The Portland daily press. [volume] (Portland, Me.) 1862-1921, 1880-10-23
SATURDAY MORNING, OCT. %.

the original disorder. In 1889, after one year
of partial recovery from the comparatively
brief prostration of 1887, the country suffered
such a relapse, and the terrible consequences
will not be forgotten. The business of this
country is not in condition to endure the
enormous strain, the grave anxiety, and the
prolonged uncertainty of complete change OF
financial policy.
The fear of disastrous changes would pros.
trate the public credit almost as much as those
changes themselves Even though none OF the
unwise steps contemplated should finally be
taken by the Democratic party, still large
proportion of the people would fear them, and
= would act upon that fear Creditors and in
yestors abroad would fear them, and would
act without delay. Men would make haste to
get out of danger before the anticipated blow
should fall and the panic to escape from SUM-
posed peril often results in greater loss of life
than the dreaded catastrophe. We have to
face the fact that almost every great financial
interest would be threatened by Democratic
success. Ii the blow should never come the
mere threat might do irreparable and incalcu-
liable mischief. Bondhoders by the thousand
distressing the party by which payment of
bonds IN deprecated paper has been urged for
years, might make haste to realize. But these
sales would PROSTATE credit scarcely less than
the dishonest measure feared. Banks, Swings
banks, insurance companies, apprehending
that their assets might melt away beyond the
limit of safety by fall in bonds, would make
haste to sell. But the selling would soon de-
press the price so that surplus reserves would
vanish. Bankruptcy for few institutions
might involve bankruptcy for many, and that
would mem loss of their savings for mil
lions of people:
Public credit means what the people think
about the honesty and solvency of their Gov.
eminent. What the Government really can
do and will do has little effect if the people
have fixed belief about the matter. The fact
cannot ba dQniad that in tho fpop ~
commercial world the Democratic party is
profoundly distrusted. 1t has done nothing
for years to remove distrust, but very much to
increase it. The fact is noted that the Demo-
cratic party is largely controlled by the South
But the South has but small part in the in
vestments, the commerce, the industries
which change of policy would affect. 1t is es
sentially agricultural. 1t employs So per cent
of the manufacturing capital of the country, on
ly 5.3 per cent. of the money loaned by banks,
only per cent. of the tonnage used in domes-
tic commerce. and only IA per cent. of the
freight cars used on railroads. OF the holders
of United States bonds, probably much less
than one-tenth are in the Southern States.
None OF the loan and trust companies are 10
Gated there Out of 208. 600 shareholders in the
national banks, less than 10000 are in the
States formerly slave-hoding, and only GA 1853
depositors in savings banks out of 2,204 900 in
the whole country, or less than per cent. In
short, the South has but an insignificant share
"
manufactures, commerce, investments, savings
and vast credits which rests upon the public
credit as as foundation. This is not suggested
as reproach, but it prompts the question
whether any business firm would turn over the
management and control of its affairs to the
partner having the smallest interest in the
concern? If the United States intrusts the
defense and maintenance of the public credit
to that section which has the least sh are or in
terest in it, or in the diversified industries and
commerce which depend upon it, there will be
real reason for apprehension. We cannot for
get the origin of the public debt The people
of the once rebellious States do not forget that
the debt was created in suppressing the rebel
lion. Even in the payment of debts contracted
by themselves, and for their own advantage
Southern communities have not been conspic-
uous for their fidelity. Can it be expected
that they will be more eager and scrupulous
to pay. according to the letter. and in any
emergency, obligations created in putting
down rebellion which they made and sus-
tanned? The men who expect such a thing
will not be thought sagacious by the civilized
world. Nay, more; a transfer of all care of
the public credit to a party politically con-
trolled by and dependent upon the South, will
seem to all the world little less than public
proclamation that the people of the United
States are weary of protecting its credit and
paying its debts.