Evening star. [volume] (Washington, D.C.) 1854-1972, 1902-09-10
TO PAY FOR CROPS
How the Money is Moved to
Do It Each Fall.
NO GOLD Is SHIPPED
IF IT WERE IT WOULD TAKE 100
TWENTY-CAR TRAINS.
Description of the Exchange System
Now Reaching Its Greatest
Proportions.
NO GOLD Is SHIPPED
Written for The Evening Star.

| metal required would fill 2,OOO freight cars,
| each holding one million dollars, weighing
thirty TONS The weight of the entire pay
| ment would be 6O,OOU tons, and 1t would
| take 100 locomotives to haul 1t in as many
! twenty-car trains. The train crews would
| number at least 800 men, and several regi-
! ments Of troops would be needed to guard
the bulky treasure during its transit from
the mint to the farmers.
| The picture thus brought before the i'm
agination Illustrates the difference between
the ancient and the modern systems Of ag-
riculture Of transporta ton, Of money and
of exchange. Even SO late as a half cen
fury ago no country In the world was capa-
bic Of producing any such unthinkably vast
! crops and, even had they been produced.
they would have been unayaiia ble because
1t would have been impossible either to
move them to the consumers or to provide
the money to pay for them. Back in the
days when coin was the only money the
transportation by sea of enough cash in
silver to pay for this years crops would
have employed fotilla of sailing vessels,
while Its land transportation would have
been big task for 100 caravans. Even In
gold It's weight would be 1000 tons, and 1t
would have taken at least that number Of
teams of oxen or horses to haul 1t over the
| rude roads that were then the best high
ways.
Today the chief problem furnished by the
great crops Is their transportation. The
paying for them is comparatively easy.
Through the working of the modern credit
system nowhere so well developed as in
the United States, there is always much
smaller movement Of actual money in ham
ding the crops than might be supposed /;
drafts. checks and other commercial paper
representing cash being passed back and
forth In lieu of the veritable notes and coin.
Yet notwithstanding this convenient sys-
tenn there Is a large and steady business
done In the transportation of actual money.
Tnrroyr1 niQ1 DO oil riprht for voha
but actual cash has often to be used in set
Ting balances between banks, and 1t Is also
| needed for the payment of wages and for
small purchases Because Of a we'll under
stood commercial law the currency in cir
cu1ation away from the commercial centers
has a constant tendency to accumulate in
those centers, from which it must be re-
distributed in order to be available for Its
| ordained work. This redistribution is go
ing continuously, but Is much heavier
| in the spring and fall than at other times.
the movement being from the east to the
west and the south in the spring to furnish
the farmers and planters with currency to
pay wages during the planting season and
In the fall to pay for the harvesting of the
crops planted in the spring.
The transportation Of money this fall be-
| gan some weeks ago, and will continue sew
eral months to come. While those who
know do not like to give out nforma ton
| In detail. there is no doubt as to the mag
nitude Of this years shipments.
Western Money Working East
1t is true that the deposits In the banks
| OF the Interior are larger now than ever be-
| FORE and this has led some to suppose that
| the currency to handle the crops could be
| provided largely by the banks upon the
| ground. But many Of these banks have
| sent their currency east in great quantities,
| as deposits in the New York banks in
| order that 1t might earn an income by
| being loaned out In Wall street and else
where, and now 1t must be shipped back to
| the western banks before 1t can be paid
| out to the farmers. The only material diff
| ference in this matter between 1902 and
| previous years Is that formerly the banks
| OF the interior were obliged to borrow the
money to handle the crops, now, in many
| instances. they simply have to withdraw
| their eastern deposits for a time.
Practically all the transportation OF cur
| rency, either in coin or bank notes, Is in
| the hands Of the express companies. 1t Is
| somewhat generally supposed that the gov
| eminent moves its own money from Wash
| ington to subtreasuries and between these
| branch stores, but this Is not 80. All the
| government money is moved by one ex-
press company. the head OF which holds a
high place in public life.
| Naturally the transportation Of money Is
| one of the most important departments in
| this companys business: 1t Is by no means
| overlooked by the other companies. in fact,
since they all do big moneymoying bust
| ness with the banks and other monetary
| institutions. And all, of course, pay much
| attention to the proper safeguard of the
| money in transit.
! No Gold Shipped.
Curiously enough, though there Is now
| more gold in the country than ever before,
there are practically no shipments Of gold
| for the purpose of handling the crops. The
! shipped currency is all in silver dollars and
bank notes. the latter being largely In small
| denominations. Often shipment Of 100000
| mill he oil II, to h.,
| cause the farmer wants his money in con-
venient form to pay out In wages. Nearly
| all the one-dollar notes go to western
| points, such small notes not being wanted
| in the south. There silver dollars are in
| greater demand, mainly because the ne
groes, who make up the great bulk of the
southern Industrial problem. like cart
| wheel dollars better than bank notes. Big
! shipments are moved west, as well as
| south. however. and. of course tons and
| tons Of these shipments are in half dollars
| quarter dollars and dimes. besides nickels
| and cents for making change.
| Returning to gold for a moment. 1t may
| be interesting to know that Its Transports
| ton from the east to the west Is exceed
| ingly rare at any time In 1893 during the
| prevalence Of the currency famine some
| gold was so transported, and at intervals
! the yellow metal in quantities Is sent from
| San Francisco to the east, but all ordinary
| currency shipments are confined to notes
| and silver 1t seems that while the country
| as whole has decided in favor of gold as
| its monetary standard, the people do not
| like to use 1t an actual circulation me-
| dunn
| The packing of silver for shipment is
| much simpler than the packing of notes,
| since owing to its great bulk and weight
| every thousand dollars Weighing sixty
| pounds-it would be difficult for a thief to
! get away with any considerable sum in sill
| yer. 1t Is, therefore, placed for shipment
in plain strong bags, which are tied and the
| knot protected with wax seal.
| With notes 1t Is different, at least In the
case of one company. This company ships
| its bank notes as well as it's silver in bags,
| but the bags are seamless and of special
| stout cotton fabric. woven in the company 8
| own mills and fitted with a peculiarly in
| genious strap and lock fastening that is
held to be far superior to any sealing-wax
! arrangement ever devised. The mouth Of
| the bag contains q number of Sits trimmed
/ with metal. through which the strap is
| passed. drawn taut like a pickering string
and then fastened with An ingenious lock,
almost as dificult to undo, except under
| the right circumstances and by the right
| person. as the most elaborate combination
safe lock- Besides. each lock shows a
| number. which is changed automatically
every time the apparatus is touched So
| perfect is the fastening thus provided that
| II would virtually be fmDOssihle IN -