The Jasper weekly courier. [volume] (Jasper, Ind.) 1858-1922, 1899-04-07
The Currency Question.
ABOUT GOLD IMPORTS.
Leaves mn Important Element
ont az Consideration.

WI
4 fou weeks ago Bradsirccts' vas
confidently predicting gold imports on
very considerable scale. That Journal
NOW regards The outlook for imporia-
tione on the yellow metal as decidedly
uniakornbic. Ia fact. II says in 20
mary words that gold importers are
not in sight. liradstreets. While a
pronounced gold paper. is, as a rule,
quite fair in its statements Of fact.
and usually well-informed concerning
financial and business conditions. But
its Judgment Is frequently at fault in
dealing with the probable movements
of gold. for the simple reason that.
like an gold papers, il fails 10 take
into consideration the most important
element affecting such movements.
namely. that Of internatioEa! debt IL
for month or two or ihree there is
a heavy trade balance ia our favor. il
j. broadly assumed that gold in large
amounts viii promptly move this way.
Under such circumstances there gen
orally Is beginning but the very mo-
inenr il shows signs Of becoming large,
steps are taken in Europe to check il.
The great banks put up their discounts.
and only short time ago The Bank Of
England ~ reported TO have become
a heavy borrower tn ihc market for
the purpose Of creating a strincency
protecting rs reserve and preventing
am outflow 81 gold. Under normal con-
diiious. an annual trade balance in our
favor Of S2Ooco0o1O or S393cC0O0O
would bring gold TO our shores sd large
amounts. Hut conditions are not nor
NAL The general adoption or gold as
the money ianGard has led to steady
ard eyrr-ircreasing demand for that
metal. which demand must always be
taken into account. Great nations.
containing hundred. az millions Of
people. which. a few years back, used
no gold whatever save IN the arts, are
now straining every nerve 10 accumu
Late vast boards for monetary pur-
poses. During the last year Russia
alone added nearly SsO.OO0.oCO TO her
stock Her pressure upon the London
market is at all times a strongly marked
and important feature. The same is
true Of Austria-lIungary in a lesser de-
gree. and latterly Japan has doomed up
as factor OF no inconsidcrable pro-
portions As nation after nation swings
to the gold standard. they one and all
begin to reach out for their part Of
the worlds gold. Mr.. Everett. in his
memorandum. the conclusion OF which
IS given in this issue, shows that while
in 1873 there were fewer than 50.oOO,0O0
OF people upon the gold standard, there
are now SEQ 600 .0OO-more than a seven
fold increase As there has been moth
ing like the same increase OF gold. il
necessarily follows that the distributiye
share Of each nation las become less.
With s0o.0000oO OF people bidding
against Us for the worlds stock Of gold.
we cannot expect TO get as much Of it
as we would if our competitors were
only one-ihrd of that number. This
struggle for gold is TO some extent.
recognized by the great trade journals,
but they appear 10 be blind as 10 its
effect upon productive industry. When
ever Russia locks up dollar Of gold il
leaves Just so much Inc less 10 measure
or "pricc" the American farmers grain.
and in fact everything else that we pro-
ducc. Ii would seem that almost any
one should he able to get as simple an
idea as that into his brain. but there
are many who have thus far been I'M
able to do so. But the direct and i'm
mediate reason why gold imports are
so small and disappointing is the cir
cumstance OF our being so heavily in
debt. The interest upon our foreign
debt is certainly not less than S2OO0O0.-
600 year. and il may be S5O-o 900
more other gold payments which We
annually make swell the sum 10 about
| $500 100000. Our exports must exceed
our imports ~ that sum TO simply
make ii standoff. II we succeed in
doing this. and gold begins TO move
heavily in our direction. England and
other creditor nations viii at once
check ii. by raising their discounts and
sending home american securities,
with the double effect OF stopping the
outflow Of gold and breaking our mar
ket ut the same time. In such strug-
gle the debtor nation is al dreadful
disadvantage The gold standard in
creascs that disadvantage by lowering
the price of everything which we sell
in Europe. and out Of which our debt
ors must he paid.-H. i. Rartinc.