Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1894-06-04
GAMBLERS GAINS
Iniure Both Producer Of Wheat and
Consumer Of Bread.
SEINE statsnsals Well calculaiad 70 lfhusnes
Hatch Anii.0plisa Bill.

Hatch has proxiuced a n.Gssof very curious
testimony. So little attention has been
paid to it that few people know how deep
" Europe is interested in the same qucs-
tion. The Hatch bill and report thereon
and Senator PETERS summary on the
same subject have been translated into
German and are being used to create SEN
timent for bill lately introduced into the
reichsrath France also is moving i'll the
same direction with curiOusly worded
measure to prevent gambling transactions
in grain Mr.. Hatch has received an III
tercsting private letter from the Engllsh
promoter of antioption legislation-Mr.
Charles W. Smith of Whitney Court,
Herefordshire. He was recently called BE-
fore the royal commission on agriculture
and gave evidence which was forwarded
at once for use in the discussion here and
reads very much like q Kansas or Missouri
members speech in the house. Mr.. Smith
saws that his attention was first called to
gambling transactions in grain, cotton
and silver in 1875; that he has made
study of the subject ever since and noted
that all staples subject to such transac-
lions have declined enormously in price,
while others have declined but little, and
few have advanced
Grain Gambling.
Lest this should seem a mere coinci
dence, he goes OH to show how the basis
of free trade as laid down in 1876, has
been completely changed by these transac-
tions and both the producer and tho con-
sumner wrongcd, especially the former,
and that, while formerly the decline in
grain was followed by a nearly similar
cheapening of bread, and so of other prod
ucts, there is now no correspondence. The
intermediate gamblers have intercepted
the gain to the consumer. Referring to
the early periods in grain dealings, he
says: 1.-The bear at that time was un-
known, all the operators being bulls.
Now the bear interest is far more power
full than tho bull when settlement is nc
cessity. What is needed is legitimate pro-
lection against those disastrous innova-
tions by which the farmer has become the
tool of the gambler tho whole year round
and has lost all power in fixing prices of
agricultural products Bears and futures
have combined to depress prices to an
alarming extent, as they are beyond logit
innate results of supply and demand and
have set up an artificial barrier between
producers and consumers.
To enforce his statement Mr.. Smith pre-
sented tables of tho decline in wheat, cot
ton, silver and other articles affected by
gambling transactions and contrasted the
prices with those of other articles not SO
affected. He argues that adecline of 60 per
cent in wheat under this gambling system
may be attended with u cheapcning in
bread only one fourth as great and similar
ly in cotton. He shows how the operators
combined to catch tho Lancaster manu-
facturcrs and force up the prices OH them
at the same time they forced down prices
to the producer, and his estimate is that
Worcestershire between 1873 and 1890 lost
Els, 900, 900 by these manipulations, while
the cotton producers lost very much more
So far his facts seem applicable to Ameri
can conditions, but he goes on to show the
evil effects of gambling in warrants of
pig iron, copper, tin, sugar, coffee and
tea, of which we had not yet heard much
in this country. He closes with this curl
GUS statement: "Bimetallism is impracti-
cable If gambling in silver continues. 1t
Is only since silver became registered
commodity in the London produce clearing
house that it has, like all other commodi-
ties SO treated, sunk steadily and rapidly
to mere panic price. Legislation can
never fix a price for silver so long as it is
subject to such gambling operations. I" As
remedy he advocates an antifuturc bill
on the same lines as the Hatch antioption
bill, and that he is very real Englishman
is shown by the fact that he speaks of the
latter as having been ordered before the
committee on ways and means by major
ity of 16S to 53' and directs his letter to
Senator Hatch, American congress-
The State Bank Tax.
The anticipation of warm discussion
over tho bill to repeal the tax on state bank
issues was we'll realized although Mr.
Springer's opening speech was quite tedi-
GUS and listened to with impatience by
thin house. He seemed to labor very much
in speaking and could not be heard dis
tinctly across the hall. The next speech
by the veteran Gafusha a. Grow was de-
livered with surprising, energy and in n
voice which made the lightest articulation
clear in every part of the gallery. He
agreed with Mr.. Springer in opposing the
repeal. but differed radically in his method
OF perpetuating the national currency.
Mr.. Lawson of Georgia made the first
speech in favor of repeal, and these three
practically made the arguments, which
were merely elaborated by succeeding
speakers. Two facts were noticeable-that
all the speakers claimed to be in favor of
an increased and steadily increasing cir
culation, and that nearly all agreed that
the great fault of the present system is the
want Of elasticity in the currency Any
one who will read this discussion and then
read that which took place in the house
early in 1869, in which Roscoe ,Conkling
and Owen Lovejoy bore prominent part,
may be surprised to learn how little prog
ress has been made in congressional knowl.
edge Of monetary science by all the expert
ence of 32 years t
LATE Pence on Finance.
"Our position on this and all such ques-
tions," says LATE Pence, 'is clear and
consistent. We look on all banks of issue
As nuisances and arguments in their favor
as obsolete. We consider that the world
has outgrown such things, and VIC are
only little more opposed to state bank
money than to national bank money"
And there are several old heads in congress
who say that this Is only the beginning