Savannah morning news. [volume] (Savannah) 1868-1887, 1881-01-21
1880.

Fail of LA
WreS Lia6iltt's bilities
Eastern ........ =. 72s 5 $3.50, III $685.
Middle .........,... 1,472l SO $50, 292 1906
Southern. ......... 1876 1873 442 IO555
F Rsaisga and Terrts i 81 5 5S5s 80 Ss
Total for U. States. Abs IS, 1852 000 1885
Domin. of Canada. 9O7 7,9SS,O77 s.SO7
The foregoing table offers better
idea than any other OF the real de-
crease in the number OF failures, apart from
the amount of indebtedness. This will be
understood by closely studying the forego-
ing hgures as compared with the following,
which extend the comparison back for some
years: Thus. in 1876 every 69eh man sue
cumbed, In 1877 every 73d, In 1878 every
Gath, In 1879 every Josh trader, while in
1880 it was only l in every 158 who laid
down his load. In an army of nearly $780,
600, an improvement so marked ought GER
tainiy to beget most hopeful confidence in
It's future chance OF success, provided the
requisite laws for the regulation and pro-
lection Of such host are forthcoming.
With regard to the comparisons contained
in these figures, the circular goes on to say:
sin the dark days which the trade Of the
country experienced between 1874 and 1878,
the gloomy statistics which, by almost
universal consent, 1t was our painful duty to
compile, were regarded as the most unmis-
taxable evidences of an unhealthy condition
Of the body polite. Now, however, that 1t
Is our pleasant task to compile figures of
such a highly favorable character, the result
should be regarded as a kind of concentra.
ted testimony to the vastly improved
condition of the community. For
these failure statistics, be they IA
vorable or unfavorable, may Justly
ha rppQr0aG O q thu 1F
efforts yearly made by the vast number en-
gagged In business pursuits, and indicate
healthy or a morbid condition Of financial
affairs as faithfully as the barometer does
the state Of the atmosphere. It is, there.
fore, with more than ordinary qualification
that we submit the comparisons which
these tables contain, confirming as they do
the general conviction that the country is in
highly prosperous state; that the disturb
ing elements, so far as they affect trade and
commerce, are exceedingly few, and that
the prospect for the future is almost with
out cloud, except such as might be created
by departures from legitimate principles"
Notwithstanding this extremely promising
state OF affairs, there are some contingencies
which even III times as prosperous as these
should be looked for as almost certain to
arise. The agency enumerates these as
follows:
"The rapidity Of expansion, which is no.
uceable at present, is almost cert ain to re-
suit In speculatiOns of disastrous charac-
ter. 1t should be borne In mind that within
two years there has been an increase, from
importation ard home production, in the
STOCK OF precious metals in use, amounting
to two hundred and fifty millions of dollars
Most of this has been made available AS
currency, and the consequence is that this
sum has become an immense mower to.
wards imitation. This amount indicates an
increase by 0ne-third of the whole volume
OF the circulating medium as It stood at the
date OF the resumption of specie payments,
and the result is already seen In the i'm
mense increase In the prices of stocks, and
very considerable advance In the values
of staples. The speculative tendencies al
ready developed by this increase In money
facilities is shown in the remarkable state
ment that, during the year 1880, the
amount of stocks sold on the New York
Stock Exchange was ninety-eight millions
OF shares, or nearly as much as the last two
years combined, while In 1875 the shares
sold numbered only ffty-three millions.
Another evidence of expension may be noted
In the magnitude Of the exchanges recorded
6y the clearing house in the city OF New
York for the first week of 1881. Deduatinp
all the transactions arising from stock
operations, the payments amounted to eight
hundred millions of dollars for a single
week, showing the largest transactions of
any week on record. The three indications
ABOVE mentioned-the increase in money,
the growth of stock operations, and the
magnitude of exchanges-may be taken as
evidences Of a general condition which
exists to greater or less extent throughout
the country. What the consequences of an
expansion so marked will be, no one can
foresee. Some, who are prone to descry
evil at every turn, fear sudden collapse
even when the sky is elearest, or, as CARLYLE
says, "A bolt out of the biuel' while others
who are equally well informed, and whose ex-
perlence entities them to credence, do not
apprehend, SO long as times are moderately
prosperous, any disaster whatever. 1t is a
fact, however, which may be pregnant
with warning, that the failures in the last
sixty days OF the year 1880, have been net
only numerous but unusually important
and significant. It is difficult to reconcile
some OF the recent disasters with the pros
porous condition which is supposed to
exist, though some OF these failures NAV be
accounted for by departure from legiti-
mate businnss principles, and by under
taking to attempt the control OF the mar
ket for large products. Still, disasters are
numerous, which seem almost unaeeounta-
ole In the present prosperous condition of
tnlngs. IN this connection the recent
events which have occurred in the South
ern States call for attention. The casual
ties In the interior towns in that section
nave been very ngL.eToGs and very start
ling, ana 1obbers and others who have
large interests there are beginning to feel
an apprehension which is hardly in conso
nance with the existing state of things
elsewhere. The causes of the frequent
failures in this direction arc supposed tn
be overstocking IN autumn the bad weather
which has pervaded large area, aud the
slow delivery and realization Of the cotton
crop in consequence. In the West, North |
west, and in the Middle States, failures are
not so numerous, bit, when they do occur.
they are very significant in character, and |
very much calculated to disturb the happy |
frame OF mind which the year under review |
has created.n
4he agency makes very strong appeal |
for 9 national bankrupt law, which we can |
not do better than insert as 1t is given:
"There is one thing, however, which Ia
more calculated to interfere with the pros
perity OF the trade OF the country than anv |
other, and that is the absence of some pro- |
vision by which debtors and creditors can |
alike be protected, Sn6 Whi2h should take |
the shape CT G national insolvent or bank
rUpt law. The race OF the dilIgent.' as it
is called, by which one creditor seeks to
get the advantage of another, Is an element
almost fatally destructive of the credit of /
hundreds Of traders; while ths disposition |
OF debtors themselves u protect their |
fEiends, to the detriment of outside credi- I
tors, is destructive OF the cor fidence essen
tial to the existence of credit. The pecu-
liar experience which, az mercantile agents,
we are daily encountering, enables us to
discover the gradual shriYeling up Of credit
In hundreds OF cases where, with confidence,
and the prospect of an equitable distYibu- !
ton OF assets, disaster pighy Ie avoided.
trouble, whether well founded or NOT.
in the condition Of shy trader, will cause
almost every creditor TO pounce down mon
him with all the terrors of the law, In the
hope that one may get an advantage oyer /
another; while to the traSez hiu.selr. thus !
threatepsd With disaster, the temptation to /
LaaEe preferences to those who will most
readily assist him In his time of trial is al
most irresistible. The laws Of the 10 rin,la