New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1898-03-18
CREDITORS OE THE WORLD.

Again the great volume Of exports commands
attention as controlling factor in finances and
foreign relations For 1t is not too much TO say
that If Government were borrowing money at
the rate OF S5,500,000 a month, as II was for
four years. other nations would have less re-
spect for the attitude of the United States than
they have to-day. Exports In February were
100000 larger than last year in brcadstuffs,
Sj.5OO,OOO larger in other principal products,
s., 100000 larger in miscellaneous articles,
making S15100O00 larger in all. The aggre-
gate, S94,9Sl OH, Is much the largest ever
known for February, while the imports, $685.
OS2. III, are 100000 smaller than last year,
so that the excess Of merchandise exports over
imports was S41 ,S9S.900, against SOC, 5S3,700 in
February Of last year. Since the new tariff
was enacted this excess Of exports has been
over S40000000 every month. and in seven
months has amounted to $fO2, % 1886. To the
end Of July the excess Of gold exports over i'm
ports was So. 391 $50 In 1891. but every month
since there have been imports exceeding OK
ports Of gold, amounting to an excess Of $751;
27G34G in the seven months under the
tariff, including S4.317,742 in February. But
this does not 60 far to pay the merchandise
balance Of more than S4O0O0000O in the same
months, and thus gold is now coming hlther in
a food. there having been about S3,5G0,000 re-
ceivcd last week. and over s2000O,O00 more
ordered already.
To state the balance more accurately, exports
OF silver must be taken into account, which
exceeded imports by S1j,59S.033 in the seven
months since last July. including S331129I in
February Add this 10 the excess Of merchan
disc exports. and deduct the net imports Of
gold. and there remains on the seven months
account n balance due this country OF $3.50
JJ3.T03. 1t Is not possible 10 locate or account
for this enormous balance in any Of tho modes
commonly adopted. Search Of records for forty
years makes Il clear that foreign holdings Of
American securities and other investments in
this country cannot exceed Sl,0OOnOOOO, on
which interest and dividends actually paid do
not average $i0000000 yearly. Merchan-
disc imports are stated in foreign values, and
the cost of transportation TO these shores, where
exports are valued, may be added, but on such
articles as are imported the cost of tranSporta-
ton would certainly be less than per cent Of
their value, or $3O,O0O,0O0 yearly. Even
der the present tariff there Is some undervalua-
ton of imports, but, with small receipts of
the articles most falsely nvoiccd, it Is difficult
to believe that 1t has averaged 10 per cent on
the S1L7.140913 OF duiiablc imports in seven
months.
If it We're supposed that instead Of the az
gregatc of these allowances. about SSS,OOO,UD
yearly there must no allowed half rs much more,
tho proportion for seven months would no only
81 100000. leaving balance Of S309.0O0.0O0
yet due or else liquldated by methods unex-
planned The one possible mode OF liquidation
that remains is the shipment of securities 10
this country. Without doubt such shipments
were large IN the fall. when stocks were rising
here Mt IA rate which foreign investors may
asily have considered unwarranted. n order
TO prevent heavy drain Of gold foreign bank
crs and spectators used all their influence,
personally and through public Journals, to cause
dlsrust Of the rise ard to induce selling Of
American securities. But the bankers and
brokers here who have greatest opportunities
Of asccraining the facts do not believe that the
value Of securities actually received IN seven
months has exceeded H. sio0000,0oo the value
Of securities marketed abroad for It must he
remembered that some heavy lonns have been
negotiated by railways since July
Bur II the sum were much greater than such
bankers suppose. II rs much rs S1500oOOO0
worth OF securities had been returned TO this
side in excess OF securities marketed abroad
there would still remain an Indebtedness Of
Sl53,o00,000 apparently uniqudatcd. II i
known that over $40 100000 has been virtually
loaned to Europe in the shape OF deferred ex-
change held ms collateral IN New York alone
and that several loans for millions have been
made by Chicago banks Tho fact that over
s-o'V"'oo gold has been ordered for settle
meht OF account here. with scarcely any reduc-