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ONE:Before the close of April a great commercial crisis had taken place in England, and Ministers were compelled to make a new issue, by consent of Parliament, of five millions of Exchequer Bills, to assist merchants and manufacturers, under proper security. The sudden expansion of industry which was met by an undue increase of the paper currency rather than bullion, combined[417] with reckless banking, produced the crisis. It was calculated that out of the 350 provincial banks 100 failed. In the circumstances the issue of Exchange Bills was a most successful makeshift.He was in front of her, not a hundred feet away; to the left were the mesquites, to the right the ragged arroyo. There could be no turning aside. She threw up her own revolver, and fired, not at the man, but at the head of his horse. It reared and fell, and a moment after her own rose in the air, touched the ground beyond, and went on. It had leapt the fallen one and his rider, and was leaving them behind.

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ONE:Sir Robert Walpole was not a man, with his huge standing majority, to be readily frightened from his purpose. On the 14th of March, 1733, he brought forward his project in a speech in which he put forth all his ability, and that under a well-maintained air of moderation. He took advantage of the alarm that the tax was to be general, by representing the falsity of that declaration, and the very slight and limited nature of his real proposal. Adverting to what he called the common slander of his having intended to propose a general excise, he said: "I do most unequivocally assert that no such scheme ever entered my head, or, for what I know, the head of any man I am acquainted with. My thoughts have been confined solely to the duties on wine and tobacco; and it was the frequent advices I had of the shameful frauds committed in these two branches that turned my attention to a remedy for this growing evil. I shall for the present confine myself to the tobacco trade." He then detailed the various frauds on the revenue in tobacco, which he stated were of such extent and frequency, that the gross average produce of the tax was seven hundred and fifty thousand pounds.[63] but the nett average only a hundred and sixty thousand pounds. The remedy which he proposed was to transfer this revenue from the Customs to the Excise. That the same might afterwards be applied to wine, a system of warehousing for re-exportation or placing in bond was proposed, which, he said, "would tend to make London a free port, and, by consequence, the market of the world." He held out the expectation that the success of this plan would render the land tax unnecessary, and thus enable the Government to dispense with it entirely.The millionaire shook his head.

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THREE:This majority of the Coalition compelled Lord Shelburne to resign; but the rest of the Administration remained in their places, in the hope that Pitt would now take the Premiership. In fact, the king, on the 24th of February, sent for Pitt and proposed this to him; but Pitt was too sensible of the impossibility of maintaining himself against the present combination of parties. The next day Dundas moved and carried an adjournment for three days, to give time for the arrangement of a new Cabinet. Pitt continued to persist in declining to take the Premiership, and on the 2nd or 3rd of March the king sent for Lord North. His proposal was that North should resume the management of affairs; but North insisted on bringing in his new friends, and to that the king objected. Matters remained in this impracticable condition till the 12th, when the king sent for North, and proposed that the Duke of Portland should be asked to form an Administration; but this did not at all advance matters, for Portland was equally determined with North to maintain the Coalition, and the king was resolved to have nothing to do with Fox, whilst Fox was equally determined not to admit the king's friend, Lord Stormont, to any Cabinet of which he was a member. On the 31st the announcement was made that Pitt had resigned, and that the king was prepared to submit to the terms of the Coalition. George, with deep and inward groans, submitted himself once more to the slavery of the great Whig houses, and, as some small recompense, the Coalition admitted Lord Stormont to a place in the Cabinet.These dispiriting losses, combined with the fall of Minorca, stimulated the public and the mercantile bodies to petition earnestly for the termination of the American war; and Parliament met at the appointed time amid numbers of such demands. Petitions came from the cities of London and Westminster, and many other towns and counties, bearing rather the features of remonstrances. No sooner did the House meet than Fox moved for an inquiry into the causes of the constant failure of our fleets in these enterprises, on which so much had depended. The object was to crush Lord Sandwich, the head of the Admiralty. Fox's motion was rejected, but only by a majority of twenty-two. The strength of Ministers was fast ebbing.