The morning call., 1893-08-13
THE PRODUCING CLASSES.
They Must Make Themselves Heard
on Questions of National Finance.

Editor CaU-SIR: The Hon. Joseph III.
Eckies Comptroller OF tile Currency, wrote an
article published In the August number OF the
North American Review. in which he portrayed
the financial situation of our country He
argued i'll favor OF a single gold standard
though he did not say it in words He at
tempted 10 sustain his position by quoting
largely from Adolph SOetbeer. the great Ger
man statstcian; from Mr.. GoScheI, the former
British Minister of Finance; from the Econo-
mist, an English journal. of June 49, 1890:
from Moritz Benedict, German editor and
member of The monetary reform committee of
Austria, and closed by referring To one Ameri-
can authority The Hon. John Sherman
He spoke in glowing terms of these tforeign
authorities on finance, an dwell with peculiar
JUNCTION on the force and character of their ar
gumeuts, and endeavored TO apply those argu-
mentS 10 our situation. He told us the remedy
for all our present ills was the repeal OF the
Sherman act, without teuing us what financial
evil now existing III America its repeal would
remrdy, or wherein that law had mperiled
American finances. II pointed 10 the fact that
New York and New England banks had not
during the present financial crisis fail d, While
Western banks had failed. He said That pro
tective laws have returned TO plagu their au-
thOrs,' without informing the people what this
plague was; and IN the same sentence he at
trlbuted the present financial situation 10 the
much abused Sherman act, aud not TO The tariff.
In word lie gravely SAID to the American
people what no one disputed, namely, that
sound financial system was beneficial without
pointing 10 single fact even tending TO show
that our present American system was not
sound one. And he closed his article with the
statement that 1.-The return 10 sound financial
basis gold Will be slow. but when once upon
II the American people will be immea surably
more prosperous than during these past years
of speculative aud fictitious values.
Ii Is fair TO say the writer did not originally
favor the enactment of the Sherman law until
1t appeared TO be The best that could be done.
But The ehect Of that acl is not what Is so Oftrn
claimed by the "gOld" men. Indeed 1t can be
truthfuily said thai at no time since its passage
has there been Gas MIR. Eckles claims IN either
the Middle. Western or Southern States of The
American Union speculative o: fictitious
values" TO property; nor have the products OF
the farm or factory been unduly or unusually
high; nor has there been too much or TOO cheap
money or an initiation in either monetary or
business channels; nor has there ever been IN
the United States an undue initiation OF prices
which was caused by too much gold or silver
money.
1t is true that everywhere throughout the
country there is al this time wan OF conn
dence. and The question is, What Is necessary
To he done to restore Ii? The answer Is. Busi-
ness prosperity Will restore confluence. 1t eau
come in no other way. Stat again the wheels
of machinery. heat Up the furnaces which are
now cold. secuIe fair prices for the products OF
the farm and the factory, and thus give labor
chance in the great struggle for existence, ana
prosperity will be inevitable, because confidence
comes with prosperity. 10 40 these lungs the
industries Of the country must be encouraged
not menaced. threatened or trampled upon. We
must build up, not tear down. Our home mar
ke must be made secure 10 us and then our
exj Orts will exceed our imports. We Will buv
less abroad and make more at home, and thus
keep our money at home.
In fact We must rely upOu ourselves to SuS-
tain ours Ives. Self-reliance brings business
confidence.
1t il most true that New York with New Eng
land constitutes the creditor portion OF THIS e
public; the West and South The b or portion
For more than a century the people of the
former sections have grown rich by owning the
storehouses and being the commission mer.
chants of the producers of the West. They
have accumulated vast fortunes by buying,
selling and shipping the raw material that the
rest OF the country has produced. They have,
after accumulatng these fortunes, loaned some
of lhr money so accumulated to the people OF
the West. We are therefore the debtor class
because we are builders. Eastern railroads are
already constructed; ours are not ] heir cities
are full grown; ours have just begun 10 grow.
Their banks are full OF the accumuations o.!
money earned during a generation OF success
ful Western investments. And so they have
money TO sell and we have products TO sell. We
want fair price Tor our products; they
want money to become dearer: And SO The
creditor classes OF the East 1mltat-
ing the examine Of England. see. to.
make money scarce and dear by favoring a
single gold standard by demOnetiZing silver as
metal. 1t matters not under what name this
is dOne-Whether by the unqualified repeal OF
the Sherman act or direct legislation-the re-
suit is the same. Wall street proposes to do
this and vet W all street is no worse than other
people so situated In a word, Wall street is
looking 10 its own interests. shall the nro-
ducers of the nation look TO their Interests?
The success OF Wall street means destruc-
ton To the West, for If you decrease the actual
amount of money now in use by many millions
of dollars, by demonelizng silver money, you
make money more valuable. and then the prod
uctS OF the West and South which New Eng
land and New York must buy. become less vau-
able. and so they will make at both ends of the
line and we will become bankrupt. Our banks
cannot stand when our industries fail. Indeed
every thoughtful man should sustain, not critI
ciZe. his local banks. We cannot do bust
without them. The cts are, the West
and South need more money and must have it,
We cannot rely upon New York alone to aid
us. We must act for ourselves.
True. New York is the metropolis of our
country, yet II Is practically foreign city. TIE
American seDtiment OF New York Is not en-
cnuIacrd IL financial circles. More than so per
cent OF her people are foreign. Some of her
richest men are living i'll England. Her merchant
princes are importers and are not interested III
America or In American products except as
This country affords them market for what
they bring here from other lands 10 sell. Her
rich people know less of the West and South of
their own country than they do Of Europe. and
so they cannot wisely Judge as TO our situation
Indeed 1t Is painful fact that many newspa
pers of New York, which are presumed to be
the molderS of public opinion, are controlled by
foreign born people aud by foreign influences,
and thus her journals do not faithfully voice
the best business or the the most loyal Amer-
can sentiments.
1t Is stated that no less than three of these
great New York journals have each net an
uual income OF one million dollars. l. it pos.
sbe for such journals 10 either know what the
great masses of American producers and
American la DorerS most need, or knowing 10
fairly represent them? 1t Is expecting too
much of ftail human nature to look for this
And ii thus becomes d necessity for The
producing classes of our country to make them
selves heard even on questions OF national
fnance-to uniIe for the commercial good of all
the people, and thereby secure 10 every Amer
lean an equitable share in the benefits which
flow from wise and conservative government
NORRIS Nj. ESTEE
San Francisco, Aug. IL.