New-York tribune., 1875-09-27
curtallment OF production, or the manuiacture' h"s'
must submit to large losses in continuing
HOW ovER-PRoDUCTI0N REACTED on ALL FORMS oP

curtament Of producton or the manufacturer himself
must submit to large losses in continuing.
,,1,,, ~,,. a.,
HOW ofEh-fkoDCCI1ON REACTED On ALL FORMS oP
prsrxrss
,.,-
depression IN business came from over.pfouuc.ion'
,,,,,,,o, ,r,oro wos too much q, overvtbIny When
'"'i.''' -, -, w." -, -, ,.oa, 90, ho
carried for awhile but when confidence Is once shaken
credits restricted, and then stngency IN the
market and depression in business The railroads feel
the effect first when production Is diminished pecass
rodnton 'fo 70 e mars Of trade There are men TO
handle the goods in all their transit and there fewer
men employed to convey them to me consumer. When
oothuento s t ., ,bot hca,ns gcnc,al nanc "a
T. % ~ ,,d s,reaI over fhe land There are 10 600 600
II is caleu srLes rlVd 90 G,,s III ' h u, a - hovs
o, ope hp, ,a m e o,oen and cirls smnnosn~ that Zach
Woman and girl has one dress less this year than last
2oooo0ooo yards less wanted as year than last St
h1 @ f year c, as tbs mere cost ie Of ec coat on an
ago sIo each. then there arc $2OO;o0o,o9o less
IN tho demand for o. ,at dcscr M
people, the demand is diminished immensely when every
body begins to economic The riilroads not bsns sn
Piled with the traffic they had before on account OF s
kind Of reduction, have less earnings, and consequently
less profit IN Their business Ana TINS Is true eon o, eUey ceJ
making less cloth buys less WOOL and me producer oi
wool Is thus deprived OF marker ior MS product me
Of coal must curtaiI his production, and 50 on
through al me avenues & ana chahe me OF apof Sn anu ,ne 1s
bonds where they are built in sparsely settled pats OF
most. The demand for manufacturing products falling
OFF leaves surplus OF those products the hands OF inc
producer Then folow failures OF business houses unable
carry their stocks Thsis the Of stagnaon
in the production in almost every industry Con-
% mnehce ana cpe@ o are 80 os ee,t ON the most
undOubed security and no money seeks IN investment
there is 0c<ed and 1t seeks enterprise be-
cause of the uncertainty Of our currency till Is brought
to specie basis. Hence the large amount Of idle capital
,.,,x, ,,oxv. - cc.pcr YN lrpcrr ,r,oy
Va b.ve am irredecmob,c naner circulation twice "a
great as IL ever was before in the history OF the country
and greatly in excess of the present wants of trade
Where ia It, In the banks OF course When the bank
makes 500 bill how does 1t get out into circuationf
by some man VINO desires 10 puy coDmo1ilies ests "
go INTO some DusneSs, 10 develop resource. soe ~ an
hakes oti oi IN iuh auu o III III hDo' pay ~ o
nture day. Mlth taat 500 Dill! ne oty9 fly
worth OF clothing; gGo Inc man ,a taat @ son the tIe
t1 s.Vthlne Duys Fioo r Mo'n VI :, tho honto
buys 500 worth OF hats with it. The a,nd man
andI @ ; upmS' .tt tn nne eIn0 biii b,ct N the
nu h cri''s d & . HE Jh Tnc hank has Transferred
naS M an Ia{s nl9 ubt LIZ ht d,o tn ah hnt @ t t man
% e ups % hbt ,hp tbe cotbiw@ Tins three men owned
WIZ WIZ nint W.. ~ ~ 49, ,nd ot ,,He,,
@ fOO Sor,h @ o, pioaS'y y I nj oo M oi and Tho notc il
h H pS tb ,o hn aoain and tvs there mnti sone one
cacN m ,nT oa" ii J,u sv r. tbe man tbat bas
uesiIgs 10 uso ~ III d m az & t ' nj iii So po
has carry The then ma it is called or he nds no pur
eraser before ms p"er it's a a. o dht ~ the he
bank for the money he borrowed Hence today
the industrial interests OF the country, haDn% p,Ied UP
and tbemseves with thesa goods on their hands
unable to meet their engagements. The money il not
taken from the banks for the reason tat no ore dcsts
TO invest IN tesc comnlouiucs lne uHh', ny , ~"
low their legitimate business 90 not go to ,e ssce.s Gus
ana nartS or tfade 10 Duy properly lhcy Iutnlsn eA
changes for doing that by Others ana lcf the FISK ~ IN
furnishing exchange they charge 9terest lhcy ae IN IN
Understanding paper 9bd ~ from .ne Interest on
inoney "hich tney l,riisi ior ~ - m @
thai they afilve tne P0n itS thne phn s if
Ana tha - tne clsc to 20 20 Tig h ,ngLe ~ Vi
Papoe Pp iP,es & Ic'n II; Is iratio, c y,i y " =!
THE SERVICE MONEY PERFORMS.
Uow no,ev used in the business transactions OF fel
Here are two pieces of paper. oae is stamped " One
dollar" the other is stamped "One hundred dollars >
!e' 'he t"o PcceS VI P"poi aio " -, '"-- ,,.,I
general appearance, and lntrhscay are OF uenttay
the value-n0 more, no less IN tne trahshcons
OF business which Is put an eXchahS9 oi pllItTt plIllIT
or Or ord Rpr cacd Sr p crcnans MEDIUM
without circulating medium t.de ana coerye ne ts eou %
modities themselves SO that man VINO manuiactures
horse. if there 10 circulating medium the only way
he could get horse would DC TO make mats enough 10
y py one ana b sn o n n n 70 take hats for the horse
Then he would deliver the hats & ana TAKE 'e @ morse se nu
the difficulty of hndiig man tla' Moha maiit 90 ,Iy y
hats at once for the purchaser OF the has could o us
might want eIi Ia ot h 20 Id e Df Dnt hn divde 90 II
could only be exchanged iof cohmod'J oi elua' 'a"
COIN AND PAPER CONTRACTS.
,ico,I, IN ,,,, .Iost sibilitv Of carrying
The dlihcuity IN iacc almost li"posSoii's' Vi '"'o
on trade In that way induced The adoption or some me
dunn OF exchange that should be recognized by all of
- -. l. -. r-,;oh :. oI,ou,5 ha roooivad
3s 0 some ctIt % Na';r' "a; az oa r - or snacias
Ior HORSES anu IS, vi & ~ ir,,i inc 1isdnm r,lcd
o' property ience cones @ cnv,,rs G !, @ eoin but IL IL
currency. II may We iapcr, o II iy ,, o % . ,o,nnnra
Is papl, as we dl1r nas ~ ~ y, x = bs 3;
uIey n9he, Is oniy ToaiI % ~, ~ I Ia nture into
stn ,har Oh, fnrp of naner So paner currency has no
yane exccp its promise SO when you receive paper
dollar in payment OF debt que you that de1t IS not
pH non ~ HSG h any u resircd II owing Von If is now
tho make of the paper who the debt and that con
tinues TO be ths case IN tne persoh no 10 @ os d ,