The morning news. [volume] (Savannah, Ga.) 1887-1900, 1898-12-04
IDLE MONEY.

The amount OF idle money in the coun-
try is causing a great deal of comment.
The general feeling seems to be that the
/ country is about to enter upon a period
Of great prosperity. There is certainly
money enough waiting for profitable in
vestment to encourage the beginning of all
| sorts of enterprises. II may be that tho
reason there is so much money idle IS
! that there are very few railroads being
built and scarcely any great enterprises Of
/ any kind occupying pubic attention. But
be the cause what it may, it is certain
that there is an abundance of idle money
in the banks and in the hands of the
people. So great is this abundance that
many millions Of dollars due this country
from Europe are permitted to remain on
the other side of the ocean, because they
can be used to better advantage there than
| here.
The savings banks are reducing the rate
of interest all the time. The most prom.
nent of them are now paying only per
cent. They don't want deposits in large
sums at even that rate. The reason is
they cannot use the money profitabIy. And
| hrst-class securities are exceedingly scare
and high. Last week Atlanta sold $4,000
1 per cent. city bonds at nearly 10 per
cent. above par. Al the price at which
they were sold they will net the holder of
them not more than 3lz per cent At
about the same time New York sold some
of her municipal bonds. They will yield
the purchasers about per cent The rate
of interest is downward all the time be-
cause of the quantity of idle money.
1t is predicted that there will be a great
increase in prices of all kinds of products
in the near future on account of the very
great increase in the production of gold.
II looks now as if the silver question
would soon settle itself. The output of
gold is increasing so much faster than that
of silver that the bullion value of the
two metals, if the output of gold con
tinues to increase faster than that of sill
yer, will draw closer together and the
ratio of l6 to 1 will finally be reached.
The gold production for this year will
be as much as $3.50, 1872 800. That is about
46,oO0,0OO more than 1t was last year. and
more than $S0OOOOOO more than it was in
1886. The production this year is $3.50 1000 900
| greater than IL was seven years ago. and
is greater than the combined gold and sill
yer production of ten years ago This re-
markable increase in the gold production
| justifes the prediction that there will be a
rise in prices, such as there was soon after
the discovery of gold in California, and a
period of great prosperity.
No doubt a great deal of our idle money
viii be invested in our new possessions as
soon as the terms of peace are fully ar
ranged, but there is no necessity for wait
ing for opportunities in Cuba and the Phil
| ippines. There are opportunities for in
vestments In all parts of this country. II
only needs somebody to lead the way. We
need ships to carry our commerce and
we need mills to change our raw cotton
into cotton yarns and cloth. In fact, there
are many things we need-thlngs that
would require hundreds of millions of dol
lars to provide. Let the people feel that
the time for starting new enterprises has
come and there will be very little idle
money.