The Manitowoc tribune. [volume] (Manitowoc, Wis.) 1866-1878, 1876-10-05
THE RETURN OF GOOD TIMES.

Eastern States, and corresponding re-
cuperation will undoubtedly soon follow
in the West. No inquiry can be more
profitable to American citizens and vot-.
ers. than that which proposes to ascer--
tain the causes of this phenomenon, and
those of the previous stringency, which
| after three years of severe and general
pressure, is now beginning to give way.
At the beginning OF the hard times,
thousands were persuaded to believe that
the pressure was caused by the 'sruinous
policy of contraction" adopted by the
Republican administration, that the
merchants and manufacturers were fail
ing for want of cash to carry on their
business, that there was not gold enough
in the world for the purpose Of exchange
and that paper must be issued to supply
the lack. It was shown during those dark
days that there had been no 'scontrac-
tion,' and that the use of gold as me-
dunn of exchange was created by the
ratio between its quantity and the de-
mand for it, and would cease if the
sswants of trade" ever really ran ahead
of it. Let it be granted that we were
quite mistaken about this /; it will then
be in order for the rag money lunatics to
explain what causes are now bringing
back good times and confidence. The
''ruinous policy OF contraction has been
oo-t:--~-1 e II nunr WAS adopted at all,
and consequently times ought to be get
ting harder every day; instead OF which
we learn by every dispatch, that the
closed factories are reopening, the I'M
employed operatives getting work, mon
ey coming again into circulation, conf
dence reviving, business men investing
cash, and borrowing to invest more. The
plain truth is there has been no contrac-
ton. The changes in the volume Of the
currency which have taken place during
the last six years have been rather in the
direction of imitation than of contraction
but they were not great enough to mate
rally affect prices any way. e"
IuClC WIS ACFC1 uiiy i1Ch "a AiAOhOJ,
paradoxical as the assertion might APP
pear. Every man who grumbled about
the scarcity of money and had anything
to give for his money, could have got all
the money he wanted on very liberal
terms. He could have sold his house,
his horse, his shop, not indeed, as well
as before the general prostration, but
without any difficulty. Why did he not
do it? Because he thought these things
better property than the money, and
therefore it was want of confidence allied
him, not want of money. No one would
borrow to invest, and those who had
money of their own, though willing to
invest at low rates, could make no trade
with any one. Hard times were brought
| about by very different causes. The
sinking of property in building railroads
and other not Immediately renunerative
enterprises, the production of all kinds
of goods greatly in excess of the demand,
speculation, over-borrowing, long credit,
scrip, these things, all fruits of depre-
ciated and inflated currency, of protec-
tive tariffs, and development Of our re-
sources moonshine," were what bank
rupted half our great projectors, and
compelled the other half to take in sail.
It is to be feared that unless remedled
by return to the specie basis and COM
mon sense, like causes will, in few
years, produce like effects again. But
at present we are climbing up the wave,
having reached and passed the bottom
of the abyss. The insolvent estates have
been administered. The firms which
though embarrassed, were sound, have
paid their debts. The accumulated stock
of the various factories has been con-
sumed. Production has again become
necessary, and money is really wanted
for re- investment, and is coming out of
its hiding places.