The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1898-12-26
TROUBLE ABOUT MONEY.
Is Retarding a Resumption of BUSH
ness in Cuba.

7
ness in Cuba
New York, Dec. 26.-American control is
clearly the work ahead, says the HAVANA
correspondent of the Tribune Maintain
Ii8Tii3ary condition so well understood that
II does not call for explanation. All classes
and knowing. they acquiesce. That knowl-
edge in itself is the guarantee of tran
which will call for repression, but these
viii not affect the general good order
of Industrial and commercial relaxation
which necessarily preeesde the political l7i
de otgIiitt' in II the si future 7li1 may
The commercial classes are showing the
great est adaptability to the new condi-
tarif is prornulgated business win be
moving smoothly in its accustomed chan
is that which viii come from the shifting
of the money standard.
So far as preparations can be made for
a. change Of this kind the BUSINESS d 3 houses o
yet know positively that customs duties
United States. and they are not certain
that the imitation will be squeezed out of
the Spanish and French gold coins. but
they anticipate modification of some
kind This is the one cloud that hangs
over the business community. The sent-
ment against changing the present arti-
fetal relation of values appears to be
The merchants and bankers who are OPP
posed to a change advance some strong ar
systcm They take the ground that since
| the United States expects to collect the
customs revenues IN trust and to expend
them in Cuba, a change is not desirable
BY the imitation in the gold coins by
which everything from an ounce down TO
a dOublOOn or a French louis receives a
value greater than the actual "orTn, Supa
mas peen kept on a goId basis 1hrougn
all the periods of International war and
island and the paper issue Known as
( ''Weylers scrip" did not make Roadway
or debauch the currency. That is one
reason the merchants who oppose a
change in the present artificial values ad-
vance. They think that, as gold has been
/ kept in the channels of trade. it will con-
! tinue to flow in the same channels with
out the necessity of squeezing out the in
The -readjustment of financial. values in
| its influence on the debtors and creditors
| of the island is something that cannot be
! fully analysed.
| ceive deposits viii all adhere to their
| agreements and repay their deposits on the
s4.25 for a doubIoon and 81. "A for a louis.
| Because of the uncertainty, many Of them
! are urging the withdrawal of deposits
I cuIiar condition which causes this course
1 to be taken, though only a temporary one,
! on this basis. As the sugar planters and
/ everybody else are in debt, the repayment
under new conditions promises to be diff
! United States witch had occasion to make
/ 1eriod Of the insurrection Usually stipu-
/ lated that repayment should be made in
! American money or its equivalent. They
are not certain what will be considered the
/ equivalent.
/ The use of silver in the daily transac-
! lions promises to be the most troublesome
of all the questions that must be settled
4 by the United States. The merchants and
/ sugar planters who are opposed to a
transition to a different basis cannot be
made without industrial disturbances and
/ without great hardship to all employers of
/ labor. Silver is the currency of every
day life. Wages and salaries are paid in
/ it, Notwithstanding the fluctuations In
values as measured by the daily quota
tons against gold, it serves all practical
/ recognized as subsidiary coinage In the
country districts the mass of the
/ population never see, any money except
] silver pesos or dollars pesetas' or ~
/ cent pieces and ''reales' or dimes. Ihe
| rate Of daily wage is ordinarily a silver
/ dollar. The purchasing power does not
/ follow the the fuctuatiOn so closely as
might be supposed, though when silver is
4 falling IN value prices OF necessities rise
] approaching. This has been Illustrated
( during the last three months Though
/ the .centen now buys only seven, span
/ ish silver dollars where formerly it bought
/ purchase more with their wages. The
prices Of retail commodities have remain
! The objection of the employers is that if
| a change is made they will be compelled
| to advance wages 10 per cent. for that IS
about what the elimination of the Spanish
| silver currency, or its reimbursement To
! believe that the laborers on the sugar
| plantations and elsewhere can be argued
| an increased purchasing power, because
i that readjustment would come slowly.
| been such to cause them to wait pa
| tiently for the natural chance under which
| values would regulate themselves.
! They know what Spanish silver dollar
! has meant to them. They will not be
I easily convinced that 80 cents in either
! Spanish or American silver means just
/ as much. On the other hand, employers
! as class, either on the sugar planta lions
! or in other branches of industry, cannot
| afford to give the equivalent of 10 per
/ cent increase in wages.
/ The payment of the American troops will
| add to the difficulties. A small amount of
/ United States currency Is in circulate ion.
| but it is in bills in denominations of S.
/ command the regular exchange, which
/ varies from 71s to 9 per cent One dollar
I and two dollar bills. where they are taken,
/ pass merely as the equivalents of the
/ Spanish pesos or silver dollars.
/ The small shOpkeepers and the laboring
| people are still ignorant of the value of
/ American silver coins In the cafes they
| are distrusted, and the cabmen will not
| accept them. When large payments have
| been made to the soldiers this silver is GER
] tain to be forced into circulation, but the
| coins is a puzzle. Though very large
! amounts of silver have been taken back TO
/ Spain by the officers and the officials, the
] fear that no silver would be left in Cuba
has not been realized. At present the value
/ is rising slightly. due to further depletion
( by the departing Spaniards, but enough
| remains to answer the purpose of business
! and to add to the complex problems which
/ must be solved by the treasury depart
ment at Washington.
!
awwu-