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Brought forward,$323,536,111
Treasury notes bearing 7.30 per cent. interest (law of April 16, 1861)113,740,000
War tax16,664,513*
Loan of February 28, 18611,375,476
Gold received from the Bank of Louisiana2,539,799

The items marked by asterisks alone represent the real resources of the Confederacy, amounting, with the several receipts included, to a total of 19,665,394 dollars—say a round sum of twenty millions. It will be perceived that the custom-houses only figure in the account for less than three quarters of a million, which is a proof of the efficacy of the blockade. The fourth item is only the cancelling of credit, the gold provided by the Bank of Louisiana but an extraordinary receipt. The amount obtained by borrowing during those ten months, either in the shape of government bonds or treasury notes bearing interest, or notes without interest, reached the enormous sum of 431,811,443 dollars. If we add to this the debts contracted by the Confederate provisional government prior to the 22d of February, 1862, this sum will be found to figure at 556,105,100 dollars. This amount includes bonds and notes of every description to the extent of 410,485,030.50 dollars, after deducting those which had been cancelled. The notes that bore no interest constituted the real paper money, representing a sum of more than three hundred millions—that is to say, nearly four times the normal circulation before the war. This fact alone suffices to explain their depreciation.

Consequently, at the close of the year 1862 the financial crisis was complete; it had produced its inevitable results—stock-jobbing, fraudulent transactions and illicit speculations, the responsibility of which people who have seen their financial prospects ruined by their own blunders in political economy invariably try to throw upon a few individuals. While the Confederate paper was losing two-thirds of its value, the bank-notes of private corporations attained a premium of ninety per cent. over the government paper. The blockade had raised the price of all manufactured articles which the South could not produce, to an inordinate degree. The loss of Kentucky, which supplied twice as much

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