Watertown weekly leader. [volume] (Watertown, Jefferson County, Wis.) 1906-1908, 1907-11-29
KEEP YOUR MONEY
FOR USE At HOME
MINNEAPOLIS BANKER SOUNDS
NOTE OF WARNING.
The Northwest is Being Drained OF
Money BY Chicago Catalogue
Houses at d Time When it Can
Ill Be Spdred-IntereSting Article
in Milwaukee Journal.

A well know business Man Of
Watertown hands The Leader the fol
lowing article which appeared III
recent issue Of the Minneapolis jour
nal, which should be read by every
adult in the country and start them to
thinking.
0. E. Naegele, president of The
Germania bank, calls attention to one
source of tiancial drain upon the
northw est which he thinks should be
taken INTO consideration and remedy
applied. Gin this remarkable sItua-
tion,' he said, "when everybody IS
prosperous and there IS not enough
currency to go around. it is important
that every dollar possible should be
kept at home until the banking bust
ness is again on a cash basis. In the
cities this IS being Gene with good
degree of success, and the clearing
house certificates and cashiers checks
prevent serious embarrassment. But
out IN the country, where they are no
clearing houses, every dollar boarded
or sent from home counts double
cat this time the patronage Of the
foreign catalog houses is a fact that
ought TO be considered seriously. BY
their own reports two Of these catalog
houses located at Chicago, which deal
in almost every commodity Of use to
the hume or farm, do business
of $40, 900, 900 year. This is $500,
600 for each of the six business days
of the week. This money comes
largely out cf country towns within
radius of LOCO miles Of Chicago
These catalog houses do MT sell
to Chicago people. 1t is from the
farmers and residents Of towns of less
than 5000 population that 50 per
cent uf their business comes anu at
last a third Of it is from the north
west. Aud remember, too. that there
are other catalog houses. and that
the combined business doue by them
is at least $500, 900, 900 annually.
81 am informed that all through the
state of Minnesota this competition OF
the foreign catalog houses has been
very seriously felt by the merchants
of small towns TO such an extent that
sumo have been driven cut of business
entiely.
eff this has been the case during
the great prosperity Of recent years.
when money was circulated freely,
what must the effect be now when
the currency is needed at home?
Money spent with the local merchant
is disbursed in the locality, at least
tbs profits on his business are, but
money sent to Chicago is lost from
local circulation.
''I notice that John j. Mitchell,
president of the Illinois Trust
and Savings Bank, of Chicago, de-
cIares that cash has accumulated in the
bank to the amounC that warrants its
return at once to the usual methods
of doing business. This banking in
stitution is named az the depository
for d catalog house that is said to
receive 500, 600 a day in postoffice
money orders alone, to say nothing of
what comes through the express money
orders and bank drafts. This seems
rather significant to me. 1t at least
illustrates one way in which money is
accommodating in Chicago banks that
is drawn directly from the country
section where il is badly needed.
without going into the home trade
question 1t seems plain to me that
these who buy from foreign catalog
house at this time are directly injur-
ing themselves, for this question Of
keeping money in home circulation
involves people of all conditions. -"