The sun. [volume] (New York [N.Y.]) 1833-1916, 1877-04-23
Hard Times West and East.

In another place we print letter from
HENRY CLAY DEAN. Esq, Of Missouri, de-
scribing the bad financial condition Of the
West. and asking us TO suggest remedy for
it, He puts also some incidental questions
to which he desires answers. We do not
know that we shall be able to satisfy him,
but our best wisdom is at his service.
We must PREMISE however. that Mr.. DEAN
seems 10 us TO rather ovcrstate the mis-
fortunes Of the West In the cities. it is
probably true that the land, with but few
exceptions. is mortgaged to Eastern or Eu-
ropean creditors, but SO far as our personal
knowledge extends. this is not true of the
country. City lots are mortgaged by spccu-
lative holders, or 10y owners who desire to
put up buildings on them, but farmer has
no need to borrow money, except upon the
occasion Of his first purchase. At the prices
at which farm lands have been selling, a
debt of this kind cannot bc very oncrous cx-
cept in cases Of sickness or misfortune. The
majority of Western farmers. particularly in
the older settled States, are, We believe, out of
debt, and with money to spare. The sever
est pinch is, as We have said. with spccula-
tors in city lots. and owners who have Dor
rowed money with which 10 make improve
mcnts. These people make great deal Of
noise over their losses, and create the inn
preston that they are ten times as numcr-
Gus as they really are, but their stories must
bc taken with much allowance. Moreover.
to say. as Mr.DEAN does first, that the land IS
worth three times the money loaned upon it,
and then that it cannot be sold for an ado
quate price is decentralization. The mer-
camille value of property is what it Will
bring in the market and thing cannot pos
-ihly he worth in money more than il will
fetch In money. A. to the mercantile classes
in the West, our information is that they are
unusually prosperous.
But surprising the facts to be as Mr. DEAN
represents them, We see but two remedies
for the Western debtor. Either he must, by
industry and frugality, get money enough
TO pay of his creditor. or he must go into
bankruptcy. II he can pay in full. he ought
to pay in full, and if he cannot pay in full he
ought TO pay a. much as he can. He got
either money or property in exchange for
his obligations, and if he cannot give back
the money he ought to give back whatever
property he has. This Is unpalatablc doe
trine, We know. hut il is the doctrine Of COM
mon honesty, and The Sun cannot teach
anything else We shall never countenance
reputation either by communities or by i'll
dividuals.
Mr.. DEAN asks next, how the country can
return to specie payments in the present
condition Of is affairs. our answer Is, 10y
redeening the greater portion of the green
backs in four per cent gold bonds, and let
ting the banks take care Of their own notes.
A. soon a. grecnbocks come down to par IA
gold they will bee a. good as gold for domc.-
tic Use, and whenever the banks have t.
provide gold for their own purposes they
will find way to do il without help from
the Government.
Another question put by Mr.. DEAN is: OF
what use are the national banks Their
use a. we view it, il to facilitate commerce,
by lending the money Of the owners who do
not want it, TO borrowers who do Evil
IDENTIFY, a bank cannot be started without
money, nor will il do any business If nobody
borrow7 from 1t. The national banking VS.
TEN Is So much better than any We have had,
thus far, that we should hesitate to abolish it
for fear OF something worse taking it,
place.
We would remind Mr.. DEAN. in conclusion.
that the West is not alone in its financial
troubles. The East has her full share Of
them, and IN some respects is worse OH than
the West. II Missouri farmers have
land which will not sell for as much
as they paid or agreed to pay
for it, the farmers Of Now Jersey,
New York. and Connecticut, are in the same
plight. Our merchants are, many Of them.
bankrupt. and all Of them have met serious