The mirror. (Stillwater, Minn.) 1894-1925, 1900-05-24

gance, unsafe investments and unwise
speculation on the part of the people.
AS proof of this let US 60 back little
and we will see that panics have al
ways followed long periods of prosper
ity. L am in sympathy with the pres
ent administration, but fairness COM
pels me to look at this question from
the standpoint of history and person.
al experience.
From the administration of James
Monroe in 1917, to the closing of the
administration of Andrew Jackson in
1841, the United States had unlimited
prosperity, so much so that at the close
of Jacksons' administration he said in
his farewell address,: "I leave this
people prosperous and happy" But
Mr.. Van Buren, had hardly entered
upon the duties of president when
large business house in New Orleans
failed. This was the beginning of
panic in trade and money matters. In
less than ten days one hundred busi-
ness houses in New York failed and
in two months the failures in that CITY
alone amounted to 100000 dollars,
and to use John Quincy Adams words
"Without dollar of national debt we
are in the midst of national bank
ruptcy." Would it be fair to charge
this panic to the administration of
Andrew Jackson?
The panic Of 1857 we'll remember.
1t occurred under the administration
of James Buchanan and followed
long period of prosperity. The main
cause of this trouble was the discovery
of gold in California. The sudden
wealth of many men caused them to
overdo all kinds of business. Nearly
every bank failed but the Chemical
Bank of New York, which passed
safely through the conflict of 1887 and
paid every demand in gold. If 1 am
not mistaken one Western and one
Southern bank did also. 1t was a
common expression at that time when
you offered bill in payment for pur-
chases to hear the storekeeper say "No
good; bank busted"
Those who passed through the Civil
War, 1861 to 1865 know that though
the country was all excitement, still
money was plenty. Bounty brokers
who furnished substitutes for men
who were drafted into service, received
three hundred dollars for every recruit.
The reckless extravaganza on the part
of the people of the North is quite
fresh in my memory. Following the
war, over 10000 miles of railroads
were built at cost of over thousand
millions of dollars. The banking house
of Jay Cooke & Co. was largely inter-
ested in this enterprise. The success
of the first Pacific railroad led to the
building of others and the matter was
overdone. The result was the failure
of the banking house of Jay Cooke
& Co. which, think, was located in
Philadelphia. This with other causes
led to panic which was as disasterous
as 1887 and 1857. This panic occurred
under the administration of General
Grant; and though have never re-
garded the presidential administration
of General Grant as model one, still 1
do not hold any acts of his admins
tration as being the cause of a panic.
From 1877 to the close of President
Harrison's term this country had un-
limited prosperity. At its close a large
surplus remained in the treasury as a
result of such prosperous times. Then
followed a panic under Grover Cleve-
land, the particulars of which are too
familiar to need recital. I hold that
past experience has proved that no
political party is irresponsible for panics
and think that any fair-minded man,
free from political prejudice, will ad-
NIT it.
believe that such periods will occur
from time to time after years of reck-
less speculation and great business
activity. There is just as much money
during panic as during prosperity,
but fewer have it and they are afraid
to invest it, and when men have not