Omaha daily bee. (Omaha [Neb.]) 187?-1922, 1907-08-11
BLACK EYE FOR RAND
South African District Suffering
Business Depression.
FINANCIAL CRASH IS Awb- y
Debts Are Too Common for People to
Worry About.
BoERs CLAIM JUST PUNISHMENT
Assert Providence is Flaying British
for the War.
SHOPS AT JOHANNESBURG EMPTY
IRs CLAIM JUST PUNISHMENT
SHOPS AT JOHANNESBURG EMPTY
Chinese Labor Did Not Bring Pros
perity-Country OverbuiIt and
OverpeopIed-VaIue Are
Low.

JOHANNESBURG. Aug. 1O.-(special)-
Americans. gold seekers, laborers and SOL
ders Of fortune, are being warned away
| from the Transvaal And in fact the Trans
vaal Of today is a pretty good country to
keep away from.
Never during the darkest hours OF the
| Boer government did things appear as
| gloomy. To be sure. the Boer government
was largely a government of farmers.
There were few large cities and the reign
ing ruling forces could always be sure Of
making a living. Indeed the disposition
of President Kruger and his associates
was to till the land and let the British
hunt the gold.
| With the ending of the Boer war and
with the construction of large sections of
the Cape to Cairo railroad It was every
where supposed that South Africa would
enjoy boom unprecedented in the history
Of that section of the world. The pro-
Beers. with q religious bent Of mind, do
not hesitate to assert that God 10 furnishing
the British for depriving the Beers of
their liberty. The British, at least that
section with a materialistic turn of mind,
say that the hard times which are now
all but running Johannesburg and which
have affected the other sections might
have been avoided IL the liberal government
of Great Britain had only kept hands on
not the Boer question. but rather the
| Chinese situation.
Three Years of Depression.
For nearly three years now has depres-
sion reigned in johannesburg. Only one
more stage is left--a great financial crash
The people have become familiar with the
| wOrda sst Onatior' n nj sr,,ir rrba,, ha,,o
grown callous to insolvencies and immense
| lists of judgments in the smaller civil
courts. Debts are too common to worry
about. Book debts are unstable at any
figure
Never before has the financial sky OF the
Rand been so dark as It is today. A cloud
of the deepest pessimism has settled over
all. The gloom is unreheved 1t is difh-
cult to find single man who looks for
ward with confidence or even hope. Every
week retrenchment becomes more drastic.
Every day swells the ranks of the un-
employed Only the very wealthiest can
obtain credit. and then only for small
amounts.
The DISAPPEARANCE of 80 many sound
! well-established firms is significant. In
the main streets dozens of shops are
empty. The jewelers. shops, once the pride
OF the Rand. are almost all in the hands
OF liquidators II is claimed that the re-
cent votes in the legislative assembly.
which Sir George Farrar admits means
the end of Chinese labor, is responsible
for the existing condition off affairs. But
that would be equivalent TO admitting that
5000 Chinese alone stand between the
Rand and ruin. And probably there is
not a Boer or Briton on the Rand who
| would far admit that n he
final analysis
Last Prop Was Removed.
Undoubtedly the decision of the govern
ment has had a great deal to do with
making bad worse. 1t has removed a last
hope to which many clun4 with such
pathetic confidence. People have undoubt-
edly been buoyed UP with the assertion
of the mining masses that Chinese la
Dor spelled prosperity. London capitalists
have undoubtedly continued their support
with the mental reservation that the final
vote for or against the Chinese would
decide their action. II favorable they
would persevere; II unfavorable they would
cut their losses and get out OF the whole
business. Reparation was to mark tho
end OF perseverance. 1t was the signal
for giving up. 1t was regarded merely
as implying a continuation OF depression.
Alone It would have worked mischief for
in a shaky community the withdrawal OF
any prop is dangerous. Combined with
the great strike II has undoubtedly been
fatal Nevertheless. the output has been
and still is slO,O0O,OO0 a month. There are
1900 natives ready to take the places
OF the 1900 served with ejectment no.
tices. On the face OF Il. II would appear
as though the decision TO send back the
Chinese ought not to have deepened the
depression so terribly.
But reparation Is only one OF the causes
of. the Rands decline. Many there are
who blame the strike. and undoubtedly
the strike has had a great deal to do with
IT, Just as the Chinese question has had
a great deal to do with II. But now that
things are settling down. Il is recognized
that johannesburg has been overhuilt and
overpeopled. Capitalists and spectators
have builded a city for $4,000 people, where
they should have planned only a mining
camp and a good old-fashioned county or
borough seat.
Fate of the Place Justified.
johannesburg Is not and never can be
much more than a mining camp and q
center for the rural districts OF the Trans
vaal TO shop in. And, OF course. mere
mining without manufacturing and ship
ping can hardly build a great city. II
was the madness of the boom which gave
employment to thousands. Today the boom
has ceased and thousands are out of work.
while other thousands have left the town.
Just as an indication for the fall OF values.
It is worth mentioning that In a year
the municipal valuation OF johannesburg
has been reduced by $50.OOO.O0o. And 1t is
still sinking.
johannesburg is undoubtedly suffering
the fate which has overtaken all OF the
boom towns OF the new countries OF North
and South America. Whether II will ul-
timately recover its relative position In the
world is for the future 10 decide.