Gambling in Farm Produce. 
313 
produce in the long run were “ bulls,” whereas under the new 
system at least half are “bears.” Speculators under the old- 
fashioned method of trading might desire a fall in prices before 
buying heavy stocks ; but as soon as they had bought they were 
anxious to see an advance. They were only temporarily inter- 
ested in a fall, while now they may be, and many of them are, 
interested in a constant fall. This comparison appears to me to 
prove to demonstration that the option system has tended to 
depress prices, so far as the influence of dealers can depress 
them. 
Let us consider for a moment to w T hat extent operators can 
influence prices. It may be said that, in the long run, values 
must be ruled by supply and demand ; and this, with qualifica- 
tions, may be admitted. But, in the first place, the “ long 
run ” is one which commonly leaves the farmer out of any ad- 
vantages secured under it, as the gamblers in the prices of farm 
produce are frequently able to manipulate the markets during 
the period when most farmers are selling their grain. Moreover, 
by their individual tricks or combinations these men create a 
constant feeling of insecurity which tends permanently to de- 
press trade. Again, the system under which they 7 operate is in 
itself a cause of depression, because it admits men of no capital 
worth mentioning as speculators under it, and the frequent 
failures of such men to meet their obligations under the daily 
or weekly settlement system are causes of occasional panics and 
permanent distrust, which prevent advances that might take 
place under sound conditions of trading. The system has led, 
too, in Liverpool, as well as in the United States, to what may 
be termed a regular state of market warfare, rather than trading. 
Great operators and “ rings ” are constantly plotting deliberately 
to ruin others, no trick being too abominable for them to descend 
to in effecting their purpose. At one time they sell frantically 
in order to create a panic, instructing their brokers to buy in 
for them far more than they have sold when prices have been 
brought low enough. This may be done to break a “ corner,” 
ruining the men engaged in it, and to acquire it on their own 
account. At another time they may buy with apparent 
eagerness, leading scores of gulls to follow their example, and 
suddenly turn round and sell to an enormous extent, when 
they have artificially advanced prices. Such tricks are fatal to 
sound trading, and drive capital out of the business in which 
they are practised, leaving it mainly to become the sport of 
gamblers. 
It is a notable fact, and very remarkable if it be an example 
of mere coincidence, that the commodities which come under the 
VOL. IV. T. S. — 14 Y 
