[8] I regret to say that accounts lately received (February 1869) represent the depressed state of the colony as worse than ever, the prospects of the coming harvest, owing to continued drought, being in some districts very bad. It is with still greater regret that I learn that there is a popular outcry for constructing a railway across the island from Hobart Town to Launceston, which it is supposed will be a panacea for all depression and stagnation of trade. That the short railway now in course of construction from Launceston to the western districts will bring advantages adequate to the outlay, even though it may not pay a profit in itself, there is every reason to hope, for it will open communication with a magnificent new agricultural district. But the country between Hobart Town and Launceston is in general not specially fertile; it has for many years past been traversed by an exceptionally excellent road, over which one daily coach each way is for the greater part of the year more than sufficient for the passenger traffic. There is no prospect of any considerable interchange of commodities between the two towns, as each is sufficiently supplied with food from its own district, and each has a harbour for the introduction of imports and shipping of exports. The distance is about 120 miles, with much difference of level and consequent engineering difficulties. The loans and taxation necessary for its construction will be a grievous additional burden on the colony, which it is very ill able to bear. These considerations are so obvious to every one that the popularity of the scheme must be attributed in a great measure to sheer recklessness on the part of many of those who advocate it—and indeed it is said that this has been in some quarters admitted. The money borrowed in England will doubtless improve trade for a year or two till it is all spent, and what follows is to be left to the chapter of accidents. Great and praiseworthy efforts have been made by the present administration to pare down the expenditure of the colony to a level with the revenue—which it was considered impossible to increase by additional taxation—and it is to be hoped they will not embark without due consideration on so dangerous a scheme, and imperil the credit of the colony which they have done so much to sustain. [9] January 1867. [10] _Sydney Morning Herald_, October 9, 1867. [11] _Sydney Morning Herald_, August 28, 1867, copied from the _Wagga Wagga Express_ of August 24. ‘Blue Cap’ has since been taken, and his gang broken up. Thunderbolt (November 1868) still continues his career. [12] October 1, 1867. [13] From _Hobart Town Mercury_, January 21, 1868, copied from the _Sydney Morning Herald_. [14] See Mr. Wentworth’s speech at the dinner to Sir John Young, reported in the _Times_ in June 1868. [15] See _Argus_ of July 26, 1855.