BEGINNINGS OF THE NORTHWEST 



her so constituted, so controlled, and so armed 

 with absolute and irresponsible authority. 1 



Meanwhile, also, the great profits of the 

 milling interests were accruing as a financial 

 force. The millers owned, organized, or domi- 

 nated banks. Minneapolis became hardly 

 less of a money than of a wheat market. 

 Capital in great quantities was required to 

 develop and finance the country that was 

 always being settled toward the northwest, 

 and again every fall to perform the indispen- 

 sable function that is called "moving the 

 crops." Minneapolis was the natural pivot 

 for all these operations. In its rapidly de- 

 veloping financial institutions hundreds of 

 country banks through the Northwest had 

 their depositories when money was in light 

 demand and their well-springs of currency 

 when the crops were to be moved and the 

 local elevators must have money literally in 

 stacks to pay for the wheat they were buying. 



This condition produced a concentration 

 of power no less than of capital; it always 

 does. The country banks were to a certain 

 extent at the mercy of the great Minneap- 

 olis bank, as in turn the farmer and small- 

 town tradesman were at the mercy of the 

 country bank. The great Minneapolis bank 



1 The witness quoted above admitted that any member that paid 

 prices for grain not based on the Minneapolis market could be ex- 

 pelled from th Chamber, and without redress. 



17 



