VALUATION OF REAL AND PERSONAL ESTATE, ETC.-CONTINUED. COMPARATIVE VIEW OF THE LIABILITIES AND RESOURCES OF THE STATE BANK OF INDIANA, Fire insurance, in so far as the private companies, (Die Privatversicherungs Gesellschaften,) are concerned, is fully established in Germany, and in its management, with respect to the insured, is carried on in a spirit of justice and liberality, and knowledge of affairs, found in few other countries. From the very active competition which exists amongst the native companies,-not to speak of foreign companies to which the liberty of operation has been conceded, it is almost generally taken advantage of by the population, with the exception only of the inhabitants of the chief towns in Austria; namely, Vienna, Prague, and Pesth; as also people of the fourth rank, being petty tradespeople, day-laborers, handicraftsmen, small cultivators of land, and cottagers; the first, because they are believed to dwell in fire-secure buildings; and the last, because, on account of their small property, the costs of insurance would come higher to their share than the just premiums, and they are impressed with the idea that they could not afford the outlay; neither does it happen that the companies seek to draw the latter to them, however great in other respects may be their hunting after insurance. The condition of the German private insurance companies may in general be looked on as normal, though the pernicious custom "not to make the premium reserve dependent on a full and careful account, but on the close of the year to reserve an arbitrary sum," is not yet laid aside by two of the companies.-London Assurance Magazine. "CREDIT IS MONEY." FREEMAN HUNT, Esq., Editor of the Merchants' Magazine, etc: DEAR SIR:-Observing an article on money by M... Chitti, published in the late number of your journal, I send you a copy of a letter addressed some time since to a distinguished statesman, in consequence of a previous conversation in which I asserted "credit to be money." Of course I use the word credit in the financial acceptation. Respectfully yours, ROBERT HARE. DEAR SIR-In support of the opinion yesterday expressed to you that credit is money, I would urge that specie is money, only so far as it commands credit, or the belief of the holder that it will pass for a certain value. Obviously, credit, derived from credo (I believe) or creditum, (believed,) implies the belief entertained respecting the realization of a promise or expectation excited. Nothing can act as money which cannot create such an expectation as that above defined. I offered to pay a farmer for a quarter of veal with a quarter eagle; he objected; and only agreed to receive it upon my giving credit to it, which it previously wanted with him, by promising that if it did not pass, I would give him other money. He took the gold therefore, not because he trusted to it, but because he trusted in me. Of course he would have taken a bank note, under the same impression. People are governed altogether by their knowledge and experience of the certainty with which anything, tendered them as good money, will be received as such in the market; and hence, bank notes are more readily taken in those parts of the country, where they are believed to be good, than gold coin of which the dealers concerned are not judges, while they have no means at hand of either testing or weighing. A piece of coin might be made to resemble gold by alloying copper with platina, or a piece of platina plated with gold might be in circulation for ages, and would pass only by the credit it commanded. A goldsmith would be a loser who should buy it to melt up, but no person would lose by holding it as money, so long as its credit should be sustained by its fallacious exterior. Of course whenever any other substance, or substitute for specie, can produce the same credit as specie does, whether genuine or spurious, so as to produce in the holder the impression that it will pass, it will have equal competency to perform the part of good money. If it be said, that in this respect confidence in the competency of gold is more likely to be sustained, is more durable, and that it has in this respect a peculiar universality, this is only proving that the best means of establishing a currency capable of producing durable and universal credit is to employ hard money. It may be said that paper money is more liable to lose its credit. This is an argument against the use of the paper money, but does not disprove that credit is money, since so long as the paper has credit it performs the office of money as well as coin, and passes in consequence of a qualification common to both, and when coin ceases to have credit, it ceases to be competent to perform the office of money. Whenever a knowledge of the coinage and its mechanical qualities does not intuitively create confidence, whenever a resort must be had to assay, it becomes bullion, not money. It will then have no more value than the price of its metallic constituent in the form of an ingot. Hence it strikes me that credit (embodied in a bank note, check, or draft) may act as money without the aid of specie, but that specie cannot act as money without the aid of credit. The idea of the holders of notes generally, is not to exchange them for specie, the immediate idea is to pass them in payment of what they may owe, or as the price of what they may buy. Reference to specie is almost always ideal, as we refer to the digits to express numbers abstractly; when associated with silver or gold, they express both number and value abstractly. Ten dollars conveys an abstract idea as much as the No. 10. The digits are associated with these metals as they may be associated with the liquid or solid measurement in which an ideal resort to solidity or fluidity is made, in like manner. If the precious metals are preferable as a means of interchange, it is only because they are the simplest and surest means of inspiring confidence, or creating credit, in other words, of creating and supporting the belief that they will pass in the market for their alleged value. Coin does not pass on account of its intrinsic value, but in consequence of the belief that it has an intrinsic value. False coin will pass better with this belief, than real coin without it. But a piece of gold may be in circulation for a hundred years, without benefiting the holders by any of those metallic properties to which it owes its value. It will have done nothing for them which good bank notes would not have accomplished, whatever may be said of trade. Yet so long as paper passes for the value at which it is taken, those who thus receive and pay it away lose nothing. It is the holder of a note which depreciates while he holds it, that suffers. A ten dollar bill which is taken for nine specie dollars is virtually a nine dollar note, and answers to the taker an equally good purpose. CONDITION OF THE BANKS OF BOSTON. CONDENSED STATEMENT OF THE CAPITAL, CIRCULATION, DEPOSITS, PROFITS, COIN, AND LOANS OF THIRTY BANKS IN BOSTON, AND ONE HUNDRED BANKS IN THE INTERIOR; FOR THE YEARS 1847-51. We are indebted to JAMES WILLIAM GILBART, Esq., the general manager of this bank, for an official copy of the report of the directors to the proprietors at the halfyearly meeting, January 21st, 1852, from which it appears that the net profits of the bank, during the last half-year, amount to £41,993 78. 9d. Out of these profits the directors declared a dividend for the half-year at the rate of 6 per cent per annum, on the paid up capital of £1,000,000. They also, at the same time, declared a bonus of Including an error of $1,520 in the statement of the Adams Bank. eight shillings per share-being equal to 2 per cent on the capital. After these payments, the report shows a surplus fund amounting to £104,152. Under the efficient management of Mr. Gilbart, this bank has attained a position second to no similar institution in Europe. The London and Westminster Bank, as we have before remarked, is the largest of its class in London, and second only in importance to the Bank of England. The subjoined statement shows the debit and credit account, or condition of the bank on the 31st December, 1851: To proprietors for paid up capital... DEBTOR. To amount due by the bank for deposits, circular notes, &c.. To rest or surplus fund..... To net profits of the past half-year. Total CREDITOR. £5,831,450 11 0 By Government stock, exchequer bills, and India bonds.......... £1,054,018 10 0 4 5 653,946 16 7 Total.... £5,831,450 11 0 PROPERTY AND TAXES OF MARYLAND. We are indebted to the Treasurer of the State of Maryland for an official copy of his annual report for the fiscal year ending first of December, 1851. From this report we derive the subjoined tabular statement: SHOWING THE ASSESSED VALUE OF REAL AND PERSONAL PROPERTY, WITH THE AMOUNT OF LEVY MADE THEREON, IN EACH SEPARATE COUNTY, AND BALTIMORE CITY, FOR THE YEAR 1851. * From the counties thus marked, no returns have been received, they are from returns of former years. THE BRITISH POST OFFICE PACKET SERVICE. A Parliamentary paper just issued shows the estimate for the Post Office packet service for the coming year as compared with that for the twelve months which will terminate on the 5th of April. The increase in the amount of contracts is £98,135, caused chiefly by the new lines for Ireland, Brazil, and the Cape. On the other hand there is a diminution of £52,875 in the expense of Queen's vessels employed, so that the total augmentation is limited to £45,260. The total amount for 1850-51 was £764,236; for 1851-2, £809,496. PUBLIC LOANS OF PENNSYLVANIA. STATEMENT SHOWING THE SEVERAL LOANS OF THE COMMONWEALTH-THEIR RATES PER CENT INTEREST-PERIODS WHEN REIMBURSABLE-AND AMOUNTS, AS THEY SEVERALLY STOOD ON THE 1ST DAY OF DECEMBER, 1851-FROM THE OFFICIAL REPORT OF THE AUDITOR-GENERAL. $40,017,102 36 The loan per act of 20th April, 1846, for the construction of the outlet lock at Wells' Falls (originally $20,000, and now amounting to $12,500) is not embraced in the foregoing table, for the reason that the faith of the Commonwealth is not pledged for its |