown ; but, to pay for the increased purchases, Chi- cago and New York would have given their produce at a cheaper rate. A satisfactory adjustment then would have taken place. But, in the case supposed, the difference has been paid in money, and the question is, what new effect pre- sents itself in Chicago and in New York, both of which sur- render so much coin ; and in Liverpool which receives an augmentation ? The new effect in Chicago and New York, presuming, as a matter of course, that the excess of imports had not been temporary but continued, would be this : the circulation or its basis would be diminished, and money, as compared with other things, being relatively more limited in supply than it Vas before, other commodities would decline in value, and, by increased exports, the equilibrium would be restored. In Liverpool, on the other hand, the influx of specie increasing the supply of the precious metals relatively to other things, money would be cheaper and other things 46 onnaAL pbimoiplb r.r'i i]«: i dearer; and the adyanoed prioee limiting the exports to New York and Ghioago, the balance of trade would rale the other way, and gold be tranimitted to the United States. K Chicago and New York had been substituted for Liverpool as the gold receiving pprts, and Liverpool pat into the place of these cities, the principle exemplified would have been the same. The specie, from its influx into Chicago and New York, would have raised the price of other things, and, as in the case of Liverpool, speedUy operated on the exchange by diminishing the amount of exports. i There is, then, no practical difference in the operation of a simplo barter trade ; and trade in whidi money is em- ployed. An adverse balance of payments reduces values under both systems in precisely the same degree ; and in augmentiug exports restores th0 equilibrium ; while a favor- able state of the exchange enhances values alike under both systems, and leads to ihc^ased imports and to acyustment taking place. In thcf case of lower prices, preceding an increase in the exports, it may be hastily conceived that the country then makes a sacrifice ; but such is not the case. The balance of trade is against us, from the fact of our seeking commodities at a cheaper rate than we can provide them for ourselves, and the presumption is, therefore, not unfair, that the depre- ciation is at least counterbalanced. If we make a profit in the first stage of a transaction, that, for instance, of buying goods abroad cheaper than they can be produced at home, the profit on the paying goods exported has to be fiilly sacrificed before loss is suffered ; and H is to be observed, as we shall see hereafter, that the effect of a jiUeapening of our produce reacts favorably upon ourselves, inasmuch as a new class of buyers is created, whose consumption to a greater or lesser extent will be sustained, when prices have advanced and the balance of trade been restored. Take a* case in point. During the low price of breadstuffs, two or three years sub- sequent to 1850, direct trade was opened between New York and Montreal on the one part, and the seaport towns of For- farshire, in Scotland, on the other part. Arbroath flax OF TBIOBT AND PBACfnOI. 4T oanvM, and Dandee sheetrngs and oordage, were exported to> this cibntineot, and barrel floor taken in exchange. The flour was sold at a price relatively lower than other flour, and, although previously unknown, want into consumption freely. So much other flour, either of local or East ot England manuiaoturo, was displaced, and a considerable new perma- nent market opened up for American flour. The trade unfortunately. cdlapsed, and has not since been revived ; but to this day, not only a preference, but in consequence of the taste having been acquired, a relatively higher price would be paid in that district. Not only, therefore, do we not lose, when to p.rocure a larger share of foreign products, we offer produce at a cheaper rate» as the exchange must still be an object to us, and a benefit of course ; but we create new customers, and pave the way to tlie extension of our trade. But, it may be said, that trade is not really carried on in this formal sort of way. The farmer in Illinois not unfre- quentiy consults his own convenience in the bringing forward of his wheat ; the Chicago merchant has no means of know- ing whether the balance of trade is favorable or otherwise ; and so with the export and import trade in New York city. It is either all guess work, or the relation is unheeded ; and stuff is sent and received for unconditional sale in every market. Qranting all that, it must itill be admitted, that in a community or nation there is a limited amount of floating capital, and a limited oapaaty to absorb commo- dities at any price ; and if that limited ciq>ital is absorbed in purchased or imported articles, every fresh importation or purchase will be against us, and we must either make pay- ments in the precious metals or in produce, at such prices as will satisfy those we owe. On the other hand, if that limited capital invested in produce has been transmitted elsewhere, then the balance is in our favoi;, and payment must be made to us either in the precious metals or in merchandize, at a satisfactory equivalent value. It matters nothing, therefore, in what way trade may be conducted, as in each case it resolves itself into imports and exports, debts 48 Ottmili PBINCnFIJB and credits, and as the one w otiier at the time preponderate, 80 there is a baluiee pt trade for or against, and the eqnilir briom can ber^tored only by direct action on the yalaes or prices of those commodities which axe the subject of interohfmge. Honey is j inmiediately appliealde to settle the acconnt, but no country could sustain a continuance of adverse trade rJying only on money, as the stock woidd fiiil ; and the abstraction of money from the limited resenre acts, therefore, on the exchange. Money becomes dearer and other - hingi ' cheaper, and that cheapness of othw things limitc|, imports, and stimulates exportation, paying our debts uid keeping our stook of the pcecious metals from being diminished further* One consequence or rather application of this a^usting principle of the exchanges, is the necessary limitation of our export trade to the extent of our own demand for forei^ products. What we send to foreign countries must from necessity be settled for in tiie produce of foreign countries^ as in the long run these countries have nothing else to give ; and when the extent of our import trade is made matter of complaint, a contraction of our export trade is necessarily impUed. With respect to money in its action on prices, it is neces- sary to observe that it must not be hoarded up, but creating a positive demand ibr goods. No possible inflaence could be exercised by any extent of accumulation, unless the money were in actual circulation ; and the theory presupposes that it is. Ever since the revulsion, we have had the phenomena of a large unemployed reserve of specie in New York, and declining prices ; and this state of things will last until con- fidence is restored. That estabUshed, the accumulated trea- sure will diffuse itself into trading channels, and money and goods become reciprocally demand add supply to each other. The principle of the self-adjusting character of the exchanges, either under a barter or money system, constitutes but one of the elements of the theory. <^ international trade. There is another, constituting the direct motive of all international dealing. It is obviously, for some substantial purpose, that V OF nioBT Ain> niAonoi. 49 one nation traffics nith aootiier ; and not for the gratifioatiott i of derelopittg those ingeidons practioes, in settlii^ up the ia^ tenroTen, complicated transactions of erne nation with everf otheir, irhich* obi«bi. Tliat motive is the aoqnisi;^ of ui increased amonni of those commodities known as Wealth. I Between local and fbreign trade there i one leading, iin^ damental point of difference, inasmuch' as the one is mainly governed by adjacent and the other by distant values. At home, the value or market price of a commodity is gienerally determined bt the producing cost; and abroid, the primary producing cost is disregarded, and value determined on the spot. The law of supply and demand, which is anterior to that of cost of production, comes into operation, determinii^ thai the demand for a commodity varies with its value, and the value so a^usts itself that the draiand exactly absorbs the supply. That subsequent law operates on few articles at the place of their production ; but it is paramount abroad. The distinction is important, and will be rendered clear by illustration. Take the familiar case, of the number of coats and waist- coats in a country being equal, one of each only is worn at once, and there is no assignable limit to the production of either ; but it requires about three times as much material and labor to produce the one as to produce the other ; and irrespective of the number of each, at any given time, the price of each is individually and relatively determined by the material and labor which have been used. In such a case the law of demand and supply can scarcely be said to apply. \f the demand is dull for coats and waistcoats, it operates upon production only: fewer of them are made; but as a general rule the price is maintained. The reason of this is obvious. The stock cannot be replaced on better terms; and if sold for less than cost, an unnecessary loss would be sus- tained. Such transactions are therefore governed by pro- ducing cost'. A more complicated case presents itself in the price of agricultural produce, and in ^e relative value of wheat, com and oats. Suppose that one hundred acres were sown out 4 •p t *60 09inBm< FBIMGIFIJB with wheat^aod last year and the year before they yielded pre> dsely, (m eat^ toooafioni, one' thousand bushels. The cost of jprodnctioa and ^e yield was the i^une in both casoi ; bat the ^^rmer re(^ved parent at the r^te of fifiy cents j^ bushel for the one crop, a«^ i^ tilie rate of one dollar a>.bn8hel fiv the other, Oost of prodnction does not therefore apply in sndi^oase, Sni^XMie again, that while one hundred licres were sown oat in wheats one hundred acres were planted with com, and one hundred acres cropped with oats; and that the respeo^ve yield of each hundred acres was a thoih sand bushel^ , How then does it happen, that wheat is sold at fifty cents, com at thirty cents, and oats at twenty cents ; while in each case the same number of acres and the same labor have been employed ? Obviously, as in the other case, the value is determined by the force >. ^he demand, or the degree in which at diiGTerent times eacl ^ ^ty is desired. The law oi producing c^st, and thi ' of demand and supply, both obtain in domestic trade; but in the main. {do- mestic trade rests with .the former only. A high price of ^pricultural produce leads to extended cultivation, and subse- quently to a range of prices bordering closely on the bare cost of productiw; and farmers study to grow those cereals only, which pay them best. On the other hand, foreign trade from necessity must disclaim all consideration of the primary conditions of production that may be involved. We could never know precisely what the producing cost of tea was in China, sugar in Cuba, or coffee in Brazil ; and althou^ we did, the biowledge wouM be worthless, as it could not possi- bly have any influence upon ruling values. We ship produce to these countries ; that produce, according to its amount, constitutes a demand for such commodities as are offered, rendering the terms of exchange favorable or unfavorable, as the, case may be, and giving these- foreign commodi^es quite another value than that derived from the labor of the China- man or Negro. Supposing an experimental shiinnent by a New York novice to either of these countries, was found to be unsuitable, on being landed, and was only exchangeable into tea, or sugar, or coffee, at half the relative value N-. OF TBJSOfKt AStt ViULCSICE. 51 in which aidtablo'aliiinimits from New Todi commuided; then, • in ih«C ptrtieidu) easej twice the woal prioe would be paid fiyrirhateve^ would be porohuedi while some snitahle new l^odttct migKt hftre beent aent, oost&ig rbletlTely no^rare thai) Hie avenigv of oiir exports, bat which would boy what wai wanted) ei ludf the osoal price, or evenAt a lower price thaik tittkt at wiuoh the commodities Ind been prodaoed. In Hm foreign trade, therefine, tiie primary cost .of prodoction is notiiing : the terms of exchange being goTomed by the e^wi* tion of intematiciial demand and intemationd supply. &ippo8ing that the United Slates import coff»B from Bra^ bU, giving a piece of dioth for every bag of coffioe, the coet oi the coffee in^ the United States will hot be determined by the cost of the production in Brazil, but by the cost of the cloth whidi has been ^ven away. On the other hand, Ae cost of the cloth in Brazil will not be determined by the oost in the United States, but by the cost of the coflfoe which has been given away. Now, keeping in view, that for the time being, the law of supply and demand determined the jHropot* tions in wUoh the coffee and the doth had been exchanged, and that the {Nrimary eost d* the producti(m< of both artides had in both cases been set aside, we are enabled to consider the advantage^which the United States and Brazil derive respectively from the trade. In the first plaee, the United States gives one product and receives another; and the> product received being exchange- able again into otiiers, no diofiination of the natiohal wealth has taken place. The United States, in the second place, has received a product which it does not cultivate, and which possibly could not relatively be had dieaper elsewhere ; and instead of making the purchase in the precious metals, which may have been imported without advantage, cloth, in which there is an advantage, has been employed ; and there is the additional advantage of the tendency of an extension of the demand for cloth to improte the processes of the producticm of that commodity. The United States derive, therefore, essential benefit from the trade. Brazil, on the other hand, in parting with a commodity, 62 amniBAL PHiNOlVUBB n? !ii: wbioh costs her extremely little, derives through the influence of foreign competition a great proportionate pnrchasing power over the elotb oi^ the United States; and that cloth Brazil could not mantifacture for itself but by a large absorp* tion of the national capitid, and a diversi nuORGI. 56 naaahebanr. TheaSi if ovir whole importi are » mere ezte»> «hm of the fHrincii^ of receiTuig foieign ]«m numerous eastern working populati rior would supply iron, and the mines of Qalena an exhaust- less stock of lead; and, at the seat of manufactures ia the East, theoottcmof the South and the wool and' flax of the North become worked up into every kind of textile fabric. The silkworm of France, i^ tea plant of Ohina, and the coffee shrubs of Brazil and Java, could be introduced ; and on the sunny banks of the Mississippi we might gatiier a better mintage than that of the Peninsula. Such is the picture of a perfect state of things, wUch would fill our cup . with plenty, and without letting a single drop run over. We would flood the world with our produce and our manufiurtures, and no opening would present itself to the foreigner, to compete with our domestic industry. Unfortunately for such a theory, the matter of getting pud is wholly overlooked. If we fill Liverpool with wheat and cotton, in what way is Liverpool to rend«r payment ? Gk>ld could be sent only for a little while, and even Ihat commodity would speedily inflict injury upon the interest of the dcunestic digger, by bringing his labor into competition witii • tiie foreigner. To make the system perfect, gold would have4o be excluded also r and what, in the name of W(mdePj could we then receive ? Something or other would-be imperatively reqmred, or our labor would be thrown away, and we reduced 66 onmAL PRnromJB to the neoestitjr <^ prodttoiiig for ourselves alone, and of becoming isolated llrcnn Hie other sections of the human race< But the Maoy inTolved in the theory of producing et^ry- thing that we consume^ i^ a means of increasing national wealth, will be better understood by practical illustration* The wheat receired. in store in Ohicago, costs the farmer, on an average, twenty-five cents a bushel ; and, on an average of years, that wheat is sold in Chicago at a dollar. A profit of three times the amount of cost is therefore realized in the growth of wheat in Illinois; and if the whole population of the United States, under like circumstances, were engaged growing wheat, that advantage would be gained. Let ut suppose that population of working hands to be ton millions, and to be «o employed, and driving the English agriculturist from his occupation to some other industrial pursuit. AU at once it is resolved to impoi^ nothing more, but to start the manufacture of everything that we require. For this purpose, we shall say, five millions of the population are detailed, and mines are opened, and manufactories built and put into operation. What then follows^ Land, formerly in cultivar tion, returns to original wildness, and our agricultural business is reduced a half. But what is the advantage gained in the new industrial occupations that have been opened up ? The hianufactured cotton of Massachusetts is produced with an advantage of ten per cent, on the capital , employed, and, generally, neither it nor the iron of Pennsyl- vania can compete with the foreign product. The industry of five millions of working hands, which previously yielded a return equal to three times the capital employed, now yields, we shall say, ten per cent, only ; and thus, by the change, two hundred and ninety per cent, advantage is absolutely thrown away.^ In every community, or nation, there is both a limited population and a limited amount of capital available to put that population to productive industry ; and with a nation as with an individual, if one thing is undertaken, something else is let alone. A farmer cannot also become a manufacturer, unless in exceptional cases, where a large amount of capital V OF fBBOBT AMD PBAOBGl. 67 lias been aooamBlated in indhidnal hands; but f the same country, has not been able to overtake another, and those first in the field promise to maintain Hie foremost rank. It appears, firom evidence led before a committee of the British Pariia- l M C( ni tb \ OF nUOBT MSD niofioi. mmti that Bnglnd beg«n ootton Bpiinilig tweaty-flfe jmn before Sootknd, and Maaobeeter ki still twenty4tTe yeart ahlhid of Paialej and Olaagow. The machinery ordered for a ikotory, idmite of impraremrat before the machinery bu been let in motion ; and <»e impro?ement snooeeds anotfier with a rapidity unknown in any other braneh of indartry. If that is so, then England will continue to produce tee manaiiMtured cottons at a cheaper rate than Scotland or the United States ; and it will only be under tiie shield of pro- tective duties that our manufacturers can ever worlc their way along. To the extremity of supporting native industry at •uoh a sacrifice, the United States is not yet happily reduced, and should not be so for at least a century to come. The effect of protective duties is certainly to sustain land in the manu&ctoito of textile fabrics ; bnt it infinitely surpasses England in the production of raw material ; and the derelopment of manufootares in England is ui example to the world of what can be accomplished hf intelligence and capital, even when okiaided by the powers of nature. Eng- lish manufacturers draw their supplies of raw material from the remotest comers of the world, and sell the manufiftctnred article at a cheaper rate than those who have the raw mate- rial at their doors, and for one reason : because something else is received in exchange, on better terms than it can be had in England. That is the great motive power of international trade, and all consideration of the cost of what we ofier, is lost in the consideration of the comparatively greater value of what we receive. The theory of trade, then, resolves itself into two princi- ples : that of cost of production, and that of demand and supply. With respect to the former, it may be said that the law only obtains at that place where the exchange is sought to be made. Coal at the bottom of the shaft possesses one value, at the mouth of the shaft another value, and at any distancafrom the pit, in proportion to the cost of transporta- tion. This simple law is, however, subject to disturbing influences. When coal, from a given place, is put down at another place, it becomes a question, whether coal could not be brought cheaper from somewhere else, and if so, and the commodity^ from both places is put upon the market, then that paying the least charges will be sold at the cheapest rate, and that paying the most charges may be driven from the market. Another disturbing influence may, however, come into operation, and coal from both districts continue to be received, and this would occur in the case of coal being too limited in supply. The price of coal would not then be so much, determined by what it really cost to bring to market, as by the extent of the sacrifice which people were a c n n tl U m w n tb in OF n«»T HID nuonoi. ei prepared tp make for its ecqaisitioii. Thni, retertlng to % previoiM illnrftratioii, the Telae of Ohioago wheat in LiTerpool k Mt determined by the ooit to the farmer of IlUnois, and the expense of tnmtportation, bat by Uie force or weal[nei|i of the demand for wheat in Idverpool. Then, with reipect to the law of demand and supply, it if to be observed, that law is all bnt absolate in foreign trade. We may nianuiaotnre the coarser kinds of cottons at a e ieap^ ; and we may produce iron at a cheaper rate in Pemsylvar'a than -' can be brought from Clyde or WaleSi but national intere may be best snbeerved by the importer tion of that comi eUity. The reason of this is obvious. We export tt^ ViUc of our '^ 4uce to England, and England being a -nan :*Uctaring country, that produce can be paid for in manufactures only. Oold mi^U; jo sent for a time, to balance the account, but the supply of gold is limited, and by the regulation of the English currency the abstraction of gold would loiter the price of every thing and discourage further produce shipments from the United States ; and, at the same time, offer a direct bonus, on the purchase of manufactured articles, to balance international claims. It is, therefore, a necessary condition of our export trade to England, that we should receive English manufactures in return, and the ques- •.on is the real comparative cost of English domestic products to the country. From the growth of cotton the general advantage to the United States is equivalent to fifty per cent., or a half; and the general advantage in the growth of wheat is the same ; and these advantages invested in English manufactures, those manufactures cost us half only, and less than their producing cost. To receive manufactures on these terms, rather than at actual cost and profit to the domestic manufacturer, is the great object and design of trade ; and^ with the terms of such exchange, cost of production has, in reality, no concern. The goods offered by both parties, on the same market, are demand and supply i each other, and in proportion as commodities are scarce or plentiful, and 62 OENBtAL FBINCIFLES 1' ,• ttSfi' itili!!; ^ objects of desire or otherwise, so the terms of exchange mre fitvorable or anfaTorable, as the oase'ini^be. * T6 prodnoe wheat and oottoa is to tarn the resonrces of the nation to the best account, and to manuftu^ttare is to tnm them to the least account, and to check tke development of export trade. We now pass to those principles which govern the practice of international trade? and, in a general way, these may be designated as profit and details. What constitutes the motive oi international trade? and what is the method of entering into transactions, and settling these transacti(»i8 up? With respect to the latter, business organization is now sO perfect that the whole system admits of exposition in few words. The business men of one country have their repre- sentatives in another, and through these representatives, introductions and orders are transmitted from one comer of the world to every other; and it is scarcely necessary to remark that bills promising payment of specific quantities of gold and silver, at given times and places, constitute the medium of balancing accounts. Supposing that a Chicago merchant determined to embark in the China trade. To this determination he would probably be led by comparing the price of tea in China and New York ; or by the advantages accruing from the shipment of some particular kind of manu- factures. His first step then is to open negotiations with some New York house having connections in the China trade. He is then introduced to the China houses, and if desirous of buying tea, he will require to provide London bankers' credit for the amount that may be drawn for; or if he desires simply to export, an arrangement is there made as to the amount of advance to be received on each consignment, and when the goods have been sold, the cash balance can be received in any form that may be wished. That is the whole operation, and if the bills maturing upon one country are not met by bills maturing upon others, then a specie movement must be made to settle the account. The meaning of the phrase, " London credit," is the gettiug of a London banker to agree to protect any set of bills that may be drawn, so that when the term of shipping credit has expired, the shipper OF THEOBT ANV FBACnCE. 68 of the goods will be promptly paid. London credit is then eqaiyalent to cash, and before a London banker can engage to protect any set of bills, he must be made secure. How tiien is that to be done ? The Chicago merchant gives h^ lands or buildings in trust to the New York house, at such value as may be agreed on, and the New York house secures the London banker, and thus the way is opened up to the transaction of business between the most distant parts. The advantage or the profit of course forms the motive, and we now proceed to the development of the principles and practice of the trade of the United States and England. CHAPTER III. ....„ .- J., THEORT AND PBAGTICE OF THE TRADE OF THE UNITED STATES AND ENGLAND. In the preceding pages we have arrived at the follow- ing conclusions. We have seen that every usefol product is wealth in the same sense that gold and silver are, and con- vertible into the precious metals, either at home or abroad. It is conceivable, therefore, that a country possessed of a large stock of useful articles, could, by offering advantageous terms of exchange, draw to itself a large accumulation of the precious metals. Foreign buyers can be found at all times and seasons, with gold in thoir hands, if grain or cot- ton, or any product, is offered at a sufficient discount below the market price ; and we as they, are ever ready to close a specie bargain, of an advantageous kind. The quantity of specie held by a country may be said, therefore, to be a mere matter of convenience and choice, and not in any way indi- cative of its wealth or poverty. For the last year or two, France has now and thpn entered the English bullion market, and bought up gold at a premium, and any other country could do the same, without assignable limit to the extent of the operations. That is conclusive evidence of the fact, that specie is not more desirable than other things, and that it is a mere kind of wealth, and nothing more, and one of which at any time as much can be had as is desired. The object of domestic or foreign trade, is obviously, there- fore, not the acquisition of gold and silver, but the acquisi- tion of those utilities which all as"* much desire. How little gold and silver is possessed i individually, by the people of a country, and comi. j red with the possession of other things, how little is desired. When an individual comes :nto the possessioil of monied wealth, he forthwith invests it in some- V jre- lisi- Ittle ]f a fg8» the line- TRADE OF UNITED STATES AND ENGLAND. 66 r thing else, and is satisfied to dispense with currency, as much as possible, in the settling up of his business matters. He puts one account against another, and gives a check upon his banker for the balance, and that balance the banker usually settles on the offset system with some one else, without cur- rency being passed. It is not for money, therefore, that we are scrambling, but for an increased supply of those commo- dities which are objects of desire by all and sundry ; and money we regard as a mere medium of exchange only ; infi- nitely convenient on some occasions, and infinitely superfluous on others. We have seen further, that cost of production goes a little way only, in the determination of the proportions of an ex- change. The Liverpool broker does not ask what our pro* duce really costs us, that he may ask a fair price for it, and nothing more, and we do not ask the Eastern dry goods job- ber what the present rate of English manufacturing wages is, or what the influence of the legally abridged hours of factory labor? These questions are quite irrelevant, and never raised. One measured bushel of wheat, of sixty-seven pounds weight, is as good as another measured bushel of equal weight, and both are rated equally on the market ; and one piece of lace or lawn, equal to another, is entitled to the market value, although the product of a work-house. The original expenditure of labor or capital, is nofr recognized — the means, in fact, by which they came into their owner's hands, is not inquired into — and the question for determina- tion is the value on the spot. Do we want sugar at Havan- na, in exchange for flour, then the equation of the demand and supply, of these commodities respectively, and relatively to each other, determines tho proportions in which the one will exchange for the other, irrespective of the kind of labor by which the sugar has been raised, or whether the wheat has been grown between eastern stumps, or on the broad unobstructeol prairie. If sugar is plentiful and pressing on the market, and flour scarce and sought for, then sugar will be got on easy terms, and vice verm. Putting together these two results, that utilities in general 6 66 THBORT AND PRACTICE OF THE ;i'j.. m\ 1 i f •' «: m.y:\' are woalth in the same sense as gold or silver) and that com- modities do not exchange in proportion to the original pro- ducing cost, but in proportion to the force or weakness of the obstacles which limit the supply of each at that point where the exchange is made, we arrive at a conclusion ap^ proximating closely to that on which the theory of divided labor is sustained. To amass wealth or useful products is the groat aim of trade ; and original producing cost being unnoticed, the cheapest market for our purchases and the dearest for our sales, further that end the most. That con- clusion will commend itself to every business man, as being in conformity to his daily rule and practice, and when the individual wealth is augmented, not by mere transfers from the stock of those around, but by fresh accessions to the public stock, then the capital of the country is unmistake- ably increased. What the agriculturist receives in return for that portion of his grain consumed at home, is a mere transfer of so much of the nation's capital, from the pockets of his countrymen to his own ; but if we put our produce into the silks of Lyons or Spitalfield, into the cottons of Man- chester, or the shawls of Paisley, at an advantage of a half or quarter more than if we had produced these foreign fabrics for ourselves, thed a bona fide addition has been made to the nation's wealth. Our labor has been more pro- ductively employed, and we are moving in the way of social progress. . We have seen that this theory cannot be assailed^ on the ground that native industry must be sustained, and every- thing as far as possible produced by ourselves. That is retrogression, and constitutes labor, and not wealth, as the end to bo attained. On such a principle, every mechanical and scientific improvement is an injury to the working man, in so far as it tends to diminish manual labor, and if logical- ly followed out, we would scratch the ground with a stick, in preference to plowing ; " the sail would proscribe steam, the oar proscribe the sail, and the oar in turn give way to the wagon, and the wagon to the pedlar and the hand cart." To that extremity the most zealous tariff man would not commit ■ir ) ■ V TRADE OF UNITED STATES AND ENGLAND. 67 — + as ; but that is the absurdity to which his theory leads. Like a writer on political economy, he would not begin where others left the subject, come up boldly to the point where thought and work were needed } but blander on at the veij threshold; seek to ignore the experience of the past, and invite the United States to pass through the same commer- cial phase that England has. England's present conimercial strength and greatness, is owing, it is said, to the zealous care with which she watched her infant industry, and it is inferred, that to lead to a like result, the United States and Canada have to do the same. They have to forego the pre- sent, that the prospects of the future, by an enlarged and more skillful development of textile manufacture, may be improved. . That specious reasoning has been conclusively overthrown. It has been said that the wheat received in store in Chicago, costs the farmer on an average twenty-five cents a bushel, and on an average of years, that wheat is sold in Chicago at a dollar. A profit of three times the amount of cost is therefore realized, and if the whole population of the United States under like circumstances were engaged in growing wheat, that advantage would be gained, and that advantage would provide the means of building cotton factories, or of doing . anything. On the other hand, we have said the advantage of the United States in the production of heavy cottons, is equal to ten per cent., and the finer fabrics can only be pro- duced under the eegis of protective duties. Labor so bestowed, instead of realizing the three-fold advantage to be derived from the growth of wheat, only realizes ten per cent, in one department, and is a tax and incubus on the public wealth for the remainder, and yet it is alleged that a system so feeble, if not effete, wants only a little fostering care, to enable it to clothe the world. That is logic with a vengeance ; th» old bugbear of pauper labor, putting the hardy work- man and the skilled handicraft into the workhouse. Is it from the man doing a paying business that good ultimately is to be looked for ? or from the man doing no good at all, but if an) thing, losing ground every day ? It is so with a 68 THEOBT AND PBACTICB OF THE nation, and with the United Qtates. There is no reason why we should -take the early programme of the British People, but there is much to be said in favor of our taking things as we find them, and turning our great resources to the best account ; and if. the accumulation of wealth is our aim and end, we will foster those interests only in which our advan- tage is the most. We have seen further, that our export trade is contingent on our continuing to ^receive foreign products. The moment our import trade shall decline, our export trade shall decline also ; and if the country should ever come to consume such things only as it produced. Western prairies would return to their former wildness, and Southern negroes cease to be worth their board. The United States would not hold business communication with the world, and if the Eastern manfac- turer had become rich and. increased in goods, it would be in the complete prostration of every other interest within the country. We can never get but one commodity for another, and gold and silver are but commodities after all ; and in proportion as we cease to take, we must also cease to give. To that result the Socialist Tariff system leads, anri, civilization, together with the interest of the West and South, and the Eastern mass, have a common interest to keep it down. The present tariff of the United States, not as bearing on England only, but upon the different trading communities of the world, does not present any serious barrier tq the prose- cution of almost any kind of trace, while, at the same time, it provides a margin, for the home producer, of foreign . competing products. We receive incredible quantities of'' the produce and manufactures of every country, and as incredible quantities of our produce and manufactures are sent abroad. The trading theory of the country is essen- tially, therefore, that of buying in the cheapest market, and selling in the dearest, and under that regime we are making unparalleled advancement in the creation of those utilities and ccynforts known as wealth. That policy may still further be ameliorated by a diminution of the duties on \ TRADE OF UNITEO STATES AND ENGLAND. ^9 ir.i' foreign imports, and cannot possibly be reversed. People have pretty much outgrown their fears as to the influence of abundance on their temporal state, and have began to th^nk that if cheaper living and cheaper dry goods leave the W(kk- ing man more to spend on other things, and individually is a blessing, it must be a blessing also to the nation. People have begun to enlarge their view of social questions, and to look more beyond the narrow lines of particular interests, and to question the claims of these upon the sympathies of the mass. The method of incomplete truths is no longer recognized, and questions of economy are more brought to the general money making, or the general money losing test. We are less used to be taken in with the cry, that the exces- sive importations of foreign dry goods, and other things, have closed our Eastern factories and worshops, and thrown the operatives and their families upon the streets, and to call upon the delegation of the State at the seat of government to support a revision of the tariff ; but when these appeals are now made to us, we give the question a personal applica- tion, and think it no hardship that we can buy our coats and waistcoats cheaper, and then we think of the high price of local services, and of the millions of acres of unbioken prairie that invites the industry of man to break its thin, grassy crust, in the rudest way, and it will reward his labor a thousand fold. We begin to think that if the working man, or the capitalist, chooses to turn his back upon the resources of the country that remain undeveloped, and will not adapt himself to surrounding circumstances, but seeks to develope industries which necessarily are mora or less effete, he has no claim upon public sympathy, and no moral or legal right to seek the enactment of a protective poor law, that he may make his living at the expense of others ; aud in these opinions we are both practically and theoretically in the right. Freedom of action and of thought ; every man working his own way along, and none legally supported at the expense of others unless all partake equally and justly of the service that is performed, are, and should always be, the watchwords of the freemen of a great and free country. 70 theobY and pbaotiob of the The trade between the United States and England is, therefore, practically, in a free condition, and what ob- stacles there are have locn created, as much with the view of raising revenue, as of affording pi;otection to native indus- try. The United Stfttes freely exchange their natural advantages for the acquired advantages of England, and each, by the interchange, derives the benefit of the advan- tages of the other, as fully as if they were their own. The United States, for esample, not only receive the manufac- tured cottons of Manchester, at a trifling addition to the cost of transportation from and back to their own territory, but receive the benefit of the greater economy in working up, and of the minimum return for the use of manufacturing capital; The benefit of improved English machinery, cheap capital and cheap labor, are, therefore, acquired as fully and substantially by the United States, as if Manchester, with all its advantages, were located within their territory ; the transportation charges being almost an inappreciable quan- tity. But the United States not only receive the full measure of these advantages, but by virtue of their advantage in the cultivation of the soil, whose products they use in exchange, they receive English manufactures, at a further reduction of the net profit on the grain or cotton which they have given in exchange. Take our previous illustration. Chicago wheat, on an average, costs the producer twenty-five cents a bushel, or one shilling sterling per 60 lbs., and, on an average, that wheat is sold in Chicago at a dollar a bush^ or four shillings sterling per 60 lbs. ; consequently, a reduc- tion, equal to three times, the cost of the wheat exchanged, is made from the English market value of the cottons that are received. The United States, by virtue of their advantage in the growth of wheat, not only, therefore, bring Manchester practically within their own territory, but derive advantages which would not really follow, were Manchester actually located in the United States. Supposing that the manufac- ture of cottons were as far advanced in Massachusetts, as it is in England, and that the price of manufacturing labor and capital were the same, still the result of these conditions It V TRAOB OF UMITBD STATBB AMD BNOLAKD. 71 would not give an equivalent return to vested capital in the growth of wheat in Illinois, and present advantages would not be realized. We would supply ourselves witii manuf&o- tures at a greater cost than we at present have them ; the nation would not accumulate useful products or wealth so rapidly as it at present does ; but to flatter a class of capi- talists and operatives, we would employ them in one way rather than in another, although in that way our advantages were the least. England, on the other hand, in buying wheat from the United States, brings, practically, our prairies to her own 'door, inasmuch as she receives our wheat on the same terms as she has her own ; and, for the same reason, that it is more profitable for the United States to import manufactures, it is more profitable for England to import breadstoffs, as in the growth of these her advantage is less than in manufactures. England is no more destitute of soil on which to plant ind sow, that her population may eat their own bread, and be independent of their neighbors, than are the United States destitute of skill and capital to manufacture for their wants ; I at England has intelligence to know that her fields are better wild and unreclaimed, that her manufacturing suprem- acy may be preserved ; and the free, untrammelled trade of England is an example which the world must sooner or later follow. The principal articles of United States exportation to the United Kingdom, are Specie, Flour, Cotton, Wheat, Tobacco, Corn. The principal articles of United States importation from the United Kingdom, are Beer and Ale, Steel, Coals, Sheets and Nails, Cottons, Lead, Earthenware, Tin, Haberdashery, OilSee4, Hardware, Salt, 72 THEORY AND PBAOTTOE OP THE Linens, Silks, Iron, Pig, Stationery, f Bar, Woollens, Cloths, Oagt, Mixed Stuffs, Wrought, Worsted Stufis. England admits five of theso principal articles, duty free, into her ports, and imposes a specific duty on tobacco. That duty is three shillings sterling per pound, or say seven- ty-five cents a pound, on unstemmed tobacco ; and nine shil- lings sterling per pound, or say two dollars and a quarter per pound, on manufactured tobacco, or cigars. The United States charge a duty on all thes« principal articles of import : ranging from fifteen per cent, on lead, to twenty-four per cent, on iron, cotton, silk and woollen manufactures, ad valorem. England admits these principal articles of United States growth, in the way she does, for the following reasons. It was long ago found impracticable and vicious to tax the pre- cious metals, and by the consent of all nations, and the ne- cessity of their money systems, these metals are exempt from fiscal burdens. Haw cotton was early recognized as a manu- facturing necessity, and is not even named on the tarifif. It was conceived that to tax that commodity was to raise the price both at home and abroad, and by wise forethought the manufacture was let alone. It was placed under no restriction, and'no bounties nor other fostering stimulants were extended to it, and subsequently withdrawn, but it worked its way unheeded, on its own merits only, and from the begin- ning to the present day, every mechanical improvement has gone to make the cost of the product less, and to increase consumption more and more. Breadstuff's were viewed in another light, and treated in another way. It was supposed to be impolitic to rely on Europe for a supply of breed, and on the cessation of the war, the agricultural interest, like every other interest, suflfered from the recoil in values ; and that interest, and the statesmen of the day, saw no hope of safety, but in the ex elusion of the cheaper food of neighbor- ing countries, and the paying of a higher price to the home 1.11 ^ :ii \ TRADE OF UmTID STATER AND ENGLAND. 78 J. producer, that in his greater wealtl the commiinity might recruit their shattered fortunes. Here, it was argued, we are sending money abroad for grain, which might be kept at home, to the infinite advantage of us all. Oive it rather ito our own farmers, and they will provide labor to the unem- ployed, and the laborers will buy from the shopkeeper, and the shopkeeper from the manufacturer, and trade throughout the length and breadth of the country will be revived. That line of argument prevailed, and it was only within the last few years, that the English Com Laws, to the infinite benefit of landlord, and farmer, an' consumer, were annulled for- ever. During their existence, agriculture made no progress, and bread was dear, without the landlord, in some localities, deriving more than half the rent he now does, and without the farmer earning more than an easy living. Since their abrogation, agriculture has become a science, and rotation of crops, top dressing, artificial manuring, sub-soil ploughing, and stock raising, have taken the place of the time-honored practices of the old English farmer, and in the increased pro- ductivenesE of the soil, and the improved quality of the crops, the farmer's return is greater than what it was ; and while he pays his landlord a higher rent, he brings more stuff to market, and diminishes to all the cost of living. It is not necessary that we should make any further expo- sure of the fallacy involved in the principle of the English Corn Laws, as that, in fact, has been done already. We have seen that the cheapest market is the best to buy in, inasmuch as the outlay for a specific object is reduced, and more of the individual or national capital is left for investment in other things. We have seen fiirther, that a high price of bread is sooner or later accompanied by the prostration of every other interest but the agricultural ; and we have seen that m'oney was of less account to a community than loaves of bread. If a specific quantity of money, circulating throughout the coun- try, were only needed to bring every comfort to every door, and to banish misery from the social state, there would have been some intelligence manifested in the wish that money should not be sent abroad, but under the English Com Law, r BOBT AND PBACnCE OF THB kept at home, to enrich the English farmer, that he might be the bettor able to give employment to the laboring poor ; and the world would have learned a lesson not to bo forgotten : but money has no such charm, and in its growing abundance, there is reason rather for uneasiness and alarm. One condi- tion of every mercantile revulsion, in the history of the world, has been the existence of too much money , and one invariable condition of recovery from commercial difficulty, has been the practical limitation of the supply of gold and silver and paper bills. Such being the case, it is wonderful that Eng- land, under the onerous, self-imposed obstacle of the Com .Law, made the material progress that she did in manufactures and other things ; and her manufacturing and social develop- ment since the abrogation of that enactment, is the most con- vincing testimony of the expansive and beneficial influence of domestic and international trading intercourse being let alone. The United States admit these principal articles of Eng- lish manufacture, with the two-fold purpose of raising rev- enue, and giving moderate protection to native industry. With the principle of the first named object, this inquiry has properly no concern, as government being instituted for the common good, must in some way or other be supported from the common wealth, but it is within our province to indicate the influence which these imposts exercise. This will be best accomplished by illustration. Supposing ten barrels of Lon- don porter, costing ten dollars each, or a hundred dollars in all, are landed in New York ; that there is no duty charged by the United States on the commodity ; and that the aver- age profit in the porter trade is ten per cent. : then the im- ported article goes into consumption at eleven dollars per barrel ; and a family, consuming one of those per annum, has so much taken from its income, and so much less left for in- vestment in other things. Under these circumstances, there would be free trade in London porter; the selling price would be as low as possible, and the greatest possible induce- ment, as a consequence, held out to consumption in the United States. The shipper of London porter from Liverpool, would TRADB OF UNITED STATES AND ENGLAND, 76 — V- experience the most active demand that he could look for, and would invest to an equivalent extent in the produce of thi9 United States. If this trade wore lot alone, it would lead, of course, to the creation of a class of porter drinkers, and if placed under restriction, these drinkers would have to pay a higher price ; or in part give up the indulgence, if not altogether ; or take to something else. Three alterna- tives, therefore, present themselves, if we shall say, a twenty- five per cent, duty is imposed, and the price of a barrel of porter raised from eleven dollars to thirteen dollars and a half. The question then is, which of those alternatives shall be chosen by the porter drinkers. If obsei-vation were ad- missible as to • the consumption of other things, when the price was raised by the imposition of a duty, the conclusion would bo, that a large falling off in the demand would at once follow. Less London porter would be purchased, les(^ imported, and less American produce shipped to Liverpool. There would absolutely be less consumed, and the insoluble questions remain unanswered, whether some would thereby cease drinking altogether, and whether some would take to drinking something else. One class of thinkers may be said to hold, that consumption, to a certain extent, would cease absolutely, as it was the mere love of London porter, by itself, that induced the purchase, and parties would not neces- sarily indulge in other drinks ; and another class of thinkers may be said to hold, that another kind of drink would neces- sarily take the place, of the discarded London porter, and the aggregate liquor consumption be kept up to its former standard. This view of the porter case, places in a striking light, the question of free trade or protection, while showing, at the same time, the influence of taxation, in diminishing the con- sumption of particular articles. It is, perhaps, no great mis- representation of the free trade theory to say, that the effect of taxation, even for government purposes, is to diminish consumption absolutely, as it so far constitutes an absorption of the national income, and leaves less to be employed by the people ; and the positive doctrine of the protection school is 76 THEORY AND PRACTICE OP THE mm w^ !;:':-ii this, that cousumption is not diminished hj duties on foreign . products, but on the contrary, that consumption passes fully from the foreign to the domestic article. The doctrint; essen- tially is this ; that in the porter case, consumers to the full extent of the falling off in demand for porter, will go upon lager beer, and the home manufacturer be benefited to the full extent that the business of the foreign shipper is cur- tailed. This may be so, but probability is quite as strong the other way ; and if we shift the issue from articles of drink to articles of manufacture, we shall find the rule absolute, in favor of the theory of free trade. Would it not, indeed, be a high tariff that would induce American ladies to discard the products of the looms of Lyons, or Spitalfield, for the calico drapery of Massachusetts ? or to induce the merchants and mechanics of the United States to substitute the hodden gray of Providence, for West of England broadcloth, and the stuffs of Bradford? Scarcely any amount of protective duty would lead to the substitution of the one article of diess for the other ; but in proportion as the duty was high or low, would people be disposed to wear their clothes a longer or shorter time. Protective duties may fall short, therefore, in inducing the consumption of one article for another, and pro- tectionists may be running after an ignuus fatuus. People may be found who would not drink at all, if London porter, Portugal wine. East India sherry, or Cognac brandy, could not be had ; just as people may be found who would wear faded silks and satins, and threadbare. broadcloth coats and pantaloons, if they could not always afford to show off and wear the full pile and finish of the loom. So far, then, as articles of luxury are concerned, a pro- tective tariff is a great mistake, as unless domestic products have some distinctive relish or attraction, of their own, no relish or attraction can possibly be given to them, by hedging up more closely such articles as are inherently possessed of such qualities ; and we have seen already that in proportion as a protective tariff lin^its the importation of foreign pro- ducts, it necessarily imposes a check, also, upon exportation of domestic products to foreign parts j international trade, in TBADE OF UNITED STATES AND ENGLAND. 77 in Low, or in the long run, being nothing more than the balancing and paying of one commodity with another. There is an assign- able and defined limit for the business of a nation, and that limit for the year will be found in the annual values pf exported and imported articles, and if more or less has been done in one direction, more or less has necessarily been done in another ; e£fort being essentially circumscribed ; and the question of the comparative accumulation of national wealth, would be determined on the one principle, whether the national energies had been exerted in the direction in which the national advantages were the most. The question of advantage, on theoretical grounds, is, therefore, the one for the United States, as it is for England and other countries. A nation, like an individual, would find its energies best bestowed on those pursuits which yielded the most return, and in exact proportion as it devoted itself to productive or unproductive objects, would be its progress in the accumulation of those utilities known as wealth. But while strict abstract theory would turn every country and people to the most utilitarian use, it must be confessed that it is applicable, in a limited sense only, to society, as at present constituted in this country and in England. People are not so much led to the choice of investments, or occupa- tions, by the mere return which these will yield, as by the current of individual association and desire. A man is not unfrequently a banker, or ship-owner, or merchant, just because his father was one before him, and the current of his thoughts are in that direction, irrespective of the great profits of western farming, or any other thing. He chooses to invest his capital and make his living in a particular kind of way, and if he pays his debts and fulfills the duties of a good citi- zen, no one has a word to say. Another man may take it into his head to import silk worms, or tea plants, and begin the production of silk or tea ; and if, by the experiment, he loses all ho had, the loss may concern no one but himself, and should not properly excite remark. In the same way a man in Massachusetts may begin the manufacture of laces or of sewed musliu goods, although his profit would be really 78 THEORY AND PRACTICE OF THE \m M.! greater to send money across to Glasgow and bring similar articles of Scotch and Irish manufacture ; and for the same reason that people in the United States will be found to buy Yankee notions, although they could buy other and better notions cheaper, so people will be found in England to give a preference to American flour over flour of English manu- facture, and to the vertu of any country but their own. It is the same in skilled or manual labor. It is the agree- ableness of an occupation that determines the choice of one ; the facility of its being learnod that weighs with another ; the steadiness of employment, the trustworthiness, or the probability of success, that decides the fate of others. Little attention is given to the abstract question of the advantage of the country, in one pursuit, compared with another, but each individual acts agreeably to his humor, leaving theory and the nation to mind themselves. We are, therefore, to look for the growth of manufactures and the development of mechanical art in the United States, as well as in England ; and we are not to suppose, that some time or other, agriculture will cesise to be prosecuted in the British Islands. That would be an idle expectation, although theoretically the interests of both countries point in that direction. England will continue to produce the great bulk of the breadstuffs which she consumes ; and every year will add to the manufacturing productions of the United States, and to the opening up of new sources of mineral wealth ; but it does not follow that the United States is to manufacture on cheaper terais than England can, nor that England, with all the appliances of art >:) its soil, will succeed in growing wheat as chuap as wheat is grown on the virgin prairie of Illinois. It is not in the nature of things, as at present con- stituted, that these consequences would bo brought about, even by the aid of protective duties, and when protection is advocated, the utmost measure of its influence should be understood. The United States may protect its native indus- try, and by that means exclude foreign products, and from the pockets of the people build up a powerful manufacturing interest within its borders ; but after years of fostering care. TRADE OF UNITED STATES AND ENGLAND. 79 the capital locked up in buildings, and the capital available' for buyiLg raw material, and paying wages, would bear but a faint comparison with that existing in the English Midland District ; and producing cost, as it is to-day, would still be against the United States. English supremacy in that depari- ment would still relatively be the same, and the race of man- ufacturing competition not less hopeless than it is ; and as England, as we have said already, did not found the science of agriculture until after the abrogation of the Corn Law, so may the manufacturing interests of the United States make less real progress, behind the shade of protective duties, than with an open field and no favor. It seems to be a principle of human nature, to proportion effort to some specific end, and if that end is more easily attained by extraneous circum- stances, then effort is proportionately abridged, and the result precisely similar to what it was before the influence of extraneous circumstances was brought intooperation. It is to be observed further, that however abstractly right and proper it may be for the unemployed in the cities of the United States, to scatter themselves upon the western prairies and turn their services to the best account, and there is a strong influential current of public opinion setting in, in that direction, still the friends of real progress must feel satisfied that the associations and the humor of the class must be considered, and their usefulness made available in their own peculiar way. Chicago, for example, may have a special natural adaptation for an agricultural and trading centre, and manufacturing may, abstractly, be the least profitable thing that her citizens can put their hands to ; but the associations of the great mass lie in that direction, and if in following these pursuits, the return and wages of labor were less than in those departments in which the advantage of the city were the most, still the operatives would be not less pleased and satisfied. It seems as if the resolution of the immigrant, as to adapting himself to the circumstances of the country, breaks down when he reaches his destination, and that he seeks to devote himself to the same habits and pursuits in which he indulged at home. The necessity of 80 THBOBT AND PBaGTIOB OF THE " 1 , 1^ If \s using this class is, therefore, forced upon a city and a coun- try, and there is no doubting, that if more of the capital of the citizens of Chicago had been devoted to the employment of reproductive labor, and less to building costly stores and private dwellings, that the present circumstances of the city and the people would have been much better than they are. One of the most practicable ways of turning the attention of the working class to prairie life, and weeding out old world habits and associations from their minds, is in the better regulation of the sale of public lands. As things are, whole tracts of country pass into the hands of corporations and jobbers, and a positive check is imposed upon the agri- cultural settlement of the country ; and until a positivo legal limit is placed upon the price of prairie land, as formerly and is still placed upon the price of money, no real compaiative progress will be made. If the principle of such a law is good, in the case of money, it must be good in the case of land, which more concerns the interests of this Western cocn- try, and is subject to more abuse. Passing from these prE^clical considerations, the comparar tive advantages of England and the United States,, in the production of the principal articles of export, from the former to the latter, forms the proper subject of comparison and remark. Those articles, exported from the United States to England, may be dismissed without further com- ment, as it may bo presumed, Eagland will not aspire to produce them for herself ; while with respect to the former, there is a strong desire manifested, in the United States, to develope the manufacture of those commodities receivt .4 from England, with the view equally of supplying the domestic trade, and competing with England in foreign markets, in the sale of these articles. The wages of labor we take from the compendium of the census of the United States, and from Porter's Progress of the British Nation, official author- ities rf the same date and value : \im, TRADE OP UNITBD STATES AND ENGLAND. 81 UNITED STATES. _ L_ ENGLAND. Massachusetts Cotton Spinning. Carpenter Laborer. Manchester Cotton Spinning. Carpenter Laborer MAIiB. TEMAIS. XALB. TBHALB. $6.75 $8.40 •8.70 $6.64 92.90 •3.05 •9.64 •1.93 £l3a'8d 14« £116«10d £17* 12ff 886d 10« 6d 8s These are average weekly wages, and the reason why a la^ orer is ^ lid more in Massachusetts than a cotton spinner, is to be found, probably, in the fact that the one is steadily employed, and the other employed only at uncertain intervals. On the subject of wages in the United States, the compen- dium, (p. 164,) has the following : " The Commissioner of Patents in 1848, sent out a circular to all the States in order to ascertain the rates of wages paid by the agricultural interest. Answers were received from most of the States, which showed a remarkable uniformity. The average wages per month to field laborers, with board, ranged from $10 to $15 for the whites, and from $5 to $12 for the slaves ; the average for female domestics, with board, ranged from $4 to $6 for the whites, and $3 to $5 for the slaves. The average wages of mechanics from 75 cents to $1.50 per day, reaching in Texas as high as $3. dpon the whole, the rates seemed to be lowest in the North- West and highest in the South- West for white labor, the South and the North differ- ing but very little." Since 1850, wages in the United j,te8 hare advanced trom twenty-five to fifty per cent. ; but consequent on the revulsion, are again on the decline, and considering the difficulty that exists generally in getting work, and the still greater difficulty in getting paid, the average this Spring, is not greater, if in reality as high, as in 1850 ; while in many parts, the cost of living has fully doubled. In England, wages have also advanced since 1850, and are again on the decline, but the cost of living there, is much less than it then was, and the same money rate of wages would be equal to 6 82 THBOBT AND PBACTICB OF THE I H f ii i !■ considerable advance. Duties have been reduced largely, on many of the prime necessaries of life, and the benefits of im- proved production, in articles of dress, have been fully realized, while house rents are the same. It seems then, as nenr an can be, that labor is twice as dear, in the United States, as ii is in England, and a com- parison of equal numbers of the working class of both coun- tries, would indicate a pretty close resemblance in the social state of both. The Massachusetts laborer, although receiving greater equivalent than the Manchester laborer, for the same service, has more t j pay for almost every article ^at he cousamcs and wears, and as a general thing, the rents of workmen's dwellings ece from ten to twenty times cheaper iii England than in the United States. Laborer's dwellings can be had in the one country at from $5 to $25 yearly, while in the other from ^50 to $100, is the rate. The best proof, perhaps, of the relative cust of iiviDg, is in the official fact that the average weekly board, to a laboring man in Massachusetts, in 1850, was $2.12^ while at the same period the weekly wages of a working man in Manchester, was $1.93 only, and it is well known, that from that pittance, the laboring class in England can afford to raise a numerous family. Here, in Chicago, where the greatest primary col- lection of grain is made annually, and where usually the market price of wheat is just half what it is in England, bakers' bread is really dearer than bakers' bread in London, and what is more, the quality is bad, and this is owing wholly to the high renting and high service paying system, which, of course, are merely other names for a depreciation in the purchasing power of money. If fifty cents provide in one community, what a hundred cents provide in another, the condition of the laborer receiving fifty cents is precisely similar to that of the laborer receiving twice the sum, but people seldom realize the force of that truth until, under different circumstances, the experiment has been tried. Considering that labor enters largely into the producing cost of manufactures, and that the tendency of wages, in the United States, is to advance further, as the North-West be- TRADE OF UNITIID STATES AND EKGLAND. 88 'K )T le comes settled and opened up ; and that wages in England have a tendency to decline, as the country becomes more ' densely peopled, England eiyoys an advantage in manufoo- tores not enjoyed by the United States, and the same in] kind as that ei\joyed by the latter in the growth of wheat. The , English laborer does tbie same measure of labor as the Amer- ican laborer does, and is paid half the price that the Ameri- can Iftborer is, and the product, so far as labor is concerned, is produced with an advantage of a half in favor of the Eng- lish manufacturer. Under such circumstances, competition on the part of the United States is absurd, and as well may England talk of competing with the United States in the growth of wheat. It cannot possibly be done, and no course or period of protective policy would avail, unless in the one case, accompanied by a forcible reduction of the price of manufacturing labor, and in the other case, accompanied by sufficient organic changes in the formation of the soil. To buy the articles in England that we do, is, therefore, to buy in a cheaper market than our own ; and apart altogether from the fact that if we are to send commodities abroad, we must necessarily receive commodities in return, the import of these commodities, on the principles of common sense and daily individual practice, would be advantageous to the mass. The theory of the trade of the United States and England may b3 said, therefore, to consist in the recognition of the mutual benefit to be derived from the international exchange of those commodities in which the natural or acquired advan- tages of each country is the most ; and by the practice of the trade'of the United States and England, the mere mechanism of the trade is to be understood ; and to this latter we now proceed. The great bulk of the trade of the United States and Eng- land is conducted by middlemen or brokers. In New York and other leading ports there are a few large importing houses, having connections with the English manufacturers, ans these houses receive orders from their constituents through out the United States, and consignments from England, to bo realized on account of the English manufacturers. Besides 84 THIOBT AND PRAGTIOB OF THE f ■,iv , J. — -( *? ' V Itlll this class, there is another in a less influential position, who, with banking facilities on the spot, are enabled to appoint agents or representatives of themselves in the leading ^English towns, and these agents hunt up consignments to their princi- pals, who in turn fill orders received in England from American produce dealers. Precisely the same system obtains in Eng> land. There are a few heavy importing houses, supplying . their customers throughout the country, and receiving %tuff on consignment from American shippers ; and a few heavy exporting houses, giving advances to English manufacturers, and making consignments to thei^ friends in New York and elsewhere. There are also the smaller class of men who do much the same thing in a smaller way, operating more on business knowledge than on means. Considering the magni- tude of the interests involved, amounting last year to an aggre- gate official valuation of $216,600,000, of exports and im- ports, it would seem that interference is calculated to inflict as much harm in the United States as it possibly could cure. These heavier United States and English firms transact the bulk of the exchange business of the two countries, and a moment's consideration of the intimate relations that sub- sist between them, gives a clue to the otherwise inexplicable subject of buying and selling bills, and sending and receiving the precious metals. These firms may draw on their corres- pondentl at the other side, and if the exchange or draft is considered good, it can be sold upon the market, and if the parties drawn on do not already hold property against the draft, property is at once transmitted, and no possible irregu- larity suffered to occur. The property transmitted may be either produce, or gold or silver, as the drawer of the draft may consider most advantageous to himself. Exchange bro- , kers, who of course are understood not to trade, cannot avail themselves of the privilege of shipping produce to their cor- respondents, and in the event of no bills being offered on the market, they have no choice but to ship specie against their drafts. In this way, for example, a banker in Chicago draw- ing on Liverpool, and selling the exchange, applies to his cor- respondent in New York for a bill on London of equal value, m TRADE OF XPmm BTATBEf AND KNOLAND. 86 r to reimbane the firm he drew upon, and in the event of no sterling bills being offered, his correspondent has no alterna- tive but to transmit specie. All, therefore, that a G^ioago banker has to do to enable him to draw on Europe, is 'to get authority from an English banking house, and that is procured through a satisfactory introduction; and the authority is gran^d on the understanding that drafts will be accomparied by collaterals covering the amount. The practise is the same from the other side ; and shows how little the theory of the balance of trade has to do with the subject. Besides bankers* or credit drafts, there are those protected by property, and* known as document or hypothecated bills, and through the instrumentality of the one or the other, inter- national transactions are settled up. The first are based on satisfactory mercantile or banking credit, and consists in a house of known character or a banker of known responsi- bility giving assurance that for a specific purpose, he will accept the drafts of so and so, according to a given tenor. These bills are known as credit bills, and in some markets are more easily negotiated than the other. The other class of bills are based on an absolute hypothecation of the property, to the party who buys the exchange, and the buyer holds the bills of lading, the title to the property, until the bills are paid. A large proportion of the export trade of the United States to England, is done in this last named way, and it is in fact the only way in which people, unless people of the first standing, can operate at all, A Liverpool or Glasgow agent sends out his orders to New York, and the New York house buys the stuff free on board and draws against Liver- pool or Glasgow for the total shipment. To these bills he "attaches the bills of lading and the insurance policy, and sells them in Wall Street to the best account. The bills and docu- ments then cross to Liverpool or Glasgow, and the agent drawn on, if necessary, values on the paities to whom the stuff was ordered, and applies the proceeds to the release of the hypothecation. In England, the system of hypothecation does not obtp^in, it being a rule with bankers there, to decline all business i^ which there is not full confidence in all the 86 THEORY AND PBAOTIOB OF TBI parties. Shipments to the United States are, therefore, drawn for on the credit principle, and the United States receive what are iknown to the trade as clean bills of lading ; that is, the bills of lading are under no hypothecation, bat give absolute possession of the property without limitation of any kind. To this practice the development of English trade is largely owing, and so long as English traders have the privilege of doing business on credits, while other nations are trammeled with hypothecation, they will largely influence the supply of every market. To prosecute trade between the United States and England, or between any one section of the world and another, no diffi- culty exists, if parties are possessed of means. A man with wheat in Chicago can ship that wheat to Liverpool, and instead of waiting until his wheat reaches there for the release oi^ his capital, he can put himself in communication with the repre- sentative of an English firm in New York city, or with an American firm, having a house in Liverpool or London, and on consigning his wheat to these parties, he can at once, in Chicago, receive nine-tenths of the market value as advance, and receive the balance when the stuff is sold. In that way, any one can send stuff to any market and receive at once a large proportion of the value in his hand. Li much the same way anything is to be had direct from abroad by a man pos- sessed of means, whether those means are in the form of merchandise or money. He can import the stuffs of Brad- ford, the cottons of Manchester, the wines of Portugal, the coffee of Brazil, the tea of China, or nearer home the sugars of Cuba. He has simply to secure his banker, and the banker will clear the way for him to embark, either in the import or export trade with any nation. He will arrange it so, that no money will require to be paid, until the desired property or its title is actually received ; and so that on any export shipments liberal advances shall be received. Supposing a Chicago firm desires to establish business with a firm in Liverpool, and to make wheat and corn shipments by the St. Lawrence route, it is not necessary for. the Chicago firm or the firm in Liverpool to have an equiv^i^ent amount of TRAMB OF UMmD STATB AMD WOLAIID. cash in hand against the shipments. Nothing more is needed than that the firm in Liverpool get their banker to pat up oredit for them in London, that is to say, get a London banker to express, in writing, his readiness to accept the Ghicago drafts, either on presentation, with documents or without them, and that agreement of the London banker will com- mand cash in anticipation in New York city. Gash in New York city is, of coarse, easily controlled in Ohicago, and , thus the shipments would be made without any cash in hand by the Ghicago firm, and tho payers of the shipments would be the parties in New York to whom the exchange was sold. That exchange would go on to London, and, according to the arrangement of the London banker, he would pay the money. '](ntemational trade is, therefore, as intelligible and as capable of being conducted with as little capital as business is at home. Nothing more is needed bat an intelligent banking system, that will, at least, not be afraid to le'^d its credit under produce hypothecation, until the hypothecation shall have been released in New York or Montreal ; and a banking system without intelligence and promptitude for that is good for nothing, and an obstacle to something better being instituted in its place. Nora. —It U vary geMrally suppoted tli*( while Bnglaad pnuehta frM tnd« to all the world, the proteota her own manuiketaiee by high proteoUre datlee. Thst U limply % mistake, »nd the fbllowing, from the Britlab ftnd American TiffUb, will let the matter flnaUy atreit:— BBITISH TABITF. 1858. C6tton Uuinflwtiiies— From India, /r*e. From other parts, 6 per eent. on value. 811k Hanuftctures— From Oolonlea, 6 per cent, on value. From other parts, 15 per cent, on nine. Fartiealar styles at lower rates. 1TKITBD STATES TABIFF. 1868. Cotton Mannlhntnres — 24 per eent. on value. Silk Manulltotuie»— 19 per cent, on value. bh >y IMAGE EVALUATION TEST TARGET (MT-3) 1.0 ■^ Uii |2.2 1.1 l.'^'Ka iimsEi - ' ^ ■ ■ ■; IIL25 lU 11.6 " ^ 6" ► Photographic Sdences Corporation 23 WEST MAIN STREET WEBSTER, N.Y. 14580 (716)872-4S03 .^ <^ \ ^ '^ o y 88 THBOBT AND ?BACnCB OP THE The following tables embrace the aggregates of the United States and British trade from 1857 back to 1850, as borne on the Trade and .^avigatioi^ returns of the United States : EZPOBTB VBOM THI T} .s.„ IXFORTS IHTO TH> U. S. 1857. Total to all parts, " to Britain, $338.9 182.6 1857. Total from all parts, $360.8 " from Britain, 130.8 1856. Total to all parts, " to Britain, $310.5 160.7 1856. Total from all parts, $314.6 '' from Britain, 122.2 1855. Total to all parts,, " to Britain, $246.7 133.9 1855. Total trow. aU parte, $261 .4 " from Britain, 106.5 1854. Total to all parts, " to Britain, $252.0 139.1 1854. Total from aU parts, $301 .4 '< from Britain, 146.4 1853. 1852. 1851. Total to all parts, " to Britain, Total to all parts, " to Britain, Total to all parts, " to Britain, $213.4 117.8 $192.3 64.3 $196.6 110.0 ' 1853. 1853. 1851. Total from all parte, $267.9 " fromBritfdn, 130.2 Total from all parte, $20848 " from Britain, 90.6 Total from all parte, $216.2 " from Britain, 93.8 1850. Total to all parts, " to Britain, $136.9 68.6 1850. Total from all parte, $178. 1 " from Britain, 75.1 Non.— Tba flgniM abore axe millloiu and dadinal nurti of mUUoni : thns $888.9 iMda §888,000,000, and M on. The importance of the British trade to the United States may be gathered from the following statement of the exports to British Possessions in 1857, as compared with the total exports of the country : 1857. Total Expobtb fbom U. S. Domestic Frodaoe $338.9 Foreign " 23.9 $362.8 222.6 Total U. S. Exfobts to Bbitibb F0BBBS810RS. Domestic Produce $214. 7 Foreign " 7.9 $222.6 Leaving $140.2,' Exported elaewhete than Brittih PoMMdona. Total Ihpobtb or U. S. From all Cotmtries $360.8 168.5 Total U. S. Impobtb From British Possessions. . .$168.5 Leaving $202.3, ' Imported ftom other parts than BriUah Poneealou. TBADB OF UNITED 8TATHB AND ENGLAND. 89 In round numbers, therefore, England and her depen^en^ cies take two-thirds of our gross exports, and w.e receive less ;than half of our^imports from England and her dependencies. The position of the trade of England to our o^ is brought out also by the following figures : 1867, Total Bbitish Expobts ToallparU £122.1 19.1 Total Bbitiih Expobts , To United States. £18.7 " California 4 Leaving £103.0, Britldi «zportB to parU othef than the Valted StitM. £19.1 Nora.— VlM flguw aboTO mo milUoni rad dvolnul parti of Billleafl ; thai #123.1 loadi tm,100,0(IO. CHAPTER IV. THEOBT AND PRAOTIOfi OF THE TBADE OF THE UNITED STATES AND CANADA. % Canada is at present agitated by au influential protection movement, and a commercial rapture is warmly advocate4 between the Province and the United States. There seems to be a difference of opinion, both in Canada and in the United States, as to whether the one country or the other has gained the most by the Treaty of Reciprocity, and it is maintained that unless the balance is to be held even, the country whose advantage is the least, should cut ' the connection and take things its old way again. That seems the easiest way of settling up the matter, but a perusal of the Treaty of Reciprocity,* at the close of this chapter, will show that there are more than two to the bar- gain making. England, and not Canada, is the contracting party with the United States, and the abrogation of recipro- city lies solely and alone with the United States, and that only after the English government shall have excluded Amer- ican vessels from Canadian waters. Even after that unlikely action on the part of England, the United States may prolong the trade untilone year after 1864, when England shall have notified the United States, of her wish to discontinue the free interchange of the free produce. Without entering furtiier into that matter, those more imme- mediately interested in the dispute might be asked, by what means they are to determine the delicate question of the rela- tive benefit derived by the United States and Canada in the reciprocity or other trade. How is one thing or another to be made out about it, in the face of the fact that either trade is voluntary, and never undertaken without a motive ? Then, is it reasonable to suppose, that if the western trade were TRADB OF imiTED BTATBB Aim tlMADA. 91 to de profitless : if it were liOthing for Oanada to hare the produce t give credit, but as a general thing takes it, and is delinquent to the above named extent, in the space of two years, it is inconceivable that present prostration there has anything to do with importations from the United States, or from other parts. Besides : the number of bankruptcies, in two years, only bears the proportion of a sixteenth to the whole number of existing stores, a relation which even were the number of bankruptcies a proper test of the conditiqp of a country, would not account for the condition in which the Province is. Some other connection of effect and cause must be, therefore, looked for, than that imj^ed in the receipt of property which is retained and never paid. Obviously a reci- pient is no worse off after receiving goods than he was before, but his position is so far improved, and so is the position of the community in which he lives. An addition has been made to the aggregate of useful products or of wealth, and no pos- sible difficulty or embarrassment can result from such a cause. If difficulty were sought for fti connection with such a case, it would be found undoubtedly, on the side of the sender, who had parted with something for which no return had been received. Supposing an English capitalist died, bequeathing to Canada a million of dollars' worth of ready made and other clothing, would a mercantile revulsion be apprehended, after the bequest had been received ? and what practical dif- ference to Canada if, instead of a bequest, two or three Mon- treal clothesmen bought a million dollars' worth of clothing in New York, and give notes for the amount, which were never paid ? The position of Canada in either case would be the same ; it would be one million dollars' worth more wealthy than it was before, and if it chose, might reship the clothing to England or New York, and draw its market price at the time of sale in the precious metals. Such is trade, and such 94 TBIOBT AND PRAOTICV OF TBI tha unoomproEiising dcmditimi of an old protection dnam. Ihnery basmeii man is awaEe, that eoali will be sent to New- oaetle if thtty oauwi be sent elsefwhere, by the needy trader, and that even these coals are oonTortible into coin, and oomc^ seqaently are as goodas gold. • Another twami for Oanadiui diffioolty, is the alleged nndne proportion of the popolation «igaged in agricnltnre. At the recrat meeting of {n-oteotion ddegates in Toronto, Canada West, the bane of t^e Province was broadly stated, to be its agricoltore ; and Ifr. Isaac Buchanan, a member of the Pro-' vincial Parliament, and a merchimt in Hamilton, thus spoke of the uncertainties and blanks of the baokwoodsnan's life: ** The farmer was deeply interested in pio?iding diversified em^pyment, from the risks attending on the continued culti- vation of wheat. First, there was the risk of the ravages of the insect; second, there was the uncertainty of Hie crt^; and thirds there were the chiinces of a market after the crop had been obtained." Any old countryman, with a hankering after Canadian life, and a piece of real estate of his own, had better think of these remarks, before he risks himsdf in Canada, if Mr. Buchanan is to be believed, and come West, whero there is no uncertainty sit all, and where stuff every where will find a ready market. The great incentive to enn- gration to this country from Eur#pe, is the low price oi land, its great productiveness, and the facility with which it can be reclaimed. Not one emigrant in a hundred leaves Europe, with the purpose of following out his occupation or profes- sicm on this continent, but all cmne to be sosiething else, and to be better than they were, and whatever change tiieir senti- ments may undergo, when the discovery is made that the country of their adoption differs little or none at all, in its aspects and relations, from the country whence they came, it is an acknowledged fact, that comfort and competency, in the last resort, either on the prairie or in the woods, has done the most to bmvc the mass. To say then, that agriculture is not worth the following, that it impoverishes the farmer and 'the people, and that manufiEUituring alone builds up a people and a nation, is at once to destroy the inducement which the TRADB or UKITBD STiffB AND OAVADA. 96 Engliih have^ aad to iend them, dlsewhore, if It does not; satiifytlwiik aifbarwardiAwHh home. The delegatttatTo- rontoy il 11M17 be aafely Baid^ did not wish that impresaioii t» go abroad, bat sought only to make their irei^ oaaei as atrong as poeaible. They had made up their minds that ma** ofiistariBg ima the thing for Oanada^ and knew, of eonrse, thai, tiie^ new regime oonld have a ohanee only when agrienl^/ tnre^thfr opposing interest, had been crashed. All poetry^ was taken for the moment, therefore, from tha oecnpatilon of the soil in Canada, and it will be fortonate herrafter, for the Province, if the foolish speeches, at the foolish Toronto gatherings are foi^otten. Wc, Buchanan has lived to see his prise essay theory of protection to. native industry rooted from tiie minds even of a tory English government, and thai should have satisfied him that his apprehrasion of the 'SiA^* jeot was contracted and unsound ; nnd oomm counterpart of Niagara, or of many things tbat tiie United States and Canada have in common ; but in the United St, :v.v-' and Canada, as in England, two and two make four, and tO' buy in the cheapest market, is to make a saving, and to sell' above cost, is to make a profit. On these plain issues, the . science of political economy has been raised, and its teaohr ings are not more positive in Dan, than in Beersheba. When the Provincial theorist goes the length oi saying that there is one system of political economy for England, and another for the United States and Canada, he should make his asserlioa good by showing what the other system i6, and until he does so, unsupported statements are good for nothings We are free, however, to admit that it would be a benefit to Canada, if English and other immigrants landing in the Province, and not relishing the idea of shoulderii^ the axe, and going iiito the primeval forest, to carve out a living in 96 THBOBT AND PBAOTIOB OF Tin the rade, oheerlesi way that the backwoodsman doe«, eoold settle down to the business or 1iie*occapation wMoh they fi^owed at the other side ; bnt it is a grievous error to rap* pose that the growA of Canada is contingent on all continn* ing in the Province that come along. It would be, of course, a benefit to an individual riiopkeeper if all the people €ii the villi^ or the town, made their purchases at his store, and a benefit to all diopkeepers if every person entering within their premises bought large bills of goods ; but no individual shopkeeper calculates on having a monopoly of trade, and under competition^ it has not unfrequenUy been found that prosperity has been more sure and certain, than when there was no inducement to please and to display ; and shoidceepers in general, are pleased to show their wares to a dozen people ifhappily they succeed in making a single sale. Why should it be otherwise with a new country ? Why should people not land in Oanada, and IooIe around them, and be at perfect liberty to leave for other parts if they were not exactly suited, just as people are at liberty to leave a tailor's or a dry goods store* if they do not get the precise thing they ask for ? Would it be better for the Province to bribe such to remain ; or for the shopkeeper to give his goods for nothing, if no purchases were made ? That is the real point at issue, when laborers and others are referred to, as going from Canada into the United States, and what protectionists are drivitig after, is the offering of Inducements that tue move- ment may be stayed. They have no confidence in the resources of the country, and wish to sqpply what they be- lieve is lacking, and to raise tiie superstructure of Canadian empire on an artificial basis. Here, they exclaim, we have raw material in abundance, and nothing more is needed to add infinitely to the population, hut that, instead of buying manufactures from the United States and England, we work up the raw material for ourselves. Then, the Paisley weaver will make his home here, and the factory girls of Wigan and Preston come out in shiploads, and while we profit by the industry of these, the former will have the benefit of a home market for his produce. -Canada will then profit by immigra- TBAra Of uMiriD mim and oamaoa. W tion, and not be oyenhadowed by Us powerfal neig^iboi', but make comparatively as rapid strides in material greatness. The fisjlacy involyed in that, reasoning ve have already noticed, and it is nnneoessaiy to repeat the demonstpatton here. It is nothing to the farmer whether the market for his prodnoe is a home or a foreign one, so long as he receives his payment, dnd it is nothing to the consumer, where articles of apparel come from, so long as he has them at a moderate price ; and as Canada cannot possibly manufaotare on terms equivalent with what manufactures can be purchased in the United States, while a large profit can be realized in the growth of Ganadian cereal products, and in the preparation of Ganadian lumber for the markets of the United States, the growth of Ganada in wealth will be in proportion to t)ie employment of its ener^es in the production of those 0(mi- modities in which its advantage is the greatest or the least. If, by growing wheat or hewii^ lumber, Ganada can buy the manufactured or imported articles of the United States witii an advantage of a half or fourth, the Province will make rapid progress by devoting itself to the development of these industries, and leaving weavers and others to nund them- selves ; while if, by manufacturing, Ganada produces manufac- tures at a higher price than manufactures could be purchased, then Ganada will make ^no real progress, but soon be eaten up by paupers and poor laws. The Treaty of Reciprocity is the next grievance to be noticed, and it is only fair to Ganada to say, that there is a strong feeling in the United States in favor of abrogation* At the dose of this chapter, considerable light is thrown upon the sources of national opinion by the point of view from which the protectionists of boA countries make their start. Americans look at Ganadian trade through the medium of their own returns for the iiscal year ending 80th June; and Ganadians look at United States trade through the medium of their own returns for the fiscal year ending December 31st. Now, it is to be observed, that by the 30th of June, Ganada has just sent its first rush of pro- duce through the Erie canal, and, as a general thing, has 7 96 tBIOBT AND PlUCnOI Of THB then imported liw from tht Uiited States than it hM exported; «nd the AmerioMi diwiple of the Beknce of Trade sohool sees mio in the buiiness, and decides against the treaty. The Oanadian, on the other hand, looks at the United States trade when the business of the year is over, and when the Prorince has supplied itself fidly from its neighbor for the winter and early spring trade, and finds that the balance of trade is most wofhlly against Oanada, and, forthwith, 1^ exclaims against the treaty also. Both look into the matter at different periods, and at that time precisely when it hi^pens that the balance is most against the ono conntry, and in &yor of the other, and thus theo- retical error is perpetuated and sustained. A little more intematitmal reciprocity in the article of toade returns would clear up this matter so far, and the departments at Washington and Toronto, or Ottawtt should keep this point in view in future. On the 30th of last June, the balance in fkvor of Oanada and against the United States, by the United States Treasury returns, was $1,716,989, and on the 81st of December tiie balance in favor of the United States and against Oanada, by ike Trade and Navigation returns of Oanada, was £1,754,458 currency, or $7,017,812. The value, m Oaatda to the tjnited Stales, without qnestions being asked, or eittiilar fMi of any kind being paid. This btate of trust and oonfidenoe con- tinued until the spring of the present year, 1868, when the United States Treasury found it neoessary to place restrio* tions upon the trade. It was disooTered that under the Treaty of Beoiinocity, Canadian millers, particnlarly in the Welland district between Lake Erie and Lake Ontario, where the best water power on this o(»tinent is to be found, were in the practice of drawing supplies of wheat tnm Chicago and other pwts in the United Statee, and grinding the wheat into flour, and afterwards shipping the flour into the United States as the produce of the British Province. Such a prac- tice, it is unnecessary to say, was a breach both of the spirit and letter of the treaty, and the United States, not with the Tiew of protecting its millers, as has been alleged, as millers are, generally, a scarce commodity in the United States, and not needing the protection of the government, but with the view of preventing the statistics of both countries from being inextricably confused, have made it obligatory on shippers of free produce to the United States to make decla- ration that such produce is the growth and produce of the the British Province. That is all that has been done, and is all that can be done by either country, so long as the treaty remains in force ; and if for regularity in the decla- rations, the United States require these to be counter- signed by their own consuls, they have a right to do so, and England may do the same. Against that action by the United States the present outcry has been raided, althojgh, in the end, the tax will fall, generally, upon the consumer in the United States. As a general thing, Canada will advance the fees only, and be reimbursed fiilly from the other side ; tiie charges in Canada adding simply to the cost which the United States have to pay. 100 THEO]ftT AND PRACTICE OF THE ':*" \ il Tho movement in Canada appears, therefore, to be at variance with the interests of the people, and, so far as an abrogation of 'the Treaty of Reciprocity is sought, the agitation is entirely vain. England cannot be asked to violate her treaty obligations with the United States, sind if asked, must decline. That compact will remain in force, therefore, until at least one year after 1864, and before then, it is to be hoped that Canadian Tories will have learned common sense, and have given attention to something else. With respect to the importation of manufactures, it appears that no difficulty can arise from that cause, as manu- factures invariably are bought on time, and if bankruptcy results from over-purchase, the loss falls upon the foreign house who made the sale. To check importation, is, therefore, to do no got>d, but to impose a tax upon the people and to reduce the amount of fore^ capital which the people other- wise might have. Some other cause exists, therefore, for Canadian difficulty, and of its presence Canadians do not seem to be aware. Let us turn to the Canadian tables of Trade and Navigation for 1857, and single out a single item which, individually, accounts for a large proportion of the trouble. Total Wheat Imports itUo Canada. TBAB. BCBBIU. TAtUI. 1855 926,000 ^£365,400 1856 1,409,600 423,500 1857 2,414,300 593,900 Total Wheat Exports from Canada. TEAR. BUSHBLS. 1855 3,193,700 1856 4,997,600 1857 2,762,400 TALUI. £1,482,200 1,744,400 697,400 Excess of Canadian Exports over Imports. TBAR. BUIHILS. 1855 2,267,700 1856 3,676,000 1867 348,100 Here, thep, is a clue to Canadian troubles. The wheat ex- ports of .Canada for 1857 exceeded the imports to the extent only of 348,100 bushels, while in 1856, the excess of exports was no less thar. 3,676,000 bushels ; and it is to be observed, that 1867 was by far the more prolific year. The probability then is, that not less than 5,000,000 bushels of wheat of ]pt ^ TBADB OF UNITED BTATEB AND 0AN4f>A. 101 year's growth still remain in Canadian farmers' hands i and the keeping back of that value, usually in circulation, together with the. untoward circumstances of the American and English crisis, which necessarily curtailed Canadian credit, has a great deal to do with the present stat^ of things in the Province. The diminished imports for 1857 were, in fact, rather more than £1,000,000, as will be seen from the following : Toted Imports into Canada. TUB. TAIVI. 1855 . .£ 9,021,600 1856. ; 10,896,000 1857 9,857,600 The deficiency in wheat sales or exports, and in general imports, was, therefore, little short of $10,000,000 ; quite an item in times of outside stringency; but we will hot pursue the subject further. Into it, however, the Toronto delegates had better go, that their conclusions with regard to the tem- poral state of Provincial farmers may be more accurate than it is ; and it should teach them also, to be more exact in tracing the relations of effect and cause. The following were the articles of all kinds exported by the United States to Canada whose aggregate value exceeded X50,000, as per Canada Trade and Navigation returns, Slst December, 1867 : ABTICLES. Animals Coal Flour Molasses Sugar, other kinds Tea Tobacco, manufactured. Boots and Shoes Cotton manufactures. . . Hats and Cans VALUE. . £114.007 . 100.000 . 312.758 . 100.577 . 384.037 . 306.341 . 149.057 77.007 . 90.789 52.693 . 240.316 . ^86.153 63.319 ABTICLES. Wood manufactures.. . Woolens ■. Books Coal and Coke VALUE. .. £66.223 79.747 91.271 .. 100.074 . 180. 108 .. 593.643 . 74.726 .. 94.050 .. 131.765 .. 82.900 89.392 .. 56.719 Indian Com Wheat Hides Meats, all kinds Mess Pork Settlers' eoods ■ . . Iron and Hardware Leather, tanned Machinery Tallow... Timber and Lumber.. . NoTi.— A large proportion of the manufitetuiw are Biltiah. The following were the articles, of all kinds, exported by Cjjinada to the United States, whose aggregate value exceeded 102 #TH10BT AND PBAGTICB OF THB £60,000, as per Oanada Trade and Navigation returns, Slat Deeembw, 1867 : ▲JRTIOLU. Ashea, Pot .... £63.567 ▲BTIOUSB. Wool Bariay and Byo .... ^67.661 .... 170.296 Flaiik and Board!.. . BoflMS Cows and Cahref. . . Oxen and Bulb.... TTiilAii and Peltii. . . . .... ,689.^1 .... 104.288 .... 72.247 ..., 77.864 Floor! .' Oets Wheafc .• .... 881.532 ... 90,107 .... 560.128 The exports froifu the United States to Canada, may be embraced, therbforo, in three classes : articled of produce ; articles of personal consamption; and articles destined to promote production. The -first class is admitted free into Canada under the Treaty of Reciprocity ; the second, at a moderate specific or ad vcUorem duty, and so with the third. The highest ad valorem duty charged, is on leather^and India rubber manu&ctures, and i&^ twenty per cent, on cpst. Some articles, such as iron and railroad bars, are admitted at two and a half per cent. ; o&ers, such as wheels and axles for locomotives, pay five per cent., and unenumerated articles pay fifteen. There is nothing original or stHking in this classification, and as the protectionists want to improve upon it, by the imposition of higher duties, it may be presumed to be very liberal as things are in Canada. There is, however, one, or rather two, classes of items which appear to be privileged more than others, namely, iron and railroad bars, and outfit for locomotives. These are admitted at a low rate of duty, while leather manufactures, are charged twenty per cent, on the invoice value. What is the reason of that distinction ? Why is iron given to the Canadian consumer on better terms than boots and shoes? It cannot be that the one is more necessary than the other, as iron is only cared for and handled by a few, while leather protection for the feet, is almost as indispensable as food for the body, or clothes for warmth. There must be some other reason for the favor shown thr iron trade, and that reason it^ is no mystery to find. It is desirable to have Canada developed by railroads, and to further railroad undertakings, no Provincial check .is l>- V TRADS OF UNITBD 8TAT1B AND OANADA. 108 interposed, but graats of land, and every possible encourage- ment, are given. Everj thing, of a foreign eharaoter requyred, is admitted at an import duty, all but nominal, and it is understood by legislators aj&d by railroad directors, tha^ such a practice is of essential service to the railroad cause. ' It is considered of no account where the imported articles origi- nally come from, and quite immaterial whether or not they are the domestic produce of the United States. All are agp^ed .that the price of bars and pluit are of great import- ance to a railroad company, and that the cost of construction, and of rolling stock, are mixed up inseparably with half yearly or annual dividends, and with the market priee of bonds. For the good of railroads, therefore, every thing of a foreign character, enteriog into their construction, is admitted on the most favored terms. * The Reciprocity Treaty is a mere exposition of the same principle. Canada is contiguous to the United States, and at some points the United States outlets form the best channels for Canadian trade, and at other points the Canadian outiets form the best channels for the trade of the United States. To open these outlets, was ohe of the stipulations of the treaty, that Americans might send the produce of the Western States, by the St. Lawrence route, to the West India islands, and to Europe, and that Canadians might ship Canadian pro- duce by the Erie canal, and by Lake Champlain to the Hud- son river. There was another advantage, also bargained for. If the United States put a duty on Canadian produce, enter- mg into consumption in the United States, or if Canada put a duty on American produce entering into consumption within its territory, then practically the produce of the one country would be excluded from the other, and in all probability the produce trade of both countries would not have received the development which they have done under the present free trade organization. On this point no difference of opinion can be entertained. Take the case of this Chicago market, during the winter and spring of the present year, as illustrat- ing the point in question. There was an unusually large wheat accumulation made in store during the winter months, 104 raSOBT AND PRACnOB OF THE and Ghioago people, for their own acooant could not touch a bushel. Buffalo and Oswego, the two large American operat- ing cities, on the Ghicago market, were financially embar- rassed also, and besides, they had no confidence in the fiiture. Left to American eomjietition, wheat would have almost touched producing cost, after the close of navigation, and been nominal at that, until the spring opening. But the Canadians came upon the ground, and in competing with one another, have, it appears, raised the price of wheat beyond its value ; and the sequence to their outside influence is a hi^er price realized by the American farmer, and a further present reclamation of the prairie. In the same way that it was advantageous to impose no burdens on the movement of cereals between the two countries, it was advantageous also, to put other produce articles on the same footing. To have imposed a tax on American beef a^ pork, entering into consumption in Canada, would have been to make these aiiicles cost more to the consumer, and to have placed a tax on Canadian hogs entered into consumption in the United States would have been to limit the supply in Buffalo, and to have raised prices. Then to have raised the price of beef and pork in Canada would have been, on the one hand, to discourage Canadian shipping, and to discourage Canadian lumbering on the other. These interests, like railroads, were important, and the good to be derived from the one course of policy, and the evil resulting from the' other, were too plain and palpable not to unite the sympathies of every class ; and the consumers of beef and pork were suffered to buy in the cheapest market, without let or hindrance from the Province. This action in the matter of beef and pork was not of so commanding interest to the United States, but it was believed to be advan- tageous to all, to have the price of Canadian lumber unin- fluenced and nnincreased by the action of the Federal govern- ment. Here then, is the clear outline of an important principle, recognized at the moment, by the governments of Canada and the United States ; and for the same reason, that what is sauce for the goose, is sauce also for the gander, every indi- V TRAD8 OF UNmiD STATBB AND CAHADA. 105 ▼idual ihtemtit, within the territoxy of the United States and Ganada, would be stimulated and benefited, if every fisoal burden, and restriotion of every kind, were effaced from the stiUnte book. If railroad corporations are asriited by grants oi land, and by having what tiiey want on the easiest terms, and if lumbermen can produce their manufactures at a cheaper rate, and sell them at a cheaper price, when they can get pork without paying tithes to the government, and . if cheaper Ohicago beef is a bonus to tiie shipping interest, at Quebec and Montreal, Iben on what ground would cheap dry goods, cheap machinery and cheap everything, be a curse, and not a blessing ? The protectionists, the Isaac Buchanans of Canada andtiio United. States, have their answers ready. To cheapen things generally, would be to displace labor, to supersede it, in some measure altogether, and what wonld then become of those depending on their wages ? There would b enothing for. them to do, tmd universal destitution would be brought about. Canada would be injuring itself to benefit tiie United States,' and vice versa^ a game of cross purposes would be played, and the' laborer and the handicraft made to suffer. But, does not the same reasoning apply to the case of railroads, and to the produce trade ? If, instead of Canada admitting railroad iron and locomotive furniture, at a nominal duty, from the United States, a high rate of duty were imposed, then iron would be brought from Hudson's Bay, supposing that Eng^ lish iron were placed upon the same footing, and glorious difficulties would intervene between the iron mining, and the bringing of it to market in a manufactured state. Quite a fleet of vessels would find employment in the trade, and Quebec shipbuilders would get 'fattened out beyond the dimensions of other men, and wear aristocratic airs. An extensive emigration agency would be organized m England and in Germany, and free passages and free grants of land. With the plural curse of Eden and of Gain resting on it, would be given to the new settlers, in the' mining district. Thus an indefinite amount of work would be organized, and why not organized in that way, as well as in any other ? Why 106 THEOBT AND PBACTIOB OF THB not have Cornish minera come to Canada as wj^ as fkotory girls, and why not have neitr country opened up, If U earn be dotu f Mr. Blk^anan and his followers are obTionsly stand* ing on steptnng stones, and ^training at gnats instead of camels, and making the "protection movement a small pot&to4 there is no good reas(m in Canada following suit, particularly when Canada would only harm itself. Strange though it may sound to some, there is a positive privilege in Canada employing American workdbiops, and American vessels to bring tea firom China, as the United States, by .virtue of their produce and manufao- tnres, can buy foreign products on better terms ; but even were Canada and the United States at one on that, still Cana-. dian capital could be more profitably employed at home. Canada has innumerable advantages, of the highest order, and common sense suggests that these should be first devel- oped. Let the oonmiunication between the upper lakes and w\ 108 TBIOBT AMD PtAOnOl OF CHI the ocean be made what it should be, and let Montreal hare a highway into the Hudson river. Let the forest be cleared, and the axe attd saw and planing mill dress the pA>dact for every qiarket in the world. Let Wheat be scattered broad* oast between the chpp{)led and blackened stamps, and the poor and nnemplojred of Europe be indooed to reap the harvest. Let the hc^ and cattle of Iowa, Illinois and C^o be shij^ped to Montreal, and the business of packing beef and pork be shifted to its proper centre, and the product be put upon the market six weeks earlier than at the present time. Finally, let the St. Lawrence be the great highway of emigration fixmi Inrope to the West, and Canadian difficulties will soon van- ish into air. These are objects worthy of Canadian enter- prise, and of the monied capital of the world, and for these, Canadian Parliaments and Canadian people should legislate and strive, and the protection party and their dreams should be left behind unnoticed. The following is the United States official statement Of the specie movement between the United States and Canada since 1850, and is valuable, as showing the 'small account of the precious metals in the trade of the two countries : > BMDIMO JUKB SO. TOTAL KXFOBTB. TOTAJ. IMPORTS. BXOBSB OV IMPOSTS. 1850 « 426,369 $ 426,369 1851 $237,801 1,868,727 1,140,926 1852 1853 617,066 984,619 467,219 1854 442,477 76,000 1855 32 32 1856 1857 260 266 The practical trade relations of the United States and Canada are of the most friendly kind, the paper money of Canada circulating fireely in the United States, andmce versa. The bank detectors, in fact, embrace the banking institutions of both countries, and the amount of discount to which the notes of each are subject, together with the counterfeits, are stated in the same open and impartial way. Then the merchants of both countries have the same commercial pro- tective associations, and the circumstances of any business \ TRAOB OF VmTMD SIATBB AMD OANADA. 109 firm oan be ascertained throoghoat the length and bread^ of the whole oontiDent. Snch being the oaae, Canadian mer- chants go to the New York and Boston markets, and to the Eastern manoiiEUJtiiring distriots, as nnreservedfy and aspnndi at home as if these were in British territory ; and the Bof- fido and Bochester produce dealer Tisits Toronto, Hamilton, London and Chatham, in the same friendly way^ buying up wheat, hogs and butter, or oflbring cheese, broom com, wash-boards or Yankee notions. Imported and manu&ctured articles are sold, generally, (m from four to nine months' time, and produce, invariaUy for cash. Great latitude is, therefore, given to the Canadian buyer, and so long as sales are made on the same liberal terms, the Canadian home producer has a hopeless struggle. A Canadian merchant in good standing gives his note only against his purchases, and these mature usually in New York. Then these notes are met by Canadian bankers in drafts on England, or by New York acceptances against the consign- ments of Canadian shippers ; and thus the trade is balanced without specie movements being made. The usual form in which Canadian purchases take place in Western markets, is by New York credits against drafts at thirty or sixty or ninety days, and such drafts are always in demand by West- ern bankers, to make the payments of local tittders E'st. Under the warehousing laws of the two countries, mer- chandize of any kind can be moved from the one country to the other, in traitsitUf to parts abroad, without further trouble than is observed in Europe. The Canadian merchant can, therefore, import into New York, or ship Canadian manufac- tures across the territory of the United States without duties being paid, and the American merchant can make the same use of Canadian territory and transportation, when he feels disposed. no TBADI OF URITKD &tA' AHD OAHIDA. Ml 1887. ToTix BxpoBM imoK Cavaiu To all floaotriM MjMjtOi 3,901,609 LMviOff £3/)60,9M, UporM alMwten tku tha Unilad Itetn. Total Ezmmhn vboii Oawaba To United BWM £»JKIJU» TocAb Ihtosm or Cavada XVomaUoouBtriM..... X9,857,649 6,066,168 hemriag £4,801,487, biporti oMmt than ftom A* miltod BtalM. Total Imomm or CkxABA From UoiMd SutM... £6,0&«,lt8 In round numbers the United States take more than half of the exported commodities of Oanada ; and supply more than half of the commodities that Canada consnmes. Were Canada to out the United States connection^ it would, there- fbre, be cutting its own, throat, and without inflicting irre- parable injury on the tJnited States. Canada stands in pretty much the same relation to the United States as tiie United States do to England; th^ more cammereially dependent and weaker vessel. The position of tho trade of the United States, as de- pendent on that of Canada, is brought out by the following figures: 1867 Total U. 8. Exposts To all countries $362,960,682 16,574,895 Leaving $346,385,787, ■zported elsewhere than Canada. Total U. S. Exfobtb To Canada $16,574,895 Total U. S. Ihpobts From all countries... $360,890,141 18,291,834 Leaving $342,608,307, Importa other than from Canada. Total U. S. Iuforts From Cana^fi $18,291,834 United States. Imports from Canada. . $18,291,834 Exports to Canada 16,574,895 Leaving $1,716,939, , Mffnanoe in fivor of Canada. (U. 8. Trearaiy Betnms, Jnne 80th, 1867.) Cakada. Imports from U. S £5,056,162 Exports to U. S 3,301,609 Leaving £1,754,453, DUference in favor of U. 8. (Canada Trade and Navigation Betuma, DeoenAer Slat, 1867.) V lU THB BBOIPBOOITY TBSATT. AtraM^cxMBdingtlMrighfaorflriiiiig, aad rsgnUtlnf tto Mt?ig»tfcm bctiwa but BriUaaie Mtjntj't poMSiit o ni to Worth AoMrfoA Mi Ito Uaitad StiMa, coadwUd In tht d^ of WMkiagtoa oa th* Mh cUj «C Jane, Aimo Domial lefti, between the United 8t«tM of Ammkk ead htr Miyeity the Qneen of the Unhed Kingdom ot Greet JMtato and Irebuid. The g«T«niinent of the United Steiee, beiag eqanUy deiinNW with.htr Mi^eity the Qneen of Gwt Briteto, to vnM. ftather mlinndeiitMidiiig betwwi thfilr reepeotiTe citlaene aaki Ml;({eott in tegwd to the extent of the rii^tiof llah* ii^ OB dMcoMti of British Iforth Amerioe, jecarad to each bj Aitide ▲ of • eo«T«ktion between the United Statee uid Qitat Britain, signed nt London on the SOth day of October, 1818, and being also desiroos to regnlato the oom- meroe and navigation between their respective territories and people, and nore ^qMclallj between her Ifi^eetjr's possessions in North America and the United BMites, in sndi manner as to render the same redpreoally beneAcial and satis* factory, have respectively named plenipotentiariea to eonibr and agree tbom- •pQ»--«hat is to say, the President of the United States of America, William L. liiurey, Secretaiy of Slate of the United Stales, and her llbyesty the Qneen •f Great Britain and Ireland, Jamea, Barl of BIgin and Kineasdine, Loid Bmoe and Blgin, a Peer of the United ^ngdem, Kni(^t of the Most AaeiflU and Most Noble Order of the Thistle, and Governor General in and over all her Britannic Mi^esty's pnMnces on the continent of Nwth America, and to and over the Island of Prince Edward, who, after having commnnicated to aaoh other thefar respective Aill powers, found in good and dae fonn, have agreed •pon the following articles : Akt. 1. It is agreed by the high contracting parties, diat in addition to die liberty secured to die United States' fishermen hy the above mentioned Cott' vention of 1818, of taking, caring and drying fish on oertahi coasts of the British North American Colonies therein defined, the inhabitants of the United States shall have, in common with the sabjeets of her Britannie Mifles^, the liberty to take fish of every kind except sheU fish, on the sea ooastslad shone, and in the bays, harbors and creeks of Canada, New Bmnswiok, Neva Sootia, Prince Edward Island, and of • the several islands therennto a^jaoent, without being restricted to any distance from the shore, with permission to land upon the coasts and shores of those colonies and tho islands tliereof, and upon the Magdalen Islands, for the purpose of drying their nets and oaring their fish. That in so doing they do not interfere with the rights of private propetty, or with British fishem>en, in the peaceable use of any part of the coast in their occupancy for the same purpose. It is understood that the, above mentioBed liberty applies solely to sea fishery, and that salmon and shad fisheries, and all fisheries in rivers and mouths ef rivers, are hereby reserved exdnsively for British fishermen. And it is ftarther agreed, that in order to prevent or settle any disputes as to the places which the reservation of exclusive right to BriUsh fishermen, contained in this article, and that of fishermen of the Ynited Stales, contained in the next sncceeding article apply to each of the high contracting I i III I 112 TBI BWIPBOOIIT TBIATT. partiM, on the application of elthw to tlM other, •hall within six montha thar*> ■Aer appobt a oommiMioner. The Mid oommiMiooen, before proceeding to any boiinou, ihall maka. and nbeeribe a lolemn declaration that they will impartially and careftilly daeide, to the beet of their Jndgment and according to Jnstice and eqaity, without Ihar, thror, or alTection to theiir own oonntry, upon all inch phMXi ai are intended to be ruerred and exdadiod horn the common liberty of flehermen ander thia and the next raooeeding article, and tadi declaration shall be entered on tha record of their proceedings. The commissiopers shall name some third person to act as arbitrator or nm* pire in any canse or causes on which they may themsalres differ in opinion. If they should not baable to agree upon the name of such' person, they shall each name a person, and it shall be determined by lot which of the two persons so named shall be arbitrator or umpire in cases of difference or disagreement between the oommlssionen. The person to be chosen to be arbitrator or umpire, shall, before proceeding to act as such in any case, make and subscribe a solemn declaration, in a form similar to that whidi shall already have been made and subscribed by the com> missioners, which shall be entered on the record of their proceedings. In the event of the death, absence, or incapacity of either the commissiooeis or the arbitrators, or umphre, or of their or his omitting, declining or ci'V'*de](cl«tir«tjf ftr fiahanNO of tha UniMd Abt. a. It U afned that the articles enumerated ia tlie schadala, haituato annexed, being the growth aad prodaco of the aforeaaid BriMidi ooioaioi or of the United Statea, ihall be admitted into each couuny reapectiveljr^ flw of datj. BORBOOta. Grain, flonr and breadstuffa of all kinds, animala of all kinds ; fresh, smoked and salted meats, cotton, wool, seeds, and regotables ; undried fruits, dried fhiiu ; fish of all kinds ; products of flsh an3 all other creatures living in tho water, •poultry, cggs„|iides, ftars, skins or tails undressed; stone or marble ia its crude or un wrought state ; slate, butter, cheese, tallow, lard, horns, manalw ; ores of metals of all kinds ; coal, pitch, tar, turpentine, ashes ; timber and lumber of all kinds, round, hewed and sawed, unmanufactared, in whole or in part ; firewood ; plants, shrubs and trees ; pelts, wool ; flsh oil ; rioe, broom< com and bark ; gypsum, ground and ungronnd ; hewn or wrought or nnwronght burr or grindstones ; dyestuffs ; flax, hemp and tow, nnmabnfkctared ; naman- ttfactured tobacco. Art. 4. It is agreed that the citizen's and intiabitants Of the United States shall have the right to navigate the river St. Lawrence and the canals in Cana* da, used as the means of communicating between the great lakes and the Atlantic ocean, with thoir vessels, boats, and crafts, as fully as the subjeeta of her Britannic Majesty, subject only to the same tolls and other assessments as now or may hereafter be exacted of her Majesty's said subjects, it being under- stood, however, that the British Government retains the right of suspending this privilege on giving due notice thereof to the government of the United States. It is further agreed, that if at any time the British government should exer- cise the said reserved right, the government of the United States shall have the , right of suspending, if it thinks fit, the operation of Article 3 of the present treaty, in so far as the province of Cana la is affected thereby, for so long aa the suspension of the free navigation of the St. Lawrence or the canals may continue. It is further agreed, that British subjects shall have the right freely to naTi- gato Lake Michigan with their vessels, boats and crafts so long aa the privilege of navigating the river St. Lawrence, secured to Americans by the above clause of the present article, shall continue ; and the government of the United Statea further engages to urge upon the State governments to secure to the anbjeeta of her Britannic Majesty the use of the several canals on terms of equity with the inhabitants of the United States. And it is further agreed that no export duty, or other duty, shall be levied on lumber or timber of any kind cut on that portion of the American territory in the Sute of Maine, watered by the river St. John and its tributaries, and floated down that river to sea, when the same u shipped to the United Statea from the province of New Brunswick. Art. 5. The present treaty shall take effect as soon as the laws required to carry it into operation shall have been passed by the Imperial Parliament of 8 114 RECENT CANADIAN PETITION. iiil Great Britain and hj the Provincial Parliaments of those of the British North American colonies which are affected by this treaty on the one hand, and by the Congress of the United States on the other ; such assent having been given, the treaty shall remain in force for ten years from the date at which it may come into operation ; and farther, until the operation of twelve months after either of the high contracting parties shall give notice to the other of its wish to terminate the same, each of the high contracting parties being at liberty to give snch notice to the other, at the end of the said term of ten years or at any time afterwards. It is clearly understood, however, that this stipulation is not intended to affect the reservation made by Article 4, of the present trieaty, with regard to the right of temporarily suspending the operation of Article 3 and 4 thereof. Abt. 6. And it is hereby farther agreed, .that the provisions and stipula- tions of the foregoing articles shall extend to the Island of Newfoundland, so far as they are applicable to that colony. But if the Imperial Parliament, the Provincial Parliament of Newfoundland, or the Congress of the United States shall not embrace in their laws, enacted for carrying this treaty into effect, the colony of Newfoundland, then this article Shall be of no effect ; but the omis- sion to make provision by law to give it effect, by cither of the legislative boi^ius aforesaid, shall not in any way impair the remaining articles of this treaty. , , ) Art. 7. The present treaty shall be duly ratified, and the mutual exchange of ratifications shall take place in Washington, within six months from the date hereof, or earlier if possible. In faith whereof, we, the respective plenipotentiaries, have signed this treaty, and have hereunto affixed our seals. Donu in triplicate, at Washington, the fifth day of June, Anno Domini, ono thousand eight hundred and fifty-four. W. L. Mabct, [i. fl.l Elgin and Eincabdine, [l. a.] RECENT CANADIAN PETITION FOR ENCOURAGEMENT TO HOME INDUSTRY. To the Honorable the Legislative AssemUy of the Province of Canada in Parliament cuaembled: The memorial of the undersigned merchants, manufacturers and others, from the various sections of the said Province, assembled in Public meeting at Toronto, RespectfuUy showeth, — That your memorialists desire to call the attention of your honorable House to the depression which all branches of manufactures and commerce now suffer in the Province, and to the necessity that exists for a consideration of the causes to which this depression is wholly or in part attributable. i ; 11 BECENT CANADIAN PETITION. 115 part That, in the opinion cf your memorialists, the difficulties now experienced by all classes of the community are in a large degree the consequence of the anfur competition to which the present tariff of the Province exposes its various branches of industry, and that, with a view to the promotion of general prosperity, a readjustment of the scale of duties laid upon bnports has become an actual necessity. That the existing tariff is based upon erroneous principles, inasmuch as it admits, at low rates of duty, the manufactures of other countries, which are thus brought into jcollision with a class of labor now in Canada not fitted for agricultural pursuits, and charges high rates on articles that cannot be produced within our boundaries. Th&t apart from the prevailing depression, the present Frovincial tariff oper- ates disadvantageonsly by preventing the influx of capital, which, under due encouragement, would be introduced and applied to the development of our natural resources, and moreover, so limits the scope of industry as to offer impediments in the way of skill, and laigoly lessen the attractiveness of Canada as a field for emigration. That a readjustment of the tariff, if governed by principles in themselves just, will materially benefit every class of the community, without in any man- ner crippling the customs' revenue. That, in the judgment of your memorialists, such a readjustment should recognize as distinctive principles the admission, duty free, or at low rates of duty, of raw materials for manufacture, not produced in the Province; the admission, free of duty, or at low rates, of articles entering largely into general consumption, and not competing with thb natural products of Canada, and the levying of higher duties upon articles entering into competition with articles manufactured, or which, with due encouragement, may be manufactured by our people. That your memorialists, representing diversified industrial and mercantile interests, and having ample opportunities of ascertaining the wants and convic- tions of the classes with whom they cooperate, urge upon your honorable House the expediency, in the change of the tariff sought, of proceeding upon the following positions as guiding points in the work of tariff reform : 1. That ^all materials upon which there is but a small amount of labor expended prior to their importation, and leaving the larger proportion of labor to be performed in Canada, should be admitted free, or at a dut^. .iOt to exceed two and a half per cent. 2. That all articles entering large'.,' into consumption in this country, and which Canada cannot produce, such as tea, coffee, raw sugar, molasses, &c., should not be charged with a liigh rate of duty The duty thereon should be at once reduced to the lowest possible rate consistent with the requirements of the revenue, but to be admitted free, if possiJile. 3. Merchandise in the dry goods, hardware and crockery trades, being arti- cles of luxury or for use and not likely for some time to be manufactured in this country, and which are used to form parts of the goods manufactured here, should be chargeable with a medium rate of about fifteen per cent, duty, say not less than fifteen nor over twenty per cent., consistent with the require- ments of the revenue and at a rate of about ten per cent, below the manu- factures coming directly into competition with our productions. lift BECENT CANADIAN PEIITION. 4. All manafactoTOS in vrood, iron, tin, bnui and copper, leather and india- rubber, not inclnded in class 3, as specified in the qmended proposed dchedole of duties, at a rate of 25 per cent. That your memorialists beliere that the immediate effect of a revision of the tariff, according to the scale now suggested, will be to mitigate the despond- ency perceptible in every qoarteir, to create a feeling of confidence in the minds of resident capitalists, to «ttract the attention of foreigners to our magnificent manufacturing resources, to stimulate the enterprise of our mechanics and artizans, and to impart fresh vigor to our agricultural population. That your memorialists, in conclusion, respectfully pray that your honorable ■ House will be pleased to give prompt consideration to the whole subject, and adopt without delay suck changes as may b4 found essential to the promotion of the great interests that are involved, andt.3 to your wisdom shall seem meet. And your memorialists will ever pray, &c. »'• I I !:i CHAPTER V. THE NOBTH-WEST, AND ITS OUTLETS TO THE OCEAN. It is not necessary, after what has been stated in the pre- ceding pages, that we should proceed further to inquire, whether it were better for the North-West to encourage man- ufactures, to promote the opening up of new districts, the im- provement of existing, trading highways, or the'occupation of the soil. These questions are set at rest, and it remains only, to draw attention to resources, and to indicate the way in which, perhaps, they can be best developed. If we take a map of North America, and follow the course of the Mississippi, some thirteen hundred miles, from the Gulf of Mexico, we find the broad outline of a navigable river, winding round the extreme southern point of the State of Illinois, and forming the line of separation between Ken- tucky and that State. If we trace that river to its source, we find it skirting Indiana and Ohio, and separating these States from Kentucky and Virginia, and ultimately mingling its waters with Lake Erie. Along its course we find the names of cities, familiar as household words, throughout the length and breadth of the United States, whose products are to be met with, in every market of the world. These cities may send their products to the Mississippi, or into the Atlan- tic, by the chain of lakes, or they may choose a market East, over one or other of the numerous railroads. The agricul- turist, inhabiting that other thirteen hundred miles of navi- gable canal, and river country, has the same choice of mar- kets* presented to him, and as a consequence receives the highest price for every article of food that he brings to market. These advantages have long since told upon the district, and the agricultural development of some portions of Ohio, is not behind the most advanced in Europe, and its m m I ! 118 THE N0BTH-WE8T, AND ITS farmers' cows yield almost twice the milk and butter that farmers* cows do in the British Provinces. Every year adds to the population, to the extension of agriculture, and to the accumulation of useful products. If we return to the Mississippi, we find Cairo, at the junction of the Ohio river, communicating with Chicago, by the branch of the Illinois Central Railroad, and competing in the drain of produce, with the northern section of Illinois. In that it* is successful, over ,a large tract of the most fertile portion of the State, and as the trade of the lower Mississippi with the North, becomes developed, Cairo promises to become, what geographically it is in fact, the business centre of the Missis- sippi Valley. Further up the river, we reach St. Louis, a well established city, with a name inferior to none iu the United States, and a class of business men, i^qady and able to further any enter- prise. St. Louis has wisely guarded against the indiscretions of many western cities, and instead of her people devoting themselves and their means, to mere speculative operations in real estate and other things, they have settled down to legiti- mate manufacturing and trading operations. Almost every branch of industry is largely represented in St. Louis, and solid progress is being made in the accumulation of substan- tial wealth. If a less proportion of the people had devoted themselves to manufacturing, and more had settled down to agriculture, the increase of wealth, would have been greater than it is ; but in a free country it is for every man to deter- mine for himself, the way in which he shall make his living ; and it is creditable to all concerned that the capital of the city, if not wholly agricultural, is at least something better and more productive than endless streets of unoccupied palaces of brick or stone or marble. On such a basis, St. Louis has not been raised, and as a consequence, has suffered less from the revulsion than other cities. Above St. Louis, the Missouri forms a junction with the Mississippi, after three thousand miles meandering from its sources, beyond the Rocky Mountains, and opens to uninter- rupted navigation, two thousand five hundred miles of fertile i OUTLBrrS TO THB OCEAN. 119 country. Tributaries of the Missouri are also navigable for untold miles, and into these distant regions the tide of immi- gration has poured steadily for several years, and receipts &om the Missouri, figure prominently in the Statistics, of the St. Louis Board of Trade. Still the country is unsettled, and beyond the " Bluffs," the elk and buffalo, and the mountain she6p, graze on the primeval grassy plains, unmolested by the approach of man. Nothing breaks the vast solitude of the boundless prairie, and its thin sod has but to be turned over and the seed scattered on its surface in the rudest way, and a> bounteous harvest will be reaped. Where is labor so fully recompensed, as in the cultivation of the Western prairie, and in what way can a nation so cheaply earn a command over every other product ? Above the junction of the Missouri, the Illinois river pays tribute to the Mississippi. That river has its course across the State of Illinois, and is navigable from the Mississippi to Peru, a distance of rather over two hundred miles. From Peru to Chicago, a distance of one hundred miles, the Illinois and Michigan canal has been formed, thus uniting the Mississippi with Lake Michigan and the Atlantic ocean. The district watered by the Illinois river, is considered to be the finest in the Umted States for corn, both in point of quality and extent of yield, and river com bears a premium price. The district through which the canal passes is con- sidered inferior com land, and to be better adapted to the growth of wheat. Canal corn on the Chicago market forms, therefore, a different classification, and commands a lower price. Its quality is, however, better than the corn usually brought to Chicago by the railroads, and which is known as railroad corn. These distinctions are, however, no doubt arbitrary to a large extent, and neither place of growth nor mode of transportation will be considered when a better sys- . tern of inspection shall have been oi^nized. Along the whole of the watercourse from the Mississippi to Chicago, the country is being settled rapidly, and every year adds incredibly to the number of acres brought under cultivation. 'Ji 11 !N 120 THE NORTH-WEST, AND ITS That &ot will be maniftat by the following corn table com- piled from the canal returns since 1848 : Afovement of Com on Illinois and Michigan Canal. 1848 516,216 bnshols. 1849 754,>00 " 1880 317,600 " 1851 2,878,500 " 1852 1,810,800 " 1 853 2,490,600 bushels. 1854 4,601,200 " 1855 3,565,800 " 1856 5,430,600 " 1857 4,122,600 "« Much less attention has been given to wheat in the canal and river district,^ the receipts of 1857 being little more than -twice what they were in 1848. The wet late spring of the present year and of last year will, probably, lead to more attention hereafter to other crops, and the land may be benefited by the change. Wheat comes into Chicago most freely by the Galena road, but the best conditioned parcels for exportation are those, unquestionably, from the more southern sections of tha State, where harvesting is earlier, and the ripening and hardening process more thorough and complete. The rapid development of the Ghicago wheat trade will appear from the following figures : Receipts of Wheat at Ghicago. 1854 3,038,900 bushels. I 1866 8,767,700 bunhels. 1855 7,535,000 " I 1867 10,554,700 " But the whole of the Illinois river products do not find their way to Chicago. St. Louis comes into competition, and not unfrequently a considerable quantity of Chicago receipts are held by St. Louis parties, over and above what is moved down the river. One of the reasons of St. Louis succeeding in the competition with Chicago, is the better regu- lated system of grades which secures to the good farmer the full advantage that is his due ; and, of course, St. Louis is a nearer market than Chicago to the points more adjacent to the Mississippi. These, as a general thing, will ^eek the down river markets, and, in their growth, contribute to the rivalry between Chicago and St. Louis. Which of these will ultimately be the greatest grain market, is a fruitless question at the present time, and it is enough to notice, that both are making rapid progress, and liave the fairest prospect nil: OUTLETS TO THE OCEAN. 121 i^ of adding indefinitely to the population of their respective States, and to their producing power. Recsiptt of Com at St. Louis from the lUiwAt River. less 337,600 bnsheU. | 1856* .433,600 btuhell. Receipts of Wheat at St. Louis from the Minois River. 1853 911,300 basheb. | 1866* 1,188,300 buahelf. * No Ut«r ntnmi pablUud by the St. Lonli Bowd of Tndfl. Beyond the junction of the Illinois with the Mississippi, we have Iowa, Minnesota and Wisconsin, all of which are rapidly filling up, send having lands entered and brought into cultivation. For the produce of these there is the Mississippi route to St. Louis, railroad routes to Milwaukee and other Wisconsin ports on Lake Michigan, and, finally, the several railroad routes to Chicago, into which the trade, to a large extent, has already settled down. From that sec- tion of the country the exports are large, and will be a largely increasing quantity every year. In very young communities two classes only are supported : the hard work- ing and the speculating, and, generally, the former are by far the more numerous body. These practical working men go into the State or Territory to take hold of what pays best, and, as a matter of course, take to land, and the competition and ups and downs in the value of that commodity find employment for the other class. As a consequence, agri- culture will be much extended in the more remote sec- tions of the North-West, and every year will add largely to the supply of all cereal products. It is conceivable, that at no remote period, the increased production of wheat on the North-West prairies will exercise a permanent influence on the value of the staff of life, inasmuch that at a low price, as compared with a high price, not much more is eaten, and if production is increased in a greater ratio than con- sumption, the larger quantity always on the market, wUl determine prices in favor of the buyer. This, as we have seen, would not, under any circumstances, be ruinous to the American farmer, and as it would absorb less of the national income in providing the first necessary of life, the best 122 THE NORTH-WEST, AND ITS resalts to all would follow. One series of consequences would be to put some portion of land out of cultivation in England ; to increase England's purchases of breadstuffs from us, and still further to extend our import trade. Passing from th6 tapper Mississippi, which presents an uninterrupted navigable channel of four thousand miles, to the Gulf of Mexico, we return to Chicago, the head of the navigation of the St. Lawrence route, to the seaboard. Taking up the map of the tJnited States, we find Chicago occupying the further extremity of Lake Michigan. Follow- ing the course round the peninsula, fontied by the State of Michigan^ the city of Detroit is reached ; subsequently Lake Erie, the Welland canal. Lake Ontario, and the St. Law- rence to Montreal, Quebec and the Ocean. The total dis- tance is no less than twelve hundred and seventy-eight miles to Montreal. That, as near as can be, is the distance from St. Louis to New Orleans, and if Chicago produce looks for direct purshasers in British ports, the towns on the Illinois river, and the towns on the Illinois Central Railroad from Centralia, south to Cairo and St. Louis, may look for English buyers also, for what they have to offer. NeW Orleans stands in precisely the same relation to the South* as does Montreal to the North ; but the circuitous character of the Lake course, from Chicago to Montreal, suggests the short- ening of the distance by communicating from Lake Huron to Lake Ontario, without passing through Lak6 Erie. To ac- complish that, three different schemes are spoken of. One of these — the one put up by Toronto interests — recommends a cutting from Nottawasaga, at the foot of the Georgian Bay, to Lake Simcoe, thence by cuttings along water courses to the mouth of the Humber, a few miles distant from Toronto city. The estimated cost of that work would be $26,000,000, but it is questionable whether it could be completed for that sum. Between Nottawasaga and Lake Simcoe, a ridge of mountains, considerably over one hundred feet above the level, would have to be cut, and they extend for no less a distanpe than twenty-two miles on the route. Other serious engineering difficulties exist on the lower section, and al- ii >^ OnTLETB TO THE OCEAN. 128^ thoagh these are represented as mere mole hills by ' the Toronto people, the scheme is not received with much favor by the Province. Another route, said to be a cheap one, and the best, is by the river Trent and Peterborough, across the country to, Sturgeon Lake, thence across the country to Lake Simcoe, and thence into Georgian Bay, at Victoria harbor. That route, if presenting easier gradients than the other, has the fault of being circuitous, and of making too many turnings for an extensive trade, and practically would Ce of no use, if the money were expended for it. A cheap public work is unquestionably what is needed, but cheapness is a relative term, and it might be really cheaper to build the costly Nottar wasaga channel than to have upper lake vessels shape their course to lower ports, through the windings and intricacies of a crowd of irregular minor lakes. So long as there is really something better to be had, the ambitious people of the Trent must remain content to work along, improving their lands by their own industry and skill, and never ven- turing to entertain the hope that Western trade is to find. an entrance and an outlet by their little stream, and that all they have will be increased in value a thousand fold, by the building of a ship canal from the Trent to the Georgian Bay. Such a consummation is never likely to occur. The third and only other route proposed, is that by Lake Nipissing to the Ottawa river, and that unquestionably is the most practicable and direct, and probably the least expen- sive of the three. French river connects Lake Nipissing and the Georgian Bay, and at a trifling cost, can be adapted -to the passage of the largest vessels ever likely to be put upon the lakes. From Lake Nipissing to the Ottawa, there is only a narrow neck of land, and the channel of the river can be adapted readily to the requirements of any trade. By that route, lower lake voyages would be made in half the present time, and four hundred and fifty miles of distance saved. All that can be said against it is, that it would open a week or fortnight later in the spring, and close a week or fortnight later in the iall. The force of that objection, even 124 THE NORTH-WEST, AND ITS' if better founded than it is, is not verj clear when in the opening of the upper Ottawa, the best lumber district, pos- sessed by Canada, would be developed fully. The Lady Elgin makes her spring visit to the higher latitude of Superior City, before the Welland or the Erie canal has been opened, and it would be strange indeed, if French river, and the Ottawa, remained ice-bound, when ice generally had dis- appeared, and canal banks had settled down, and been fit for water, after the' final thaw. The statement is not more mis- leading than absurd, and in the opening of the Ottawa, Canar dian industry and settlement would receive a greater impetus than they have over done. But in the opening of the Ottawa route, new issues aro at once raised, which must be noticed. That route would act injuriously on the Buffalo and Oswego trade, and until Montreal could move produce to the Hudson river and New York, and send more stuff direct to Europe, the Ottawa route would practically be of little use. Produce, in its movement, would seekj naturally, the cheapest l.n 3 of trans- port, but the transportation must not be partial, but essen- tially thorough and complete. There must be no going so far and no farther, but in every ramification, the new route must not be less perfect than every other. Vessels from Chicago by Lake Nipissing and the Ottawa, should not break bulk until alongside the ocean vessel at Montreal, or until the junction of Lake Champlain and the Hudson river had been reached. These are the conditions to the successful workings of the Ottawa, or even of the Nottawasaga route, and Canada is not yet ripe for so great an undertaking. Other internal works cry as loudly to be looked to, and have better grounded claims on the Provincial Treasury. No benefit, commensurate with the great outlay, would result to Canada, as if the cost of transport were reduced, precisely that reduction more, would the price of Chicago products be advanced. Canadian loafers would find employment at the locks, or fill offices in connection with the works. Canadian and American vessels of a larger class would be built at St. Lawrence and Lake Erie ports, and ever so many carpenters OUTLBIS TO THl OCBAN. 125 be temporarily employed ; but to tend canal gates, oocbpjr canal offices, navigate vessels on the lakes, or even build them, is not the most productive way of being employed in a. new country. Every new man and new interest would be withdrawn from something else, and so far, not the least benefit would be gained, but positive injury might be done, and means previously employed productively, might have been withdrawn and invested in the new channel and sunk forever. As things are at present constituted, the Canadian and the American buyer of produce, on the Chicago market, take che cost of transport, in every case, into account, and pay the more or less for wheat or com or any other thing." The question in one case is the rate of freight from Chicago to Montreal, the probable price to be realized, and the probable advantage to be gained. In another case it is the rate of freight to Buffalo, or Oswego, or New York, the probable price to be realized, and the probable advantage to be gained. In point of fact, therefore, the western produce operator has no concern with the cost or means of transport. It is a farmers' question only, and with the means of transport, now existing, from the West to every seaboard point, it could be shown with little trouble, that for the present also, neither the government of Canada nor that of the United States, can be called upon to respond any further. The farmers of the United States and Canada, are the owners of the soil, and at the lowest price which wheat has touched for several years, they have earned more than an avei'age profit, and during periods of high prices they have themselves to blame, if they did not rapidly increase in wealth. Under such circum- stances, is it fair to that numerous class who make their living in a more arduous, and less remunerative sort of way, that the government should contract loans and impose taxes for them to pay, that the farmer should be made better than he is ? If it is politic to encourage increased occupation of the soil, beyond the premium which the soil offers of itself, it can be done not less effectually in another way. Why may not the market price of unimproved land be legally saleable within a certain price only, that people may settle down to 126 THE NOmH-WBBT, AND m> agrioullonl pursuits in any particular section they may have a fancy to ? That ultimately, would induce too large accet- sions to the agricultural class, and grants and sales of national domain cannot be made subject to such a clause, a single day too soon. It was well enough for government to do what has been done to open up the resources of the North- West to the world, but the limit of governmental action has been reached, and private enterprise, aided by grants of land, as in the c^e of railroads, should do the rest. But there is another weak point involved in the opening of the Ottawa route, and that is the hold which Now York has of the English trade. It is conceivable that were the Ottawa route open, that, for European interests, large ship- ments would, as heretofore, continue to be made to Buffalo. Considerable time would elapse between the shipment of wheat or flour at Chicago and the delivery in New York by the Ottawa and Caughnawagna routes, while Buffalo occu- pies a position and relation to New York which no other city does, and these advantages are borne by Buffalo produce. For example, a favorable turn takes place in the New York produce trade which is not likely to be of long duration. The Buffalo holder of flour, telegraphs to his agent in New York to place so many barrels of flour upon the market sub- ject to delivery four days afterward. The sale is at once effected in New York, and, in the course of an hour from the dispatch of the first message, the flour is being carted from the Buffalo warehouse to the railroad depot, and on the morning of the fourth day the flour is delivered in New York city to the purchaser, and the same day the Buffalo merchant puts his sight draft for the amount through the bank. That may be done in other cities, but it is, essen- tially, a Buffalo " institution," and these facilities and that proximity to New York will always influence ^he movement of every kind of produce in that direction. Neither Montreal, nor any other Canadian city, is in such a position for the prosecu- tion of Eastern trade, and never can be ; and, for European trade, freights from the St. Lawrence are invariably twice the amount that freights are from New York. That last V ODTLrrS TO THB OOIAM. 127 fault Uf howeTer, of easy remedy, and one day's action ^and organization, on the part of the leading men of Montreal, woald go far t divert a greater share of English emigra- tion to the St. Lawrence, and provide thereby an outward freight to sailing vessels. " The communications from the North- West to tHe South and Eastern seaboard, instead of being imperfect, as would seem to be implied by continued agitation on the subject, are, perhaps, as near perfection as they can over possibly attain. Taking Chicago as a centre, we have the following channels of communication with the Mississippi ^aod New Orleans : The Illinois Central Railroad have a direct line to Cairo, on the Mississippi, and from Cairo they have an independent line of boats to New Orleans. One of the most perfect organizations for the movement of freight and passengers from one point to another that perhaps exists in the United States, is, therefore, to be found from Chicago to New Orleans, and over that connection the whole North-West and Canada must sooner or later supply themselves with sugar and molasses, and other staple grocery products. By the same route there is no reason why the Eastern cotton fac- tories should not supply themselves with raw material from Memphis and other points. To move cotton from Memphis to Cairo, thence over the Illinois Central and the Eastern roads, should be less expensive transportation than to move the cotton down to New Orleans, or to ship by rail from Memphis to Savannah, and there re-ship for Massachusetts and tHe interior. In 1856 some three thousand bales of cotton were so moved from Memphis, but the trade was abandoned before being fully organized. It is, however, practicable, and a haulage profit over and above the tear and wear would be realized by every road over which the traffic passed, and, in these dull times, another trial should be promptly made. The following are the present rates of freight over the Illinois Central Road to New Orleans : I I ill! I- 128 THE NORTH-WEST, AND IT8 Illinois Central Freights from Chicago to New Orleans, and vice versa. Grain, per 60 lbs., from Chicago to Cairo by rail, thence per steam on Mississippi river to New Orleans $ .30 Bacon, Lard, Beef, &c., per 100 lbs., from Chicago to Cairo by rail, thence per steam on Mississippi river to New Orleans .50 Sugar, Molasses, Coffee and general groceries, per 100 lbs., from New Orleans to Cairo by steam on Mississippi river, thence per rail to Chicago 60 Time on this route from five to ten days between Chicago and New Orleans. Besides the Illinois Central Eailroad and its connections south, the St. Louis, Alton and Chicago Railroad take freight and passengers to St. Louis, whence there are numerous inde- pendent steamers down the river. Some four or five other railroads run also from Chicago to the Mississippi, and make connection with boats for New Orleans. So far, therefore, as the southern outlets of the North- West are concerned, no possible improvement can possibly be made, and it is time the world should know such to be the case. Stretching eastward from Chicago, the two great lines of travel are the Michigan Central and the Michigan Southern Railroads ; the former running to Detroit, and connecting with the Great Western of Canada, and with New York, Boston and Philadelphia at the Suspension Bridge. The latter road exteilds to Toledo, and connects with the Lake Shore road to Cleveland and Buffalo, and from Buffalo connects with all the eastern railroads. These roads carry passengers and freight to and from the seaboard cities, and when the Lake season closes, the carrying business of the North-West passes to them, and provisions, hides and live stock, are sent forward to Buffalo and New York. The Central and Southern roads do not, however, have a monopoly of the freight carrying business, between Chicago and the east. The Pittsburgh and Fort Wayne Railroad, connecting with the Pennsylvania Central, forms the most direct and shortest route from Chicago east, and cannot fail ultimately to attract, by far the largest portion of western freight. The special advantage of the Fort Wayne road to freight shippers, is the prospect of quick dispatch, as the Pennsylvania Central is less likely to be blocked with mer- OUTLETS TO THE OCEAN. 129 ive a icago road, most )t fail stern ad to the mer- ,s chandise and produce than the trunk railroads of New York State. Besides carrying freight to New York city, like the other roads, its own proper terminus ijs Philadelphia, and Philadelphia is in close connexion with Baltimore in Mary- land. But in addition to these through Eastern railroad routes, there ' are combined routes of lake and railway, not much behind in point of time, in taking goods forward, and involvr ing marked economy in the charge of transportation. The Grand Trunk Railroad of Canada, is the greatest corporation of that kind, and its western terminus has been located per- manently in Chicago. From Chicago, one of the best line of steamers on the lakes carries forward freight and passengers to CoUingwood on the Georgian Bay, and from CoUing- wood to Toronto, freight and passengers are passed over the Ontario, Simcoe and Huron Railroad. At Toronto a junction is made with the Grand Trunk road, and Montreal and Quebec are but a few hours fUrthei!' travel. Besides connecting with Chicago by way of CoUingwood, the Grand Trunk Railroad can move freight and passengers over the Michigan Central or the Michigan Southern to Detroit, and at Detroit use the Great Western of Canada, until its own connection has been reached. In another year the Grand Trunk extension will be complete to Samia, and from Sarnia to Detroit, surveys have been made for a branch along the St. Clair river to De_ troit, and that finished, the Grand Trunk and the Great Western will both compete for the Chicago trade over their respective roads. From Montreal and Quebec the Grand Trunk Railroad runs through the State of Maine to Portland, and in the winter connects there with the Montreal and Liverpool line of steamers. In the summer these steamers enter the St. Law- rence to Quebec, and form a fortnightly ocean line connecting back to Chicago either by railroad or by propellers on the St. Lawrence and the lakes. The following is the Grand Trunk tariflF from Chicago to Montreal and Liverpool, this 28th May, 1858 : 9 180 THE NOBTO-WEBT, AMD ITS Orand Thmk Freights from Ohieago. ▲BTMUM, BTO. n^r, p«r bbl Foric and Beef, per bbl.. . Chrain in bags, per 60 lbs. . MOHTBIAI. TIA OOLUHOWOOD. •0.60 .90 .90 MOIITBBAI. 10.80 1.90 SO MOHTBEAI. TO UTBBPOOI,. $1.00 l.SO .95 Orand Ihmk Throwgh Freights from Chicago to Liverpool Direct. Floor, per barrel, by ateam to CoUingwood, thence per railway to Mon- treal and ocean. 'steamer to Lirerpool— time, twenty to twenty-fiTe days $1.60 Hoar, per barrel, by railroad to Montreal, thence pier ocean steamer to larerpool— -time, fifteen to twenty days 1 .80 Beef and Foric, per barrel, by steam to CoUingwood, thence per rail to Montreal, and ocean steamer to LiTcrpoof— time, twenty to twenty- five days , 9.40 Beef and Pork, per barrel, by railroad to Montreal, thence per ocean steamer to Liverpool — time, fifteen to twenty days 9.70 Grain in bags, per 60 lbs., by steam to CoUingwood, thence per rail to Montreal and ocean stefm^r to Liverpool— time, twenty to twenty- five days 45 Qrain in bags, per 60 lbs., by rail to Montreal, thence per ocean steamer to Liverpool — time, fifteen to twenty days .55 In the course of next Etpring, a compeiing line with the Grand Trunk wiU be opened, by the establishment of a line of Lake propellers from Chicago to Gk)derich, on the south- eastern shore of Lake Huron. At Goderich, freight and passengers will be placed aboard the BuAGeiIo and Lake Huron Railroad cars, and run across Canada to Buffalo, where a market can be had, or canal or railroad transportation to New York. In the winter season, and at present, that Buffalo road id already open, taking freight and passengers over the Michigan Central and Michigan Southern, from Chicago to Detroit, then running over the Great Western of Canada to Paris, the connecting point of the Buffalo and Lake Huron road. That is already a favorite road for stock and freight, from its giving the command of the Buffalo and Eastern markets, and when its Goderich extension has been finished, and its propellers running on the Lakes, it will influence a large amount of traffic, and go far to reduce interior freights to the lowest point that they can ever go. Besides these combined lake and railroad means of trans- port to the East and Europe, numerous independent lines of ODTLBna TO THB OCEAN. 181 .45 .55 trane- ines of large propellers, connect Chicago with every leading point an all the Lakes, and run down as low as Montreal, and these propelleirs can usually be chartered very low for pro- duce. The average rate for wheat from Chicago to Montreal is not over fifteen cents a bushel, and taking ocean steam freight from Montreal to Liverpool in steamers, bags at twenty-five cents a bushel more, we have the following pre- sent margin on wheat shipments from 'Chicago to the other side, the voyage from Chicago to Liverpool not exceeding five and twenty days : Wheat in Liverpool, 6« per 70 1I»., or tl .36 per 60 lbs. Wheat in Chicago 68 " " "Is, Steam freight to Montreal and steam freight to LiTerpool, 40 cents in all 40 Margin for profit and charges. SS per bnshel. Li addition to these varied and efficient means of trans- port, from Chicago to the ocean, Chicago owns a fleet of sail- ing vessels, whose collective tonnage would not disgrace an ocean port, and the sailing vessels of every port on the lakes make Ohicago their Ultima Thule ahd starting point as fre- quently as tiiey can. The following is the official custom house reports for 1857, and previous years : NwiAet and Tonnage of Vessels arrived at the Port of Chicago for the Season of 1857. Jiarch pril May , Jane , July Angnist .... September... October. . . . November . December. . Stmrs, 30 50 49 41 46 43 34 12 3 Totak.. 306 Arrivals unreported, Props. 38 56 93 96 96 109 91 41 6 Sail. 16 348 800 900 923 917 735 689 269 36 618 I 5,43S estimated,). Total. Totals.... Total m 1856. Total in 1855. Total in 1854. 19 306 906 1,041 1,060 1,059 886 714 323 44 6,357 .1,300 .7,557 .7,338 .6,610 .5,031 Tonnage. 3,336 16,813 208,500 318,108 323,700 373,105 327,785 303,673 74,485 11,309 1,460,613 293,800 1,763,513 1,545,379 1,608,845 1,093,644 Men. 124 4,795 6,869 8,983 8,899 10,136 8,737 7,287 3,235 451 61,458 ,7,800 -r4— 68,^58 65,531 182 THE N0BTH-WE8T, AND ITS Finally, two years ago, the schooner " Dean Richmond," left Chicago ibr Liverpool, and last year the schooner " Ma- deira Pet " made the voyage from Liverpool and returned there again. Last^ year the G. J. Kershaw left 'Detroit with staves and lumber, and during the present season, not fewer than a dozen other lake crafts will have left Detroit in the lumber trade, thus demonstrating that the t)utlets of the North-West to the seaboard and the ocean, are in an advanced and business state. To be sure, there is not water above Quebec for the Leviatharij but perhaps it is more profitable not to seek ocean monsters further up, but to take the pro- duce to them. Be that as it may, the present is an unpropi- tious time to sink capital, in investments of any kind, and there is abundant lake craft ready to be made available in any way ; and with respect to the development of Western trans-atlantic trade with Europe, it is to be observed that with the dompletion of the Victoria Bridge at Montreal, ves- sels have to choose between the lakes and the ocean. The centre arch of the bridge is only sixty feet in height above the water, and as vessels without keels are best suited for the lakes, and vessels with keels only suited for the ocean, there must be a complete division of the trade. That however (Tannot be looked upon as ofTering the slightest obstacle to its ultimate development, but should be regarded rather as conducing to its establishment on a sure and paying basis. It would never pay large ocean vessels to make a passage up the lakes ; and the outward voyage of the Madeira Pet from England, and return from Chicago, are proof positive that small vessels would never earn freight on the through trade The " Madeira Pet" was from the English channel trade, in which the fastest little craft afloat are unquestion- ably to be found, and yet the expense of the voyage to Chicago and back to Liverpool, almost absorbed the whole return from her outward and homeward cargo. Need we say that such a trade would never do, and if it is to be done at all, with profit, it must be done in another way. That other way must be by a break at Montreal, and so far .as grain is concerned, English buyers will insist on shipments V OUTLETS TO THB OCEAN. 188 by lake propellers only, unless the GluQago shipping price is unnsaally and very low. A question of commanding interest to the St. Lawrence route here presents itself, and, in so far as if relates to the present subject, must be noticed before we proceed fhrther. The Erie canal, Arom the jiorth shore of New York State to the Hudson riyer at Troy and Albany, forms the great sum^ mer competing route with the St. Lawrence for Western grain, and, hitherto, has attracted the lion's share. This year an enlargement of the canal has been completed, and still further enlai^ements are in progress. The capacity of canal boats can, therefore, Ue much increased, and the expense of moving these not increasiing in the same ratio, canal freights will be rapidly reduced. Simultaneously with the canal enlargement, a reduction of canal tolls has been made, and that reduction so far diminishes the further cost of transport. A diminution of the cost of transport to the seaboard, other things being equal, of course, enables the wheat buyer to pay more for wheat. Observing, therefore, that the reduction of canal freight acts on the Chicago market, and so far adds to the price of wheat, and has no iiifluence on the rate of transportation on the lakes, we are led to the conclusion that where similar diminution in the rate of . transportation on other routes has not been made, that the diminution to its full extent acts as a pre- mium in favor of the particular route in which it has been made. For -example, the effect of the enlargement of the Erie canal, and the application of steam to the propulsion of canal boats, may ultimately reduce the rate of canal trans- portation to the extent of five cents a bushel. Supposing, for illustration, that such a result were brought about, and that no improvement whatever was made on transportation by the St. Lawrence route, then the shipper by the Erie cansd could pay five cents more a bushel in Chicago for the wheat he purchased, while the shipper by the St. Lawrence could not afford to do so, other things being equal. But if the St. Lawrence shipper could get freight to Montreal at a reduc- tion in favor of Montreal and against Buffalo to the extent 134 THE NOBTH-WEST, AND ITS of the reduction on the canal, he would be reinstated in his former position. But such an expectation is absurd; and if the tendency of prpduce was to move down the Erie canal before the reduction of Erie canal ratea, that tendency must be greater now than before, and Canadians must be up and doing, or direct Western trans-aUantic trade promises to come to nothing. One present means of restoring the equilibrium between the contending routes, would be in the temporary abrogation of the Welland and St. Lawrence tolls, providing for these interests in the meantime from the ProvinciaV consolidated fund ; and an ultimate means *of retaining a large portion of the trade would be fom d in a vigorous Montreal organization of direct trade between Chicago and Liverpool. On these resources, Canada can at once fall back, and it cannot do so a single day too soon. Every day's inactivity is a public loss, and perhaps at no previous period has there been so good a chance of branching out successfully in a new direction. It is not when things are brisk and satisfactory that experiments are so likely to be tried, as when - business difficulty or em- barrassment prevails. People then look around them for relief, and are easily influenced by a fair prospect of success. Just now, every business interest suffers, and there would speedily be hope of better times, if the advantages of a new market were presented, and brought practically within our reach. Could not that be done by Montreal ? Could not Montreal merchants give Chicago quotations of wheat and corn and flour to their customers, in Europe, and leave the risk of inland transportation to bo run by them? Tlie grain trade is not always on the downward move, but there are reactions sometimes, which, in a brief space of time, would go far to diminish freight, lliat risk would be nothing new, and may as well be taken on the inland lakes as elsewhere. Could they not also bring the American shipper into commu- nication with the import houses of London, Liverpool and Glasgow, and be the medium through which secure and lib- eral advances could be had on foreign shipments, from Chicago, and at the same time could they not cooperate with \ OUTLETS TO THE OCH&N. 186 the Grand Tnmk Railroad, in diverting^^ immigration to the St. Lawrence highway, and in feeding ocean steamers and sailing vessels with freights of inland produce ? These are the raw material for building the St. Ijawrence routip, and keeping up a healthy rivalry with the Erie canal and Hudson river, to the great advantage of all concerned ; and if Mon- treal will only take a firm and resolute hold, the St. Law- rence route may still offer advantages equivalent to the other. It is something now-a-days to have stuff, once in motion, reach its destination in the quickest way, and a voyage from Chicago to the Mersey, need ngt cover a greater interval than that consumed at present, in moving stuff froun Chicago to New York. That would be a great consideration, and in the estimation of a Mark Lane factor, outweigh a fek cents difference in the cost of transport. Far better to do busi- ness on these terms, than to leave it undone, in the exp^ta- tion that sooner or later, water courses will be opened, whiii^ will sustain the St. Lawrence route without an effort. ^ Leaving the points and questions raised by the two rival routes, from Chicago to the Eastern seaboard, to be further amplified and digested by the reader, it remains to notice the peculiar local features of the Chicago trade. In the first place, a^ large amount of capital has been invested in storehouses and machinery, for the receipt and shipment of the great staple products, wheat and com. Farmers and shopkeepers in the country can, therefore, calcu- late at all times, on having their stuff cared for, and handled in the cheapest way, should they send it to Chicago. Through- out the season, therefore, the daily receipts in store are heavy, and the country owners give, brokers the power of sale, at a fixed price. Sometimes these brokers make ad- vances, and have the power of sale at their own discretion. Under these circumstances, the amount of grain in store in Chicago is not always pressing on the market; and some- times, really fair margins do not exist on forward shipments to any point. The country owner of the stuff may have his own views as to the future range of prices,- and may hold on to it, until these opinions have been verified, or have proved / //♦ 186 i Tat NOBTBhWEBT, AND ITS to be mistaken ; and' the city broker who has made advances maj have his opinions, and prefer to send forward what he has on his own account. With either of these practices, the public properly have no concern ; but the real practical effect of their operation is not, uofrequently, to make Buffalo or New York the really better market for outside parties to pux'chase in. The following tables show the state of the wheat trade during 1857 : / Bdativ Prica ofCSacago Whtat in Chicago and Buffalo. / 1867. * OmOAOO. BOTTAM. May ../'. $1.06tol.l0 $1.16tol.28 Jone^. 1.21tol.25 1.30 July». 1.26tol.27 1.35 AijIgDSt 1.12tol.U 1.20tol.32 September .92 to .96 .85 to 1.02 October 73 to .77 .80 /November ••••->« 68 to .69 .77 to ..82 / December 53 to .54 .78 to .80 f : — Projit and Charges, margin, on Wheat Shy)ments from Chicago to Buffalo. 1867. omoAOO. BurrAio. rmoEi. mamir. loss. May $1.08 $1.22 4 10 June 1.23 1.30 3^ 8} July 1.26^ 1.35 3f 4} August 1.18 1.26 4 9 September 94 .93^ 5 . . 5^ October 75 .80 6 ... 1 November 68^ .79| 7^ 3^ .. To make the Chicago grain trade really profitable, some- thing more is, therefore, needed, than to make daily visits to the Chicago Board of Trade. Parties must put themselves into the position of advancing to country senders, or make country purchases and collections, in common with the coun- try shopkeepers. So soon as that is done, more fully than it is, the trade will assume a healthier and better state ; and Canadians and others cease to be turned from it in disgust. That reform and reconstruction is almost the first condition of direct grain trade between the West and Europe, and capital and tact are only needed to bring them both about. Thp capacity for handling and storing grain is as follows ; and, it may be observed, that storage in Illinois is protected OUTLETS TO THE OCEAN. 187 by a rigorous penal law, and that deficiencies and irregiilari- ties are guarded against in every way : CaptieHy for Handling and Storing Grain. iutAtdic wabuousm. OAPAORT torn Rouai. bnah. OATAORT W ■aOUTI AMD no per bat. buh. OAPAOITTW Blir pr. BAT. buh. Illinois Central R. B. (Storgis, Bnclc- Ingham & Co. ) Do. (New Warenonse) R. I. R. R. (Flint, Wheeler & Co). . Chicago and Galena U. R. R Gibbs, Griffin & Co Munger & Armotir 700,000 700,000 700,000 500,000 500,000 300,000 200,000 160,000 100,000 100,000 60,000 75,000 65,000 65.000 55,000 50,000 60,000 0,000 30,000 5,000 25,000 0,000 20,000 30,000 225,000 225,000 200,000 125,000 150,000 100,000 75,000 50,000 50,000 40,000 40,000 60,000 Munn, Gill & Co Flint. Wheeler & Co Burlingame S. A. Ford & Co James Peck & Co Walker. Bronson & Co Totals.. 4,095,000 495,000 1,340,000 The rates of storage, <&c., will be found under the head of Chicago Charges in the Appendix. The spring trade usually opens with a large winter accu- mulation of wheat on hand, and by one party or another, not necessarily new buyers, the wheat is sent forward. Shortly after the opening of the navigation and while the wheat movement is in progress, corn begins to arrive by the canal and the railroads. Until the middle or latter part of June, very little corn goes forward, in consequence of the liability to heat, on shipboard, and July and August are the great com shipping months; by which time corn has been well dried, by the summer heat. During the corn shipping season the new crop of wheat is being harvested, and when that is jBinished, the com has pretty much all gone forward, and farmers then apply themselves to sending in wheat. That new wheat is in prime shipping order, and September and October, and the early part of November, are occupied with wheat shipments to the exclusion of almost every other kind of grain. Corn is harvested after the farmer has sent for- ward as much wheat as he feels disposed to do, and the first 188 THE NORTH-WEBT, AND ITS corn movements are made in the midsummer of the following season., Gonsiderable dissatisfaction has been expressed with the cleaning of Chicago wheat, but means have now been taken to remedy that defect, and hereafter there can be no excuse for any kind of grain going forward in a dirty stat^ The following is the official statement of the leading arti- cles of export from Chicago for the year ending 81st Decem- ber, 1857, and ^as made recentl/ by the Collector of Cus- toms to the Patent Office : * STATEMENT of ihc Quantity and Eatimated Value of Artitde$ of Merchandim of Domestic Growth or Manufacture, Exported from Chicago, Ultnoi$, during the Year ending December 3l8t, 1857. Compiled by Jacob Fbt, Collector. AKtIOUH. Aihea, pearl, tons. . . , Apples, dried, lbs. . . . Apples, banels Aold, mtrio. lbs Agrio'l implem'ts. No. BMf, salt, dmnIs .... Batter,lbs Baoon, lbs Baeon, assorted, euks Barley, biiaheU .... Beans, bushels Bran, lbs Beer, gallons Oars, railroad, No. . Com, shelled, bushels Olorer Seed, to'^s . . . Cattle, No Older, barrels Oom Ileal, bush. . . . Com Broom, bales . . Oandles,lbs Cement, barrels Oheeae,lbs ■mptf barrels, No. . ■nglnes. No Flour, bols Fish, piokled, lbs.... Glue, lbs HiKh wines, bbis mdes,No Horses. No Hogs, UTe, No Hams, lbs Hair, lbs... Hops, lbs Hay, tons Hoops, No HUDDS, Mts Iron Oastlngg, tons. . 11 100 167,600 4O)J>V0 4,704 1,680 8,116 2.010 6,809 27,388 10060,000 6767,762 'l,7a8 111,420 8,806 7 182,614 980,000 180,600 482 84,6n 3682,000 10,000 6,642 848 1.826 997 620,481 746 i.« 218,096 111,960 2,416 28,168 2,091 100,6^"$ 91,172 8,197 186,170 12,024 420,900 IM 222,766 26,290 160 46 8 160 898,276 9,998 1,600 7,004 600 22,940 649,436 18,884 8 61,907 780 8,479 1,482 1,029 481,446 88 97,620 1,224 110 128,000 119 2,632 1290 600 697 17,600 18,264 162,276 112!. i I 848 116,462 9,628 167,600 2160 68978 162 602 11848276 4,704 24 684 8116 1600 20,000 116 7,982,894 748 64,280 688 111,420 8808 1224 24 809 767,681 110904 10 870,786 1,108,000 180,680 6496 274,099 8,678 100,646 8,684,682 12,290 600 6,5" 17600 1,029 112 984,800 00 9,816 96 88,680 60 94,600 00 162,000 00 698,708 00 82,620 40 1,184,827 60 94,080 00 24,604 00 8,116 00 16 00 106,226 00 81,200 00 4,760,486 00 180,876 00 1,626,900 00 2,916 00 111,420 00 88,080 00 146 88 74.427 00 84.428 41 221,808 00 6,000 00 1,868,676 00 88,640 00 18,098 00 77,040 00 1,287,496 00 428,760 00 1,006,460 00 466,002 16 2,468 00 60 00 87,484 00 176 00 2,068 00 2,240 00 \ OUTLETS TO THE OCEAN. It9 STATaii>MT— ( Omttnued. ) ummm. limt.bblf Unl,»M LMd,lbi Murbto Okti.biuh OU, iud.g&lli Pork, bbii , . . PotatoM. bnth. . ^ . Pnmpi, No Pork, in balk, toni . Bjo, Doth ShMp, No BteTM.No 8teNh,lbi 8pokM.No So*p, Ibi Tallow, Ibi Timothy Bood, bnah. Tlmb«r,ft«t VlnefMr,8i'.i Whlaky, g»ll. WhMt, both Wool, ibi Wagoiu,No 1678,960 6086,000 m 460,062 14,002 SJIBO 66,000 19,600 488,980 96,900 19,880 8421,780 1788,0U0 48,000 1,700,000 106,006 27,117 12,689 2,609 19,872 127,080 809,662 6,847,000 9,760 16,000 76,800 16,890 9,462 12164 160 167 40,000 UO 12J98 988,860 1,764 1,877 108 1,890 1,400 ll 614 8,688 1667,000 468,868 9jm 8,800 441 29,900 P,801 8,778 10,000 480 248,868 72 2000 9,000 12,888,1408,492^10100,686 U,18e 1,008,910 7,980,000 6M 708,096 17,280 47^ 97.860 8,088 2^ 10,160 19,689 1,068,000 480 784,900 88,881 n,9e8 406,062 8,408,860 2;i96 22^72 00 189,92010 72>0 00 98^00 210.919 40 10,808 00 670,490 00 8,868 CO 18,416 00 409.920 00 10,160 00 29,298 60 82,060 00 87,780 04 188 88 88 40 78,480 90 89,402 00 607 46 7,968 00 148,616 00 10,109,686 00 l,608,6n 80 219,600 00 28,716,849 29 Statement of the Principal Receipts at St. Louis from the Illinois Railroad* and Illinois River. leee.* TLOUB. bbli. WUBAT. boih. OOBW. biuh. BOOB. Beta. Terre Haute. Alton and St. Louis Railroad BelleTille and Illinois Town B. B. Ohio and Mississippi Baiiroad. . . . Illinois Biver 2,200 57,200 20,400 91,400 10,000 38,000 47,900 1,188,800 28,200 79,200 452,600 38,700 1,000 1,400 Totals 171,100 1,284,700 540,000 36,100 * B«edptf at St. liools ftom Ulnoia and other States, were not fUly partieolarlied in the St. Loulii reports of laat Tear ; a great oTenlcht, for which Uiere is no •xraie; and m an forced, therefon, to use the itatistioi of 1866 instead of 1867. 140 THE NOBTH-WEBT, AND ITS Statement of the Prineipoi Bxportt from St. Louit to New Orharu, by the MUaiteippi River. i8se.* VLOCB. bbli. WHBAT. buh. OOBW. baah. LABD. bbla. PORK. bbU. HBMP. b«lM. March April yy Jane Jaly . . . . 1 . . . Angiut September. . . October Norember... Totals.... 86,100 91,100 75,000 98,500 70,900 lOOyOOO 84,700 83,300 142,000 13,100 9,800 38,900 115,600 103,100 369,600 67,900 110,300 503,100 94,700 101,100 154,700 180,100 69.600 57,700 138,400 37,300 45,600 3,600 7,300 8,600 300 300 600 1,500 300 400 32,500 37,000 19,600 5,100 7,200 600 400 ^800 l;5oo 1,700 1,500 3,100 3,400 8,100 1,000 500 500 1,000 845,600 1,331,400 859,200 17,800 97,100 18,800 * Th« um« neglect in putleolulslng the ezporta of 1867 wu nude by the St. Loale Boud of Tnuie. Statement of Freighti from St. Louis to New Orleans. 1867. PLOCR. bbla. OBAIM. biuh. POBK. bbla. HBMP. balei. 12^ cents in July to 60 cents in Feb. 6^ cents in July to 20 cents in Feb. 30 cents in Jane to 75 cents in Feb. 18 cents in Nov. to 40 cents in Feb. I > I I MONTREAL REPORT OF ROUTES TO THE SEABOARD. JTnf.— From Chicago to New York, by the way of the Lake, to BaiTalo, the Erie Canal, and the Hudson Rivor to New York. By sail By ateun ▼eaaela. reaaela. From Chicago to Buffalo, 914 miles Lake navigation, at 2 and 3j^ mills $1.83 $3.30 Flrom Banalo to West Troy, 353 miles Canal navigation, at 8 mills 8.82 8.83 From West Troy to New York, 151 miles River navigation, at 3 and 5 mills 46 .76 Transferring cargo at Buffalo 80 .30 UlSmiles $5.30 6.98 .76 .20 OUTLBIB TO THE OOBAN. 141 iSboand .— From Chicago to N«w ToA, bj the waj of the Lakee and W^Uaod Caaal to Oswego, and thence by the Oswego and Erie Canali and the Hndaoa Biver to New York. Dy nU. Br itMSt Fram Chicago to Otwego, 1057 mllee Lake narigation, S and Si mill! tl.ll . 13.70 Additional expenie on the Weliand Canal, S8 milet, S milli. .08 .06 From Oswego to Weet Troy, 203 oiilw Canal narigatlon, 8 mills 1.89 1.6S From West Troy to New York, 151 miles Birer narigation, 8 andSmills ,, 45 .78 Transferring cargo at Oswego SO .SO UlOmilee 94.46 •6.88 Thrd.—Ttom Chicago to New York by the way of the Lakes, the Welland, St. Lawrence, Canghnawaga and Champlain Canals, and the Hudson River to New York. BysUl. 9yMmm. From Chicago to New York, 1 632 miles, at 2 and 8| milL? . . . 83 . S8 96 . 7 1 Additional expenses on the Welland, St. Lawrence, Cangh- nawaga and Champlain Canals, 1 67 miles, 3 mills 50 .50 1632nules $8.78 |8.ai FourtA.— From Chicago to Montreal by way of the Lakes and Birer St Lawrence, and the Welland and St. Lawrence Canals. By sail. By staam. From Chicago to Montreal, 1278 miles, at 2 and 3^ mills. .. .82.86 $4.47 Additional expense in the St Lawrence and Welland Canals, 75 miles, at 3 mills 22 .SS 1278 miles $2.78 $4.69 The comparison of the routes by BaUroad, from the termination of the voy- ages of the large vessels to certain points, is as follows : — First. — From Chicago to Buffalo by Lake vessels, and thence to New York by Railroad. By sail. By iteHD. From Chicago to Buffalo, 914 miles, as before $1 .83 f3.20 From Buffalo to New York , 444 miles Railroad, atl^cts.... 6. 66 6.66 Transferring cargo at Buffalo 20 .20 ISSSmiles $8.69 $10.06 iSjcom/.— -From Chicago to Oswego by Lake vessels, and thenoe to New York by Bailroad. By sail. By ■toam. From Chicago to Oswego, 1057 miles, as before $8.19 $3.78 From Oswego to New York, 327 miles by Bailroad, at l^ts. 4.90 4.90 Transferring cargo at Oswego 20 .20 1384 miles $7.29 $8.88 142 THE N0BTH-WE8T, AND US mnL—Vtom Chicago to Whitehall by Lake Teaaela, and thence to Now Toric hj Railroad. ByMU. ByitNBi. 9tom Chicago to l^itehall, 1415 miles, at 2 and 8^ mills. . .$2.83 •4.95 Additional expense of Welland, St. Lawrence and Cangfan»- waga Canals, 101 miles, at 8 milk 30 .30 From Whitehall to Newt ToJrk, 223 miles by Baiboad, at 1^ cents 3. 35 3.35 TiOBtferring cargo at Whitehall... 20 .20 1038 miles $6.88 $8.80 JburtA.— From Chicago to Whitehall by Lake vessels, and thence to Boston by Bailrood. ByitU. Bysttnn. From Chicago to Whitehall, 1415 miles, and traosfening careo as in No. 8 $3.33 $5.45 From Whitehall to Boston, 191 miles by Baiboad, l^cts . . . 2.87 2.87 1606 miles $6.20 $8.3$ Fyih.— 'From Chicago to Burlington, by Lake yessels, and thence to Boston by Bailrood. By Mil. Br itom. From Chicago to Burlington, 1351 miles, at 2 and 3J^ mills. .^.70 $4.73 Additional expenses of Welland', St. Lawrence, and Canghna. wosa Canals, 101 miles, at 3 mills SO .30 From Burlington to Boston, 258 miles, at 1^ cents 3.87 3.87 Transferring cargo at Burlington .20 .20 1609miles $7.07 $9.10 Sixtk. — ^From Chicago to Montreal by Lake vessels, and thence to Boston by Railroad. By sail. By attain. From Chicago to Montreal, 1278 miles, as before $2. 78 $4.69 From Montreal to Boston, by Railroad, 341 miles, at 1^ cts.. . 5. 12 5. 12 Transferring cargo at Montreal 20 .20 1619 miles $8. 10 $10.01 Seventh. — ^From Chicago to Montreal by Lake vessels, and thence to Portland by Railroad. By aail. By ateam. From Chicago to Montreal, as before, 1278 miles $2.78 $4.69 From Montreal to Portland, by Railroad, 292 miles, at 1^ cts. 4.38 4.38 Transferring cargo at Montreal .20 .20 * 1570 mUes $7.36 $9.26 ~-McAlpine'a Official Statement. Nora.— Theae catoulationa are baaed on dUtanoe, and on equal rate of tranapoitation ehaiip. OUTLBIB TO THE OCEAN. 148 1 TBAN8P0BTATI0N FBOM THE WEST TO THE EAST. The fonr great competing railway lines for the canrring trade of the Weatem Sutea are, it ia well known, the New York Central, New Toift and £rie| Balti- more and Ohio, and FenuylTania Central, and, within a jMr or two, the Grand Trank Bailway of Canada has also entered the field. Before we dve the figutas showing the cost of transporting br these seraral ' lines, we weiul remark that thfow u a well ndderstood law of natnre which compels water to aetk its lowest outlet, and diere is a no less well defined law of commerce which forces trade to its cheapest outlet. So long as trade finds its way by present rontea as cheap, or cheaper, than any other, it wQl continne in its present channels. The rontes of trade, when more than one line is available, is simply a question of cost, and couTenience and intereat Sivem in the dedsion. In the calculations of actual cost of transporting on e lake and on the ndl which follow, it will be proper to state, that by lake is made up from the business of twelve propellers on the li^es, during two seasons of navigation, which shows it to have been 34 miUs per ton per nme on long routes, and 6 mills on short : and the cost on tne raO is that of the New York Central Bailroadfor three years, as appears by their annual reports. TOH OTTIiOTIB OB WHBAT. From Chicago to New York by steamer on the lakes to Buffalo, l/)00 miles, at 3^ mills per ton per mile $8.50 Insurance on wheat and flour at $80 per ton and ^ per cent to Buffalo', . 15 Bailroad from Buffalo to Albany, 300 miles, at I* cents per ton per mile 4.S0 Hudson River, 150 miles, at 5 mills per ton per mile '. 75 Total...., $8.90 Add tolls as proposed by bill now pending in Assembly, 300 miles, at 3 mills per ton per mile 9Q Making the cost, with the tolls added from Chicago to New York by lake and sdl $9.80 Chicago to Grand Haven, Michigan, by steam, say 160 miles, and in- sunmce $1.00 Bailroad from Grand Haven to Portland, Maine, 1,026 miles, at 1^ cents per ton per mile 15.39 Cost from Chicago to Portland via Grand Trank Bailroad, per ton. . . . $16.39 Chicago to Ogdensbnig, 1,300 miles, steam, 3^ mills $4.50 Insurance on wheat or lour at $30 per ton, at 1 per cent 80 Toll, Welland Canal, per ton, and through ij; 40 Extra freieht, Welland Canal, at 3^ mills per ton per mile, say 10 Bailroad from Ogdensburg to Boston, 400 miles, 1^ cents 6.00 Cost from Chicago to Boston via Ogdensburg, per ton $11 .30 Toll on the Ogdensburg Railroad, 1 Ifi miles, at 3 mills 35 Making a total, with tolls added, of $11 .65 Chicago to Montreal, by steam, say 1,450 miles, at 3^ mills per ton. . . . $5.08 Welland Canal toll, 40c., extra freight through at 10c 50 Montreal to Portland, 292 miles, at 1^ cents per ton 4.86 Insurance on wheat or flour at $30 per ton, 1 per cent «. . .30 Cost from Chicago to Portland, by steamer to Montreal, and rail through $10.86 144 THE NOBTH-tWEBT, AND ITS Chicago to Philadelphia by rail, viA Fort Wayne and Crestline, 843 i miles, at U cents, u .> 918. 85 Toll, Philadelphia to Pittobui^h, S63 miles, at S mills 1.06 Philadelphia to New York, thronj^ Delaware and Baritan Canal, say !S0 miles.... 2.00 Cost, Chicago to ^ewtToilcTiaPhiladelphiifc 415.41 ^ When the Ohio Biver is ap, the ronte from Cincinnati via Baltimore and Ohio Bailroad and Ohio riyer, and propeller from Baltimore to New York, can compete with ttie ronte br rail through New York, Lake Erie and rail from Cleveland — the New York ronte paying toll of 90 cents per ton on floor or wheat; but the New York route by rail cannot compete and pay 4 mills per 1000 pounds per m^ljB, as at present charged on merchandise, when the Onio river IS np from Wheeling. . i Crestline, Ohio, the great dividing point for New;,^*)''^ '"'^ Philadelphia, say 76 miles to Cleveland, at I^ cents, is. ...% 91.14 Cleveland to Buffalo by steam, 180 miles, at 6 mills per ton per mile .. . 1 . 08 Buffalo to Albany, by railroad, 300 miles, at 1^ cents per ton per mile . . 4 . 60 Hudson river, ISO miles, at 5 mills per ton per mile. 75 Total $7.47 Add toll on flour, 300 miles, at 3 mills per ton 90 Cost, Crestline to Newlfork, via Buffalo 98.37 Crestline to Pittsbuigh, 187 miles, Pittsburgh to Philadelphia, 363 mUes, making 640 miles, at 1^ cents per ton per mile 98.10 Toll, Pittsburgh to Philadelphia, at 3 mills per ton per mile 1 . 06 Philadelphia to New York via Delaware and Baritan Canal, say 120 miles, at not less than 2.00 Cost, Crestbne to New York via Philadelphia 91K16 TOM MSEOHAimiSB AT MILLS TOLL. New York to Philadelphia via Delaware and Baritan Canal, not less than ; 92.00 Philadelphia to Crestline, Ohio, 540 miles, at 1^ cents per ton per mile, 8. 10 ToU, Philadelphia to Pittsbugh, at 3 mills per ton per mile 1 . 06 Cost, New York to Crestline via Philadelphia 911 . 16 New York to Albany — barge towed by steam 9 .75 Bailroad to Buffalo, 300 miles, at 1^ cents per ton per mile 4 . 50 State toll, 300 miles, at 4 mills per ton per mile 1.20 Buffalo to Cleveland, steam, 1 80 miles, at 6 mills 1 . 08 Bailroad, Cleveland to Crestline, 76 miles, at 1^ cents per ton per mile. 1 . 14 Cost, New York to Cresline, Ohio, via Buffalo 99 . 87 These tables, it must be borne ^n mind, show the actual cost of transporta- tion of all these several lines or routes, and not what rates they may see fit to charge. In ascertaining which is the cheapest route, we have to be governed by the actual cost. These tables, and they cannot be controverted, show most conclu- sively that the railroads in this State can pay the toll proposed and still have a very large margin in favor of their lines, as compared with the route either north or south or this State. It must be admitted by every intellig|ent legislator who examines this ques- tion with In impartial and unbiased mind, seeking the truth to aid him in dis- chfu-ginfg his duty to his constituents and to the State at large, that the future prosperity of the canal and the best interests of the whole State demand imperatively the reimposition of tolls upon rs 'Oads. — iVew Yorik Tnbune. $ .75 4.50 1.20 1.08 l.U 146 APPENDIX. Wheat Table. I, d. V 6 38 U » 1) »u] 8010 n ^ 86 86 8810f 87 4 88 6} 89 6^ 40 81 41 ll «llll 4310 48 8i 44 r 46 61 40 8} 47 M 48 4810i 49 60 61 6410 38 1810 19 Si d. 4101 6 6 101 6 6 li 6 8 6 4i 6 6 6 7i 6 eioi 7 7 li 7 8 7 4J 7 6 7 7* T 9 710i 8 s. d. 8 6j 8 7 8 9 810i 4 Vi 4 r II 4 101 1 ? 5; 6 6 6 6 6 6 . 6 9 6 10} 6 6 6 6 6 6 6 6; 6 6 9 6 101 6 111 7 1 8 t e 0.86 0.91 0.06 1.01 1.06 1.11 1.16 1.21 1.36 1.81 1.86 1.41 1.46 1.61 1.66 1.61 1.66 Hon.— Wheat is qootod, In thtse dUbtent nuurkati, kt Umm weights; Mtd « quotation of whaa* In London, at 27f. 6w enough ft>r everydaj op«r»- tlona ; anA mlea tor ezaetnaaa, and methoda of calonlation, vlU be feond Airtbar on. V APPENDIX. 147 Wheat Table. a.81 a.86 a.4i a.46 Oott of WBEATper Quarter qf4mb$., free 9par lOpw 6ptr 7p« 8pra 9per 10p«r e«nt eant. oint. etnt. eeut emit. out. emt OWdt. ent^ • < «. d. «. d. 1. d. (. d. (. d. • c «. d. $. d. •• ar I. d. t. d. .90 8 6 8110 8111 n 8 81 J:S 4110 41 6 41 1 40 9 40 a .01 8a a 81 7 81 4 42 a 41 9 41 6 41 40 7 M a 10 88 6 83 8 81 1 81 8 1.19 43 7 4a 1 41 9 41 4 40U .88 88 a 82 11 82 7 88 8 88 i.ao 48 ttlO 48 3 41 9 41 8 .94 M 8 88 8 sail 82 7 82 4 i.ai 48 4 tt 6 48 1 41 8 .9S mn 88 7 88 8 sail 82 8 i.aa 48 8 48 a 4310 42 6 4a .96 84 8 8811 88 8 88 4 88 1.38 44 48 7 48 a 43 a 4 .97 84 7 84 8 84 88 8 88 4 1.84 44 4 4811 48 6 48 1 43 8 .98 VI 84 7 84 4 84 88 8 1.25 44 8 44 8 44 7 4810 43 6 48 1 .99 86 84 8 84 4 84 1 1.36 46 1 44 8 4810 48 6 1.00 85 8 86 4 86 84 8 84 4 1.37 46 6 46 44 7 44 8 48 9 1.01 86 86 8 86 9 86 84 ,8 1.38 46 9 46 4 4411 44 6 44 1 i.oa 86 6 86 1 86 6 86 1 1.89 46 1 46 8 46 8 44 10 44 6 1.08 86 86 6 86 1 86 9 86 6 1.80 46 6 46 46 7 46 a 44 1.04 87 1 86 9 «S 86 1 86 9 1.81 40 9 46 4 4611 46 6 46 1 1.06 87 6 87 1 86 6 86 1 1.82 47 a 46 9 46 8 46 10 46 6 .1.06 87 9 87 6 87 1 86 9 86 6 1.88 47 6 47 1 46 7 46 8 46 9 .1.07 88 1 87 9 87 6 87 1 86 9 1.84 47 10 47 6 46 11 46 6 46 1 1.06 88 6 88 a S^ 87 6 87 1 1.85 48 8 47 9 47 4 4611 46 6 1.09 88 10 88 6 87 9 87 6 1.86 48 7 48 1 47 8 47 8 4610 1.10 89 a 8810 88 6 88 1 87 9 1.87 48 11 48 6 48 47 7 47 a 1.11 89 7 89 a 8810 88 6 88 2 1.88 49 8 4810 48 4 4711 47 6 i.ia 89 11 89 6 80 1 8810. 88 6 1.89 40 7 49 a 48 8 48 8 47 9 1.18 40 6 89 10 89 6 89 a 88 9 1.40 4011 40 6 49 43 7 48 1 1.14 4010 40 5 8911 80 6 80 a a.4i 60 4 4911 49 6 49 48 6 vs 41 a 40 9 40 6 40 9 40 89 6 1.42 60 8 60 a 49 40 4 4810 41 6 41 1 40 6 80 101 1.48 61 • 60 7 60 1 40 7 48 a ATerace bnkonge tad ehugM IwlaMl 14S APPENDIX. lip ll iiiili Corn Tabks. Oti-ptr Par Qiwrtw. IsOlbi. Pot BunI. Pot Ton. Cto. per Pot QoOTtor. 480 ItM. PmBrnml. POTlkm. 66Ibi. 280 Ibt. 3340 Iba. 6611m. 380 Ibi. 3340 Ibi. 1 «. d. £ 1. d. £ *. d. $. d. £ t. d. £ <. d. .66 34 14 5 14 8 5 13 87 6 1 1 10 8 16 24 6 6 14 4 1.07 88 1 3 3 8 17 4 .68 36 14 7 5 16 8 88 6 1 S 5 8 19 8 35 6 14 10 5 19 1.10 89 1 3 9 9 3 .71 36 15 3 6 1 4 89 6 1 8 9 4 4 36 6 15 6 6 8 7 1.18 40 1 8 4 9 6 8 .74 27 15 9 6 6 40 6 1 8 .7 9 9 • 27 6 16 6 8 4 1.16 41 1 8 11 9 11 4 .77 38 0, 16 4 O' 16 7 6 10 8 41 6 1 # 3 9 U 8 38 6 6 18 1.19 43 1 4 6 9 16 .80 39 16 11 6 16 4 43 6 1 4 9 9 18 4 39 6 17 3 17 8 1.22 48 1 6 1 10 8 .88 80 17 6 48 6 1 6 4 10 8 80 6 17 9 2 4 1.26 44 1 6 8 10 5 4 .86 81 18 1 4 8 44 6 1 6 11 10 7 8 81 6 18 4 7 1.28 46 1 6 8 10 10 .89 83 18 8 9 4 SS 1 6 6 10 IS 4 83 6 18 11 11 8 1.81 1 6 y^ 10 14 8 .93 88 19 8 14 46 6 1 7 ■^1 10 17 88 6 10 6 16 4 1.84 47 1 7 6 10 19 4 .96 84 19 10 18 8 47 6 1 7 8 11 1 8 84 6 1 .0 1 8 1 1.87 48 1 8 11 4 .98 86 10 6 8 8 4 48 6 1 8 8 11 6 4 B 6 16 10 8 1 6 8 1.40 49 1 8 7 11 8 8 1.01 110 8 49 6 1 8 10 11 11 86 6 118 8 10 4 1.48 60 1 9 3 11 18 4 1.04 87 117 8 12 8 ••/•• Avenge brokenge uid durgM included. Cost of INDIAN CORN per Qr. of 480 Wa., free on board at New York. ^^ Br eztctness, and methods of calculation, will be found Airtnn on. '1 19 4 1 8 4 6 4 8 8 11 18 4 APP&rDO. The Currencies. 149 bt'o. HALirAZ OUB'hOT. TIDaiUI.. bt'o. HALIFAX OUR'MOT. FBDSBAL. «. £ 1. d.f. • e. m. £ £ $. i. /. t. m. 14 ta 1 13 24 a 3 3 IS a 3 6 48 4 4 6 19 36 3 3 9 72 6 5 6 5 34 aoo 19 04 4 5 96 8 6 7 10 S 6 3 1 ai 7 8 15 33 88 6 7 6 1 45 2 8 10 38 7a 7 8 9 1 69 4 9 11 5 43 66 8 10 1 93 6 10 12 10 48 40 9 11 3 2 17 8 11 13 15 53 84 10 12 6 2 42 12 15 58 08 11 13 9 2 66 a 13 16 5 62 92 la 15 2 90 4 14 17 10 67 76 IS 16 3 3 14 6 15 18 15 72 60 14 17 16 3 38 8 16 20 77 44 15 18 9 3 63 17 21 5 82 28 16 10 8 87 2 18 aa 10 87 12 17 113 4 11 4 19 23 15 91 96 18 1 a 60 i^ 35 6 20 25 96 80 19 13 9 4 59 8 21 26 5 00 101 64 £ 22 27 10 106 48 1 15 00 4 84 23 , 28 15 111 33 a 2 10 9 68 • s 1 10 per etnt. a. 1 i. 28 1 28 n 28 10 aB 2 20 7 29 11 80 4 80 8 81 CHICAGO CHARGES. 81 6 81 9 83 82 1 6 82 9 88 1 88 5 88 9 84 2 84 6 84 11 86 4 86 8 86 86 5 86 10 Batis of Gommitsion adopted hy the Chicago Board of Trade. COMHISBIOM ON 8ALB OF OBAIN, BTC. , Wheat ...2c per bushel. Corn,' Oats and all other Grains Ic per " On sales of other prbdncts, or property of any kind, over $100... 2j per cent On sales of other products, or property of any kind, under $100 5 percent. The above without advance or acceptance ; that to be subject to agreement. Without agreement— rFor advancing 2^ per cent. For accepting 2| per cent. For guaranteeing sales 2^ per cent. • Oniwithdrawal of consignment, 2^ per cent, on amount of expenses incurrrcd, and 1^ per cent on invoice. On Charters, 2^ per cent, on freight list. For effecting Marine Insurance, the return premium and scrip. COHHIBBIOIT OK PURCHABEB OF OBAIK, BTO. For purchasing Wheat from Canal Boats or Warehouse Ic per bushel. " " " " Railroads, in small lots 2c per " For purchasing Com by cargo Ic per " 160 APPOIDIX. !. For panhMiog 0«ti by oargo ^ pw biuhfll. " *' Cora, Oati, or other Grain, ia leas qnantitieB than cargo lo per " " " " all other propartr over •100 Si per cent " " " " under tlOO S percent The Above with finds in |iaad. For negotiating bflb (wi&oat agreement) U pw cent AU expenses actnallT inquired to be added. The risk of loss bTfiie (unless written ofler to insure}, and of robbery, theft, and other unaToidable occur- rences, if the usual care be taken to secure the property, is in all cases to be borne Dy the proprietors of the goods. Interest to be dhaiged as per agreement. Without agreement, 10 per cent, to be the rate. t Jtatet of Doehage and Storage. OVSTOIIABT 0HAR0X8. , Abtiolbs. Dockage. Storage 80 days included. Merchandise, City, per 100 lbs do. Conntey, (cartage extra). Flour, per bbl ; 5c 10 ? ft H 76 75 75 5 • • lOo 10 IS 10 10 Fork and Beef, per bbl. Other Provisions, oer 100 lbs Salt, per bbl. . . . ; Grindstones, ner ton CoDDcr and Iron, ner ton Ore and Plaster, do Wool, per 100 lbs Carriages, Wa^ns, Pianos, Heavy Merchandise, &c., to be chaiged corres- pondingly or speoal rates. Grain from boats or cars per bushel Diayage, from warehouse to depots, per ton 50 to 75q Jiatet of Chicago Grain Storage. Seaton 1858. Bailroad Grain taken from cars and deposited in bins, and snbBeqaently put free on board vessels, at an aggregate charge of 2 cents a bushel. That chatve 1^0 covers warehouse rent from ue opening of the season tQl the dose, shomd grain remain so long in store. Canal boat grain taken from canal boats and deposited in bins, and subse- quently put free on board vessels, at an aggregate charge of 1 cent a bushel. That charffB also covers warehouse rent from the opening of the season till the close, shomd grain remain so long in store. Grain received from railroadj or canal boats from 1st November and held till 16th April, and subsequently put free on board vessels at an aggregate chaise of four cents a bushel. Tiiat chaige also covers rent from the one date to the other. ^ Non.— Defloienej In store rweipts ia a penal offence, punJahable by a term of years Im- ptUonment In tbe State penitentiary. , V APFIRDIZ. 161 Baiet of Iiuurance, determined by the Board of Vnderwriten, on Grain etored in elevating vfarehotues in Chicago. Eome, EcUejr ft Co., per annnm, ^i pw ontlL niinolf Central Elerator, Manger & Armonr, Gibbe, GrlfBn ft Co., Mann ft Scott, Flint, Wheeler ft Co.. Bock bland Boilroad, Wftlker, Bronaon ft Co., Chicago, May S6tb, 1858. .8 .8 .4 .4 .8 .6 II .i II II II u ft MONTREAL CHABGES. ii. per bnahel. Insurance, ^ per cent. On the cmoant insared. Tabifv ot -BnoKBiuoaa adopted bt thb ComroiL or thi Boabd or Tbadb. Floar, Ud. per barrel. India Heal, Id. per barrel Oatmeal, Id. per barrel. Indiui Com, Barley, Peas, Oats, Whcutt, id. per bosheL JjjJ \ 8d. per barrel. Lard, 8d. per keg ; barrels in propor- tion. Ashes, Hi. per cwt. Freight, 1000 barrels and over, | per cent ; under 1000 barrels, 1 per eent STOCKS. Bank and J *'-?„Sf«r!TS1iI •Minine shares, 6d. per share. All other Stocks, Bonds, Debentures, &c., ^ per cent, on the face thereof. Bates or Storage, Etc. On Wheat and dOur Grain. First month, indading labor of re- ceiving and dolivering, 1 jpl. per bushel ; eadt succeeding montfi, from 1st Maj, to 1st December, ^. ; do., do., from 1st December to the Ist Maj, ^. Cribbling, each time, M. ; screening or fanning, each time, ^. per bushel ; turning to prerent heating, each time, 6d. por 100 Dushels ; use of bags each time, Ss. 9d. per 1000 bushels. Fhw and Meal. First month, including all labor of receiving and deliTering, 8d.per barrel ; each succeeding mont^ Id. per barrel. Pork, Beef, FitJi, Lard, TaUow, and Butter in barrdi. First month, induding all labor of receiving and delivering, 4d. per bar- rel ; each succeeding month 2d. per barrel ; other packages in proportion. Butter and Lard in Kega and Firkins. First month, including all labor of receiving, weighing and delivering, 3d. ; each succeeding month, Id. 162 APPENDIX. NEW TORK CHABQE8. Batbi or Coxmuioir, rtoommmdM far genercU adoption, and aUowtd bjf tK$ New York Cumber y Commerce, what no Agreement $ubtut$ to the contrary. On Foraan Bvmna».—Oti' the aale of merchand,i8e, 5 'per cent. — Sale or purchase of stocks, 1 per cent. — Specie, j^per cent. — ^Forchue and shipment of merchandise, with fond in hand, bozaaor80to(l01ba t Btaal, in ban or bnndlaa, par ton 80 in bozaa or tnba, ditto 40 Sugar, raw, In bags or boiaa, pav cwt 8 ditto, in oaaka, ditto u raflnad. In eaaka or paolufloa 8 Tallow, in eaau or aaiona, par awt 8 T«a, boliaa. In whola ahaala K in^ohaata ,. g neon or blaek, in I obaala 41 In boxaa, in proportion to | ohaata. Tin, block, par ton 80 Inbouaofuiualaiaa.parboz U TObaeoa, In hbda., par hhd 87} lnbaIaaoraaron«,parawt 4 manafcet'd, In kaga of 100 Iba. 8 Wlnaa. SaaLlqnora. ' Wood!, for dyeing, nndarcorar, par ton. 80 ditto. In yard* , 35 Whiting, In bhda., par ton 87} On artiolaa on wbieh the rata ia ilxad by wal^t. It ia undaratood to ba on tha groaa weight; and on liqnora, 4 in bulk, par ewt » nga, in flralls, bozes, or drums, ewt 2} naz, perton 00 nazaeed, or other dry artielea, In tieroea of 7 buahels per tteroe 10 rionr, or other dry artiolaa, in bbla 4 Barthenware, inorateaof26to80fbet... 18 In hhda of 40 to 60 feet. ... 80 Orain, in bulk, per bnahel 1 Oinger, In baga. par ewt 2 81aaa, window, in bozaa of 60 feat 1} Oin. BaaUqnon. Hemp, per ton 76 Hides, dried or salted, per hide 1} Hardware, in oaaka of «0 enblo feet 40 Indigo, in lerons or bozes, per cwt 4 Iron, in bars or bolts, per ton 20 Id hoops, sheets, or nallrods, ton . . SO UquoTS, In puncheons of 120 galls., per p. 80 in i casks 6^ in pipes or casks, 120 galls 80 bottled, in casks or bozes, doaen bottles 1} Leather, per side 1 lArd.lnflrkinnofeOlbs 2 Lead, pig or sheet, per ton 20 dry or gr. In oil, ditto 20 Molasses, per hhd. of 110 gallons (other casks In proportion) 80 Nails, In casks, per cwt 2 Oil, in hbds. or casks, 110 gallons 80 in chests of 90 fl(,8ks, per chest 4 bottled, la boxp« or baskets, doi 1} Paints, in casks or kegs, per ton 40 Pork,perbbl « Porter. See Liquors. away ezpanaa of putting tham In atore, atowlng ty, and turning out of atore. All gooda teken on atorage to ba anbJeot to one menth'a storage; If taken out within 16 daya ffter tha ezpiiatlon of the month, to pay } a montti'a atorage; If after 16 daya, a whola moath'a atorage. Dollt. s I. i. Exptnu of loadtHg a Taaael of 900 tone, in the port of New York, with the uaual eargo ezported from thenea 100 80 ' Ditto of dlsoharglng 80 18 Forditeharging: CnM. Coals, per chaldron 26 Oil For loading : Tobaeco, per hhd 26 Oil Cotton, per bale 86 Oil Flour, per barrel 8} 01] Flazseed, do 7 8} Ratti of Wharfage.— y»K\» under 60 tons. GO cents per day t=is.9d.; and for OTery 60 tons more, 12} cents additional => Id. N. B.— WhMft are all prlTata property. 164 APPIHDIX. Welland and St. Lawrence Canal TbUs. ABfnCUB. •adT( l,nTM»Ml4 MO. t, cum 99. u. Do. ante n «u« R». m. App]«,OBloMaa4T«frtibI« Bark Brtelu, UnwMiAlkad OMtliigi(biolE«),ng lion, 8aiq^ Iron, ud R. R. Inn, OHaantiOlajaDdWnMrlaM... Oool. WoUuA. V9 mi»ma. 1 «. 4. 1| 6 8 10 f».Ut £ $\ i. li 8 10 £ $. d. 0| 8 1| 10 Corn Gypinm HMip UmitnmM and JUawm , liufiW,StoiMUd81kto., te*,(«o|>pw) On,itxon) PototoM. Ball. TobMoo, nnmonnftotaod oi^M so. IT. 8 8 8 ,(M>»aadp«ul).' BMon, BaMiff oad rak , BarioT, Onto, Bffo, and othwOnlil Bmt, dldorandVuMgai Bian and Bklp Staff OakU«,8hMpandHogt Oorn Broom and PiMwd Bhjr OoMonfraw) Flax, Flax and otbtrSaadi Harnt, Hooft and BoDM Mtali of Onto, Barliy, Oora, ate MUla, SplkM, and boa not olMwbaio d«wribod . OUOako OU, Lard and TUlow. Bagi, Junk and Oaknm BtofM and othur Oaatingt * WlBdovaiaa ouM iro. ▼. Agrieultofol Prodoeto, not dMwhm dMorlbod . BMf, BMiwaz, OhMaa and Hanu Biwnit and OraekuB Carts, YehiolM and A(rioaltatal Implanwnto . . . Ohareoal OoOm. 18 10 3 8 10 16 16 Ooppeiaa, Floar Famltnro and Bwgage OlaM, Stono and firtiienware . HidM and Skini, (taw) HonM ....: M b l a m iand Bogar 8|^ti, Uqoon and Wlnai . nnandStMl Toob (Meehanko') WhMt Wool OIiAM HO. yi. Qooda and MeietauidlM not ennmerated oust HO. Tn. Barrels, Mnpty, each Barrel Hoops, per M Boards ana Sawed Iiomber, reduced to one inch and onder, in Yeatels, per U Do. do. do. in Bafts, per M Hie wood, per oord (T 6 1 2 6 74 llOi APPINDIX. IM WaixAKD jLXtt St. LAWsavoa Oaitai. Tou*-^QmHtmtd.) AftnOUB. ngi, Ufcal loag, (If mon, In pioporMon,) Mta^ ligi«Mh Do. 4a. do. lMTlpg,«Mli lhliMl«,p«rll .77.. l«RTM(plMoadhM4liigi),pwlllUo Do. (w«tI]idtoMiAdo.),p«r4o. .Do. (Bui«lMiddo.)i pardo tlBlMr, (Bqouo, U T«oMli), p«r M. enble ftol Do. ( do. laKafli), do. do. ........ Do. (Round or VtoMtd, la TmMIi), andir UxU latbM, Mt UdmI fttt Do. (do. do. la Bkfli), do. do Othar do. knd Woodoa ArwslM, por toa maaranaMal, MeaUefcottollon BpUt Fofrti and Foaoo Balli , la YmmI, put M . IbMal ft. Do. do. la Bafla, Mr M . do noati,pttlOO,aMhIioek pamd, pw 100 TraTWMO, pw 100, do. do. Boat KaiM, mdt • Waited. «. 4. t • 610 010 t 81! 15 S 1 lift ItlawnsM. je $T4. 1 1 Ui 4 «. 4. t 8 8 til « 010 8 3 7 ^ 8 n C Non.— T«Mla poTtai Dm Wallaad Oaaal tolto ai* eltar OwMudi thti 8t LawnnM : •tal" ; •ad TMMto pa^ng tM M. LawraiM Oaaal tolla aia fk«a throagh Iba Wailaad Oaaal. Wbora tiia llgiuaa aio oalMad, la tha AxMgdBg taUa,UMra(taaiattiaaaiaaaa<'idlaW 1 hy tha flgnrca Juat abora. t: REGENT 0HANQS8. On and after the 18th of Slay, 1858, the following rednotioni took eSiBct on the tariff of Beveral classes of merchandise carried on the. Welland and St. Lawrence Canals. WELLAMD CANAL. CLASS KO. IV. Upon all articles in this class, S5 cents per ton weight, instescl of SO cents. CLASS KO. T. Upon ail articles in this class, 80 cents per ton weight, instead of 45 cents. ST. LAWRENCE CANAL. CLASS HO. III. Upon all articles in this class, 16 cents per ton weight, ap and down, in lien of 30 cents. CLASS HO. IT. Upon all articles In this class, 25 cents per t>::, m' Montreal to GlUcago. and back to Montreal, £4, sterling, dally, (919,86), and from Montreal to Liverpool, nine snilllngs sterling per quarter for wheat. April 24 — This day at 10 a. u. pilot came cm board, weighed, made sail, and ftroceeded down the Mersey. At 4 f. u. light airs and thick. At midnight bund the ship drifting too close to shore — let go the anchor for the remainder of the tide. Pumps attended. April 25 — At 6 A. m. weighed, made sail, and proceeded on the voyage — ship driftmg back with the flood. At 6.30 p. m. stiff breezes, with drizzling rain. April 26 — Stiff winds and cloudy. This day .noon commences sea log. April 27 — Gentle breezes, and fine, clear weather. April 28 — Variable winds and fair weather. Employed in getting anchors on board and stowed unbent the cables and put them below. April 29 — Tacked the ship to the westward — stormy winds and cloudy. April 30 — May 2 — Stiff breezes — all sail set to the best possible advantage. Lat. 48:53. Long. 30:07 W. May 3 — All san set. At 8 p. m. winds increased — carried away the square sail sheet. Replaced and set it again. Midnight squally. May 4 — Short cross sea — sevel-al ships in company. May 6 — ^Light winds with a long swell from the northward ; carried away main boom, top«nd light, lieplaced again. May 3 — At 4 p. h. smart breezes ; took in light sails and square sail. 6 a. m. increasing winds ; took in first and second reef of mainsail — in first reef fore sail and top sail. 8 p. m. increasing gale ; took in third reef of the main sail; carried away one of the chain plates ; got it secure and the shroud set up again ; squally, hard gales and heavy rains. May 10 — Strong gales with hard squalls. At 2 p. H. wind shifted suddenly in the W. N. W. in a very heavy squall, stowed the fore sail ; reefed the stand- ing jib and set it; ship laboring much ; pumps attended. At 3 p. h. a heavy- sea broke the standing jib and split the sail, the sea taking the best part of it away. Squalls with strong gales and hail storms ; sun not observed. Lat. by Ace. 48:03 N. Long. 38:09 W. May 10 — 1 1 — Winds favorable throughout — squally, and weather disagreeable. May 16 — Passed several icebergs ; weather thick, with drizzling rains. May 20 — Light winds and variable. Employed scraping spars and varnish- ing them. Lat. by observation 45:45 N. ; Ix)ng. 53:37 W. May 24^ — Smart breezes and clear weather. At 4 p. h. saw the land bearing N. W. At 8 o'clock saw St. Paul's Island, bearing N. by E.— distance about 7 miles. At 9 p. m. saw St. Paul's revolving light, bearing from six to seven miles N. E^ E. Baffling winds and cloudy. At p. m. saw Bird Island, bear- ing W. S. W.— distant 10 miles. , May 25 — At 8 p. H. Bird Island S. ^ E ; distant eight miles. Latitude by observation 43:45 N. May 26 — Strong baffling winds and hazy weather. Hard squalls. Reefed the topsail and mainsail. ^v 27 — 30 — Variable winds ; thunderstorms ; weather heavy ; Point De Months Light seen W. N. W. ; distance three miles May 31 — Received pilot on board — at midnight came to in 17 fathoms — Green Island bearing South. At 3 p. bi. weighed and worked ship to wind- ward. At noon came to in 7 fathoms, west end of Hare Island. At 7 p. m. weighed ; light winds ; midnight off the Traverses. Light ship. This ends the sea log. June I — At noon came to Quebec. June 3 — Cam^ to at Montreal — hauled the ship along the side wall. APPENDnC. fm June 4 — ^Received orders to hanl the ship into the canal and proceed to Chi- cago. June 5 — Agrodnd. Not able to haal ship throngh. Jane 6— At 6 p. u. sufficient water in canal — hauled thronsh the bridge. June 12 — Through Canals ; enter channel of Thousand ulands. At noon came to Kingston. Took on pilot to go to Chicago. ' June 14— Off Presqne Isle. Light winds from W. N. W. to W. S. W. June 15— Arrived at the entrance of Wetland Canal.' June 19~In Canal. Schr. Hassilon, of Cleveland, ran foul of us, a&d car- ried awav two shrouds of the larboard main rigging. June 20 — Getting ship ready for sea. June 22 — At 10 A. M. proceeded on vovage. Winds westerly. June 24 — Calm and clear weather ; tacked ship occasionallv. June 25 — Still calm ; heavy fo^ ; employed m painting ship. June 26^At 6 f. m. Point au Pelee Light, distant five miles. Light winds. June 27— At 7 p. h. came to Detroit. June 28^Cook deserted the ship during the night, and no intelligence of him at 10 A. M. Weighed, made sail — not sufficient wind to stem the current. June 29 — ^Light winds and calms ; strong current making down. June 30 — Weighed, made all possible sail — entered Lake St. Clair. At 2 p. H. came to in 11 feet of water, owing to the wind getting high and inclining to the northward. At 3 p. m. weighed — strong winds from the westward. At 4 o'clock got into St. Clair River-- all possible sail set. Wind bearing too light to stem the current. July 1 — Steam tug towed ship. Left at Newport to tow other ships down over the flats. July 2 — Proceed in tow with tug at 4.30 p. h. Left in Lake Huron — set sails in first reef — short sea winds N. by W. July 3 — 6 — Weather hazy, with repeated calms. July 7 — Stiff breezes with thick haze ; entered Straits of Mackinac. July 8 — ^Light winds ; calms ; thick fogs. At midnight off Manitou Islands. July 9 — 11— Light breezes from E. S. E. Weather clear. July 12— Off Milwaukee— occasional winds from S. E. to S. S. W. At 6 p. H. strong winds, with thunder and lightning — made and shorten sails. July 13 — Light winds from S. E. to S. Latter part, stormy breezes, light rain, thunder and lightning. Plying to windward to the best advantage. July 14 — At 8 A. H. off Chicago liarbor. Sailed up channel and came to North Pier. Copy of Manifest. — Manifest of cara;o on board the British schooner Ma- deira Pet, of Guernsey, 123 tons, from Liverpool for Chicago. General cargo. Wm. Cbang, Master. 1,609 bars iron, 170 bdls do 19 casks glass, 1 case samples, 20 casks hardwase, I cato hardware, 8 cases steel, 107 crates earthenware. 5 casks earthenware, 5 tons pig iron, 200 kegs pak t, 150 do do 150 do do 140 do do 7 casks paint, 7 do do 158 APPENDIX. LAKE AND NEW TOBK CANAL rBEIGHTS, GRAIN STOBAOE AND BLEYATINO CAPACITT OF BUFFALO. ' 3-'''' I- jntoH omoAoo. WaSKLT BAT>B OT VBBtOHTt OF tAlVrMfBia TO BVWVALO AHD 08WB00, WITH WaiAT XSn OOBV, FOB BBVUUL BBJUlOirS. \ March 29 AprU 5 do la do 19 do 26 May S do 10 do 17 do 24 do 31 June 7 do 14 do 21 do 28 July 4 do 11 do 18 do 25 Angost do 9 do 16 do 23 do 30 September 6 do 18 do 20 do 27 October 4 do 11 do 18 do 25 NoTember I do 8 do 15 do 22 do ! 1854. WhMt. 9 S 15 14 15 14 IS 12 11 11 14 I • • 1 11* 20 20 21 if 17 16 17 16 I • ■ I 18 10 10 •9 "i 13 13 18 20 12 12 16 18 20 25 1855. WhMt 9 9 30 ik' 20 19 17 15 12* 13 15 II 11 7 9 6 6 6 10 10 8 10 13 20 20 10 20 20 2T 27 25 23 20 18 18 19 15 15 16 10 10 14 12i 13 13 17 18 17 20* 20 28 25 15 1856. 11 12 4 4 4 6 10 13 12 11 13j 13| 25 20 23 20 12 15 19 17" 14 13 11} 10 8 8 8 7 10 16 20 18 19 21 25 20 1857. WhMt. 9 9 I 4 H t m • 3 8* S 8* 3 3 6* 4 7 8 6 6 ?' 6 12 11 10 "b 12 12* 10 9 9 1857. Com. 9 9 4 3 3 3 S< .2] 2; 8 a 2 2 3 3 2* 2 2* 2 4 2 3 3 3i 7 6 6 6 5 5 6 5 5 • • • 6 5 7 6 5 7 5 7 8 9 8 APPENDIX. tBOM BVnAM. SATIS OV OAKAL nUHOHtB, VOB TWO YMAMM, fSOlt BVWALO TO JUJUXT AKD TBOT. Mat 13 do ...87 Jane 10 do 84 July 8 do « 32 Angiut , 5 do 19 September , 2 do 16 do 30 October. 14 do 38 Novembw 11 do 25 1856. WluM' ISi • • • • 15 16 14 t « • • 17J • • • • '4 Oon. • • ■ • 15 II 18 13^ 13 18 « • • • 1? 1857. Odcb 11 IIJ 10 9 8 8 ? J&IO ^10 10 13 BXTTFALO OAPAOITT VOB HANDLIMG AHD STOWIKO OBAIR. ViMM. Stongt oapadty. ■lafstkm p«r honr. Bnfllido Elevator boiluli. 100,000 370,000 400,000 ■ 175,000 200,000 150,000 300,000 80,000 100,000 200/)00, 100,000 150,000 bodMlf. 8,000 3,500 6,000 3,000 3,500 8,500 4,500 8,000 3,500 4,000 8,500 8,000 City « Com Dock " Dart " Evaiu " Fish " Hatch " HilliBter " Grain Dock " Main St. " Sterling " Sevmoar & Wells Totals 3,335,000 38,000 8 9 8 160 APPENDIX. EXCHANGE FORMULAS. AMERICAN. The American Dollar of 'Exchange contains 386,704 grains of pare silver, the eqaivalent of which, in sterling, is 54 pence, or $4.44 5-9 to the ponnd sterling. The pound sterling, howerer, being intrinsically more ralnable, the United States, in exchange transactions with England, have to pay a premiam on their own rated value. The rate of preminm is determined by the international demand and supply of money claims at any given time. If exchange were ten per cent, premium, then England would receive $4.88 to the dollar ; «. g. — (^4.44, the American rated value of the pound. 44, the 10 per cent, added. $4.88 If exchange were 8 per cent, premium, then England would receive $4.79 to the dollar; e.g. — $4.44, the American rated value of the pound. .35.6, the 8 per cent, added. ' $4.79.5 The chain rule statings of exchange transactions are the following : I . London on New York exchange, 11^ premium. $1,000 ^ $111^ 100 '40 £9 $1,000 = £201 158 10^ 2. New York on London exchange, 71 premium. £100 £ . 40 100 107^ £100 $477.78 Non.— X9 b th» eqntralent of $40, aeoonUng to the naage of exehaiuce oaloulationi, waA Moording to the rating of the value of the American allver dollar of exchange. 3. London on New York exchange, 46} pence. $1,000 • $ 1 46} 240 1 4. $1,000 = £193 15s New York on London exchange, $4.80, £100 £ 1 4.80 100 1 £100 = $4.80 CANADIAN. Canadian exchange transactions are on the same assumed valuation of the silver dollar, and the premium is expressed in the same way as in exchange transactions between the United States and England. APPENDIX. 161 Canadians hare the two following ways of bringing sterling into CaiNtdiaa ciunrencj, at par, or 9i preminm : 1. £100 sterling into cnrrency at the costonii par of 9^ per cent preminm. £100 Add one-Sfth, SO Add one-twelfth, 1 13s 4foar hoori in advance of any other, oonneeting at Cairo with a line of first class steameit. CONNECTING AT GILniAN— With Peoria and OquawkaBailroad for Peoria, Oaleskorg and towns upon main line of Illinois Central Railroad. AT TOIiONO— inich trains of the Great Western Railroad, east ftnr Danville and Laftiyette; west for Springfield, Jacksonville and Naples, and towns on the Illinois River. AT REATTOOIf-'With trains on the Terre Haute, Alton and St. Louis Railroad, fttlng east to Terre Haute, Indianapolis, Evansville and CrawfMdsvlile; west fi>r Alton and t. Louis. AT ODIN AND SANDOTAIi-Tflth trains on the Ohio and Mississippi RaU- road ; east for towns upon its line ; west for St. Louis and Alton. AT ST. liOVlS— With Pacific Railroad, and steamws fl>r Kansas uA Nebraska, and all points on the Missouri River. AT CAIRO— 'Vnth steamers for Memphis, Natchei, New Orleans, and all points on the Mississippi River. Tot Galena, Dunlelth, Dubuque and St. Paul, trains leave flrom CENTRAL DEPOT, Connecting at Dunlelth with a dally line of First Class passenger steamers for Prairie dn Chien, LaCrosse, Winona, Hastings, Hudson, Prescott and St. Paul. Also connecting at Dubuque with the Dubuque and Pacific Railroad for Dyersville, Independence, Cedar Rapids, Sioux City, fee. For Bloomington, LaSalle, Dixon, Amboy, Polo, Sec, trains leave via Chicago and Bur- lington RailroM, from Central Depot, making direct connections at Mendota with tndns on main line of lUinois Central for all of the above points. THIlOTJGUa: TXCXCSTS Can be obtained at the office of the Michigan Central Railroad, opposite Tremont House, comer Lake and Dearborn Streets; also at the oflice of the Pittsburg, Fort Wayne and Chi- cago Railroad, opposite Tremont House, and at the office ofthis Company, in the Great Cen- tral Depot, foot South Water and Lake Streets, and all Ridlroad offices in the East and Oanados. W. p. JOHNSON, Genl. Ticket Agent. GENERAL OFFICE IN J. C. CLARKE, Genl. Superintendent. DEPOT BUILDING, CHICAGO, ILL. 163 THE MICHIGM SOUTHERN SAIUSOAD! RUNNING TlteoUGH THE STATES OF OHIO, MICIIGM, HDIMI m IlLIHOIS, Havlig Two Distinct Eastern Termini AT THE PORTS OF DETROIT AND TOLEDO. The Michigan Soathern is open from Detroit to Chicago, a distance of 289 miles, and by means of ah Air Line of 70 miles, forms the shortest connection between Chicago and Toledo, a distance of 232 miles. TXXIB XtOulWZ) COHNEGTS WITH THE BRAND TRUNK OF CANADA AT DKTROIT. Also with the Great Western and Bnffalo and Lake Huron, and carries a large portion of the traffic and travel which interchanges at Detroit witb tiie above lines, forming an Eastern outlet to all places on the St. Law- rence Birer, including Ni^ara Falls, Suspension Bridge, the Thousand Islands) Bapids of the St. Lawrence, Quebec, Montreal, White Mountains, the Tubular Bridge, (nearly two miles in length) Lak^ Champlain, Falls of Montmorenci, Hudson Biver, the Eastern States and the British Proyinces. Westwardly, the Michigan Southern Bailroad connects at Detroit with the Toledo and Detroit Bailroad, and at Toledo with the Wabash Valley to In- dianapolis, Lonisville, Cincinnati and all the principal towns on the Onio and Mississippi Bivers. Also at Toledo with the Cleveland Boad for Central Ohio, Pittsburgh, Wheeling, Philadelphia and Baltimore. At Laporte with the Pern, Cincinnati and Chicago Boad. At the Junction, fifty miles east of Chicago, we connect with the New Albany and Salem Boad to New Albany and Louisville. At Chicago with all the lines t^erminating here and running through ILLINOIS, WISCONSIN, IOWA, MISSOURI, and Minnesota; also with the Chic^o, Alton, St. Louis and Illinois Central to New Orleans ; and North- West with the Chicago and Galena, Chicago, St. Paul and Fond du Lac, &c., and the different Lake Steamers plying to the Northern shores of Lake Michigan, Milwaukee, Green Bay, and the head waters of Lake Superior. Office of BUchigan Southern, 51 Dearborn Street, CHICAGO. ILL. GEOBGE BLISS, u:. Fbksident. J. D. CAMPBELL, SUFEBINTBNDENT. J. NOTTINGHAM, General Agent. 164 mT AIR LINE FRen ROUf B FROM OHiOABO AND THE NORTH-WEST TO THE ATXi A.NTIC. PinSBURGI. FORT WAYNE IID CHICUO RAILROAD. THIS New and Direct Roate is now open, forming a direct and nnbroken Line between Chicago and Pittsburgh, thence by its connection with the GREAT PENNSYLVANIA RAILROAD TO NEW YORK, BOSTON, PHILADELPHIA, BALTIMORE AND Alili EASTEBN CITIES. The advantages offered to Merchants and movers of produce from the North- West to the seaboard by this route are unrivalled. The great disadvantage existing on all other lines of frequent transfers and consequent delays, is avoided, as freight is handled but once (at Fittsbnigh, and then without cart- age,) betwc a Chicago and the Atlantic, thus enabling this route to put freight through in quicker time than can possibly be accomplished by any other line running east from Chicago. This Road also has a connection with New York Roads via Crestline, Cleveland and Buffalo. Freight can be shipped direct to Buffalo or Dunkirk without change of cars, thence to the seaboard via New York Central or New York and Erie Railroads. Our connections with Roads leading from the great granaries of the West, are such that drayage and commission in Chicago are avoided, a direct transfer being in all cases effected directly from the cars of one company into those of the other. Rates and all necessary information relative to transporting property to or from the East to Chicago and the West, can be obtained on application to JOS. H. MOORE, JOHN J. HOUSTON, JAS. W. MUSSON, OlML. SUPT, OeML. FkIIGBT AgT, FuIOHT AOBHT, OMitUne, Ohio. Pittsburgh, Pa. Chicago, HI. PASSENGER TRAINS Leave the Depot daily from Chicago, making close connection with all trains for Now York, Boston, Philadelphia, Baltimore, Washington City, Buffalo, Dunkirk, Niagara Falls, Cincinnati, &c., &c. DANIEL W. BOSS, Genl. Passsnqer Agent. 165 ID TRONK RIWA! OFSXO* 8 41:9 ^.diXXjSSl -M* ►M- Running from Stratford, 0. W., through Toronto, down the bMika of the St. lAwrenoe, to Montreal and Quebec, where It conaeets with the CANADIAN MAIL STEAMERS FOR LIVERPOOL during enmmer, and at Portland, Maine, with same line of resiela during winter. At Toronto, the Grand Trunk tnterchangee trafflo with the Great ^feitem Railway, for Detroit, and also with the Ontario, Simooe and Huron Railway for Collingwood, 94 mile* from Toronto, thua haTing a fitrorite summer route by Lake FROM COLLINGWOOD TO ALL LAKE MICHIGAN PORTS And the Head Waters of Lake Superior. On the completion of the main line west, flrom Toronto to Port Samla, and the extension to Detroit, which will run through the best settled portion of the State of Michigan, tills Line will offer one unbroken Link of Railway FROM DETROIT TO TEE ATLANTIC And only one break of gnage or change of ears from all Railway towns on the Mississippi Rlrer to the Seaboard, and will then command thr whole of the immense traffic between the West and Montreal, Quebec and other St. Lawrence ports, as well as of Portland, Maine, and the States of Northern New Bngland, hitherto diverted to other routes. The Michigan Central, running from Detroit to Ohioago through the centre of the State forms a most valuable connection for this line, controlling, as it does, the bulk of the flour manufactured at the rarions towns on its line of 284 miles. At Detroit the Michigan Southern Railroad forms a direct route southward to Toledo, Cin- cinnati and all towns on the Ohio River, and also westward through Northern Indiana and Southern Michigan to Chicago, and will form an important feeder to ihe Grand Trunk. At Chicago the two Michigan Railways connect with the extensive net-work of Railways traversing Illinois, Iowa, Hisaouri, Minnesota and Wisconsin, FROM ST. PAUL TO NEW ORLEANS, Including the whole range of the Mississippi Valley, and for the trade of which States Chi- cago is the great distributing point. On the completion of the Detroit and Port Samla extension, the Grand Trunk, in connec- tion with the B. k L. H. Railway trom. Stratford to Bufialo, will be enabled to compete on equal terms with any existing line for the carriage of the humense traffic for New York, &c., running, as they will, by same train From Detroit to Bufilsdo, A distance of 247 miles, 120 miles of which is embrsMied in the Grand Trunk Railway. Aside firom the vast goods traffic which this line Is destined to command, it forms by far the most delightful and romantic route to and from the West and the Canados, BOSTON, NEW YORK ANO THE EASTERN STATES. Passengers by this route have an opportunity of visiting some of the grandest and most wonderful scenery in the world, including TORONTO, NIAGARA FALLS, SUSPENSION BRIDGE, The Thousand Islands, Rapids of the St. Lawrence, Quebec, Montreal, White Mountains, the Tubular Bridge, (nearly two miles in length) Lake Champlain, Falls of Montmorenci, Hudson River, &o. JAMES WARRACK, Western Agency, 30 Dearborn St., Chicago, Illinois. 1G6 THEIIICHIGIiNCEmilLRAILROiiD WttttBM th« nuMt If ortlMrly Tkroogh Somt* numlnff from "WEST TO EA^ST, TRATBRSIirO TBB STATRB OW MIOHIIQANI, GNDDANA AND llLLDNOI8» DETROIT TO OHIOAGO, The supariority of th« rMd, and its thotongh eqalpinent, at a lem eompantlTe ooflt than other competing Unei, hare eomblned to make It a fltrorlte route ; while Iti enlarged bualneM flMiUtles and exteniWe eonnectloni enable It to command the bulk of the trade and traTel between the Weitern Btatea and the Oanadai, New York, Boiton, and the Xaetem Marketi. At Detroit the Mlohloan Central Interchanges with the Oreat Weatem Railway, from Detroit to Snapenilon Bridge and Niagara Falls : also, with the Buffido and Lake Haron, orer the Oreat Western, at Paris ; offering a choice of routes, either via Bulhlo or Suspen- sion Bridge, for all Bastem traTel. By means of the Great Western Road, running flrom Detroit to Toronto, the Mielilgan Central connects at that point with the Orand Trui^k for Montreal, Quebee, Portland, and all the principal Towns in Northern New England and thu British ProTlnces. This trade is destined to receive large deTelopmenu. On the completion of the Extension from Detroit to Port Samia, now building, to connect the Orand Trunk of Canada with the MtnMg^i^ Central, this wUl form the GREAT INTERNATIONAL LINE KOM THB As there will be but one transhipment or change of oars between the River Towns on tht Mississippi and the Seaboard. The local traffic of this Road is the largest of any in the Western Country, as the Towns on the Line of Road are the oldest settled and most flourishing in the State. At Detroit, the Company have the larceBt harbor accommodations, and facilities (br handling property, in the West. Steamers, or the largest class, belonging to the Company, are engaged in the fi«lght service, flrom Detroit to the principal ports on Lake Erie, and to Buffalo. Having large Orain Elevators at this point, the Company dally receive and handle large quantities of Orain, conveyed direct to Detroit ttom the interior of Illinois, Michigan, Indiana, and other points. At Chicago, the Company possesses an important and controlling interest in the harbor flacillties there : and its intimate connection with the Illinois Central, Chicago, Burlington & Quincy, and Oalena ft Chicago Union Roads, in the joint use of the one spacious Depot occupied by these several companies, gives this Company special advantages fbr seciuing the immense traffic running over these several Lines. To this may be added the traffic derived from the Line of Steamers running to the North Shores of Lake Michigan, and the flirther connection with the North-West over the Oalena & Chicago'Unlon, Chicago fc Milwaukee, and Chicago, St Paul ft Fond du Lab Roads, traversing'the rich and fertile territories of Iowa, Wisconsin and Minnesota. This Line owns and controls the Joliet and Northern Indiana Roilroad, running ftt>m the Head of Lake Michigan in a direct line westward to Joliet, where it connects with the Chicago fc Rock Island Railroad, making ahnost an air line from Detroit to the Mississippi River ; also, at the same place, with the St. Louis, Alton & Chicago, for St. Louis and the South-West. 167 ! xeqe. BVPFILO m LAKE HURON RIILWIT, BIINO THK ONLY THROUGH OOMMUNIOATION HlOM LAKE HURON TO LAKE ERIE. RUNNING FROM BUFFALO TO GOD^RIOH. This route will open up a now channel of trade, via Goderich, on the S. E. shore of Lake Huron, whence steamers and sailing vessels will ply to all upper Lake ports. At Stratford it connects with the Grand Trunk, of Canada; at Paris, with the Great Western ; then follows the Grand Hirer, via Brantford, to Buffalo. The through trade from Chicago, and traffic in Live Stock done over this road the past season, was immonse. <^>H<^> •rXXIS RO^D OOXTXTSOTS, THROUQH THE GREAT WESTERN, WITH THE MICHIGAN CENTRAL, AT DETROIT, AND 80 ON TO CHICAGO, WITH ALL LINES NORTH, SOUTH AND WEST. -c^oH-f;"- At the Eastern terminus (Buffalo), by means of an International Steam Bridge, property is rapidly transferred to the Central Depot, in Buffdo, where a choice of routes eastward is offered to the shipper ; either by the New York Central, New York and Erie Railroads, or by the Erie Canal route to Albany. On completion of the Grand Trunk Extension to Detroit, and by means of its connection with the Buffalo and Lake Huron, at Stratford, a through route from Detroit to Now York, via Buffalo, will be established, that will form an important outlet for Eastern travel. B. H. BABLOW, Mdntigitig Director, Brantford, C, W. JOHN MoKIBBKTAN, OenH Ticket Agent, Buffalo, N. Y. JAS. WARRACK, 30 Dearborn St., Chicago. Q. L. NUTTEB, OmtH Western Agent, Detroit. 168 THB WBSTfiRN TRINSPOITITION CONPiNY. -4 Capital $800,000. OTRT78 OJUABKB, PmldMit. WBC FOOT, VlM Pmidmit. JOHN ALLEN I Jr., Tnuant. OBO. Hi BRTAMT, 8«or»tary. DIBIOTORB. P. S. MARSH, BafiUo. P. L, STERNBERG, " WM. FOOT, JASON PARKER, CYRUS CLARKE, " JOSHUA MAXWELL, " Buffalo. New York. Brooklyn. Albany. Mohawk. Detroit. JOHN ALLEN. Jb., EVERETT CLAPP, HUGH ALLEN, S. O. CHASE, SAMUEL MORGAN, J. L. HURD, GEO. H BRYANT, Tonawanda. Having complotod its arrangements for the ensuing season, this Company will be prepared, on the opening of navigation, with unsurpassed facilities, to transport Mei'chandise, Railroad Iron, and other pnwerty, to and from New York, Philadelphia, Boston, Albany, Troy and ports on Lakes Brie, Michigan and Huron, by the Hudson River and Erie Canal, at low rates. The. work of the Erie Canal Enlargement is now advanced so near to com- pletion, the Company feel warranted in guaranteeing to its customers such increased promptness and dispatch between New York and Buffalo, as to com- mand satisfaction. THE WESTERN EXPRESS COMPANY, Owned and operated by the Western Transportation Company, will run, as heretofore, over the New York Central Railroad, between Buffalo and New York, and by steam on the Lakes. HUGH^ALLEN.^^' } ^°- * ^°'°^''*' "^"P' ^'^ ^*"'''- AUGuItoS^S)lIoN. h ^*'*'" '^**"^° ^"^"^'"8' ^*^ ^'''^^ S. G. CHASE, 113 Pier, Albany. J. W. TUTTLB, 191 River Street, Troy. J. M. WILDER, 86 State Street, Boston. LORENZO HUNTLEY, 5 Sweeny Street, Tonawanda. ROLLIN ROBINSON, Foot State Street, Chicago. JOHN J. TALLMADGE, Mil. & Miss. Railroad Dock, Milwaukee. J. L. HURD & CO., Hurd's Dock, Detroit. 00X4* Sid- JtT Bsa. Kenoslia Pier Company, Kenosha. Dickinson & Wright, Waukegan. J. F. Kirkland, Sheboygan. John Heam & Co., Erie. Johnson & Hodges, Manitowoc. Day & Thomas, ) „^_ ^^^ Whitney & Co. J^'^^^^'^y- T. N. Bond, Cleveland. Railroad Agent, Sandusky. John Sinclair, Toledo. BHfrmlo Offiee »na Boekt mt XrU Bm»in* 169 COLLINGWOOD LINE!! Tri-Weekly Line of Flnt OkuM NEW tkMB RmONOPfiOeNT MONTGK>MERT, 996 Tona. OAPT. NIOELESON. HUNTER, 681 Tons. OAFT. DIOESON. EVBRaRBIIN OIT7, 624 Tons. OAPT. BAIX. ONTONaOON, 620 Tona. OAPT. WUAINS. One of the above Boats will leare her Dock, foot of La Salle Street, every Tuesday, Thursday and Saturday, .^t 7 0'ol^olx.y 3E*a Ti/BCmf Tor coLLiisrGA\^oor>, . Connecting vrith the ONTARIO, SIMCOE AND HURON RAILROAD, For TORONTO, and at Toronto with the FOR KINGSTON, MONTREAL, PORTLAND, QUEBEC, BOSTON, And all intermediate places ; and with Steamers from Toronto for LEWISTON, OSWEGO, CAPE VINCENT and OGDENSBURG, connecting with the different RaUroads to all principal Cities of the East, and forming a speedy and safe commu- nication for Passengers and Movers, for LESS THAN TWO-THIRDS OF USUAL RAILROAD FARE, And also forming a To and i>om all the principal Cities of the East, Boston, New York, Albany, Ogdensbnrg, Oswego, Quebec, Montreal, Kingston, et cetera, Connecting «t MACKINAC with the splendid Steamboat LACY ELGIN, Capt. E. H. Tompkins, 'for all ports on L^KE SUPERIOR. 1 lis Line is also reliable for parties wishing to take parage or ship freight to and from all points on the W»st Shore of LAKE MICHIOAN, aa far North as TWO BIVEB8. FOR THROUGH TICKETS AND CONTRACTS, Apply at the CQmpaay'a Office, FOOT OF LASALLE STREET. A. T. SPENCER & CO., Agents, Chicago. GEO. DOUSEMUr & CO., Milwaukee. JAMES HOUQHTON, Solicitor of Passengers, Ohicago. SB i; Ill 170 MUNN& SCOTT, AND GOMMISSIOF MERCHAlfTS FOB THB FUBCHASE, SALE AHD SHIPMENT OF CORNER OF OANAL AND OAROLL STRBBTS. — cS.- Machinery for cleaning, and Kilns for drying Grain, attached to oar Elevators, that will prepare it for shipment to any distance. S. B. POMEROY & CO. Nos. 2fs6 to 272 South Water street, Chicago, IlL, FOB TBS FCB0BA8G AND SALI OF All kinds of Prodarr^ FroTislons, Flour, etc. Liberal adTances made on consign: at nts, for sale here or in Eaatern markets. EztcnsiTO macl)lnery for perfectly clean! ag Grain before shipment. Also, machinery for dryiug dajiaged Qrain. May 1, 1858, HOWE, ECKLEY & CO. PRODUCE COMMISSION MERCHANTS, AND oziio.A.a-0, iiiijiisTois- 1858> RATES OF STORAGE. 1858. s„.>n.». Rn*M / 2 cts. for Railroad Grain, mrs-,-- n-,-. ( 4 cents from Nor. Ist Summer »■««■•( i ct. for Canel-boac Grain. Winter Ro««b. | to April 15th. The above Elevators have a Storaee Capacity of 600,000 bushels, and receive Grain from Galena and Chicago Union Railroad, Dtxon Air Line Railroad, Chicugo, Builir/gton and Quincy Itailroad, and Illin .is Central Railroad, and Canal. 171 1 V s.t,, J, ^ ?,1' It " " UNDERWOOD & CO. COMMISSION MERCHANTS, 152 SOUTH WATER STREET, CULVER & BUNKER, COMMISSION MEiOMANT For the Sale and Pnroliase of FLOUR, GRAIN, PORK, &C. IBS SOXJO?!! ■^T.A.TBK. Sa7R,BET, CHICAGO, ILLINOIS. £. J. CULVER. C. 'E. CULVER. C.BUNKER, Jr. LATE AQENT OF I.. RENAUD AND FRERE, MONTREAL, COMMISSION MERCHANT AND BROKER OFFICE, NO. 6 DEARBORN STREET. CHICAGO, ILIilNOIS. ) Messrs. Ii. Benaud h Frere, Montreal. " Connolly, Lantier & Co. '• C. J. Cusack, Eiq. " Messrs, Uumsoy, Bros. & Co., Chicago. Messrs. Connolly & Co., " H J. Noad & Co. " Geo. Steel & Co, " Flint & Wheeler, Quebec. Chicago. Poit Office Box 2336. ROBERT L. FABIAN, MERCHANDISE BROKER AND 11 DOLE'S BUILDING. CHICAGO, - - x iimois* Refersnoes — Merchants generally of Chi- cago and Cincinnati. DICKINSON, PARKE & DUEL, mmm commission For the Purchase and sale of all kinds of Produce, Flour, Grain, Seeds, Proyisions, &o. Office, 12 Fomeroy's Building, COB. SODTD CLABK