The Minneapolis journal. [volume] (Minneapolis, Minn.) 1888-1939, 1905-10-29
RUSSIA AND AMERICA


ton is the most important influence our coun-
try has felt for a long time. 1t has been
contended by believers in the cycle theory Of
good times and bad, Of recurring prosperity and
depression, that the remarkable favorable fnan-
clal and commercial conditions in our country
had about reached maximum. Times are SO
good, 1t has been said, that further improve
ment is scarcely to be expected. The country
should remain on the top OF the swell for
several years, then, If theory is TO work sout.
recession, is due. Some have even calculated
that signs Of it should appear within year
or two. sE@
+ Such theorfzing may have been wrong. prob
ably 1t was. But however It would have worked
out ordinarily, 1t is not quite clear that con-
ditions in Russia are to enter into our affairs
in:s such degree as will make any calculation
worthless that does not take this important fac
tor into account.
Russia's short crop will turn demand for
cereals our way, In volume large enough to
insure very remnuerative prices, and thus will
our farmers profit. 1t is a long time since the
farmers have been poor. Good crops, or IL not
always bumper crops, at least compromising
price advances have made them independent.
When the farmers are prosperous nothing can
hurt the country. This year nature smiled,
and the country has been blessed with crops
Of great size. SO large, indeed. especially In
corn, that, gratifying as were results, there
was an accompaniment OF fear lest the pres.
sure Of the enormous totals upon the markets
might reduce prices, and thus, In q measure
cut down the money flow back to the farms.
> Today it is evident that the Russian troubles
are to figure against this, for Russia ordinarily
supplies the world with millions Of bushels Of
coarse grains and wheat. She raised in 1908,
621, 45s, 900 bushels wheat in 1904, Geo. 700, 600
bushels, and this year she has produced only
534 900, 600. Her greatest loss is in rye, her
staple, upon which her peasants live. i It
measured up in 1908 9lt,942,0Oo bushels, in
1904, ,Oos. 900, 900 bushels and this year falls
off to 6e9,00o,oo0. These figures, altho semi
official, have been questioned, as possibly some
what exaggerated, so tremendous are the losses
shown, which appear also in barley and oats,
two other crops highly important from the
export viewpoint No doubt remains, however,
that a heavy loss has been sustained, certainly
IN excess, all told. Of soc, 100000 bushels in
grain as compared with the production of last
year. Thus Russia, with her millions to feed,
has no grain to spare, and while it 10 true
THAT her; exports have, been heavy up to- date,
their ultimate cessation was, foreshadowed some
time ago. ...', ~" Gas-
The great strike is the feature Of the day,
but this really only forced. a condition that
would have come later on In any case. Russian
exporters cannot get grain to fill contracts al
ready made, owing to the blocking Of the rail
roads, and ships that have lain at Black sea
ports for long-expected cargoes, are coming
away light. s,-- ->,-~- >%.-rf... e.. -
The Russian peasant, in country where his
rights are few, and his hardships many, is ir
la deplorable state. TheyAmerican farmer, find
ing demand for his produce from Europe, from
centers where formerly the business went
largely to Russia, Is in position to reap grea
benefits. =
/ 2 The Immediate fnancfaIs effect Of the crisi
1 has been felt in New YORK, thru London Col
tinenta1 selling Of securities affected London
and that market in turn sold rather freely ii
New York. Russian bonds declined four points
T despite. the. efforts eof Farls bankers to- sns
tain them, All thru the Russian defeats an,
the internal troubles following the war, Pari
was the center. of financial interest, for tn
] French are carrying e great share Of Russian
1 debt: Stability far greater thar might hav
been expected" has been maintained turnout, an
thanks to the ce.operatiEe efforts of the Frenc
J government, Waich,s5a year ago, mapped out
systematie Haethod Ssof arording periodic reas
suranse to- the people and by official expires
i sions against speculation, and other methods
kept the bourse quiet and prevented anythin
approaching, panic. :+&IT5:2 - ~: S Is