The daily gazette., 1879-04-23
SECOND EDITION
Politics and Business.

From the N. Y. World.
1t might be well for the wire-pullers
aud pipe lawyers of both parties t" pause
in thu organization of their grand globe
trotting expeditions aud their cipher
vindications just long enough to ask
themselves how it has come to pass that
the popular demand for Federal bonds
bearing reduced rate of interest has
steadily increased ever since the autumn
of 1874, when the political tide began to
turn and the House Uf Representatives
be came Democratic. Why was II that
instead of falling off that demand in-
creased when successive State -.ectlons
had made 1t clear that the control of the
Senate also in 1879 would pass into De-
mocratic hands? And why is it that
there has never beeu such demand for
our Federal4 per cents az there is now
while the Democrats in Congress are
insisting ON n easures which all Demo-
Gratis regard as essential to the perma-
nence of our institutions, aud which all
Stalwart Republicans pretend to regard
as pOrtentS of a new civil war?
We shal! be glad to hear what the
wire-pullers and the pipe-layers have to
say In explanation of these phenomena
Meanwhile it will doubtless occur to SEN
sible people that the business men and
the Investors of the United States can
Hdihiv IOoh upOu tuo DtmOCTAtIC u'd-
Jority in Congress al made ur of "ur-
tanned" desperadoes. Perhaps such men
have not yet forgotten the part which
Democratic leader. played in the great
Crisis OF 1876. Perhaps, too, such men
may be capable of recognizing the DIFF
ersnses between speeches like that of
Mr.. Carlisle which we publish Today on
the great issues now debating in Congress
and the wild tomtom beating of party
Journals over those issues.
EWhen Mr.. Tilden announces himself
as the coming aveDger of the frauds Of
1876 and the managers of General Grant
get up Rocky Mountain PROFESSIONS 10
wslsoms him home AZ the saviour ofso-
ciety, the country ought to be convulsed
and Its credit ought TO decline. If the
country refuses to be convulsed aud it's
credit does not decline, it would seem to
be tolerably clear that avenger is no i'm
patiently expected and that no consider
aUle number of the people adequately
appreciate the iInminence of the perils
from which the savior of society is TO
rescue them. This Is SO yer, obvious
that people who will Insist on looking at
American affair, tn ough the eyes of the
politicians alone are at their wits ends
To explain the large subscriptions made
to tue new Federal per cent. loan.
The Greenbackers insi t that there is
not currency enough; the hard-money
men, who would Danish all legal tender
paper, have another explanation; the
hackers of Mr.. Shermans p, esidr n ial
aspirations have still third; YET the
prac ical explanation is not tar to seek.
People subscri be to tho new loan in the
first place because the credit of the na-
ton in good, and in the seco,d place be-
cause the bonds are not taxabl-, and in
tho third place because the bonds are a
basis of national banking aud safe in
vestment for trustees and savings banks.
To say that holders of tine per ce,ts
have merely exchanged them for the
new per cents will NOT do. The Gov
ernmebt calls in the 6 per cents and pays
for them, and the rec, liver Of The money
then does what he likes to do with 1t.
Mr. Sherman sells the new fours before
he'can pay for the called skies, and in
tho course OF this operation iho mem bsrs
OF the syndicates, who are trained to
realize great sums by thirty-second or
sixty-fourth per ceut. commission, make
money and are happy.
That there il now plethora of money
or of circulating medium in the country
Is fact, but this does not necessarily
come OF "dull times" There Is more
business done In the country by far than
there was in 1860. But less circulating
medium in the shape of money is now
required to transact the gre ater than
was then required to transact the smaller
business. The resources or the pnpula-
tion of a city or not the only things
which now decide how much money Il
sountry requires, nor does the uumbe
and the extent of commercial transac.
tions alone decide this.
The rapldity with which money and
its representative can be made to clrcu-
late is an important factor in the prob
lem. A semi. civilized or half-developed
country like Turkey or Mexico has in
proportion to It's business greater money
need than country like England o. the
United States, the economy of which is
hie hly developed. Rich men in England
or The United Stat s carry about and use
less money than poor men, ecallse hey
can draw bank ch. cks. Money may not
circulate more rapidly in New York city
than il does in st. Lawrence cou ty, hut
bank checks do. In great cities like
London or New York money is chi, fly
used to pay wages or meet small casual
pure Eases. Others liabilities are ,is-
charged by private ciseck on II tank.
One bark is ishisr for hundred, OF iu-
dividuals, aid many hanks through the
Clearing House form a ort If union If
money-chests." Probably nine-teGths of
the payments daily made in this country
are made not with money or bank notes
at all, but with private checks.