Omaha daily bee., 1890-01-05

ADVANCE Vnluca RcnefAlly, anu nOJ uullhtAy
Undoubtedly the business field In this
country is too extensive FOR the capital in the
hands Of our people at the present time;
and thus In obedience to the memorable law
OF supply and demand our interest are uni
the cheap money of Europe as with its cheap
labor. II, therefore, a part Of the surplus OF
three per cent money of Europe could be
transferred permanently to these enter.
prises, although the proprietorship thereof
should pass into foreign hands, l think we
would be materially strengthened In our
competitive commercial race with other ma
tions. II the money once comes TO us, | do
not see how II can get away again, IL is
true the increment in the form of dividends
would 20, and yet it is not unlikely that a con-
siderable part Of this might be left with US in
new Investments"
THE WEST NEEDS MONEY.
''In the west, where there is so much room
for development and where the inadequacy
of capital Is so seriously felt, we are not only
willing but anxious to have these English
people with their money take hold with US.
We are building up great commercial and
manufacturing centres to supply a country
greater in area than all Europe, which is
developing with unprecedented rapidity. We
should like their help and we are willing to
take all the imaginary chances incident to
foreign proprictorship in our industrial en-
terprises If they will unite their capital with
our pluck and our labor for the upbuilding of
our incomparably rich, fertile and prosperous
section.h
REPRESENTATIVE BOSWELL p. FLOWER.
The self-same millionaire of New York
said: II have no objection TO England send
ing over here all the money she has to spare
We have a great country ana we can use a
lot of money. The English l happen TO know
are paying very high prices for what they
get and their investments will let Il large
amount of money loose to go into other fields
of development. This will lower the rate OF
interest and will stimulate enterprise. L am
not afraid of England ever getting such a
hold on our industries as Will ln1ure the rela-
tions of labor and capital in this country and
IL they attempt to raise prices or TO reduce
wages the competition of trade is such that
other companies will be started and they
will be forced to adapt themselves to the
condition of the country"
FROM A LABOR STANDPOINT.
The Hon. John j. O'Neill represents the
lsboring men of st. Louis and he was one of
the leading advocates OF this class
w hen he was in congress-. In
speaking of this question he said last
night: ~ cannot see now such Investments
can be good for the country. Trusts and
monopolies are always created TO increase
the profits and to reduce the cost Of produc-
ton. This means reducing wages aud reduc-
ing the number of workmen. 1t means an
increase of the cost to the consumer il posi-
BILE and it is bad for all concerned. AS far as
the English element is concerned l am
| opposed on general principles to any English
Invasion of America. l am an Irishman and
an Irish sympathizer, and l especially object
to the English owning large lots Of land in
this country as they do in many OF the west
ern states. 1t seems to me that such posses
! sions are evidence of the irony of fate. The
| people on the other side leave their homes to
! get away from these capitalists and their eX-
actions. They come to the west and find
that the land is owned by their old masters"
SENATOR sTooKBRDGE ILLUSTRATES HIS
VIEWS.
Senator Stockbridge of Michigan is ono of
the great capitalists of that state. He IS a
solid business man and has a head packed
full Of common sense. Said he: Il do not
apprehend any danger from the English IN
vasion, and [ think that the only argument
against it is in the trust or monopoly ele-
ment, which would be bad for us If the in
vestmeuts were made by Americans. And
after ali, there is not so much danger IN
trusts. If q monopoly makes a lot of money,
others will rush ip and compete, aud Amer
lean brains and American capital are not
going to allow the English to make fortunes
ut their expense. l will give you an instance
in a small way as to how the trusts and mo-
nopolies work. There Is a big carriage
wheel factory at Kalamazoo, Mich.
1t ls run by the people of that city,
but a large part Of the stock has been owned
by companies IN Sandusky and Fort Wayne,
These companies also make carriage wheels.
They found not long ago that the Kalamazoo
branch was hurting their business and they
concluded to buy up the majority, of the
stock and shut it down. They did buy it
but the Kalamazoo people organized and said
that If they did not sell back this stock to
them at par they would organize another
factory and cut the prices. They could do
this as Kalamazoo is the chief market for
carriage wheels. The outside companies had
paid SIPS for their stock but they were glad
to sell it to Kalamazoo people at $780,.
"Another example of trusts was an my
own experience ~ continued Senator Stock
1 hri6po "A smarf yOunp wap0umaLSar came
to me ono day and showed me q drawing
of q road cart. Said he: This is a
better road cart than the one now in use.
which sells at a high price. Ihave q patent
on this machine and we can make it for So.
If you will advance the money we will start
a factory and put it on the market. L knew
the man. His scheme was, a good one. /
lent him $40, 900 to start his business and we
made money from the start. The cart which
cost me IS we sold by the carload for S1S and
at retail for S25. The man paid back the
whole of that $40, 900 the first year, and we
made money right along for four or five
years. Then the other factories saw through
our profits and half a dozen new institutions
were started. The profits ran down and the
carts retailed for $40. | then drew out, and
my man, who had saved a good deal, invested
in something else.
9Th English are paying US high rates for
everything they GET" he continued, land
90 not think they will get back so cents on
the dollar for what they are paying. They
are getting our men 10 run Lneir INSTITUTIONS
at high salaries. They will have trouble
with these sooner or later and will have tc
manage their work with inexperienced
hands. The disaster will fall on the limo
cent purchasers of the stocks. The men
who are getting up companies are of course
making money. You understand how 1t il
done. They pay 800, 900 for an establish
ment and stock the company at $3.50, 900, anC
the extra $4,000 goes TO the eetters-up o.
the companies. | happened to know tina
snma nf the establishments in MirhiuaI
which they have been buying have not beer
making money for some time, and that they
have had a hard row TO hoe on the American
, basis.'
"How about lumber, senatorW
"Ihaye not heard of a lumber %trust,'' SAT-
this millionaire pine forest owner. "Whel
they are ready to buy lumber mills or pin
lands l will sell them q mill or two, and
r will hope to make enough off them TO buy
house in Washington"
5 FRANK G. CARPENTER.
| ~
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