St. Paul daily globe. [volume] (Saint Paul, Minn.) 1884-1896, 1893-05-29
| BUBBLES DO BURST,
But Public Confidence Once
Restored. the Rest Is
Easy.
President Hodgson's Thought
full Observation Of the
Status.
Jobbers Express Their Con-
ffdence in a Rapid I'M
provement.
Banks Of the State Reported
in Solid and ThriV-
ing Shape.

aiding the early return of public conh-
dence. In an interesting talk, Edward
Hodgson, president Of the Security trust
Company of st. Paul, said: There is
nothing in the present condition OF this
country that will excuse, much less
justify, a financial panic at this time.
Our industries are generally in fairly
good condition, to say the least. AT the
same time, our people are getting the
necessities, the comforts ana con-
veniences of life at less cost than they
ever before obtained them not because
these things are being slaughtered TO
meet pressing demands, but on account
of the facilities and economies for max
ing, producing and handling them that
have been introduced.
The credit Of the governments as
good as that of any on earth. The man
who buys government bonds today can
not make more than about 219 per cent
Der annum on the investment. The
credit of the individual states, counties
and cities never was as good IN any
other decade in the history OF this
country as it is today. Their bonds are
sold at not to average more than per
cent per annum. For comparatively
new country where development Is 60
ing on with such prodgiOuS strides as is
the case here, this is certainly low
rate when we remember that these
bonds are subject to taxation. Not
only that, but individual credit was
never as good in any other decade as 1t
is now. Why then should we have
financial revulsion?
1t NAV be true that in some lines there
has been over production, that here and
there speculation has run into Imitation,
and that some industries are In de-
pressed condition, but will anybody
point me to a time when these condi-
lions did not exist? They have existed
in the most prosperous times we ever
knew, and to greater or less extent
they always will exist. What L main
tain is that they do not exist to any
alarming or unusual extent today, as
any close, intelligent observer must
admit.
The present financial stringency has
been occasioned by the bursting OF some
bubbles that have run as long as Wlnu
would carry them. The public at large
loses nothing by the retirement OF such
institutions. An Institution that is not
managed upon strict business principles
is delusion and snare to the public,
and the sooner it is wound up the bet
ter for all concerned. 1t Is true, that
when such concerns 90 down they some
times carry other good houses and
persons with them, and for time conf
dence and credit is seriously impaired,
yet. as they must go sometime, the
sooner they go the better, and the less
damage they will do.
do not look for full restoration of
confidence until the Sherman law Is re-
peaIed, and we stop paying out good
gold for deprecated silver. That this
will ultimately be done L have no doubt
whatever. The work of education on
this subject is going on rapidly, and it
Will not be long until the people will
demand the repeal of that law. L clio
not expect to see any kind of United
States dollar worth less than 100 cents,
nor do expect to see any other kind
worth more than 100 cents. 1t would be
| disgraceful, and would irretrievably
| injure our credit if in time of peace
any part of the money of this country
should be allowed to go below par.
We cannot do business with short
| dollar any more than we can with a
| short pound or bushel or yard stick. In
my judgment this will never occur, and
! yet the fear that gold will go to prem
Jun or silver go below par unsettles
| confidence aud checks enterprise. We
! should therefore remove the cause OF
! tljs distrust at the very earliest mo-
DI4pt. This being done, we may look
| fer an era of great prosperity. Eng
land has found that South American
republics and Australian. colonies are
| not good places to put their money, and
| will be only too glad to get a chance tt
| invest in American securities wher
| there is no possible doubt about pay
ment being made in as good money a!
| that which they invested.
Business Improvement
Better reports are given by the whole
sale men, without any attempt, evi
IDENTITY, to overestimate the situation
| Their references to collections, sale
and crop. prospects are we'll calculated
to inspire confidence in the bushes
here, if any inspiration were needed
They indicate bright outlook for thu
entire Northwest, and, if there are an,
faint hearts in the business cOmmuni
ties. they cannot fail to gain SOM
strength from taking a few grains o
tonic from the following:
A. II. Lindeke, Lindeke, Warner {
Schumacher, Wholesale Dry Goods
was highly gratifying to see how easil,
st. Paul manufacturers, merchants AM
bankers stood the strain on financial
resources that accompanied the recen
downfall of illicit speculation in Wal
street Not a failure in st. Paul durin
that trying period, and trade and colleC
lions kept up remarkably we'll. Tn
reputation of this city for fnancia
strength and conservative methods con
tinues undated, and it Should be
source of great pride and qualification t
every loyal citizen. st. Paul is locke,
upon with confidence on account of TIL
| substantial character of her business
which suffered no collapse, althougi
the Wall street troubles reached out
some of the cities of the West. | was i
New York during the weeks of finar
cial trouble there, and Inever saw a NOR
Respondent set of business men in m
life than those | saw there, and neve
saw business so dull as 1t was there
The New York newspapers intensifie
the trouble, especially little reddish
tinted sheet, and | think those news
papers caused undue excitement b
their tlaring headlines and sensations
L L
seemed as though the bottom had bee
reached and the situation had assume
brighter aspect. While money j
close. tho tendency is easier, and afte
the settlements of June l L feel certai
that legitimate business will go alon
very. smoothly. Reports from sewers
good men in North Dakota tell us thu
that state is likely to have magnificei
crop; with fair yield 1t will probabl
reach 100000 bushels. The gener;
prospects throughout Minnesota an
the tributary district are very CRAFTY
ing. Our collections are much bette
than they were during May, 1892, an
ahead of our sales.
Collections Better.
Daniel Il. Moon. Allen, Moon Sc Co.
Ahead of any May we ever had in a
the years of our business. That's OF
trade report, and don't mean to say
Doastingly. Our collections are eauall
as good. Here's something | seldoI
show-the record Of sales year afte