The Marion daily mirror. (Marion, Ohio) 1892-1912, 1909-12-31

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great California output of that time
would reduce the value of the metal
TO an extent that would depreciate
oil securities. The danger passed and
the VIII currency question slept
until the struggle between the hard
money men and the soft money men
broke out in this country after the
civil war, followed some years later
by the exciting free silver agitation.
High finance always was interna-
tlonal, but never as much so as now.
into the vaults Of the Bank of Eng
land. The political upbeavel in Great
Britain IS, appar 1ntly, the sole reason
for the maintenance of 4 1-2 per
cent dis ,ount rate by the leading fl
nancial institution of the immense
British empire. The Banks reserve Is
notably large at the present time,
and, according to the stock market
authorities would amply justify a re-
duction of the rate to 3 per cent. The
governors of the Bank of England
evidently are determined to keep the
banks position exceptionally strong
other because until such decision has
been arrived at ,he expenditures of the
arrived at the expenditures fthe
government will have to be financed
by the bank. This being the case, II
is improbable that the worlds
money markets will show distinct re-
Taxation for several weeks to come
1t was pointed out in these columns
at the zine the parliamentary strug,
gle in England began to grow acute
that the budget question would affect
American financial conditions to some
extent, as the British government
would have to borrow, for a short
time, of course, the enormous sum of
$500, 900, 900 to tide over the temporary
cessation of revenue. The English ad-
ministration has now no legal au-
thority 20 collect any taxes except
those known as fixed charges, whicn
are provided for by the statutes long
since passed. Such a disturbance of
the finances of civilized country has
not occurred in Europe for two cen
turtles or more, except during the pro
gress of revolution.
For months TO come, say those who
ought to know, the position of money
lenders throughout the civilized world
should be decidedly enviable
more so in fact than it
has been for several years.
New investment Issues, for all kinds
of purposes, are constantly multiply
ing Besides, industrial activity should
show further AMI material accentua-
ton in 1910, and that carries with IT
speculative activity, in spite of all
that financial critics may say by way
of warning. The high prices of COM
modities are likewise to be reckoned
with. The higher such values, the
more capital it requires to buy and
carry them. Unless the mode and
standard of living should show de-
cline, IT is hardly likely that national
savings can hereafter accumulate at
such a noteworthy ratio as has been
seen in previous periods of prosperity.
This, at all events, seems probable to
political economists, though they, too
like other profound reasoners, have
made some very bad guesses in the
past.
President Taft apparently listened
tc the words of wisdom which fell
from the lips of James j. Hill, who
is at present the great foe of eX-
travagance and the champion of the
simple life. Mr.. Hill visited the White
House n few days before Mr.. Taft
sent his message to congress and the
visit must have borne fruit, for the
latter, in endeavoring to account for
high prices said: "The increase -
population and the more expensive
mode of living of the people, which
have not been accompanied by a pro-
portionate increase in acreage pro-
duction, may furnish further
reason" That the American people are
ready to adopt the frugal style of
living that the French money-savers
are noted for, is highly improbable.