The Madison daily leader. [volume] (Madison, S.D.) 1890-current, 1896-10-29

stance ny the tigntEeSS OF money ana
the drawing in of bankers loans. Then
it was encouraged and facilitated by
the rate wars OK the southern and
western roads, which induced holders
Of old Grain TO ship it as fast as they
could. These rate wars enormously in
creased the volume of traffic. while
adding absurdly little to the earnings
Of the roads. All the grain collecting
centers. Kansas City. Minneapolis, Du-
luth. Chicago, st. Louis and Peoria,
had record receipts. A statistical au-
thority estimated that III the first three
weeks after the reduction of freight
rates $1,000 bushels of grain were
carried from the western and south
western states TO the soaboard.
The whole OF that work was evident
ly done under great disadvantages. and
with little. if any. profit; much of it
perhaps al a positive loss. The farmer
who raised the grain may have starved
or gone bankrupt. The rail-
roads which carried it to the seaboard
Of a cent per ton per mile are doubt
lass qualifying for fresh receiverships.
The elevator companies, the brokers.
and the exporters, have all had to
adapt themselves to the lard times.
and to work on very slender margins.
These individual losses swell up into
a huge, one might say a s~tupendous,
loss to the nation. That is the price
which the United States is paying for
the $40, O00, 900 or $40, 900, 900 of gold, which
1t has contrived to Goa back from
Europe. 1t does not seem to be a great
bargain for the Americans.
They cannot hope to grow rich on
such One-Sided trade. The millions of
:oas CT surplus produce they are throw
Eg overheard as it were, in order to
got a few million dollars worth OF
the yellow metal, are the best wealth
thy have; almost their only exportable
wealth. 1t a never return to them
from Europe however fast the gold
they are getting in exchange for it
may return to Europe. 1t is so much
Of the muscle and brain Of the coun-
try gone forever. And for what? So
many bars of yellow metal, and so
many barrels of gold coin, not a 1.-THE
Of which is actually needed in the
country, either for money or for the
industrial arts.
IF gold had a bona fide and an effec-
tive role to play in the currency of the
United States, as it has in the currency
Of the United Kingdom, there might be
some conceivable object in accumulate
ing it, though even among ourselves
that is apt to be overrated. BUT IN
THE UNITED STATES GOLD IS A
MONETARY EXOTIC. 1T HAS A
VERY LIMITED RANGE OF CIRCU-
LATION AMONG THE PEOPLE
AND 1T IS ONLY ONE OF SEVERAL
POSSIBLE FACTORS IN BANK RE
SERVES.
There is no natural indisputable
place for it in the working currency OF
the Union. 1t only embodies a tantal-
iZing and impracticable ideal which the
actual money Of the country has to try
TO live up to, but so far with very indif,
ferent success. If the ideal were made
practicable by means of adequate leg
islation, or IL it's impracticability were
recognized, and the farce of playing
with 1t abandoned, the Americans
might at last find a real escape from
their monetary dilemma. AS it is now
they pay q cruel price for a superiority
which will not stay with them wher
they nave got it, and which rarely re.
turns to them of it's own accord.
1T IS ONLY BY FINANCIAL MA.
N1PULATION. AS COSTLY AS 1T Is
FOOLISH AND As FUTILE AS IT Is
olN'oo, ma GUILD IA
BE DRAWN EITHER INTO THEIF
BANKS OR THEIR NATIONA.
TREASURY. Their ordinary balance
of trade no longer attracts goSd tc
them except for a month or two at the
most favorable season of the year
which they are now enjoying. Al the
present rate CT shipment the surplu!
of bread stuffs and other staples avail
la BILE for eSnnrf might aacilv hn av
hausted before a third of the season il
over, and how are foreign obligations
to be met during the other tWo-thirds'
Sine 1892 the gold movement of tn,
first seven months of the year-Janu
airy to June-has been increasingly ad
verse to the United States. Only one,
in these five years has the loss or bal
ance been moderate and THAT WAS
WHEN THE MORGAN-BELMON7
SYNDICATE CALAMITY UNDER
TOOK TO SAVE THE TREASURY
BY AN EXCHANGE OF GOLD FOT
COIN BONDS ON TERMS WHICH
LOWERED AMERICAN CREDIT AL
MOST TO THE LEVEL OF CHI.
OR BRAZIL"
Extract from the London Spectator
dated Sept. 10, 1896:
The true strength of Mr.. Bryan
position Is one the force of which W.
shall in Europe feel more and more
the tendency Of improving civilization
to increase discomfort. With education
and a glimmer Of the power to accumu
late. the old cheerful resignation dis,
appears. and the people begin to pine
il artisans, for more security, If agri
c%ulturists, for more surplus cash, cash
which they can spend after they arr
fed. Care, which in their
lively savage state they did not feel
descends on them like a cloud. A
friend Of h writer, a great manu-.
f%acturer, devoted himself many year.
ago to give his hands a dead lift II
the scale Of civilization. He gave then
good house inc good schools, opened
a bank. preached thift, and tried IL
all ways to Undue them with the idea.
of the middle classes. He succeeded
even beyond his expectations, but with
this result, among others. that care
filled the minds of his people, tina
thrift grew into a passion, and tn
the sum of content in the village wa.
one-half. Precisely the same conse
are following increasing en-