Rensselaer Republican, Volume 24, Number 3, Rensselaer, Jasper County, 17 September 1891 — CURRENT COMMENT. [ARTICLE]

CURRENT COMMENT.

CIRCULATION PER CAPITA. For the first time in a great many years a general financial statement of the government is to figure prominently in a political campaign. There have been so many misstatements in - the press and on the stump during the pending campaign in Ohio, respecting the conditions of our finances at present, compared with those at various other periods during the past quarter of a century, and eo many times has Secretary Foster been requested to furnish information on the subject that he has ordered five thousand copies of a statement, whtch covers twelve pages of Closely-printed matter, under the title of "The Volume of Money in Circulation. ’’ Secr.-tary Foster said before going away on a fishing trip yesterday, that for four weeks he had averaged fifty letters a. day from Ohio, written by men of all political faiths and inclinations, asking him about the per capita circulation, the volume of surplus and the available assets of the government at this time and at various other periods siuce the beginning of the late war. The statement which is being printed will be sent free to every one who applies, and cannot, therefore, be considered a partisan document, as it contains no edfnment whatever. It is simply a plain exposition of the resources of the government at the beginning of each fiscal year since and including 1860.

The misleading statements of Peffer, Simpson and other inflationists who have been on the stump and subject themselves to »ewspaper interviews have very much jwrplexed the officials in the Treasury Department who are familiar with the. figures and facts; and it is to negative these as well as to generally educate the public that this statement is especially prepared, although Major McKinley has repeatedly applied to the department for some kind of a geueral state meat on the subject of finances, that all questions of doubt may be officially determined. The effect of the figures will be a great deal of embarrassment in the Democratic camp, and it is not likely that many Democratic orators will ask for the document The gist of the matter contained in this statement, which is to be sent to Ohio, was published in the regular press dispatches some days ago. and showed, among other things, ttiat we have a much larger circulation per capita at present than at any other time in the history of the government. During the war the circulation was but a few cents above |lO. while at present it is $23.45 per cent. The amount of money in circulation in 1862 was $334,090,000,and at present it is over $1,500,000. The figures speak for themselves. The amount in circulation at the dates specified and the per capita circulation is shown in the subjoined table: Amount In Circulation Years. -— — Circulation. . Per Capita. LS3O.. ...... H 36.407.853 lis 8S 1861 *48,406.767 13 98 ISM 884,687,744 10 33 1863 806,394,038 17 84 (864 660,641,478 18 67 1863 ... 714,700,896 ItJ 75 1868 678.4W.044 18 98 . tut; ~ caw 1868 680,103,661 18 39 1869 . ..... ............... 664,468,881 17 60 187 U... 1871 - —....... 715,888,006 18 10 1873. 738,309,540 18 19 1873 751,881,809 18 04 1874 776,083,031 18 13 1375 754,101,917 17 16 1876 - 727,606,388 16 18 1877 ....... 722.314.883 15 58 1878 729,183,634 15 82 1879 818,631,793 » 18 75 180) ... 973.382.228 19 41 1881 : 1,114,238,119 21 71 ISti - 1,174.290,419 22 4 1883 . 1,230.305,696 22 W 1884 :.... 1,213.935,969 23 65 1895 1,292,568,615 83 03 1888 1,25c,700225 21 88 1887 1.317,539.113 22 45 _ 1888... 1,372.170.870 22 88 1889 1,880.361,618 22 21 1890 1,429,261,970 22 82 1891 1,500.067,585 23 45 The amount of., four-and-a-half-per cent, bonds continued at 2 per cent, to day was $53,300, making the total continued to date $23,759,660. The amount presented for redemption today was $628,850. of which $200,300 was received at the New York subTreasury up to 2:30 p. m., and $428,550 was received at the Treasury Department. The total redemptions to date are $9,316,350, of which $5,662,950 were registered bonds presented to the Treasury Department, and $3,653,400 were coupon bonds presented at New York. There is still outstanding $17,793,300 four-and-a-half-per-cents., of which $lO,065.850 are registered and $7,707,450 coupons.

HOW THE TARIFF REALLY WORKS. Chicago Inter-Ocean. The New York correspondent of the London Drapers (dry goods) Record informs the readers of that journal that: One curious feature of the new regime is that the expected advance in prices has not followed the imposition of the new law. This is due to several causes. In tho first place, the passage or the act has stimulated domestic production to a prodigious extent. The free trade journals of America have been busy assuring their readers that the new tariff law has not stimulated 4«ir home industries, but the New York correspondent of the London trade journal advises his readers who are manufacturers or exporters, not to hope for any great revival of the L-trade with the United States, for 4 in the first dace" tho new tariff “has stimulated* domestic procuction to a prodigious extent.” The correspondent also informs his English readers that this stimulation of domestic production to a prodigious extent has hail the result of preventing any increase of price. The worst enemy of the American free trade is the British free trader. The British free trader feels the truth of

the increase of American production, and be sorrowfully acknowledges it. The American free trader perseveres in denying the increase of production, and of its effect in lowering prioes; he could be more able to deceive his countrymen if the British free trader would refrain from telling the truth. But it is bard to take punishment quietly, and the British manufacturer or exporter, who long has had control of the American markets, cannot repress his sorrow, as he feels our “increase pf domestic productions to a prodigious extent. ” The American free traders made two predictions concerning the hew tariff, one, as they thought, sure to be verified if the other failed, The first was that increased protection would not greatly, or, at any rate, not speedily, stimulate American manufacturers, and that the increased duties would be added to the price of imported goods, the quantity of which would not be reduced, at least not for years to come. The English free traders sorrowfully acknowledge that the quantity of their goods imported to America has decreased wonderfully, and that they are not able to increase their pricpQ npnn t.hpir rlimijiighr.il anil they cordially ascribe these conditions to the tariff which has “stimulated domestic productions to a prodigious extent.” It is well to use the exact language of the English writer. '«» The other prediction of the American free trader was that if the new tariff should have the effect of Increasing American manufactures,the result to the consumer would be that the American manufacturer would raise the price of his goods as soon as he found that the new tariff was sufficient to protect him against European competition. The Americon protectionist predicted that the new tariff would stimulate our home industries to such an extent as would produce fierce competition between American manufac turers for t,he Aim>nran market, andso keep prices down. —_— The free traders laughed the prediction to scrou; and there were manufacturers who voted for protection in the mistaken belief that it would enable them to increase their prices simultaneously with the increase of their production. The new tariff now has been in effect for the greater part of a year, and the predictions have had time to mature into verity or into falsity. Let us hear the New York correspondent of the London trade journal upon the matter: He says: The idea became prevalent that under the new tariff the wicked foreigner would Be debarred from the market, and that, therefore, it would lie open to the domestic manufacturer. The natural result was a multiplication of the manufactures, and a feverish activity among the looms, and consequently low price. He goes on to say that many American manufacturers who voted for the new tariff in a belief that they would have increased protection, without that increased competition which the framers of the tariff contemplated, now are convinced that the protection and competion are convertable terms. And the correspondent of the London Journal cruelly takes knit goods and hosiery, the very articles upon which, next to tin plate, the free traders based their expectations of “higher prices on account of the tariff,” as evidences of its cheapening tendency. He writes thus: To take a striking example: Amonb those most anxious for the new law, were the knit goods manufacturers in and around Philadelphia. But now these very men are grumbling at the tariff, and they feel in this mood because, instead of finding that instant and decided increase in values for which they hoped, the quotations for underwear- and: hosiery actually show a slight decline. And he gives prices of last year and of this year in support of his proposition, and concludes in these words: This is due partly to increased domestic production and partly to the desperate efforts which are being made at Chemnitz and other foreign manufacturing centers to keep the American trade. * * * I may add that among the most disappointed are many importers who reckoned on selling out their stocks at a lucrative advance.

All this reads like an Inter Ocean editorial of August, 1890, changed into the present tense for August, 1891. The Inter Ocean warned importers, who were doubling their foreign orders to gain advantage of the old and lower rates of duty, that as soon as the new f'ates come into force the foreign ma&brs would lower their prices, and, between their efforts to keep the American market and the competition of the new American factories, prices would be as low, or possibly lower, than ever. But many of them believed the free traders and Democrats who prated “the tariff is a tax.” They know better now. The tariff is a measure that “stimulates domestic production to a prodigious extent. Governor Tillman, the farmer Democratic executive of South Carolina, visited North Carolina a few 1 days since, and made a speech which is reported in the Charleston News and Courier. Speaking of a third party, which he opposes not the South, but, like many Northern Democrats, favors in the North, Governor Tillman said: “In Kansas and othey Northwestern States —‘bleeding Kansas, 1 the blackest of black Republican States, which helped to make us in South Carolina, at least, subservient to the black horde that once dominated our State, the farmers, with poverty

staring tnem in the face and the sheriff behind them with their mortgages have been driven to adopt Democratic principles in spite of themselves. [Applause.] They haven’t the manliness td come out and say, we have been wrong apd you were right. Instead of joining the Democratic party outright they want to organize a third party. They won’t come right square into the Democratic party, although I admit it is hard for a fellow who has been voting one way for twenty-five years to confess he was wrong; but we don’t care how they help us, so long as they do help us.* [Laughter and applause. 1 If they want to vote for Democratic principles in the third party, in God’s name let U 3 send them joyful greetings, for if we can divide those fellows up there we’ll have a showing then, won’t we, boys?” [Applause.] This must be interesting reading for those Republicans in the Northwesthrq States who-havc bemi led look with Tavor aboil the People s party movement. It must be pleasing to them to learn from this exponent of Southern Democratic fanners that farmers in the Northwest would have gone over to the Democratic party, nutrigh t if they-had had the manliness to be open and bold. As they did not possess this requisite, the next best thing for them to do is to join a third party, simply to help the Democratic party and the South. The foregoing, while not complimentary, contains a timely warning.

now IT AFFECTS GERMANY.— For the purpose of studying the actual effects of the McKinley law, as far as such effects could show themselves within the comparatively short time since the law became operative, the Associated Press correspondent at Berlin has visited some of the most important industrial centers of Germany, such as Leipsic, Chemnitz, Plauen, Greise, Nuremburg and Frankfort. From other impurtahLpflihtahehaS;~reoeivod reports of Jaen thoroughly familiar with the affairs of the different districts. They all agree that the measure has had a paralyzing effect upon certain industries, while others equally highly taxed have not suffered at at all. Now far this is due to extraneous causes, independent of the bill, the correspondent will try to explain. One of the largest manufacturers, who asked that his name be withheld because he feared the wrath of his townsmen, said he had sent a number of his best young men to America for the purpose of initiating them into American business ways, as he thought seriously of putting up a factory somewhere Din the United States. The business here is done in a peceiiar way. The goods before reaching the buyer pass through many hands. Throughout a large district, many square miles, are scattered the dwellings of the single weavers, the “household industy’’ people. These recceive the yarn from a factory, weave it into incomplete stockings of gloves, returning them to the factor, who sells them to the manufacturer. The manufacturer “fashions” them and turns them over to the dyer. After dyeingtheyare “glaced,” tamped,packed in boxes and turned over to the agent, who in his turn sends them to a com-mission-house in tho United States or sells them jlirect to the American buyers visiting the German markets. All these people complain terribly, but it is the “house-hold industry’ people, the poor, who suffer. The Associated Press correspondent visited many of their homes wile in Chemnitz. For several miles along the road leading west from Chemnitz, one house joined another. In every house one could see one, two or three 100m5... At these many looms were covered with a white cloth; the sign of enforced idleness. In one house visited,a man was,making silk gloves of very fine workmanship. His machine, an upright loom, was hansomely inlaid with different woods and he seemed very proud of it. He said he was receiving at E resent 9 marks ($2.75) a week. H? ad a wife and child. The rooms were scrupulously eleau and the man had an intelligent and independent bearing. He thought of going to America if he could get his loom admitted duty free. All the men visited were intelligent, self-respect-ing industrious Their earnings, at present, average $1.50 to $2 a week. One of them, a man with a wife and four children, was asked how he managed to get along. “Well, we don’t," he replied with a sad smile. Most of us had something laid by from better days. We used that up. Almost everybody has his little house and bit of farming land. We have mortgaged that. -We still have our looms left, which are worth from $275 to S3OO, but if we should mortgage these the end would be near. Things cannot last much long er this way.” These people live almost entirely on potatoes and rye bread. At the present high prices of food staples in Germany they get scarcely enough of these. 1 "" It is understood that there is some movement on foot to induce these people to emigrate to America to es tabfish their industry there. But, on the other hand, the opponents of protection claim that factories cannot be established there to compete with European prices, and that these people, once in Amerioa, would leave their “household industry’’ and rusli into the existing factories and mills, thus competing with those already employed. That is a question to be settled in the United States* To fasten labels to tin cans, add one teaspoonful of brown sugar u one quart of paste.