New Ulm review. (New Ulm, Brown County, Minn.) 1892-1961, 1897-09-01

q Il
half, vary together in the same direction.
The present condition Of things merely
supplies au added demonstration Of the
truth Of our contention. The intelligence
of.a child is able to grasp the following
Where the price of an article, say OF
wheat, is fixed in neutral market by
The competition Of surpluses from COM
peting nations, a part of which is on q
silver basis and part of which is on
The gold basis, the exporter from the
gold country must accept for his COM
modify that price in gold which is the
equivalent of the silver price which his
competitor from the silver country is
willing to take. Further, if, while the
purchasing and debt-paying power of
silver remains practically constant in the
silver country, the gold price of silver
constantly falls in the gold country, so
that the original quantity of silver which
N4o otAvCA SCAACA VI "ucdG was COuGCuS W
receive, IS worth less and less amount
of gold, the seller of wheat from the gold
country must, so long as he continues to
sell in competition with the silver raiser
of wheat, be content to receive lower
and lower price in gold. For man to
deny this law is to range himself intel
lectually with the man who should deny
the law of gravitation. -
Continuing. on this line, Mr.. Towne
gives some interesting figures to explain
the present rise In wheat:
Now, it so happens that India, here
tofore the great regulator Of the price of
wheat in the Liverpool markets. famine
stricken, and a mendicant for charity in
the markets of the world. She has also
heretofore been the great absorbent of
silver among the nations. With two
absolute failures of the wheat crop in
succession, with hundreds of thousands
of square miles Of usually fertile soil
now blistering and baking in the sun,
with 100000 of people perishing of
starvation, with the whispers of insur-
rection raising the fear of imminent war
throughout her borders, which her minis
closed to silver, fact which many MIL
lions of her people are just beginning to
find out, and which Is, therefore, adding
its influence as deterrent to silver i'm
portarion, India is regarded by the world
as having for some time to come no fu-
ture in the demand for silver. Too poor,
| therefore, to buy silver, she withdraws
her demand, and that, together with the
simultaneous reduction in customary de-
mand, caused by the action of Japan and
some of the South American republics,
who have been taking steps toward the
gold standard, and by the temporary
falling off of the amount used yearly for
subsidiary ~oinage purposes by the Eu-
ropean nations, has caused silver to fall,
just as the price of anything will fall
when the demand slackens. Moreover,
being an importer and not an exporter
of wheat, India is temporarily not a
factor in the competition of the market
which fixes the price. Every wheat pro-
ducing on earth is short in product. The
nation dispatches from Washington
say that England will need 18O,00O,0OO
bushels, France 4s,o00,ooo, Belgium,
Holland and Germany S8,000,000, and,
emitting further items, the rest of the
world enough to make total demand
of Al 100000 bushels. Of this quantity
the United States will be asked to fur
nlsh at least 2OO,OOO,O0O bushels. The
outside estimate on our home product
this year is 5O0,OOO,OOO bushels. Our
home demand is put at 3;;5,000,000 bu.
Thus, at the outside, we shall have not
over 5,0O0,O 900 bushels to offer where
at least 200,00O,OOO bushels will be
asked. Is it any wonder that the price
of wheat goes up2 On the contrary, by
every legitimate consideration, the A
merican farmer should to-day be receiv-
ing So bushel for his wheat.
l : d : a. < =
President Ratchford of the miners as
sociation has foreshadowed the action Of
the miners in the following interview,
published on Thursday
"The conservative policy adopted by
our board at the beginning must neces.
sarily be departed from because of the
extreme radical policy Of the other side.
We would much prefer to fight the bat
tie along .peaceable lines, as we have
been doing, but our board will be
Obliged to test the tactics Of the other