Watertown republican. [volume] (Watertown, Wis.) 1860-1906, 1869-11-10
WatertoWn Republican.
Ucduesaay, Nor. 10. 1869.
HARD TIMES

with such little reference to he real
condition Of the times, that We C an
scarcely remember the time when IT
did not constitute the burden of some
ones complaint. Yet, there Is no
question that money is very sc.rce ana
business unusually dull at present IN
this part of the country aud what is
worse, tho prospect ID that the aim-
Guilty will increase rather than lessen
Many causes have tended to produce
this result; one of them Is that while
business vss active throughout the
whole Hest, many million dollars of
currency we're withdrawn from clrcu-
lation by the Government. This nec'
essarily made money scarce and, as there
vas an Inadequate supply for the ousi,
ness which vas being transacted IN the
country, the credit aystem came general
Il into use. As the result ofth's feel
ing of dis.rnst beg n to prevail among
capitalists which led th IN to still
further Withdraw money from circu!a.
ton and either lock it up or invest II
where they considered there vas less
danger.
Another cause for the prevailing
scarcity of currency in the west, ID the
fact that last fall farmers refused to
sell their grain for the prices offered.
and so millions Of dollars which had
been sent west to move the crop were
returned to the east, and the conse-
quence was that large proportion OF
this capital which had been employed
to handle wheat was diverted into
other channels The present great
depression ia prices isalso owingpartlY
to that fact Ii might naturally be sup
posed that capital would have aecum-
ulated rapidly in the west when farm
ers were getting such great prices for
prodace as vas the case two aud three
years since, but such was lot the fact
in this section at least. The real effec'
here was that farmers had money
enough to bug each ether out, and
about one IN four or FIVE sold to hls
peighbors and went west, taking with
him the money which his own wheat
had brought, also that which his pur
cha's crop hab realized, and rhaPs,
also, that of two OF three othrr neigh
bors which the purchaser had borrow
ed of them.
But there is no need Of demonstra
ting that funds are scarce, the fact is
too evident and perhaps we shall
scarcely be excused for looking after
the cause. The great question is
what is the best thing to do under the
circumstances? Farmers naturally
dislike to sell wheat for 80 cents per
bushels when they have been accus-
toned to 81 so and $500 But they
have debts to pay; they must settle
with the merchants it is not oniy
matter Of justice that they should pay
them but also one of policy they cam
not afford to let the merchant fail
through their fault every such case
makes the other merchants more eau
tious and has tend -ncy to sdyanc
prices. The merchant has to pay his
debts and he needs what is due him
Now it is question whether it is best
to sell produce at present prices to
raise the means or to borrow money.
We are inclined decidedly to think the
former the wiser course. In the first
place money borrowed to pay debts is
sent out Of the country, diminishing
the amount already here and increas-
ing the stringency ofthe market while
money obtained by selling wheat is
d avn from the east and, if sent back,
does not affect the amount already
here. In the second place, the only
advantage Of holding on to produce is
the chance Of realizing higher price,
a chance which we consider now rather
small, for, if there was probability OF
any material advance befor another
crop, those who keep carefully posted
upon these matters for purposes OF
speculation, would be buying and stor-
ing, thereby creating demand which
certainly does not now exist.
eve must take the bad with the
good, and while it may seem to the
farmer that he has experienced but
little "good," with alternate poor crops
and low prices, yet there is no doubt
that the best policy for him, as well as
all others, is to do safe business,
keep out of debt and pay as he goes.
Should this be done all over the coHu-
try, the evil might be checked and
financial crisis averted.