Daily globe. [volume] (St. Paul, Minn.) 1878-1884, 1878-01-20
FAILURES IN 1877.
The IVrec9ss Of the Last I,D0 Months Sh0,c
the York of the Gold Bugs.

= AlIUkES LIN l0Ij.
The Wrecks Of the Last T.co Nonths Shou
the Worh; of the Gold Bugs.
The frequency of the failures in the las
two months of 1877 all over the countr,
| awakes an increased interest in the authentic
| figures for the entire year furnished by the
Mercantile Agency of Messrs. r. G. Dun &
Co., with their usual promptitude and elab.
orateness. We condense the main facts fur.
| nished for the benefit of our readers who are
| interested in this novel class of statistics
which year by year are becoming more i'm.
| portant and significant.
according to the figures presented, the
failures in the United States for the wear
1877 are 1872 in number, being 22O less
than for 1876, in which year there were
1902. The total liabilities for 1877 are stat
ed at $3.50, $4,000 as against $19l ,l17,OGC
| in 1876. or barely half million Of dollars
less For the three quarters ending with
September last, the number of failures less
oned by 495, with a decline in Liabilities OF
$4,32O,OOO as compared with similar be
Rod III 1876, but the casualties of the last
quarter have been SO numerous and import
first nine months has not been sustained.
So frequent of late has been the announce
ments of suspensions, and so much has oc-
CURED in the last few months to impair CON
tidence, that it is all the more gratifying to
know that the figures for the whole
year do show decreased number of disas-
ters, with losses somewhat less. The agency.
however, says: But it is a pregnant fact,
illustrative of the general condition, that the
failures of the past year approach so nearly
those of the year preceding, which were
deemed very excessive, and that the failures
are really above the average of the four years
since the panic of 1873. Time does not seem
to improve these statistics with the same
rapldlty that it did subsequent to the panic
OF 1857 or 1861, for in the four years sue
ceed1ng these dates, the number of failures
and the amount of liabilities steadily dimin-
lshed, the average rapidity declining, while
this, the fourth year since the panic of
1873, largely increases the average
This is illustrated by the figures
IN detail, for the periods referred to, and the
comparison thus instituted is made specially
interesting as grouping the few years prece-
ding the panic of 1873 opposite the four
years succeeding it. The average number
of failures for the four years prior to and in
Guiding 1873 was 1929, while for the four
years ending with 1877 the yearly average
number is 1883. In 1871, for instance, the
failures We're ouly one to every 163 traders
while in 1877 the ratio is one in every 10
Ihe average total yearly liabilities prior to
and including 1873 were 100 millions of dol
lars; the yearly average for the four years
subsequent is 1874 millions
After stating that within the past sixty
days. failures have occurred, more numerous
and more important than ever before in an
equal period, allusion is made to the low
grade OF mercantile morality which is exem-
plitied by the events of each day as photo
graphed by the press. The agency, which
from its extensive business relations may
well be considered good authority on the
question referred to, SAYS:
The lack of honesty is nowhere more plain
ly seen than in the failures that occur with the
deliberate purpose of making money by COM
promising indebtedness at as much less than
Its face as can be accomplished. The evils that
now from an encouragement of this policy are
traught with consequences the most destructive
OF sound trade or future safety. In every COM
munity where al operation of this kind is sue
cessful, the honest thrifty, and capable mer-
chant Is placed at q tremendous disadvantage.
he may we'll despair of success in competition
with those whose incapacity. lack of capital,
or want Of honesty has enabled them to get
their assets at fraction of their value, and
who can, therefore, afford to undersell all 9th
ers not 30 fortunate. The influence of the pro-
posal, that Congress should inaugurate policy
of similar character and compromise the in
debtcdness of the country by paying it in silver
instead of gold, is already seen in the debased
public sentiment that prevails as to the pay
ment of private indebtedness in full. An OK
ample of this character, i'll quarters SO high.
cannot fail of an effect most potent in the
worst direction for it is idle to suppose that
the public faith can be impaired without cor
responding result among the vast class who are
honest only from policy
With regard to the results of the year, and
the general condition of business, the Agency
says that the expectations that were formed
of the probable volume and proftableness of
the trade Of the country has only been par
TALLY fulfilled, yet i'll many respects substan-
tlal progress toward recovery has been made.
A year of great productions i'll agricultural
sections, such as the last has been, cannot be
without most beneficial effect, and the pros
perlty OF the country portions of West and
South are plainly demonstrated in the fig
ures OF failures above presented. The pro
duct of precious metals is fully maintained,
and though iron, coal aud lumber interests
still languish. petroleum, grain, cotton. to-
bacco and other farm products, have added
greatly to the nations wealth; visible in
crease in the employment of labor is notice
able III important sections, and the manufac-
turing Industries have in some degree inn
proved, both for home and foreign markets.
There are. therefore, signs of improvement
developing. it is true, slowly but steadily. a
better condition. The circular goes on to
say:
How far the well meant but mistaken eff
forts of political doctors are likely to retar,l
the recovery of the sick patient, cannot at
present be imagined, but if they could only be
prevailed upon to let the trade Of the country
take care of itself the future would look much
more hopeful. If, instead Of theorizing and
experimenting Congress would take some
practical steps to amend the bankrupt law. re-
adjust the tariff, and lessen taxation where it
most retards recovery, it would restore to itself
degree of confidence, which is now well-nigh
1t is d comfort to reflect that the return of
is only question of time to a coun-
try which, in addition to all It's other adyan-
tages, cam in a year of its greatest failures,
produce from the earth sufficient to Weld 1 900
millions of dollars, which has actually been ac-
comphshed IN the year just closed. The errors
OF the present and the mistakes of the past can
hardly seriously impair the future or nation
possessing so great a capacity to eventually
right ITSELF
ThMr1otc heed on Hayes.
| From an Interview with Mr.. Weed in the col
lege Tell-Tale.
Here is Air. Hayes. who was placed in the