The New York herald., 1875-11-08
FINANCIAL and COMMERCIAL.
THE Currency-Causes Of the
Existing Depression.
REVIEW OF THE WEEK.
Gold Lower and Stocks Irregular Government
Bonds In Fair Request aDd Railroad
Bonds Generally Steady
WALL STREET,
SUNDAY. Nov. 7, 1875.


| The Hon. william Gray, Of Massach usetts, who re-
members all the panics back TO 1923, says that
xhere has never been any OF them such uniyer
nal depression OF all branches OF business that
hinder which the people are now suffering. What
lsn he adds he cause OF this depression long con-
Sinued and so deeply fet9 There are, undoubtedly
many contributing to II, but affirm that tho
chief cause OF the present prosraton is the ignorance
and incompetency OF those who have managed the
national aiars.n II is indsputabc fact that the
universal depression is long continued and 'deeply
fe and also that there those signs Of an
mediate change for which all heartily wish. There
were few who, at the commencement of the new year.
did not anticipate that its close would find tho COM
mercia and industrial energies OF the country nearly
If not entirely recuperated II is needless
To reterate how these expectations have
been disappointed. The fact is too palpabe
TO require comment. But 1t may be useful to take
lesson for the future from the book of the past Mr.
Gray arms that the chief cause this continued and
continuing depression Is ignorance and incompetency
in the management OF our national affairs The OBJ
Bervation doubtless has particular reference to the
finances Of the government which embraces the whole
subject of taxation and expenditure, we'll as the
management OF the debt-both bonds and currency
Much time and labor have been expended todevise
ways and means of returning to
SPECIE PAYMENTS,
but when viewed in its proper lght-when the govern
ment is considered bank Of issue which now is
and always viii be long it issues currency which
Is used moneyt is plain that the only possible plan
Of resumption is either through liquidation process
OF funding Liquidation may be accomplished by such
PRODUCTION in the public expenditure to insure
certain surplus OF income each month, which, being
In legal endersthe certificates Of the floating debt Of
bhe government-could be retired and cancelled This
would naturally result, when complete in reduction
of the taxation burdensome to the industries of
the country. Funding might be accomplished by de-
clarng the certificates of indebtedness be longer
legal tender, but it would eventuae in larger taxa
ton with which to provide for the payment OF add-
tonal interest To both of these plans objection will
be mado that should then have no money, but the
reply is that II, people, buy QmporD than
we sell (cxpor expect be punished for our
folly The Long Island farmer who has stored in his
barns 600 barrels OF potatoes with market only
miles distant where he sell part the whole of
them S3 per barrel but refuses to do because he
cannot obtain 81 per BARREL and thercupon complains
of having money and of being unable to get any,
would deservedly be
THE LAUGHING STOCK
of his neghbors. So with nation. We are rich in
products for which there has been and yet is good
market but have held them back for higher prices
until-in one instance at least-the market for the
other nations. Meanwhile our expenditures for the
productions other nations have continued to upon
an extravagant scale. Yet complain that if the
government should and pay its floating debt
should have money. Is not our position much
like that of the imaginary Long Island farmer9 But
is part of the governments business furnish the
people with money Its sole duty>begins and ends
with the power to ''coin the bullion which the people
bring it and Ito regulate the value thereof' II IL
goes further than this in granting the privilege to
banks OF Issuing convertible currency it has per-
formed its whole duty to that currency by securing the
payment Of such circulation Any steps beyond these
Increase the government patronage, which means an
increased taxation. Finally the existing depression is
chiefly due 10 tho exravagant expenditures Of the gov
ernment requiring exorbitant taxes, accompanied by
the demoralizng effects of an irredeemabe currency
THE STOCK MARKET.
The principal transactions in the stock market dur
ing the week confined TO Lake Shore and Pacific
Mail but in these prices irregular and
cain The widest 1uctuation Of the was in Union
Pacific which declined from &C to 624, but subsequently
recovered to 66, thoughclosing per cent lower Tho
following among the most marked changes Pacific
Mail declined from Az to 37S recovered to 39h and
closed at $50. Michigan Central fell of from 50 to
61 Il and later to Ga Lake Shore declined from
62A to 60, and subsequently rallied TO 612l Erie de-
cined from 1SX II, and Illinois Central from 90 to
ok.
The Northwest and ST. Paul roads firm favor
able concerning the Of the crops and
the consequent increase in earnings Northwest
mon advanced to 3sI, preferred to 521S St Paul to
35H and the preferred to 6Sh with slight reaction at
Ahe close Hannibal and ST. Joseph to 81 prefer
lTed TO 23H, and ohios to 1917
Western Union fell OF 751S but 76a<.
Missouri Pacific irregular and nuctuated frequently
between 93s and 11X
HIGHEST LOWEST PRICES OF THE WEEK.
The following table shows the extreme fluctuations
For tho uoek in tha LOADING eharas