New-York tribune., 1875-08-07
JOHN PAUL'S VACATION.
FINANCE EXPLAINED TO F1xANC1tRs.

FINANCE EXPLAINED TO FIxANCIERs.
TIE PnINcIpLE OF REACTION NEUTRALITY-SUSPICIOUS.
OPERATIONS ny THE RULE OF T,IREE--r1IE PAIL
uRR- FINANCIAL ARRONAUTICs - CoMMoDORs
yANpERBILT AND CENTRAL-A SUCCESSFUL
OPIATE.
lyRoM AN OCCASIONAL CORRESPONDENT OF rrH fnrSUHRl
SARATOGA, July 81" Who will step aboard Of
yonr balloon now, Mr. Paul!' asked my financial
friend, when news that great firm had failed
With fine irony Isaac persists in calling the
present system Of imitation my balloon And this ia
the way he always approaches the subject when he
wants TO get at lay financial views
We were out on the race-eourse and was feeling
badly 1t was not that had drawn Olitipa IN hat
pool il was not that had laid money on Leandcr
when should have chosen the Contest 1t was not
that in the steepe chase l took Trouble and had
only that and pOOti for my pains; it was none
of these aggravatiOns that weighed upon me- But
my spirit was oppressed by the thought that possibly
had given my financial views in O late letter from
Long Branch-very late indeed in getting into print
-prematurely to the public that l. perhaps had
precipitated panic involved the street"-possibly
some of the sidewalks as well-shattered credits
DESTROYED confidence, moved banks to call in their
loans upset the balance of trade, interfercd with
the iron industry, done a good many other Of the
things which man is apt to do if he doesn't shut his
teeth together and carefully refrain from telling the
truth. Sooner than have brought calamity upon the
community in that way Pd have stayed at Long
Branch playing croqnet on the saDd-with hearts fer
balls aud fans and clouded bamboo canes for maets
even until now,
Sometimes think will never write about finance
again. As for theology, that is not for me in the
future. 1t is quite enough to be bowling down long
established houses in this way, without bringing the
established churches about ones ears in rain of
brick and mortar Those who can't write without
setting folks TO thinking and producing social and
business convulsiOns, had better either not write at
all, or else write for The NOrA american Resfee
where they can do no harm
Well Mr.. Sherman turned TO me-wc were sitting
in the Grand Standard wanted to know who would
step aboard my balloon now.
"Everybcdyn replied, IF only one fool can be
found to lead" drop OF nine per cent in an eight
per cent divdend-payin stock is tempting thing
People are prone to "buy for rcactiOn' Some
times they get it. A friend of mine bought Wabash
at thirty and it reacted him 80 severely that
within the month he went into another branch OF
business entrey-clamnling. He was always fond
of fishing, he says, and hc finds health as well ms
livelihood in his present employment. As compared
with the trout the clam cannot De called game fish,
perhaps but then he doesn't react you know In this
does. With OILY FIVE drains Of powder aboard, and
not much room to stretch out in, either, it reacted on
me the other ay to such an extent tnat went over
and Law down on the other side of the lot and it kept
ON reactnc for five minutes sO-kicked me twice
while lay the ground and third time as was
getting up. THERE'S good deal Of dicing and orna-
mental work about the woodwork Of that gun, and
a prettier piece Of English walnut never you saw,
but don't put that fancy stock to my shoulder again
in a hurry. And don't get behind any fancy stock
in the future if | can help it. Lady Clipper and
Warlock reacted their riders to-day. WarlOcks
jockey DIDN'T get up as soon rs the hoise did I'm
not riding Warloeks now wadays much as once
was. One must have long legs when he straddes
lightning, aid then don't know that he Las an easy
thing of it,
A friend of mine we'll known for his philanthropy
az well as for the hreadth-I might say the exceed
ing latitudc-Of his financial views tlo violate any
confidence in saying right ont that his name IL
Briggs 0-has one formula by which he figures up in
a moment the worth Of any stock on the market.
Thus: "If New-York Central Railway First Mort
gage bond which only pays seven per cent per an
NUN, seni-annually, is worth one hundred and six
tesn what il II canal or telegraph stock worth that
pays two per cent quarterly Easy enough to get at
it," And out comes proof-sheet OF an article in a
religious journal for figuring paper. and a pencil.
s, so is 116 to the answer. Here ym have it-7:s::
llG=l32i7. Any stock that pays two per cent quar-
tcry is worth 1924, gentlemen
remember we once operated in S0utb Carolina jan
uarysand Juys together Briggs figured up what they
were WORTH and bought them. They carried on their
face six per cent in gold and sold at G2l2 Briggs's
famous equation was this "If New-York Central
stock which only pays per cent, is worth par,
what ought South Carolina Januarys and Julys
that pay six per cent in gold to sell forT
The gold rate Guctuated frequently that it
was difficult tO make an exact calculation, but
where figures fail Briggs has wonderful go
MUS for guessing. And he guessed they were
worth 50. John SwntOn guessed they were,
too, and bought hat fun. Then went over 10
Adams Eypress-so called because of the irregular
way il leaves, | fancy,-and told Gen. Sandford We
guessed he had better buy some. But he guessed
not We thought he was mistaken thea, but it
has since occurred 70 that possibly had the
wrong Of it. However do not let anything may
have said lead you tO believe that my friend Briggs
has not a great financial head. Dabo fool to
him, SO far as figures are concerned and when it
comes to The Wealth Of Stagnations The Origin
of Specie, the little trcatses Of Adam Smith and
Darwin are literally nowhere.
As | was going on to say Mr.. Sherman only asked
me who was going tO get aboard of my balloon, as
the simplest way of getting at my financial views.
Everybody will get aboard Of IT," l replied
Everybody, not excepting Russell Sage. None of
them want TO go up in balloon exactly it isn't a
through trip that they eontemplatc-Ony little
turn. Each man intends IN get out before his neigh
bor none goes in tO stay. The banker this side
If the way expects to step safely cut, and himself
standing on the ground, the banker across the
way, who is not quite slnari{ and will leave mo-
ment later floating about high in the air. That the
balloon may burst before anybody steps down and
all l.of no