The Hawaiian gazette. [volume] (Honolulu [Oahu, Hawaii]) 1865-1918, 1901-07-26
JAPAN'S PRESENT ECONOMIC h
DEPRESSION SUMMARIZED

TOKYO, July 10Th The following Fiy.
en- IN Tokyo paper ne the views u a
certain economist summarizes the pres
ont economic depression u japan In
happy terms and may be- read with In
terest!
GLOOMY ASPECT.
Since last year, the want Of capital has
been keenly felt IN every branch Of In
dustry and the rate Of interest has risen,
while stocks and prices IN general have
fallen considerably. The circulation OF
money has been paraysed. and large
stocks Of merchandise are lying Idle
here and there unable TO find sale
Manufacturers are so hard up that they
cannot afford TO buy necessary materials
yet so long as they have each GER
tain number of hands under them they
must find some means to keep them oc-
cupied Hence many of the factory own
ers are drawing money at usurers' rates,
and several firms have failed and banks
suspended payments. 1t is no wonder
then that posters of "Onces to let, are
daily on the increase even in the most
prosperous streets of the capital. Many
of those firms that are apparently do
ing well are probably on the brink of
ruin. In short, the panic which has
attacked other countries has not made
an exception of Japan.
JAPAN's OWN FAULT.
The late Japan-Chin war having re-
warded the country with more than
three hundred million yen for her vic
tory, the nation has been pulled up, so
to speak, like poor man who has sud
denly risen to fortune by lottery, and
has INDUCED in buying luxuries and
starting unnecessary works, and gone
on increasing the cost of living. The re-
suit of this extravaganza is the present
economic depression, which may be com
pared to the stomach complaint of
greedy eater who gormandizes when CIV
en- enough money till fever attacks him.
AS fever begins to suhside at a certain
stage, so an economic disturbance has its
end; and as a fever patient has to suffer
various pains in his convalescent condi-
tiOn so the economic world has to wit
ness many unpleasant incidents before IL
completely RECEIVERS from the state of
panic. All works and establishments
which have been started in days of tenn
porary activity subsequent to the war
with China without regard to national
resources, being a real obstacle to the
healthy development of the country,
must be done away with, and will have
to fall by their own weight II the
economic convaescence Is really to fol-
low, painful as II Is to see mercantile
or industrial concerns failing one after
another. Unless such concerns fall down,
the proper course of the natural cur
rent of affairs will remain blocked up
and there will be no hope of improve
ment. Various enterprises started be-
yond the peoples actual means are now
fast dwindlng away, the capital sus-
tanning them having been exhausted
and business in general Is returning to
its original scale-a scale proportionate
to the means of capitalists. Any move
mcnt that has gone too far must always
have its painful reaction, and for this
capitalists can blame nobody. as the fault
lies In themselves.
BANK OF JAPAN'S ATTITUDE.
Under the present circumstances, 1t Is
quite natural for certain section of
business men to cry for measures to re-
lieve their distress. The Bank of Japan
has, however, restricted Its advances by
withdrawing its notes from circulation
and has shown reluctance to respond to
the general demand for capital, judicious-
ly we believe. A man who is just recov-
ering from his long Illness and feels a
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