The sun. [volume] (New York [N.Y.]) 1833-1916, 1897-10-18
ClUsEs OF FINANCIAL DIsaUIEE

uOnlo ChatSs ION pOlhlb OCio" bHN
they stood tho third week in September. In
others fifteen points. In one, thut OF American
Sugar Refining stock, twenty points. and In
Consolidated Gas over thirty. With this do
cline In prices,-partly rs it's cause and partly
a. its conseq uence, there Is a decrease In tho
volume Of transactions. Whom the buying by
the multitude plackens prices fall. and falling
prices discourage buying.
Tho most obvious explanation OF the revulsion
In the temper OF specializing stock buyers is tho
natural tendency OF the human mind to go from
one extreme to anothcr. After men have done
the same thing for n length OF time, they become
tired OF it. and 60 to doing its opposite. This ia
particularly true of stock operations. because
the craze both for buying and for selling Is art
fully stimulated by saRacious veterans In the
business, 80 that IL exceeds the bounds of reason.
The bidding at auction sales is VIGOROUSLY
helped by a scniblance of eagerness on the part
Of the crowd around the auctioneer's stand,
while a show OF hesitation will kill 1t altogether.
1t was to be expected. therefore. on general
principles. that the enthusiasm which prevailed
on the stock Exchange. during August and the
6rst half Of September should he followed by n
chill. in spite OF all the favorable conditions OF
business and of the Country's finances.
Just Mt this moment, however, there lies be.
meath this ordinary cause for the halt in the up
ward course of the stock market another and o
deeper one. In tho iubilation over tho prevailing
high prices for our breadstuffs,d due to the failure
of the crops in competing countries, and in the
contemplation OF the revived business activity
among us which these high prices occasioned.
the still unsettled financial questions, which, a
year ago, occupied every mind, were for a time
.orgotten. 1t was assumed that the agitation
on behalf of free silver coinage had been forever
latu to rest, that there would be no further con-
yare nyar tbn .ppptrv'a C,,rrenrv and TINT
the threats against property rights, which the
Chicago platform embodied, and which were
supported by nearly one.half Of the voters at the
last Presidential election. would never again be
made by an important political party.
So far MS the immediate neighborhood OF Now
York is concerned, this sense Of security was
not without justification. The free coinage OF
silver at the ratio of 16 to ! by the United
States alone, without the cooperation Of any
other nation. which, at this time last year. was
boldly advocated by Mr.. Bryan and other Demo-
cratic speakers in our public halls, and by
Democratic writers in city newspapers devoted
TO the interests of the Democratic party, has, in
the present political campaign, scarcely been
mentioned here. The revolution In the nations
paper money system, which, under the name of
currency reform. had long been DANGEROUSLY
demanded by the organs of the bank interest. is
equally neglected. A commission composed OF
volunteers. is. indeed, languidly discussing the
subject at Washington, but its deliberations
are unnoticed and their results are awaited
without interest. Until within a few days. too.
the socialistic and anarchistic demands. which
a year ago excited so much alarm. were also
kept out OF sight.
Extending our observation. however. beyond
New York and its immediate vicinity. 4 differ
ent state Of things Is discovered. All over the
West and the South and in Eastern States such
rs Pennsylvania and Massachusetts, free silver
is o living issue and will enter prominently into
next months elections. There is every reason
TO hope that in these elections the cause of
silver will be defeated; but, in view Of the SYM
patty with our silverites shown by tho British
Government, nothing short of its overwhelming
condemnation here, which Is not at present to
be expected. will prevent the continuance OF its
advocacy and tho renewal in 1898 and in 1900
Of the contest in its behalf. II, particularly. the
high prices OF breadstuffs which now prevail,
should DO followed. after the next harvest, by
the low prices OF the last few years, the agitation
for free silver will be wonderfully stimulated.
The same thing is true Of our paper currency.
The foolish currency reformers. who seek to
substitute for the paper issued by the Govern.
ment and secured by the entire wealth of the
nation, bank notes resting upon nothing but
bank assets and sufficiently elastic in volume
~ AhVOb H. uChahu hhI luhy Ilb
for them, have the backing Of all the impecuni.
Gus would-be borrowers throughout the coun.
try. No scheme of banking which makes Sc
curity for bank notes indispensable or limits
their amount, will content these allies Of the re-
formers. They demand a repetition of the ex-
perienco which the country had for the period
preceding the war, when wildcat banks by the
thousand fiourished In remote country villages,
and when travellers came homo from their jour
noys with as many different kinds of paper
money as they had passed through towns, and
had to sell 1t at discounts ranging from q quar-
ter per cent. up to 5 and even 10 per cent
Added to these grounds Of disquietude on the
part of owners of money securities. and on that
OF business men having dealings In remote dis
tricts. Is the hostility to accumulated property
exhibited by a large number OF our fellow citi-
Gems. The party headed by Henry George do
clares for the presumption Through wise, equi.
table and scientific taxation" OF tho wealth
which justly belongs to all but which has been
unrighteously given to the few" The Demo-
cratic party does not repudiate the utterances
of the Chicago platform. and the Citizens
Union has put forward schemes of public inn
provement at the expense of taxpayers. which
in principle agree with the ideas OF Henry
George. Only the Republican party stands
firmly and openly for the defence of property,
as 1t does for the maintenance of the gold
standard, and In opposition to any meddling
with our currency system likely to impair its
uniformity and its ample security.
To what extent these dangers to the stability
of the country's business interests are consid-
cred by men and affect the conduct of their
private affairs it is, of course, impossible to say.
Many, no doubt, fail to perceive them. or il they
perceive them fail to estimate correctly their
Importance. The majority, however, are more
sensitive, and prefer awaiting the course OF
events to embarkinR In new enterprises while
the future is clouded. Assuredly, no one will
deny that II the gold standard were definitely
established, that II all schemes for impairing the
safety OF our paper money were abandoned, and
that II the Republican party were sure to remain
npower for another Presidential term after the
present one expires. business men would dis.
miss ali fears. enterprise and industry would
revive, and the prosperity OF which we arc SEQ
Ing what may provo to be but a transient
CLEAN would shine upon US steadily.
Oddly enough. the principal reason given for
withholding support, at this iunctura from th.