New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1896-09-21


,,onds closely with the official averages for
rance Belgium and the Netherlands, and fair
- -sn-esents the movement of wheat during
,xen,v-four years in European countries whose
rorts are open 10 grain. When this period Is d.
,ised into two equal sections Of twelve years the
ssc,ne in prices is found 10 be only 4l4d. In the
fret half and IS AID. in the second half WHAT
ever causes were operating TO produce the fall In
wheat by which agricultural interests have been
depressed in England and throughout the world
we're far less effective from 1869 to 1881 IMAM
from 1881 10 the present time.
During the first twelve years there were two
sharp advances in price. one in 1871. when Ger
many and France were at war and there was
great contraction IN the European production of
wheat and the other in 1871 when Russian agri-
culture was paralyZed by the war WITH Turkey.
During the second twelve years there was only
one considerable advance in price. That was IN
l@1 when through the failure OF the crops IN
Russia the export Of wheat was prohi"ieu anu
tbsre were in America extraordinary speculative
movements in grain. With the exception OF these
three Intervals when the worlds supply Of wheat
was largely reduced by and crop failures,
prices have gone down steadily. but more rapidly
and decisively after 1sS2-s3 than during the IOs
V, it was during the 70s that the monetary
changes on which the silver fanatics in America
lay stress were effected.
l. was I'm 1871 that Germany took the first step
IN the direction OF the single standard by pro-
hbitinC the coinage of silver and authorizing the
coinage Of gold 20-mark and 1O-mark pieces; and
Two years afterward provision was made by I'm
perial act for the gradual withdrawal Of the old
silver issues ag-regating over 1890 600
marks and for the unlimited purchase of gold by
the Imperial Bank and the issue OF paper against
Il in accordance with the procedure Of the Bank
o. England II was in 1873 that sales of German
silver were begun on a large scale and prepare
tons were made if>the United States for the re-
SUMPTION ~ gold payments. II was in that year
that silver was demonetzed in the United States,
as the Populists never weary Of procaiming
and ii was about the time that the States
q the Latin Union discontinued silver coinage
snd every great country in the world began 10
curuate reserves OF gold All these monetary
movements were in progress during the 1Cs
Jet In 1851 the price OF wheat had fallen only
4.d in comparison with the average quotation Of
1862 II silver demonetization has been as the
4 populs fnanciers loudly assert. the chief and
smost only cause of the decline in the price Of
Wheat which has been ruinous TO farming inter
isis throughout the world it is at least remark
sSs that the effects of financial administration
ct legislation in the United States and in Eu-
igt were not produced in the 10s "a her than in
k0s
TEMPORARY ADVANCES IN PRICES.
The contraction Of supply during the Franco
eerman and Kusso-Turksh wars in 1SIl and
III and subsequently in 1S9l, during the
Russian famine caused an immediate rise in the
Nlce Of wheat as shown by the table of annual
averages Monetary changes had nothing what
ever TO do with the operation Of this universal
A~ Of supply and demand. Three times during
nsse twenty -four years there was tremendous
nrinkage Of production, and at once the price
wheat rose independently of all monetary
Faees and the relations Of gold and silver III
"aracton OF supply produced this ineVl'aDie
fssult IL would not be unreasonable TO infer
mat an unexampled enlargement or supply
Would be equally effective in lowering prices
'ihout reference to monetary STANDARDS anu
ssems That there has been during the
eighties enlargement Of supply Of exceptional
aasntude is undeniabe, and with the single
aeeption Of the Russian famine year ii has con-
Iued until this day.
Between 1878 and 1881 the United States
Ripped to Europe 800, 100000 bushels Of grain
" more than double the quantity exported DUR
Ing any previous triennial period From that
e american competition III ""'' eo
las been felt with tremendous effect In western
Europe. The acreage in wheat In the United
States. which was 100000 in 1869. was 49,
"V0o0 in 1891, and while the fluctuations were
great from year 10 year there was redistripu-
ucn Of wheat growing area from less fertile dis-
uic's in the older States 10 new lands beyond
he Mississippi In 1882 the wheat acreage OF
The Dakotas was 10000; in 1892 1t was ''ooo'-
W" or more than double the wheat acreage Oh
'he United Kingdom Mr. X. +. Cra"iord' the
eminent expert OF the Agricultural Department
70 England In the course OF recent paper DE-
'ore the Royal Statistical Society reIerreu u
hs expansion OF fresh areas OF cultivation De-
'oho the Mississippi one Of the chiei cauSe'
u The rapid decline Of the price OF wheat since
1882
American industry has not been. however Inc