The Republic
November 1857
NATIONAL NEWS
Tough Times - Economy In Free-Fall
The past month saw the U.S. economy sink to its lowest level in twenty years. Sinking railroad stocks have fueled the downturn which has resulted in the widespread failure of businesses. Conservative estimates place the number of failures at around 1,000. The following table shows how dramatic the drop in prices for major railroad stocks has been.
Code:
VALUE OF STOCK
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Railroad Jan. June. Sept. Oct. Change.
Chicago and Rock Island 84 96 79 57 -39
Cleveland and Toledo 75 65 40 28 -47
Cleveland and Pittsburgh 58 55 15 9 -49
Erie 62 36 22 11 -51
Galena and Chicago 119 96 62 62 -57
Illinois Central 123 139 92 79 -60
La Crosse 75 76 14 6 -68
Michigan Central 93 94 63 39 -55
Michigan Southern 88 57 19 15 -73
New York Central 93 86 74 57 -36
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The pressures became noticeable early in the summer, but the first great blow to public confidence was given by the unexpected failure, in August, of the Ohio Life and Trust Company, which impacted many individuals and corporations in serious loss.
Still no serious difficulty was felt until about the first of September, when the failure of a number of banks in western New York was announced. A panic ensued, which became almost universal during the month. Toward the close of the month three of the leading banks of Philadelphia failed, and the remainder stayed solvent only by temporarily suspending specie payments. This scenario was replayed in Maryland, New Jersey and the District of Columbia.
Officials have assured the public that the banks of the city of New York, and generally of the State, remain firm and there seems no reason to doubt this. The bills of the banks organized under the General Banking Law seem safe, as they are fully secured by public stocks deposited with the Comptroller of the State.
Merits of Controversial Tariff Act Debated
The Tariff Act passed earlier this year has lowered rates to around 17% on average. The Act was authored primarily by Robert Mercer Taliaferro Hunter of Virginia. The bill was offered in response to the regular federal budget surpluses during the mid 1850s. Hunter’s stated intention was to disperse this surplus through a tax cut.
As expected, a majority of the supporters of the bill came mostly from Southern and agricultural states, which have tended to be export dependent and have tended to support a "free trade" position. However, the Southerners have received unexpected support from a handful of the New England wool manufacturers. This constituency has traditionally supported protectionism. But after a series of political setbacks for the protectionist movement, these businessmen have decided to forgo protection for their own goods in exchange for reduced tariffs on raw material imports such as Canadian wool.
According to one official, the Tariff Act “was possible because it did not represent a victory of one section over the other; nor did it produce a clear division between parties. Its supporters included Democrats, Republicans, and Americans; representatives of northern merchants, manufacturers, and railroad interests; and spokesmen for southern farmers and planters.
Opposition has come largely from two economic groups: the iron manufacturers of Pennsylvania and the wool growers of New England and the West. Producers from other traditional protectionist constituencies such as iron, glass, and sheep farmers have also been opposed to the bill.
Led by economist Henry C. Carey, many of the Act’s opponents have blamed the recent economic panic on the new Tariff schedule. Outcries against "tax cuts for rich land-owners" along with Carey's rhetoric have rejuvenated the protectionist movement and prompted renewed calls for a tariff increase.
Buchanan Dispatches Troops to Utah Territory
President Buchanan has sent a sizable military force to Utah Territory to remove Brigham Young as the territory’s governor. Washington has been alarmed by the recent treasonable designs of leaders of the Mormon sect. Especially disturbing was the recent massacre of about 120 immigrants at Mountain Meadows in the southwestern part of the territory.
A new governor for the territory has not been selected. Major McCulloch was offered the position, but declined. It has long been thought that the Mormons will not accept the authority of a non-Mormon governor and any attempt by the government to establish such authority in Utah would result in armed revolt.
Feds, State Officer Tangle In Ohio
A clash has taken place between state and federal authorities. A US Deputy Marshal, with a number of assistants, attempted to arrest an alleged fugitive slave near Springfield, OH. The slave resisted, forcing the officers to retreat. When they returned, they discovered the man made his escape via the “underground railroad.” The subsequent investigation led the officers to arrest a number of persons on charges of harboring a fugitive slave.
The Sheriff of Clarke County secured a writ of habeas corpus, but was resisted in its execution by the U.S. officers. In the ensuing scuffle, the federal officers were overpowered and taken prisoners. They are being held on the charge of attempting to murder the sheriff.
Dred Scott Freed
Dred Scott, the slave whose famous “case” has excited so much national attention has been emancipated by his master. It is reported that Scott now is working as a porter in St. Louis, MO.
International News
Clergy Arrested in Mexico
Ecclesiastical authorities tried to excite an insurrection during Holy Week, but the attempt was suppressed by the Mexican government. The archbishop, the bishop of the diocese, and a number of the principal clergy were arrested and sentenced to banishment. The sentence of the archbishop was remitted on account of his advanced age, but he was ordered confined to his palace.
Filibusters Executed in Sonora
Following the example of William Walker, A band of California filibusters under the command of Colonel Crabbe invaded the province of Sonora. After initial gains, they were met by a superior force and taken prisoners. Orders had been dispatched to bring them to the Sonoran capital, but their stubborn resistance so exasperated the captors that all 60 were shot. Crabbe, who went to California after the discovery of gold, had become a prominent lawyer and politician in the state.
My India Journal
July 20 - Having secured Cawnpore, Haverlock decides to move on toward Lucknow, to relieve the British garrison and civilians under siege there. Lucknow is only 48 miles from Cawnpore, but the formidable task here is to transport our force of 1500 men across the Ganges. Most of our men are beyond exhaustion, however, after witnessing the aftermath of the brutal massacre of European women and children in Cawnpore, they are determined to move forward. “Remember Cawnpore,” has already become a war cry for the British soldiers.
July 26 - It has taken us six days to ferry the troops across the Ganges. Haverlock is clearly vexed by the delay -- he knows Lucknow could fall at any time. The General has no desire to see the atrocities of Cawnpore repeated in Lucknow.
July 29 - Near the town of Unao, we encounter a large rebel force. Again, we win the day, but at heavy cost. Our army has been reduced by almost half. I receive a nasty slash across my arm from a native wielding a Tulwar when the fighting becomes close. Luckily, I am more handy with my bayonet and dispatch the fellow from this life.
July 30 - With his force reduced to 850 by casualties, disease and heatstroke, Haverlock knows he can’t press on to Lucknow. We fall back. Once we establish camp, Haverlock dispatches a letter to Brigadier Neill in Cawnpore requesting reinforcements.
August 3 - My friend Bond tells me that there has been a sharp exchange of letters between Havelock and the insolent Brigadier Neill. These men clearly do not like each other. Neill seems to be convinced that he is the one who should be leading the relief column to Lucknow and takes every chance to be critical of Havelock. We do receive over 250 reinforcements and Haverlock plans to advance in the morning.
August 4 - We win another victory near Unao, but once again we emerge from the battle too weak to continue the advance, and retire.
August 11 - It has been Havelock’s intention to remain on the north bank of the Ganges, inside Oudh and thereby prevent a large force of rebels from joining the siege against the Residency in Lucknow. However, Neill reports that Cawnpore is threatened. To allow himself a retreat without being attacked from behind, Havelock marches again to Unao and we win a third victory there. We then fell back across the Ganges, and destroy the newly completed bridge. God grant the souls at Lucknow peace. I fear only a miracle can save them now.
TO BE CONTINUED
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