The Seattle post-intelligencer. [volume] (Seattle, Wash. Terr. [Wash.]) 1888-1914, 1900-10-13


from half OF / per cent. 10 per cent,
with a steady demand for the supply.
During the year 1895 the premiums In
creased from per cent. TO III per cent.
with the rate Of interest still remaining
at per cent
TERBoRs OF BRYASIsM.
In the FIRST half OF the year 1896 state
warrants sold at a premium 81 from
TO IN per cent In the summer OF that
eyenfful year the Democratic national
convention nominated Bryan for presi-
dent and pronounced for the free and
unlimited coinage Of silver at ratio OF
IS 70 I. The action Of that convention
IN cutting loose from all the traditions
Of the.party and from all It's former con-
sentative leaders naturally brought about
an uneasy state Of affairs In financial
circles nnd alarmed the investing por-
ton OF the public As that hybrid cam
pafgn progressed and the incendiary
character OF the Bryanife programme be-
came more clearly revealed, the alarm Of
the people having money TO invest In
creased In proportion. All securities
became depressed. even high premium
securities on the New York exchange
Hist went down proportionately more
than did state warrants and even gov
eminent securities were let alone In an
ticipation ~ what might happen in case
Hryanism and free silver we're put In
FORCE. Wniie business men OF Wiut tx-
perfcnce felt that there was practically
no danger Of Bryan being elected. yet
many persons having moderate sums
laid away for n rainy day became serf-
ousiy alarmed for the safety Of the funds
which were their main. II not their sole
means Of support, and not only stopped
investing. but even withdrew their money
from the banks, and by boarding II
caused stringency in the money mar
ket that kept every bit Of available money
In the great Eastern eenters
yO USE ron FUSION STATE.
Toward the latter part OF the campaign
OF 1885. M the Eastern money market be-
came acuteiy sensitive TO this abnormal
state of things, the demand for state
warrants. especially Washington state
warrants, practically ceased The res
toration NJ confidence that followed Nc
kineys election. though beneficial and
heaithfui 10 the country NJ large had
no immediate effect In this state 50 far
as the sale Of state warrants was con-
cerned. No Eastern investor cared 10
risk the savings OF lifetime In a state
IN which the dominant sentiment seemed
20 be that the loaner Of money was =
public enemy. That the creditor would
be the object OF special attacks on the
part Of the Washington fusion iegisla-
furs then became obvious, and while
Eastern investments In the West resumed
their natural course In tho states not af-
feesed with tho taint OF Organism, they
practically ceased In the state OF WASH
ington. capitalists refusing 10 invest here
SUPREME C0uRT TO THE RESCUE.
After the session Of the fusion Ieeisla-
ture Of 1907. II appeared that some OF the
pop legislation directed against creditors
was 40 extreme ne 20 he not only Of
sensive but UNCONSTITUTIONAL and soon
after the supreme court found II nec-s-
rary 10 repeal certain Of the more rad
icai nntI-creditor laws enacted. on the
ground of unconntltutionaitv
As regards state warrants. II transpired
that almost the FIRST act, n not the very
nrst, OF that self-styied reform fsusion
legislature was an appropriation for tho
payment Of their own per diem and ex-
penses That appropriation was made
from the general fund That IL the fund
from which all the disbursements on thu
state, except for interest on the bond
Cd debt 81 the state and for tho state
militia. were paid A. state warrants
are payable under the law In the order
OF their issuance the action OF this
fusion Legislature IN providing for their
own pay wns n guarantee against iegis-
iative attack on the general fund In
order to insure the value Of their own
warrants the Porulis, would-he reform
crs saw 10 II that no attack should be
fDHtf on tho tAttttff OF the funt on
which their warrants were drawn Thus
the cvedifor Of the state escaped the
generally threatened authorization legis-
lation which was 80 conspicuous part
OF the programme OF the Bryanites In
their campaign In this state
RETURN or INVESTORS
After the hig fuss and little feathers OF
THAT legislative session had passed away
q was found that the laws enacted. more
IN wind than acts. we're not AS vicious
Ms their severol fiery authors had prom
ised 10 make them and that hy reason
Of the sslnNh natives already detailed
the validity of the state warrants had
not hcen esssiiea Meanwhile through
out the Eastern md Middle Western
states the restoration 81 confidence had
again released capital for Investment, and
thore whe had formerly been In the
hanit ~ lrNextins IN warrants IN tho
state ct Washington, finding that the
legislature they 80 much dreaded had
made no direct stack uren their hold.
inxs. again began tn seek Washington
state warrants an investment and hy
August, 1897 state warrants again sold az
a premium ~ Der cent This per cent
I, esii he seer wnF atill thFee-faugsha ~
lssr cert iesA than thA warrants had
sold Tor under the McGraw aamlnistra.
sion nrlrr to the Democratic convention
% 1896
CAPITAL COMING WEST
narins 1887 confidence in the credit ~
ire state WAS restored among Eastern
Investors. AID tais was emphasized ~
tn klondike sNeiicment which made
Seattle fhe shlppinF point and fhe depot
~ sapplirs Tor tho many niiiionn -
aailsrs ihtt ffom tnst tiuae on made 40
the lsaor ng seattle Eastern capitsl fol-
iewea the rsla-seskerr 20 Seattle ana
state warrants became high-krds serufl.
slet reiue up from psF, thss fall q =
par cent pywr,t1m
nurfpK tsas ara sgsau after the su-
pFrme cours u the state hAA repealed
a. Unconstitutional the enafr rasscat a
the auti.gg&stisUr eFfH PASSED bv the Ia
eiAn legislature. the stats warrants at
wnoN rose a. vatue aeA &oia AZ premiums
ranging from anN-hAif "a 4 per cent ~
$50 rent sNd wnalEy reaching tha
highest ncteh 81 ~ eef cent