April 23, 1898.





Record and Guide





i^i-







^^S trail.





Dr.^ 10 Rf\L ESTMI-SuiLDlffc AfSli^ITECTURI >(OUSEHOU)DEGfflijmDit
R'/sh/fss nfJoTHEHES ofGeSer^ IrfTtRfSl,

PRICE     PER   YEAR     IN   ADVANCE     SIX   DOLLARS.

Published every Saturday
Telephone,          ...      -          CoktUlsdt 1370"

Coraraunioationa should be addressed to

C. W". SWEET, 14-16 Vesey Street.

J. 1. LLNDSEl, Business Manager.

"Entered at the Post Offlee ai Ifew York, N. Y., as second-class matter.".





Vol. LXI.





APRIL 23, 1898.





No. 1,571





IT would be presumption to attempt to say what the course of
prices on the Stoclt Market will be in view of the fact that
a state of war exists between this country and Spain, So far,
prices have held, well, and there is iittle disposition to sell. If,
as is so confldently believed, the conflict wili be short and the re¬
sult all in favor of ourselves, there is no reason to expect a de¬
cline in prices; the market could with such an assurance easily
wait for thirty or sixty days without set-baclt. But we have no
such assurance, and no right to assume that this will be the
case;we may hope it will be, but until Spain has shown what
Itind of a battle she can give us, any assertions to that effect are
not justified. We know tbat, measured by the resources of the
respective combatants, whether the war is long or short, the
United States must finally emerge victorious, Spain linows that,
too. But no one, not even their rulers, can estimate the extent
to which the Spanish people will insist that this war, to them
one of desperation and revenge, shali be carried. If it should be
for a long time,and inthat case varying success maybe expected,
all our markets will be liable to vary according to the news of
the moment and the pecuniary circumstances of the Government
What probably constitutes the greatest danger to values, in the
event of a protracted struggle, is tlie bad condition of our cur¬
rency and the little likelihood that there is the slightest chance
of getting it put into a form that will malie it useful only, in¬
stead of as now, useful, but liable to become dangerous. As it
is, owing tO' the inability to offer a gold bond, the Government
will have to pay more for its pecuniary accommodations than it
otherwise would if it comes into the market asaborrower. There
is also a strong probability that the circumstances will be used
to revive the silver agitation in Congress, and that would have
a more unfavorable influence on business and values than the
war, however prolonged. To meet this, one of the first measures
of the Government ought to be to increase the gold reserve. It
already has warrant in law for doing this, and what may be con¬
sidered a sufficient reserve in times of peace may be utterly in¬
adequate in a time of war, when the outlook is full of doubt and
uncertainty. A gold reserve of $300,000,000 or even $400,000,000
would not be too great, not only in view of the fact that large
demands may be made on the Treasury to meet the expenses of
the war, but also because we still cherish the absurd idea that
the Treasury shall guard the gold reserves of the country and
be in a position to meet the severest drain at a moment's notice.
Other governments that have no such duty to perform keep large
gold balances on haud as war funds, and ours having to provide
gold on demand for all wants, as well as to carry on a war, ought
to make preparations proportioned to its probable needs.





EUROPE is directly affected by the troubles on this side of the
Atlantic, first by the drain of gold hither, which has al¬
ready hardened rates for money, and next by the uncertainty
regarding the extent or duration of that demand, without some
knowledge of which it is impossible to forecast even approxi¬
mately the course of the money market. A struggle of any dura¬
tion between Spain and the United States would bring this Gov¬
ernment into the market as a borrower, and as its credit is un¬
limited, if not what may be called good,' it can get all tlie money
it wants on the market's terms. But for the defectiveness of
our currency, it could get all it wants on its own terms. The
centres in which Spanish securities are largely held will suffer
severely, and the indirect, or sympathetic infiuence that this
suffering will exert will also be considerable, but more trouble¬
some perhaps than the first, because there is no knowing where
it will strike. Europe must now begin to feed London, which
has hitherto stood most of the drain of gold for America, cre¬
ating everywhere expectations of higher money rates. It is un¬
necessary to state that this handicaps business. Among the
items of interest the European exchanges furnish us, we flnd
that the March return of British imports and exports shows a





gain of 6.8 per cent, in the former, and a loss of 3.8 per cent, of
the latter, compared with March, 1897. Paris has arranged for
the construction of 25 miles of railway, and sets the first example
of creating municipal rapid transit on a large scale. The sys¬
tem is to consist of 40 miles finally, and passengers are to be
carried for flve and three cent fares, with special fares for work¬
men and school children. Austrian crop reports are only fairly
satisfactory; a good deal of damage has been done to winter
wheat, though what survives has a healthy appearance; the
conditions are favorable for Spring work. The following, told
by the New York correspondent of the London "Economist,"
may give gratification to those who have regarded with disfavor
arbitrary operations to increase the price of food, and may act
as a warning to those unthinking people who have no objection
to making money in that way: "The Chicago price to-day
(March 29th), which is merely Mr, Letter's price and not the
world's price, is about $1.03 or $1.04 a bushel, and your corre¬
spondent is reliably informed that the heavy sales in Europe
which Mr, Letter is making of his holdings are with transporta¬
tion rates paid. He is, therefore, evidently selling wheat which
is nominally quoted at $1,03 at 90 cents a bushel, which will en^
able anyone to flgure out his profits. These facts are not gener¬
ally known except among those engaged In handling actual
wheat, many of whom are temporarily idle, owing to the abnor¬
mal conditions in that trade, due to Mr. Leiter's remarkable ac¬
tivity. That gentleman's large proflts in recent months prob¬
ably place him in the position that he has not lost money so far;
but before liquidating he is bound to lose money, unless there is
suddenly developed what may appear to be a certain prospect of
a shortage in wheat crops at home or abroad."





CONTRACTORS and builders generally, as well as those
who have contracts with the city, will be glad to learn
that the Comptroller has in view a plan by which he anticipates
that relief may be obtained for the difficulties into which the
city's work has been thrown and the embarrassments to con¬
tractors that were threatened thereby. It would be a monstrous
thing if the contractors who, in good faith, accepted contracts
for public work and employed their own resources in carrying
them out, ahould be thrown into difficulties through the failure
of the city to carry out its side of the bargain. We feel convinced
that the obstructions that have been placed in the way of paying
installments on contracts when due are largely technical, and
would be speedily dissolved by the courts if an appeal was made
to them for assistance. The contractors are wisely awaiting
the findings of the Comptroller, as to the city's debt and his con¬
clusions as to his power to meet warrants for work done, before
taking any step that might embarrass him, but at the same time
in doing so they have acted with consideration toward the
municipality, for which they are to be highly commended.





THE   CITY   CONTRACTS.

ComptroHer Coler gave little satisfaction to the deputation or
builders and others having contracts for city work, who waited
upon him last Monday to learn his disposition toward work in
hand. There were about 2G contractors present. Luke A. Burke
was their spokesman. The Comptroller told them, as he last week
told another body of contractors headed by Isaac A, Hopper,
that he could pay no warrants until his statement was prepared.
He deprecated the resort to legal proceedings until the city's
position was determined and advised those whose contracts were
made toward the close ol: last year not to begin work upon them.

To relieve the difficulty so far as it relates to the contract
work of the Board of Education in Manhattan and The Bronx bhe
Municipal Assembly has been asked to make the following ad¬
ditions to the estimate for the current year, and the proposition
is now being considered by the Finance Committee of the coun¬
cil: 1. Amount necessary for the completion of contracts for
school buildings, additions to school buildings, and the Hall of
the Board of Education, under whicii work has already been
begun, 1^2,820,569. 2. ATnount of contracts approved by the Board
of Education of the former City of New Tork and awaiting the
approval of the Board of Estimate and Apportionment for new
school buildings and additions to old buildings; heating, ventilat¬
ing and furnishing certain school buildings in process of con¬
struction, and for improving lots adjoining old school buildings,
$925,662,20. 3, Estimated amount necessary for contracts ex¬
ecuted, or to Ibe executed, for fui-niture, pianos and' heating, ven¬
tilating and other apparatus, $643,145.    Total, $4,389,406.20.

It is claimed in some quarters that the following- provision for
the issue of special revenue bonds, contained in the Charter,
Section 188, Subdivision 7, gives the city power to raJse money
to complete contracts already begun: "To provide for the pay¬
ment of claims, charges, expenses, and appropriations which have
been or may be hereafter by iaw specifically Imposed upon the
city of New Tork as hereby constituted, and the several counties
wholly included within its limits and by the legislature, and for
which no other provision or payment has been made.

Testerday, Luke A.  Burke and P.   Gallagher again  waited  on