Bagehot
Page 35
10Vizcarra, “Guano, Credible Commitments,” 17.
11“The Peruvian Loan,” the Economist, June 11, 1870, 723.
12“The Foreign Loans Of The Week,” the Economist, March 23, 1872, 352.
13“The Peruvian Loan,” the Economist, March 23, 1872, 352.
14Vizcarra, “Guano,” 41.
15“The Present Position Of The New South American And Central American Loans—A Warning To Investors In Foreign Government Securities,” the Economist, October 19, 1872, 1279.
16“The Present Position,” the Economist, October 19, 1872, 1279.
17“The Egyptian Debt,” the Economist, July 5, 1873, 809.
18“The Causes And Effects Of The Recent Fall In Government Securities,” the Economist, July 26, 1873, 900.
19“The Turkish Repudiation,” the Economist, October 9, 1875, 1190.
20“The Duty Of The English Government With Reference To The Bankruptcy Of Turkey,” the Economist, October 23, 1875, 1250.
21“The Report Of The Delegation Of Turkish Bondholders,” the Economist, June 17, 1876, 706.
22Hamilton L. Jenks, The Migration of British Capital to 1875 (New York and London: Alfred A. Knopf, 1927), 321.
CHAPTER 16: GOVERNMENT BEARS THE COST
1Diaries, Letters, and Papers of George Warde Norman, 1754–1876, 9 vols., London Borough of Bromley Archives.
2Kynaston, Till Time’s Last Sand, 230.
3Bagehot, Collected Works, 11:30.
4Thomson Hankey, letter to the editor, The Times, November 12, 1872.
5“The Dangerous Opinions Of A Bank Director,” the Economist, November 16, 1872, 1397.
6Walter Bagehot, Lombard Street: A Description of the Money Market (New York: E. P. Dutton, 1920), 232.
7Hankey, The Principles of Banking, vii.
8Bagehot, Lombard Street, 3–4.
9Bagehot, Lombard Street, 10.
10Bagehot, Lombard Street, 16.
11Bagehot, Lombard Street, 18.
12Bagehot, Lombard Street, 27.
13Bagehot, Lombard Street, 32.
14Bagehot, Lombard Street, 35.
15Bagehot, Lombard Street, 37.
16Bagehot, Lombard Street, 43.
17Bagehot, Lombard Street, 51-52.
18Bagehot, Lombard Street, 151.
19Kynaston, Till Time’s Last Sand, 280.
20Bagehot, Lombard Street, 254.
21Hankey, The Principles of Banking, xiii–xiv.
22Richard Davenport-Hines, “Lidderdale, William (1832–1902), merchant and banking official,” Oxford Dictionary of National Biography.
23Kynaston, Till Time’s Last Sand, 207.
24Goschen, Essays and Addresses, 112.
25Kynaston, Till Time’s Last Sand, 261.
CHAPTER 17: “I WONDER WHAT MY EMINENCE IS?”
1Bagehot, Collected Works, 14:422–26.
2Barrington, Life of Walter Bagehot, 445.
3Bagehot, Collected Works, 9:40.
4Bagehot, Biographical Studies, 262.
5Bagehot, Biographical Studies, 278.
6Bagehot, Biographical Studies, 317.
7Bagehot, Biographical Studies, 318.
8Bagehot, Collected Works, 11:407.
9Barrington, Life of Walter Bagehot, 442.
10Edwards, The Pursuit of Reason, 318.
11Bagehot, Collected Works, 15:41.
12Bagehot, Collected Works, 15:58.
13Bagehot, Collected Works, 15:70.
14Bagehot, Collected Works, 15:166.
15Barrington, Life of Walter Bagehot, 443.
16Barrington, Life of Walter Bagehot, 318.
BIBLIOGRAPHY
List of notable cited works by Walter Bagehot.
“Bad Lawyers or Good?,” The Fortnightly Review, January-June 1876.
“The First Edinburgh Reviewers,” The National Review, October 1855.
“William Cowper,” The National Review, July 1855.
“Business In 1852,” the Economist, January 8, 1853.
“Festus,” The Prospective Review, November 1847.
“The Money Market,” the Economist, October 17, 1857.
“The Bank And The Prospects Of The Money Market,” the Economist, October 10, 1857.
“The Money Market,” the Economist, October 17, 1857.
“The General Aspect Of The Banking Question,” the Economist, February 1857.
“The Act Of 1844 And The Convertibility Of The Note,” the Economist, May 16, 1857.
“The Monetary Crisis of 1857,” The National Review, January 1858.
Walter Bagehot, Parliamentary Reform: An Essay (London: Chapman and Hall, 1859).
“John Milton,” The National Review, July 1859.
Walter Bagehot, Biographical Studies, ed. Richard Holt Hutton (London: Longmans, Green, and Co., 1907).
“The Bank Notes Issue Bill,” the Economist, May 27, 1865.
“Recognition Or Mediation?,” the Economist, October 18, 1862.
“The Emancipation Proclamation,” the Economist, October 25, 1862.
“Rumours Of Peace,” the Economist, February 4, 1865.
“The Fall Of Richmond And Its Effect Upon English Commerce,” the Economist, April 22, 1865.
“The Assassination Of Mr. Lincoln,” the Economist, April 29, 1865.
“The Money Market,” the Economist, February 3, 1866.
“The State Of The Money Market,” the Economist, April 14, 1866.
“The Prosperity Of The London Joint Stock Banks: Its Cause And Its Effect,” the Economist, August 17, 1861.
“Limited Liability In Banking,” the Economist, May 17, 1862.
“The State Of The City,” the Economist, May 1866.
“What A Panic Is And How It Might Be Mitigated,” the Economist, May 1866.
“Is It Better That The Banking Reserve Of A Country Should Be Kept In A Single Bank Or Be Distributed Between Several Banks,” the Economist, March 1866.
“One Banking Reserve Or Many?,” the Economist, September 1866.
“Garibaldi,” the Economist, April 9, 1864.
“The Need Of Many Facts For A Good Reform Bill,” the Economist, March 17, 1866.
“The Duty Of All Parties On The Reform Question,” the Economist, May 5, 1866.
“The English Constitution,” The Fortnightly Review, no. 1-9, May 15, 1865-January 1, 1867.
“The Way To Reduce Electoral Corruption,” the Economist, June 2, 1866.
“Mr. Disraeli,” the Economist, July 2, 1859.
“Why Mr. Disraeli Has Succeeded,” the Economist, September 7, 1867.
“The Women’s Degrees,” the Economist, May 23, 1874.
Walter Bagehot, Physics and Politics (New York: D. Appleton, 1893), 55.
“The Danger Of Lending To Semi-Civilised Countries,” the Economist, November 23, 1867.
“The Serious Danger Of Rash Foreign Loans,” the Economist, April 30, 1870.
“The Peruvian Loan,” the Economist, June 11, 1870.
“The Foreign Loans Of The Week,” the Economist, March 23, 1872.
“The Present Position Of The New South American And Central American Loans—A Warning To Investors In Foreign Government Securities,” the Economist, October 19, 1872.
“The Egyptian Debt,” the Economist, July 5, 1873.
“The Causes And Effects Of The Recent Fall In Government Securities,” the Economist, July 26, 1873.
“The Turkish Repudiation,” the Economist, October 9, 1875.
“The Duty Of The English Government With Reference To The Bankruptcy Of Turkey,” the Economist, October 23, 1875.
“The Report Of The Delegation Of Turkish Bondholders,” the Economist, June 17, 1876.
“Investments,” The Inquirer, July 31, 1852.
“The Dangerous Opinions Of A Bank Director,” the Economist, November 16, 1872.
Walter Bagehot, Lombard Street: A Description of the Money Market (New York: E. P. Dutton, 1920).
“Will The Money Market Take C
are Of Itself?,” the Economist, April 1869.
“Why Not Issue Exchequer Bills At Short Dates?,” the Economist, September 1876.
INDEX
Page numbers listed correspond to the print edition of this book. You can use your device’s search function to locate particular terms in the text.
Page numbers followed by n refer to footnotes.
Aberdeen, George Hamilton-Gordon, Lord, 117
Act of 1844, see Peel’s Act
Adams, Charles Francis, 125n
Aird, David Mitchell, 99
Althorp, Lord, 288–89
America, see United States
“Amicus,” see Bagehot, Walter, writings of
Anstey, Thomas Chisholm, 217, 218
Anti-Corn Law League, 11, 19, 20, 22, 31, 99, 173, 222, 235
Arbuthnot, George, 122–23
Arbuthnot, Harriet, xxvii
Arnold, Matthew, 91, 105, 237
Athenaeum Club, 235, 292–93
Atkinson, Thomas, xxi
Atlantic, The, 245
Atlantic & Royal Mail Steam Packet Company, 146
Aubrey, John, 103
Austen, Jane, Mansfield Park, 88–89
Australia:
emigration to, 48, 197
gold strikes in, 47, 48, 97
Australian Mortgage Land and Finance Company, 142
Bacon, Francis, 58
Bagehot, Edith Stuckey Estlin (mother), 2–4, 7
children of, 3
death of, 239–40
friends of, 38–39
madness of, 3, 11–12, 47, 84
and Walter, 9, 13, 24–25, 65, 239–40
Bagehot, Eliza Wilson:
courtship and marriage of, 83–94
diary of, 84, 119, 208, 239
headaches of, 105
personal traits of, 91, 105–6
social life of, 105–6, 107–8
travels of, 105–6
and Walter’s career, 97, 239
and Walter’s health, 239, 290
widowhood of, 287, 291
writing of, 101n
Bagehot, Robert Codrington (grandfather), 3, 8
Bagehot, Sir Thomas, Master of the Buckhounds to King James I, 3
Bagehot, Thomas Watson “Watson” (father):
personal traits of, 5, 12
and Stuckey’s bank, 2, 3, 5, 23, 24, 36n, 51–52, 64, 169n, 286
and Walter, 7, 10–12, 24–25, 46, 47, 110–11
Bagehot, Walter:
ambitions of, 88
on “animated moderation,” 186
banking career of, 45, 46–47, 56, 235
banking principles of, xiv, 123, 263–77, 279, 280, 281, 283
birth and family background of, 1, 2–6
and British constitution, 184–92
childhood of, 6–10
and class differences, 96, 131, 190–91, 208
as club member, 100n, 233, 234–35, 238, 263, 292–93
death of, 290–91
and Disraeli, see Disraeli, Benjamin
and the Economist, see Economist
on electoral reform, 199, 224
essays by, see Bagehot, Walter, writings of
failed bids for election, xv, 180–83, 185–86, 205–19, 230–33, 237, 238
on foreign investments, 246, 247–48, 251–56, 259, 262
and Gladstone, 114, 116–18, 120–24, 136, 237–39, 291
on gold reserve, 270–71
health issues of, xvi, 24, 35, 86, 239, 240, 283, 286, 290
and his father, 7, 10–12, 24–25, 46, 47, 110–11
and his mother, 9, 13, 24–25, 65, 239–40
home life of, 114
income of, 64, 82, 106, 153, 169n, 170, 286
influence of, xiv-xv, 137, 237–39, 291–94
as journalist, xv-xvi, 39, 41, 47, 119, 121, 130, 170, 235–38, 250, 283, 293–94; see also Bagehot, Walter, writings of
law studies of, 25, 34–36, 46n
legacy of, xv, 290, 292–94
on morality, 242
and Norman’s opinions, 263–66
and Overend Gurney, 153–62
and paradox, 17, 42, 43, 92, 127, 138, 143, 170–71, 173, 188, 223n, 244, 272
in Paris, 37–45, 47
and Peel’s Act, 170
personal traits of, xvi, 60–61, 63, 88, 91, 105–6, 180, 191, 228–29, 230, 291–92
as political Liberal, 73, 141, 142, 185–86, 204, 206, 208–15, 220, 230
on population growth, 244–45
on racial stereotypes, 43–44, 131, 241; see also slavery
and religion, 24, 37
reputation of, 234, 292
residences of, 93, 105, 113, 271
and romance, 65–66, 83–94; see also Bagehot, Eliza Wilson
social life of, 83–84, 105–6, 113, 119, 196, 234–39
and Stuckey’s bank, xxxi, 1, 46–47, 113, 137, 153, 180, 238, 274n, 279, 283
studies of, 4, 7, 9–13, 23–24, 56
travels of, 24
on Treasury bills, 289–90
at University College London, 14–18, 23–26, 32n, 46, 65, 185
on U.S. Civil War, 125–27, 130–31
on warfare, 241–42
wide range of interests, 101–2, 240
on women’s roles, 228–29
Bagehot, Walter, writings of:
“Adam Smith as a Person,” 287–88
as “Amicus,” 41–45
“A Bank Director On Banking And The Currency,” 174–75
“A Banker,” 66–73, 74, 79
on Bank of England, 169–72
“The Cabinet,” 184
collected works, 292
“The Currency Monopoly,” 32–33, 47
“The Dangerous Opinions Of A Bank Director,” 269
“The Distribution Of Seats Bill,” 180
Economic Studies, 287
The English Constitution, 185, 186–94, 230, 234
essays in Economist, xv-xvi, 66, 79, 88, 89, 90, 113, 170–72, 177, 179–80
Estimates of Some Englishmen and Scotchmen, 90–91
“Festus,” 56–58
“The First Edinburgh Reviewers,” 61–64
on gold reserves, 98, 173
“The House of Commons,” 185, 189
“The House of Lords,” 185, 189
“The Late Lord Clarendon,” 241n
“Law of 15 percent,” 262
on Lewis, 120
Lombard Street, xiv, 163, 178, 185, 186, 188, 271–77, 278, 279, 281, 283, 286
“Lord Althorp and the Reform Act of 1832,” 288–89
“John Milton,” 102–5
misquotations from, 293
“The Monarchy,” 185
“The Monetary Crisis of 1857,” 79–81
“Mr. Gladstone,” 116–18
“Parliamentary Reform,” 95–97
Physics and Politics, 185, 234, 240–45, 248, 254
planned volumes on political economy, 287–88
“The Postulates of English Political Economy,” 287
“The Prequisites of Cabinet Government,” 185
purposes of, 276
quality and style of, xvi, 32-33, 45, 56-57, 59, 61-62, 72, 103, 113, 116, 122n, 133n, 142, 162, 179, 188, 192, 204, 230n, 237, 240, 245, 272, 277, 286-87, 288, 292n
self-quotation in, 79n
“Shakespeare—the Man,” 58–61
“The State Of The City,” 179
“A Warning To Investors In Foreign Government Securities,” 253
“The Way to Reduce Electoral Corruption,” 211, 213
“What A Panic Is And How It Might be Mitigated,” 179
“William Pitt,” 113
Bagehot, Watson (foster brother), 3–4
Bagehot family, 2–6
and Stuckey family, 3
and Unitarianism, 4, 7–8
Bailey, Philip James, “Festus,” 56–58
Balzac, Honoré, Eugenie Grandet, 105
Bank Charter Act (1844), see Peel�
�s Act
Bankers’ Magazine, 152–53
Bank of England:
Bagehot’s essay on, 169–72
and Bank Charter (Peel’s) Act, 26
Banking Department of, 26, 72
as Bank of Recourse, 166–70, 171–72
Bank Rate, 48, 49
as central bank, 73–74, 164
and convertibility of paper to gold, xxvi, xxi, 30, 71, 72
discount rate of, xxv, xxix, 29, 74, 149, 248
and foreign exchange, xxvii-xxviii
founding (1694), 33, 267
gold reserves of, 74, 79, 174, 186, 266–72, 274, 278, 279, 281, 282
Hankey’s book about, 164, 174, 175–78, 272, 278, 279–81
and interest rates, xxi, xxviii, 28, 29, 48, 69, 76, 139, 266
Issue Department of, 26, 72, 73, 74
as lender of last resort, xiv, 167–70, 171, 174–75, 186, 266, 267, 268, 278, 279, 280
and limited liability, 138–42, 195, 267, 276
and Lombard Street, 271–72
as monopoly, xviii, 33, 79, 267
in nineteenth-century banking, xviii-xix, xxii-xxiii, 28–29
notes issued by, xv, xviii, xix, xxi, xxviii, xxix-xxx, 26, 71, 73, 77, 121, 142, 162, 174, 264, 265, 274
as Old Lady of Threadneedle Street, xix
and Overend Gurney, 148–49, 160, 166, 167, 266
overseers and management of, xxiii, 80, 159, 275–76, 278n
and Panic of 1825, xiii-xvi, xvii, xxii, xxviii-xxxi, 167, 266
and Panic of 1847, 167, 266
and Panic of 1857, 69, 75–76, 266
and Peel’s Act, 28, 30, 71–72, 142, 279–80
roles of, xviii, 73–74, 171–72, 178, 266–68
run on (1797), xvii
stockholders’ meetings, 167–68, 169–70
and stock market, 28, 267
Bank Rate, 165, 285
banks:
checking accounts in, 51, 137, 162
commercial banking, 278–79
and convertibility of paper to gold, xvii, xx, xxix, 71, 72, 265, 277
decentralized banking, 51, 171
and government, xv, xxiii, xxx, 32, 70n, 71–74, 76–81, 121–22, 166–70, 176, 178, 185, 266–67, 282
joint-stock, xxx, 79, 122, 138, 143, 268, 275, 282
liabilities of, 282
limited liability in, 138–42, 143, 152, 157, 159
modern-day changes in, 278, 280–81, 294
mortgages vs. bills of exchange, 172–73
paper currency issued by, xviii, xix-xx, xxix, 71, 73, 120–24, 264, 274
personal responsibility in, 293
private, xix, xxx, 141