The New York herald., 1876-09-06


production OF those staple articles which may be r.
gardcd more than all other things, as the un-
ana which are also cnief articles of ex-
port thus II We take the ratio Of increase
hemp, buckwheat and other agricultural products,
established year by year. from 1850 lSG0 inclusive,
same articles in 1870 we shall find that The arrest Of
production the retardation of increase has been
m sIm9I Starting, amoup.ing laccordng 70 my Trend.
calculations for mel IN the cotton "a per cent?
20 per cent; tobacco 81 per cent; pork 80 per
cent; butter 20 per cent; hemp, II per cent: buck
wheat 90 per cent; maple sugar 10 per cent; honey
SO per cent and seeds 73 per cent On the other
hand, very few Of our great agricultural products
notably wheat, oats hay and hops, show a product
considerably greater in 1870 than would have been
had the crop simply followed the law of ratio of
prevailing from 1850 ls60 the crop OF wheat for
example, having been 2S1, 900 600 bushels IN 1870,
against an estimate OF 2l2 600 600 bushels founded
the previous ratio OF Increase. Here then is demon
stration that many who In 1870 consumers OF
engaged in occupations which are said to be overdono
should have been employed supplying tho large
Deficiencies our staple agricultural products Il
which have called your attention. Again, the pre-
dominant IN. this country being agricultural
what better evidence OF healthy prosperous natura
growth could We have than increase in well i'm
proved well stocked farms in OF the growth Of
population We had that evidence from 1850 1850
In during nat period o forty -four per
in improved acres, while the increase OF population
during the time was but thirtyhve per cent
But from 1860 10 1870 The number oil improved
but sixteen cent or six per cent less than
the Of population. And in regard 10 stock
there were absolutely 100000 less of neat cattlc
COO less swine and 900 600 less of working oxen In
ls7O ihan In 1860 During the same period there was
comparative falling OF IN the number OF horses on
farms and absolute falling oil in the number OF
mules and asses while there was an addition Of nearly
250, 900 horses 10 other than farm purposes-n the
main undoubtedly for pleasure purposes These last
at a moderate estimate Of $500 each per annum for
their keep involve outlay OF $4,000 900, and suf
GENTLY indicate where the exceptional excess OF hay
and product, noted has gone to- Tho excess
in product OF hops also tells Its story, while the
deficiencies IN the coarser foods-pork rye, buck
wheat, potatoes, beans and pcas--speak clearly OF
change TO more sumpuous living among the masses
the people. Did time suffice would gladly present
the topic fully, but, through the crack of tho
door have opened, those who have eyes to look in
something o our real condition ana draw tner
own conclusion.
DISCUSSION OF REMEDIES
But reduction in public expenditures Is not thc
only necessary change III our financial policy.
Second-In every progresslv country, especially In
such country the United States, wncre brain and
fingers are unusually active the results oil ufactur-
Ing industry through the combined application and In
venton OF labor saving machinery ana processes, tend
to lar greater ratio than population. Tho
machine or process tor example, which saves tho
labor twenty men, and thereby practically adds that
number the force engaged IN other branches OF
duction, requires very probably Tor its support
OF industrial product than would have been ade-
quate to the necessities OF single one OF the men
whose occupation II has suppanted OF this the ex-
peence of the United States furnishes most striking
illustrations Thus, taking the period from 1860 to
1870, find, according 10 the census. that while tho
gam in population was less than 2S per cent, our
manufactures Increased SO per cent in kind or 80 per
cent In OF the population. Or, taking more
specific example, in 1910 3 900 persons in Cincinnati
gagged manufacturing produced S16,33 1888 l3, or ut
rate OF 500 per head while at present city
recently reported 81 900 engaged IN corresponding
poymens producing to the value OF Sl44 900 GOO per
annum, AT the rate of 81 300 per head. Again. ut
recent convention of the stove trade at St. LOUIS II
reported that under what might be called hoalthy
trade there at present al least 33 per cent greater
capacity for making stoves IN the United States than
the country requires and that three men now, with
the aid OF machinery can produce as many stoves as
six men, unaided, could nave done in 1869 Now II Is
the legitimate, permanent and regular of pro-
duction consumption that constitutes tho surest
rather the only basis for largo remuneration for both
labor and capital; and it is in this pre-cxstng excess
that is 10 be found the secret why wages have for
many years been high in the United States and the
rate OF interest large. But on the other hand II the
surplus OF production over consumption not allowed
TO have FREQ market II II cannot flow out OF the
country through the channels OF export inevitably
rolls back upon the domestic markets. decreasing
prices to point where trade and commerce can
sumo their natural and normal channels or paralyzng
Industry until consumption again becomes equal to
exceeds production, both Of which results the manu-.
facturer inslincvey ressts by what to him the
only practicable methods available namely reduction
OF wages or suspension OF production. Now this ia
exactly what tho fiscal policy of this country for the
ceeded in accomplishing. II does not, SO many
words, say TO tho American manufacturer, or other
producer, you shall export; but 1t does virtually
say producers in other countries, you shall i'm.
port ana Ia shutting others out We at the same time
necessarily shut ourselves in. We have ignored the
economic maxim that al, .rado essentially barter
the exchange OF the products services for
products services OF another that money used
ternatonally for the settling OF comparatively small
balances; that II we won't buy can't SELL and that
| II We won't can't SELL We cant buy. There is
thing take the world generally overproducton
of things necessary desirable there will be
as back and sides are bare, hands and feet cold,
! stomachs of human beings have not within them
that which will satisfy. But there is such thing as
restricted cOnsump pton, due TO artificial enhancement
prices and artificial restrictions on the free inter-
change OF products There Is limit to the capacity
OF the world to desirable products If circum.
stances such that It can consume. We have
strkng illustration OF this OF present occurrence The
cotton crop OF lS74-5 average and prices
ruled comparatively high. The season closed there.
fore, with large unconsumed surplus. Tho cotton
crop 1886 large prices ruled from three
to i've cents less per pound than IN lS74-5 The
SUI sur mas oeen .nat IN spse OF continued hard times,
all the surplus OF last year and bidding fair
to use up. all tho increased product OF this
Another illustration to the effect ia
to be found in the transactions OF the current
year quicksilver. Tho product having been great,
the price in California has experienced very marked
reduction and tho result has that the foreign
sumers mainly Chinese, have come forward and alb.
sorocd So3 TASKS the first six months in the year
compared T. S63 TASKS in nrst six mouths ol
1870 What the industry aud commerce Of the country
most need at tho preset nc what the welfare OF hu.
manty large everywhere requires Is that n
tions trade and commerce, and would also say
banking shall, TO tho greatest possible extent, be
moved and until they removed the maximum OF
prosperity for this country and Its people will b.
attained. There has been immense amour:
written and said OF late years on the desirablity
undcsrablliiy OF removing continuing these
RESTRICTIONS but the whole case Is contained, as II
were, in nutshell There Is no wealth to DO made
through trade exchange OF products beyond the
pie ccouomy that results from the producer supplying
the consumer cheaper than the consumer sup.
ply himself by his enorts and the instincts OF
man may be better trusted to fnd out the limits oi
tins economy than any legislators in Congress
scmbed.
Finally IL this nation expects TO be prosperous Il
has got To be honest than II has been now IS
We have got to nave honest money ii we expect to
trade with all the world, aud may be that
nation with resources and population present and
prospective will never be satisfied with any less ex-
tcnsve circle OF trade must have money that will
suit all the world. Aud II re-estabsh in
dustry home and dcy the competition of foreign
producers in own markets. We must have "a
rency Of value. and q solvent for
sctn: debts, that is certain and reliable; and must
discontinue the OF the junction OF which, 10
these respects, is uncertain aud unreliable
entail element OF risk ana therefore OF additional
allproducton and exchange. and entire lack
OF confidence in respect to all business transactions,
between man and man. extending forward into the
future So long as this currency question remains un.
Sc ted and Is not settled the way that all cxperi'
a.