there given, which shows as nearly as may be the average prices for the whole year for the whole Union, as follows:

Annual Exports of Four Articles of Agricultural Produce from the United States for twelve years, with the export value; from Treasury documents.

A multiplicity of circumstances have been yearly brought to bear upon the market prices of any particular article of agricultural produce, independently of the natural effects of supply and demand. These have, during the ten years embraced in the table, grown mostly out of the operation of the currencies of Great Britain (the chief market of sale) and also in this country. The three years 1829-30-31 were short-crop years in England. The succeeding six years were average and good crops; and in one year, 1835, the supply of grain in Great Britain was equal to the demand, and none was im ported. So long a period of favorable harvests engendered a degree of commercial confidence very favorable to the growth of paper credits. Accordingly, speculation in England made rapid progress. From 1832 to 1836, an immense number of joint-stock banks were created, and it has been estimated that the amount of capital invested in machinery in Lancashire nearly doubled in those years. The consequence was, that the demand for and consumption of the raw material largely increased. The banking speculation at the same time extended itself to this country, and, applied to production, caused the increased demand abroad to be more nearly supplied. In those years in the southern states nearly $15,000,000 was borrowed as bank capital, based upon the lands of cotton growers. The effect of this was, as is seen in the table, to increase the exports of cotton nearly 100 per cent. Nevertheless, the impulse given to manufacturing was so great that the prices continued to rise under that increased supply. The overproduction of manufactures became apparent in the latter part of 1838, and has since each year been more painfully evident; and, under a decreased production this year, cotton is lower than for a length of time.

In the column of flour exports it is seen that the quantity exported depends very much upon the price in this market. Thus, in the year 1834, which was one of abundance in England, nearly as much flour was exported from this country as in 1839, which was one of a short crop in England, and the year in which the largest imports of foreign wheat into Great Britain were made. That year in this country was one of great banking prosperity: that is to say, the banks were much extended, and flour, although abundant, commanded high paper prices in the first months of the year-a fact evident in the above table of prices in the New York market. The currency for the future in this country promises to approximate to the specie standard very closely; and with the abundant harvests that are everywhere rewarding the industry of the farmers, warrant that prices will be very low. On the other hand, England has reached a point at which her supplies of grain are avowedly insufficient to feed the inhabitants, and Parliament

has greatly reduced the average at which grain may be admitted. We may now look back at the general state of the wheat and flour trade of England during the same period as is embraced in the above table of exports from this country. For this purpose we will take the following tables from parliamentary papers, showing the quantity im ported in each year into the United Kingdom; also the stock on hand at the close of the years; and also the average quantity admitted for consumption at each rate of duty during that period :

Import of Foreign and Colonial Wheat and Flour into Great Britain; stock on hand at the close of the year; and quantity entered at each rate of duty, from 1828 to 1841.

This gives the fact that more than one half of the whole imports was admitted at an average duty of 241. per bushel, or at about six cents. The new duties proposed will reduce the minimum at which flour may be admitted, and greatly favor the import. The following is a table of the new corn duties, reduced to rates per bushel, in English and in United States currency:

CORN DUTIES OF ENGLAND PER Old and New TARIFF.

This is a great reduction from former rates, and ensures a steadiness of supply into England, which is a very important item. The above table of imports into England shows that during the six years of good crops, the foreign corn trade of England nearly ceased; and, at the close of 1838, the warehouses were nearly exhausted. An immense and sudden addition was then made to the foreign purchases, against which no increased exports of merchandise from Great Britain had made provision. This produced a revulsion, and nearly reduced the Bank of England to bankruptcy.

The facts here shown lead to two conclusions, viz :-that the demand for foreign grain in England will hereafter be large and regular; and, that the supplies in the United States will be abundant and cheap. As to the ability of the United States to supply Great Britain in competition with the countries of Europe, one fact is worth a volume of argument, and that fact is contained in the following table :Statement of Bushels of Wheat entered in England for Consumption; wheat exports from the United States in the same time; and the price of flour per barrel at each period in the United States.

Exports from U. S.

to G. B.

Av. Prices of Flour in the U. S.

From this it appears that in 1839, when the largest imports into Great Britain took place, the United States supplied but ten per cent; and in 1840 it supplied thirty-five per cent of the whole import. The shipments to the dominions of Great Britain have hitherto formed a large proportion of the exports from the United States. The following table will show the foreign flour trade of the United States for seven years, from 1833 to 1841 :—

Export of Flour from the United States, for a series of years.

This forms a very remarkable table, showing that regularly as the price advanced in this country from 1834 to 1837, the quantity imported increased, and as regularly decreased until it ceased in 1840. In 1837, wheat equivalent to 782,000 barrels of flour was imported, and less than half that quantity was exported, notwithstanding that a surplus actually existed in the country. A large proportion of the imports of that year were actually from England, and the remainder mostly from the north of Europe. Hence, it appears that in years of scarcity in Europe, or when the failure of successive crops in England has reduced the stocks in Europe, the supplies from this country come into requisition, and must raise and permanently support prices in the United States at an average above those of the average of the three years prior to 1836, which was $5 69 per barrel. We allude to prices based only upon specie currency of a standard near that of the countries whence the demand emanates. A steady demand at such prices will do more to develop the inexhaustible agricultural resources of this country than all the bank paper that could under any circumstances be created. To show the capacity of the country in some degree, we annex the following table of the population and agricultural products per head of seventeen of the leading states, divided into free and slaveholding states, compiled from the census of 1840:

Population and Agricultural Products per head in Seventeen States of the United

17,062,000

36.07

6.35 0.88 1.13

1.54 0.25

This was the product according to the census for the year in which the greatest export of flour was made. Since that year the product has been estimated at an increase of 25 per cent, giving an average per inhabitant of forty and one half bushels. The produce of animals has increased in a much greater proportion. The capacity of the popu lation to consume these products increases only in the numerical proportion of the increase of that population. The surplus is large, and constantly increasing. It must have an outlet, which can be facilitated only by low duties on return goods.

We have gone a little into those general causes which we believe to be the origin of the present depression, and also the elements of future improvement. Since our last, the banks of Tennessee have resolved to return to specie payments on the 1st of August,

on the 15th of September. Unfortunately, however, two of the banks of New Orleans

which paid specie at the date of our last have been compelled to suspend, in consequence of the untiring opposition of the debtors of the banks who wish to discharge their debts in a depreciated currency; and also of the insolvent banks whose credit suffered severely by the contrast between them and the sound banks. This is a melancholy result, and gives indication of a poor state of intelligence on the part of a community which suffers the deserving institutions to be sacrificed to the cupidity of those whose object it is to fleece the public. The hostility existing between the institutions operates as a punish. ment upon the public that have suffered the insolvent banks to go on and do business. Thus, the different banks will take none but their own notes on deposit or in payment of debts. Hence, when a person owes a note at one institution, and holds the notes of another, he must sell the notes of the one and purchase those of the other. The brokers charge a difference of nearly five per cent in buying and selling. A direct and onerous tax is thus imposed upon the bank debtors, whose influence mainly brought about the existing state of affairs. The probability is, however, that the new crops will all move on a specie basis. In many parts of Alabama the planters have already determined to take nothing but specie funds for their cotton, and in most of the other states a specie currency prevails; so that inevitable and ruinous discredit must attend those institutions which continue their suspensions.

The uncertain state of the government finances has had a great effect upon the stocks of the several states. So far, the Secretary has been unable to negotiate more than about $1,500,000 of the whole loan. It is true no attempt has yet been made in the foreign market, but preparations are making to send out an agent under such auspices as is thought may obtain the money, notwithstanding the low state of American credit abroad. The absolute necessity which exists for the government to have the money at some rate, and the little chance supposed to exist of getting it abroad, have caused fears to be entertained that finally it may be forced upon this market in a manner to sink all stocks. This state of things has caused the prices of the soundest stocks to give way to a great extent. New York state stocks have fallen five to six per cent. Ohio and Kentucky have given way nearly ten per cent. Pennsylvania has fallen twelve per cent, in consequence of the failure of that state to provide for its interest. At this time last year, Pennsylvania 5's sold at 80; they now are heavy at 32 per cent, and that state is classed among the dishonored states. The probability is that when the settlement of the tariff question shall have opened the way for some improvement in the activity of commercial operations, that the demand for money for those purposes will tend to depress the prices of stocks still further. There is now no foreign demand for stocks, and in ordinary seasons American capital is too valuable to be locked up in government five, six, or seven per cent securities. The southern states have in former years borrowed money in Europe at six per cent, and reloaned it to cotton growers at eight and nine per cent. This is an indication that when, through discredit, the capital of Europe is no longer open to us, our own stocks must fall to very low rates.

The comptroller of the city of New York advertised proposals for a loan of $500,000 in a seven per cent stock, redeemable in ten years, interest payable quarterly. This loan was promptly taken, at par, by private capitalists, for investment. It is the balance of the amount authorized by the last legislature, and its object is to discharge the temporary loans falling due.