davidaulloa/AmericanStories huggingface dataset:
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1917-01-14
The Swap Principle

A boy had a knife. In fact, he had two
knives; but one Of the two had beautifully
marked pearl handle He had several at
tractive propositions to swap, but, wanting to
go to the circus, he needed real money. BE
offered the knife for sale at quarter, with no
takers. Ready money for the moment was
scarce. On the way home from school he met
another boy, who had his hand in his pocket,
iingling what sounded suspiciously like quar-
ters. Furthermore. this boy had habit of
having quarters. The pearl knife was ex
hibited. Seventy-fve cents was asked.
trade was finally effected at fifty cents. The
price of second hand pearl handled knives had
thus advanced 100 per cent, and our young
friend was able to take his girl to the circus
also.
The swap propensity, with boys and men
alike, is inherent. The boy usually exchanges
things for things-the man, things for money
and money for things Neither, however, is
so particular about the price with pocket full
Of money OF a stiff bank account The transac-
ton between the boys, involving a purchase
and sale, emphasizes two forces-the selling
power of the first boy who had two knives in
his possession, and the buying power Of the
second boy, who had at least two quarters.
These two forces are inherent, not only in any
single transaction, but in the great volume Of
business transactions which constitute the
worlds trade. In their interplay one against
the other, each in turn advancing or retreat
ing, lie determined the resultant prices. The
principle TO be established, however, is that
the average level Of prices is determined by the
relative amount Of money available as spend
ing power. The greater the amount of gold
or the currency for which it may be exchanged,
or the greater the volume of credit which it
supports, the higher will be the level of prices,
production being relatively the same. This
holds true whether money and credit are upon
q sound or upon q false basis, either through
gold directly or through loans from any source.
Again assuming production relatively the
same, the reverse is also true-the weaker
the spending power, as when money is boarded
and when loans are called, the lower will be
the price level. The operation Of the principle
10 which reference has been made, while quite
evident in the individual transaction cited, is
easily lost sight Of in the history of business
experience, because, although the dominant
factor, it is frequently confused by what are
seemingly new conditions, such as war and
variations in production or selling power.
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1917-01-14

TIVE classes Of the auxiliaries were char
i tered in al order BETTING a demo
cratic age. First, number Of private yachts
were taken over and TRANSPORTED. Their
white and gold were washed over with ser
vice gray and their luxurious trappings
adapted to the grim work before them His
majestys yachts are distinguished chiefly by
their graceful lines and their leaning toward
classical names 1t is Homeric tale, and the
names are not negligible. But ATLANTA no
longer runs before the wind with breast OF
snow, and it is many day since Bacchante
lifted the golden light of her wine-cups over
the dancing Channel waters. To rougher
nights the Bacchante is dedicated now; to
rougher nights and coarser drinks-even to
rum, ! think, on certain lawful occasions.
Sabrina, too, is listening for terrible song
where she sits under the south coast of Ire
land, and as for the Iris, the old foam-bows
flash around her course, but her wings have
lost the radiance Of their prime. A desdlier
message is hers than the glory of color and
right well she carries it. The Narcissus looks
into darker waters, but not for the drowning
light of his own eyes. II was the Narcissus
that was once told off, with a few others, TO
escort a liner. The great ship went forward
like moving city and had left the Narcissus
foaming helplessly in her wake. But he put
on full speed and followed as best he could
1t was well that he did so, for a submarine
suddenly appeared, lying in wait for the liner,
and the Narcissus, although thousands Of
yards astern at this time, opened fire with
such effect that the "U" boat, surpassinG
Echo, submerged, and left not even voice
behind her.
To-day the best of these yachts act as flag
ships to the vast fleet of trawlers, drifters
and whalers. These last three classes were
taken in the order given; At first from the
British Isles, and. afterward, in the case of
the whalers from dominions as remote a.
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1917-01-14
The Graphic Chart

It will be well, therefore, in order TO throw
light upon our present problem, TO take a long
range view Of the relation between prices and
gold as affected by war, with the help Of the
chart forming a part Of this article, which
gives the English economic experience in this
respect for q period of one hundred and six
teen years An analysis Of movements will show
that spending power, primarily affected by the
amount of gold, has been the determining fac
tor in establishing the price basis for this en-
tire period. England's economic movements
have been chosen because England's relations
TO Continental and other wars III some measure
approximate those of the United States 10 the
present international conflict, and further, be-
cause England had q Central bank during the
full period which to an extent controlled prices
for brief periods through the operation of the
discount rate. 1t will be noted that there are
certain we'll defined economic periods during
which prices trend either persistently down
ward OF upward, or maintain an approximate
level. These periods are: 1S00-1S49, 1S49-
1872 1s79-1S96 and 1S96-19l6.
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1917-01-14
Gold and Prices

The first period to which reference has been
made (lS00-1849), shows, with intermediate
variations a downward trend in commodity
prices This era, as is well known, was char
acterized by great increase in commodity pro
duction through the cheapening process Of
manufacture and the economies that came
from the division of labor" Furthermore, It
was time when the population of England
and Wales increased about 100 per cent, with
corresponding increase in trade. The volume
Of imports and exports rose over 200 per cent.
During the entire period there was but nom
inal annual increase in the gold production of
the world, and thus, considered in It's relation
20 increasing trade, there was an enormous
relative decrease. The ability TO pay the price
in money consequently was reduced and the
entire price fabric gradually lowered until the
index Of prices in 1S49 shows but l0s, as
against 239 at the beginning of the nineteenth
century.
During the second period under considers-
ton Us49-1s79) gold production materially
increased. and gold itself was more extensive
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1917-01-14

~ used for reserve purposes, as basis Tor
credit and currency, through a broader bank
ing development. Relatively, therefore, gold
and credit, expressing the spending power"
acted as a stronger force in advancing prices
than in the preceding years, and succeeded,
with the usual variations, in supporting the
price fabric on a higher average level il
will be noted, however, that whereas commod-
ity prices were at low point in 1S49 there
was swing back TO practically the same low
point in 1879 It is apparent that the spend
ing power coming from increased gold produc-
ton which followed the discoveries in Cali
fornia and Australia, which affected English
trade, was ultimately unable TO maintain
prices above the level of 1S49 because of the
vast increase in business. During this thirty
year period the population increased 45 per
cent and imports and exports 90 per cent
The third period referred to QS79-1S96)
indicates a continuation of the movement in
volved during the early part of the century
a relative dimnution in gold increase to the
great increase in the volume of commodities
to he moved At that time gold was more gen
orally used by the nations of the world as
standard of value and medium of exchange.
The last economic epoch indicates an entire
ly new tendency, although the principle is the
same. Commencing in the early nineties the
gold production Of the Transvaal mines vastly
increased the worlds supply. The effect upon
prices was first evidenced in 1896, when a
strong upward movement developed. The
prices for that year are indexed at the low
point Of rs, while in 1900 they ran up as far as
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1917-01-14
TO the Movement of Prices England from 1900 to 1916

eide with the average annual movement Of the
discount rate. The economic control OF the
Bank of England over commodity prices is
thus made evident. This is particularly in
terestng in view of the potential power OF our
Federal Reserve Board to control the discount
rate. This power Is not vital at the present
time because Of the influx of gold from abroad,
which makes it unnecessary for banks to
finance continuing or new business through
loans from the Federal Reserve banks Ulti-
mately, however, and particularly if there be
a real mobilization of gold through the medium
of the Federal Reserve system, the power OF
the board will become effective.
Under normal conditions, an advance in the
discount rate would tend to draw capital from
foreign countries and Offset gold exports. Il
would tend, generally, to discourage the financ
ing of foreign enterprise, to minimize local
loans and promote liquidation. The effect Of
this policy would be to reduce commodity
prices On the other hand, reduction of the
discount rate would tend to increase loans,
stimulate enterprise generally and ultimately
advance prices. The proper function Of
central bank or central board with CORE
spending power is, of course, 70 stabilize prices
SO far as possible and to minimize their ups
and downs, which, however, are more or less
;pa,-itahla
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1917-01-14

that this was time when prices departed
from the down trend Of the preceding period.
Coincdent with these wars there was, OF
course, relative diminution in production.
This, with both the actual and the relative in
crease in money, operated strongly in main
tanning and in a measure increasing, for most
Of the period, the level of the price fabric.
During war periods then. everything else
being equal, the tendency naturally is to de-
crease the volume Of production, and thus 10
relatively increase the amount Of basic money
and directly expand the media of exchange
through the manufacture of paper money and
bank credits. After the initial stagnation
there comes an increase in the price of COM
nodites. Such change will be noted imme-
diately after tho INSTRUMENTATION, Russo
Turkish, Crimean, Persian, Italian, American
Civil, Danish, Austro-Prussian, Seryian-Turk-
ish and Russian-Turkish wars. England's
international relations were so broad that the
reflex from conditions in these and other coun-
tries is apparent.
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1917-01-14

When Kilmeny went out, at the turn of the
tide;
And nobody knew where that lassc would
roam,
For the magic that called her was tapping
unseen.
1t was wellnigh a week ere Kilmeny came
home,
And nobody knew where Kimeny had been.
With a gun at her bow that was Newcastle's
best,
And gun at her stern that was fresh from
the Clyde,
And secret her skipper had never confessed.
Not even at dawn, to his newly wed bride:
And wireless that whispered above, like
gnome,
The laughter OF London, the boasts of Ber-
lin;
Or it may have been mermads that lured her
from home,
But nobody knew where Kilmeny had been.
1t was dark when Kilmeny came home from
her quest,
With bridge dabbled red where her skin
per had died,
But she moved like bride with rose at her
breast,
And "Well done, Kilmeny!" the admiral
cried.
Now, from sixty-four fathom conger may
come,
And tell you his tale of a drowned sub
marine;
But-late in the evening Kilmeny came home,
And nobody knew where Kilmeny had been.
There's wandering shadow that stares ut
the foam,
Though they sing all the nigh. TO old Eng
land-their queen
Late, late in the evening, Kilmeng came home,
And nobody knew where Kilmtny had been
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1917-01-14
War and Prices

The graphic indicates several erratic price
movements through the period of the Napo-
leonic wars, largely growing out Of credit con-
dtions and years Of great variation in produc
ton. Nevertheless, the price fabric averages
on a fairly high plane. II was a time when the
commodity production Of England and the
Continent was necessarily curtailed, owing TO
the state of war, and the average amount OF
money, as a consequence, was thus relatively
greater In addition to this there was a di-
rect effect upon the price fabric of the paper
money which characterizes war periods. This
again emphasizes the principle originally
stated-that the greater the amount of money
available for expenditure the higher COM
modify prices. Following the battle of Water
loo there was practically no economic disturb
ance through war for over thirty years, which
period shows marked increase in commodity
production, concident with relative decrease
in actual money, as we'll as with the elimina-
ton of much OF the paper money used during
the war. There then followed a period of
economic depression which was characterized
by numerous wars approximately coincdent
with the epoch to which reference has been
made OS49-1879) It will be remembered
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1917-01-14

H USINESS men, and in some instances
II even their clerks, are asking questions
about gold. This is perhaps due to the
headlines now being given to the subject.
clerk in drug store recently said to me: 81
do not know anything about the matter, but
heard one Of our customers say the other day
that after the war gold would not be used as
medium Of exchange. because 1t would be so
deprecated in value; what do you think? You
know, prices are awful | will have to charge
you seventy-fiye cents for this prescription,
and We make less profit than when the price
was thirty-fve cents"
1t used to be a novelty for any but few
economists and very few bankers to indicate
a knowledge of any relation between gold and
prices. Now, however, there are occasional
evidences that the educational campaign for
banking reform, the discussions on the Federal
Reserve system, and particularly the flood of
gold from Europe, have made some impression
upon the minds Of the people in general. The
purpose Of this article is to answer the ques-
ton OF the drug clerk and to make clear, If
possible. the relation between war, gold and
nricex
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1917-01-14
y PRICES THE ECONOMIC TRIUMVIRATE

DEAR" remains as an abstract whole b,g.
through specific influences. There NAV :.
seasonal element as we'll as an ANIMAL =,
ton, based upon the value Of produc,io,
tween seasons and different years. Tts
element Is inherent, coming at presen. a..
the added spending power Of increased 49,,
deposits through the expansion Of loan, IT,
is also the gold element, fundamentals
ating since 1896 10 stimulate prices. and !.
war element, causing an increase in sns,S.'
power, both through a relative increase i ,.,s
very actual increase in the United Sts,s,I
a decreased commodity production, ana =
rectly through governmental loans and ,,,..
Of currency. The spending power Of Eu,,..
naturally affects the level Of prices IN y.
United States and makes foreign prob,r, :
a degree, our problems. During war ,.-.I
the spending power which the people ma, !,
a measure have lost is more than ofse, b. q.
new spending power Of governments for W.,
purposes. And yet all these influence, =.
but different manifestations Of the "vr,,s
principle TO which reference has been ma.
Manipulation or monopoly may, Of cOu,y
either temporarily or permanently affec: prcx
within the general level established.
War and gold production, as has been ~,
from our study Of the subject, ultimately brir,
the same results. Increased gold productq
means more dollars for the people that are
more dollars in relation TO the production .,
commodities and, therefore, high prices. Va
means fewer people for the dollars that ar.
and decreased commodity production in :.
lation TO the amount Of money; thus. asa.
higher prices The question is a relative on,
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1917-01-14
Credit and Prices

Reference has as yet been made only TO four
broad trends in prices, but each Of the periods
under review has been characterized by err
ratio movements which are more nearly related
to temporary causes affecting the spending
power" developed by the expansion or contrac-
ton of credit and temporary variations in pro
duction than directly to the increase or de-
crease of gold. These swings usually range
from three to ten years, and very nearly coin
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1917-01-14
Chart Showing the Relation of War Gold and Discount to Il

100. The direct relation between gold produc-
ton and prices during this period is quite sen
stive. For example: The effect of dimn-
ished gold production during the Boer war
QS99-1902) may be definitely noted in down
ward trend in prices for the period.
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1917-01-14
Prices DiSSeCfed

The price paid for an article at any one
time is thus susceptible to a fairly definite an-
alysis. For example: A price paid at the
present time, though lost to sight, to memory
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1917-01-14


Nots--Ths figures used. ranging over socn -s,i
period necessarily hsys been taken tro" ~
sources. and some estimated, 50 must not o asv
as Indicative OF more than Tendencies 70 sss.,iys
ever they are believed TO bs fairly FepIeaeH'-
actual movements - s..- 81
II is fully realized that many points hsSe IS s;
gested which not fully covered, my Us -
Impossible within the limits of the srtcl~
The Birmingham age-herald., 1917-10-27
MISS ELOISE ALLEN
 TO SING AT CONCERT
First of Young Artists to Appear on Community Singing Programme
 at Biiou Sunday

The first music student to be given an opportunity of appearing on one of the Sunday afternoon sing programmes is Miss Eioise Allen, who Is said to be the possessor of dramatic soprano voice of most promising timbre. She is ap- plying herself to a study of singing and is working hard to perfect her art. She is delighted that she is to be the first selected under the plan to introduce the young music students of Birmingham at the community concerts
 Director Robert Lawrence said last night: Birmingham is filled with splen- did musical talent that is developing re- markedly, considering the lack of in- centive that has been only too apparent in the past. Now that Sunday concerts have been established as permanent in- stitution there is afforded ample oppor- tunity to all young musicians to gain practical training in the all-important parts of an artists equipment-public ap- pearances''
 Many delightful features are in prep aration for next Sundays sing" es- pecially along vocal music lines The Arion club will be represented by a se- Iect chorus of "A, the Philharmonic or chestra will render four numbers, includ- by Richard Strauss. There will be a tenor solo by Charles Bartlett, and the usual numbers for everybody to sing.
 In accordance with the nationa. day of prayer. the invocation will be pronounced by Dr. Henry M. Edmonds.
The Birmingham age-herald., 1917-10-27
Veterans to Take Part
 in Parade for Negroes

Plans are going ahead for the big pa rade and send-off of the 75s negro select men of Birmingham who leave next Monday for Camp Dodge, at Des Moines. Ia.
 E. E. Spangenberg. Spanish war vet eran, will have charge of the parade. which will be participated in by the Con- federate Veterans, the Grand Army of the Republic. the Spanish War veterans. and many civic bodies of the city.
 number of bands, probably including the negro band of the Tuskegee insti- tute. will participate in the march, which will probably be from the Colored Bap- tist church at Sixth avenue and Seven- teenth street. down sixth avenue to Nine- tenth street. down Nineteenth street to First avenue, and down First avenue to Twentieth street, where about half of the contingent will branch off, to board the Louisville and Nashville trains. The re- maining mon will march down Twentieth strees to Fifth avenue. and down Fifth Avenue to the Terminal station. #
The Birmingham age-herald., 1917-10-27
MEN FROM FRONT TO
 TELL OF WAR WORK
William Sloan and Jack Virgo to Speak at Meeting Under
 Y. M. c. A. Auspices

William Sloan, of the firm of w. x J. Sloan, of New York city, and Jack Virgo, Y. M. c. A. worker for the past three years among the soldiers in the trenches in France, are to be guests in Birmingham on Monday. MT. Sloan is one of the prominent business men of the east who have turned over their business to subordinate officials in or der to give their entire time to some phases of the war. Mr. Sloan has given up his own desk as president of the w. & J. Sloan Carpet company and has moved his office to the Y M c. A. War work headquarters in order to di- rect the executive work of the Y. M. c. A. now reaching throughout the war zone.
 MT. Virgo. who will tell the story of the work of the Red Triangle among the soldiers in the trenches for the past three years, went to France with the first contingent of Australian soldiers and has since seen the work of the r. NJ. c. A along the entire front, where he has worked in the various dug outs and huts. both as a hut secretary y and as 8 general executive officer Mr. Sloan and MT. Virgo are making a tour sonal report of the associations war work to the American people
 The directors of the local Y M. c. A are arranging to have MT. Sloan and MT. Virgo meet number of business men at dinner on Monday in order that they may hear this story fresh from the trenches.
The Birmingham age-herald., 1917-10-27
KN|TTERS ID MAKE 12,0OO GARMENTS Birmingham Women Doing Overtime Work for
 Soldiers

Under the direction of Mrs. T. o. Smith and Mrs. Sidney Hart. needles are doing duty and overtime duty on the balcony of Loyeman, Joseph & Loeb.
 The ladies are knitting warm things for the boys who will be in France this win ter. Birmingham's apportionment of knitted things for the soldiers is 12.00t garments. 5000 sweaters, 5000 mufrlers, 30o0 wristlets and 5000 pairs of sox.
 The knitting is under the auspices Of the local branch of the Red Cross society, and the garments must be completed by November 15, for after that day the gov- ernment will not undertake to deliver articles intended to reach the soldiers by Christmas. Therefore, all work that has been placed outside of the society is de- sired complete as soon as possible
 Many of Birmingham's women are re- fusing invitations of social nature, so engrossed are they in the matter of pro- viding warm things for the soldiers.