Wheeling register. [volume] (Wheeling, W. Va.) 1878-1935, 1879-07-29
BUSINESS DEPRESSION.
SEARCHING FOR THE CAUSE OF IT.,
The Congressional Committee at Work in
ChicagO--0piniOns Of Several
Prominent Business Men,
Farmers, and Others.

CHICAGO, July 2S-The Congressional
committee of which Hon. Hendrick B.
Wright is chairman, began inquiry to-
day into the causes of depression in
trade and industry.
l.. J. Gage, cashier OF the First Ma
tional Bank, was the first witness. He
regarded the present supply of money
in the country as ample, although ten
years back we had much more money
in circulation, vet the banking OF Chi
cago is sounder than ever before. He
thought the return of prosperity began
about eighteen months ago, and the
outlook now is very favorable. In an
swering questions Of chairman Wright,
he said doubtless the withdrawal
of currency had operated to depress
business during the past ten years, but
had not operated so as to be very es-
sential factor. The depression was a
reaction toward a normal standard
which has been naturally disturbed by
war and fits results. The prosperity OF
business men, and the rate OF increase
of population were greater ten years
ago in Chicago than they are now, but
the amount of merchandise handled
here now is vastly greater than it
was ten years ago. Being asked what
he would suggest in the way OF leglsla-
ton, he said he would repeal the legal
tender quality of United States notes,
and would pay them on demand to the
bearer and would make gold and
iilver dollars interchangeable at the
United States Sub-Treasuries, and
would press their issue and
retire outstanding notes under the
value of s. as quickly as possible. 1t
would be mistake to repeal the Ma
tional Bank Law.
George Schneider, President OF the
National Bank of Illinois, testified that
he did not believe in increasing the vol
ume of currency. The city and its
banks were IN a healthy state to-day,
the panic and the season of bankruptcy
had strengthened rather than weakened
Chicago, and its business, which began
to revive a year and a half ago, is in a
fine condition. He thought the less
Congress bothered with finances the
better for the country.
G.. NJ. Sloan, farmer in Wisconsin,
testified that the farms were mortgaged
To their full value throughout the State.
The price of farm labor was lower
ing, at present being 10 cents
per day to ten dollars per month. The
penal law of Wisconsin against begging
had destroyed the surplus of labor, and
farmers seem blind to the fact that
three-quarters of the so-called tramps
are honest labOrers out of work. Ii Is
thought that an increase of currency
would benefit Wisconsin. The panic of
1878, caused by too much speculation,
caused the existing depression among
laborers. 1t is thought the Government
committed a great wrong in contracting
the currency. Contraction meant ma
tional suicide; it forced men to do with
one dollar what they had agreed to do
with two.
Charles Randolph, Secretary OF the
Board of Trade, stated that the general
business of the city had been steadily
increasing since the fall of 1873, and
real estate has been decreasing in value (;
the Northwest was in better shape than
any other part of the country; he be-
lieved that the heretofore abundant cap
ital was now seeking permanent invest
ment; he explained the condition OF
ChicagOs fnaces and stated that he
believed not city i'll the country was
in better condition.
Joseph Eastman, contractor and real
estate dealer, gave his testimony as to
the decrease in rents, prices OF labor and
material, etc. He thought the city
would prosper for four years and then
we should have another panic.