The morning news. [volume] (Savannah, Ga.) 1887-1900, 1892-05-04
The Demand for More Money.

There is no doubt that those Of the
farmers who are demanding an increase in
the volume Of the currency are sincere in
their belief that their material condition
would be greatly improved, if their de-
mand were complied with. They have been
told by the leaders of the third party that
the depression from which they are now
suffering is due to a scarcity of money.
AS matter of fact there is more money
per capita in circulation now than at any
previous time in the history of the country
The reports Of the Secretary Of the Treasury
show there is The third party leaders say
these reports are not correct, but when asked
! to point out wherein they are not they make
evasive answers.
1t is notorious fact that the banks OF
| New York have 40 much money in their
vaults that they are unable to find protita-
| BILE investments for it. A financial article
| in the Philadelphia Times Of May 2, relative
TO the accumulation of money in New York,
says THE continued ease in the money
market is a source of great annoyance to
many capitalists. The presidents Of sew
eral Of the prominent banks make no secret
OF the fact that they are having considera-
Bile difficulty in finding good and profitable
channels for the investment OF funds. Dur
ing the past week there has been such a sur
plus of idle cash that people who formerly
refused to take anything other than first
mortgages on real estate were willing to &C
cept second mortgages. Perhaps none of
the banks feel the plethora Of money more
| than do ,the savings institutions. Said the
president Of large savings bank: Unless
a change takes place in the situation very
soon fear that we will be compelled to
| disappoint our depositors by paying lower
! rate Of interest this year than was paid In
1891"
Naturally the farmers of the south ask
why it is that with money so plentiful in
New York they find it so difficult to get
what they need to carry on their farming
operations. There are several reasons. One
is that the amount received for the cotton
crop, owing to the low price OF cotton, was
barely sufficient to hquidate debts that had
been contracted in producing it. When the
debts -hwere paid there was
nothing left. The money was
paid to the country merchants and
cotton factors, who in turn paid it to their
creditors, and it finally found its way to
the great money centers. Had the money
received for the cotton crop been greater
than the debts contracted by the producers
Of it there would be plenty Of money in the
cotton producing section, just as there Is
now in the wheat producing section
| of the west. The wheat farmers
are not complaining of scarcity OF money.
! In their section the banks are in much the
same condition as the banks Of New York
they have more money than they know what
to do with. If the southern farmers had
anything marketable to sell they would not
be complaining about the scarcity of money,
for they could sell it and get the money for
it without trouble. If during this cotton
season the price Of cotton had been 10 cents
per pound instead of or very few farm
ers would think there was a necessity for
an increase in the volume of the currency.
The legislation needed is not such as
would greatly increase the volume Of the cur
rency, but such as would prevent the accu-
mutation of money in New York and other
| great commercial centers. II those mem
bers of congress who are 80 earnestly urging
| the free coinage of silver as a re nedy for
the depression from which the farmers in
some parts OF the country are suffering
would turn their attention to finding way
to bring about more equal distribution of
the money already in circulation they
would, in all probability, do the farmers
great deal more good than they are likely
to do by insisting upon the unlimited
coinage of silver.
About the only ones who would be helped
| by tree and unlimited coinage of silver are
| the silver mine owners, who now get only
about SO cents for the amount of silver there
is in silver dollar. And they are
the ones who have forced and are still fore
| cling the silver question into prominence.
| They want more money for the product of
their mines. Tue only way to get more is,
| they think, to make the coinage of silver
free and unlimited. In order to get what
they want they have tried to make it ap-
| pear that the free and unlimited coinage of
| silver would greatly help to better the con-
dition Of the farmers. The farmers are be-
| ginning to understand what the agitation in
behalf Of the free coinage of silver means
and they are not demanding free coinage
now 80 earnestly as they did a few weeks
ago. Fl
Facts About the Public Debt.