30 Ira Ryner ^ 



CRISIS OF 1857 



For the five years from 1849 ^o 1853 inclusive England had 

 an exceptionally heavy export trade in merchandise. This was 

 due perhaps largely to the stimulus given to trade by the gold 

 discoveries in California and Australia. For the first time the 

 exports reached the billion dollar mark, falling back again in 

 1854 and not reaching that point again until 1864. Imports, on 

 the other hand, increased at a constant and relatively slow rate, 

 not reaching the billion dollar mark until i860. Exports of the 

 precious metals were also increasing at rather a rapid rate.^ 



In France the trade balance changed from an excess of ex- 

 ports of $28,000,000 in 1854 to an excess of imports of $15,- 

 000,000 in 1856 and of- $9,000,000 in 1857. For several years 

 preceding and following these two years there was an average 

 of an annual excess of exports of half a million. There was also 

 an excess of imports of the precious metals, increasing from 

 $4,000,000 in 1855 to $91,000,000 in 1858.^ It might also be 

 added that for the same period, from 1849 to 1853, as in England, 

 France had an extra large excess of exports, showing that her 

 trade was also receiving a stimulus, and probably also from the 

 gold discoveries in California and 'Australia. 



In the United States from 1850 to 1857 there was an unusual 

 excess of imports.^ This could be attributed to two causes, the 

 increased trade activity in the West due to the discovery o'f gold, 

 and the rapid internal development of the country. Too much 

 emphasis, however, must not be laid upon these relatively slight 

 excesses on either side as indicative of the operation of some 

 particular force, for they may simply be the result of a general 

 expansion of trade which would naturally exaggerate the usual 

 differences between total exports and total imports of a country. 



There was also a considerable securities movement, as in the 

 period preceding the crisis of 1836-39. Foreigners were again 

 investing heavily in American securities. It is estimated that 



^Monthly Summary of Commerce and Finance, February, 1903. 



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