Omaha daily bee., 1902-12-30
FROM An ECONOMIC POINT
Prof. jerks Discusses Establishing Cold
Standard in Philippines.
ASSERTS A NECESSITY FOR II EXISTS
Describes Method by which ~ Gnu
he Accomplished with BeneHt 10
All Classes and Harmful
Effects TO None.

PHILADELPHIA. Dec. 2e.-The fourth
session Of the annual meeting Of the
American Economic association was opened
today by the discussion Of the problems o.
labor. Henry White. secretary OF the
United Garment Workers Of America. de-
livered an address on "The Union shop. 4"
The discussion was taken part in by Samuel
b. Donnelly OF New York. former president
OF the International typographical union:
Hamilton Carhart OF Detroit; John Mitchell.
president Of the United Mine Workers Of
America, and John K. George, assistant
professor Of economies OF Northwestern
university.
The Aims Of Organized Labor" was the
topic Of the afternoon session. Frank X.
Fisher OF Boston. chairman OF the legisla-
tive committee OF the Massachusetts, Fede-
ration Of Labor, read a paper on ideals OF
Trade Unions
Jeremiah w. jerks, professor OF political
economy and politics, Cornell university.
was the chief speaker at tonight's session
Of the convention. His topic, Currency
Problems in the orient" was discussed by
Charles a. Conant, treasurer OF the Morton
Trust company of New York, and G. Bruce
Webster Of New York, agent Of the Char
tered Bank Of India, Australia and China.
Mr.. jerks address was in part as follows:
Currency I'm orient.
The stoppage of the free coinage OF silver
in India I'm 1898 was the result, not so much
of a general business depression coming
from the depreciation in the value Of silver
as compared with gold. as OF injury to the
government in distinction from the people
ana to certain classes In the community,
Together with this injury 20 some classes
went doubtless benefit TO others. The total
benefit or injury to a country from a
change In its currency system must be
found by noting its effect upon the different
classes and by estimating the relative i'm
portance OF these different classes IN the
community. In India, for example. during
the period Of the fall Of silver the classes
who were producing goods for export.
industry and made uncommoniy large pro-
hts. In certain cases doubtless this In
crease in profits led to increased invest
ment Of capital brought over from Europe
This increase i'm profits, however, was at
the expense, TO a considerable extent. OF
other classes in the community. While pro-
ducers for export gained the consumers OF
imported goods lost.
Wage earners received their pay IN the
deprecated currency. but in many cases.
owing to the fact that their purchases were
mainly Of goods which were valued on the
silver standard. they often did not feel
the silver rupees passed on from hand 10
hand finally came into the possession Of
those who needed to buy goods valued on
the gold standard. As a matter Of fact in
India the government officials were IN al
probability the chief sufferers. The native
people in many cases did not suffer APP
In special cases. however. the question
OF obligation or OF Justice might easily lead
one to, a conclusion different from that
reached by purely economic reasoning.
Bankers the GAMERS.
In the Philippines. for example, the gain
ers by a depreciating STANDARD are. speak
ing generally. the bankers. who. when their
business Is largely an exchange business.
normally gain from severe fluctuations.
also the exporting and importing business
houses and the comparatively few large
producers for export. The losers are the
In, the deprecated money: the government
officials, even though their salaries are
nofnfnnlly. liked in gold. andfthe very large
body Of the native FtipinOs whose income
Is derived from local oduct and from
wages. The gain from the stimulus 70 eN-
ports, as the Philippines are situated, will
come in the great majority Of cases In all
probability rather TO the European pur-
chaser and exporter than 60 the native
Filipino producer. who is himself not IN a
position to get the benefit Of the falling
exchange.
In order to make the change from the
one standard TO the other as easy and
beneficial to the natives as possible, II IL
desirable that the coin for common use
In the country should preferably be one
somewhat similar I'm size to the present
Mexican dollar and one approaching II in
value. The essential thing IL that, without
attempting the Impossible IN the way Of
making over rapidly the habits Of a people
unaccustOmed to commercial transactions.
one should also secure stability Of eN-
change in foreign dealings In order that
speculation may be avoided, and the In
terests Of the people be conserved. The
present bill before congress seems on the
whole 10 have been well drawn In order 20
accomplish these results.
Judge s. f. Baldwin Of Connecticut read
a paper on american Business Corpora
ions Before 1883"
This closed the business session OF the
convention. Tomorrow will be devoted to
sightseeing by the delegates.