We must not forget to mention the merchants of Liverpool, for in those days the business of a merchant was very different from that of to-day. He had to take long and far-sighted views, as there was no such thing as hedging or covering by a sale of futures; his business required enterprise and the exercise of care and good judgment. Among our most active merchants we had T. and J. Brocklebank; Finlay, Campbell and Co.; Baring Brothers; Brown, Shipley and Co.; Malcolmson and Co.; Charles Saunders; Sandbach, Tinne and Co.; Wm. Moon and Co.; Ogilvy, Gillanders and Co.; T. and W. Earle and Co.; J. K. Gilliat; J. H. Schroeder and Co.; Rankin, Gilmour and Co., and others. In the 'sixties Liverpool had two great trades. The entrepôt trade, the produce of the world, centred in Liverpool, and was from thence distributed to the various ports on the continent. The opening of the Suez Canal, and the establishment of foreign lines of steamers, have largely destroyed this trade, and produce now finds its way direct to Genoa, Antwerp, and Hamburg. The other great trade was in American produce. For this Liverpool offered the largest and best market. This trade is unfortunately seriously threatened. The increase in the population of America is now making large demands upon her productions, and reducing the quantities available for export. Liverpool was also a considerable manufacturing centre. It was the principal place for rice-milling and sugar-refining, while shipbuilding and the making of locomotives and marine engines contributed largely to her prosperity. One cannot review the past trade of Liverpool and its present economic surroundings, without feeling some anxiety for the future. Not only have the trades which so long made Liverpool their headquarters been to some extent diverted, but the efforts of rival ports (in many cases railway ports or ports which have little or no concern as to the payment of interest on the money employed in their construction) are directed to the capture of our trade; in this they are still being actively assisted by the railway companies, who grant to them preferential rates of carriage. There can be little doubt that our merchants and shipowners will find new avenues for their enterprise, and new trades will take the place of those partially lost; but Liverpool has in front of her a fight to obtain the just advantage of her geographical position, and it is a fight in which the city must bear its part. The city will also have to adopt a more enlightened policy, and encourage manufacturing industries. This can only be done by reductions in the city rates, and also in the charges for water. The loss would only be nominal; we should be recouped by an increased volume of trade, and by our people obtaining steady occupation instead of the present casual employment. THE AMERICAN WAR.