Mineral Point tribune. (Mineral Point, Wis.) 1869-1938, 1896-10-29
HURTS THE FARMER
HE FIRST FEELS DECLINE IN
VALUE OF GOLD.
LETTER FROM ARGENTINE
Our Minister to That Country Gives
the Results OF Ills Observations on
Its Shifting System of Currency
Laborer Last 20 Receive Benefit OF
High Prices.

Washington, Oct. a1.--Mr. Bu-
chanan, United STATES minister to the
Argentine republic IL 4 report to the
department of state on money and
prices III foreign countries, says: "A
majority of those who have written TO
me from the United States regarding
wages and prices have invariably
asked me to give them The result OF
my observation with regard to the
practical workings CT the cheap money
system of this country as it has affect
ed and affects the farmers and wage
earners. On this point let me say that
from an extended, careful, personal
observation | am convinced that, With
I the possibility of few exceptions all
! classes OF workmen here today are re-
! eeiving less wages, the purchasing
power Of their money Icing considered,
than they were ten years ago. 1t is
true and easily understood that rs
long as gold is rising the farmer who
is selling products as he always has
done and continues TO do, on a gold
| price fixed outside OF the country, is
steadily receiving higher paper prices
for all he has to sell, and is, in conse-
quenee, direct gamer by high gold.
1t is equally true that he has been the
gamer In other ways He has PAID
little more rent, il any, for the land
than five years ag1. Strange as IT
may seems he has paid and Is today
paying but trifle more TO laborers
than when gold was on a par ten
years ago, and as he produces on his
farm meat, vegetables. etc, necessary
for his family he has lad the lions
share of the gain in the rise Of gold
On the ether hand, the workman
found it very difficult to get an increase
in wages as gol0 advanced.
1t required four years to get an aver
age increase of 20 per cent. In his
earnings, while the farmers have been
receiving benefits of the increase
in gold averaging more than 80 per
cent, for the same period In the
meantime the merchant has found II
easy and profitable to increase the
price of his goods In keeping with the
rise of gold. Rents likewise in
creased, although more slowly, and
as prices of all commodities rose, the
laborer found himself daily made
poorer. Strikes We're resorted to; all
sorts Of efforts were made TO bring
about an incease until finally last
year it reached what may be called
the wage high water mark. Since
then gold has steadily fallen. The
first person TO feel the decline has
been the farmer, who Is complaining
bitterly Of the relatively low prices
that he is receiving for products,
while he finds himself obliged TO pay
the same prices for what he buys that
he did when receiving $3.50 more for
every hundred kilos of wheat than he
now receives. Notwithstanding the
decline in employers income, as gold
falls, the workmen will not in all
probability, consent to decrease in
their present wages without bitter
fight; nor can they do so unless there
is a sharp decline in rents and cost
of living. AS gold declines, the wage
come is disappearing. This period
OF reimbursement Of the value of money
has brought about complete stagna-
lion of business. With the advent
of gold, the man who made money on
its rise. turned Spectator and holds
his grain or cattle for higher rates.
The merchant cannot make colec-
tions because of this condition Of
things and AS he has to pay abroad,
he also becomes speculation and
waits for lower gold The fact Is
that this unsettled shifting OF value
thus given TO the currency Of this re-
public, has injured the trade here.
It can be equally stated as 2. fact that
the wide fluctuations that have taken
place in the value Of the currency
within the past year or two have
brought on commercial situation
far from satisfactory 10 merchants,
farmers and workingmen