Gold Hill daily news. [volume] (Gold Hill, N.T. [Nev.]) 1863-1882, 1867-05-04
IDLE CAPITAL.

There were SIS, 600, 600 on deposit in
the various banking institutions n
saving and loan societies of San Fran
cisco on tho first day Of last February;
and the Mercantile Gazette claimed tnat
one-third Of this sum, or $4,000, Ooo,
was lying idle in the vaults for var OF
In addition to this, the in
situations named have a united capital
Of their own equal to Sl5, 200, OOO, whlcn
with the two-thirds Of the Sis, 900 600,
before named, gives a capital OF SCI.
600, 900 employed in the business OF
that city. The returns for March now
that the various banks had, at the time
of making their statement, SS,5o0,oo
on deposit, and the savings and loan So
cieties had Sill ,00o, 900, besides their
special deposits and their own capital;
Money in large sums can be borrowed
there ut ten per cent. per anrum, out
short loans command n to one-and-
a-half per cent. per month, according
to the amount required and according
to the security offered.
There arc no doubt many millions
there seeking investment inc cannot
find it; and we may add in this connec-
ton that there are many thousands Of
dollars in this city in q like condition:
Our little savings bank has received
nearly $50, 900 since it was opened the
other day, and would like to loan Sl3,-
600 or so, in sums to suit, at one and O
quarter per cent per month"; out the
borrowers do not make their appear
ance. One reason may be that business
has been dull, and AZ it is just reviying
men do not like to run too much risk.
II 10 bad to borrow when one can posi-
bly do without borrowing-and the
amount of money in this State to loan
while nobody is asking for it, is an evil
denco either that business is fearfully
dull or that money is extraordinarily
abundant.
Of course these funds cannot be had
without proper security and their idle
ness proves this that those who have
security to give are not in need of money,
or prefer to keep their business low up
on their own capital rather than eXpend
it upon other peoples. But these sur
pins finds must soon have m outlet.
| Their owners cannot afford to let them
long remain idle. If they cannot loan
| them to others they will Soon begin to
look around for chances to invest on
their own account and there are nu-
merous openings on this coast, for cap
ital. The State is almost famishing for
want of factories to work up leather and
wool ; to make cotton goods, sugar, i'm
| plements Of husbsndry, and iron ; to dig
canals and construct railroads, and nu-
merous other things that we need to
| consume at home, or for which there is
. market abroad. The wine manufac-
turing and exporting business alone
might absorb a large portion Of this idle
| capital, with profit to its owners, II
wisely managed. There is no end to the.
| grapes we can raise nor is there any
limit to the quantity Of wine that we can
| sell, for wine, like gold, has the entire
| world for a market, and the supply OF
| good wine has never been half equal to
| the demand, nor is it likely that in our
| day il ever will be. When, then, cap
| ital shall have accumulated far beyond
the demand of borrowers, and it appears
to have At least partially reached that
point now, men who control it will be
forced, in self-defense, to use it as best
they can in business for themselves and
thus all classes, and every community,
will be benefited. Labor will be in bet
ter demand mer will expand {;
money now sent abroad for materials
will be retained at home and circulated
among the masses, doing good to all.
Thus immigrants will be induced to
come among US, our population will in
crease and the State flourish. "There
is a good time coming-wait a little
| longer.-Sdc. Bee.