COMMERCE OF THE UNITED STATES. 



125 



the combined imports and exports of merchan- 

 dise, 17 per cent, only of the total value was 

 conveyed in American vessels. 



In 1856 over 75 per cent, of the total value 

 of the imports and exports was carried in 

 American vessels, while in 1880 but 17 per 

 cent, was carried in such vessels, though the 

 total volume of commerce has risen from a val- 

 ue of $724,000,000 to over $1,500,000,000. 



The annual report of the Secretary of the 

 Treasury contains the following allusions to the 

 decline of the American shipping trade, and 

 the plans proposed for its remedy : 



The adoption by the United States of the new code 

 of sailing regulations now used by most maritime na- 

 tions is urged by the Secretary. 



The disproportion between the commodities carried 

 in American and those carried in foreign vessels still 

 continues, and is even greater than during the fiscal 

 year 1879, the amount of merchandise transported in 

 our vessels during the fiscal year 1880, estimated on 

 the basis of value, being five per cent, less than that 

 transported during the former year. 



The foreign carrying trade in American bottoms is 

 more than 50 per cent, less than it has been, or than 

 it might be, and if it is desirable to save to the country 

 the annual freightage on merchandise of the value of 

 $1,200,000,000, the only course to reach that result 

 would seem to be to increase our registered shipping. 

 But while the ordinary demand for increased tonnage 

 causes no annual increase in the building of vessels, 

 the only method available, as a measure of public 

 policy, of effecting, such an increase, is either to allow 

 American citizens the privilege of purchasing vessels 

 of foreign build, to give a bounty on home-built ves- 

 sels, or to await the increase of American-built vessels 

 and their tardy substitution in the foreign trade for 

 those of other nationalities. Doubtless the number of 

 vessels of home-build will be adequate in time to take 

 up the freightage lost to American bottoms in conse- 

 quence of the war of the rebellion. At present, ho\vev- 

 er, the demand for vessels to carry on our immense im- 

 port and export trade does not seem to so stimulate the 

 ship-building industry as to prevent an annual decrease 

 in the number of ships built. The present facilities 

 for freighting in foreign vessels appear to be a greater 

 discouragement to that industry than would be the 

 privilege of purchasing such vessels. 



A buoyant tone prevailed in the markets, 

 and a general advance in values took place in 

 the beginning of the year. But in May and 



June the speculative movement met a sudden 

 check, the confident spirit disappeared, and 

 prices again fell. Iron was the first article to 

 decline ; and the principal cause of the momen- 

 tary arrest of the advancing tide of prosperity 

 was probably the sudden cessation of an over- 

 stimulated demand for this great staple, which 

 is usually looked upon as a commercial ther- 

 mometer, which marks the rise and fall of gen- 

 eral prosperity. The fall in iron was extraor- 

 dinary ; the price declined from $41 a ton in 

 February to $23 in June. A combination of 

 speculators, controlling money and credit to a 

 vast amount, had made an effort to create an 

 artificial scarcity in wheat, by buying up the 

 available supplies, intending to compel mer- 

 chants and speculators, in order to fulfill their 

 contracts, to buy of them the immense stock 

 which they had accumulated at arbitrary prices. 

 While these operators were buying freely in 

 the market to obtain a monopoly, the price of 

 wheat advanced to $1.59 a bushel in Chicago ; 

 but it was beyond the power of this combina- 

 tion of a few individuals to hem or control the 

 leading staple of the United States, and the 

 great pool collapsed, the price dropping sud- 

 denly to $1.03 a bushel in September. The 

 Erice of cotton declined from 13 J cents a pound 

 i March to 10^ cents in November. The effect 

 upon the stock market was still more marked. 

 The fall in prices was so great that a general 

 financial panic was apprehended. After June, 

 the tone improved gradually and prices slowly 

 recovered ; but the pending national election 

 prevented any great commercial activity. Af- 

 ter the State elections in Ohio and Indiana on 

 October 12th, which were generally accepted 

 as indicating the result of the Presidential elec- 

 tion, a remarkable upward movement took place 

 on the stock exchange, and a business of enor- 

 mous volume, with generally improving prices, 

 was done in all the markets. A comprehen- 

 sive survey of the commercial year, and a com- 

 parison of the most salient data of the commerce 

 of 1880 with the corresponding data for 1879, 

 are presented in the appended table : 



Concurrently with the extension of the rail- 

 road network of the United States, the concen- 

 tration of the control of the railroads into few- 

 er and fewer hands is going on continually. 



* Twelve months endinj 

 t Year ending June 80tl 



November 30th. 



The year 1880 has been a notable one in regard 

 to the formation of gigantic combinations and 

 the consolidation and merging of companies, 

 many of which had heen but struggling con- 

 cerns, into enormously wealthy and powerful 

 corporations. The evils and danger of this 



