Santa Fe daily New Mexican. [volume] (Santa Fe, N.M.) 1885-1897, 1896-10-22
BOSTON WOOL DEALER TALKS
How American Wool Market Has
Been Ruined by the Vicious
Gold Standard.
UNANSWERABLE SILVER ARGUMENTS

IarlH FrotectlOn WnOlly useless 81
Long as Exchange Remains 80 I'm
mensely Favorable to Silver
Using Competitors.
The following discussion between
Boston wool merchant and an Ohio WOO
grower presents new methods of protec
tion for wool that are vitally importan
to all wool growers and manufacturers:
Grower: Well, If Mckinley is elected
the wool growers will receive ample pro
lection before marketing their 1897 clip
Merchant: No, unfortunately they cal
not obtain relief by high duties on WOO
before 1901, possibly not then, unless fla
vorable silver legislation is enacted. A
majority of the United States senate, al
it now stands, will not pass protection
bill which ignores silver.
G: But will there not be changes il
the senate that will give high tariff mem
bers MAJORITY
M: No, not before 1901; that has beer
very carefully calculated. Ifyou wish de
tails refer to the Salt Lake Tribune OF
the Denver News.
G: What are we to do? The outlook
is dismal now, even if Mckinley is elect
ed. We must be protected.
M: Well, as we can't put high duties
on imported woods, some other method oi
checking foreign competition must be
adopted.
G: But l have always thought high
tariff was the only way to protect Ameri
cans. What is your scheme?
M: I will explain briefly, and, that you
may understand my interest in this sub
ject, will state that twenty years ago
began the wool commission business
afterward became owner of wooden mill
and little later started sheep ranch in
New Mexico. Being at the same time g
wool merchant, manufacturer and grower
have studied the matter from these
three standpoints. l HAVE ALWAYS
VOTED THE REPUBLICAN TICKET
BUT AFTER A CAREFUL INVESTIGA-
TION AM FORCED TO CONCLUDE
THAT A HIGHER DUTY ON WOOL I'M.
PORTS, RAW OR MANUFACTURED
WILL NOT AFFORD AMPLE PROTEC.
TION TO MY WOOL INTERESTS UN.
TIL FOREIGN COMPETITORS ARE
DEPRIVED OF THE ADVANTAGE
GIVEN THEM BY CHEAP SILVER.
G: Please explain how cheap silver
helps the foreigner and hurts us.
M: Our principal competitors in wool
growing are Afghanistan, Beloochlstan
and Thibet, whose wool comes to us
through India, China, the Argentine Re-
public, Peru, Bolivia and Asiatic Oceanica'
The money of these countries is silver
alone, and all of it is coined at ratio of Ii
to l, or l5115 to l. Silver bullion is com.
modify, the market price per ounce Of
which, since 1873 when it was demonetized
by the United States) has been made in
London, and ranged from $1.O4 to 60c
Now when the bullion, costing at present
CSC, Is coined at a ratio of Is to l, it be.
comes $1.4O per ounce in value, or at ratio
of 151 to /, $1.33 per ounce, and the differ.
ence between the bullion cost and the
coinage value represents profit which is
realized as soon as the coin is paid for
purchased. London wool brok.
ers were not slow to seize this oppor.
tunity of buying cheap silver bullion and
exchanging it at coin value for wool
grown in silver standard countries. They
H. IIn;tad States da.n;ta ;mnnrt dnt;es
because the profit on the silver was
greater than the duty, This will con.
tinue until the price of silver ia ad.
vanced to a point that leaves them no
profit.
G; How much wool have we imported
from silver countries. saw. the last two
wears?
NJ. For the wear ending Jnne 20. 1895
tho total was a. 262 247 nonnds. at a val.
ma ~ 81 7S7 7as an averave of 9lIc ne,
ponnd. For the wear ending june 20
1895. the total was 85.505,596 pounds
and the averaoe price 11c per pound
(For details see foot-note.)
a. Ia nor this large import all ac.
connted for bv the wilson German bill.
M: Not all. The decline in price OF
silver fully Is per cent) after the Sher.
man law was repealed (iS93) is RESPONSE
BILE for much of it. The contraction ot
our money volume and the consequent
decreased purchasing power OF oor peo
pie accounts for the largely increased
import of shoddy.
G: Most of this ia news to me. As you
are protectionist, why not apply tht
remedy of high dutyY
M: Because, as I said before, such Law
could not pass the senate for some years
and can't wait. Besides, while silver
remains at about its present price, be
tween 65e and zoe, the import duty
would have to be over 100 per cent te
eoual the profit made by the Londor
broker on silver, and thus stop his ship
ping wool hero. Now 50 much impor,
duty would raise the cost of wool te
Americans to q point where most o.
them would be Obliged to substitute
cheaper cotton goods, If the demand
for voolen goods ceases because of hiel