The Caucasian. (Clinton, N.C.) 188?-1913, 1895-05-30

ohiss a.A Japan use Cheap Money ssA
Will A0n0poliss CottSs Man ufacturss.

WASHINGTON, May 15.-Consul-
General Jernigan, at Shanghai, Chi
ma, has sent to the State department
comprehensive report on trade re-
lstions with China. after prefscing
the report with q statement about
the civil government of Shanghai,
the principal commercial city Of the
empire, Mr.. Jernigan argues in favor
Of an international standard of val
ues. He says that China is Ameri-
cas- largest market for domestic cot
ton, but that there has been q falling
OF and the loss rs regards the Unit
ed States is 30 great, he says, ~ to
excite anxiety. He thinks the man
ufscture of cotton goods by China
and Japan promises to decrease i'm
portations from both the United
States and Great Britain. The num-
Der of spindles has increased in Japan
from 40, 700 spindles in 1883 to 60O,-
600 in 1893. No full statistics have
been published in China, but it is
estimated that there are 100000
spindles and 5000 looms in opera
ton. Cotton raising is on the in
crease in China. Japan has been
furnishing much of the raw cotton
for her mills, but the mills in China
will sosn force Japan to look else
where for her supply. He says that,
by reason of her position and gener-
al conditions, Japan must be the
manufacturing country of Asia as
Great Britain il of Europe. This, he
says, points out the Importance of
the cotton producer of the United
States Of seeking shorter routes from
the cotton fields to the mills of Asia.
The cotton mills of Japan especially
are highly remunerative, and there is
no reason why the cotton mills of Ja-
pan should be more profitable than
the cotton mills of the United States,
and with respect to reasons why ia
pans mills are more profitable than
those of the United States he makes
the following observations:
QUESTION OF CURRENCY.
In 1878, the mills of the Orient
and Occident were competing on re-
latively equal terms, and receiving
equal returns. Now, in 1894, each
mill employees the same amount of
labor rs 1t did in 1873, but the
owners of the mills In the United
States pays for the labor in gold at
the old rates, while the owner of the
mill in Japan pays for the labor in
silver at the old rates also. The
Japanese mill owners pays in 1894,
as he did in 1878, from Is to 20
cents day for men and from eight
to ten cents q day for women. That
meant in 1873 from eighteen to
twenty cents day in gold for men
and eight to ten cents in gold for
women. Now, during the greater
part of 1894, one dollar in gold has
been about equal to two dollars of
Japanese silver, which makes it clear
that the mill owner in the United
States is paying twice as much for
labor Is the mill owner in Japan,
and this may be the reason, that
while the cotton mills of Japan are
showing such handsome returns, in
the United States and Great Britain
they are comparatively struggling
for existence. Not only does this
principle of difference in the value
Of currency in which labor is paid in |
the eastern and western countries
apply to wages, but it applies to
whatever is essential to the success
OF agriculture and manufacturing
enterprise. eff the land acquired
% years ago by foreigners in Shang-
hal was then worth $25, 700, 900 and
was sold for what it originally cost
in silver, and the proceeds converted
into gold, the loss would be about
BIZ, 100000, and by this rule it ap-
pears that the inequality in value in
silver and gold has reduced the gold
value of the worlds property one
half. lam not writing in favor of q
gold or silver standard, but in favor
Of an equslizing adjustment between
the two. Silver is used by one-half
of the world and gold by the other
half, and while wages in one-half are
paid in . deprecated currency and
IN the other hand in an appreciated
currency. rivalry between the re-
'pective products of the labor of
zach country is encouraged with the
advantage in the outset to the pro-
lucts of labor that is paid in depre.
stated currency, and especially when
he latter can supply his daily wants
With such currency, which he will
ingly receives and remains content !
d with. =
CAN'T BE OFFSET BY MACHINERY, G
The consul says these advantages 5
snnot be Offset by improved ma
hinery, for China and Japan import n
he most improved modern ma 6
ainery for their cotton mills. Japan : I
vill in . few years have established G
locks and machine shops for build &C
ng medium sized warships, and the a
'rocess Of civilization which has I
moved Japan is actively at work in +
;hins. Again, touching on the c
money question and values: Gas to
commodities in Great Britain and the
United States the average prices are
ne lowest in the century, while the
verage prices, comparatively, of y
wenty leading commodities of +
,hinese production were nearly the
Ame in Shanghai in 1898 as they
ere in 1873, and a higher degree
{ prosperity in China and japan
- accompanied the stability in
rices."
The last congress With q Demo-
ratio majority in both houses, de-