The morning times., 1896-10-28
sAVER AND WAGES ABROAD.
Consuls R port Oh the Effect
of Cheap Money.
IN PERSIA AND BRAZIL
Minister Thompson Says That In
the Latter Country Money has
Cheapened and Wages STOOD sui.
Desperate financial STRAITS III
the Shahs Domain.

Reports on m oncy and wages from United
States diplomatic and consular OFFICIALS
abroad continue TO pour into the Depart
ment Of State in response to Secretary
olney's July circular demanding To know
the experience of foreign. nations with
the currency problem.
Minister Thompson, in dispatch from
Rio. says:
There has been no material change
in the monetary system of Brazil recently,
although every effort is being made To
again reach Il metallic basis. Inc CON
stantly maturing obligations Of the govern
mcnt broad, the large Imports ana returns
on foreign capital invested here make
Brazil a large debtor nation.
I'm addition, deficits are constantly oc-
currinE i'll the fiscal affairs OF the govern
ment, and Notwithstanding burdensome
tariff duties, il seems almost impossible
to bring about Il balance III the revenues
and disbursements. The recent change
in the form or government ana me nnior
tunatc disturbances that followed nave
no doubt contributed in great degree
toward the present unsatisfactory coldl-
ton of the national finances.
EFFECT IN BRAZIL
There can be no doubt tnat within the
uT the republic, manufacturing as wei as
agriculture has made enumous strides.
Tnis can only be attributed 10 the develop
ment OF a new and wonderfully rich couil-
try. It's attributed by many, among Whom
is the president Of the rcpGblic, to The
autonomy granted the states under thc
federal constitution. This appeared 10 be
reasonable solution an i no one Ior a amoment
WOULD assign il To the Increased but ue-
preciatcl volume of currency
Minister Thompson nnds IL impossible to
answer the Questions Of the department re-
lating 10 wages and prices, as no stttlstlCs
are available.
In general, however, he concludes
Il may state that the value Of labor, n
expressed i'll milrcis, is by no means ad-
vancci as the miireis dcprcciatcs in value,
although the cost of necessities, especially
such as are lmpurted, must necessarily
advance with every fail i'll It's exchange
value. 1t is not unusual, L understand, To
find labor receiving the same wages that
were paid when the rnilrels was quoted at
! = an;l / pence, while today il has dropped
to pence"
Brazil has the single gold standard fixed,
but paper alone IL i'll circulation.
PERSIA's CONDITION.
Vice Consul General Tyler ut Tchcran
concludes his report upon the trade and
indus tries of Persia with the following
paragraph:
The diScrganized state of the cur
rrncy, following tie depreciation of silver,
and an cXiravagant coinage OF copper las
placed the trade of the country i'll very
unsettled condition. Only those who, from
long experience, can within certain limits
forecast the fluctuations of the future,
have The Courage 10 risk their capital where
the probabilities Of loss are so many. II
the problem of restoring the former
equilibrium is TO be solved 1t seems that
it will have to lie done with foreign
capital and intelligence
Persia has the fluctuating silver standard.
II. Clay Armstrong, Jr., the Charge of
| our legation in Spain, makes very
voluminous report on the finances of that
| country He says that the timetable sys.
TEN prevails in theory, the Bank Of Spain,
which is a copy of the Bank OF France,
holding one-halr of it's cash reserve for
tue payment of its notes in gold and the
other half in silver, yet Of gold in actual
circulation there is none. The per capita
circulation is S23T5, of which S11 .32
is based on metallic coinage. Mr.. "A rm-
strong says:
ONE METAL SUFFERS.
''Hcre, in other words, the fact has
been demonstrated that as III the physical
world, two bodies cannot occupy the same
| space in the same time, so i'll the monetary
world tlc Two metals cannot cover tiic same
commercial field at the same time, both
| filling the place Of basis of value
As TO the effect on industries Of the
| Spanish financial condition the report
| states that so far as manufacturing is
concerned the present law rate Of exchange
| and consequent higher prices paid for
| .9reign manufactured articles may have
| caused some expansion of industries al
| ready established, and assisted others in
! their csta ablishment. for the manufactured
| articles made from Spanish raw material.
| In other words, the depreciation of cur
! rency has had something like the effect
| OF Il protective tariff, and this is particu
| larry true of some mining enterprises
| which pay the same wages 10 employees,
| while selling their products at an Increased
| valuation.
| There has been no material decrease or
| increase in wages. though there has been
| a diininution i'll the purchasing powers of
! a days wages or l 2 TO ] 5 per cent. to
| meet the inevitable advance in prices caused
| by this kind of protection. Agricultural
| labOrers receive from 80 TO 40 cents per
| day and feed themselves: skilled laborcrs
| have had their wages slightly raised