Wausau pilot. [volume] (Wausau, Wis.) 1896-1940, 1907-09-10
Panics and Politics.

legislature or veto its DEGREES
Panics and Politics.
That delightfully."- strenuous stand
patter, Leslie NJ. Shaw, now says the
cause of all panics has been traceable
TO financial or economical agitation, or
legislation and usually both, thus at
tempting to blame all panics on the
Democrats. But he evidently has to
for all the panics since the Civil War
originated under Republican rule, and
developed under Republican legislation,
The panic of 1S69-Black Friday the
great panic marked by the failure OF
Jay Cooke 4 Co. in September, 1873
the panic of 1892 all commenced when
the Republican party was in power,
and that party is alone responsible for
and must, therefore, take the blame for
those business depressicns.
The contention of the Republicans
that the panic of 1892 should be charg-
ed to the Cleveland administration has
no historical truth for its first indica-
tons were given November II, 1890
about eighteen months after the inaug-
ltfatiOn OF President Harrison, and
just after the Mckinley tariff bill be-
came law. When President Cleve-
land went out of Office March 4, 1899
there was an available cash balance
in the United States treasury Of $273,-
679,979. -Four years after when Presi-
dent Harrison retired March 4, 1893,
the treasury books showed but 1925
$780, 2S available cash. But that avail
able balance was arrived at by a
change in the system of bookkeeping,
and on the same methods as the books
were kept under the Cleveland and
prior administrations would show q
deficit
The United States Treasury was vir-
tually bankrupt on February %, 1898,
only few days before the Democrats
took charge of the government. Secre-
tary Foster, who testified before the
Committee ON Ways and Means on Feb
ruary %, 1893, said: IF l eliminated
those items now (Federal deposits on
National Banks and subsidiary coin,
etc., there would be showing of de-
ticit." This evidence will be found in
House report No. 2621, Fifty-second
Congress, Second session.
Thus Secretary Shaw convicts his
own party of being responsible for all
the panics, for the financial and eco
nomic legislation in operation at the
time these panics originated was en-
acted by the Republican party, and
when the Mckinley and other high
tariff laws were in operation, which are
reputed by the Republican standpatters
to produce prosperity.
Now the Democrats claim, and his
tory proves their contention. that a
high tariff does produce prosperity for
the trusts, which are fostered and pro-
tected by the tariff, but such protec-
ton to the monopolists also results in
high prices which the people have to
pay. These high prices and immense
profits to the trusts and monopolists,
very naturally induce them to increase
production of then products, but it also
requires a like increase in incomes and
wages to meet the advance in the cost
of living, for the people cannot spend
what they do not get As incomes and
wages have not increased in proportion
to prices we now suffer from strikes in
an attempt to even UP income and out
CO.
The high price of all commodities
also requires more money to do bust
ness, and although there is a constant
ly increasing volume per capita. In con-
sequence of the enlarged production Of
gold, yet the imitation is not enough to
finance the trusts and corporations with
their enormous capitalization, which Is
augmented by hundreds of millions an
nually.
So we are now suffering from money
stringency and panic in Wall street,
which is already adversely affecting
business and may become more acute
by October. If the Democrats elect a
President next year, and the present
incipient panic should next year de-
velop into hard times, Mr.. Shaw and
the Republicans would, of course, say
the Democratic victory, or the fear Of
it, had disturbed business and produced
panic Is 1t not about time for sensible
people to get together and force the
enactment Of reform legislation, 2nan-
cial and economic, that will prevent
panics by reforming the tariff that pre-
tects the trusts prevent fictitious capt.
talization of corporations and by fair
taxation, including a constitutional In
come tax, prevent the concentration of
all the surplus wealth of the country
in the hands Of the few upon which
the many must pay interest?