The Wheeling daily intelligencer. [volume] (Wheeling, W. Va.) 1865-1903, 1878-08-13

vaults OF tue panEB or converted lnpo
Government bonds has been and isstill be.
ing taken out Of the productive industries
Of the county, for Il was all therein occu-
pied heretofore, and placed where II yirtu.
ally becomes non.productiye. The insur.
snee companies collect their premiums
of the policies on the property OF the
Manufacturing companies, and refuse to
make loans 70 the companies. The
W heelinR Insurance companies have
takep more than seventy thousand dol
Lars Of money thus collected aud sent Il
10 Washington City for Government
Bonds within the past six' or eight
months. The Banks take hundreds Of
thousands Of dollars Of the money Of de-
positors, who are identified with the pro.
duetive enterprises Of the community, and
send Il to Washington for four per cent
Government bonds, and one after the
other Of these manufacturing enterprises
are forced 10 the auction block because
these institutions exact eight and nine
per cent interest on what loans they do
make 10 them, and when dull or criti-
cal time comes they refuse to longer car.
~ the loans, At the very time when it IL
i'm possible TO obtain the money necessary
to liquidats them. This, they say, be-
comes necessary because OF the deprecia-
ton in the value Of property on which
the loan Is made. This depreciation IN
the value Of property is largely due TO
the course persued BY the very men who
complain Of the depreciation. There Is
no active market demand for msnuiactur.
ipg property now, no matter what II may
have cost, or how little II may have de.
preciAted in intrinsic value, and the very
moment the creditor refuses TO continue
his loan and exacts It's payment, he
takes from his debtor the means
through which he could ultimately
pay his debt and have sur
plus for himself, and forces Il upon =
market where its selling price will not
even pay the debt. This course Of action
may be, and Is, perhaps, perfectly legiti-
male. So, 1t seems, It is perfectly legiti.
mate to corner the wheat market, and
having secured large contracts for deliy.
cry Of wheat that eannot be obtained, offer
thirty or forty cents per bushel more for
wheat 10 Milwaukee than 1t 10 worth in
Baltimsre, and compel debtors to settle
at the assumed price. The legitimacy Of
such course Is not in controversy. The
point is, how far are those who thus act,
and the policy they have adopted, re.
sponsible for the present condition OF at.
faifsl ~
And right here We are me. with the
very much worn remark that call this 10
due to pratot eonfteaae," when In fact,
the want Of confidence in the ability OF
The man who has sold short" 10 deliver,
on the very last day Of the contract, the
wheat he has sold, and be is perfectly safe
in offering any price. The creditor who
has loaned money to'amanutacturer or
business man TO commence business on,
should not demand its payment at time
Of business depression, unless be is salts
fed that revival Of business would not
give his debtor better opportunity TO
pay. for he knows he cannot pay then.
He knows that II he presses payment
be forces that mans business and prop.
erty to sale at such price a. the creditor
himself may see Ct to ix. He knows
that it Is Just this sort Of thing that Is
destroying confidence In all legitimate
enterprises. He ought to know further
that 1t Is the carrying out Of this policy
that is rapidly augmenting the army Of
discontents, go easily played upon BY the
blathering demagogue In politics, whose
very existence Is a menace TO the secu-
rfty Of all investments and the profits Of
productive enterprise.
Let the men who make financial senti-
ment 10 every community-the men who
mapsge the banks, insurance companies,
banking associations and other financial
depositories-who are always consulted
upon the subject Of inyestments, and who
make or destroy the confidence upon
which business prosperity so much de.
ponds, recognize the full measure OF
their responsibility in this matter. They
have the power, II they will only exer.
ciseit, to change the situation very rap.
idlyand very efficiently. WHAT'S today,
In my judgment, doing more to paralyze
business and bring disaster to those en-
ga:ed in IL than any and all other cause.
combined, is the rapid contraction OF
credit and the forced collection OF
debts. From 1858 to 1873 everybody
rushed into debt. State corporation and
personal Indebtedness rapidly increased.
Some OF this debt has since been paid of,
but there has been no time since when all
Of these debts could have been paid. The
Government, the States, the corporations
and the banks could no more have paid
their creditors, II required to do so, than
could or can the manufacturers, mer.
chants aud farmers. What is wanted, then,
and what these financial agencies have
the power 10 control, is that this rapid,
forced contraction OF local credits shall
cease. This rapid, forced absorption Of
the capital Of the country BY investment
into government four pei, cent?, and uli.
mate conversion into foreign held bonds,
should be suspended until such times as q
revival Of business will enable the debtor
class TO pay, or more favorable market
enable them to sell their properly for .
fair equivalent. i
The prolific crops, the large balance Of
trade in our favor, and the rapid in
crease OF our exports Of manufactured
goods, are ali favorable indications Of
the speedy return Of the long hoped for
prosperity, aud the hopes for something
better begin TO cheer the earnest active
men who have been toiling and worrying
through Ave years Of almost hopeless
efforts. But wha. benefit will these hopes
and encoursgsmen.s be to the debt OPP
pressed merchant or manufacturer IL his
creditor Is determined to force him into
before be has opportunity to
enjoy these benefits Z, Let the creditor
and better times will soon come,
COMMON SENSE.
The New Coachmau.