ONE:
ONE:The news spread on every side; the retreat of the English from Concord, which always was intended, as soon as the object was accomplished, was represented as an ignominious flight before the conquering Americans, and the effect was marvellous. Men flocked from all quarters. There were some twenty thousand men assembled round Boston, forming a line nearly twenty miles in extent, with their left leaning on the river Mystic, and their right on the town of Boston. Putnam and Ward became the souls of the American army. Gage, who was awaiting fresh reinforcements, lay quiet, contented to hold his post, when he might, according to military authorities, have attacked the American lines, at first loose, and without any proper order and consistency, with great advantage. The inhabitants of Boston, not relishing the idea of a blockade, applied to Gage for permission to retire. He replied that they were at liberty to do so with their families and effects, on surrendering their arms. The Bostonians at once interpreted this to mean the whole of their merchandise, and Gage, in consequence, countermanded his permission.
ONE:It is impossible to conceive the extent of suffering and desolation inflicted upon society, almost every family being involved, more or less, in the general calamity. Flourishing firms were bankrupt, opulent merchants impoverished, the masses of working people suddenly thrown out of employment, and reduced to destitution; and all from causes with which the majority had nothing to docauses that could have been prevented by a proper monetary system. If Bank of England notes had been a legal tender, to all intents and purposes supplying the place of gold as currency; if these notes had been supplied to the country banks in any quantities they required, ample security being taken to have assets equal to their respective issues, then the currency would have had an elastic, self-adjusting power, expanding or contracting according to the requirements of commerce. Inordinate speculation would not have been stimulated by a reckless system of credit, and business would have been conducted in a moderate and judicious manner, instead of rushing on at a high pressure that rendered a crash inevitable. The Government, after anxious and repeated deliberations, supplied a remedy on this principle. They determined to issue one-pound and two-pound notes of the Bank of England, for country circulation, to any amount required. In the meantime the Mint was set to work with all its resources in the coining of sovereigns[244], which, for the course of a week, were thrown off at the rate of 150,000 a day. The notes could not be manufactured fast enough to meet the enormous demand for carrying on the business of the country. In this dilemma the Bank was relieved by a most fortunate discoverya box containing 700,000, in one- and two-pound notes that had been retired, but which were at once put into circulation. The people having thus got notes with Government security, the panic subsided, and the demand for gold gradually ceased. The restoration of confidence was aided by resolutions passed at a meeting of bankers and merchants in the City of London, declaring that the unprecedented embarrassments and difficulties under which the circulation of the country laboured were mainly to be ascribed to a general panic, for which there were no reasonable grounds; that they had the fullest confidence in the means and substance of the banking establishments of the capital and the country; that returning confidence would remove all the symptoms of distress caused by the alarms of the timid, so fatal to those who were forced to sacrifice their property to meet unexpected demands. The new measures so promptly adopted and so vigorously carried into effect, raised the circulation of the Bank of England notes in three weeks from 17,477,290 to 25,611,800. Thus the regular and healthful action of the monetary system was restored by an adequate circulation of paper money, on Government security, without specie to sustain it. There were at the time of the crash 770 country bankers; 63 stopped payment, 23 of them having subsequently resumed business, and paid twenty shillings in the pound; and even those that were not able to resume, paid an average of seventeen shillings and sixpence in the pound. It was estimated that the total loss to the country by this panic was one hundred million pounds.Again, on the night between the 18th and 19th of April, General Gage sent a detachment of about eight hundred grenadiers and light infantry to destroy a dep?t of stores and arms at Concord. They were commanded by Lieutenant-Colonel Smith and Major Pitcairn, of the Marines. The alarm was given, fires were kindled, bells rung, guns discharged, and the country was up. The British troops reached Lexington at five o'clock in the morning, and pushed on their light infantry to secure the bridges. They encountered a body of militia under cover of a gun near the road, whom they ordered to retire, and they withdrew in haste.
