The San Francisco call., 1895-05-19
MONEY MAKING
By FRANK G. CARPENTER in ASIA.

line representatives Ol d Huuooi Va Oi6
American syndieates are now on their way
across the Pacific to investigate the possl-
bilities of investment and speculation In
China, Korea and Japan. One of these IS
the Hon. George B. Williams, who was for
years connected with the Japanese Govern
nent as one of its foreign advisers, and
who later on was the legal adviser OF the
Equitable Life Insurance Company in Lon
don Another is Chester a. Holcomb,
who was long associated with our legation
: in Peking, and who is well posted upon
=. China and the Chinese. In addition to
these | hear of scores of individuals who
propose to go to China and Korea in order
to be able to take advantage of the changed
conditions consequent upon the carrying
out of the new treaty, and a number OF old
schemes will probably be revived. 1t was
only seven years ago that Wharton Bar
ker raised a fund of $50,000,000 to build
railroads and to do banking for the Chi
nese He has, l understand, been in cor
respondence with Ii Hung Chang since
then, and he may now again come to the
front. l have met dozen young men
lately who have told me that they were
about TO start to Asia in order to get en-
ployment as mechanics or engineers on
the new railroads, and l receive letters
every day as to the chances for Americans
and American investments in these coun-
tries. The situation is undoubtedly big
with possibilities. 1t is, however, far diff
ferent from what people believe, and in
this letter | will attempt to give some
thing concerning it.
The indemnity from China will probably
create boom in Japan, and especially in
j: Toxic, the capital. When the Franco
Prussian war was concluded every German
thought the money paid by the French
would all be spent in Berlin, and the peo-
pie rushed by the thousands from all parts
of the empire to take advantage of 1t. Ber-
lin in 1850 had less than 100000 people, and
before she went to war with France she had
only 10000. Three years after the settle
ment of the war her population numbered
96S 900, and in 1880 she had already more
than 100000. She has now, with her sub
urbs, nearly 5000, 900, and she stands next
TO. London among the great cities OF the
world. The war was succeeded by an era
of speculation in Berlin. Stocks and real
estat, jumped upward, and 1t was so until
the panic of 1873, when there was a col
lapse. The city soon recovered, however,
and tits now one of the most prosperous of
the world. The same thing will be re-
peated in Toxic. Prices will advance and
real estate is bound to go up. An era of
speculation viii probably follow, and the
will probably do well. The japanese have
their stock exchanges, and their water
works stock, their railroad stocks and their
other stocks are regularly quoted in the
newspapers. Many of the com panies have
been paying big dividends, and this is
especially so of the banks.
The seaports have been steadily growing,
and real estate in these ought to be good.
Take, for instance, Y Yokohama. 1t was a
fishing village when Commodore Perry first
came to the country. 1t has now popula-
ton of more than 100, ,000 and il is a town
OF water works gas and newspapers.
Toxic has now more than 1000 900 peo-
pie, and the probability is that it contains
more than million and a half. 1t is only
fourteen miles from Yokohama, through a
thickly settled country, and an electric
railroad built between the two points would
undoubtedly pay.
AT present there are no electric railroads
In Toxic, and there are no streetcar lines
in Yokohama. The field for electric rail
roads is practically uncultivated. and by
the new treaty it would be impossible for
Americans to engage in such work outside
: of the treaty ports. Take the town of
Osaka, in the central part of the empire
1t has, with its suburbs, 100000 people,
and there is not an electric railroad in it.
1t lies sixteen miles back from the sea-
coast, and it is connected by railroad with
the town of Kobe. Kobe was very small
at the time tnat Japan was opened, but by
g; the census OF 1890 it contained 136000 peo-
pie. Ap electric railroad between Kobe and
Osaka ought to pay. This part of japan
is one succession of villages, and only
few miles west OF Osaka is the great city
OF Kioto, which was for years the capital
of Japan, and which is now as big as
Washington or Cleveland. If an electric
line were stretched from Kobe to Osaka
and thence on to Kioto, it would strike
ulllanae or q lie - ol
it would accommodate a population of
fully 100000 of people. The Japanese are
great travellers. They make long excul-
sions over the country to visit the most
sacred temples and shrines, and 1 met
hundreds OF families walking along the
roads from one sacred point to another
The railroad cars were well filled, and
these electric roads would pick up many
parties on these trips of religion and
pleasure combined. AS to the electric
light field, that is also great. The 40,OOO-
600 people OF the Japanese empire live, to
a large extent, in villages and cities.
There are few gas plants. and the chief
lighting is done with coal oil. Electric
lights could be put in without much ex-
pense, and in the large cities at very low
rates. The telephone is rapidly coming
into use. There are large number in
Osaka and Toxic, and the rates for service
in the japanese capital are $35 in silver or
SIT so in gold per year.
There will probably now be an increased
demand from Japan for American goods.
The country already takes $14, ,0O0, 600 worth
of American raw cotton every year. 1t has
been buying, and will continue to buy,
American machinery, but the great trade
between America and Japan in the future
is to be in shipping American raw mate
rials to- Japan and bringing back Japanese
products to America. The money to be
made by Americans will be largely through
their better knowledge of the American
markets and American needs
The settlement of the war will bring
about great change in China, and from
now on the empire will probably be slowly
: but steadily opened. The making of Nan
king treaty port will give new foreign
settlement at that point, two hundred
miles up the Yang-tSe-K -Kiang. The Gov
? eminent will be obliged to cede certain
amount of land here to the foreigners, and a
little foreign city will spring up at this
point, such as have already sprung up at
every open port. In Canton there is an
island which is given up to the foreigners.
AT Hankow the foreign concession covers.
/ judge, at least square mile. and at
Shanghai many foreigners have made for
tunes out of the rise of the real estate in
the foreign concession. There are foreign