New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1897-12-17

nave really rendered valuable service TO the
public by causing ii to be better understood on
both sides of the ocean that 1t is all folly to be
transporting large sums of gold, at heavy cost
and risk. across the ocean and then back again
TO settle the temporary balances arising on
merchandise account. In place OF that absurd
performance they have succeeded in employing
quite extensively mode Of international debt
carrying through the use Of long exchange, by
means of which European bankers virtually
borrow for some months In Ncw-YOrk the
amounts that may be required to meet current
balances here. When the current balance turns
'he other way this deferred exchange is called
ont and goes forward. New-York then paying
the current debt 10 Europe in February with
the evidence OF LondOn's current debt to New
York In December. But there are obviously
limits to such Transactions. In addition the
great bankers are able and doubtless do
range for temporary transfers ol sundry mill
ions. by operations OF bookkeeping, between
houses on one side and their confidential CORE
spondents on the other. BIT all such methods
Of deferring payment for some months are re-
Strlcted to the aggregate which j. expected to
become payable on the other side after time
VIVA; will come TO pass II there IS no CORE
spending balance due from this to other cOun-
tries next spring?
II hes long been the rule that tie outgo of
crops creates 4 large balance IN favor OF thi,
country in the fall and winter months. while
The heavy mportatiGns Of merchandise, with
The shrinkage Of exports, create correspond
ing adverse balance in the spring often begin
ming as early as February. Most people who
have not closely studied the new conditions look
FOR Il similar outcome this year But they are
liable 10 make too little account Of the re-
strctOn OF imports by new duties expressly
intended In many cases TO diminish foreign
competition with American industries, and Of
the expansion Of American exports in new
fields. The curtailment of imports under the
operation OF new duties cannot he accurately
estimated In advance. as II Is always somewhat
uncertain how far the effects desired may be
realized or exceeded. But the change in char
acter OF exports has insured a much larger
movement than was formerly known OF prod
ucts other than the great crops. which move
more equally month by month throughout the
year.
To illustrate: The exports OF manufactures
Of iron and steel were 500, 100000 In the fiscal
year 1892, but In the fiscal year 1907 they were
S57,500,00O. or cycles. moreover. no exports
were recorded five years ago. but last year the
value was $7.0o000O. In the iron and machln-
cry class, therefore, there appears an Increase
OF S33.1oo.oO0. OF copper and ore the exports
were Sl3.2O0.00O in 1892. but S33. 700 600 IN
1S97-an increase OF S20.5OOOOO. OF oil re-
fined and vegetable the exports were $1,000
900 in 1892. but were S63 100000 in 1S97-an
increase Of SIS 100000 The exports Of cotton
goods have increased In the same time $500
900: OF leather md its manufactures. $71OO.
900; OF animals. $1,000 900; OF tobacco and It's
manufactures. s5ooOOO0: Of chemicals. S3.1O0.-
900: Of coal 81 400 900: Of fruits and fish 81 900.
0o0 and OF agricultural implements. Sl.400.-
600. Thee are nearly all products which move
with greater regularity through the year than
the chief products OF the farms. and In the few
Items mentioned the Increase from 1892 70 1897
has been sl03. 90 ,ooo-an average OF 100000
a month II Is not certain that OF all these
products the exports VIII continue as large rs
they have been. But II next year there be
added only this sum OF Ss.GO0OOO a month 10
the exports IN February-July inclusive Il Will
more than suffice 10 eItlnguish any such excess |
OF imports as used TO appear IN those months |
IN the years before tho panic. In that case
how is the balance 10 be pad7