Evening journal., 1914-09-10
New News Of Yesterday
A Panic That Halted I'm
provement in Navigation
By Holland.

william Window resigned from the
Cabinet Of President Arthur in order
to resume the seat in the Senate
which he had given up so that he
might accept President Carfields in
vitation to become Secretary of the
Treasury. The Minnesota legislature
had not filled the vacancy caused by
Mr. Windom's resignation, so that
there was the opportunity to re-elect
him as his own successor, something
that was without precedent in the
history Of the Senate.
After his term as Senator expired,
Mr. Window became much occupied
with business affairs. some of which
were concentrated in New York City.
Tie spent much of bis time in New
York, and was always received with
distinguished consideration in view
Of the fact that he had been not only
Senator, but Secretary of the Trea-
sury and had conducted a very bril-
lant financial achievement when he
refunded the 5s into 1-2 per cent
bonds. which became colloquially
known as Windows" I was chat
ting with Mr.. Window about two
years after the brief panic of New
York City, which was precipitated by
tho failure of the firm of Grant &
Ward. in which former President
Grant was a special partner, a failure
which swept away Gen. Grants entire
fortune
asked Mr. Window if there had
been any reason to suspect that con-
ditions were such as TO justify appre-
hension of financial disturbance.
He said Like all panics. the cli-
max in 1884 came suddenly, and many
persons thought Il was due to a sort
of volcanic or cyclonic disturbance,
instantly created. From one point OF
view IL was The appearance of it
was instantaneous, but after the fin
encial world had time to think it
realized that it was due chiefly to
over expansion Of railway construc-
ton, and therefore over expansion of
our credit in Europe.
"How suddenly a panic affects not
only community. but a nation / had
good opportunity to learn at the time
Of the panic OF 1873. Il came like
the approach OF a thunderstorm. It
vas conquered after a short time, but
the remote effects of II lasted for
years. suppose that If It had not
heen for that panic the United States
would have had under way within
two or three years preparations for
the Improvement of the navigation Of
the Mississippi River and of the Great
Lakes
Il was one of the committee of the
Senate appointed for the purpose Of
investigating the question of i'm
proved navigation of the Mississippi
and the Great Lakes. John Sherman
was another member Of that commit
tee and so was Roscoe Conkling.
I'VE we're in session OF Buffalo, be-
cause that city Is the Eastern ter
minal of the Great Lake navigation.
It was while we were in Congress-
that We received intlmations. I think
from one of the Buffalo newspapers
first that Jay Cooke e Co.. of Phila-
delphia, had suspended and that a
great panic was in full sway in the
financial centers
q remember that Senator Conkling
asked: Won't this make Il necessary
for US TO suspend our investiga-
tionsg
Il looked at Senator Sherman TO
learn what he thought about the
matter. He said: We might as well
adjourn. Congress will be in no
position TO take up the matter Of the
improvement of the waterways at
present. No one can tell Just how
far this disturbance viii 20. and II
cannot be perfectly adjusted until
the government provides for the re-
sumption Of specie payment. This
( panic is due to over expansion OF
currency and credit
We did adjourn. and the panic of
1873 procrastinated for many years
the important work of improving the
navigation Of the Mississippi and the
/ Great Lakes.
/ Copyright, 1914, by r. J. Edwards
All rights reserved.)
Tomorrow Mr.. Edwards will tell
OF An Instance of Gladstone's PRO
/ phetic Insight"