The Dallas daily herald. [volume] (Dallas, Tex.) 1873-1887, 1875-02-14

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1873 caused The failure OF IN unusual
number Of large houses, thus rnlslng
very much the average amount OF lla'
bllllles over all previous years. heCoDd,
thal the volume Of business had been
greatly diminished during 1874, 10
that, when failures did occur, the lla-
bllIlles were comparatively light aud,
further that the houses which suo'
uumbed during tho year were In u great
degree u amalle, class Of traders than
those Of 1874, and, Indeed, we may
add, than the average Of those OF pre-
ccdlng years,
From tho past aud liz experiences we
naturally turn TO the future with its
hopes, aud, although We ARE not among
those who soe nothing but brightness
therein, we certainly do discern some
ground for Encouragement, and think
II win not bc difficult 10 place II In IN
appreclnble light for others. Chief
among the favorable slgns Of the times
N the general tendency toward econ0-
my. EXtravagant expenditure, up 10
the end of 1873, was one of the most
alarming phases noticeable In the com
munity, and even had the process Of
reversing That tendency been more
rude and disastrous, tho panic and
its succeeding months Of depres-
sion will not have been In vain
II the necessity for rctrcnChment has
been made apparent. That this reduce
ducIon Ia expenditure has been al
most universal IL evidenced 10y the ~.
strictlon Of trade during the year OF
which ~ many complain. Otherwise
II IL difficult 10 account for the dull
times In n country 40 0bundNntly sup
piled with every essential of prosperity
with crops unsurpassed, and an area
under cultivation never equnlled; with
II productive power Ia liz manifold In
d,lslrles beyond belief twenty years
ago, and II marked progress in all ma
terinl elements, Had there been any
widespread distress, any failure OF
production, scarcity OF labor, or con-
tinued disturbance of the monetary
system Of the country, the depression
Of the past year might be attributed to
other causes than now appear.
What IL the legitimate trade of the
country founded on but the actual de-
mands OF the community? If these
wants are less In extent in one year, or
II series ofyears, than in another, the
legitimate trade IL Just so much intlu-
enced. 1t Is obvious, therefore, IL the
depression of the year can be attribll-
ted to no worse cause than u .judicious
economy, there Is no great ground for
apprehension. On the contrary, the
only true path back to renewed activi-
ty and safe prosperity Is In this d.
rection. V Is true that the purchasing
power of the people In many localities
IL impaired by the condition of numer-
Gus industries now paralyzed from pre-
vi0us over.production. Time Is need
ed TO restore these interests to their
normal condition, and we must wait
until the equilibrium between supply
and demand for these products adjusts
, itself. If In the delay no greater calam-
tiles occur than have been apparent In
the past year, there will be cause for
c0ngratulation.
; Still another hopeful sign is the
steady effort to mt least largely reduce
Indebtedness, If not entirely to liqui-
date it. While among railroads and
largely expanded corporations this has
been found next to impossible, we are
pursuaded that, among merchants and
traders, the amount of current indebt-
edness, AZ compared with this time
last year, Is vastly decreased. We have
had abundant opportunity to note this
process of liquidation, and though it
had very nearly reached its minimum
prior to the purchases for the spring
trade, we are pursuaded there has been
many n prosperous time in the history
of the country when the realizatl lie as
, sets of the mercantile community were
, far less in proportion to the liabilities
than now.
A close conservatism in the granting
of credits is another prominent feature
of encouragement, and in this our Pc
! culiar position enables us to speal,
somewhat authoritatively. We find
the shrewdest merchants not content,
as they formerly were, with markings
and ratings of credit, with mere gener.
. alities and meager reports /; but they
, demand close estimates, the fullest de-
tails as to assets and liabilities, partic.
ulars as to antecedents, character AID
capacity, which in the large majority
OF cases we are not only able but only
too glad to supply.
We are conscious that there is much
IN the past year to discourage, and,
seemingly, to delay return to a
healthy condition OF trade. Prices for
many products have materially de-
cllned, large losses have been submit
Ted to, and sales have been largely re-
strleted. Those cases are rare In which
the surplus in business has been much
increased as the result of the wear.
while the eases are numerous where
parties have barely held their own,
anu many, II they honestly look their
AFFAIRS III the face, must admit loss,
fetif, aswe have tried above 10 show.
the cause for the depression of the
trade OF the country is to be found in
: the enforcement of economy and fine
reduction of Indebtedness, more tl;an
IN disaster or loss of wealth-produclng
power, surely we should not quarrel
with what In individual cases would
oe so commendable; IL that depres-
sion, liquidation and restriction of
; business has been submitted to with
out serious disaster, surely there IL
ground for hope that in the near future
lnere Is not only safety, but gradual
and sure improvement In the charoc-
Ter, extent aud proiltableness of legiti-
mate trade.
There may be causes at work to defer
and indefinitely postpone this i'm
provemenf but II h difficult 10 discover
] \ !, orsenaIp 2ratc them. Unwlse leqisla-
',',. - siItelard " some sudden qylsi.,