Evening journal., 1907-11-27
What / Know About
Delaware Politics and
Other Things
THlRTY-sEcoND ARTICLE.
By Washington Hastings

with the next Presidential election only year away
and the national the two great political
parties nearer st Interest In that important event IN
o lues ls 6teaoiy increasing and maniiesung Itself
ia various ways; principally through the medium the
newspapers So win leave for the time the narration
Of some Of the things that think I remember OF the
more or less distant and this paper to
present
Among those questions the present threaten
s condition OF the business affairs Of the country, and
the cause thereof and the responsibility therefor are per-
maps the most important and absorbing
As we are an aware IL Is fact of recent and concur
t ~, HISTORY shot comparatively hard tines and duh
business conditions usually prevail a presidential
year and the political party n power the time is
eost uniNe'eaiA hed responsible Tor them II Is not
surprising therefore that the present unfavorabe state
OF auairs Is charged 10 the account OF the Republican
party by the opposition, and particularly the
effort being made only by his political opponents
10y certain class OF business men," TO hold President
Roosevelt personally responsible for them.
notice in recent issue OF weekly publication of
heisnnorng city an invitation to the public az large
pro and con- ON this particular phase subject and
ss as ! nave very decided opinion upon it, will record
mere my answer TO their question.
rs Roosevelt menace to busness?"
answer No! ON the contrary he is a safeguard 10
business not onlS throughout the country but in Wall
It universally that the graves cause of the
recent financial uheaval and halt I'M
ness has been impairment Of confidence and it is also
clearly remembered that the growth this misrust was
almost immediately preceded by disclosures OF reckless
and "shy operations with other peoples money by the
specialists OF high hnance" the naturally logi-
oalV succeeding the other without possibility of mis-
construction AT this time Of the peril
dents Cabinet officer Secretary the Treasury Corel-
you came 70 the relief of the stricken New York banks
e. precisely the right moment 70 fun limit Of
disaster this assistance being supplemented small
degree y the deep seated faith, felt by all classes
the ability of the administration promptly sue
cessfuy cope with any emergency. threatening
ana the resulting Improvement in sentiment after the
wild scare had partially subsidized this trust has
been zeal element of strength, although intangible
uan the actual deposit of money in the banks. be
better realized by imagining a sluggish or vacilatine
character at The head of the nation in time almost
Tho unsettled conditions i'm the business world have
been promoted by overeXpansion all kinds
during our recent years of prosperity accompanied by
new and uncertain ventures perfect stream of new
issues o. stocks and bonds obligations of every kind
based on business experiments and by mprudent over
extension of credit principally by banks keen com
petition loaning money to stock operators doubtful
stock collateral thereby enabling those operators to
create violent speculative excitement and enthusiasm
m order to push up prices to entirely unwarranted
These high prices are then maintained for a tune. by
specous arguments in favor of them adroitly spread
through the various news channels, in the same
way that the very who are largely responsible for
the pres n busires trouble have been able by reason Of
their resources and control of newspapers 70 dis
seminal the absurd notion that the President stand
ing threatto. business
Another vital cause of the disturbance is the
SPECIFIC evidence, through the revelation the various
committees OF Investigation, beginning with the
insurance companies that the officers large corpora
tions have misapuropriatod the funds of corporation
stockholders insurance policy holders deposors
or their personal prohtand it surprising that
these officers claim that the Presidents policy of enforc-
ing the law is a menace TO their business
This knowledge Of bad faith in high places was to a
great degree the apprehensons and fears
which had their sequel in withdrawal of deposits
from the New York banks and companies and the
closing of the doors Of some OF them.
To take one instance: The IInickerbocxer Trust Com
pany closed its doors October last after hav-
ing paid out between $70000OO SS000OOO to its depos
tors lhis Failure the quick result disclosures
IN the Trust Company management following the resr-
nation of ITS President and directly connected with
the unsuccessful attempt of the brokerage firm of Heinze
y Company TO corner the stock a copper company
10 say that act word policy the President couid
possibly have occasioned this events is only to
state self evident proposition
Bank runs are not caused by dstrust Of President
Roosevelt but by distrust of badly managed banks
The business history the country coarl
lhat periods OF inflated prosperity invariably followed b
reNerses the flood tide must be followed the ebb the
backward movement being finally quickened by holders of
securities simultaneously trying to realize and no one
man can be held responsible inevitable process
any more than for the change seasons or the motion
or inc sea- some of the business revusons and panics
which have always been feature our finance and
commerce have been confined wall street alone and
others as in 1887 1857 1873 and 1893 have extended
throughout the country affecting all business and while
the causes OF these panics have I'm every instance
been alike they have an been marked by a common
similarN-dstrust of institutions and individuals This
weakness in the situation onset by the action of the
administration in this crisis the fact that the very
personality of Roosevelt stands confidence ana
honesty
The present business reaction exists in spite Of the
President and not becaute OF him. his determined
attitude against law breakers viii necessarily reerate
them TO back seat at least; saving much anxiety and
loss IN the future TO straight business men and investors
The President evidently believes that prevention is
better than cure and cheaper