Eureka weekly sentinel. [volume] (Eureka, Nev.) 1887-1902, 1897-08-21

price Of the products OF its customers.
NV answer lie that while the effort Of the
railroads is to maintain en- unvaryins
price for the service they render they nec-
e~ssarily fail in that effort. They must
adapt themselves in some degree TO the
VARYING priccs o fthe commodities produced
by their patrons. But. in addition 10
that. a large portion Of their prosperity
depends upon transporting to their pa
irons the consumable goods from the fac
tory and from the msrts Of commerce.
and when the consuming capacity and the
purchasing power Of their patrons is gone
| they lose q large part Of their revenue.
TEE MINING AND FARMING REGIONS.
Now, so far as the mining region Is con-
| cerned, which embraces this large area.
the reason Of the distress is apparent.
The principal industry Of those States is
the mining industry. Silver mining is the
basic industry OF six States and three
Territories. just IS coal mining and iron
mining are the basic industries OF Penn
sylvanis; and when the prices Of their
product went down through the adverse
legislation resulting in the gradual psraly-
sis of the use Of silver, general prostrs-
ton ensued throughout that entire region.
The managers Of these railroads. who
conduct them mainly in the inter
est OF the foreign holders OF the gold
bonds upon them, did not realize this.
They wished to maintain the gold stand
ard. They wished to maintain freights
and other charges payable in gold. so as
70 pay the interest upon their gold debt.
They did not realize that the mortgages
upon these roads were really mortgages
upon the communities which they served;
tina, they had gold mortgages upon silver
mines, and that, with the decline OF silver
mining, those railroads would go into the
hands OF receivers.
Such, however, was the result. Within
sixty days after the repeal Of the Sherman
Act every transcontinental road. with the
exception of the Southern Pacific, which
taps the fertile valleys Of Southern Cali
fornia, yielding products capable of pay
ing large freight rates to the railroad.
went into the hands OF receivers. The
Northern Pacific, the Union Pacific, the
Oregon Short Line, the Atchison. Topeka
and Santa Fe, which serve not only the
mining but the agricultural region, oil
vent into the hands Of receivers, and 90
incidentIy with the decline Of silver the
prices OF wheat and Of cotton went down,
SO the earning capacity of these roads wAi
lost, and $4,000 miles Of railroad wen
into the hands OF receivers within two OF
three years after the repeal OF the sher'
man Act in 1898.
Now, these are the facts. Although we
may differ as to the cause, the condition
OF these railroads indicates the general
prostration OF the communities which
they serve. Now, what do you propose &c
do? Raise this tariff wall higher to pro
tect the manufacturing interests Of New
England and the Middle States. But, ]
ask, why are they suffering to-day ThsiI
suffering has only become apparent within
the last year. They did not realize before
that there was a bond Of sympathy which
bound them to the mining, the cotton and
the w~hest-growing States.
But they realize it to-day. They hnd
that the consuming capacity and the pur
chasing power OF these States have beer
lost. And you may raise this tariff wall 81
high as you want; you may have soms
beneficial effects from 4. In the restoration
Of the revenue Of the country; you may
have some beneficial effects from 10 In
~steadying this decline In wages which II
now going on in New England and The
Middle States; bu. you cannot BY thai
act restore the consuming capacity or the
purchasing power Of the Southern, the
Western. and the mining States.
Now, let us consider what Is the real
cause OF this fall In prices. for that II
what this distress means; that Is what the
suffering m~esns-simply q fall in prices
anu AZ Wnhs ~ PfiVoe
Simply In money. And what, BY the
process OF evolution through the past
twenty.three years. has been made the
only substantial money OF the civilized
world2 Gold. 30 that il 10 low pricei
measured In gold that is causing the gen
eral prostration Of this country.
APPRECIATION OF OLD
Now. let rs trace the history Of gold mo-
nometallism. We find that prior to 1875
three countries only In the world were
upon the gold standard-England, Portu'
gal and Turkey. Those who contend thai
the gold standard Was the cause Of Eng
lands greatness will perhaps account foI
the general barbsrism Of Turkey and fol-
the pros.ration and lack Of enterprise OF
Portugal. In 1868 q new movement wa
~insuguratsd with reference to money. the
result OF the Paris conference. and In read.
ing the proceedings Of that body you will
find that the general impulse which ami.
mated the members Of II. according TO the
debate, was the desire to secure 9 universal