$350,000,000. Now, the mode adopted to approximate the annual savings out of this gross income of $1,445,521,685 is to take the amount of tax paid in several years and find the average income of capital that pays duty. Thus the annual increase of incomes for five years was found to be 5.7, which, computed at 20 years' purchase, gives a result of £114,000,000 sterling, per annum, savings. That is, this amount saved and invested, gives an annual income increased at the rate of 5.7 per annum. The annual savings of the British nation, with a population of 28,000,000, is then $570,000,000 per annum. It must be borne in mind that money is not earned alone in the British islands, but embraces the profits of British capital operations upon the industry of 200,000,000 British subjects in all parts of the world. The population of the British possessious was at the last dates, 1861, as follows: British India...... Australia and other colonies.. Total.... United Kingdom.. .173,738,834 9,484,595 .183,223,461 28,915,109 The one hundred and eighty-three millions of souls in all parts of the world are producing wealth mostly by the stimulus of British capital, and that wealth finds its way to the imperial islands in increasing quantities year by year. From all quarters raw material produced through the agency of British capital is sent home, and there, together with the food and the industry of the manufacturers, is wrought up by the agency of steam-driven machines into goods, with a portion of which, for the most part, the millions of distant producers are paid for their labor. The streams of wealth from every quarter of the globe set with swelling volume toward the imperial islands. The capital which there accumulates is re-employed in extending the productive powers of fertile regions which pour forth material wealth in greater affluence. The amount of British capital employed in different parts of the world probably sends home a larger amount of annual interest than that paid upon her whole public debt. The foreign trade of 1863 showed results as follows: Imports.. Excess imports...... 1862. 1863. .$923,937,535 $1,019,131,615 619,961,320 732,448,840 .$313,976,205 $286,682,775 amount of wealth annually very The figures do not include specie, Thus there returns to England an much in excess of what she pays out. which was as follows, in addition to the above: The imports of specie are drawn from Australia, $30,000,000; Mexico, $50,000,000; United States, $40,000,000. The flow thither of these metals shows the current of exchange always in favor of England from those countries where her capital operates. The 173,000,000 Indian subjects are year by year more industrious and more profitable to England. Mr. LAING, late Finance Minister to India, in a recent address, says: "I have seen myself savages of the wild aboriginal tribes of India working steadily under English inspectors on the railways, their women carrying the earth in baskets on their heads, with their noses, arms, and ankles covered with silver rings, in which they had invested wages which, to their previous experience, seemed like fabulous wealth." The capital sent out from England to build those railways, precisely as it was sent to construct some of our Western works, returns to it with a high interest. The passion the Indians have for silver is the cause of that continued drain of the metal from Europe, where the vacuum it leaves is filled with the gold of California and Australia. The wealth drawn from Asia is immense; not only the immediate subjects of the Crown, but the 300,000,000 of Chinese, under the same influence, contribute their quota to the swelling profits of England. They are weaned from the apathetic indolence of the orientals, and broken into steady labor by tasting of its advantages. Doubtless the small reward, which seems large to them, produces important results to the capitalists of the distant islands. Mauritius has been filled with Coolies, imported from China, and gives England an annual value of $10,000,000, getting $2,500,000 in return. Among 500,000,000 of the human race, English agencies and influence are hourly adding to the number of producers of materials, who work the current of profits that annually finds its way to Britain. The growing commerce of Great Britain employs an immense shipping. The trade with her own colonies gives England the following average results: Import from colonies..... Export to colonies.... Excess imports...... $350,000,000 250,000,000 $100,000,000 These large profits rolling into the British islands indicate the success with which the labor and resources of 28,000,000 of people are applied to the development of the hitherto dormant wealth of populous, distant countries, and consequently how firm is the basis on which the English debt rests. All these conditions of foreign commerce and colonial aids help to swell that annual income of the British people which, as we see, results in an annual saving of $570,000,000. It is true that the incomes below £100, are estimated to be equal to half the taxable incomes, but those small incomes seldom yield any savings, and they would not much alter the account. In the United States production has been very large and income considerable, but expenditure has been more profuse. The ultimate savings in proportion to income are not so large as elsewhere. The amount of savings it will be easier to estimate after the new income tax shall have shown its results, for then it can be done in a manner similar to the above, showing the savings of the United Kingdom. If, however, we return to those figures already given of the personal valuation, we will find that for the whole country, according to these figures, there was an average of $308,000,000 accumulated per annum during ten years of the most pros perous season, arising from the influence of gold discoveries upon prices of all kinds. In that period nearly $300,000,000 of capital was imported from abroad for railroad construction. 2,800,000 immigrants arrived, with more or less property, and located soil; and the one thousand millions or one hundred millions per annum was invested in railroad construction. We shall continue the examination of the subject further in our next number. COMMERCIAL LAW.-NO. 16. INTEREST AND USURY. WHAT INTEREST IS, AND WHEN IT IS DUE. INTEREST means a payment of money for the use of money. In most civilized countries the law regulates this; that is, it declares how much money may be paid or received for the use of money; and this is called legal interest; and if more is paid or agreed to be paid than is thus allowed, it is called usurious interest. By interest is commonly meant legal interest; and by usury, usurious interest. Interest may be due, and may be demanded by a creditor, on either of two grounds. One, a bargain to that effect; the other, by way of damages for withholding money that is due. Indeed, it may be considered as now the settled rule, that wherever money is withheld which is certainly due, the debtor is to be regarded as having promised legal interest for the delay. And upon this implication, as on most others, the usage of trade, and the customary course of dealings between the parties, would have great influence. Thus, in New York, A sued B for the transportation of a quantity of flour from Rochester to New York, and claimed interest upon the same. He offered to prove that it was the uniform custom of all those engaged in the same business to charge interest upon their accounts; and that the defendant knew this. This evidence having been rejected in the court below, it was held by the Supreme Court, on appeal, that, such usage being proved, the plaintiff was entitled to interest, and that the evidence should have been received. And in another case in that State, where it was known to one party that it was the uniform custom of the other to charge interest upon articles sold or manufactured by him after a certain time, the latter was allowed to charge interest accordingly. In general, we may say that interest is allowed by law as follows: On a debt due by judgment of court, it is allowed from the rendition of judg ment; and on an account that has been liquidated, or settled, from the day of the liquidation; for goods sold, from the time of the sale, if there be no credit, and if there be, then from the day when the credit expires; for rent, from the time that it is due, and this even if the rent is payable otherwise than in money, but is not so paid; for money paid for another or lent to another, from the payment or loan. In New York it was held, in an action on a contract to recover damages for the non-delivery of merchandise, that the plaintiff was entitled to recover the difference between the contract price and the market value of the article at the time and place specified for its delivery, with interest thereon; and that it was not within the discretion of the jury to allow interest or not; the plaintiff being legally entitled to interest. Interest is not generally recoverable upon claims for unliquidated damages, nor in actions founded on tort. By unliquidated damages is meant damages not agreed on, and of an uncertain amount, and which the jury must determine. By torts is meant wrongs, or injuries inflicted. But although interest cannot be given under that name, in actions of this sort, juries are sometimes at liberty to consider it in estimating the damages. It sometimes happens that money is due, but not now payable; and then the interest does not begin until the money is payable. As if a note be on demand, the money is always due, but it is not payable until demand; and therefore is not on interest until demand. But a note payable at a certain time, or after a certain period, carries interest from that time, whether it be demanded or not. MONEY. The laws which regulate interest and prohibit usury are very various, and are not perhaps precisely the same in any two of our States. Formerly, usury was looked upon as so great an offence, that the whole debt was forfeited thereby. The law now, however, is-generally, at least-much more lenient. The theory that money is like any merchandise, worth what it will bring and no more, and that its value should be left to fix itself in a free market, is certainly gaining ground. In many States there are frequent efforts so to change the statutes of usury that parties may make any bargain for the use of money which suits them; but when they make no bargain, the law shall say what is legal interest. And, generally, the forfeiture is now much less than the whole debt. In Maine, the excess above the legal rate of interest, six per cent, is not recoverable, and, if paid, may be recovered back at any time within a year. In New Hampshire, the legal rate of interest being six per cent, the party taking the usury is subjected to a penalty of three times the amount of the usury taken, to be deducted from the debt. In Vermont, lawful interest only (six per cent) is recoverable, and a party paying more than legal interest may recover it back. Seven per cent, however, may be charged upon railway bonds. In Massachusetts, a party receiving more than legal interest, six per cent, forfeits three times the amount of the unlawful interest taken. And where a party has paid more than legal interest, he may recover of the person receiving it three times the amount of the unlawful interest paid. In Rhode Island, upon an usurious contract, legal interest only is recoverable; and where more than legal interest (six per cent) has been paid, it may be recovered back. In Connecticut, upon usurious contracts, the legal rate of interest being six per cent, the whole interest is forfeited. In New York, all usurious contracts are void, and where more than the legal rate of interest, seven per cent, has been paid, it may be recovered back. In New Jersey, the legal rate of interest being six per cent, usury avoids the whole contract. However, in the township of Hoboken and in Jersey City, seven per cent may be charged. In Pennsylvania, the party taking the usury forfeits the amount of the money or other thing lent, one-half to the State, the other to the party suing for the same. The legal rate of interest is six per cent. It has been decided under this act, that the contract itself is not void; and a party is entitled to recover the sum actually lent, together with lawful interest; otherwise, the State might be deprived of its share of the penalty by the borrower's refusing to enforce the statute. In Delaware, the party taking the usury forfeits the amount of the whole debt, one-half to the State, the other to the informer. The legal rate is six per cent. In Maryland, the excess paid above the legal rate of interest, six per cent, is recoverable back. In Virginia, the party taking more than the legal rate of interest, six per cent, forfeits the whole debt. In North Carolina the taking of unlawful interest renders the whole contract void. The legal rate is six per cent. In South Carolina, the party taking the usury forfeits the whole interest. The legal rate is six per cent. In Georgia, where the legal rate of interest is seven per cent. by the taking of usury the party forfeits the whole interest. In Alabama the interest only is forfeited where usury is taken. The legal rate is eight per cent. Arkansas, the legal rate is six per cent, and the taking of usury avoids the contract; but parties may agree in writing for ten per cent interest. In Florida, usury avoids the contract. The legal rate is six per cent. per cent. In In Illinois, in all actions brought upon usurious contracts, the defen lant shall recover his costs, and the plaintiff shall forfeit three times the amount of the whole interest. And a party paying more than the legal rate of interest, six per cent, may recover of the party receiving the same three times the amount so paid. But banks may charge seven per cent, and individuals may make special contracts for ten per cent. In Indiana, the taking of usury causes a forfeiture of five times the amount of the whole interest. Six per cent is the legal rate. In Iowa, where the legal rate of interest is six per cent, the taking of usury forfeits the whole interest; but ten per cent is allowed on special contracts. In Kentucky, usury subjects the party to a forfeiture of the whole interest. The legal rate is six In Louisiana, the legal rate being five per cent, usury causes the forfeiture of the whole interest; but eight per cent may be agreed upon by the parties. In Michigan, seven per cent is the legal rate of interest. Ten per cent may be charged upon special contracts. There is no penalty for taking usury. In Mississippi, the legal rate is six per cent, and the receipt of usury forfeits the whole interest. Eight per cent, however, may be charged on special contracts. In Missouri, the legal rate is six per cent, and the receipt of usury forfeits the whole interest. In Ohio, where the legal rate is six per cent, the receipt of usury causes a forfeiture of the whole interest; but eight per cent is chargeable upon special contracts. In Tennessee, six per cent is the legal rate, and an excess avoids the whole interest. In Texas, the taking of usury avoids the whole interest. The legal rate is eight per cent, but on special contracts twelve per cent is chargeable. In Wisconsin, the legal rate is seven per cent, but special contracts may be made for twelve per cent. In California, the legal rate is ten per cent, and there is no penalty for taking usury. There is no especial form or expression necessary to make a bargain |