The Pacific commercial advertiser. [volume] (Honolulu, Hawaiian Islands) 1885-1921, 1899-03-23
THE BALANCE TO OUR CREDIT


Collector General McStocker brings
out some interesting data regarding
our financial condition.
The total value of the exports from
these Islands during the year 1898 was
SIT ,346, 74479. The total value Of the
imports, including specie, was SILL $780,
890.81
These imports are paid for by the
money placed TO the credit of Hawaii
in the United States from the sugar
crop. After drawing on this credit of
$17,346, 744.79 in order topay for imports
there yet remained to the credit of Ha-
wall the sum of S., sos, S53.98. This is to
say, after paying all of her foreign in
debtedness, for merchandise and ar
ticles of consumption there remains a
visible balance on the Mainland rep
resented by the foregoing figures. Pay
ments on account of interest Of pub
lie debt, bills Of exchange or drafts on
that balance, issued to persons who
are entitled to dividends and live
abroad; drafts upon it for the pay
ment of DEBTS owed by residents here
to residents abroad, will reduce it,
and gradually absorb it. But SO far
as any published data exists, there APP
pears to be a credit to Hawaii, after
the foreign indebtedness of all kinds
has been paid off, of over five and one
half millions of dollars for the year
1898. The amount is substantially cash
in hand.
This balance, in general way, and
in a general way only, shows the pro-
fit OF the sugar crop. AS sugar is our
money crop, and absorbs mainly the
labor supply of the Islands, and, be-
sides, Involves and supports probably
nine ,enths of the mercantile business,
1t follows that all debts contracted on
Denaf of the sugar crop, and the bust
ness connected with it. must be paid
from the proceeds of the sugar crop
placed to the credit of Hawaii on the
Mainland
1t would probably be a grave error
to regard this estimate as anything
more than proximately true But there
is enough in these proximate figures
to suggest a good deal of thinking
Assuming that they may be correct,
the conclusion is that over thirty per
cent. of the gross receipts from the
sugar crop ($16,614, 622.5 3) indicates
the profits of the business.
1t may be said that the amounts
paid for labor on the plantations
should also be deducted from this bal
ance. Are not the amounts paid for
labor included in the imports of specie,
and other merchandise which have
been included in the sum deducted
from the total proceeds? On this point
It must be said that such data is large
iy speculative. Again, if the amount
actually paid for labor was deducted
from the gross proceeds of the sugar,
would not the result be larger per-
centage of profit than thirty-two per
cent?
If any one dares to assume the per-
this profit is made, he is justified in
predicting the widest speculation in
the sugar stocks in the future.
During the period of the largest pro-
duction of the Bonanza mines of Ne
vada, the lore in sight and the divi-
dends from it, led men of all classes
and conditions to believe that the ore
would always remain in sight, and
the dividends would continue. The
community that held this belief was
made UP of men quite as clever anc
knowing as the men in our own com
munity. When you admitted thell
premises in the argument, you were
forced TO adopt their conclusions. But
out, and ruined the force Of the argu
ment.
The cases of the sugar plantation:
and the Bonanza mines are py NJ
means exactly parallel. In this respec
they are Identical, that the multitude
excepting the pessimists, agreed in tn
belief that a good thing ought TO last
anu, therefore, will last.
In another respect the cases ar
parallel. What is concealed in tn
earth, and what is concealed in th'
mind of the Congressman, are the un
known factors. No one knew what wa
behind the ore in sight in the Nevad
mines. No one knows what Congress
will do regarding tariffs and labor
But this large profit, as indicated b.
the customs returns, furnishes a rlcl
field for tne spectators.