Connecticut western news., 1876-04-28
THE FINANCIAL OUTLOOK.
The First Four Months of 1S76 Show 2. .SO6 Failures, Aggregatlng $64,OOO,OOO.

The First Four Months of 1876 Show 2,SO6
 Failures, AggreKating $64.OOO,OOO.
 The statistics of failures throughout the United States, for the three months ending with March, are furnished by Messrs. R. G. Dunn & Go. s agency, and indicate very disheartening result. The figures show an increase in mercan- tile casualties, which, though expected, is larger than was anticipated. The number of failures are set down at 2, 1906, with liabilities of $64, 100000 Compar- ed with the same quarter in 1875, in which the number was 1,733, with liabil- ities at $38, ,0OO,0 the increase is very marked-amounting to 1,O73 in number, and $26, 100000 in liabilities. But as compared with the statistics for the pre- vious quarter, or the last three months of 1875, the showing is not so bad. In order to present the figures in more in telligent shape for comparison, we group them as follows
 First quarter in 1876. .......2,8O6 $64 100000 First quarter in 1875. ......1,733 38,0O00O0 Last quarter in 1875. ....2, 405 100000 900
 While, therefore, there is slight in crease in the last quarter over that just previous to it in number, there is posi- tive decrease in liabilities. Still, for the last six months the failures have been exceptionally numerous, and do not give much encouragement to the hope that the return of a prosperous condition is any nearer, except in the passage of time, than it was 8 year ago. The quar- terly circular, from which the foregoing figures are taken, remarks:
 "The business of the country, in every de- partment, continues to be restricted to the | narrowest limits without corresponding re- duction in expenses, and in the face Of declln- ing prices of all staples, the possibilities of profit have been slight indeed. It is, therefore, not & matter of surprise, that so many have succumbed to the pressure Of the times; the wonder rather is, that with all the discourage ments which in the past two or three years have been experienced, 50 many survive in 8 condition of apparent stability. When all the circumstances are considered it should not create surprise that the statistics of failures | show 8 marked increase in seasons like the present. Ascondition of expansion, such as | the large expenditures of the war induced, and which vastly increased currency caused to be perpetuated, could not take place without | stimulating trade unduly, and causing such large numbers to enter commercial pursuits as | to crowd all avenues of business with more | than an adequate number even when trade was at it's best. But now that there is but little business to be done beyond supplying | the restricted wants of the 'eople, the exces- l sive number in trade must be lessened, and in the struggle for existence the doctrine of the | survival of the fttest receives fresh 1lustra- tion. It is to be deplored that the large army of traders, whose services are no longer re- | quired, cannot retire from the field, except | through failure. The voluntary withdrawals from business are in far less proportion than they should be, in view of the great reduction | in it's extent
 Although failures are generally re- garded as the most marked indication o1 bad condition of trade, from the fore. going it appears that this is the only process by which the number engaged can be lessened, so that those who re-
 main may make profit enough to yield
 them living. Yet, even from this pro
 cess there seems very little prospect of g lessened number in business, owing tC the facility with which compromises after failures are effected. In relation
 to this the agency remarks
 their lack of success are those only who make l money in these hard times. By purchasing | their assets from their creditors at low figure
 8 sufficient capital is not unfrequently yielded | to continue in business, but always to the | detriment of those who are endeavoring tC
 discharge their obligations in full. In this view it is national calamity that the bankrupt | law is in it's present condition. The wis., anC liberal principle which this law is intended tc maintain, is abused by the mistakes in itf
 enactment, and the facility which it affords te | the debtor, by judioious manipulation, to die
 tate terms to the creditor, who thereby loses
 control of his own property, and disposition
 is not unfrequently made of it, entirely foreigr | to his wishes and opposed to his conviction | The many considerations which cause creditors
 to yield to the solicitations of debtors for | compromise of their indebtedness are sufh | ciently strong to keep the ranks full of those
 who have failed to succeed but encourage
 ment to fraudulent failures, and well-defnet | attempts to make money by this class of mis
 fortunes, were certainly never contemplated
 by the law. Such, however, is the result, and
 added to all the limitations and difficulties O
 business of the present time, is this misfor
 tune, that while failures are numerous, the ex
 ccssive number engaged in 8 restricted trad
 lessen slowly, fraud is encouraged, and tn
 chances of success for upright and capabl
 merchants are diminished by the failure ant
 subsequent settlement at trifing dividend o
 the weak in capacity and the poor in capital
 With regard to the general condition
 of trade and the prospect for the future
 the circular before us does not shet
 much light beyond the photograph fur
 nished by the valuable figures abov
 presented. It is to be presumed tn
 agency people have got tired predictin!
 a revival of trade with each coming sea
 son, and wisely refrain from dealing Ii , vain delusions. As to what is needed t !, produce better condition of business the circular says:
 Notwithstanding that all the ability of thi great nation of inventors has for the pas ) three years been intent upon the discovery c some plan whereby trade can be restored to l normal condition, no theory has yet been foun
 that exactly fits the case or accompilshes tn , result. The progress toward prosperou ; condition, which at first was thought might
 rapid. it is now generally considered must b
 exceedingly gradual. Still further, it is grow | ing conviction that better and safer COT , dition of trade can only be brought about by = reduction of values to their lowest possibl v points, and hence there are those who hail s J & good sign every quotation of lower prices il !, dicating possibility of economy in living, an S return to rates for all staples such as pr' l. vail in other quarters of the globe. How far t restricted currency, and an approach to spec ~ payments, will contribute to this result, it 5 needless to say but even in anticipation
 that most desirable consummation the tel
 depcy to lower prices for everything is to mar
 the most hopeful sign of the times.
 To show to what extent prices ha1 q been reduced, an interest table is givel " with quotations in April of 1873, e compared with those in April, 1876, t several leading articles, for which V !. have not space. Notwithstanding 8 r duction in the price of numerous staple ! entering into the every day wants of tl e people, the agency pertinently asks: d "Yet, in the face of all this decline, what