The Wichita daily eagle. [volume] (Wichita, Kan.) 1890-1906, 1896-10-27
HOW 1T WORKS IN ARGENTINE
United States Minister Shows Whom a
"Change" Effects, and How.

"Change" Effects, and How.
Washington, Oct 26.-Mr. Buchanan,
United States minister TO the Argentine
republic. in report to the department
OF state on money and prices in foreign
countries. says:
"A majority of those who have writ
ten TO me from the United States in re-
gard 20 wages and prices have invaria>
bly, ask me 10 give them the result or
my observations with regard To the
practical workings OF the cheap money
system of this country as II has affected
e2d affects the farmer and wage-earnss
"On this point let me say that from an
extended and careful personal ohserva-
ton l am convinced that. with possibly
d few exceptions. all classes Of workmen
here are today receiving less wages, the
purchasing power OF their money being
considered. than they were ten years
ago. 1t is true and easily understood
that as long as gold was rising. the far
mer who was selling his products, as he
had always done and continues To do.
on a gold price. fixed outside OF the
country. was steadily receiving higher
paper prices for all that he had TO sch
and was, in consequence a, direct gamer
by high gold. 1t is equally true that
he has been the gamer In other ways:
he has paid but little more rent II any.
for his land than he paid 1--WE years ago.
Strange as II seems ne has paid and Is
today paying but trifis more TO his
laborers than when gold was on a par
ten years ago. and as he produces on his
farm the meat, vegetables. etc. neces-
sary for his family, he has had the Hons
share OF the gain in the rise in gold.
ION the other hand. the workman
found is very difficult 10 get an Increase
in his wages as gold advanced. II re
quired four years for him 10 get an aver
age Increase OF 20 per cent in his earn
ings, while the farmer has been receiv-
ing the benefits OF an increase In the
gold premium averaging more than 30
per cent for the same period. In the
meantime. the merchant found II easy
and profitable 10 increase the price OF
his goods, in keeping with the rise In
gold. Rents likewise increased. al
though more slowly. and as the price OF
all commodities rose, the laboTer found
himself daily poorer. Agitate az he
would, he could not get his salary in
creased in any reasonable proportion 10
the increase N the premium on gold.
Strikes were resorted 10; all sorts Of e.
forts were made 20 bring about an In
year reached what We may call water
mark"
since then gold has stea Sly fallen
The first person 10 feel the decline has
been the farmer. who is complaining
bitterly Of the relatively low prices he Re
ceiver for his products, while ne finds
himself obliged to pay the same price
for what ne buys that ne id when he
receiver $3.50 more for every one hum
dred kilos OF wheat than ne now re-
ceives. Low gold does not induce the
merchant 10 mark down his goods with
the same good will NJ manifested when
ne advanced their prtces. Sotwi;hsiand-
ing the decline I'm the emplosrs income
az gold falls. The YOTkmen will not. IN
all probability. consent to a decTsaSe IN
bis present wages without a bitter hght:
nor can ne do - unless there - a sharp
decline Ia rests and IN the cost % lis
ing As gold declines the wsge-caFasr
who receives gold salary finds hls IN
come disappearing while his expenses
remain as before. Ths period % read
tustncut in the value OF the money %
the country has brought about q CON-
ple,e stagna:ioa IN business With the
advert Of i0W gold. tie farmer who
made money % 80 rise tuTne3 specuia-
tor and holds bis grain or cattle SoT a
hlgher rate The merchant csn1ot
make collections because 0t TITS condf-
ton Of things AID az hs has 90 pay
abroad he also becomes a speculation
and waits for lower god Taus every
one 70 some extent beco-D@s = sD>cslafor.
=; lezs; % TIE extent 20 trying q gr9fi;
n come Manner by Ire daily re AMI
faIl IN gold ~ the fact that ths un-
settled and shifting valve thus given %
TIE currency OF tnls reP2blsc snJures
trade here. there car BE- % question AMI
6; can be HTztaljy stated as q fac; TIA;
re zs<e f1ctzztiols "a; have tskes
place IA TIRE value % ne cgrrsncT with
IA the past year Or Two have sro2zht o.
Commercial situation FAR from s2iis-
factory % -ae usrcsszs e. farmers ant