The times. [volume] (Richmond, Va.) 1890-1903, 1896-02-18

tho affair was going 20 turn out this
way from the beginning. The American
people as a people. are not so situated
as to bid for gold bonds IN this sort
/ Of an auction. They don't hoard gold,
they have none. and those who UNDER
stand the subject wen enough to take
! part IN IL land they are very few. have
TO depend upon the brokers IN the cities
to manage the business for them. Inc
impulse for popular loans rests upon
what We have seen France do. But the
people who think that because the
French people break their necks In scram-
bling to subscribe 30 q loan offered by
| their Government, tho American people
will do the same do not consider Inc
difference between French and American
institutions There arc no banks IN
Fran, outside Of Paris and few of the
larger cities. and all OF the people have 10
pco, their surplus cash in their houses.
A government loan offered 10 them is
Ike what cur banks daily offer all OF our
poopls. II - a safety-box. The French
rush for their government bonds TO put
their savings into, because it is a safe
deposit. ana pays them interest on what
would otherwise be dead capital.
But our people rarely have cash in their
houses Their savings are always depo5-
tied Ga the banks, and they win not take
them ont unless the security offers
tempting interest, and pcr cent. is not
tempting in America TO any but very
rich men. who are looking for safety.
we do not wish to be understood as
critcis!ng the administrator for SUBJ
hitting the last loan TO tho people. we
think, on the contrary, that the act was
wise ouc under the circumstances.
There had been so much senscless cilii-
cism Of the contract made a year before
with the Morgan syndicate that IL was
wise TO submit this loan to popular SUBJ
scription that the public might learn just
how such an operation would work
number OF things HAPPENED in the course
OF this operation which convey very in
structivc lessons. F0r instance, al Office
boy I'm New york city, by way OF a
freak. u!d for $4,000 Of the bonds at q
price that was accepted. lie had nothing
10 pay with ana never expected to be
called on to pay. Inc whole .hins was
Joke Bus he was awarded his bonds,
they at once rose some five or six points,
and the boy. on an investment Of two
cents, sold his award ar profit OF &c.
GOO, and two impocunious bucket SHOP
spectators in Boston worked the same
game and figured along with the foremost
financial houses, getting a large block OF
bonds. ana making what was TO them
aood-sizod fortune. u another public
Ibid were called for it is obvious that the
experience OF ,ucse people, known now
TO the whole country, would overwheim
the Government with bogus and purely
speculative bids. 1t is plain. therefore.
that if another popular lean is called for
5, WIN have to- be under conditions that
VIII protect the Government from sham
operations OF his Sort and when those
conditions arc attached it is plain that
they viii kin whatever chance might
otherwise exist of placing the loan
amongst tie people at large.
our recent experience should teach the
administrator. therefore. that the clamor
of such journals as the New York World
for a popular loan" IS mere subbisn
furnished BY people Nh2 have a very
inadequate idea Of fine conditions exist
ing in this country that environ money