99 99 99 99 99 ,transcriber's ,note3 ,the original publication has been replicated faithfully except as shown in the ,,transcriber',s ,,amendments near the end of the text4 ,to preserve the alignment of tables and headers1 this etext presumes a mono-spaced font on the user's device1 such as ,courier ,new4 ,words in italics are indicated like this4 99 99 99 99 99 ,the ,modern ,world ,series #a4 ,,the ,,evolution ,,of ,,modern ,,germany4 ,by ,w4 ,harbutt ,dawson4 #b4 ,,modern ,,russia4 ,by ,gregor ,alexinsky4 #c4 ,,java1 ,,sumatra1 ,,and ,,the ,,other ,,islands ,,of ,,the ,,dutch ,,east ,,indies4 ,by ,a4 ,cabaton4 #d4 ,,the ,,argentine ,,in ,,the ,,twentieth ,,century4 ,by ,albert ,b4 ,martinez and ,maurice ,lewandowski4 #e4 ,,the ,,japanese ,,empire ,,and ,,its ,,economic ,,conditions4 ,by ,joseph ,d',autremer4 ,,the ,,argentine ,,in ,,the ,,twentieth ,,century ,,by ,,albert ,b4 ,,martinez1 ,,under-,,secretary ,,of ,,state ,,and ,,maurice ,,lewandowski1 ,,doctor ,,in ,,law ,with a ,,preface by ,m4 ,,mile ,,levasseur1 ,membre de l',institut1 and an ,,introduction by the late ,,ch4 ,,pellegrini1 ,ex-,president of the ,argentine ,republic4 ,translated by ,,bernard ,,miall from the ,french of the ,third ,edition1 revised and brought up to date4 ,,with ,a ,,map ,t4 ,,fisher ,,unwin ,,london3 ,,adelphi ,,terrace #aiae ,,contents ,,chap ,,page ,,author',s ,,note xiii ,,author',s ,,preface ,,to ,,the ,,third ,,edition xv ,,preface ,,to ,,the ,,first ,,edition xxv ,,introduction xli ,,general ,,plan ,,and ,,method ,,of ,,this ,,book #ee ,,the ,,argentine ,,nationality #ei ,,part ,i4 ,,the ,,argentine ,,from ,,the ,,economic ,,standpoint4 ,i4 ,,the ,,geography ,,of ,,the ,,argentine #ga ,,climate----,,soil----,geographical situation of the ,argentine2 its boundaries1 its area4 ,climate of various districts4 ,the prevailing winds4 ,nature of the soil2 its fertility2 adaptation to the culture of cereals and the raising of live-stock----,transformation of virgin into fertile land----,the ,pampa----,the cultivable area----,conditions favourable to production----,the plague of locusts4 ,,rivers----,their exceptionally favourable influence----,the hydrographic system----,network of navigable river-ways3 the ,rio de la ,plata1 the ,rio ,parana----,conditions of navigability---- ,canals4 ,,ports----,list of the principal ports1 with a summary of their trade----,buenos ,ayres3 description of the port1 its area1 its capacity1 tonnage2 its docks----,the ,central ,produce ,market---- ,importance of ,buenos ,ayres in comparison with the great ports of the world----,the port of ,la ,plata----,the port of ,rosario2 increase of its traffic2 construction of the new harbour conceded to a ,french company----,bahia ,blanca2 its development---- ,the decentralisation of traffic4 ,,ii4 ,,railways #ia ,rapid development of the railway system----,tabulation of its extension in each ,province----,table showing the general results of its operation----,list of the lines actually running4 ,list of railway companies1 with the length of their roadways and their returns----,the difficulty of obtaining these figures exactly----,the tariffs of the railway companies----,form of concessions1 and suppression of guarantees4 ,comparison of the railway system of the ,argentine with the railway systems of other countries----,proportion of mileage to area and population4 ,extension of the system in the near future1 owing to the numerous concessions granted----,the mileage of these concessions---- ,insufficiency of plans and previous examination----,examination of the most important concessions for which the capital is already guaranteed----,the dimensions which the railway system will attain after the concessions are realised----,programme of narrow-gauge construction2 its value4 ,meeting of the ,argentine with the ,chilian railways across the range of the ,andes----,the aerial mining railway in the ,province of ,la ,rioja4 ,railways in relation to agricultural development----,insufficiency of transport at the moment of harvest2 its causes and remedies----,necessity of a better organisation which shall respond to the stress of production4 ,,iii4 ,,immigration ,,and ,,colonisation #aac ,immigration is a vital problem for the ,argentine----,table of the population per ,province and per ,territory4 ,its sparsity---- ,the exceptional situation of the ,argentine as the objective of ,european emigration----,the poor results hitherto obtained through default of colonisation----,the faulty division of the public lands----,history of immigration in relation to colonisation----,the nationality of immigrants4 ,,part ,,ii4 ,,the ,,argentine ,,as ,,an ,,agricultural ,,country4 ,i4 ,,agriculture #abe ,,natural ,,conditions----,,the ,,constitution ,,of ,,property----,the three principal agricultural districts----,the northern1 central1 and southern districts----,the division of crops and their varieties4 ,the constitution of rural property----,the division of property----,the great estates1 called 8estancias10 and their size4 ,the drawbacks of large properties----,the necessity of a better subdivision of the public lands----,the division into lots of large tracts of land1 in order to encourage colonisation----,the system of exploiting property4 ,,agricultural ,,production----,the progress realised in last seventeen years----,comparative yield of the chief products1 wheat1 flax1 and maize----,lucerne2 the importance of the crop and the excellent results obtained4 ,increase of the area under seed----,the total area cultivated in the agricultural years #aijh-aiji----,the great agricultural belts4 ,the ,province of ,buenos ,ayres1 its agricultural development and its crops----,the ,province of ,santa ,f----,the ,province of ,crdoba---- ,the ,territory of the ,central ,pampa4 ,agricultural machinery1 its importation from abroad1 and especially from the ,united ,states4 ,,the ,,agricultural ,,yield----,the yield of the soil in the different ,provinces----,exceptional results in certain districts----,detailed calculation of the yield of a wheat farm----,two instances of great wealth realised by immigrants to the ,argentine4 ,,ii4 ,,the ,,production ,,of ,,wheat ,,in ,,the ,,argentine ,,compared ,,with ,,the ,,yield ,,of ,,other ,,exporting ,,countries #aed ,the world's wheat-harvest----,comparison between the statistics of consumption----,the conditions of production in ,russia and in the ,argentine----,comparison with the ,united ,states1 ,india and ,canada----,the prospects of the ,argentine export trade in wheat4 ,,iii4 ,,stock-,,raising #afb ,the transformation of the old 8estancia0----,the principal stock-raising establishments2 description1 extent1 number of heads of cattle and favourite breeds----,the great 8estancias0 of the ,south and ,patagonia4 ,approximate area of the soil devoted to cattle and sheep2 general estimate of the numbers of cattle and sheep----,results of the census of #aijh4----,the capital represented by ,argentine stock-raising4 ,,iv4 ,,the ,,value ,,of ,,the ,,soil #agd ,difficulties in estimating this value----,principal factors of valuation----,examples taken from lucerne fields and the forests of quebracho----,despite adverse circumstances1 and with a few exceptions1 there has always been a tendency for the price of land to rise----,alienation of lands acquired by conquest from the ,indians2 their enormous present value----,the rise of value dates from #aijb1 and has hitherto continued without relapse---- ,the causes of this rise1 and its rational principles1 according to an authoritative opinion4 ,examples of valuation drawn from the sales of public lands----,the rise of prices in the ,provinces of ,buenos ,ayres1 ,crdoba1 ,santa ,f1 and the ,pampa1 with figures indicating the prices realised in some large recent transactions4 ,v4 ,,agricultural ,,industries #ahg ,,sugar-,,cane----,area of plantations----,statistics of production---- ,legislation affecting sugar----,consumption4 ,,vines----,area of vineyards planted----,production1 consumption---- ,imperfect quality----,competition of foreign imports4 ,,tobacco----,area of plantations----,value of the product----,defective preparation4 ,,the ,,mulberry----,the culture of the silk-worm might be established in the ,argentine1 but at present exists only in an experimental condition4 ,,mat----,large consumption of this product4----,statistics of foreign importation----,districts suitable for its growth4 ,,cotton----,physical conditions proper to its growth----,the first favourable results in the ,argentine----,its introduction into ,chaco----,lack of manual labour for the development of this industry4 ,,rubber----,existence of rubber plants in the ,argentine----,an unexploited source of wealth4 ,,arboriculture----,on account of the diversity of the climate1 all fruit-trees can be grown in the ,argentine----,the various fruits cultivated in different regions----,amelioration of the products4 ,the trade in fruit----,its development possible on account of the inversion of seasons as compared with ,europe---- ,refrigeration applied to the transport of fruit----,regions particularly suitable for fruit-growing4 ,,part ,,iii4 ,,the ,,argentine ,,from ,,the ,,commercial ,,and ,,industrial ,,point ,,of ,,view4 ,i4 ,,foreign ,,trade #baa ,the important part played by the foreign trade of the ,argentine---- ,table of imports and exports during recent years----,explanation of their respective movements----,favourable condition of the commercial balance4 ,method of ascertaining the statistics of exports and imports---- ,errors in evaluation----,notes on the import duties on various articles----,variations of the custom duties----,export duties2 their transitory characters----,the trade in bullion4 ,,imports4----,their classification according to their countries of origin----,value of imports from each country1 with indications of the principal articles imported----,the ,argentine dependent upon other countries for a large number of manufactured articles----,concentration of imports at ,buenos ,ayres4 ,,exports4----,their classification according to origin----,value of exports from each district1 with indications of the chief articles exported----,decadence of the ,french trade with the ,argentine and its causes4 ,tabulation1 according to importance of the principal products exported by the ,argentine----,remarkable increase in agricultural and pastoral exports----,search for new outlets4 ,eventual denunciation of commercial treaties----,projected new treaty with ,france----,causes of the superiority of ,english1 ,german1 and ,north ,american trade in the ,argentine over ,french trade4 8,dumping0 in the ,argentine----,a new client for the ,argentine---- ,japan----,elements which make for the development of commercial activity in the ,argentine4 ,the commercial balance----,results of the commercial balance----,its prime importance in respect of the prosperity of the country---- ,it is this balance which compensates the issue of capital for the benefit of the foreign debt4 ,,ii4 ,,the ,,great ,,argentine ,,industries #bce ,the principal industries of the country are related to agriculture and cattle-breeding4 ,,sugar-,,planting1 ,,boiling1 etc4----,capital engaged----,tucuman the chief centre----,production and exportation----,the sugar crisis----,the ,rosario ,refinery4 ,,flour ,,export ,,trade----,capital invested----,equipment1 steam flour-mills1 grain-elevators----,production and exportation4 ,,refrigeration4----,at present the chief industry of the country---- ,number of establishments----,table of exports of frozen and chilled meats----,capital invested----,development of the industry4 ,,dairy ,,industries4----,the large establishments devoting themselves to these industries----,butter2 cheese----,exports of butter2 the development of which the dairy industries are capable4 ,,breweries4----,chief establishments----,production and consumption of beer during the years #aijb-aijg----,suppression of imports of foreign beer4 ,,spirits----,decreased production of spirits4 ,,looms1 ,,tanneries4----,weaving and tanning are industries which at present exist in the ,argentine only in a rudimentary condition1 despite the conditions which are favourable to their development4 ,,quebracho ,,wood4----,the centre of production----,applications---- ,companies engaged in the industry----,their results----,value of the products and the large profits to be expected4 ,,timber ,,trade4----,varieties of timber and hard woods4 ,,fisheries4----,first results of this industry4 ,,iii4 ,,mines1 ,,electrical ,,and ,,other ,,industries #bej ,the ,argentine has not entered the industrial age----,she has no coal-mines in operation1 no natural motive forces of any importance4 ,,mines4----,symptoms of the awakening of the mining industry---- ,numerous lodes in the ,andes----,the mines of ,la ,rioja and ,catamarca----,mines in other provinces and territories----,mining legislation4 ,,electric ,,industries4----,tramways2 their development1 their perfected equipment1 and their profits----,progress of electric lighting----,telegraphs----,telephones4 ,,various ,,industries4----,list of various industries established in ,buenos ,ayres1 according to the last census1 with the value of their products4 ,comparison between the statistics of #ahie and those of #aijd---- ,progress realised in #aijh----,workshops and factories4 ,,iv4 ,,banks1 ,,the ,,bourse ,,or ,,stock ,,exchange1 ,,and ,,limited ,,companies #bfa ,,banks----,international character of ,argentine banking----,evolution of banking machinery----,list of the principal banks1 with amount of capital and business done----,conditions peculiar to ,argentine banking2 the lack of movable reserves----,rates of interest on account1 on deposit1 and on advances----,statistics of the deposit accounts of the principal banks----,exchange operations3 their decrease since the determination of a fixed monetary ratio----,the ,clearing ,house2 the importance of its operations4 ,the ,bank of the ,nation4----,its history----,the formation of its capital----,political interference in the nomination of its ,directors----,statistics of its accounts----,rapid increase of deposits----,difficulty of realising capital----,the resumption of payments4 ,the ,bank of the ,province of ,buenos ,ayres----,its reorganisation---- ,its present prosperity4 ,mortgage and ,loan-,banks4----,history of the ,banque ,hypothcaire of the ,province of ,buenos ,ayres----,bankruptcy----,arrangement between the bank and its creditors----,proposal of reorganisation----,laws relating to mortgage in the ,argentine---- ,the ,national ,mortgage ,bank2 statistics of business done---- ,joint-stock loan companies2 their capital and amount of business done4 ,,the ,,stock ,,exchange 7,,bourse74----,history of this institution---- ,its importance2 its functions2 amount of business done---- ,the decrease in its transactions since the cessation of speculation in currency or the monetary ratio4 ,the ,bourse is a private establishment----,its membership and its regulations----,statistics of business done during the last ten years----,securities quoted on the ,buenos ,ayres ,bourse---- ,decrease in the total amount of business done during the last five years----,the monetary reform of #aija as a factory of this decrease----,the place occupied by the ,stock ,exchange in the life of the nation4 ,joint-,stock ,companies4----,the development of joint-stock companies----,legislation affecting such companies----,abuses committed in the formation of such companies1 due to speculation----,statistics of capital invested in joint-stock companies before and after the speculative crises of #ahij---- ,revival of such companies1 in a sense more consistent with the development of the country4 ,,part ,,iv4 ,,argentine ,,finance4 ,i4 ,,the ,,argentine ,,budget #bie ,the financial situation----,continual increase of national expenditure----,great and rapid progress since #ahia---- ,insufficiency of the means adopted to moderate this increase---- ,the ,budget ,extraordinary and the ,special ,legislation ,budget4 ,causes of this increase of national expenditure----,the increase of administrative requirements caused by an increasing population2 this is the most natural cause1 and that most easily justified----,increase of the public debt----,the intervention of the ,state as the promoter or guarantor of important public undertakings----,exaggerated military expenses4 ,the total sum of national1 provincial1 and municipal expenses4 ,the proportion per inhabitant----,comparison with other foreign countries in the matter of administrative expenses4 ,the national revenue----,the revenue as organised by the ,constitution1 and its analysis----,indirect taxation----,the customs the chief source of revenue----,direct taxation2 its origin in the ,argentine2 its justification2 its yield---- ,revenue of the industrial undertakings belonging to the ,state3 railways1 sewers1 posts and telegraphs----,the exploitation of the ,state lands4 ,elasticity of the receipts1 which follow the development and progress of the country----,the accelerated increase of expenditure1 and the resulting chronic deficit----,necessity of serious reforms4 ,,ii4 ,,the ,,public ,,debt #cab ,statistics of the public debt on the #ast ,january #aiji----;,history of the public debt----,the first loans4 ,the financial crisis----,consolidated loans----,the ,romero arrangement---- ,loan for the redemption of guarantees----,the internal public debt----,the total of the ,argentine public debt1 and its annual cost in dividends and redemption----,the proportion of financial charges as compared to other budgetary expenses4 ,the burden of the public debt is heavy1 but not unduly heavy in relation to the productive power of the country----,the necessity of restraining further issues and of converting old debts----,the efforts of the ,argentine to improve her credit4 ,,iii4 ,,the ,,double ,,currency #ccj ,the persistence of the double currency----,the history of paper money----,the origins of the premium on gold1 and its almost continual increase----,the year #ahij and the depreciation of the currency----,the causes of this depreciation2 abuses in the issue of paper1 caused by a bad financial and administrative policy4 ,remedies suggested----,rosa's law fixing the value of paper money and establishing a ,caisse de ,conversion----,opposition to this law----,its beneficent effect upon agriculture and stock-raising1 which had especial need of a stable medium of exchange----,reserve fund created with a view to converting paper money2 its vicissitudes in the past and its present constitution----,the present monetary situation4 ,,iv4 ,,the ,,caisse ,,de ,,conversion #cdb ,the principles on which the establishment of this institution is based----,the necessity of a rapid redemption of fiduciary money----,the doubtful success of this programme----,new issues of notes----,new attributes of the ,caisse dating from #ahii----,the exchange of paper for gold and vice versa----,the development of this system of exchange----,the authority attaching to the ,caisse4 ,v4 ,,the ,,balance-,,sheet ,,of ,,the ,,argentine ,,according ,,to ,,the ,,inventory ,,of ,,securities #cdi ,,the ,,inventory ,,of ,,movable ,,property ,,or ,,securities----,the capital represented by movable properties1 stocks1 bonds1 shares1 etc41 is the only kind of capital which lends itself to statistics----,the great groups of movable properties3 ,national ,funds1 ,railway ,shares1 ,insurance ,companies1 ,foreign ,banks1 ,mortgage ,companies1 and agricultural and industrial undertakings4 ,the nominal amount of capital represented by movable values---- ,table of the annual revenues of the same1 and the sinking fund----,division of this revenue among the different countries having capital invested in the ,argentine4 ,english capital----,the importance of ,english investments in all branches of ,argentine activity----,the benefits of a reaction in favour of ,argentine capital----,french capital2 its small value compared to ,english capital----,german capital and its rapid increase----,approximate valuation of that portion of revenue remaining in the ,argentine1 and of that which goes to the various nations having capital invested in the country4 ,,the ,,balance-,,sheet----,the assets are principally composed of exportation values2 the liabilities1 by the value of imports---- ,the revenue of investments exported to foreign countries1 and the total of the sums expended by the ,argentines abroad---- ,table giving a summarised ,balance-sheet and the balance in favour of the ,argentine----,international exchanges and the importation of gold confirm this favourable situation---- ,argentine capital will presently play a more important part in the country as compared with foreign capital4 ,,conclusions #cgj ,,index #cgc ,,author',s ,,note ,at the outset of this work our thanks are due to ,seor ,j4 ,romero1 ex-,minister of ,finance1 who has given us the benefit of his experience for this study of current ,argentine affairs4 ,seor ,romero is the author of the monetary law of #ahha1 and was responsible for the arrangement of the foreign ,debt of #ahib2 he is to be numbered among those ,ministers who have rendered1 in the course of their financial administration1 the greatest services to their country4 ,we must also pay tribute to the memory of two eminent gentlemen1 no longer living1 whose death the ,argentine deplores2 who had desired1 by aiding us with their advice1 to be in some sort collaborators in this work1 destined as it is to make popularly known to ,european readers the present prosperity of the ,argentine ,republic4 ,we must express our utmost gratitude first of all to ,signor ,pellegrini1 that eminent man who assumed the ,presidency of the ,republic in a difficult moment of her history4 ,we are greatly honoured in that we are able to associate his name with this book1 by publishing1 as an ,introduction1 a most interesting study of the formation of the ,argentine ,republic1 which was one of the last writings of this eminent citizen4 ,and we must not forget the friendly and conscientious assistance rendered us so willingly by one of the most notable figures in the financial world of the ,republic3 ,m4 ,ernest ,tornquist1 whose death was also most truly a national bereavement4 ,m4 ,tornquist exercised a considerable influence over the trend of affairs1 and he most notably contributed to the work of economic expansion1 and financial and monetary reorganisation1 of which the ,argentine is to-day feeling the beneficial effects4 ,we have profited1 in writing this book1 by his incontestable competence1 and respectfully salute the memory of this willing friend and collaborator4 ,,author',s ,,preface ,,to ,,the ,,third ,,edition ,three years have elapsed since the appearance of the first edition of this book1 and we have to-day the satisfaction of being able to state that the development of the country has fully responded to our optimistic forecast4 ,short as such a period is in the life of a people1 it has been extraordinarily full2 the ground covered is so considerable that it is of a larger ,argentine that we now have to revise the picture1 while recording its pacific victories in the economic field4 ,no country in the world has ever in so short a time realised so rapid a progress1 in respect of the produce of the soil4 ,in #aijd-aije the area under culture was as yet no more than #bb-a_/b millions of acres1 while to-day1 in the agricultural year of #aijh-i1 it attains the figure of #ce millions of acres1 representing an increase of nearly #ge per cent4 ,in the same period the value of cereals1 which was about #a1fjj1jjj in #aijd-e1 has also increased in very large proportion4 ,taking as basis the figures furnished by the ,division of ,rural ,economy and ,statistics of the ,ministry of ,agriculture1 we may estimate that the harvest of #aijh-i will give a yield of1 #ac1haa1jjj 7metric7 tons1#a which may be divided as follows3 ,wheat #e1gfj1jjj tons1 flax #a1bbh1jjj1 oats #hbc1jjj1 and maize #f1jjj1jjj tons4 ,the value of the harvest1 according to the prices ruling in #aijh1 will amount to #ajde millions of paper piastres1 or #ib1jjj1jjj4 ,footnote #a3 ,reducing the above quantities to bushels of #ef lbs4 weight1 the cereal harvest is estimated at3 wheat1 #bcj1jjj1jjj bushels2 oats1 #cc1jjj1jjj2 maize1 #bdj1jjj1jjj4 ,the metric ton is #cde lbs4 lighter than the ,english4 ,to appreciate these figures at their true value1 one must remember that twenty-five years ago the ,argentine was still importing foreign flour to make her bread1 while to-day the production of grain represents nearly a ton per head per inhabitant4 ,it is the same with maize3 twenty years ago it was hardly grown1 and to-day the harvest amounts to #f millions of tons2 furnished almost entirely by two provinces----those of ,buenos ,ayres and ,santa ,f4 ,as for stock-raising1 we cannot make a comparison with any very recent statistics----since the last available date back to #ahie----;but we may say that the general census which has just been undertaken1 under the direction of ,seor ,alberto ,b4 ,martinez1 has revealed a wealth whose magnitude surpasses all conception4 ,to-day the ,argentine counts #bi1aaf1fbe horned cattle1 #fg1baa1ged sheep1 #g1eca1cgf horses1 #gej1abe mules and asses1 and #c1ide1jhf goats2 which is equivalent1 at the present time1 to a capital of #adha millions of paper piastres1 or #acj1jjj1jjj4 ,by referring to the figures for #ahie1 which give us #ba1gja1ebf horned cattle and #d1ddf1hei horses1 we may judge of the immense progress which the ,argentine has realised in a few years1 thanks to the transformation of #c-c_/d millions of acres of soil into magnificent pastures of lucerne4 ,on the other hand we must1 it is true1 note a decrease of #g1afg1hjh head of sheep1 which are gradually falling back before the advance of agriculture and the increasing numbers of cattle4 ,this harmless animal contents itself with a poorer soil1 and does not fear the intemperance of the seasons2 also sheep-raising is now giving place1 in our central provinces1 to other more remunerative industries1 and the sheep are taking refuge in great quantities in the southern regions4#b ,footnote #b3 ,patagonia1 and even ,tierra del ,fuego1 with its terrible winds and drenching rain1 is now being occupied by the sheep-rancher1 to the destruction of the guanaco and the natives2 frost being rare save on the ranges1 and the pasture luxurious4----,,trans4 ,if we consider these facts with a view to noting the precise direction in which the ,argentine is to-day evolving1 we shall observe a marked tendency towards the extension of agriculture proper1 and a check in the progress of stock-raising1 which appears----at least for the moment----to be developing more slowly than of old4 ,this characteristic change is perceptible each year in the statistics of foreign trade4 ,the exportation of agricultural products amounted1 for the year #aijg1 to the value of #afd millions of piastres 7gold71 or #cb1hjj1jjj as against #cb1djj1jjj and #cd1jjj1jjj for the two preceding years4 ,as for the products of stock-raising1 the value in #aijg amounted only to #bd1hjj1jjj1 while in the two preceding years it was #bd1hjj1jjj and #bh1bjj1jjj2 and ten years ago it exceeded by more than #aj1jjj1jjj the value of the agricultural exports4 ,many causes are contributing to this transformation of a pastoral into an agricultural country2 their action is progressive1 and they are profoundly modifying the aspect of the land1 by gradually substituting1 for the monotonous horizons of the ranchero's prairies1 the variety of cultured fields4 ,while the prices of cereals have always attained a remunerative figure1 those of the bestial1 on the contrary1 have now and then suffered sensible depression2 and1 what is still more serious1 the ranching industries have also suffered1 as they did in #aijh1 by a lack of demand for hides and wool1 and simultaneously for an insufficient outlet for meats4 ,the dried-meat 7saladeros7 industry1 which used to absorb annually nearly two million beasts1 has by now been almost entirely removed in the direction of ,uruguay1 or the ,brazilian province of ,rio ,grande do ,sul1 and is little more than a memory2 as this primitive and rudimentary method of preparation had perforce to give way before the more hygienic and progressive chilled and frozen meat trade4 ,the chilled beef industry1 however1 upon which such hopes were founded1 has not of late years made any conquest of new markets1 ,england being almost the ,republic's only customer4 ,as for the exportation of cattle on the hoof1 it is greatly impeded in ,europe by prohibitive measures1 which diplomacy1 by means of commercial treaties1 is endeavouring to remove4 ,yet were the desired advantages obtained1 the result would be doubtful on account of the considerable rise in the price of cattle and the high freights which are charged for the transport of living stock4 ,it therefore results that this particular species of exploitation is at an obvious disadvantage in the face of the refrigerating trade4 ,if the raising of stock and its dependent industries have not1 in these last few years1 realised a progress comparable to that of agriculture1 we must by no means conclude that this department of production has ceased to be an element of national prosperity4 ,quite on the contrary3 thanks to the efforts made to better affairs by happy selections in the breed of animals1 the value of live stock has increased in surprising proportions1 and the ,argentine still retains its rank as second to the ,united ,states as a stock-raising country4 ,what we have endeavoured to emphasise1 as a new manifestation of the national activity during the last few years1 is that the development of the country has been in especial along agricultural lines2 an incontestable proof of progress1 and an index of a higher degree of civilisation4 ,agriculture1 as compared to stock-raising1 is1 from the economical point of view1 a source of wealth having quite a different bearing upon the general prosperity and welfare of a nation4 ,it is the fairy which little by little transforms the vast plains of the ,argentine pampas into a more animated landscape1 peopled by numerous homesteads1 foci of colonisation1 which then develop into villages1 which in a score of years may perhaps be important cities4 ,agriculture summons the railroad1 stimulates emigration1 promotes the division of the soil1 creates the small proprietor2 it influences even the manners and morals of the inhabitants1 for it demands more labour1 more intelligence than ranching2 nimbler wits1 more method1 greater foresight4 ,the comparison between the two great industries of the ,argentine is summed up in the following fact3 a property comprising #be1jjj acres of pasture can be put into working order and managed by a staff of ten to twelve men4 ,for an estate of #aejj acres under culture1 one may estimate that forty to fifty persons1 grouped in families1 may easily live upon the soil and prosper4 ,we may perceive by this the great superiority of agriculture from the point of view of the general interest of the country4 ,it demands and supports a denser population2 it permits the grouping of this population in villages and cities1 it creates1 in proportion1 with a smaller capital1 a great wealth of produce2 in short1 it contributes on the one hand towards increasing the wealth of the country by participating largely in its exports1 and on the other it increases its power of consumption1 by absorbing a greater number of imported products4 ,thus the evolution of the ,argentine towards agriculture constitutes a real progress1 and if the country continues to follow the same path1 its development will assuredly not be arrested by lack of soil4 ,the #ce to #cg millions of acres already reclaimed1 and at present under culture1 represent at the most a tenth of the total area of cultivable land1 which is estimated roughly at #cge millions of acres1 of which at least #abe millions are perfectly adapted to the culture of cereals4 ,the four ,provinces of ,buenos ,ayres1 ,santa ,f1 ,crdoba1 ,entre ,rios1 and the ,territory of ,pampa ,central alone contain some #cb-a_/b millions of land under the plough1 while there remains about #agj millions of acres of land which is just as fertile1 and which without manuring or preparation would yield a splendid crop from the first year of tilth4 ,this transformation into an agricultural country has already borne fruit4 ,the figures relating to external commerce1 compared with the world's statistics of cereal production1 show the present position of the ,argentine among the great exporting nations4 ,it is the ,argentine which to-day1 after the ,united ,states1 occupies the second rank in the matter of cereal exports2 and this is a significant event in the economic history of the nations1 to which the attention of ,europe should be directed4 ,at the present moment the ,argentine1 with her #d million tons of corn available for exportation1 is not as yet mistress of the grain markets1 but she represents1 to those countries whose production is insufficient1 a notable reserve1 which has become indispensable since the ,united ,states1 ,canada1 and ,russia seem to have reached their limit of exportation4 ,the year #aijg-h was for the ,argentine1 thanks to the results of a good harvest1 a period of exceptional prosperity4 ,the average yield of wheat was #ahg cwt4 per hectare----#ad bushels per acre----and in the ,province of ,buenos ,ayres it amounted to over a ton per hectare----or #ae bushels per acre----although the average was only #aa per acre in #aijf-aijg1 and #ac in #aije-aijf4 ,as for the prices1 they ruled higher than any the country had so far known1 even during its most prosperous periods4 ,wheat had been selling at #f or #g piastres the #ajj kilos----that is1 approximately1 at #cs4 to #cs4 #f;d4 per bushel----and at that price agriculture still yielded a fair profit4 ,in #aijh1 as a result of the bad harvests in several ,european countries1 the sales rose to #fs42 at which price the profits on the cost of production amounted to #be or #cj4 ,after this cursory glance at the present situation in the ,argentine1 we must also express our views of the future4 ,optimism is certainly permissible in the case of a country which has advanced so far in so short a time1 and where prosperity is founded on a diversity of products which can never be affected by a universal crisis4 ,however1 one well might wonder whether the ,argentine might not1 in the ,biblical phrase1 know lean years following the fat2 whether she is not destined to suffer the onset of plagues1 such as drought and the locust1 which latter is to her1 as to ,egypt in the time of the ,israelites1 a veritable scourge4 ,certainly here we have one of the great risks to which the country is exposed3 a country wherein all depends upon the harvest1 the earth being the principal source of wealth1 and the mother of all industry4 ,yet this danger1 so real a few years ago1 is greatly lessened to-day by the fact of the distribution of cultivated lands and pastures over a far greater area4 ,a bad harvest could not compromise both agriculture and stock-raising over a stretch of more than #ae of latitude4 ,yet the country is subject to a very real danger1 but one of another kind4 ,from the very exuberance of development may arise a crisis of growth2 for her prosperity depends not only on plentiful harvests2 it may be influenced by other factors on which it is far more difficult to pronounce4 ,the country must continue to require considerable sums of capital for her agricultural necessities1 for her stock-raising1 for commerce1 and for industries2 and it may be asked whether the ,european markets1 from which1 in great measure1 her capital derives1 can continue to afford her an ever-increasing amount of assistance which will keep pace with her development in all directions4 ,the ,argentine is not so far self-sufficing4 ,the soil is1 to be sure1 a source of immense national wealth1 but this wealth is not in the form of a reserve to be drawn on2 it is1 as a rule1 converted into real estate directly it is produced2 unless1 indeed1 it goes abroad4 ,for a farmer who makes a profit1 say1 of #hjjj or #aj1jjj1 will immediately employ his capital to acquire another holding or to start a different kind of culture1 instead of clearing off the debts which already burden his property4 ,he is contented with his position as a borrower2 for if money1 even on mortgage1 costs him #h to #i per cent41 he can1 on the other hand1 obtain a far higher interest by sinking it in the purchase of land4 ,from all this it results that in the ,argentine rural and even urban property is largely hypothecated4 ,it must be understood that this capital is well guaranteed1 as its security rests not upon pure speculations but on the yield of the property1 which is far in excess of the charges2 however1 since the general tendency is not towards redemption1 one may wonder if1 sooner or later1 there may not be a lack of equilibrium between the impulse given to the country and its financial needs4 ,the crisis which arose in the wool market in #aijh1 the drop in the prices of quebracho timber1 and the restricted outlet for cattle on the hoof1 and even for refrigerated meat1----all these partial misfortunes are salutary warnings1 and we must not lose sight of them1 nor allow ourselves to be hypnotised by the high prices of wheat1 maize1 or flax1 or the heavy yield of the lucerne pastures4 ,for our part1 in considering the future of the ,republic no less than its present interests1 we hope to see it enter upon a period of consolidation1 rather than continue indefinitely the discussion of further progress4 ,before entering upon another stage of development the country must1 for a while1 mark time1 in order to gain leisure to assume its own liabilities1 rather than continue incessantly to absorb new capital4 ,but there is still a cloud in the serene skies of the ,republic2 a cloud that might be the precursor of a truly national catastrophe1 if the measures necessary to avert it were not taken in time4 ,the peril arises neither from the economic situation1 which is excellent1 denoting an ever-increasing vitality1 nor the relations of the ,republic with the neighbouring nations1 which are conceived in a spirit of peace and concord4 ,although a short-sighted diplomacy has attempted to envelop the relations between the ,argentine and ,brazil in an atmosphere of jealous distrust1 there is no fundamental cause which might trouble the friendly relations of these two countries1 which formerly fought side by side on the field of battle for the redemption of a sister nation4 ,they have no conflicting economic interests which might divide them1 and are destined to afford a great example of progress and of civilisation to the other ,states of ,south ,america4 ,the peril to which we refer is of a totally different character3 it is caused exclusively by the exaggerated expenditure of the public administrations1 and the dangerous paths of armed peace upon which the country has entered2 thus implanting1 in young and free ,america1 a ruinous system1 which is ruining the nations of the ,old ,world1 burdens them with insufferable taxes1 and diverts from production and labour too large a proportion of citizens4 ,in order to face imaginary dangers1 ,congress and the ,government have lately decreed that a sum of #dj1jjj1jjj shall be expended upon armaments4 ,as for home politics1 they form a domain which we do not desire to enter1 and on which the world of affairs bestows little enough attention1 so long as they do not compromise the public peace4 ,the ,argentine1 in fact1 is still under a system of personal power2 the ,presidency of the ,republic is the focus about which all the political life of the country gravitates4 ,in default of a people as conscious of its rights as of its duties1 and possessed of the virtues necessary to a course of perseverance in democratic practices1 it is the ,government that manages the elections2 and it is difficult to say whether it does so because there is no public opinion1 or whether there is no public opinion because the ,governments usurp the functions of the electorate4 ,from this point of view there has been no change in the political morale of the country2 the only progress to be noted is that the parties resort less often than they used to violence as a solution of their quarrels4 ,as for the administrative expenses1 they are increasing with a rapidity only equalled by the growth of the fiscal resources of this fortunate country4 ,proposals for public works accumulate in the various ,ministries1 while waiting for the funds necessary for their execution2 their total amounts to-day to the respectable figure of nearly #dj1jjj1jjj4 ,to sum up3 from our re-examination of the ,argentine situation for #aiji1 we obtain an impression of great progress and of actual prosperity1 an impression confirmed by the statistics of foreign trade1 in which the entire activity of the country is reflected4 ,for the year #aijg the total of imports and exports amounted to #aaf1jjj1jjj2 for #aijh the total receipts and outgoings represented #acc1jjj1jjj3 with a commercial balance of nearly #bd1jjj1jjj in favour of exports4 ,among the other manifestations of national progress we have still to take into account the development of the network of railroads1 of which #ac1ffj miles are in actual working1 representing a capital of #aeh1jjj1jjj1 while #cbei miles are projected or in process of construction1 representing a capital of more than #be1jjj1jjj4 ,these new lines have been conceded by ,congress either to companies already existing1 or to new companies which are able to offer all desirable guarantees1 so as to assure the prompt realisation of the schemes accepted4 ,the ,government1 on its own part1 has solicited and obtained from ,congress the necessary sanction for the execution of a vast plan for the colonisation of the ,southern ,territories1 which is based on the construction of numerous railroads4 ,this continuous extension of the railway system has greatly favoured the valorisation of the new ,territories1 and has contributed powerfully to the movement of colonisation and emigration which is the indispensable condition of a wider future4 ,to-day1 then1 all is for the best in the best1 or at least the richest1 country in the world4 ,but if science teaches us that ,nature takes no leaps----natura non facit saltus----history also teaches us that nations in their progress must not progress too rapidly4 ,for this reason the ,argentine ,republic1 in especial1 has need to-day to consolidate her prosperity under a rgime of foreign and domestic peace1 of prudence and economy1 and to avoid speculation and the abuse of credit1 which have ended1 before now1 in inevitable reaction4 ,,preface ,,to ,,the ,,first ,,edition ,twenty years ago ,m4 ,f4 ,latzina1 ,director of ,statistics1 published in ,french a very able work on the ,geographie de la ,rpublique ,argentine1 of which he had issued the first edition in ,spanish1 and ,i consented with pleasure to write an ,introduction to a book whose object----an object which it fulfilled----was to familiarise ,european readers with a country whose rapid development is one of the most remarkable facts in the economic history of the nineteenth century4 8,these results10 ,i wrote1 after having quoted certain statistics of agriculture and commerce1 8are assuredly very satisfactory4 ,the ,argentines have the right to be proud of them2 few countries in the world could show a like example of progress60 ,i have no less pleasure in associating myself to-day with this book1 by ,seor ,albert ,b4 ,martinez 7sometime ,under-,secretary of ,state1 and at present ,director-,general of the ,statistical ,department of the city of ,buenos ,ayres71 and ,m4 ,maurice ,lewandowski1 ,sub-,director of the ,comptoir ,national d',escompte of ,paris4 ,their competence is incontestable1 and their work requires no recommendation1 since it has won the sanction of success1 being now in its third ,french edition1 and having been 8crowned0 by the ,french ,academy4 ,but the object which is aimed at by ,the ,argentine in the ,nineteenth ,century is the same as that of the ,geographie de la ,rpublique ,argentine1 and the interest attaching to the book is the same4 8,in the competition of the new nations1 created by emigration from ,europe10 ,i said in #ahij1 8this ,republic will be enjoying a privileged situation1 because of its particular advantages3 the nature of its climate----a climate of the temperate zone2 the vast extent of its territory2 the quality of its soil2 the facility with which railways can be built2 its situation on the ,atlantic coast1 facing ,europe1 and relatively near the ,indian ,ocean2 the powerful tide of emigration setting in towards it1 and the rapid peopling of the country1 together with the wealth that results therefrom2 the suitable character of its population1 and the liberal spirit of its political institutions4444 8,the ,argentine ,republic1 which occupies in the temperate zone of ,south ,america a position analogous to that held by the ,united ,states in the corresponding portion of ,north ,america1 may well dream1 if not of equal power1 at least of a similar future40 ,this dream is in process of realisation3 of this the proof will be found in the chain of evidence which our authors put forward4 ,it is the present condition of affairs and1 above all1 the economic situation1 which the authors of ,the ,argentine in the ,twentieth ,century have set out to represent4 ,they have not given us a panegyric----8nihil admirari10 say they----but a practical book3 one written by men of business and affairs1 founded upon direct observation1 and hard-and-fast figures1 where statistics have provided them4 99 99 99 99 99 ,the ,argentine is a young nation1 which hitherto has busied itself rather in work and production for the amelioration of its present condition1 and in the preparation of its morrow by creating capital1 than in giving itself to the historical study of its past4 ,nevertheless1 history is the web from which the spirit of a nation is woven4 ,it is useful to recall the principal historical periods1 and particularly the origins of the nation1 for the better understanding of the present period4 ,it was in #aejh that the ,spaniard1 ,juan ,diaz de ,solis1 discovered the estuary of the ,plata1 the ,mar dulce2 and in #aeaf he returned1 thinking1 after the discovery of the ,south ,sea1 by ,nuez de ,balboa in #aeac1 that this might be the strait1 so sought by the navigators of the time1 by which that sea might be reached1 but on landing he was killed by the arrows of the ,charrua ,indians4 ,he had discovered no strait1 but a spot assuredly well suited for colonial settlement4 ,the first attempts were abortive3 that of ,sebastian ,cabot1 who built the fort of the ,sancti-,spiritu 7#aebg71 and that of ,diego ,garcia4 ,it was then that the discovery of some ornaments of silver1 worn by the people of the country1 gave the river its name2 known first as the ,rio de ,solis1 it was now called the ,rio de la ,plata4 ,the ,indians destroyed the fort and killed the colonists4 ,eight years later a wealthy private gentleman1 an officer of ,charles ,v41 ,don ,pedro de ,mendoza1 undertook to establish a settlement at his own cost1 on the condition of being appointed governor of all territories that might be found as far as #bjj leagues from the ocean2 and in #aece he sailed with fourteen vessels and two thousand men4 ,he laid the first foundations of the colony of ,buenos ,ayres1 and he rebuilt the fort of the ,sancti-,spiritu1 while his lieutenant1 ,ayolas1 in #aecf1 founded the station of ,asuncion1 on the ,rio ,paraguay4 ,the post of ,buenos ,ayres was abandoned4 ,after the death of ,mendoza and ,ayolas the new colony was governed by ,martinez de ,irala for a space of nearly twenty years2 reinforced by fresh emigrants1 it barely held its own against the losses inflicted upon it by the ,indians4 ,irala1 by a voyage of three years' duration1 succeeded in putting himself in touch with the ,spaniards of ,peru4 ,conquerors coming from ,chili across the ,andes1 the ,spaniards founded among others1 despite the hostility of the ,indians1 the following stations3 ,santiago del ,estero 7#aeeb71 ,mendoza 7#aefj71 ,tucuman 7#aefe71 ,cordoba 7#aegc71 ,salta 7#aehb71 and ,jujuy 7#aeib74 ,these at first were little more than camps entrenched4 ,but ,santiago del ,estero was erected into a bishopric1 and so remained until #agjj1 in which year the episcopal throne was transferred to ,crdoba4 ,in the eastern regions1 in #aegc1 ,governor ,juan de ,garay built ,santa ,f1 re-occupied ,buenos ,ayres1 which was christened1 on the #aath of ,june #aehj1 ,cuidad de la ,trinidad y ,puerto de ,santa ,maria de ,buenos ,ayres 7the ,city of the ,trinity and the ,haven of ,holy ,mary of the ,fair ,winds71 and founded ,corrients in #aehh4 ,trade commenced4 ,a first consignment of hides and sugar was dispatched to ,spain in #aeea2 but the merchants of ,seville protested1 and as a result their privileges won the day4 ,it is a fact that the monstrous regulations which ,spain had imposed upon her colonies forced the ,argentines1 for some considerable time to carry their exports across the continent to ,callao1 whence they were carried by sea to ,panama2 there they were again transported by land across the isthmus1 and were shipped anew at ,puerto ,bello for ,seville4 ,imports came by the same road4 ,there were1 however1 exceptions to this rule3 either by grace of provisional permits given by the ,king of ,spain1 or1 more frequently1 through the contraband trade4 ,in #afag the ,province of ,paraguay and the shores of the ,plata were divided into three ,provinces2 ,paraguay1 ,buenos ,ayres 7erected into a bishopric in #afcj71 and ,tucuman1 which were dependents of the viceroyalty of ,peru4 ,the captaincy of ,chili also extended over both sides of the ,andes4 ,the ,indians had to a great extent been divided among the colonists en encomiendas----that is to say1 in a species of slavery2 but other ,indians1 who were still free1 were formidable enemies4 ,early in the seventeenth century the ,jesuits instituted their first 8reductions0 in ,paraguay1 and organised in a community the ,guarano ,indians of the country4 ,these 8reductions10 ravaged by the ,mamelukes of ,brazil1 were replaced by missions established on either bank of the ,paraguay ,river1 and on the ,uruguay to the south of ,yguassu4 ,the order of ,jesuits was suppressed in #agff4 ,the principal towns of the ,argentine of to-day were already established by the middle of the eighteenth century4 ,at that period1 so ,savary informs us1 8,the city of ,buenos ,ayres contained about #djjj houses1 all built of earth 7adobe71 but covered with tiles1 with the exception of some fifty houses of brick4 ,the inhabitants are rich1 and owe their riches to the extensive trade which they carry on1 both at home and abroad40 ,after the advent to the ,spanish throne of the son-in-law of ,louis ,,xiv41 ,france had the greater share of this trade2 the ,king having conceded to a ,french company the monopoly of the ,assiente----that is to say1 of the trade in negroes1 until by the ,treaty of ,utrecht ,france was forced to cede this monopoly to ,england4 ,the two principal articles of export were at that time green hides for ,europe and the ,paraguayan mat for ,peru4 ,on the northern bank of the ,plata the ,portuguese had founded the ,colonia del ,sacramento 7#afhf71 with a view to competing with the ,spanish ports4 ,the ,spaniards seized this place once in #agbd and again in #agff2 they founded ,montevideo in #agbf4 ,the quarrel between the two colonies was only terminated by the ,treaty of ,madrid in #agej4 ,in #agdh ,spain somewhat abated the severity of her laws4 ,in #aggf she freed the ,argentine from the overlordship of ,peru1 by creating the viceroyalty of ,la ,plata1 with ,buenos ,ayres as capital4 ,the population1 which before this change was only #cg1jjj1 rose to over #djj1jjj in a quarter of a century4 ,in #aghj was founded the colony of ,carmen1 the first ,patagonian settlement1 the shores of ,patagonia having been first explored by the ,jesuit ,quiroga in #agdf4 ,during the wars of the ,empire the ,english seized ,buenos ,ayres by surprise1 but were expelled by a ,frenchman1 ,jacques de ,liniers1 whom the inhabitants had appointed viceroy4 ,the colonial period ended in #ahaj4 ,such were the origins of the ,argentine2 a time of difficulties and impediments2 but in that period were laid the foundations on which the ,argentine civilisation reposes4 ,the second period is that of the formation of the ,republican ,state4 ,the first part of this period1 that of the deliverance from ,spain1 opens with the memorable day of the #beth of ,may #ahaj1 when liberty was peacefully proclaimed at ,buenos ,ayres4 ,the revolution spread to ,crdoba and to ,tucuman2 it failed in ,upper ,peru1 owing to the reverse of ,goyenche in #ahaa1 and in ,paraguay1 where the capitulation of ,tacuary took place in the same year4 ,belgrano1 one of the heroes of the ,war of ,independence1 renewed the offensive and once more invaded ,upper ,peru----this time victoriously2 but the ,argentine troops were definitely driven from the country after the battles of ,vilcuapujio 7#ahac71 and ,sip-,sipe 7#ahaf74 ,on the east coast the capitulation of ,montevideo in #ahad put an end to the ,spanish domination4 ,on the west the brilliant expedition of ,general ,san ,martin1 who crossed the ,andes1 freed ,chili1 and struck the decisive blow by the capture of ,lima 7#ahag-ahba74 ,the victory of ,general ,sucre at ,ayacucho 7#ahbd7 terminated the struggle4 ,argentine territory had already been seven years free from the ,spanish troops4 ,the second part of this period1 that of political construction1 was longer1 far more laborious1 and still more bloody4 ,questions of race and party divided the inhabitants4 ,guachos of the ,pampa1 ,creoles#c and pure ,spaniards1 ,federals and ,unitarians1 disputed the power1 while on the frontiers of the ,republic the ,indians continued to disturb and alarm the new ,state4 ,provinces seceded2 many constitutions were drafted4 ,in spite of his talent as a statesman1 ,rivadavia was unable to obtain the universal acceptance of the ,unionist ,constitution of #bdth ,december #ahbf4 ,footnote #c3 ,this word is here used to denote mixed blood2 in its proper use it denotes a person of ,latin blood born in tropical or semi-tropical ,america4----,,trans4 ,a war against ,brazil1 of which the notable fact was the victory of ,ituzaingo 7#ahbg71 resulted in the recognition of ,uruguay as a free state4 ,the civil war broke out anew several times4 ,the military leader of the ,buenos ,ayres ,federals1 ,general ,rosas1 seized upon the dictatorship in a time of disorder1 exercising it not without intelligence1 but with a cruel despotism1 and he carried on a long war against ,montevideo1 which lasted until ,general ,urquiza1 of the ,union party 7with ,brazil and ,uruguay as allies7 delivered his country by the victory of ,caseros 7#aheb74 ,the ,constitution of the ,argentine ,republic was voted on #beth ,may #ahec2 but the end of the civil war and the definite reunion of ,buenos ,ayres to the other ,provinces did not take place until #ahfj1 the year of the revision of the ,constitution4 ,war and confusion are not usually propitious to progress4 ,however1 the population in #ahfa was estimated approximately at #a1cge1jjj2 it had increased to almost five times what it was at the beginning of the century4 ,buenos ,ayres became definitely the capital of the ,republic in #ahhb1 upon ceasing to be the capital of the ,state of ,buenos ,ayres4 ,the third period is that of economic development4 ,this is the period of which our authors write4 ,we may mention it as beginning with the re-entrance of ,buenos ,ayres into the ,argentine ,concert1 and the revision of the ,constitution of ,october #ahfj4 ,if it has not been free from political agitations and international misunderstandings1 it has none the less been more pacific than the preceding periods1 and industry has enjoyed a security which in former years was only too often disturbed by the regulations of colonial trade1 the attacks of the ,indians1 the civil wars1 and the ,separatist policy4 ,but there were still for twelve years intestine troubles and dissensions4 ,it was only in #ahhb that the political organisation was completely constituted1 when ,buenos ,ayres became the ,federal capital2 for from #ahfe to #ahgj the ,argentine was forced to wage war against ,paraguay1 when it struggled1 in concert with ,brazil1 against the despotism of ,lopez4 ,the ,treaty of the #crd of ,february #ahgf gave it the greater ,chaco as far as ,pilcomayo4 ,the ,chaco is pacified2 matters are not the same now as when1 in #ahha1 ,crevaux was assassinated there by the ,tobas4 ,general ,riva effected the ,argentine conquest of ,patagonia 7#ahgi-ahhj71 and the ,indians1 feared so long by the planters1 were driven across the ,andes4 ,in #ahie the difference which had arisen between the ,argentine and ,brazil1 with reference to the ,misions frontier1 was settled by arbitration4 ,by the ,treaty of #bcrd ,july #ahha was terminated a long quarrel with ,chili in relation to ,patagonia2 the ,argentine obtained possession of the country as far as the line made by the ,cordilleras and a portion of ,tierra del ,fuego4 ,arbitration also1 in ,november #aijb1 settled the difference with ,chili1 no less irritating and of equally long standing1 concerning1 the frontiers of the ,andes4 ,no more serious causes of quarrel between the ,argentine and its neighbours remain4 99 99 99 99 99 ,the period of economic development is as yet of only fifty years' duration3 it is far from having reached the limit of its evolution2 but we may judge of the amplitude which that evolution has already attained by means of statistics1#d and by them we may foretell what the future holds in promise4 ,footnote #d3 ,the more recent figures cited in this ,preface are taken1 for the most part1 from ,the ,statesman's ,year-,book4 ,the population1 estimated in #ahfa as being #a1cge1jjj1 had by #aijg increased to #f1baj1jjj4 ,immigration1 varying from one period to another according to the economic condition of the ,european nations and the ,argentine ,republic1 reached an annual average of #ac1djj from #ahfj to #ahfi3 between #aijc and #aijh it amounted to #baa1jjj 7emigration not being deducted47#e ,footnote #e3 ,this emigration amounted to an animal average of #ic1jjj between #aijc-aijg2 but the deduction was not made in the years #ahfj-ahfi4 ,in #aijg there were #bji1jjj immigrants and #ij1jjj emigrants4 ,the area cultivated in #ahie1 the date of the first serious estimate1 was #e1bef1afj acres1 of which #b1jac1jjj acres were under wheat2#f in #aiji #cdf million acres were cultivated1 of which #adh millions were in wheat4 ,these #cdf millions are only a small fraction of the #bef million acres which the ,argentine appears to contain4 ,footnote #f3 ,the cultivated area was estimated at #hdi1jjj acres in #ahgb4 ,the grain harvest1 estimated in #ahgh-ahha at barely #djj1jjj tons1 exceeded a million tons in #ahie1 and in #aijg-aijh amounted to #e1ebc1ijj tons1 or #bjd1chd1jjj bushels4 ,although the bovine and ovine races have not greatly increased in numbers for the last twenty years1 on account of the transformations effected by agriculture1#g the exportation of wool1 which was #ffj1jjj quintals in #ahfi-ahgj1 was nearly #b1jjj1jjj in #aije1 and it still amounted to #a-a_/b millions in #aijg2 the exportation of beef1 reckoned in carcasses1 was more than #fj1jjj head in #aijj and #dfc1jjj in #aijg4 ,footnote #g3 ,in #ahge an approximate estimate gave #ac-a_/b millions of horned cattle and #eg-a_/b millions of sheep2 in #aijg the figures amounted to #be1hdd1jjj and #gg1ehj1jjj4 ,the first section of railroad was constructed in #aheg4 ,in #ahfe the ,republic possessed only #aed miles of railroad2 in #aijh there were #ad1fdc miles4 ,in #ahfe1 the first year of which we have commercial statistics1 the foreign trade amounted to #aa1cjj1jjj2 in #aijg1 it reached #aac1jjj1jjj1 and in #aijh #abg1fjj1jjj4 ,for several years there has been a very large excess of exports over imports2 in #aijh it would seem to have exceeded #bj1jjj1jjj4 ,these figures1 to which our authors have added many others1 are eloquent4 ,they tell us that man1 whose labour creates wealth1 is four and a half times more numerous upon ,argentine soil than he was forty-six years ago2 that immigration each year increases the number of workers2 that cultivated soil1 the chief instrument of wealth in an agricultural country1 has an area nearly seven times greater than that of fourteen years ago2 that wheat1 the principal vegetable product of that soil1 now yields harvests thirteen times more abundant than those of thirty years ago2 that the products of stock-raising have1 on the whole1 greatly increased1 despite the arrested development of certain forms of production2 that the railways----the means of transport of man and his produce1 which did not exist half a century since----now cover the land with a network of increasing fineness1 and are placing the ,argentine in the first rank of the nations in respect of the mileage of railroad per inhabitant2 that foreign trade1 which is one of the most characteristic forms of popular activity1 and that commonly mentioned in illustrating a state's power of expansion1 has multiplied itself ten times since #ahfe4 ,these figures1 taken together1 form a picture which is not only encouraging1 but extremely flattering to the pride of the ,argentine people4 ,but the picture is not without shadows4 ,the ,indians to-day amount only to thirty thousand in numbers2 the ,guachos are gradually disappearing before the agricultural settler2 and the political and moral unity of the country is not yet fully accomplished4 ,the ,argentine1 like most of the ,latin-,american republics1 has given itself a ,constitution based upon that of the ,united ,states2 but the populations of its ,provinces had not the spiritual cohesion exhibited by the ,british ,colonies1 and above all by ,new ,england1 which qualities set the seal on religious faith and the love of liberty4 ,european immigration has brought us composite elements which are not yet amalgamated4 ,nearly all immigrants have come to make money3 the majority are indifferent to public affairs1 as we see on election days4 ,others are only too inclined to attach themselves to coteries1 to cliques4 ,in the relations between the local governments and the central ,government1 the subordination of the former is more remarkable than the harmony of their mutual relations4 ,the planters1 intoxicated by their good fortune1 are not always so prudent as to regulate their undertakings by their resources4 ,when in #ahij ,i wrote an ,introduction to ,m4 ,latzina's book1 the ,argentine was in the full swing of speculation1 and apparently saw no limits to its development4 8,the ,argentines10 ,i said1 8resemble an enterprising merchant1 who1 having opened shop in a well-frequented street1 and having borrowed money in order to start with a luxurious establishment1 finds himself greatly embarrassed for years1 although his business prospers1 because his advances and his engagements are larger than his takings4 ,it is desirable that this spirit of enterprise should be fed1 so to speak1 on diet1 or at least1 according to regimen2 and on such conditions equilibrium would be re-established40 ,indeed1 it then seemed that a crisis must occur2 and it came1 a few months later4 ,it was very long and very severe2 the ,argentine learned what it meant to lose its credit1 and for twelve years it suffered the disadvantages of a depreciated paper currency4 ,the country recovered1 and speculation rapidly received fresh impetus4 ,thanks to the excess of exports1 gold became plentiful2 it is no longer at a premium2 if interest----which has decreased----still maintains itself at about #f per cent41 it is because there is a great demand for capital4 ,the budgets still increase at a pace to alarm a prudent financier1 in spite of increased receipts4 8,if the ,argentine does not wish to compromise its lofty destinies10 say the authors of the present volume1 8it is essential that it should maintain an economical administration1 careful of the public moneys1 yet open to all material progress4 ,by so doing1 it will inspire confidence in men and in capital3 the two elements which it must still increase in order to become a great nation40 99 99 99 99 99 ,to the population born on ,argentine soil were added1 between #aheg and #aijh1 #c1cch1jjj immigrants of various nationality2#h #a1gjf1jjj ,italians1 #fgj1jjj ,spaniards1 #bja1jjj ,french and ,belgians1 #ajj1jjj ,austro-,hungarians or ,germans1 and #da1jjj ,english4 ,thus the ,latin races are greatly in the ascendant3 a fact which facilitates assimilation4 ,footnote #h3 ,on the other hand1 #a1cbb1jjj persons emigrated4 ,the census of #ahie gave #hhf1jjj foreigners not naturalised1 of whom #dic1jjj were ,italians1 #aii1jjj ,spaniards1 #id1jjj ,french1 etc4 ,to-day immigration consists especially of ,italians 7#abg1egh in #aijf71 ,spaniards 7#gi1bhg71 ,russians 7#ag1dcd71 ,syrians 7#gfgg71 ,austrians 7#dbgg71 ,french 7#cfih71 etc4 ,the ,government should preoccupy itself largely with this matter of assimilation3 for the process is not complete4 ,there are two effectual means which it might employ1 among others1 in order to assimilate its new recruits3 ownership of the soil and education4 ,these two means have produced marvellous effects in the ,united ,states4 ,the ,homestead ,law of the #bjth of ,may #ahfb gave to every ,american over twenty-one years of age1 and to every person having declared1 conformably with the law1 his intention of becoming a citizen1 the right to occupy gratuitously #afj acres of surveyed lands1 or #hj acres only in districts more advantageously situated3 if the holder1 after five years of residence1 has cultivated a portion of his holding1 the full title is finally granted4 ,for such purpose the public lands have been surveyed and divided into lots by the ,government4 ,the ,government also sells public lands by auction or treaty4 ,up to the month of ,july #aije1 it had thus alienated a total of #hjh1jjj1jjj acres2 which explains how millions of families----,irish1 ,german1 ,scandinavian and others----have been more or less definitely settled on the soil of that which was already or which has since then become their native land4 ,here is an example the ,argentine ,government would do well to follow4 ,education exercises an influence of another kind1 which is no less efficacious4 ,the ,americans of the ,united ,states are well aware of this1 and this is why they attach such importance to the upkeep of the 8common schools0 and the attendance of the pupils4 ,the children of foreign parents become ,americanised in class and during play by contact with young ,americans4 ,the ,english tongue becomes their own language2 their manners of thought and their habits are modelled on those of their comrades1 whom they are unconsciously proud to imitate4 ,if the immigrant family does not forget the memories of its old home1 at least its offspring1 from the second generation1 are rooted in the ,american soil and have ,american minds4 ,the ,argentine ,government must endeavour to obtain a like result4 ,for a long period primary instruction was in an extremely neglected state in the ,argentine ,republic4 ,however1 the ,constitution obliged the ,provinces to secure such instruction1 the ,federal ,government to assist by finding a third of the expense of the first installation of the schools4 ,but in spite of the ,constitution1 in #ahgd there were only #ahcj primary schools and #aab1jjj pupils4 ,progress has been accomplished3 in #aije there were #ebej schools1 #ad1aah teachers1 male and female1 and #edd1jjj pupils4 ,but as the population between the ages of six and fourteen had increased to #hbg1jjj1 only #fe per cent4 of the children were attending school1 and only one child in three was able to read and write4 ,this is a state of things that must be changed4 ,secondary education1 as far as numbers go1 is in no better case2 there are sixteen 8colleges10 with #dajj pupils4 ,the ,state ,universities of ,buenos ,ayres and ,crdoba and the three provincial ,universities of ,la ,plata1 ,santa ,f and ,parana1 with #cjjj students1 are relatively better4#i ,footnote #i3 ,the writer does not give the statistics of those who go abroad to study2 the number is1 of course1 very considerable1 especially of those who go to ,paris4----,,trans4 ,the three orders of instruction ought to work together to form a national spirit and a moral unity2 but the ,government should not forget that primary instruction is the basis1 and that it is the only kind of instruction that can be bestowed upon each generation in its entirety1 and that the children of each generation should be taught at an early age not only the ideas necessary to the life of the individual1 but also1 by means of the elements of national history1 ethics1 and applied science1 the knowledge and love of their native country4 ,the ,argentine ,republic as yet counts few men to whom the exigencies of life leave leisure to consecrate themselves entirely to letters or the sciences4 ,it has some distinguished writers1 but they usually find a recompense for their talent in the public press2 for in ,buenos ,ayres more than #bjj journals are published4 ,men write as hurriedly as they act4 ,it is to be hoped that before long1 with the increase of wealth1 there will arise men of science1 who will find no lack of material in the country1 and men of letters1 historians1 novelists1 sociologists1 etc41 who will also never lack for matter in this busy1 humming hive4 ,such men are necessary1 because their life-work goes far to make up the intellectual capital of a nation1 and even to form nationality itself4 99 99 99 99 99 ,in my introduction to ,m4 ,latzina's book1 ,i glanced at the whole continent of ,south ,america1 and ,i remarked that civilisation had scarcely penetrated the interior of this vast continent2 that the density of its population was extremely low2 that the economic1 intellectual and political life of the continent was concentrated1 if ,i may so use the word1 upon its periphery2 that is to say1 upon the shores which are in touch1 through navigation1 with the rest of the world2 that the ,argentine ,republic formed the southern portion of this belt connecting ,uruguay and ,chili2 that this belt is wider where the penetration of the interior is easier and the climate more favourable4 ,this belt has also been widened in ,southern ,brazil by the construction of railroads4 ,it is still wider in the ,argentine1 because the network of railways is more widely distributed1 the soil is of even quality and cultivable1 and the climate temperate and favourable to expansion4 ,for the purposes of this present ,introduction1 let us imagine a vaster area----the whole earth1 or1 at least1 the three inhabited zones of the earth4 ,the torrid zone contains nearly a third of the land surface of the earth1 and only a quarter of its population2 the density of population is thus below the average4 ,original civilisations have existed in the torrid zone----for example1 ,mexico and ,peru before the arrival of ,europeans----but these existed on higher plateaus where the climate was not tropical4 ,there were civilisations in ,india and the ,east ,indies1 but these were imported from the valley of the ,ganges4 ,there are to-day intertropical countries which exhibit an active economic life3 ,india1 ,mexico1 the ,antilles and the seaboard of ,brazil4 ,nevertheless1 in the greater part of the torrid zone it would seem that the continuous high temperature saps human energy1 and also renders it to a great extent unnecessary1 by simplifying life1 reducing as it does the number of man's essential needs by facilitating the satisfaction of those which are1 like alimentation1 strictly necessary4 ,the temperate zone of the north is the most favoured of all these4 ,it contains nearly half the land surface of the globe4 ,it is also the most populated1 and the average density of population is far higher1 for it contains about #a1bjg1jjj1jjj inhabitants1 or roughly speaking1 three-quarters of the population of the globe4 ,here it is that we find massed the four great sources of the ancient and modern civilisation of the world1 which also correspond to the four great groups of mankind2 ,china with ,japan2 ,india1 with the ,deccan running down to the torrid zone2 ,europe1 and the ,united ,states and ,eastern ,canada4 ,in the three first centres the density of population is far greater than in any other large country4 ,in the fourth1 the number of human beings 7some #id millions7 and the density are far less2 but this centre has become one of the most important1 by means of its activity of production4 ,there remains the temperate zone of the south4 ,in this zone1 the ocean occupies relatively the largest space4 ,the land emerges from it only at the termination of three continents----,america1 ,africa1 and ,australia1 terminated by ,tasmania and ,new ,zealand4 ,before the arrival of ,europeans1 each of these divisions was absolutely isolated1 without any relations with the others1 and inhabited by races entirely savage4 ,the coming of the ,europeans who peopled them1 and the maritime commerce which ensued1 have awakened them to civilisation4 ,in the case of ,america1 we have seen that free colonisation was not commenced until the nineteenth century4 ,in ,africa1 at the opening of the nineteenth century1 there were only a few ports occupied1 and ,australia was still practically untouched4 ,to-day1 in the temperate zone of the south1 which comprises only a twelfth part of the land surface of the globe1 there are #bd millions of inhabitants1 nearly all civilised and of ,european descent4 ,this population amounts to #ae per cent4 of that of the globe2 its density1 therefore1 is below the average4 ,it is1 however1 the zone in which the population has relatively increased most rapidly since the beginning of the nineteenth century1 for at the outset it certainly did not count a million inhabitants4 ,the ,australian and ,african divisions have owed their good fortune to gold1 and in a lesser degree to wool2 but gold mines are a source of wealth which is exhausted by exploitation4 ,in ,australia1 where the extent of arable lands is limited1 immigration has at present practically ceased4 ,in ,africa the soil is little suited to culture1 and immigration to the ,transvaal has been recruited rather among ,asiatic coolies than among free workers of ,european race4 ,in this southern temperate zone1 the ,argentine ,republic is the ,state which has the most numerous population3 that in which the population has known the greatest increase1 and in which economic conditions promise the widest development in the near future4 ,the perfecting of refrigerating processes will certainly facilitate the exportation of meats1 and it is to be hoped that the interests of trade1 under the necessities of the food supply of the labouring classes1 will finally overcome the obstacles which the ,european producers oppose in the way of imports4 ,the demand for wheat1 like the demand for meat1 may vary according to the year and the protective legislation of the nations2 but in general we may say that it will increase rather than decrease1 because the population of ,europe1 and especially of ,central and ,western ,europe1 is for ever increasing in numbers and in density1 so that already it cannot suffice to itself by producing its alimentary needs from its own soil1 and in proportion as it becomes wealthier it will consume more white bread and more butchers' meat4 ,the ,united ,states and ,canada continue to export wheat2 but the rapid increase of the urban and industrial population of the ,united ,states will assuredly limit this exportation to a very great extent in the twentieth century4#aj ,footnote #aj3 ,the consumption of wheat in the ,united ,states averaged #bjj million bushels between #ahga and #ahge1 and #eca million between #aijc and #aijg4 ,the exportation averaged #fb million bushels between #ahga and #ahge1 and #abb million between #aijc and #aijg4 ,the ,argentine ,republic1 where the harvest is due in ,january1 so that its wheat arrives in the ,european markets by ,march1 is the country destined to profit the most by these advantages4 ,it must learn how to make use of them wisely1 practising a policy of peace and concord1 increasing its powers of stability by the development of the sentiment of nationality1 and by inspiring confidence both in foreign capitalists and in immigrants by accumulating capital of its own1 and by learning to retain1 in spite of success1 the foresight which warns of perils and the prudence which avoids them4 ,e4 ,,levasseur1 ,member of the ,institute1 ,administrator of the ,college of ,france4 ,,introduction ,this book1 intended to make known in ,europe the present situation and the economic future of the ,argentine ,republic1 comes at an opportune moment to fulfil its mission of popularisation4 ,during the last ten years of the nineteenth century the ,argentine has suffered all the misfortunes and known all the disasters that can affect a rural and agricultural people4 ,the locust1 coming from the ,tropics1 devoured the crops2 anthrax1 imported from ,europe1 decimated the cattle2 the threats of a war with ,chili imposed enormous expenses and exhausted the national revenue2 finally1 a commercial and industrial crisis1 and domestic disturbances1 consequent upon the general misfortune1 completed the tale of calamities which put the vitality of the nation to the test4 ,but as there is no night so long that it has no dawn1 all these shadows fled away4 ,our quarrel with ,chili was submitted to arbitration1 and the decision of ,his ,majesty the ,king of ,great ,britain not only terminated a cause of difference of fifteen years' duration1 but re-established fraternal relations between the two ,republics4 ,the rural plagues were attacked and vanquished by measures which experience indicated as preventive of recurrence2 commercial and industrial prosperity returned2 the tranquillity of the interior was assured2 and the general welfare increased4 ,to accentuate still further this beneficent reaction1 the immense and fertile plains of the pampa1 open to the activities of the agriculturalists1 began to produce abundant harvests1 which struck the ,european markets with amazement1 and diverted towards the ,argentine a current of gold which was estimated at more than #bj1jjj1jjj1 and a stream of immigration1 which1 in the year #aijd1 brought #abe1jjj workers1 and which promises to be even greater in the present year4 ,the ,argentine ,republic has issued triumphantly from its lengthy and severe ordeal2 it has emerged richer1 stronger and more confident of its own destiny than at any other period of its history2 and the increase of its revenues and the rapid growth of its prosperity have secured the attention of the great financial centres of ,europe4 ,public curiosity being thus awakened1 many people have inquired3 ,what is the ,argentine8 ,how far is the development of its wealth a sound and durable process8 ,what is the probable future of its people8 ,is it a meteor that flashes brilliantly through space1 or a star rising upon the economic and political horizon8 ,while some content themselves with asking such questions and awaiting their reply1 ,m4 ,lewandowski1 the representative of one of the greatest credit establishments in ,france1 wished to gain some practical experience of the phenomenon4 ,he took the most certain1 most practical means2 took steamer1 crossed the ocean1 and landed in the ,argentine4 ,with the learned collaboration of ,seor ,alberto ,martinez1 one of the most competent of men in matters of statistics and finance1 he made a profound study of economic questions1 and the present book is the outcome of their common observations4 ,this book should be read by all those who are not convinced that the word ,europe sums up all humanity2 but who take the pains1 on the contrary1 to follow the development of all other nations2 understanding how necessary it is for the great nations to observe the progress and evolution of the younger peoples4 ,thus they avoid the risk of being surprised by the sudden apparition of great economic or political forces which they had not foreseen1 or by which they had not known how to profit4 ,south ,america suffers from a prejudice that we cannot unhappily disclaim as being unjustified4 ,the directing classes in ,france1 as in all other ,european nations1 with the exception of a small commercial and financial circle1 seem to have been kept in intentional ignorance of all things relating to the nations of the new continent4 ,the ,argentine1 ,chili1 ,brazil1 ,venezuela1 ,ecuador1----countries separated one from another by enormous distances----are none the less1 for the generality of ,europeans1 more or less one and the same thing2 that is1 they form a kind of a geographical nebulosity1 which is known as ,south ,america4 ,the post-office employs of ,buenos ,ayres have often occasion to smile when they read the addresses inscribed on the envelopes of letters dispatched by the learned and scientific bodies of ,europe1 and ,argentines residing abroad continually find food for reflection in the questions asked them by persons occupying the highest positions4 ,yet for the old world there is every incentive to study more closely the development of these new peoples4 ,it is enough to point out that the ,argentine to-day occupies as significant a position as that held by the ,united ,states at the beginning of the nineteenth century2 and that its continued evolution will undoubtedly1 before the end of the present century1 give it an importance equal to that of the ,united ,states at the present time4 ,in a conversation with ,mr ,roosevelt and his ,secretary of ,state1 ,colonel ,john ,hay1 ,i had occasion to make this very remark1 and the ,president replied1 with the rapidity of judgment and the affirmative tone which are so characteristic of his mind3 8,in less time than that2 you will find fifty years enough2 for you will profit by all our experience and all the human progress effected during the nineteenth century40 ,the shadow of discredit which has hitherto lain upon ,south ,america is explained by the continual anarchy to which the majority of its peoples have lent themselves since the immense colonial empire of ,spain threw off its fetters in the first quarter of the last century1 in order to break up into fifteen separate republics4 ,this anarchy and disorganisation1 compared with the orderly spirit of progress which has reigned in the great republic of the ,north1 have given rise to the belief1 to-day general1 that the so different destiny of these ,states was due to the special qualities and aptitudes of the ,anglo-,saxon race1 which the ,latin races lacked4 ,this belief results from a superficial and incomplete examination of the facts1 and has gained easy acceptance1 even in works of a more or less scientific nature1 such as ,the ,psychological ,laws of the ,evolution of ,peoples1 in which the author cites1 with regard to the ,latin races and the peoples of ,south ,america1 a number of inaccurate and prejudiced facts1 which have been gathered from the writings of a dyspeptic and ill-tempered journalist4 ,such data have caused ,m4 ,gustave ,lebon to deduce psychological laws which are hardly favourable to the ,south ,american races4 ,if we wish to gain some idea of the true causes of this diversity of destiny between the peoples of ,north and ,south ,america1 we must study the origin of each and the particular form which colonisation has assumed in each case2 forms imposed by the force of historic facts rather than by the will of man4 ,the ,anglo-,saxons arrived in the ,american coasts and founded1 in the first half of the seventeenth century1 such cities as ,boston1 ,charleston1 ,philadelphia1 etc41 when ,america had already been discovered and explored by the ,spaniards a century and a half before4 ,these colonies were formed of groups of families who had abandoned their mother-country to seek a new one1 where they could live and labour free from the persecutions of religious and political intolerance4 ,when these colonies attained a certain fame1 the surplus of the overflowing populations of ,europe was naturally attracted by these virgin and fertile lands1 relatively near at hand though across the ocean4 ,thus there formed a current of immigration which rapidly peopled ,america and utilised the great natural resources of its enormous territory4 ,in this way was gradually formed a new people1 which was to a certain extent a development of the various nations from which it originated1 and which preserved their customs and their political and social habits4 ,these colonists began by buying land of the native tribes2 but1 increasing in numbers and in strength1 they found it more convenient to rob them1 thus forcing the ,red ,indians to retreat towards the north and west2 and for reasons of self-respect1 or on account of religious principles1 no deliberate attempt was made to mingle with the indigenous population4 ,this form of colonisation1 whose prime cause was to be found in persecution1 not in the execution of a preconceived plan1 resulted in the existence1 at the end of the eighteenth century1 of thirteen colonies peopled exclusively by men of the white races1 originally natives of the countries of ,northern ,europe1 who had transported to this new soil their manners and customs1 their social and political laws1 their liberal traditions and their economic system1 so that from the moment they declared themselves independent1 they were able immediately to form a single nation1 united by all the ties which make for the cohesion of a people4#aa ,footnote #aa3 ,the late ,signor ,pellegrini1 in his anxiety to defend the ,latin races1 is not strictly impartial4 ,at the time of the ,declaration of ,independence the population of the ,states was very largely ,english 7with a substratum of ,dutch in ,new ,york7 but of different periods2 and these different periods preserved their own traditions4 ,the difference between the ,new ,england ,quaker and the ,kentucky trapper1 or the ,virginian fox-hunting squire1 and the ,dutch patroon or ,highland crofter1 was as great as any to be found among the ,latin races1 if not greater1 and was largely a difference of arrested periods as well as a racial and a social difference4 ,the result was that ,federalism was accomplished peacefully only by the genius of ,hamilton4----,,trans4 ,to attain such progress1 to reach the summit on which they rest to-day1 the ,united ,states had only to persist in the same path1 to follow the same groove1 and the incontestable merit of this people and of its great statesmen is that they have been faithful to the principles of liberty and equality which they inherited from their ancestors1 the venerable 8conscript fathers02 principles which they ratified in the admirable ,constitution whence this vast political organism has derived its cohesion1 its vitality1 and its strength4 ,how different were the origins of the peoples of ,latin ,america6 ,the ,spanish sailors did not cross the ocean like the passengers of the ,mayflower1 or the companions of ,penn1 seeking solitary shores1 known though distant1 where they might establish a home1 there to live and labour in peace and liberty4 ,the ,spanish navigators1 as brave as they were audacious1 launched themselves into the unknown1 guided only by their own genius1 in order to discover a world1 to conquer new lands1 new subjects1 for their country and their king2 and in the pursuit of that heroic dream they performed exploits which to this day amaze us by their audacity4 ,these were the famous conquistadores1 whom one of their descendants1 ,jos ,maria ,hrdia1 has celebrated in the admirable lines3---- 8,as from the natal charnel-heap a flight ,of falcons3 sick of purseless pride at home ,by ,murcian ,palos pilots and captains come ,with brutal and heroic dreams alight3 ,they seek the fabulous ore that comes to birth ,and ripens in ,cipango's distant mines1 ,and the trade-wind their long lateens inclines ,toward the dim limits of the ,western earth40 ,these first colonisers of ,spanish ,america----soldiers1 missionaries1 officials1 adventurers1 men without family----seized upon a whole continent1 which they discovered and conquered at the price of unheard-of exertions4 ,they parcelled out the land1 subjugated the native tribes1 reducing them to servitude in their famous encomiendas1 or putting into experimental practice1 as in the ,jesuit missions1 theories of collectivism1 which is to-day regarded as a modern invention4 ,it was a true feudal system that arose in the new world4#ab ,footnote #ab3 ,it must be remembered1 in comparing ,north with ,south ,america1 that the former also had its period of extensive slavery1 its plantations worked by convict labour1 and for a period an almost feudal system4----,,trans4 ,if1 on the one hand1 the native races were initiated into the doctrines of ,catholicism in exchange for their liberty and independence1 they did not1 on the other hand1 receive from their masters any political instruction1 but preserved their habits of submission and passive obedience to their chief1 which constituted their sole political tradition4 ,when1 therefore1 the day of emancipation arrived1 and this enormous colony1 in arms against its oppressors1 declared itself independent1 and divided itself into several ,republics1 the great mass of the population consisted of ,indians converted to ,christianity1 and half-breeds1 who preserved their habits unchanged and had no ideas1 no traditions1 other than that of government by individual might4 ,only in the urban centres did the white race1 with its conception of political institutions1 predominate4 ,and when the new ,government wished to organise itself in an independent manner1 the two tendencies and traditions1 which correspond to two distinct mentalities1 violently clashed1 and began that long struggle1 not wholly terminated even to-day1 of which the history is the history of anarchism in ,america4 ,another factor that also procured this conflict was the colonial political economy of ,spain1 which was not only a mistake1 but a mistake of the period2 an error which closed the whole continent to commerce1 shut it away from the outer world1 and maintained these masses of humanity in ignorance and isolation1 in order to exploit them simply as a machine1 or as an element of wealth for the service of their masters4 ,the problem which confronted the politicians of ,south ,america when they found themselves face to face with this new people1 whom they must of necessity organise1 was thus very different from1 and far more difficult than the problem which the founders of the ,north ,american ,union had to resolve4 ,these native masses obeyed with all their might and with the utmost enthusiasm so long as it was a question of fighting against the foreign troops and of winning their independence2 but1 victory once assured1 guided by their leaders1 the caudillos1 most of whom were white1 they revolted against the tendencies which began to show themselves among the ,europeans of the cities1 and in many places succeeded in dominating over them by force of numbers1 thus preventing all political and administrative progress1 and maintaining1 as their form of government1 the personal1 arbitrary1 and irresponsible power of a leader1 that is1 of the caudillo4 ,the written ,constitutions which these people had established upon declaring their independence1 and which were inspired by the ,constitutions of the ,united ,states or the ,swiss ,republic1 were thus reduced to a dead letter1 as they were in complete contradiction to the political habits of the mass of the populace1 and required1 for their application1 a political education which the peoples of ,south ,america did not possess4 ,a whole century had to elapse before immigration1 material interest1 and the influence of civilisation1 were able slowly to modify the political mentality of these peoples1 by reinforcing and popularising the principles of government1 extirpating the elements and suppressing the causes of the anarchy which had so long disturbed them4 ,among the nations which experienced these beneficent influences1 the ,spanish colony known as the ,viceroyalty of the ,rio de la ,plata1 to-day the ,argentine ,republic1 was quite specially favoured4 ,its territory1 composed of immense prairies1 the celebrated ,argentine 8pampas10 stretching from the sea-coast and the river littoral1 offered the unique wealth of their fertility and their climate4 ,there were no mines of gold or silver to arouse the greed of adventurers2 they came to these regions only to traverse them1 and so to proceed immediately to the gold-bearing regions of the distant ,cordilleras4 ,moreover1 the first colonists who established themselves on the banks of the ,plata1 repulsed and expelled by the natives1 were forced to abandon a certain number of cattle and horses1 which found in these prairies an admirable opportunity to live and multiply in freedom1 until finally they formed the immense herds of wild cattle and horses1 whose hides became the principal wealth and the chief article of commerce of these regions4 ,although the ,rio de la ,plata had no commercial relations with the outside world1 and was only able to trade with ,cadiz1 the immensity and the solitude of its shores favoured a contraband trade2 to such a degree that ,english1 ,dutch1 and ,portuguese smugglers came from all parts to exchange their manufactured articles for the hides of these wild herds4----,this it is that explains how ,buenos ,ayres was able from the outset to become a great commercial centre1 in which the trades dependent upon stock-raising quickly occupied the first place4 ,commercial activity1 the development of communication by sea1 the fertility of the soil1 the climate----all contributed from the early days of emancipation to attract ,european immigration4 ,this immigration1 like that which peopled the ,america of the north1 was composed of families who came to settle1 to form new homes1 to labour4 ,these families1 following the example of their predecessors in the ,united ,states and for the same causes1 did not mingle with the native tribes1 but struggled against them1 and forced them to abandon their lands and fly to the south1 until at last1 after a long and cruel struggle1 they almost completely disappeared4 ,this immigration increased year by year1 and to-day the great majority of the population of the ,argentine ,republic----a population now exceeding #e millions----is of ,european origin4 ,that this immigration1 which flows from all the nations of ,europe1 has been the chief agent of the present prosperity of the ,argentine1 and is the condition of its future greatness1 is an incontestable fact4 ,one of our leading statesmen has declared1 of ,america1 that 8to govern is to people02 and this aphorism has remained a fundamental principle of government4 ,to recognise the full force of this assertion1 we must reflect that these unusually fertile prairies1 situated in a privileged climate1 near the sea-coast or on the banks of enormous rivers1 navigable even by transatlantic steamers1 need nothing but human labour to transform them1 with less effort and at less expense than anywhere else in the world1 into immense fields of wheat or maize1 or pastures of lucerne1 covered with herds1 able to produce bread and meat enough to feed all ,europe4 ,accordingly the agricultural production of the ,argentine ,republic is limited only by the number of hands which lend themselves to its exploitation2 in which we have a repetition of the very phenomenon which has served as the foundation of the development of the ,united ,states4 ,under these conditions the progress of the ,argentine ,republic is a necessary and inevitable fact1 which extraordinary circumstances might for a time retard1 but which nothing could finally arrest2 except1 indeed1 one could restrain the daily exodus of fresh swarms from the human hive1 which abandon the old soils1 exhausted by production1 to seek out the fertile1 virgin1 and unpeopled areas of the globe4 ,hitherto this exodus has been directed principally to the ,united ,states2 attracted thither by a host of special and favouring circumstances4 ,but the time is rapidly approaching when ,north ,america in turn will find herself populated to the saturation point1 and will no longer be able to receive the hosts which benefited her formerly4 ,the laws of the ,united ,states are already beginning to impose conditions upon immigration which are constantly becoming more severe2 and these laws are imposed by the two great political forces----the superior social classes and the lower classes of the people4 ,the upper classes1 ,anglo-,saxon in origin1 fear that contemporary immigration1 coming as it does from peoples of alien race1 from the south or east of ,europe1 may modify or enfeeble those great moral and political qualities to which they attribute the greatness and prosperity of their nation4 ,on the other hand1 the federated workers see in these new arrivals1 healthy and vigorous1 but having fewer needs1 a source of dangerous competition1 which may have a disastrous influence on conditions of labour and payment4 ,the stream of irrigation which is now setting in towards the ,united ,states1 and which amounted in numbers to #hjj1jjj in the year #aijd1 must necessarily therefore1 as time goes on1 turn aside in other directions1 and as it will nowhere meet with more advantageous circumstances than in the ,argentine1 it will flow thither as it flows already1 but in greater and greater numbers1 resulting in a development of wealth and power superior to any hitherto known4 ,some persons1 however1 formulate certain reservations as to the consistency and the political and social value of nations formed by these human inundations1 composed as they are of men of different races1 having neither the same language1 nor the same religion1 nor the same customs2 they doubt whether this new ,babel can give birth to a national spirit sufficiently vigorous to impress a character of political and moral unity upon these new recruits4 ,in order to prove that these fears are ill-founded1 we have only to take the practical example furnished by the ,united ,states4 ,into this vast national crucible there poured1 from the outset1 the stream of emigration from ,great ,britain1 ,holland1 ,france1 and ,spain2 later came ,scandinavians1 ,germans1 ,lithuanians1 ,poles1 ,hungarians1 ,italians1 ,syrians and ,arabs4 ,from the fusion of all these elements has issued a new race1 homogeneous and powerful1 with a strong national spirit which is known as 8the ,american spirit10 and under that name has won the respect of the world4 ,this result is neither accidental nor due to special antecedents2 it is the consequence of a natural evolution1 ably and intelligently directed4 ,the ,european law1 which attributes to the son the nationality of his father1 may have had its justification in the past2 to-day it is maintained only by force of tradition4 ,nationality and love of country are only an extension of the love of the family and the home2 and these sentiments cannot1 any more than others1 be forced upon one by law4 ,there can exist for a man only the home and the family in which he was born and bred4 ,doubtless he will feel himself attached to the home of his forbears by ties of sentiment and respect2 but all the roots of his intimate feelings bind him to the home and the family into which he was born2 they are in his blood1 and thence he has received the first impressions which mould his character and imprint those characteristics which form his personality4 ,it is the same with nationality and the mother-country4 ,it is useless to attempt to persuade either child or man that his country is not that in which he was born1 in which he has grown up1 but another distant country which he has neither known nor seen4 ,the difference of origin among the children of immigrants of different nationalities disappears in childhood1 through the community of life in school and workshop2 through sharing alike in work and play2 and it is in the earlier years of life that the mind is moulded by its surroundings2 in these years develops that feeling of attachment to the soil1 of union1 solidarity1 and common memories1 that shows itself later in an ardent patriotism4 ,unity of language necessarily favours the process of fusion1 and explains the fact that the descendants of immigrants of different race1 religion1 language1 habits and traditions1 are able to fuse so completely as to form a perfectly homogeneous population1 one in mind and in sentiment1 thus constituting a new nationality1 young1 vigorous and strongly individual4 ,we have thus under our eyes a practical example of the unity of the human race4 ,the hazards of life1 in the course of centuries1 having dispersed the primitive race throughout the earth1 it has formed1 under the influence of circumstances1 new types1 which in the course of time have met and mingled1 to form new crosses in their turn1 which as a matter of fact are only the modalities of a common primitive race4 ,the same phenomenon is being repeated in the ,argentine1 as in all the ,american republics1 and the spontaneous and vital sentiment of nationality continually strikes the observer1 who notes the pride with which a child born in ,argentina1 whether he be the son of a ,spaniard1 ,frenchman1 ,italian1 or ,german1 affirms1 when questioned1 that his country is the ,argentine4 ,thus this ,republic possesses all the requisite conditions of becoming1 with the passage of time1 one of the greatest nations of the earth4 ,its territory is immense and fertile1 its surface being equal to that of all ,europe1 excepting ,russia2 it is capable of supporting with care at least #ajj millions of human beings2 almost every climate is to be found within its limits1 and1 consequently1 it can yield all products1 from those of the tropics to those of the polar regions4 ,its rivers and its mountains are among the greatest of the globe4 ,as its maritime frontier it has the ,atlantic1 which brings it into contact with the whole world4 ,it is governed by institutions more liberal than those of any other nation1 especially in all that affects the foreigner2 it regards the influx of immigration with approval1 and seeks to promote it4 ,in proportion as its vast vacant spaces become peopled their value is increased tenfold1 and production grows at an enormous pace2 for a single family1 by the aid of modern machinery1 can exploit a larger area of soil1 yielding a produce far greater than is required for its own consumption2 a fact which explains the surprising rate at which the export trade has increased4 ,such are the true causes of the prosperity of this country1 as is proved1 with abundant detail1 by ,,mm4 ,martinez and ,lewandowski2 and as these causes are not accidental1 but fundamental and permanent1 they should produce in ,south ,america the same results as in the ,north4 ,granted that wealth and prosperity are essentially conservative elements1 we have here a serious guarantee of political stability2 the more so as the country has already passed the difficult age and is cured of the malady endemic to ,south ,america----anarchy4 ,it is also to be hoped that our ,argentine politicians1 taught by experience1 and comprehending all the responsibilities imposed upon them by their noble mission----the work of racial regeneration and the betterment of ,south ,america----will succeed in making constitutional government an actual fact1 by restraining and uprooting the tendency to personal power1 which is the lamentable heritage of indigenous tradition4 ,it is a great nation that is rising on the brink of the twentieth century2 the mistress of an enormous inheritance4 ,immigration and the increase of the birth-rate are furnishing it with the arms it requires2 it lacks only those reserves of capital which1 like all new peoples1 it has not as yet had time to create4 ,in no country can ,european capital find a more fertile or advantageous field for its operations3 a fact already well known in ,england2 and one the authors of this book have wished to emphasise for the greater benefit of ,french capital4 ,in this they serve the interests of ,france and1 still more particularly1 those of the ,argentine ,republic2 and in the name of my own compatriots1 as well as for myself1 ,i take this opportunity of expressing my sincere gratitude4 ,c4 ,,pellegrini4 ,,the ,,argentine ,,in ,,the #bj,,th ,,century ,,general ,,plan ,,and ,,method ,,of ,,this ,,book ,before commencing a study of the financial and economic situation in the ,argentine ,republic1 it is important to decide at the outset as to the spirit in which this examination should be pursued1 and the method most proper to such an inquiry4 ,we tread upon a novel and peculiar field1 and any too rigid comparison with the events of other countries might easily lead us to errors of appreciation4 ,above all we must practise the philosophical principle nil admirari2 we must be astonished at nothing1 and abstain from all too absolute judgments4 ,although1 as the figures of foreign trade will show1 the progress of the country has surpassed all expectation1 it is1 on the other hand1 almost impossible to foretell how far the results of one year will be ratified by the year following4 ,like all young nations1 the ,argentine progresses on its path to the unknown by leaps and bounds2 it is as yet in an unstable condition1 in which the oscillations of prosperity are still of great amplitude and exceedingly sudden4 ,it is easy to discern the cause of this essentially unstable condition4 ,the ,argentine1 in its present phase1 is an agricultural country1 whose principal sources of wealth are cereals and stock-raising2 the result is that each year the whole life of the country is affected by the harvest4#ac ,on the harvest depends1 in a great degree1 the movements of external commerce2 it produces those sudden changes which occur from year to year1 and which result occasionally in a variation of #h1jjj1jjj to #ab1jjj1jjj above or below the average4 ,footnote #ac3 ,we use the word harvest here in its widest sense1 but we must ultimately distinguish the results of stock-raising from those of agriculture1 since they do not necessarily vary in the same direction4 ,the harvest influences not only the exports1 more than half of which consist of agricultural products1 but has no less an influence on the value of importations4#ad ,footnote #ad3 ,the value of the exports in #aijg was #ei1bdj1hgd1 and according to the official figures the products of agriculture amounted to #cb1hah1cbd4 ,the national powers of consumption are1 in fact1 very intimately connected with the measure of the agricultural output2 as the latter is bad or good1 the home consumption absorbs more or fewer imported products4 ,thus the poor harvests of #aija and #aijb1 which resulted in a fall of nearly #a1hjj1jjj in the cereal exports1 produced in #aijb a fall of #hjj1jjj in the imports of iron and materials used for construction4 ,the same depression was visible in the imports of textiles and beverages1 and still more so in those of articles de luxe4 ,the spending powers of the country being closely dependent on the facility of realising the products of the soil1 it is easy to understand that in the case of a bad harvest or a poor market the consumers have no longer the same powers of purchase4 ,we find the same ups and downs in the figures of the ,budget1 the contributive powers of the country being influenced by the same causes as its consumption4 ,if the crops are poor1 the ,budget of the following year shows immediate traces of the fact4 ,thus in #aijb1 the year of the bad harvest1 the total receipts were estimated at #e1ecd1jjj in paper1 and #i1dhf1ffi in gold2 but the actual receipts were only #e1bba1jjj in paper1 and #h1jdg1gee in gold2 a deficit of #a1dch1iac in gold4 ,at the same time the ,customs receipts1 which are the most variable item of the revenue1 on account of their direct relation to consumption1 have fallen from one year to another 7as in #aijc compared with #aijb71 as much as #a1bjj1jjj in consequence of the agricultural crisis4 ,there is an equally direct relation between the financial situation and the results of the harvest4 ,if the commercial balance is favourable1 the ,argentine becomes a creditor of foreign countries by the excess of its exportations1 and the resulting payments in gold1 after the deductions of the interest on the foreign debt1 increase the proportion between the metallic currency and the monetary circulation in general4 ,as these few examples prove1 the prosperity of the country is subordinated to the result of the harvest2 the latter gives the measure of all improvement1 all progress of a financial and economic order4 ,unlike the ancient ,european nations1 the ,argentine ,republic has no reserves of accumulated capital behind it1 so that it can live on its own savings in times of crisis4 ,its commerce and its industries depend almost exclusively upon its agricultural yield1 and share all the latter's vicissitudes4 ,all depends on the value of the soil1 the basis of public and private wealth4 ,the power of expenditure which follows a good harvest may contribute towards proving personal property1 but the latter remains always strictly related to the agricultural yield and general produce of the soil1 and does not constitute an easily-realised reserve4 ,for the rest1 we must recognise that1 as a rule1 this capital does not remain inactive1 and is as little as possible sterilised by investment in the public funds4 ,those who possess available cash1 in the shape of revenue from a large estate1 usually employ it by increasing their stock of cattle1 or in reclaiming more land1 or by investing it in other estates2 so that all that comes from the earth returns to the earth1 and goes to increase its yield4 ,the peculiar situation of this great agricultural country1 which constitutes at once the strength and the instability of the ,republic1 shows us in what spirit and by what method it should be studied4 ,all depends upon the yield of the soil1 for this is the great dispenser of the national wealth2 it is therefore the agricultural system that we must examine first of all1 if we wish to arrive at a solution of the problems arising from the present condition of the ,argentine or predict its future4 ,to follow out this general plan1 we must consider the country first of all from two standpoints3 we must examine into its production and its markets or outlets1 in order to learn the true conditions of its existence1 the value of its soil1 and its sources of revenue4 ,we shall then proceed to examine its administrative machinery1 showing how the ,argentine lives and progresses as a nation1 and to analyse its financial and monetary organisation with reference to the economic situation4 ,the two portions of this scheme are closely connected1 and their study must lead us to the same conclusion1 that the ,argentine is a nation in a state of growth1 and1 like all young nations1 still uncertain of its first steps2 but it is animated by a spirit of initiative1 and urged by the breath of progress1 which may lead it to a high destiny among the great productive countries of the earth4 ,,the ,,argentine ,,nationality#ae ,is there an ,argentine nationality1 and what is its significance in respect of the territory it occupies8----,the formation of this nationality4 ,an examination of the qualities of the ,argentine people4----,sense of progress2 remarkable faculty of assimilation3 character essentially practical4----,the fusion of the ,latin genius with ,anglo-,saxon energy4 ,the contrast between the political world1 with its instability and lack of organisation1 and the economic world1 which manifests intense vitality and national progress4----,the necessity of developing the national idea1 and of raising it above material questions4----,the slow elaboration of a new race born of the various elements of immigration4 ,footnote #ae3 ,we must here explain that the ,argentine possesses two currencies3 the piastre or dollar1 whose value is #e francs1 and the paper piastre1 which by the law of conversion is equivalent to #b francs #bj1 or #as4 #gb;d4 ,as for weights and measures1 the decimal metric system has been adopted4 ,in surveying large areas1 the square league is occasionally employed as unit1 which contains #bejj hectares1 or #efbh acres about #i-a_/b square miles4 ,we should also explain that the ,argentine ,republic1 of which the ,federal capital is ,buenos ,ayres1 is divided into fourteen autonomous ,provinces and ten national ,territories4 ,the ,provinces1 in the order of population1 are as follows3 ,buenos ,ayres1 ,santa ,f1 ,crdoba1 ,entre ,rios1 ,corrients1 ,tucuman1 ,santiago de l',estero1 ,mendoza1 ,salta1 ,catamarca1 ,san ,juan1 ,san ,luis1 ,la ,rioja1 and ,jujuy4 ,the national ,territories are3 ,la ,pampa1 ,misions1 ,nequen1 ,rio ,negro1 ,chaco1 ,formosa1 ,chubut1 ,santa ,cruz1 the ,andes1 and ,tierra del ,fuego4 ,to present a complete picture of the ,argentine1 it is not enough to describe its configuration1 its great rivers1 its climate1 its population1 its forms of agriculture1 and the value of its soil2 all this is a dead letter1 and will by no means yield us the secret of the country's future1 unless we first resolve one question of a sociological character3 ,is there an ,argentine nationality1 and what does it signify in respect of the territory which it occupies8 ,could one1 for instance1 estimate the importance of the ,united ,states merely from the point of view of their agricultural and mineral wealth1 without taking into account the work and the character of the admirable ,anglo-,saxon race1 which has adapted itself to ,american soil1 and has succeeded in obtaining from it its full value8 ,and could we explain the fact that certain countries of ,south ,america1 which also1 thanks to their natural wealth1 have all the elements of rapid development1 have remained stationary1 and hardly count as nations1 if the question of race did not throw light on the mystery1 showing us that with the most favourable factors of the soil1 a ferment is essential to start the growth of the seed8 ,concerning the ,argentine1 this then is the problem which we have to consider1 if we wish to see further than the present moment1 and to judge in what measure its progress may be consolidated and even accelerated4 ,in other terms1 we must understand whether the ,argentine must depend upon a fortuitous grouping of individuals brought together by the various streams of immigration1 and having no common tie but the desire to enrich themselves1 or whether these various elements are destined to become fused1 and in time to form a true nationality1 with its own traditions1 its own ideal4 ,this latter is naturally the end to be pursued by the ,argentine ,government1 if it wishes to prepare for the future by making moral and material progress go hand in hand4 ,its role is not to manage the country like a directing syndicate1 but to direct all individual efforts1 all initiative1 and all other available forces1 to the same national and patriotic end4 ,it was this idea that a ,president of the ,republic1 ,seor ,quintana1 felt it his duty to enunciate1 when1 upon assuming the ,presidential authority1 he stated1 in his inaugural message3 8,i am the head of a nation which has in ,america an ideal02 and he added3 8,there is one common characteristic among us that was discovered as early as the colonial period1 in the magnitude of plans of campaign1 in the clamour of intestine conflict1 in the government of the constitutional period2 it is1 that we all bear in our hearts the sense of our future greatness40 ,how far can these aspirations be translated into facts8 ,that is a question we must examine seriously and with an absolutely unbiassed judgment4 ,we cannot study this question of the ,argentine nationality in books2 for a country which has been so rapidly carried away on the tide of material progress has but little time to examine itself4 ,neither has it been able to form a literature or a sociology which might reflect the dominant characteristics of the generation2 it is only by an inquiry and an analysis of the facts that we can isolate this element of nationality from the various foreign elements which have contributed to its formation4 ,one factor that facilitates our task is the clear-sightedness of the ,argentines themselves1 who are the first to recognise1 with abundant good-temper1 their own shortcomings4 ,they are almost exaggerated in their self-criticisms when depicting themselves2 and our work has been cut out for us in avoiding too hasty generalisations and in softening certain too rigorous judgments1 although these emanated from men who were certainly in a position to understand the tendencies of their generation4 ,one principle dominates the whole question3 it is that which a contemporary historian expresses in these terms3 8,when peoples come into contact they begin by an exchange of their faults40 ,such an observation might well apply to a people like the ,argentines1 who are not yet settled on their own foundations1 and are constantly increased by immigration4 ,all the varieties of the ,latin race have contributed to form this people3 ,spain and ,italy have made the largest contributions1 and ,france has also in her time contributed her share4 ,the ,argentine has even assimilated a ,basque population1 of especial interest on account of its aptitude for agricultural work1 and its adaptability to its new surroundings4 ,finally1 the ,anglo-,saxons have also entered the ,argentine1 to mingle with the ,latin element1 and have given great assistance in opening up the country1 by setting an influential example of initiative1 progress1 and energy4 ,this penetration of the ,latin race1 a little indolent and inactive as it is1 by the energetic and progressive ,anglo-,saxons1 enables us the better to understand the good and bad qualities of the ,argentine nationality4 ,in short1 if we are to obtain an unbiassed view of the national physiognomy of this adolescent people1 we must remember that its good qualities1 like its faults1 are the result of the commingling of the varied elements which have entered the country by immigration2 elements that have mixed and reacted upon each other1 so that their dominant characteristics have finally appeared in the ,argentine character4 ,there is one gift which we cannot deny this people3 intelligence1 joined to a remarkable power of assimilation4 ,it also has that gift of enterprise1 that sense of progress1 which are found in the ,anglo-,saxon races1 and which have found such magnificent scope in the ,united ,states4 ,a young nation1 without a past1 the ,argentine is not impeded1 like most of the ,latin nations1 by a load of custom1 prejudice1 and routine1 hampering its motions and impeding its progress4 ,profiting by the experience of others1 it knows how to adapt itself to the best2 taking its good wherever it finds it4 ,it creates nothing1 invents nothing1 but appropriates all new ideas1 which find upon its soil the conditions favourable to a rapid expansion4 ,it is1 indeed1 formed after the likeness of its own soil1 which produces without effort and lends itself admirably to every kind of culture4 ,this sense of progress is certainly the most characteristic trait of the ,argentine1 and the one by which it is distinguished among the other ,latin nations of ,south ,america4 ,uruguay1 for example1 which possesses a soil as rich1 and offers the same facility of transport1 has given no proofs of initiative and vitality to lead one to hope that she has really entered upon the path of progress4 ,it is the same with ,paraguay and many other ,states1 which have not succeeded in accomplishing any of the changes demanded by modern civilisation4 ,the ,argentine1 on the contrary1 has always known how to derive benefit from whatever source was available1 thanks to the current of immigration which keeps it in permanent touch with foreign countries4 ,it has also assimilated the inventions and the methods of more civilised nations1 and has attracted men capable of applying them4 ,at the head of the great administrations of the ,state1 one often finds specialists from ,europe or the ,united ,states1 who bring the fruits of their experience1 and increase the intellectual possessions of the nation4 ,the departments of railroads1 navigation1 public works1 and hygiene1 thanks to these happy selections1 offer every security of efficiency in operation4 ,one may say1 it is true1 that this is the result of foreign influence2 but what does the origin of all these improvements signify in respect of the future1 so long as they become incorporated in the life of the ,argentine and contribute to its evolution8 ,one thing which proves that the instinct for progress is at the heart of the national temperament is that it is found in the lower strata of certain public services in which the foreign element plays no part4 ,the administration of the police1 for instance1 and that of the posts and telegraphs1 to cite no other examples1 are conducted with as great a regularity as in any ,european country4 ,thus1 while allowing that the initiative of all improvements comes from abroad1 we must not overlook the fact that the ,argentine has assimilated them with the utmost facility1 and that this gift of assimilation forms to-day a valuable portion of the national patrimony4 ,despite its eminently cosmopolitan character1 which is a peculiarity of its development1 the ,argentine ,republic has succeeded in retaining its own personality among so many diverse elements4 ,it is the type of the modern nation1 whose ideal is that of the ,united ,states----business4 ,a man is zonzo or vivo----a fool or more than capable----there is no medium4 ,from this point of view the ,argentine is at the apex of its period2 it has no use for abstract ideas or immortal principles2 its ambition being above all to sell its corn and cattle and to enrich itself4 ,behind the agitation of the political parties there is no other object than this3 to share in the exploitation of the country and to enjoy its wealth4 ,the heroic period is over for the ,argentine2 its independence is to-day definitely assured2 it pursues no dreams of conquest now1 but seeks only pacific victories for its products in the great international markets4 ,prosaic as the present generation is1 it is not1 from our point of view1 completely without nobility2 it loves its native soil and glorifies it2 not1 assuredly1 after the fashion of ,virgil saluting the ,latin soil1 fertile of heroes1 but as a land productive of rich harvests1 and the source of material prosperity4 ,this it is that explains the powerful attraction which the ,argentine exercises upon all those who have trodden its soil4 ,the country progresses with such rapidity1 the value of the soil increases in such proportions1 that the most indifferent end by being drawn into the stream4 ,those who come to live here without any idea of final residence make up their minds to settle as soon as they hold the smallest parcel of property4 ,when a man has lived some little time in the ,argentine1 and has watched the spectacle of its rapid development1 he is quickly seized by the business vitality which forces him to take part in the great movement4 ,this love of the ,argentine for his land may certainly have its noble side1 but he knows nothing of the moving spirit of poetry which clothes that love in the old countries of ,europe1 where man becomes attached not only to the cultivable land1 but to all the memories of the native village2 the familiar hills and meadows1 the old church1 and all that puts us into communication with the soul of places4 ,it would seem as though one holds more closely to the earth that demands the most labour1 the greatest efforts1 even the greatest disappointments4 ,no one was ever more attached to the land than the ,boer1 who lived at peace in an ungrateful soil1 indifferent to the mineral wealth which it might conceal4 ,it was this land1 where he lived an independent life1 that he defended so stubbornly2 not the gold1 which was yet the true wealth of the country4 ,the ,argentine also has seen pass over its soil the same rude generation1 having no other dream than independence4 ,the 8guacho0 of old1 a mixed type of the ,indian and ,spanish races1 the true son of the pampa1 was truly attached to the immense plain upon which he lived at the call of caprice1 a wild rider in every sense4 ,to-day the type tends to disappear1 as civilisation1 and more especially administration1 everywhere make their influence felt2 as the ancient virgin pampa is transformed into cultivable soil1 bristling on all hands with barbed wire4 ,as he was not easy to domesticate1 nor break in to any continuous labour1 the 8guacho0 has been supplanted little by little by the foreign farmer1 the colonist2 and to-day he is almost submerged by the wave of immigration which has invaded the country1 and which forms now the major part of the population4 ,from the men of this new generation one must ask no other love for the soil than that which is born of the profits they draw from it4 ,they can move indifferently from north to south1 from east to west2 the soil for them is everywhere the same1 provided the harvest be good4 ,but1 apart from that1 they nevertheless love this land of promise1 and interest makes them its children4 ,from this generation1 whose principal traits we have noted1 it seems that we may in the future expect great things4 ,to be sure1 if the world were to return to its old ideal1 that of glory or imperialism1 we hardly know what place the ,argentine would find in the scheme of things4 ,it is unsuited to a military policy2 it has no ambition to measure itself with neighbouring nations1 which are far more eager for adventure4 ,but if we stand on the economic plane1 the only one which interests us1 we must allow that this generation is well armed for self-defence in every field of the commercial struggle4 ,from the fusion of the ,latin genius with the ,anglo-,saxon energy has issued a new product1 extremely capable in business1 full of practical sense1 and very open to progress1 which will be fully able to hold its own in a century in which money is the great instrument of domination4 ,this race1 formed haphazard of immigration1 is yet the very race for ,argentine soil2 between the two there is a correspondence1 an adaptation1 as perfect as if it were the result of long-continued design4 ,to sum up3 the ,argentine nationality appears to a foreigner under two distinct aspects2 there is its political side1 characterised by instability and lack of organisation1 and the economic side1 in which an intense national life and progress are manifested4 ,will this truly abnormal situation1 containing both very bad and very good elements1 perhaps1 terminate favourably1 making of the ,argentine people not merely a rich1 but also a great nation8 ,will the development of public affairs1 left so far to the hazard of politics1 even reach the plain of our economic development8 ,will the ,argentine nation eliminate1 under the pressure of material progress1 the leaven of anarchy left behind by a century of civil dissension8 ,this is the secret of the future2 this is the great achievement which remains to be accomplished in order to consolidate the present prosperity of the country4 ,in short1 we must not lose sight of the fact that this prosperity has hitherto been less the work of man than of nature1 which has been prodigal of her gifts to this fortunate land4 ,this is a thought which has been expressed in a speech in the ,argentine ,senate1 in which ,senator ,uriburu shows that ,providence is always coming to the rescue by repairing the fault of the ,state4 8,it is ,providence10 he says1 8which so opportunely sends us the rains to water our lands and to raise our marvellous crops2 it is ,providence that has given us the greatest ,minister of ,finance we have ever known1 our fertile soil and our clear sky2 the supreme ,minister who looks after all our needs1 who saves us from all difficulties1 and who1 despite our errors1 continues to ensure the greatness of the ,republic4 ,let man appropriate his work1 but let him render unto ,csar that which is ,csar's40 ,and now if by some impossibility the situation were to change3 if in spite of the enormous extension of cultivated lands a period of bad harvests were to follow the present period of fat cattle3 would there not be reason to fear that the whole national edifice1 founded as it is on prosperity1 might become disintegrated1 and crumble under the stroke of adversity8 ,this is the peril we must indeed seek to avoid2 it is for this reason that the intervention of a strong power seems necessary1 in order to restrain the germs of evil brought by so many races1 and to prevent the ,argentine from falling back into the state of anarchy and revolution which for her is only a distant memory4 ,taking even a more elevated standpoint1 we may add that in order to amalgamate all the elements of immigration and to attach them to the country1 through good and evil fortune1 we need another solvent than personal interest or profit4 ,to create a people it may suffice to give it a body1 but to make it live it must also be given a soul1 at whose breath the collectivity of individuals will be transformed into that moral unity which we call the nation4 ,this is a question of prime importance in a country such as the ,argentine1 where the struggle for existence has taken a particularly keen form1 which scarcely favours the development of disinterested sentiments4 ,it is for the ,state to develop among its people this national idea1 and to turn all individual efforts to its profit4 ,its duty is to raise its authority above the medley of interest1 to restrain ambition within a just limit by the influence of moral and patriotic ideas1 and so to ensure the reign of justice and social peace1 without which national prosperity will never be more than ephemeral4 ,in imagining1 from this aspect1 the formation of a nationality1 we have no intention of criticising the country2 still less do we deny the process of evolution which has gradually transformed its organisation4 ,a nation is not created in a day1 especially when it is a question of a country so young as the ,argentine1 which in less than a century has issued from the struggle for independence1 and even to-day has hardly rid itself of the revolutionary spirit4 ,for a nation to become self-conscious1 centuries must pass2 traditions must be formed1 and the great moral or intellectual forces of humanity----religion1 science1 literature1 even poetry----must develop the sense of a collective life other than the life of business4 ,and hitherto the ,argentine has had no time to produce generations of thinkers1 philosophers1 and historians2 still less poets4 ,the most it has are statisticians1 who give it the precise figures of her commercial balance4 ,we do not doubt1 however1 that1 thanks to material progress1 this slow elaboration of a new race will eventually be completed4 ,in the first phase of her existence as a nation ,argentina1 according to the spirit of her ,constitution1 fraternally opened her doors to all who wished to inhabit her soil4 ,no restriction was placed upon the entry nor on the permanent immigration of foreigners2 on the contrary1 legislation and social customs combined to favour immigration4 ,the result is1 that the new arrivals have regarded themselves as alien1 in matters of economics and politics1 to the nationality with which they have become incorporated2 believing that their mission consisted solely in creating and circulating wealth1 while regarding the solution of the great national problems with indifference4 ,but to-day the ,argentine has entered upon a new phase2 it must no longer merely receive1 it must also incorporate all these elements of immigration1 and1 without awakening antagonism towards the foreigner1 it must set to work to absorb him into the soul of the nation4 ,this faculty of assimilation is a virtue of the ,american soil4 ,the ,united ,states have proved as much for ,north ,america1 and it now remains for the ,argentine to do the same for ,south ,america4 ,the new generation of immigrants1 having struck root into its hospitable soil1 must live completely in the national life1 absorbing those feelings of patriotism which animate the new citizen of the ,united ,states4 ,to give expression to these loyalist tendencies1 we will confine ourselves to quoting the memorable words which were spoken in the ,congress of ,wisconsin1 by an ,american congressman1 born in ,germany1 the ,hon4 ,richard ,gnther2 words which were equally applauded and approved in ,latin ,america4 ,we shall perceive1 through the very exaltation of his phrases1 what unreserved devotion a naturalised foreigner may bring to his new country3 8,we know as well as any other class of ,american citizens where our duty lies4 ,we labour for our country in times of peace1 and we shall fight for her in time of war1 if ever such time arrive4 ,when ,i say our country1 ,i naturally mean our country of adoption1 the ,united ,states of ,america4 ,after passing through the alembic of naturalisation we are no longer ,germans2 we are ,americans4 ,our attachment to ,america cannot be measured by the length of our residence here4 ,we are ,americans from the moment when we reach the ,american shore1 until the day when we are laid to rest in an ,american grave40 ,,part ,i ,,the ,,argentine ,,from ,,the ,,economic ,,standpoint ,,chapter ,i ,,the ,,geography ,,of ,,the ,,argentine ,,climate----,,soil----,geographical situation of the ,argentine2 its boundaries1 its area4 ,climate of various districts4 ,the prevailing winds4 ,nature of the soil2 its fertility2 adaptation to the culture of cereals and the raising of live-stock----,transformation of virgin into fertile land----,the ,pampa----,the cultivable area----,conditions favourable to production----,the plagues of locusts4 ,,rivers----,their exceptionally favourable influence----,the hydrographic system----,network of navigable river-ways3 the ,rio de la ,plata1 the ,rio ,parana----,conditions of navigability----,canals4 ,,ports----,list of the principal ports1 with a summary of their trade---- ,buenos ,ayres3 description of the port1 its area1 its capacity1 tonnage2 its docks----,the ,central ,produce ,market----,importance of ,buenos ,ayres in comparison with the great ports of the world---- ,the port of ,la ,plata----,the port of ,rosario2 increase of its traffic2 construction of the new harbour conceded to a ,french company----,bahia ,blanca2 its development----,the decentralisation of traffic4 ,the ,argentine ,republic occupies the southern extremity of ,south ,america and runs from north to south from #ba #cj to #ed #eb of south latitude2 or #cc in a meridian line4 ,from east to west it occupies a width of #bj1 between #ed and #gd of longitude4 ,its territory is bounded to the north by ,bolivia and ,paraguay2 to the east by ,brazil and ,uruguay2 to the west by ,chili4 ,its boundaries by land are #bihj miles in extent on the west2 #iic miles on the north2 the river boundaries on the east are #gde miles in length4 ,finally1 the shores of the estuary of the ,rio de la ,plata and the ,atlantic form a stretch of #afad miles2 all of which represents a total boundary-line of about #fccd miles4 ,the superficial area of the ,republic has not hitherto been calculated on the basis of a geodesical survey2 it has been arrived at only by calculation from charts which are more or less approximate4 ,according to the estimates most worthy of credence1 and allowing for the latest rectifications of the frontier1 its present area is equivalent to #aa1cbh1cba square miles4 ,this is about six times the area of ,france1 which contains only #bjc1ije square miles4 ,the ,province of ,buenos ,ayres alone is more than half as large as ,france4 ,the seasons in the ,argentine1 compared to those of the northern hemisphere1 are of course reversed4 ,the summer corresponds to ,december1 ,january1 and ,february2 the autumn to ,march1 ,april1 and ,may2 the winter to ,june1 ,july and ,august2 and the spring to ,september1 ,october1 and ,november4 ,in the matter of climate1 the ,argentine may be divided into three regions2 those of the coast1 the centre1 and the ,andes4 ,the coastal region comprises the ,provinces of ,buenos ,ayres1 ,santa ,f1 ,entre ,rios1 and ,corrients4 ,the average annual temperature is about #ffb ,fahr42 at ,buenos ,ayres it is only #fbf4 ,the average summer temperature is about #gg1 that of the autumn #fdd2 of the winter1 #ecf1 and of the spring1 #fbf4 ,the hottest month is ,january1 when the average is #gg2 the coldest is ,july1 with an average of #eah4 ,in this coastal region the extremes of temperature are #ajgf in summer and #da in the winter2 but these temperatures are both exceptional4 ,however1 a temperature of #ie is very usual on summer afternoons4 ,it is a very unusual thing for the mercury to fall below freezing-point in winter or to remain there4 ,snow is also a very rare phenomenon1 only to be seen perhaps once in five years4 ,a peculiarity of the ,argentine climate in general is that the temperature will change very rapidly during the day1 or even during a few hours2 the change representing sometimes a difference of more than #cf1 especially in the spring1 which is the most usual season for these rapid variations4 ,the climate of the coast region----that is1 of a country consisting almost entirely of plains----is1 in general1 influenced by the winds1 which blow in gales at all seasons4 ,northerly and southerly gales are the most common2 the first especially are very frequent4 ,in ,buenos ,ayres one finds1 during the summer1 an alternation of sea and land breezes2 the one during the day1 the other during the night4 ,the northerly winds are always hot and even suffocating2 they influence the nervous system1 afflicting some people with neuralgic troubles4 ,when these winds blow1 the air is charged with electricity1 until1 the tension of the atmosphere having grown insupportable1 a tempest comes to restore the equilibrium1 to give place to another wind1 coming from the south-west1 and known as the pampero4 ,this wind does not often last long1 but it attains a velocity equal to that of a full hurricane4 ,the pampero1 so called because it is formed in the region of the pampas1 is a wind full of ozone1 and as such plays its part in disinfecting the vitiated air of the urban centres4 ,but the effects of the pampero1 and especially of the south-westerly winds1 on the ,rio de la ,plata1 where they produce a violent swell1 are sometimes terrible4 ,as for the rain1 there is no regularity in its fall2 which naturally tends to render the results of culture and of cattle-breeding variable4 ,rains are more frequent in summer and autumn than at other times2 while the least rainfall is that of winter4 ,at ,buenos ,ayres it is rare for a month to pass without rain1 which is often torrential1 and accompanied by hail4 ,the climate of the central region1 if we except the mountainous portions of the ,provinces of ,san ,luis and ,crdoba1 is distinguished from the seaboard region by its greater dryness and its sudden variations of temperature4 ,in the plain the summers are very hot1 and it is not uncommon to see the thermometer at #ajd2 while during the winter there are very hard frosts4 ,as on the coast1 northerly and southerly winds are the most frequent4 ,rain is rarer than on the coast1 and falls almost exclusively in summer and in autumn3 with rare exceptions the winter is perfectly dry4 ,in the ,andean region the climate varies according to the height above sea-level1 but is always characterised by sudden variations in the daily temperature1 and by excessive dryness4 ,on the eastern slope of the ,andes and the plateaux of the north it never rains4 ,these regions are continually swept by furious winds1 which make agriculture impossible4 ,to the intense heat of the day succeeds the cold of the night1 with differences of temperature that sometimes amount to #fh in twenty-four hours4 ,the climate of the ,argentine1 with a few exceptions1 has the reputation of being extremely healthy1 on account of the sudden changes of temperature and the dryness of the air predominant over the greater part of the country4 ,these atmospheric conditions are1 to be sure1 not favourable to affections of the lungs2 but1 on the other hand1 they contribute to prevent epidemics4 ,we find that among adults and adolescents the figures of mortality are no higher than the average figures for the healthiest countries in the world4 ,the statistics drawn up by the ,city of ,buenos ,ayres even show that foreigners have a longer expectation of life than the indigenous population4 ,in matters of climate one must be careful not to become confused1 as so many ,europeans do1 between our ,argentine ,republic and the neighbouring country of ,brazil1 which is nearer the equatorial zone4 ,favourable to human health1 the ,argentine climate is also1 as we shall see1 particularly favourable to most kinds of agriculture and to the breeding of cattle2 from this point of view it is a privileged land1 which calls only for labour to become productive4 ,for a greater part of its area the ,argentine soil unites the geological and climatic conditions favourable to the production of cereals and for stock-raising4 ,it is in the fertility of the cultivated lands and the richness of the pastures that the whole economic value of the country resides4 ,according to recent investigations by competent persons1 the surface of the ,argentine is largely composed of sandy soil2 but a sandy loam is often found1 also1 more rarely1 a gravelly clay2 but there is very little actual clay4 ,other soils1 such as absorbent calcareous earth1 are not often found4 ,in the subsoil a sandy clay abounds1 the occurrence of clay and calcareous earths being greater in the subsoil than in the soil4 ,from the chemical point of view1 the high percentage of potash----which remains practically undiminished----long ago attracted the attention of the agronomist4 ,phosphoric acid is also found1 though in less proportions4 ,lime is often found in small quantities in the best soils in those districts most devoted to agriculture2 and nitrogen is often abundant1 except in the southern region of the ,republic1 and in some parts of the western region1 where the rains are less frequent1 the winds violent1 and the vegetation poor and stunted4 ,saltish soils are of frequent occurrence in the west and south1 but in general the salt is not in sufficient proportions to hinder agriculture1 especially when suitable means of culture are employed4 ,soils of great fertility are found in the central and southern regions1 and occupy vast areas in the ,provinces of ,buenos ,ayres and ,santa ,f1 and in parts of ,crdoba and ,entre ,rios4 8,there are areas which are apparently of poor fertility10 says ,m4 ,charles ,girola1 from whom we derive these data1 8which yield magnificent crops1 thanks to irrigation or a better distribution of the water supply2 especially in the west and the south40#af ,footnote #af3 ,investigacin agricola en la ,repblica ,argentina1 by ,charles ,girola1 ,agronomic ,engineer1 ,head of the ,agronomic ,bureau in the ,ministry of ,agriculture4 7#aijd74 ,but in the ,argentine ,republic experience has shown that there is scarcely any soil which is not capable of profitable use1 either for agriculture or stock-raising4 ,it is very frequently remarked that lands which for a long time had been regarded as poor and almost sterile1 unfit for exploitation1 are to-day converted into admirable natural or artificial prairies1 feeding numerous herds of sheep or cattle2 or have more often been cleared by the colonist1 and are now yielding excellent crops4 ,this wonderful transformation is chiefly due to the pasturing of flocks and herds1 which break up and enrich the soil2 also to the fertilising organic matter contained in the turf2 and finally to the addition of innumerable dead insects1 which are brought by the wind and form a deposit on the soil1 which acts as a kind of natural manure4 ,these favourable conditions of fertility are all united in the region known as the ,pampa1 which occupies the greater part of the temperate zone of the country4 ,it consists of immense and virgin plains1 which stretch to the horizon almost without landmarks or changes of level1 and offer admirable opportunities both for agriculture and stock-raising4 ,nearly all those ,argentine lands which to-day bring fabulous prices were referred to1 at an earlier period1 as 8lands good for nothing40 ,for this reason a considerable premium should be put on the theoretical estimate1 made a priori1 of the areas suitable for advantageous cultivation1 in proportion as human labour works its transformation4 ,it is difficult to estimate1 except in the most approximate manner1 the cultivable area of the ,argentine4 ,it should be not less than half the total area1 or1 in round figures1 #cgj millions of acres4 ,of this estimate at least two-thirds represents land suitable for stock-raising1 leaving available for the production of cereals about #abb millions of acres2 of which1 at the present time1 only a fifth part is under cultivation4 ,we may see1 by this simple comparison between the future and the present1 that agriculture has still a great future before it and a large margin of development4 ,to give a true idea of this power of production1 it is enough to recall1 with ,m4 ,emile ,daireaux1 who has described the great farms of the ,argentine pampa1 that the plough1 under the most favourable of climates1 meets no obstacles in the way of hills or forests2 not a tree1 not a rock1 not even a pebble in the soil4 ,all ,european crops give there an abundant harvest1 without expenditure upon manure1 without shelter for the stock2 the colonist may even content himself with a modest wattled hut1 protecting him from the mid-day sun or the cold breeze of the night4 ,the soil is everywhere friable2 no painful struggles retard the speed of the plough1 which traces at one stretch a furrow miles in length without turning the ploughshare4 ,the plough is drawn by four horses1 reared at hazard in the open air1 knowing no grooming1 no complicated training2 and sometimes a single hand is able to manage two teams and ploughs4 ,thanks to the frequentation of these lands for centuries by horses and cattle1 these alluvial deposits1 rich in natural manures1 have an apparently inexhaustible fertility4 ,awakened by labour from its eternal sleep1 the soil is so vigorous that one finds numerous instances where the same grain1 sown for twenty successive years in the same place1 yields always the same abundant harvest4 ,the only serious scourge which can menace the creative power of the earth1 independently of the always to be dreaded drought1 is the invasion of locusts4 ,these invasions take the form of flying armies of locusts passing between earth and sky1 and revealing their passage by the semi-darkness they produce in the regions over which they travel4 ,leaving the hot deserts of the tropical regions1 the locusts advance in their phalanxes1 sometimes #ej or #fj miles across2 swarm succeeds swarm uninterruptedly for several days1 leaving behind them no trace of vegetation4 ,they till the wells1 stop the trains1 by opposing veritable barriers of their bodies1 obstruct the rivers in which they drown1 and sometimes even1 by the accumulation of their bodies1 form a bridge over which the rear-guard can pass4 ,serious though this danger may be1 especially in the more exposed provinces1 such as ,santa ,f1 we must say1 in honour to the ,argentine ,republic1 that it has never paralysed initiative2 as is proved by the continuous increase in the area of sown soil4 ,very fortunately1 too1 this plague1 like that of ,egypt's in ,pharaoh's dream1 is intermittent1 and an interval of seven years often passes before its return4 ,moreover1 various means are being put into practice for defence against this formidable evil2 means for preventing the reproduction of the insect1 or of checking its development before the period of flight4 ,a special organisation has been formed under the name of the 8,commission of ,agricultural ,defence10 in order to coordinate and direct the work of protection from the devastations of the locust1 and considerable sums are devoted to this object every year4 ,regiments1 mobilised along the line of passage1 sweep the agglomerated masses of insects1 in dense ridges1 towards the ditches full of quicklime in which they are buried4 ,hundreds of tons of locusts perish thus1 but unhappily the plague seems neither cured nor diminished4#ag ,footnote #ag3 ,see ,le ,correspondent of the #ajth of ,february1 #aije1 containing an article by ,m4 ,emile ,daireaux4 ,,rivers ,the economic progress of the ,argentine ,republic is intimately connected with the development of its means of communication1 its traffic-ways4 ,the railways and the ports have been the chief factors of the country's prosperity1 as by facilitating the outlet of agricultural products1 they have allowed the soil to attain its whole value4#ah ,it is therefore pertinent to state1 in some detail1 how the ,argentine is equipped from this point of view1 and the part played by such equipment in the commercial development of the country4 ,footnote #ah3 ,perhaps it need hardly be explained that the meaning of this statement is that the rent of agricultural land reaches its par value when it is absolutely accessible----say1 beside a port4 ,with high ocean freights and low railway freights any land upon a railroad would be almost equally accessible economically----that is1 it would reach almost its whole value4----,,trans4 ,by the truly providential nature of its soil1 the ,argentine is not only marvellously fertile1 but is also a country largely opened up by waterways1 and offering exceptional facilities from the point of view of international exchange4 ,one of the most notable peculiarities of this country is that its rivers1 which are1 as it were1 inland seas1 accessible to vessels of the highest tonnage1 and1 penetrating the very heart of the most fertile regions1 place it directly in communication with the exterior4 ,what is still more notable is that these rivers flow with an almost constant current over level beds1 between perpendicular banks1 so that the river-banks form a series of natural ports1 with wharves of indefinite length4 ,nature has well prepared the way for the handiwork of man4 ,the hydrographic system of the ,argentine ,republic falls into three main groups3 7#a7 the rivers tributary to the basin of the ,rio de la ,plata2 7#b7 the rivers which terminate their course in lakes or pools1 or lose themselves in forming marshes or salt swamps1 and are finally absorbed by the porous soil of the ,pampa2 7#c7 the rivers which empty themselves into the ocean4 ,to the first group belong all the rivers which water the ,provinces of ,corrients1 ,entre ,rios1 ,chaco1 ,jujuy1 and ,salta1 a portion of those of ,santa ,f1 ,crdoba1 and ,buenos ,ayres1 and the ,territories of ,chaco and ,misions4 ,to the second group belong all the water-courses of the ,provinces of ,tucuman1 ,catamarca1 ,santiago de l',estero1 ,la ,rioja1 ,san ,juan1 ,mendoza1 ,san ,luis1 the greater part of those of ,crdoba1 and part of those of ,buenos ,ayres4 ,to the third group belong also a portion of the rivers of ,buenos ,ayres1 and all the rivers of ,patagonia4 ,as we have seen1 the waterways of the ,province of ,buenos ,ayres come under all three headings4 ,the best-known river of the ,republic1 and that which gives the ,argentine its name1 is the ,rio de la ,plata1 formed by the junction of two rivers no less important1 the ,parana and the ,uruguay4 ,it forms an immense estuary1 which pours into the ocean the waters of a whole hydrographic system1 a vast basin occupying nearly #a1edj1jjj square miles1 or a fourth part of ,south ,america4 ,this estuary is #be miles wide at its head1 and where its waters reach the ocean attains a width of no less than #bag miles1 its average width being #aaa miles2 and its superficial area covers #ac1dge square miles4 ,apart from certain hindrances of the nature of islands or sandbanks1 the ,rio de la ,plata offers relatively easy access to vessels of the highest tonnage making for ,buenos ,ayres or towards the interior4 ,its level is influenced by the tides of the ocean1 and also suffers very violent changes when the easterly or south-easterly winds pile up the waters of the sea in the estuary4 ,the river which is the continuation of the ,rio de la ,plata towards the north1 and with it forms the vital artery of the ,argentine1 is the ,parana2 its length is #bihj miles1 of which about one-half flows through ,argentine territory4 ,its width varies from #bb to #ca miles1 and its average annual flow is estimated at nearly #ci1jjj cubic yards per second1 which represents one and a half times that of the ,mississippi1 twice that of the ,ganges1 four times that of the ,danube1 five times that of the ,nile1 and nearly a hundred times that of the ,seine4 ,it receives1 in its turn1 as an affluent1 the ,paraguay1 a river which traverses the country of the same name1 and thus places it in communication with the sea1 by way of the ,parana and the ,rio de la ,plata4 ,this network of rivers forms a magnificent series of waterways4 ,rising from the central provinces of ,brazil1 the ,parana passes through the rich afforested regions of ,chaco1 communicates by means of its affluent with ,paraguay and ,south ,brazil1 and then flows through the ,provinces of ,corrients1 ,entre ,rios1 and ,santa ,f2 that is1 through the regions of great forests and wide holdings1 and then empties itself into the inland sea of the ,rio de la ,plata1 where it mingles with the ,uruguay1 another means of communication between the ,provinces of the ,east and the ,atlantic ,ocean4 ,concerning its navigability1 here are some data taken from an interesting little book by ,m4 ,georges ,hersent on the port of ,rosario3---- 8,during nine months of the year the navigation from the sea to the port of ,rosario presents no difficulties to the great transatlantic steamers2 indeed1 it may be said that their maximum draught is limited only by the depth of the #8,canal ,nuevo1' the new channel of ,martin ,garcia4 ,ships drawing #bb to #bc feet can load at ,rosario and leave directly for the open sea1 or come to discharge their cargo at the port4 8,during the period of low water1 which lasts for barely three months in the year----from ,september to the end of ,december----there are only two channels with a less depth than #ba feet1 that of ,las ,hermanas and that of ,paraguayo4 ,in the former1 the island of ,las ,hermanas separates the bed of the river into two channels1 of which the one most in general use hitherto has a depth of only #bj feet2 but vessels may avoid it to-day1 as the western channel has been dredged and deepened1 and is of more than sufficient depth4 8,the second channel1 which used to present some difficulty1 is that of the ,paraguayo1 where there was only #ag feet of water4 ,this state of things was happily not permanent1 as the ,national ,government has undertaken1 at this spot1 the work of deepening and levelling the ,parana1 which was completed in the course of the year #aijd4 8,we may add that the ,state is engaged in maintaining1 over a minimum width of #ajh yards1 a depth of #ai feet below the level of low water in the channel of ,martin ,garcia1 and of #ba feet #a-a_/b inches over the whole course of the ,parana1 as far as ,rosario4 ,this maintenance will be necessary only at certain points in the river1 as the depth of the latter is in general considerably above those figures40 ,as we have already said1 the real commercial value of the ,parana lies in the peculiarity of its banks1 which make it along its whole course a series of natural quays4 ,these banks form in many places almost vertical walls1 and as the bed of the river is almost everywhere #be feet below the surface1 it follows that ships of large tonnage can not only ascend the river as far as the city of ,rosario1 or even to ,colastin1 but can moor themselves alongside the banks as to a quay1 without any labour or preparation being necessary4 ,at some places----as at ,rosario for example----the bank properly so-called is overhung by low cliffs1 forming a kind of promontory raised many feet above the water-level1 so that it is possible to utilise this difference of level in loading cargoes4 ,by means of inclined planes or gangways1 called canaletas1 the goods collected in warehouses built upon the banks are quickly1 thanks to the slope of the gangways1 run into the holds of the vessels moored to the banks4 ,it will be admitted that these conditions are unusually favourable to navigation1 and explain the extraordinary development of a country in which nature has thus surpassed herself4 ,regarded as traffic-ways1 these rivers play a part of the highest importance1 by giving easy access to the sea1 without re-shipment1 to provinces more than #fjj miles inland1 such as those1 for instance1 of ,chaco and ,corrients4 ,the ,rio de la ,plata affords a natural traffic-way1 accessible to all vessels1 between ,buenos ,ayres and ,montevideo1 which are more than #abj miles apart4 ,all the large transatlantic steamers which used some time ago to put in at ,la ,plata now come up to ,buenos ,ayres1 which has thus become the headquarters of a dozen wealthy steamer-lines engaged in the ,european service4 ,thanks to the works established for the deepening of the ,parana and the regularising of its course through the sandy districts1 great steamers of #aj1jjj tons can to-day go up to ,rosario3 steamers of #fjjj tons can easily reach ,parana or ,colastin2 and special boats built for the river service can ascend as far as ,corrients1 and from there towards ,brazil1 ,paraguay1 or ,uruguay3 a distance of more than #abjj miles4 ,besides these 8flowing roads10 we must mention others1 which1 although of less importance1 are none the less destined to exercise a beneficent influence over the economic life of the premier province1 and the development of its agriculture1 thanks to the cheap transit which they will offer in time to come4 ,we refer to the network of canals which the ,government of the ,province of ,buenos ,ayres has projected or put in hand4 ,in the first edition of this book we announced the construction of a canal #aee miles in length1 which would unite the ,mar ,chiquita1 its point of origin1 and ,baradero1 its terminus2 embracing in its course the following centres of rural produce2 ,laforcade1 ,junin1 ,o',higgins1 ,chacabuco1 ,salto1 ,arrecifes1 and ,baradero4 ,this enterprise1 which was put in hand at the expense of the ,province of ,buenos ,ayres1 failed with a crash4 ,after the work had been enthusiastically commenced1 after several millions of dollars had already been spent1 it was discovered that the work could never be completed in a successful manner1 nor could it ever yield a return for the sums raised1 which were thus swallowed up in this disastrous enterprise4 ,men whose technical competence allowed them to speak with authority----for instance1 the engineer1 ,luis ,a4 ,huergo----basing their statements on scientific principles1 had estimated that the undertaking could never be practically realised2 and1 as we have seen1 the result justified their predictions4 ,,ports ,,and ,,harbours ,the nature of the river-banks being such as we have described1 the ports utilised by trade along the course of the great ,argentine rivers are very numerous4 ,after ,la ,plata and ,buenos ,ayres1 which share the traffic of the northern part of the ,province of ,buenos ,ayres1 we must mention ,campana and ,zarate1 for at these two ports also the exports of frozen meat are very considerable2 ,san ,nicolas1 a great centre for cereals1 whose harbour is to be transformed and equipped by the new concessionnaire1 the 8,socit ,anonyme du ,port et ,entrept de ,san ,nicolas02 and ,villa ,constitucin1 whence the produce of the south of ,santa ,f and ,crdoba is exported1 and whose capacity is #gjjj to #hjjj sacks a day4 ,after ,rosario1 which is the second centre of the ,republic1 the chief ports ascending the ,parana are as follows3 ,san ,lorenzo1 ,diamante1 ,santa ,f1 ,colastin1 ,parana1 ,esquina1 ,goya1 ,bella ,vista1 and ,empedrado4 ,corrients is the last important commercial centre on the banks of the ,parana4 ,all these ports had an annual tonnage amounting to #b1ahh1jjj tons in #aijf1 #b1cff1jjj in #aijg1 and #e1cif1jjj in #aijh1 so that the statistics for these three years of the traffic for the ,parana1 including ,rosario1 amounts in round figures to #i1hia1jjj tons1 for the distance of #hjd miles4 ,at ,santa ,f work has been commenced on the installation o a more modern harbour2 the ,province1 by consent of the ,state1 has devoted a sum of #f1jjj1jjj to this undertaking4 ,there has also at times been a question of equipping the port of ,colastin1 which is one of the principal centres of export for cereals and the timber brought by the ,french railway system of ,santa ,f4 ,the average trade passing through this port amounts to more than #ejj1jjj tons1 and1 so far1 there has been no need to add any improvements to the natural advantages of the river-banks4 ,we see by this that there is no need to create ports on the ,parana1 only to utilise or develop existing conditions4 ,we give below a table of the trade statistics of the principal ports of the ,argentine ,republic1 remembering that with the exception of ,buenos ,ayres their trade consists largely of the exports of produce3---- ,traffic in ,registered ,tons at the following ports in the years #aijg and #aijh4 #aijg #aijh ,rio ,gallegos#ai #fc1ejj #da1jjj ,madryn#ai #aah1jjj #ai1ijj ,commodore ,rivadavia#ai #ei1jjj #a1iij ,ushuaia#ai #be1jjj #aa1hjj ,diamante #aca1jjj #cge1jjj ,santa ,f #abg1jjj #ddj1jjj ,parana #bec1jjj #fcf1jjj ,esquina #aag1jjj #cgd1jjj ,goya #afc1jjj #djd1jjj ,bella ,vista #acf1jjj #cii1jjj ,empedrado #aaf1jjj #cjf1acf ,corrients #bcj1jjj #ejd1dcc ,rosario #a1jhi1jjj #a1ibd1jjj ,buenos ,ayres #f1dga1jjj #g1eee1jjj ,footnote #ai3 ,the tonnage of these ports is for the years #aijd and #aijf1 no corresponding figures being obtainable for #aijg and #aijh4 ,the premier port of the ,argentine1 and we might add of ,south ,america1 is ,buenos ,ayres1 which in extent and connections rivals the finest ports of ,europe4 ,it consists of two harbours1 of which one1 situated at the mouth of a little river called ,riachelo1 is frequented principally by steamers of light draught and sailing-ships2 the other is known as the ,port of the ,capital1 or more commonly ,port ,madero1 from the name of the contractor responsible for the harbour works4 ,the port contains1 altogether1 four basins and #f-a_/c miles of quays1 four of which are situated on the flank of the city4 ,along these quays are disposed immense warehouses1 able to contain #bi millions of tons of merchandise1 as well as great flour-mills and grain-elevators1 with a capacity of more than #bjj1jjj tons1 which cost more than #a1jjj1jjj sterling4#bj ,footnote #bj3 ,the net capacity of the customs warehouses is over #djj1jjj tons2 as products remain there on an average for two months1 we have an annual figure of #f #djj1jjj #b1djj1jjj tons4 ,this is the maximum of goods per annum which the customs depts can at present receive4 ,this harbour has cost in all some #g1jjj1jjj1 and every year a sum of nearly #c millions of paper piastres1 or #bjj1jjj1 is spent upon the work of maintaining the channel of approach at a proper depth4 ,at the season when the traffic is densest1 the port holds as many as #adjj steamers and sailing-vessels1 loading and unloading4 ,it is evident that1 with the constant increase of commercial activity1 further enlargements will soon be necessary4 ,the ,government is at the present moment considering a gigantic scheme of improvement1 with a view to which several groups of ,european contractors have already submitted estimates4 ,in order to give some idea of the importance of the plant at the disposal of exporters at ,buenos ,ayres1 we need only speak of the great market or embarcardero for live-stock4 ,it covers an area of #cej1jjj square yards1 of which #aag1jjj are occupied by buildings2 its capacity is #dj1jjj sheep and more than #aejj cattle4 ,there is also another notable establishment1 reputed to be the largest in the world3 the ,central ,produce ,market4 ,the building is of four stories1 covers an area of #ahj1jjj square yards1 and cost #hcj1jjj4 ,the following table shows the quantities1 in metric tons1 of products entering the market between ,february and ,september in #aije1 #aijf1 #aijg and #aijh4 ,,tons ,,of #bbje lbs4 #aije #aijf #aijg #aijh ,maize #gba #f1hhb #i1fjj #aj1gdb ,wheat #cd1bdf #ej1cgi #gc1bde #dg1eff ,flax #a1aae #c1fcf #e1ehd #aj1geg ,barley #hc #cfh #a1cfa #a1fie ,oats #a1fhh #c1fbd #f1fhe #ae1gcg ,hides and skins #ag1gac #ah1eda #ag1aae #bb1cga ,other products #a1ghf #a1hch #a1hjd #b1aee ,besides these products1 in #aijf there were #hg1djj tons of wool entered at the market2 in #aijg1 #hd1fjj tons2 and during the first nine months of #aijh1 nearly #dc1jjj tons4 ,if the year #aijh seems to show a great decrease in the entry of wools1 the fact is really due to the larger amounts entered in ,october1 ,november1 and ,december1 which are not included in the figures for #aijh4 ,these figures show the importance of this establishment to ,argentine trade4 ,it is not a mere dept1 as one might suppose1 but a veritable ,exchange1 where important transactions take place in all the chief products of the country4 ,the port of ,buenos ,ayres owes its rapid development to this excellent equipment4 ,in #ahhj1 before the scheme of works was commenced1 its trade amounted scarcely to #ffj1jjj tons2 since then it has maintained a constant increase1 and now reaches the figure of more than #ac1jjj1jjj tons4 ,below is the inward and outward trade of the port of ,buenos ,ayres3---- ,years4 ,tonnage4 #ahig #g1cfe1jjj #ahih #h1aae1jjj #ahii #h1gdb1jjj #aijj #h1jdg1jjj #aija #h1ffa1jjj #aijb #h1ijc1jjj #aijc #aj1bfi1jjj #aijd #aj1djj1jjj #aije #aa1ehi1jjj #aijf #ab1ehb1jjj #aijg #ac1bie1jjj #aijh #ae1aaa1jjj ,to appreciate the value of these figures1 we must compare them with those relating to the principal ports of the world1 where we shall see that ,buenos ,ayres occupies1 in matters of tonnage1 the twelfth place among the ports of the world4 ,the tonnage of ,hamburg and ,liverpool1 which occupy the first two places1 is only about #dj per cent1 greater than that of ,buenos ,ayres4 ,the importance of the port of ,buenos ,ayres is chiefly due to the fact that it handles nearly all the imports of the ,republic----#hd per cent1 in #aijh----while of exports it handles #ea per cent4 ,this confirms what we have already said of the absorption1 by ,buenos ,ayres1 of a great portion of the vital forces of the country1 which develops it disproportionately to the rest of the country4 ,the equipment of the new ports of ,rosario1 ,san ,nicolas1 and ,santa ,f1 and the enlargement of the port of ,bahia ,blanca1 will constitute a useful task of decentralisation1 favourable to the economic future of the country4 ,la ,plata has the advantage over ,buenos ,ayres of a deeper basin1 which renders its harbour accessible at all times to ships of the highest tonnage4 ,until #aijc it was the point of call for the large transatlantic liners outward or inward bound1 which observed fixed hours of arrival and departure4 ,the harbour of ,la ,plata1 #c miles from the town1 contains about #bgjj yards of quays and immense warehouses1 capable of storing #fjj1jjj sacks of grain4 ,it is the terminus of the lines of railway serving the richest districts of the ,province of ,buenos ,ayres1 and is destined to undergo further developments1 as the provincial ,government intends to connect it with the agricultural centres by a network of light railways4 ,this is the principal port to-day for the exportation of the agricultural products of the central ,pampa4 ,on account of the economic importance of this port1 the ,state has taken it over from the provincial ,government1 in consideration of a price of #b1cfj1jjj1 with a view to nationalising it and exploiting it for the benefit of the ,argentine ,state4 ,this measure will allow of the organisation and the improvements which may be necessitated by the increase of its traffic4 ,on the other hand1 there is constant talk of connecting the port with that of ,buenos ,ayres by a canal some #bi miles long1 which would form an artificial extension of both harbours4 ,rosario holds second place in the ,argentine1 both in the matter of population and in the extent of its trade4 ,it is the true agricultural capital of the ,republic1 and the principal outlet of eight ,provinces1 which use the ,parana as their waterway4 ,in his little book on the port of ,rosario1 ,m4 ,g4 ,hersent speaks of the advantages of its situation in the following terms3---- 8,situated in the very centre of an immense tract of country which is extremely rich and fertile1 which to-day furnishes more than half the cereals exported by the whole ,republic1 ,rosario is the necessary outlet of the harvests of nearly the whole ,province of ,santa ,f of the whole of ,crdoba1 and of a portion of ,entre ,rios2 three provinces1 whose area is almost equal to that of ,france4 ,it is the market for the sugars and alcohols of ,tucuman1 the timber of ,catamarca1 and the minerals of ,rioja and ,chaco1 which are so far exploited only in a rudimentary fashion4 8,in order to fulfil this economic need of vital importance to the country1 ,rosario enjoys the most complete and efficacious means of access and penetration4 ,five great railroads converge upon it1 bringing to it all the products of the interior1 especially grain and cattle4 ,this network of lines1 whose rapid creation has been one of the most powerful factors of the development of ,rosario1 already contains more than #bgjj miles of permanent way2 in #ahii the traffic in the ,rosario district already amounted to #c1djj1jjj tons of merchandise1 consisting chiefly of the produce of the soil4 ,the extension of this railway system is proceeded with in a more or less continuous manner1 so as to increase the value and the opening up of new countries4 ,very shortly the line to ,bolivia will have its terminus in ,rosario4 8,but that which gives this port1 so well equipped1 an incomparable value1 is the magnificent ,parana1 which1 on the one hand1 places it in direct communication with the sea1 and on the other unites it with the interior by a waterway of several thousand miles in length1 constituting a means of transport as easy as it is economical1 which brings it all the water-borne traffic of the upper ,parana and of the ,paraguay40 ,the statistics given above show the important place which this port has taken in the last few years1 and the continued increase of its traffic1 which to-day amounts to some #c1jjj1jjj tons per annum1 whereas in #ahii it amounted only to #a1fjj1jjj tons4 ,hitherto these results have been obtained with a rudimentary equipment1 and by utilising the fortunate disposition of the river-banks2 but the intense pressure of traffic occurring at this point proves the necessity of a large harbour1 which would allow the products of the interior to find their outlet towards the ,parana and the sea4 ,the need has given birth to the means without waiting for modern improvements4 ,to-day the port of ,rosario has entered upon a new phase1 which may clear the way for a still greater development4 ,its exploitation has been made the object of a concession which1 in #aijb1 was granted to a ,french company1 having at its head ,messieurs ,hersent ,son and the ,creusot works1 on condition that the latter should undertake the equipment of the port on modern lines4 ,the scheme comprises1 among other items1 the construction of over #b miles of quays and a dock which will1 with the existing quays1 give a total of #b-c_/d miles2 the construction of warehouses1 the mechanical equipment of the quays1 and also the installation of a grain-elevator of large capacity1 which will load a cargo of #ejjj cubic yards in four hours4 ,to-day this scheme is nearly realised1 and ,rosario will be able to meet all the requirements of a perpetually increasing trade4 ,the new railway lines1 which will soon reach the port1 will complete its organisation4 ,as recompense1 the ,government has granted the concessionnaires1 for forty years1 the monopoly of gathering all harbour dues over a radius of #gd miles around the city of ,rosario1 and over a distance of #abd miles up-stream and down-stream4 ,the ,state shares in the takings of the concession to the extent of #ej per cent4 of the net profits after the expenses of exploitation are deducted1 which are estimated at #dj per cent4 of the receipts1 and after the subtraction of the sums necessary for paying the interest on and redeeming the capital engaged4 ,from all these data concerning the ports of the ,parana1 it will be seen that great efforts are now being made to increase the means of communication in proportion to the economic expansion of the country1 and to multiply and facilitate outlets upon the points nearest to the centres of production4 ,these efforts are also tending to decentralise the traffic1 to the profit of a larger number of ports3 in order to avoid the over-crowding of a few great centres to the detriment of other parts of the country4 ,this policy will have happy results3 firstly1 from the point of view of the export trade1 since it will decrease the net cost of transport2 and secondly1 from the standpoint of the import trade1 as the imports1 instead of converging upon ,buenos ,ayres and thence proceeding by rail1 will reach the neighbourhood of the inland centres of consumption more directly and at less expense4 ,for these same reasons serious improvements have been carried out at the port of ,bahia ,blanca1 which is situated on the sea-coast in the south of the ,province of ,buenos ,ayres1 whose importance has increased more especially since the opening of the military harbour to commerce4 ,bahia ,blanca is one of the termini of many railways of the south2 it is thus connected with the regions of agriculture and stock-raising on a large scale1 which are able to send their produce directly from this port to ,europe4 ,the wool trade is particularly brisk there1 and the cereal trade also1 since the ,pampa has been transformed into a wonderful agricultural country4 ,seconding this development1 already stimulated by the ,southern ,railway ,company1 which built the harbour known as 8,ingenio ,white10 the ,buenos ,ayres and ,pacific ,railway ,company has also commenced at ,bahia ,blanca a magnificent harbour1 called ,galvan ,harbour4 ,built of reinforced cement1 it is equipped with powerful grain-elevators1 built of stone1 splendid iron warehouses1 sheds1 etc4 ,this harbour1 when completed1 will have cost some #aj1jjj1jjj2 it has already a considerable trade1 which will increase in proportion to the agricultural development of the great belt it is intended to serve1 which includes the ,provinces of ,san ,juan1 ,san ,luis1 ,mendoza1 the ,territory of the ,central ,pampa1 and a large part of the ,province of ,buenos ,ayres4 ,the importance of this harbour will also be increased by the various railways which will unite ,bahia ,blanca to the remote districts of the ,republic4 ,the ,french company1 now building a line running between ,rosario and ,bahia ,blanca1 will also have its own harbour1 the ,puerto ,belgrano1 and is actively carrying on its construction4 ,finally1 the creation of a harbour has been projected at ,mar del ,plata1 the fashionable watering-place of the ,argentine1 and another in the ,bay of ,samborombon1 two hours from ,buenos ,ayres4 ,to sum up3 the ,argentine possesses at the present time1 in the matter of ports1 an equipment capable of keeping pace with the growth of its powers of production4 ,its rivers are truly arms of the sea1 collecting on their banks1 thanks to their numerous ports1 the products of the central ,provinces1 which are thus connected with the ,atlantic over a distance of more than #fjj miles4 ,it is the same on the ,atlantic sea-board1 where advantage has been taken of the least natural facilities afforded by the coast-line to multiply the outlet to exportation1 in proportion as the progress of agriculture has travelled south4#ba ,footnote #ba3 ,among the principal ports of the south we may cite ,madryn1 ,rio ,gallego1 ,commodoro ,rivadavia1 and ,ushuaia1 in ,tierra del ,fuego4 ,these ports1 by a wise disposition of the ,government1 seeking to increase the population and encourage progress in the southern regions of the ,republic1 have been made free ports2 that is all the operations of the douane may be effected without the payment of fiscal dues4 ,it is true that this great organisation can only yield the true measure of its value in years of good harvests1 since upon the latter all commercial activity depends2 yet it must be recognised that1 however largely the future has been discounted in equipping these ports1 the estimates of future traffic have scarcely ever hitherto been deceptive4 ,,chapter ,,ii ,,railways ,rapid development of the railway system----,tabulation of its extension in each ,province----,table showing the general results of its exploitation----,list of the lines actually running4 ,list of railway companies1 with the length of their roadways and their returns----,the difficulty of obtaining exact figures----,the tariffs of the railway companies----,form of concessions1 and suppression of guarantees4 ,comparison of the railway system of the ,argentine with the railway systems of other countries----,proportion of mileage to area and population4 ,extension of the system in the near future1 owing to the numerous concessions granted----,the mileage of these concessions---- ,insufficiency of plans and previous examinations----,examination of the most important concessions for which the capital is already guaranteed----,the dimensions which the railway system will attain after the concessions are realised----,programme of narrow-gauge construction2 its value4 ,meeting of the ,argentine with the ,chilian railways crossing the range of the ,andes----,the aerial mining railway in the ,province of ,la ,rioja4 ,railways in relation to agricultural development----,insufficiency of transport at the moment of harvest2 its causes and remedies---- ,necessity of a better organisation which shall respond to the stress of production4 ,the same progressive spirit which the ,argentine has manifested in the improvement of inland or maritime waterways is to be seen in the establishment of its network of railways4 ,here again development has been rapid1 and results plainly effectual in making the wealth of the country available4 ,to cite one example only1 it is thanks to the railways that agriculture and stock-raising have been able to attain to such large dimensions in the ,province of ,buenos ,ayres2 a ,province far less favoured than its northern neighbours in the matter of waterways4 ,all the lines running south have greatly contributed to the transformation of the ,pampa and the increase of the cultivated area over an immense radius where before there was nothing but untilled soil1 which was hardly suited even for stock-raising4 ,the railway has thus played a great part in civilising the ,argentine2 raising new wealth from soil as yet unexploited1 joining up the chief agricultural centres1 and affording them an outlet to the rivers or the sea4 ,the railway has also been auxiliary to the colonising movement1 stimulating the creation of new settlements along its track by concessions of soil4 ,this latter work is not yet terminated1 if we are to judge by the great number of concessions now under consideration1 in which the initiative is due to the ,state or to private individuals4 ,on the other hand1 there is a great tendency to build cheap narrow-gauge railways1 in order to save expense either in building or in working1 so as to obtain a final reduction of the freight tariff4 ,in short1 we find1 in the case of railways as well as in the case of waterways1 that while the continuation of good harvests is counted on1 there is also an effort to keep up1 by multiplying the means of transport1 with the economic expansion of the country4 ,it was in #ahed that the ,government of the ,province of ,buenos ,ayres granted the first railway concession1 for a line #bd1jjj vares#bb in length1 running west from ,buenos ,ayres4 ,in #aheg a first section1 some #f miles long1 was opened for traffic4 ,footnote #bb3 ,the vare is equivalent to #hhf millimetres1 so the length of the line was about #ac miles4 ,at that period1 in the region of the concession1 the vare of land had only a trifling value4 ,after these humble beginnings the railway system of the ,argentine developed with great rapidity2 on the #ast of ,november #aijh1 its total length was #ac1gjj miles1 representing an average development of nearly #bgc miles per annum4 ,all the ,provinces are represented in these figures1 but of course in very unequal proportions2 as the opportunities of construction have not been everywhere the same4 ,their installation has gone hand in hand with agricultural development2 and the ,provinces most adapted to agriculture have also been favoured with the most plentiful means of transit1 as the following table will show4 ,among these ,provinces we must note ,buenos ,ayres1 ,santa ,f and ,crdoba as the three which have made most agricultural progress2 for they alone furnish more than #hj per cent4 of the total exports4 ,among the ,territories ,la ,pampa has the greatest mileage of railways2 a mileage which will very shortly be doubled1 to judge by the number of new lines projected1 which in the near future will cross it in every direction1 thus facilitating the outlet of its abundant produce4 ,it is in the last ten years that the network of ,argentine railways has reached its full expansion1 as is shown by the second table2 which also gives the amounts of capital invested in these undertakings4 ,mileage of ,railways on the #ast of ,november #aijh4 ,column ,headings3 ,a3 ,provinces and ,territories4 ,b3 ,mileage4 ,c3 ,ratio of ,mileage to ,area4 ,d3 ,in kilometres per #ajj sq4 kilometres4 ,e3 ,in miles per #ajj sq4 miles4 ,f3 ,miles per #ajjj inhabitants4 ,c ,a ,b ,d ,e ,f ,province of ,buenos ,ayres #dehcd #bdb #chi #cjf ,province of ,santa ,f #bbeda #bge #ddb #cjc ,province of ,crdoba #ahega #ahf #cjj #cff ,province of ,santiago do l',estero #haji #abg #bjd #dbd ,province of ,entre ,rios #faje #acb #bab #aeh ,territory of ,pampa ,centrale #eefi #fa #ih #iae ,province of ,corrients #deai #hf #ach #adb ,province of ,mendoza #dajj #ed #gb #bbe ,province of ,tucuman #chdc #bfh #dca #ada ,province of ,la ,rioja #caib #eg #ib #cgg ,province of ,san ,luis #cjch #ff #ajf #big ,territory of ,rio ,negro #bcid #bj #cb #aabe ,province of ,salta #bbhj #bc #cg #afc ,province of ,catamarca #bbfc #cj #dh #bae ,province of ,jujuy #baha #ga #aad #cha ,territory of ,chaco #igb #aa #ag #ded ,province of ,san ,juan #heg #af #bf #ha ,federal ,capital #eec #dgij #ggab #je ,territory of ,chubut #dce #jc #je #cif ,territory of ,neuquen #bf #jjd #jjf #aj ---------------- ------------ ------------ -------- ,total and ,averages #ac1gjhb #gg #abd #dig ,general ,statistics of the ,argentine ,railways up to #aijh inclusive4 ,column ,headings3 ,a3 ,,year4 ,b3 ,total ,mileage of ,lines in ,operation4 ,c3 ,travellers ,carried4 ,d3 ,merchandise ,carried 7in tons74 ,e3 ,gross ,receipts4 ,f3 ,total ,expenditure4 ,g3 ,net ,profits4 ,h3 ,capital ,employed4 ,i3 ,interest on ,capital4 ---------------------------------------- ---------------------------------------- --- ,a ,b ,c ,d ,e ,f ,g ,h ,i ---------------------------------------- ----------------------------------- #ahhf #cfbc #f1deh1fgd #b1idh1jjjc1bca1gica1hdb1ibha1chh1hfebi1 fgh1ahbdfh #ahhg #dach #h1aii1jea #c1hdd1jjj #c1ijc1cag #b1aic1hgd #a1gji1ddc #ce1eae1ebedha #ahhh #dgjbaj1ajf1cdb #d1daj1jjj #d1dhe1eaa #b1eja1afj #a1ihd1cea #ci1dbi1gidejc #ahhi #ejgaaa1ajc1ihf #f1edb1jjj #c1iaf1gff #b1gac1cdi #a1bjc1dag #ej1iia1aeibcf #ahij #ehegaj1jfi1fjf #e1dbj1jjj #e1bji1hjh #c1eag1jha #a1fib1gbg #fd1cfh1efcbfc #ahia #hgdfaj1hbj1jjc #d1fbj1jjj #d1aib1cbj #b1hfe1gci #a1cbf1eha #gf1jfh1gijagd #ahib #hejfaa1ghh1cih #f1jcg1jjj #c1ijg1gid #b1cda1ecb #a1eff1bfb #hh1chi1dffagg #ahic #hfjbab1hdc1djd #g1afi1jjj #d1cfd1bdc #b1efb1iba #a1hja1cbb #id1had1dgeaij #ahid #hgabac1ibh1jfa #h1adc1jjj #d1ehj1hih #b1faf1chf #a1ifd1eab #if1ege1hhfbjc #ahie #hgffad1egc1jcg #i1fej1jjj #e1bgh1hfa #b1gfi1bic #b1eji1efh #ig1jga1hffbei #ahif #hihaag1bdh1dheaj1iad1jjj #f1bcj1bgc #c1baf1aff #c1jcd1ajg #ii1efe1bfacje #ahig #iafbaf1daj1ide #h1iha1jjj #e1feh1faf #c1caa1fhj #b1cdf1icfaja1fdc1bfcbca #ahih #ieieaf1dgh1jhe #i1dbi1aaj #f1fdh1cjb #c1hbj1fbd #b1hbg1fghajd1gjc1daibgj #ahiiaj1aidah1jad1ejcaa1hai1jjj #h1bfa1bia #d1dhf1dec #c1ggd1hchaje1cbc1ccbceh #aijjaj1bhfah1bif1dbbab1fei1jjj #h1bhj1bfi #d1gdf1eea #c1ecc1gahajh1cae1abecbf #aijaaj1diiai1fhi1aaeac1ihh1jjj #h1ggc1bag #d1hbe1gbj #c1idg1digajg1ffg1gjjcfg #aijbaj1gijai1hae1dciad1jcj1jjj #h1fed1eag #e1iie1jhi #b1fei1dbhaab1ahi1bdacfb #aijcaa1dbiba1jbe1defag1jbd1fagaj1bgi1gj c #e1bdh1jde #e1jca1fchaad1fag1iagdej #aijdaa1eebbc1abj1jieai1gbg1jjjab1chj1dj i #f1edb1bbb #e1hcd1ahgabc1hbb1cffdgj #aijeab1ehabf1fcf1baabb1daj1jjjad1cah1ih b #g1hgi1bah #f1dci1gfdabe1dbf1abceac #aijfac1jgccd1aih1efebf1gaf1jjjaf1djc1ha i #i1gdi1gci #f1fed1jhjacd1ccg1ggedie #aijgac1ihhda1ghd1bchbg1ibi1jjjag1eid1jf iaj1hdc1jhg #f1gej1ihbaeg1hge1jhidbg #aijhad1iiddg1aej1chdcb1baa1jjjbj1bgi1ef jab1djg1cbj #g1hgb1bdjafi1jjj1jjjdff ---------------------------------------- ---------------------------------------- --- ,the number of railways at present in operation is thirty1 this figure including the railways and cable tramways or mechanical traction lines in the country districts1 both public and private1 as in either case they serve for the transport of produce4 ,of these thirty lines twenty-seven are worked by private companies and three by the ,state4 ,the latter are lines of no great value1 which the ,government has itself constructed1 or which it has had to take over1 either in the general interest or to redeem their heavy guarantees4 ,in the matter of comfort the great ,argentine railways leave nothing to be desired1 and many ,europeans1 out of touch with the rapid changes of this progressive country1 would certainly be much astonished to learn that one may cross the ,pampa or reach the foot-hills of the ,andes in trains equipped with sleeping-cars and restaurant-cars of the latest type4 ,perhaps there is rather less ornament and fewer carpets than in the ,european sleeping-cars1 but the same cleanliness will be found1 the same service1 the same conveniences4 ,the rolling-stock is also the object of incessant improvements4 ,to give only one example1 the ,southern ,railways ,company has placed in service a new type of locomotive1 with two pairs of double-expansion cylinders4 ,these engines have ten wheels1 of which six are coupled and four mounted in the front on bogies2 their maximum power enables them to draw an effective load of #bafj tons up an incline of #a in #ejj4 ,as for the goods wagons1 their capacity is #dj tons in the broad-gauge lines and #be tons on the narrow gauge4 ,according to statistics1 on the #ast ,november #aijh1 the various railways had in service #biib locomotives1 #bjca passenger-cars1 and #cc1hjj goods wagons or trucks4 ,the companies are enabled to import free of tariff1 during the first ten and sometimes the first twenty years of their tariff1 all their fixed and rolling stock2 it is thus to their advantage to obtain from abroad the most effective equipment1 in order to obtain the greatest possible profit from the governmental favour4 ,the table given below contains various data as to the various concessions2 it gives the gauge of the lines1 their mileage1 and the profits of the principal companies4 ,railways and ,steam ,tramways of the ,argentine ,republic on the #ast of ,january #aiji4 ,,railways ,,in ,,operation4 7,length includes branch lines but not auxiliary lines or loop lines47 ,i4 ,,state ,,railways4 ,gauge4 ,mileage4 ,interest on ,capital4 ,andean #afgf metres #bii #edb 7#e ft4 #f in47 ,central ,north 0 #ajff #hj ,northern ,argentine 0 #dgj #df -------- #ahce ,,ii4 ,,private ,,companies 7,,concessionaires74 ,buenos ,ayres1 ,southern #afgf metres #begd #dic 7#e ft4 #f in47 ,buenos ,ayres1 ,western 0 #aaha #eic ,buenos ,ayres and ,rosario 0 #abjb #dgc ,central ,argentine 0 #aada #hca ,buenos ,ayres and ,pacific 0 #ajac #chc ,argentine1 ,great ,western 0 #dhc #ddj ,bahia ,blanca and ,north-,western 0 #edc #bdf ,north-,eastern ,argentine #adce metres #aid #aai 7#d ft4 #h-a_/b in47 ,entre ,rios1 ,central 0 #ecd #bej ,buenos ,ayres1 ,central 0 #ace #ccc ,province of ,santa ,f 0 #ajed #cj ,central ,crdoba 7,northern ,section7 0 #ecc #bfb ,central ,crdoba 7,eastern ,section7 0 #abf #gcg ,crdoba and ,rosario 0 #agd #cja ,north-,western ,argentine 0 #aah #dcb ,crdoba and ,north-,western 0 #ib #ic ,trans-,andean ,argentine 0 #aje 7loss7 #fc ,chubut1 ,central 0 #db #eie ------------ #aa1bde ,railways of the ,second ,class1 ,steam ,tramways1 ,cable ,lines1 etc4 ,i4 ,,for ,,public ,,service4 ,gauge4 ,mileage4 ,interest on ,capital4 ,steam ,tramway1 ,rafaela #a metre #ecdj #gi 7#c ft4 #cd in47 ,malagueno 7connecting with the ,central ,argentine7 ---- ---- ---- ,municipal ,tramway of the ,la #adce metres #adcj #cf ,plata ,abattoirs 7#d ft4 #h-a_/b in47 ,ocampo ,colony #a metre #baaa ---- 7#c ft4 #c-a_/d in47 ,florencia to ,piracus #ajfg metres #abdb ---- 7#c ft4 #f in47 ,railways of the ,entreprise #afgf metres #dig #cch de ,las ,catalinas 7#e ft4 #f in47 ,barranqueras to ,resistencia #ge metres #afgf #cdj 7#b ft4 #ec in47 ------------ ,total1 #abbif ,,ii4 ,,private4 ,gauge4 ,mileage4 ,interest on ,capital4 ,tyrol ,harbour to ,lucinda ,colony #f metres #bbcf ---- 7#bcf in47 ,steam ,tramway from ,piragnacito #ge metres #ecdj ---- to ,guillermina 7#b ft4 #ee in47 ,colony of ,las ,palmas #f metres #bibj ---- 7#bcf in47 ,valdez ,peninsula #gf metres #aihg #eh 7#b ft4 #ei in47 ------------ ,total1 #abdhc ,,summary4 ,mileage4 ,i4 ,state railways #agfe ,,ii4 ,private railways 7concessions7 #aa1bde ,,iii4 ,railways of the second class and steam tramways---- ,a4 ,public #aai ,b4 ,private #aba ------------ ,general total1 mileage of lines in operation #ac1bej ,general total on ,september #ast #ad1iid ,these lines are of very unequal value from the shareholders' point of view2 but it must be recognised that the majority1 after various vicissitudes1 have of late years shown an increase of revenue that proves their vitality4 ,we may cite1 as example1 one of the ,southern lines1 such as that running to ,bahia ,blanca via ,tornquist2 a line built almost at a loss by the ,southern ,railway ,company of ,buenos ,ayres1 but which to-day is yielding over #d per cent41 thanks to the agricultural development which has followed its course4 ,according to figures of reliable origin1 the traffic of this line between the stations of ,general ,la ,madrid and ,bahia ,blanca1 has increased from #fc1ehj tons in #ahhh to #deh1gej tons in #aijh1 or an increase of #fbj per cent1 in twenty years1 and even so these figures do not include the through-goods traffic between these points4 ,generally speaking1 we may say that the revenues of the ,argentine railways more often than otherwise exceed expectation1 even in the case of new lines4 ,on the other hand1 it is difficult to reduce the expenses of working1 on account of the special conditions of the traffic1 which is only heavy at the time of harvest1 instead of being distributed throughout the year4 ,we must warn the reader that the summary just given is of only approximate value4 ,to avoid wounding the susceptibilities of the ,state1 or in order not to justify demands on the part of the ,state for lower tariffs1 certain of the railroad companies publish far lower profits than they really make1 by means of transforming a portion of their profits to the reserve or redemption accounts4 ,with the same object1 they sink considerable sums in land purchase or in permanent-construction work4 ,other companies1 on the contrary1 hoping that the ,state will eventually take over certain of their lines1 seek to augment their returns temporarily1 in order to obtain a better sale price4 ,we may safely say1 however1 the administrative methods of the greater companies being what they are1 that on the whole the average revenues are above rather than below the figures we have given4 ,accounts are conducted on a basis of very cautious evaluation1 in order to lessen the shock of a bad harvest4 ,as for the tariffs of the various companies1 they are still very high1 as always happens when there is no competition4 ,here are some of the prices of freight per ton1 according to the articles and the distance they are carried3#bc ,footnote #bc3 ,the ,argentine 8tonne0 weighs #ce lbs4 less than the ,english ton being #ajjj kilogrammes1 or #bbje lbs4 in weight4 ,up to #ej kilometres #cjj kilometres or #gjj kilometres or or #cj miles4 #ahj miles4 #dba miles4 ,wheat #ds4 #id;d4 to #es4 #fe;d4 #ajs4 #aa;d4 to #ads4 #if;d4 #ads4 #i;d4 to #ags4 #b;d4 ,wool in bale #es4 #h;d4 to #abs4 #i;d4 #bfs4 #c;d4 to #cis4 #aa;d4 #cis4 #b;d4 to #ehs4 #a;d4 ,wool in sacks #ads4 #aa;d4 to #ahs4 #cf;d4 #dgs4 #f;d4 to #ehs4 #i;d4 #gbs4 #c;d4 to #ics4 #c;d4 ,a factor that makes these freights seem even higher is a comparison with the maritime freights1 which fell in #aijh to a very low figure4 ,the transport of a ton of cereals to a port of embarkation #cjjj miles distant would cost a farmer four or five times as much as the freight from that port to ,europe4 ,in a country like the ,argentine1 presenting an immense level surface to the eye1 which can hardly distinguish the slightest landmark or difference of level1 it would seem as though the building of railways should have been particularly inexpensive1 especially as for ten to twenty years all materials could be imported free of duty4 ,as a matter of fact1 however1 the cost of construction has been very high in the case of certain lines2 either on account of the land speculation which has followed their establishment1 or because the estimates were exceeded having been established without any serious control on the part of the ,state4 ,this explains how it is that these companies1 having an enormous capital to redeem1 cannot at the present moment lower their rates4 ,in the ,argentine the railway companies are not established as in ,france1 by right of a concession limited to a certain number of years4#bd ,the concession is granted without conditions1 excepting the reserve that it may be redeemed by the ,state2 and this reserve may be applied at any time whatever1 conformably with the expropriation law4 ,the conditions of redemption are in most cases established on the basis of the revenues of the last five years1 increased by #bj per cent41 so that the clause can scarcely be carried into effect to the profit of the ,state in the case of lines yielding good profits4 ,footnote #bd3 ,a clause fixing the term of the concession----that is1 the date upon which the line1 with all its buildings1 etc41 will pass into the hands of the ,government without any payment on the part of the latter1 was inserted in the case of two railways only1 and for a term of fifty-five years4 ,these two lines are the railway from ,villa ,mercedes to ,la ,toma 7the old ,north-,western ,argentine71 to-day a section of the ,andean ,national1 and that from ,san ,cristobal to ,tucuman1 to-day the ,southern ,section of the ,central ,northern4 ,both are guaranteed by the nation2 but the nation having become the proprietor1 the above clause has of course not taken effect4 ,the ,state and the ,provinces have guaranteed dividends in various ways4 ,these guarantees were granted very liberally when the ,argentine was seeking to create and develop its railway system1 but the ,governments have not shown the same readiness to honour their signatures in times of crisis4 ,we shall see in the financial section of this book that the ,state has had to contract loans in order to redeem its obligations1 and to liberate itself from engagements it had been unable to keep4#be ,footnote #be3 ,the ,french company of the ,santa ,f ,railways1 which had a guarantee from the ,province1 which guarantee was never paid1 obtained in exchange1 by arrangement1 the complete ownership of its lines4 ,at present the ,government no longer gives guarantees----not even to encourage the construction of lines in regions which offer little attraction from the point of view of traffic4 ,it prefers to build them itself1 in order to increase the extent if not the value1 of the systems it already owns2 or has recourse to companies or private individuals for the construction of new lines1 but without guarantees of any sort4 ,having given these details of the railway system1 we have still to consider of what expansion it is still capable4 ,in comparison to other ,american ,states----excepting the ,united ,states1 whose colossal progress in this department permits no comparison with other countries----the ,argentine is in the first rank in the matter of its railway mileage4 ,with its #ac1bej miles in operation on #ast ,january #aiji1 it surpasses both ,mexico 7with #hcij miles7 and ,brazil 7with #aj1jhj71 the two ,american ,states which1 being the wealthiest and having the largest populations1 possess very extensive railway systems4 ,if from the same standpoint we then compare the ,argentine with ,france1 ,italy1 ,spain1 ,belgium1 ,england1 ,germany1 and ,austria-,hungary1 we find that it occupies the fourth rank4 ,but it goes without saying that these figures do not mean anything very precise1 except in conjunction with those denoting the area and the population of the ,argentine4 ,they are indications rather than exact comparisons4 ,if we compare the number of miles of railway in operation to that of the area in square miles of each country1 we shall find that among the nations of ,south ,america the first place is no longer held by the ,argentine1 but by the little ,eastern ,republic of ,uruguay1 for in the former country the ratio is only #a4be1 while in the second it is #a4fg1 ,mexico ties with the ,argentine1 with #a4be4 ,here is an example of the strange conclusions to which statistical inquiry sometimes leads us1 since it follows from the preceding figures that ,uruguay1 with only #abjg miles of railway1 and #ga1iij square miles of territory1 holds apparently1 from this standpoint1 a higher rank than the ,argentine4 ,the comparison of the mileage of the railways of each country to the number of its inhabitants is an exacter method4 ,we find that for every #aj1jjj inhabitants the ,argentine has #bc4ei miles of railway1 while ,brazil has only #f4di1 ,uruguay #aj4if1 ,chili #c4ih1 ,mexico #g4ab1 and ,venezuela #c miles4 ,all this is explained in the following table1 whence interesting deductions may be drawn4 ,the mileage of railway given for the ,argentine should be regarded as provisional1 for1 unlike those ,european nations which have almost attained their uttermost expansion and equipment1 there is still much to be done in the ,argentine before the whole of its territory can be served4 ,certainly the principal lines are already constructed1 but others will assuredly be built1 which1 apart from their immediate utility1 will ultimately pay1 owing to the manner in which they will increase the value of the soil which they will traverse4 ,the constant expansion of its network of railways is for that matter a necessity to the ,argentine1 as for all new countries1 in which there are no roads fit for wheeled traffic4 ,rather than go to the expense of opening up such roads1 which would be an unproductive investment1 the ,government prefers to favour the creation of lines of railroad which may in time become instruments of production4 ,mileage of ,railways in the ,argentine ,republic as compared with other ,countries4 ,column ,headings3 ,a3 ,,country4 ,b3 ,area in ,square ,miles4 ,c3 ,total ,number of ,inhabitants4 ,d3 ,mileage of ,railways in ,operation4 ,e3 ,mileage of ,railways4 ,f3 ,per #ajj ,square ,miles4 ,g3 ,per #aj1jjj ,inhabitants4 ---------------------------------------- -------------------------- ,e ,a ,b ,c ,d ------------ ,f ,g ---------------------------------------- --------------------- ,argentine ,republic#a1jhj1dfj #e1gib1hjgaijh #ac1gdj #abfhbcgc ,brazil #c1bhc1cfjaf1jjj1jjjaijd #aj1cij #cae #fdi ,uruguay #ga1ifj #a1ajc1jdjaijd #a1bjg #afgdajig ,chili #bid1hjj #c1cii1ibhaijc #a1ced #dfd #cih ,peru #fha1cgj #d1eci1eejaijd #a1ahd #bcb #bei ,mexico #gdi1jgjac1fjg1beiaijc #i1fih #abfc #gab ,venezuela #cfb1ghj #b1fai1bahaijc #ebc #adc #aii ,bolivia #dhb1bdj #b1ahj1gajaijc #gja #adh #cbj ,columbia #dcg1ahj #d1eja1jjjaija #daj #jic #ia ,united ,states #c1gbf1ifjia1gid1ajbaijd #bac1ggj #ehhbbcbh ,france #bjf1edjci1ifa1ideaijd #bg1cfeacgce #gab ,italy #ajd1jfjcc1fdj1gajaijc #aj1jaf #ijeh #big ,spain #aid1bejai1jbg1heeaijd #h1fja #dbai #dea ,belgium #aa1ccj #g1bch1fbbaije #b1hecbeaaf #cid ,england #aba1jbjdd1ehg1ajfaijf #bc1jdhaijji #eag ,germany #bjh1ahjfj1fda1bghaije #cd1ajcafcdi #efb ,austria-,hungary #bdb1hbjdi1ica1ijfaije #bd1bhhajjgd #dhg ---------------------------------------- -------------------------- ,it is true1 as we stated in the first edition of this book1 that numerous demands for concessions permitting new lines to be built have been presented to and granted by the ,national ,congress4 ,but it is also true that only a very small number of these projects have been realised1 as many of these undertakings were unable to find the capital necessary to flotation in the foreign markets2 this has been true particularly of the ,english market4 ,at the same time1 there are among these concessions a few projects which seem to be capable of immediate realisation2 these are concessions granted to already existing companies1 for the extension of their systems1 which have the necessary capital at their disposal4 ,among new lines in active construction we must cite that for which the concession was granted to ,,mm4 de ,bruyn and ,otamendi3 a narrow-gauge railway in the ,province of ,buenos ,ayres4 ,this concession has been taken over by a ,french company1 and may require a maximum capital of #h1jjj1jjj4 ,this undertaking1 which is really the extension into the ,province of ,buenos ,ayres of the network of narrow-gauge lines1 exploited by the ,french company of the ,santa ,f ,railroads1 includes several long lines starting from ,rosario1 crossing the most productive and thickly-peopled regions of the ,west1 and terminating at the three great centres of export3 ,buenos ,ayres1 ,bahia ,blanca1 and ,la ,plata4 ,this undertaking1 which has been well thought out by its promoter and present director1 the engineer ,girodias1 is based upon two ideas2 one being to build cross lines connecting the principal railways of the south and the west in agricultural districts where these two lines hold an absolute monopoly2 the other is to extend to ,buenos ,ayres the narrow-gauge system of the north and north-west4 ,this system consists at present of #cddd miles of railways1 having their terminus at ,rosario2 it is therefore most desirable that these lines should be prolonged towards the south1 and especially as far as the capital1 in order to avoid troublesome transhipments4 ,this will be a great advantage1 for example1 to the sugar-growing districts of ,tucuman4 ,at the present moment1 this new narrow-gauge system is already working from ,rosario to ,buenos ,ayres1 the equipment being excellent1 and westward as far as ,nuevo de ,julio4 ,the first results have confirmed the forecasts as to the development of traffic in this region4 ,another concession for a line on the same basis is that obtained by ,mr ,duncan ,munroe1 for the establishment of a narrow-gauge railway between ,rosario and ,buenos ,ayres1 to be a prolongation of the 8,central ,crdoba01 of which he is the ,director4 ,this scheme1 thanks to the support given by the 8,central ,crdoba and the ,crdoba and ,rosario10 has been put into execution1 and is on the eve of being opened to the public4 ,the proposal to unite ,rosario and ,bahia ,blanca----the two chief ,argentine ports----by a line crossing the ,province of ,buenos ,ayres in its most fertile region1 is also on the way to completion4 ,the construction of this line is being actively pushed1 so that it is hoped that the line may be open for service in the course of #aiaj4 ,this important line is being built by ,french capital1 the executive being known as the ,rosario and ,puerto ,belgrano ,railways ,company4 ,the ,national ,congress has also granted to existing companies1 which can offer all requisite guarantees1 the authorisation to construct new branch lines1 which will attain a total length of #ccgj miles1 and will absorb a capital of #be1jjj1jjj4 ,of this total1 #gig miles will be built by the ,western ,railways ,company1 #hgd by the ,southern ,railway ,company1 #cbh by the ,pacific ,company1 #aib by the ,central ,crdoba1 #dbg by the ,rosario and ,puerto ,belgrano ,railway1 #aij by the ,province of ,buenos ,ayres ,railways1 #hg by the ,french ,company of the ,province of ,santa ,f ,railways1 and #dgf by the ,central ,argentine ,railway4 ,apart from the capital of companies already established in the ,argentine1 one may already detect a new stream of foreign capital destined to build new railways4 ,it is announced1 indeed1 that a new railway system1 #bbc miles in length1 will shortly be built in ,entre ,rios by ,german capital1 which has hitherto been shy of this kind of undertaking4 ,the ,province of ,buenos ,ayres also proposes to construct and exploit on its own account a narrow-gauge line running from ,la ,plata in the direction of the fifth meridian4 ,for this undertaking ,french capital will also be solicited4 ,finally1 the ,national ,government1 not wishing to remain inactive in the midst of these civilising activities1 has just obtained the approval of ,congress for a vast scheme of populating the southern territories of the ,republic2 a scheme initiated by an ex-,minister of ,agriculture1 ,dr ,ramos ,mexia1 the basis of which is the construction of over #abjj miles of railway1 along which new centres of colonisation will gradually be formed4 ,this is the great object of the present ,government4 ,it has taken shape in the form of a law1 having as its especial object the development of the national ,territories1 and having regard both to the creation of new railways and the progress of colonisation2 problems closely connected where the opening up of a new country is concerned1 and value is given to its soil4 ,the plan adopted by the ,government is first of all to build the railway1 which is the great instrument of civilisation2 then to profit by the increased value which the land will immediately take on along its course1 by dividing and selling it with a view to colonisation4 ,the most immediate result of this policy is that the soil1 which has hitherto been uncultivated or abandoned1 rapidly attains a double or treble value4 ,the same thing happens when irrigation works are carried out1 as they may be in certain districts1 rendering productive soil that has hitherto been uncultivable for want of water4 ,we may cite the ,rio ,negro among those ,territories in which recent attempts have been made to realise the value of the soil1 and towards which the attention of capitalists as well as colonists has lately been directed4 ,to ensure the carrying-out of these schemes1 the ,state usually has recourse to contractors who accept payment in ,government bonds1 with a margin of profit sufficient to pay them for their enterprise4 ,we may therefore say that the affair is good for every one1 and that it is as much to the advantage of the ,state as to the profit of the capitalists who take up these proposals4 ,finally1 if we wish to estimate the probable development of the ,argentine railways1 basing our figures not on the concessions granted1 which already amount to a length of more than #ijjj miles1 but on the possibilities of obtaining capital1 we may reasonably give #dejj miles as a probable figure of growth4 ,to this figure we must also add that of the lines now under construction1 either on behalf of the ,state or by existing companies1 which on the #ast of ,january #aijh amounted to a total of #dhjj miles1 of which #igc belonged to the ,state railways and #chbg to private companies4 ,we may thus legitimately estimate that in the coming years the ,argentine railway system will be increased by some #fbjj miles1 making a total of nearly #ai1jjj miles4 ,but to keep to solid fact1 we must add that such development depends on continued agricultural prosperity1 the rapid increase of ploughed lands1 and1 above all1 on a brisk immigration2 for these conditions are indispensable to all fresh progress in the ,argentine4 ,in this large increase of railroad construction we may perceive at the same time the application of a new programme4 ,the ,state to-day especially favours the construction of a second network of economical railways1 running between the broad-gauge lines or even crossing them diagonally----completing them1 in fact1 and duplicating them4 ,the aim of this policy is not only to respond to the development of traffic caused by abundant harvests1 but also to lower freights by the establishment of competition4 ,as an element of the future railway system of the ,argentine1 we may also include the lines of communication with ,chili1 across the ,cordillera1 so soon as they are open to through traffic4 ,at the present time the ,trans-,andean railway on the ,argentine side of the range has reached the frontier of ,chili at ,las ,cuevas1 #aj1jjj feet above sea-level2 and on the further side the ,chilian ,government is hastening the work of construction on its own ,territory1 so that it only remains to complete the two miles of tunnel in order to open the whole line to traffic4#bf ,once in operation1 the journey between ,valparaiso or ,santiago and ,buenos ,ayres will occupy less than forty hours1 while at present1 by the sea route1 it takes twelve to fifteen days1 and involves the difficulties of navigating the ,strait of ,magellan4 ,footnote #bf3 ,this line is now open4----,,trans4 ,the line is narrow-gauge1 and some #h-a_/b miles of it is worked on the rack and pinion system4 ,the highest point will be about #adhj feet above sea-level1 in a tunnel #aib miles in length1 of which #aje miles will be in ,argentine and #hg on ,chilian territory4 ,the ,southern ,railway has also a line which at present runs as far as ,neuquen4 ,the ,directors of the company have ordered the continuation of this line into ,chili1 going by way of ,antuco1 thus establishing a direct route between the south of ,chili and the agricultural districts of the ,argentine4 ,despite the formidable barrier raised by the range of the ,andes1 the ,argentine and ,chili1 two nations having the same origin1 with a common frontier of #cjjj miles1 are destined1 by means of their railways1 to an increasing closeness of relation4 ,chili is a country poor in cereals1 and in especial does not raise sufficient cattle for the needs of her population4 ,on the other hand1 she produces wines which are highly appreciated in the ,argentine4 ,there may thus spring up between the two countries an exchange of products1 which the railways will certainly increase1 and which will give the ,argentine railroad system the benefit of international traffic4 ,to complete this sketch of the ,argentine railways1 and of the progress they have realised1 we must not fail to speak of the construction of an industrial traffic-way which has established a remarkable record----not only in ,south ,america1 but over the whole world4 ,we refer to the suspended railway1 constructed in the ,province of ,la ,rioja under the last ,presidency of ,general ,roca1 in order to carry down to the plains the produce of the famous ,famatina and ,mexicana mines4 ,this suspended way1 which is over #ba miles in length1 and which cost #gf1jjj1 is1 in the words of ,m4 ,civit1 the ,minister of ,public ,works1 who inaugurated it1 the longest traffic-way of this kind in the two worlds4#bg ,footnote #bg3 ,as for the probable profits of this line1 the ,minister makes the following statement3 8,in counting on a minimum traffic of #ej tons a day during nine months in the year----an amount based upon the present yield of the mines----and deducting #ej per cent4 of the gross receipts for working expenses----which is a maximum----we find that to obtain #f per cent1 interest on the capital employed1 it would be sufficient to receive #ccf paper piastres1 or #gf francs 7#f shillings #if pence7 per ton of ore1 whereas the mining companies with the present resources pay #bj piastres40 8,it glides amid the snows and the tempests1 crossing abysses thousands of feet in depth1 and ending at a height of #ae1jjj feet4 ,the highest of its towers is as high as the summit of ,mont ,blanc1 and the mines1 into whose bowels it enters1 will take their place1 like those of ,rio ,tinto and ,bilbao1 in the commerce of the world1 as the agricultural products of the ,argentine have already done2 thus drawing all eyes to this privileged country1 which is set apart for the most brilliant destiny40 ,if we now consider the part played by the railways in the general development of the ,argentine1 we are forced to recognise that in a country so essentially agricultural1 the railroad is an indispensable auxiliary of production4#bh ,the ,argentine ,republic is a large country1 containing #a1aee1jjj square miles of territory1 and is barely peopled by its #f1jjj1jjj inhabitants2 it will therefore be understood that instead of following the population1 as in ,europe1 in the ,argentine the railway precedes the population4 ,in the ,argentine the railway is like a magic talisman1 for wherever it goes it entirely transforms the economic and productive conditions of the country4 ,footnote #bh3 ,among matters still under consideration in the ,argentine1 we may mention the concession for the port and railway of ,samborombon1 which would connect with a system of narrow-gauge railways leaving ,samborombon1 which would be a great ,atlantic port1 and running to the end of the ,territory of ,pampa ,central1 thus facilitating the export of its products4 ,we have seen that in the matter of transport agriculture will shortly enjoy improved conditions2 there will be greater facilities for bringing its products to the ports of embarkation1 and placing them in the centres of consumption4 ,but what are these conditions at present8 ,what is the precise relation between the railways and agriculture8 ,are they sufficient for the rapid transport of the harvests8 ,this inquiry1 which is of immediate interest1 has been made by ,m4 ,emile ,lahitte1 ,director of the ,division of ,statistics in the ,ministry of ,agriculture1 with his usual competence and practical good sense4 ,we will take certain useful data from this source1 without prejudice to other data which we have collected1 while profiting by the experience of other personalities equally well informed4 ,one of the most characteristic peculiarities of agricultural production in the ,argentine is the fact that1 conversely to the production of the ,united ,states1 about #hj per cent4 of the harvest1 and perhaps even more1 goes to fill foreign markets1 leaving only #bj per cent4 for home consumption2 and not only is it necessary to export this surplus1 but it has to be exported with as little delay as possible4 ,in the ,united ,states the annual cereal harvest amounts to about #djjj millions of bushels1 of which scarcely #aj per cent1 or #ab per cent4 are destined for export4 ,the rest remains in the granaries1 and is manipulated1 during the rest of the year1 in response to the needs of a population of #hj million inhabitants4 ,but in the ,argentine1 supposing the harvest of wheat1 flax1 and maize to amount to #djj million bushels1 one might count upon the exportation of #cbj millions1 the #hj millions remaining for home consumption4 ,from the commercial point of view1 agricultural production thus depends chiefly on the importing markets4 ,this is so far the case that if we look into the monthly figures of exportation1 remembering that threshing begins at the end of ,december and continues sometimes into ,march or ,april1 we shall find that by ,june three-quarters of the year's export has already been shipped4 ,the exportation of wheat in #aijg amounted to #ajj million bushels1 and by the end of ,june #gi million bushels1 or #gi per cent41 had already been shipped4 ,the quantity of maize exported during the same year was #dh million bushels1 and in ,october1 that is1 five months after the harvest1 #dj millions had already been shipped2 that is1 #hd per cent4 ,the statistics of the carriage of cereals by railroad also clearly prove the pressure and congestion existing in the months following the harvest4 ,from this peculiarity it follows that there is always a struggle latent between the exporters of agricultural produce and the transport companies4 ,in some cases1 as in #aije1 this struggle took the form of judicial protest2 the chief export houses sued the 8,great ,southern of ,buenos ,ayres0 for damages in respect of unjustifiable delay in the transport of cereals4 ,it must be admitted1 however1 that the railway companies are not always the cause of such delays in export2 there are other factors also which we must take into account and consider in relation to the national production4 ,one of the elements which influence the regularity of transport is the amount of cargo-room available at the ports4 ,when there are many steamers and sailing-ships in port the shipping rates fall2 the exporters hurry to make contracts with the shipping lines1 and in order to be in time to avoid surcharges1 they demand a large number of goods wagons of the railways1 which the latter naturally cannot always produce4 ,the law states that the railway companies must maintain a goods service equal to the normal demands of the traffic2 and the demands created by the accidental causes we have mentioned are not normal4 ,on the other hand1 if the shipping contracts are high1 or the prices in the consumers' market low1 the buyers will be unwilling to despatch their cereals to the ports of embarkation1 and the railway companies can do nothing to clear their stations of large quantities of accumulated grain1 which they cannot forward1 since the buyers will not give the order for their despatch4 ,during a recent harvest both these phenomena were observed2 on the ,southern ,railway the harvest was abundant in quantity and good in quality1 but only a small number of steamers were lying in the terminal port 7,engineer ,white ,harbour72 every exporter in the district wanted to ship at once1 but the railway could carry only what it was capable of carrying in a normal period4 ,it was another affair in the districts served by the ,central ,argentine and the ,buenos ,ayres and ,rosario ,railways4 ,here the wheat was scanty and of poor quality1 and the buyers had sent very little to their port of embarkation----,rosario4 ,they preferred to send their purchases to the grain-elevators of ,buenos ,ayres1 where1 by means of blending the central with the southern wheat1 a special grade of flour was produced1 superior to that produced in the districts served by the above two companies4 ,the best solution of this question of the responsibility of the railway companies toward the despatchers would be a rule that the railways should be obliged to despatch in the course of a day only the amount of produce sent to the stations during the same lapse of time4 ,but the exporters are generally ,argentines1 while the railways are usually in foreign hands2 so that this solution1 though equitable1 would not be regarded with much favour1 and it is probable that the railway companies will be called upon to remedy this situation1 so unfavourable to ,argentine commerce1 at their own cost4 ,let us now see how far the railways have responded to the increase of agricultural productions4 ,according to the official statistics1 in #ahie the ,argentine ,republic contained #hgfj miles of railways1 and the merchandise transported by the various railway companies during that year amounted to #i1haa1ajj tons4 ,in #aijg the railway systems had increased to a total length of #ad1jjj miles1 while the produce carried during the preceding year amounted to #bh1cid1ejj tons4 ,these figures represent an increase of rather more than #ei per cent1 in railway mileage1 while the transports had nearly trebled in twenty years4 ,according to the same authorities1 between #ahig and the end of #aijg the rolling stock and the capacity of the goods cars increased in the following proportions3---- ,year4 ,number of ,cars4 ,capacity in ,tons4 #ahii #cb1hig #cfi1gfd #aijj #cd1aah #cih1gcf #aija #ce1ejc #dcb1cdb #aijb #cf1bhh #dff1ffg #aijc #cf1ccd #dhj1dih #aijd #ch1gbd #egj1fjj #aije #db1fbc #fhh1cjh #aijf #dh1hdj #hgh1hhf #aijg #eb1dje #a1jbi1abb ,from these figures we obtain the increase in the number of cars of produce and their contents in tons2 but it is more to the point to know how their rolling-stock is utilised4 ,according to ,m4 ,lahitte1 the normal distance travelled by a goods car is #fbaj miles in a year2 but to judge by the statistics its actual record is always in excess of this figure1 since in #aijb the distance travelled exceeded #hiaj miles per car4 ,it is evident1 therefore1 that the rolling-stock has been run to its utmost capacity2 but it is also evident that in practice the cars have not been loaded to their utmost capacity1 as the normal load is #dcg tons per car1 while the average load actually carried has been hardly #agj tons4 ,it follows accordingly that1 in spite of the distance travelled per car1 the companies have only profited to the extent of #ci per cent1 of the capacity of their rolling-stock2 but we must not forget that there is always a difference between theoretical capacity and effective capacity1 which varies according to the nature of the load4 ,this fact is further explained when we add1 as we must1 that out of a hundred cars sixty-nine make the journey loaded while thirty-one go or return as 8empties40 ,we see from these data that although the ,argentine railways possess more than enough rolling-stock for the rapid transport of all agricultural products to their ports of embarkation or destination1 yet in practice1 on account of the abnormal character of the traffic1 the railways only very imperfectly perform the services which they ought to perform1 while the fault can hardly be imputed to them4 ,but this trouble will disappear as soon as the large buyers of cereals1 in place of expecting everything from the railway companies in the matter of rapid transport1 while they themselves wait to despatch their crops until the international prices are favourable1 finally decide to build the granaries and warehouses which they now demand of the railway companies4 ,to simplify the task of these companies1 elevators should be erected at the stations which serve the important agricultural zones1 so that the cereals could be graded before loading them on special cars1 which would then transport them to the elevators of the principal ports1 whence they would glide into the holds of vessels specially prepared for the trade4 ,but all this would require materials and plant which the country does not so far possess2 yet with the rapid agricultural progress of the ,argentine1 the plan should be easy of accomplishment4 ,as will be seen by the data we have given1 the method of despatch is quite unlike that practised abroad4 ,while in ,europe the railway depots only receive goods for immediate transit1 the ,argentine grain-merchant expects the dept to serve him for a warehouse until the moment he receives a telegram and requires the railway to transport to the port of embarkation1 without delay1 the large quantities of grain accumulated at the stations4 ,,chapter ,,iii ,,immigration ,,and ,,colonisation ,immigration is a vital problem for the ,argentine----,table of the population per ,province and per ,territory4 ,its sparsity----,the ,exceptional situation of the ,argentine as the objective of ,european emigration----,the poor results hitherto obtained through default of colonisation----,the faulty division of the public lands----,history of immigration in relation to colonisation----,the nationality of immigrants4 ,the economic and financial organisation of the ,argentine being now assured1 and peace without and within being established1 while at the same time the revolutionary spirit of the bad old days has gradually disappeared1 the great problems which the country has to face to-day are principally those dealing with the development of agricultural and industrial production and its outlets4 ,but among these problems none is more vital to the future of the ,argentine than the problem of filling the vast gaps of empty territory with new elements of population4 ,here1 according to the last official data1 are the figures relating to the distribution of the population in the ,provinces and ,national ,territories3---- ,area in sq4 miles ,population in #aijh ,province of ,buenos ,ayres and ,capital #aag1efc #b1dbg1fbh 0 0 ,santa ,f #ej1ghd #ggb1daj 0 0 ,crdoba #fb1jjj #dgg1fhj 0 0 ,entre ,rios #bh1gji #cii1ccc 0 0 ,corrients #cb1did #cag1bdg 0 0 ,tucuman #h1ijc #bhj1caa 0 0 ,santiago de l',estero #ci1ffj #aib1fci 0 0 ,mendoza #ef1cej #agd1fai 0 0 ,salta #fb1jdj #ada1faj 0 0 ,catamarca #dh1djh #ajc1fhj 0 0 ,san ,juan #cc1fcj #aje1fhd 0 0 ,san ,luis #bh1dfj #ajc1cfg 0 0 ,la ,rioja #cd1dej #hf1ceb 0 0 ,jujuy #ah1icj #ef1ide -------------- ------------------ ,carry forward1 #fbb1cha #e1cbh1ijg ,area in sq4 miles ,population in #aijh ,brought forward1 #fbb1cha #e1cbh1ijg ,territory of the ,pampa #ef1agj #ea1fgc 0 0 ,misions #h1eij #ch1gdh 0 0 ,neuquen #db1bce #ah1jbj 0 0 ,rio ,negro #ge1gbf #ae1ifa 0 0 ,chaco #eb1fjd #ac1hch 0 0 ,formosa #da1bid #f1cji 0 0 ,chubut #ib1fhj #e1bdd 0 0 ,santa ,cruz #ajg1hfj #a1gdb 0 0 ,les ,andes #bd1ihf #a1bde 0 0 ,tierra del ,fuego #h1bgg #a1bbb ------------------ ------------------ #a1acg1hjc #e1gib1hjg ,the above figures prove more eloquently than any other argument that the supreme necessity of the ,argentine people at the present time is an increase of population4 ,the territory of the ,republic has an area of more than #a1acj1jjj square miles1 and its population amounts to no more than #e1gib1hjg1 which gives a density of #ea persons per square mile4 ,one should also recollect1 in order to grasp the true significance of these figures1 that of those #e1gib1hjg inhabitants1 #aeg1ifc inhabit the #dc1jjj acres which form the site of ,buenos ,ayres2 so that only #d1fcd1hda remain to people the rest of the country1 a fact which still further lessens the density of the population4 ,this density varies in different regions and in different ,provinces2 thus the eastern or coastal region1 formed by the ,federal ,capital and the ,provinces of ,buenos ,ayres1 ,santa ,f1 ,entre ,rios1 and ,corrients1 has #agjh inhabitants to the square mile1 while that of the centre1 which comprises ,crdoba1 ,san ,luis1 and ,santiago de l',estero1 has only #eh4 ,as we penetrate further inland the density grows still less1 until in the western or ,andean region1 formed by the ,provinces of ,mendoza1 ,san ,juan1 ,la ,rioja1 and ,catamarca1 the figure is barely #bg4 ,in the northern region1 embracing the ,provinces of ,tucuman1 ,salta1 and ,jujuy1 there are #ebc inhabitants per square mile4 ,but it is in the ,national ,territories----in one of which more than one important ,european people could find room to spare----that we find the lowest density4 ,there the desert reigns in all its desolation4 ,the ,territory of ,el ,pampa1 whence so much wealth has been drawn of late years1 and whose area is #ef1bjj square miles1 contains barely #eb1jjj inhabitants2 that of ,rio ,negro1 whose area is #de1fjj square miles1 contains but #af1jjj1 while in the ,territory of ,santa ,cruz1 situated on the shores of the ,atlantic1 in which there are important ranches1 and which might contain a numerous pastoral and maritime population1 there are only #agdb souls to its #eh1hij square miles4 ,all these figures prove that the ,argentine is1 without metaphor1 a desert nation1 and that for the present and for a long time to come1 its peopling will constitute its great national need4 ,to this affirmation we must add another no less certain3 that in the normal order of human events1 and in accordance with the economic and sociological laws that govern ,european nations1 there is no country in the world which assures the labourer who establishes himself upon its soil of such perspectives of wealth and welfare4 ,all things compete to make it a paradise of immigration3 the softness and variety of its climate1 the richness of its soil1 the extent of its territory1 the enormous inland waterways which cross it1 and the facilities of communication with the ,european consumers of its produce1 with whom the ,argentine is connected by one of the most reliable ocean traffic-ways in the world4#bi ,footnote #bi3 ,the distance of nearly #gbjj miles from ,buenos ,ayres to the ,french ports is crossed by the great transatlantic liners in from eighteen to twenty-one days4 ,the ,argentine ,parliament has voted a law authorising the ,government to give a subsidy of #djj monthly to any company adopting the refrigerator system and undertaking to make the voyage to ,lisbon or ,vigo in fifteen days4 ,the ,united ,states1 which have hitherto been the objective and centre of attraction to which men of initiative have converged from all parts of the world1 are beginning to experience all the troubles familiar to ,european nations as the result of an excessive population4#cj ,it is for this reason that they are striving1 by all the means in their power1 to restrain the stream of immigration that pours upon their shores4 ,footnote #cj3 ,the population of the ,united ,states is hardly yet excessive2 the country is very much more than self-supporting1 and many ,states and ,territories are sparsely settled4 ,the real source of trouble is that many of the national resources are locked up in the hands of ,trusts or private owners2 and the effect of railway combinations and of produce trusts all over the country is resulting in a state of affairs similar to that produced by a lack of communications and also an effect similar to that of over-population4 ,it is obvious that both causes make for emigration1 as the ,english immigrant in ,canada1 who finds all the best locations occupied by ,americans1 has cause to know4----,,trans4 ,australia1 which was also only recently one of the great centres of immigration1 has during these last few years suffered terrible economic shocks1 of which the effect has been to divert the stream of new arrivals4#ca ,moreover1 as a rival of the ,argentine1 ,australia has two causes of inferiority3 her rigorous climate1 which exposes the country to violent extremes of temperature1 passing from intolerable heat to a bitter cold1 and1 on the other hand1 a distance from the ,european countries to which she exports her products double that between the banks of the ,plata and ,europe4 ,footnote #ca3 ,here again the trouble is partly due to the back-blocks being taken up by large settlers1 and still insufficient means of transit4----,,trans4 ,having thus made it clear that the ,argentine ,republic is in an exceptional position to attract and to support a large ,european population1 the time has come to measure the distance travelled1 and to note the progress realised1 so that we may see whether the results obtained are in proportion to the perfect adaptation of the soil to immigration4 ,without being too pessimistic1 we are forced to recognise that all efforts hitherto made by the ,argentine to increase its population have hitherto remained without appreciable effect4#cb ,footnote #cb3 ,it is one of the disadvantages of immigration from a very poor country where there is no political oppression1 that immigrants will return to it1 after saving money in a country where money is cheap and the standard of living higher1 as the work of a few years will establish them comfortably in their native country4 ,this is especially true of ,italian emigrants4 ,the evil will doubtless be overcome by a measure comparable to the 8,homestead ,act0 of the ,united ,states1 in conjunction with national loans of capital or of farms as going concerns1 to be bought by payment at a low interest1 which would result in a population of peasant owners in comfortable circumstances4----,,trans4 ,colonisation1 that is1 the peopling of the country1 was inaugurated in the ,argentine by the initiator of all true progress----,rivadavia----who founded the first colony of ,santa ,catalina4 ,this work was intelligently and enthusiastically continued by ,mitre and ,rawson1 in #ahfc3 it was then vigorously pushed by ,sarmiento during his extremely progressive administration2 but as a matter of fact1 in spite of all these efforts1 colonisation has not given the results that were expected of it4 ,to explain this lack of success1 we must suppose that the work has not been promoted according to the indications of science and experience1 and that a variety of events1 uncontrollable by the human will1 has thwarted the praiseworthy intentions of the ,government4 ,otherwise it is impossible to account for the fact that the ,republic contains less than #f million inhabitants1 whereas its soil would support #ajj millions4 ,to attain the primordial object of peopling the country1 the ,argentine has had at its disposal1 among others1 one very important means----the public lands----a means which other nations in similar circumstances have employed with excellent results1 but which in this case has unhappily not produced the same happy effect1 being manipulated by inexperienced or thoughtless hands4 ,various laws have been voted in the ,argentine1 tending to augment the population by means of colonisation4 ,all systems have been tried successively1 and one and all have failed4 8,this failure10 says ,m4 ,eleodore ,lobos1 in an extremely instructive volume published under the modest title1 8,notes on the ,land ,laws0 7,annotations sur la lgislation des terres71 8is an incontestable fact1 and must be attributed not only to economic1 administrative1 and political conditions1 but also to the freedom with which the soil has been divided into lots of enormous area1 and the obstacles opposed to the easy and secure acquisition of small properties4 ,in other terms1 our politicians have effected the very reverse of a rational colonisation1 and have established a system of large properties instead of subdividing the land between the colonists according to their productive capacities40 ,this error was recognised by the ,government more than fifteen years ago2 but the influence of speculators1 who profit from this short-sighted policy1 has been more powerful than all attempts at reform4 8,to understand the matter10 says the same author1 8we have only to see with what indifference to the public weal the executive1 during the last twenty-five years1 has disposed of #fg1hag1jjj acres of uncultivated soil1 which formed part of the national domain4 ,the laws voted were impotent to prevent the disposal of these public lands in large parcels1 so that the disposal of these lands failed to draw the population which these vast domains could support40 ,the real beginning of ,argentine immigration was when the tyranny of ,rozas was overthrown on the #crd of ,february1 #aheb1 and a regular ,government established1 which voted a fundamental law of which the object was 8to cherish the general welfare1 and to secure the advantages of liberty to every citizen1 to posterity1 and to all people of the earth who desire to live on ,argentine soil40 ,from this moment a powerful current of ,european immigration set in2 turned aside from time to time by financial crises1 plagues1#cc and war2 but never completely arrested4 ,industry1 commerce1 and agriculture1 which had so far slumbered1 received a considerable stimulus from this new source4 ,in a single year more immigrants entered by the port of ,buenos ,ayres than had for many years entered the whole country4 ,footnote #cc3 ,the term used1 flaux1 would probably include yellow fever1 drought1 locusts1 cattle disease1 bad harvests1 etc41 etc4----,,trans4 ,the public administration did not take the trouble to keep an exact record of the number of immigrants before the year #ahec2 and between #ahed and #ahgj we have simply the number of new arrivals1 without any further details4 ,only since #ahgj have the official statistics classed the immigrants according to nationality1 and only since #ahha have they recorded other details1 such as sex1 age1 profession1 education1 etc4 ,during the last six months of #ahed1 #bebd persons entered the country2 in #ahee1 #eiab2 in #ahef1 #dfgb2 in #aheg1 #diea1 in #aheh1 #dfeh2 and in #ahei1 #dgce2 or #bg1deb in six years3 that is1 far more than had entered during two centuries of colonial life4 ,in the decade formed by the years #ahfj-ahfi1 the number of immigrants increased to #acd1cbe2 in the years #ahgj-ahgi1 to #bfd1hfi2 but the highest figures1 no less than #a1jbj1ijg1 were reached between #ahhj and #ahhi4 ,but we must confess that during this decade certain artificial means were employed to recruit the population in ,europe2 such means as gratuitous passages1 which brought to the ,argentine a number of useless people1 unfitted for any productive task whatever4 ,during the following decade1 #ahij-ahii1 which saw the terrible banking smash and the loss of public credit1 as a result of every kind of excess1 the immigration diminished slightly----to #ibh1jjj persons----and at certain moments emigration also made itself felt1 in such proportions that it amounted to a veritable exodus4 ,the departure of those who failed to make money in the ,argentine or find the work they sought amounted to #eeb1agb1 the largest figures that have so far been recorded4 ,unhappily this double stream of immigration and emigration has continued up to the present4 ,thus1 in #aijj-aijd1 #fja1fhb immigrants entered the country2 but1 on the other hand1 #chd1jjj emigrants left it4 ,such figures as these denote a grave disorder in the assimilative faculty of a nation4 ,matters were no better in the three years #aije-aijg1 since although #gha1gif immigrants entered from ,europe and from ,montevideo1 #cbd1fhg emigrants left during the same period1 leaving a total of only #deg1ajh in three years4 ,in the previous period1 from #aijj-aijd1 the diminution of the current of immigration was explained by various causes3 in the first place1 by bad harvests1 the suspension of important public and private undertakings1 the fear of war over the frontier question1 the dearness of living1 the difficulties experienced by the immigrant in settling in the national or private colonies3 the excessive price of land and the high rents in the more promising agricultural districts1 the insecurity of life for man and beast1 the abuses of the authorities1 especially in districts remote from the centres of population1 and the tardy1 costly1 and faulty nature of justice4 ,but since this period many of these causes have disappeared1 thanks to the splendid harvests of the last few years1 and to the period of rapid economic expansion upon which the ,republic has entered4 ,it is difficult1 under these conditions1 to explain the still existing lack of immigration1 which denotes a disorder of the assimilative faculties of the country4 ,among the causes likely to prevent immigration there is one which must not be too closely insisted upon3 the increasing cost of living4 ,but it is the ,european mode of life that is dear1 while in the country districts existence costs next to nothing1 as the colonist himself produces practically every alimentary necessity4 ,we must also note that every year numbers of harvesters arrive from ,europe1 earn good wages1 save money1 and return to their native countries directly after the harvest4 ,in #aije1 #aijf and #aijg the migratory movement was represented1 as we have seen1 by #gha1gie immigrants and #cbd1fhg emigrants4 ,if we allow that each of these latter took away with him a sum of #cj1 as the ,department of ,immigration has calculated1 it follows that from this cause alone nearly #aj1jjj1jjj left the country during this period of three years4 ,here are some figures taken from an official publication dealing with the migratory movement1 which relate both to immigration and emigration1 and show which ,european countries have chiefly contributed to the current of immigration4 ,italy and ,spain1 as will be seen1 furnish the greatest number of immigrants4 ,immigration and ,emigration4 ,year4 ,immigrants4 ,emigrants4 ,excess in favour of ,immigration4 #aijd #abe1efg #ch1ibc #hf1fdd #aije #agg1aag #db1hfi #acd1bdh #aijf #beb1ecf #fj1abd #aib1dab #aijg #bji1ajc #ij1aij #aah1iac #aijh #bee1gaj #he1dab #agj1bih ,immigration from #aheg to #aijh4 ,italians #a1gii1dbc ,spaniards #gie1bdc ,french #ahh1caf ,english #db1gfe ,austro-,hungarians #ei1hjj ,germans #dj1fee ,swiss #bh1cdd ,belgians #bj1ffh ,other ,nationalities #bjc1bdb ------------------ ,total #c1agh1def ,as we have already observed1 one of the causes which impede emigration is to be found in the faulty distribution of the soil1 the obstacles which the agricultural immigrant has to surmount before he can become the proprietor of even a scrap of ground2 and in the lack of serious attempts at colonisation1 which would provide the cultivator with the means of working his holding and finally of becoming its proprietor4 8,how many immigrants10 says ,seor ,girola1 8coming to this country with the idea of buying a little piece of land1 have been forced to abandon their dream1 on account of the difficulties put in the way of their obtaining the desired holding60#cd ,footnote #cd3 ,investigacion agricola1 #aijd1 ,carlos ,d4 ,girola4 ,far from encouraging the promotion of a class of small land-owners1 the ,state has assisted in the establishment of enormous holdings1 which are the chief obstacle to the peopling of the country4 ,in place of dividing into small allotments1 accessible to modest fortunes1 the great stretches of land near the railways or the ports1 and offering them for sale at low prices in the ,european communities from which a number of immigrants come each year1 as is done by the ,united ,states1 ,australia1 and ,canada1 the ,argentine administration has subjected all the operations of purchase to long and wearisome formalities which quickly exhaust both the savings and the patience of the purchaser4 ,argentina1 then1 if she wishes to solve this vital problem of colonisation1 which is for her the problem of immigration1 must give careful thought to the adoption of some well-devised scheme1 with the object of subdividing the present great parcels of land1 and of attaching the agriculturalist to the land he tills1 by allowing him to become its owner4 ,without this necessary reform1 the country will continue to experience the phenomenon of temporary immigration2 the immigration of men who return to their own countries as soon as they have been able to save a little money3 a process exceedingly prejudicial to the best interests of the country4 ,,part ,,ii ,,the ,,argentine ,,as ,,an ,,agricultural ,,country ,,chapter ,i ,,agriculture ,,natural ,,conditions----,,the ,,constitution ,,of ,,property----,the three principal agricultural districts----,the northern1 central1 and southern districts----,the division of crops and their varieties4 ,the constitution of rural property----,the division of property----,the great estates1 called 8estancias10 and their dimensions4 ,the drawbacks of large properties----,the necessity of a better subdivision of the public lands----,the division into lots of large tracts of land1 in order to encourage colonisation----,the system of exploiting property4 ,,agricultural ,,production----,progress realised in the last seventeen years----,comparative yield of the chief products1 wheat1 flax1 and maize----,lucerne2 the importance of the crop and the excellent results obtained4 ,increase of the area under seed----,the total area cultivated in the agricultural years #aijh-aiji----,the great agricultural belts4 ,the ,province of ,buenos ,ayres1 its agricultural development and its crops----,the ,province of ,santa ,f----,the ,province of ,crdoba----,the ,territory of the ,pampa ,central4 ,agricultural machinery1 its importation from abroad1 and especially from the ,united ,states4 ,,the ,,agricultural ,,yield----,the yield of the soil in the different ,provinces----,exceptional results in certain districts----,detailed calculation of the yield of a wheat farm----,two instances of great wealth realised by immigrants into the ,argentine4 ,natural ,conditions----,the ,constitution of ,property ,the ,argentine ,republic1 which we are now about to consider from the geological and hydrographical point of view1 offers1 by the mere fact of its physical constitution1 an immense future for agriculture on the largest possible scale1 and at the same time for stock-raising and the rural industries4 ,we find that the country contains three principal agricultural regions3 7#a7 the region to the north of the provinces of ,santa ,f and ,entre ,rios2 7#b7 the central region which runs southward from the limits of the northern1 as far as the south of the ,province of ,buenos ,ayres and the ,territory of ,la ,pampa1 including a portion of the ,territories of ,rio ,negro and ,neuquen2 7#c7 the southern region1 which runs southward from the limits of the central region1 down to ,tierra del ,fuego4 ,the first region is characterised by a hot climate1 with regular rains in the eastern parts2 in the west the rainfall is less frequent4 ,the central region enjoys a temperate climate2 there1 as in the northern region1 the rains are regularly distributed in the eastern parts1 but are very rare in the west1 which is subject to long periods of drought4 ,in the southern region the rains are less frequent and the climate is more severe1 with the exception of the west and the extreme south1 which are also in a rainy belt4 ,after long experience a kind of natural selection has come into operation with regard to agriculture2 the various crops are to-day distributed nearly as follows3 ,cereals1 such as wheat1 barley1 oats1 maize1 and millet1#ce are cultivated more especially in the region formed by the ,provinces of ,buenos ,ayres1 ,santa ,f1 ,entre ,rios1 ,crdoba1 and the ,territory of the ,pampa1 which latter is par excellence the cereal-growing district4 ,maize1 however1 is grown over a still wider region2 it is cultivated with success in the whole of the central and northern regions of the ,republic4 ,rice can also be grown in these regions2 its culture is being developed in the ,provinces of ,tucuman1 ,san ,juan1 ,mendoza1 ,salta1 ,la ,rioja1 and ,jujuy1 and also in ,corrients1 ,formosa1 ,chaco and ,misions4 ,the ,provinces of ,santa ,f1 ,entre ,rios1 and ,buenos ,ayres are also capable of producing rice4#cf ,footnote #ce3 ,millet is an article of diet among the ,latins of ,southern ,europe4 ,the ordinary 8minestra0 or soup of the ,italian wayside albergo consists1 to ,english eyes1 of a pint of hot water poured over a cup of bird-seed4 ,pounded1 it makes a kind of cake or bread2 when boiled it swells slightly and is partly digested4----,,trans4 ,footnote #cf3 ,investigacin agricola1 by ,carlos ,d4 ,girola1 #aijd4 ,oleaginous plants1 such as the castor-oil plant1 sesame1 and the poppy1 find favourable conditions of growth in the north1 while linseed1#cg colza1 and rape prosper in the cereal districts4 ,footnote #cg3 ,it should perhaps be stated that the flax or linen plant 7,fr4 lin7 so often mentioned in this book1 produces not only the flax or linen fibre of commerce1 but also linseed1 with its valuable products1 oil-cake and linseed-oil2 the first used for fattening cattle1 the second for paints1 varnishes1 oilskins1 and 8inlaid linoleums10 as well as the basis or 8skrim0 of ordinary oilcloth4----,,trans4 ,the sugar-cane is cultivated in the northern region1 but especially in ,tucuman1 in part of ,santiago de l',estero1 ,salta1 ,jujuy1 and ,corrients1 and in the north of ,santa ,f1 ,formosa1 ,chaco and ,misions4 ,the vine is cultivated chiefly in ,mendoza and ,san ,juan1 where the conditions of soil and climate are favourable1 and where it is methodically irrigated by the canals which water the whole of the vine-growing districts2 but the wine and the dessert grape can be grown in the whole of the central region4 ,it also prospers in ,la ,rioja1 ,catamarca1 ,salta1 and ,entre ,rios4 ,stock-raising is followed especially in the ,provinces of ,buenos ,ayres1 ,santa ,f1 and ,entre ,rios1 and in the south of the ,province of ,crdoba2 and in a great part of the ,pampa ,central4 ,the principal characteristics of ,argentine agriculture having been considered1 we must now inquire how rural property is constituted2 that is1 among how many proprietors or tenants the #ce1jjj1jjj acres under cultivation at the end of #aijh are shared4 ,in the ,united ,states1 for example1 we know by the census of #aijj that the #hdj1jjj1jjj acres given over to agriculture are divided into #e1gci1feg distinct holdings1 giving an average of about #adb acres per holding4 ,in ,france1 according to the statistics for #ahib1 #aa1bej1jjj acres were divided into #e1gjb1jjj holdings1 the average extent being about #ba acres4 ,is it possible to obtain similar figures for the ,argentine8 ,the national census of #ahie gives us certain data respecting the division of rural property in this country4 ,the #agb1jjj holdings1 agricultural or pastoral1 which were included in this census1 had an area of #bj1bie1jjj acres1 according to the declarations of the owners2 and comparing this figure with the area actually under cultivation1 amounting to #ab1hjj1jjj acres1 we find that only about the half of these holdings is tilled and sown1 the rest being left as pasture4 ,this census also took note of the area of each agricultural holding1 and although the result of this inquiry has not been published1 a simple division of the number of acres by that of the holdings gives us an average of #aah to #abc acres per holding2 a figure that would be satisfactory enough1 if it came anywhere near the reality4#ch ,footnote #ch3 ,cf4 ,censo ,nacional1 vol4 ii4 p4 xli4 ,the national inventory gives only these data in respect of this subject4 ,as we see1 they are far from complete2 but even if they were1 the progress of agriculture during the last few years has been so great that to-day they would only possess a purely historical interest4 ,happily the agricultural census 7including a census of stock71 which was taken during the first half of ,may #aijh throughout the whole ,republic1 gives us some valuable information on this head4 ,this inquiry affected #bbb1agd holdings1 agricultural or pastoral1 which had a total area of #dej1jjj square miles1 the area of the ,republic being #a1acd1gjj square miles4 ,this is how these #bbb1agd holdings are divided3---- ,there are #ec1ied holdings measuring from #bgb to #abcd acres2 #dh1cbc of less than #be acres2 #df1eec of from #bej to #gdj acres2 #bi1fbd of from #abe to #bdg acres2 #ab1iib of from #gdc4e to #abcd acres2 #aa1ajd of from #abcf to #bdgj acres2 #bifh of from #bigj to #ibfj acres2 #bjeb of from #ibfj to #ab1cej acres2 #aaeg of from #ab1cej to #bd1fhj acres4 ,holdings of more than #bd1fhj acres are relatively rare1 in comparison with the rest2 #dbc have an area of from #bd1fhj to #cj1hgj acres2 #gha of from #cj1hgj to #fa1gej acres2 #afh of from #fa1gej to #aad1bej acres2 #fe of from #aad1bej to #abc1ddj acres1 and finally there are #ajd holdings of more than #abc1ddj acres4 ,these figures1 compared with those of the census of #ahie1 reveal the fact that in thirteen years the number of rural holdings has increased by #ej1agd1 and that the area given over to the two forms of usage1 which lie at the base of the wealth of the ,republic1 has increased by #bgf1gfj1jjj acres4 ,but in spite of this extraordinary development during the last few years1 from the point of view of the distribution of the soil1 the ,argentine is still in a primitive1 indeed1 almost in a feudal state1 by reason of the enormous tracts of lands which are monopolised by a small number of owners4 ,these owners utilise their enormous properties in raising cattle on the great ranches known as 8estancias10 or employ them for agricultural purposes1 when they do not prefer to leave them in a waste and unproductive condition1 waiting until time and economic progress shall give them a value which their own efforts are incapable of giving them4 ,these 8estancias0----that is to say1 the most usual system of utilising the soil----vary in area from #ab1jjj to #ahj1jjj or #bjj1jjj acres2 some are even over #ccj1jjj acres in extent4 ,many of them are only a few hours distant from the city of ,buenos ,ayres1 or border on the outskirts of important urban centres4 ,such tracts of land given over to stock-raising and owned by private individuals would be inconceivable in most ,european countries1 where private holdings are small2 nor are they much more usual in a new country of vast area1 like the ,united ,states1 where more than half the cultivated lands are divided into farms of less than #ajj acres each1 and where holdings of more than #ajjj acres1 whether under seed or in pasture1 are the exception1 the average of all properties and holdings being #adc acres4 ,it is easy to understand1 without a lengthy demonstration1 how far this state of affairs goes to retard the general development of the country4 ,it is equally easy to understand that in order to stimulate this development it is necessary before all else to secure an increased foreign population1 by attracting it through the powerful bait of landed property4 ,the great obstacle in the way of the agricultural development of the ,argentine arises essentially from the faulty property system2 from the fact that enormous tracts of land are held by a few men2 from the establishment1 in short1 of the most odious system of latifundia ever known4 ,this trouble arises from the lack of foresight with which the ,state has parted with enormous tracts of land1 which have passed into the hands of speculators or large land-owners1 who have left them untouched1 while waiting for the value of their holdings to rise4 ,in the national territories1 according to the deputy ,joachim ,castellanos1 who is busily lighting the system of latifundia1 there are belts of land1 now private property1 which are divided in the following proportions3 #b1dgj1jjj acres into holdings of from #be to #ii1jjj acres each2 #g1djj1jjj acres into holdings of from #ii1jjj to #aih1jjj acres each2 and #g1icd1jjj acres into properties of #aij1jjj or #bjj1jjj1 and over4 ,this means that there are #ag1bhj1jjj acres of useful and cultivable land1 in the hands of unenterprising capitalists remaining1 unproductive1 used to increase neither the population nor the production of the country4#ci ,footnote #ci3 ,speech delivered on #bast ,september #aijc4 ,the principal author of this deep-rooted evil is incontestably the ,argentine ,state1 which has squandered its rich inheritance1 by allowing it to pass into the hands of speculators1 instead of dividing it equitably among the new colonists4 ,the subdivision of these great tracts of land1 now concentrated in the hands of a few large proprietors1 is1 to-day1 one of the necessary conditions of the development of the country1 and it is with reason that influential voices are raising themselves1 in ,parliament and in the ,press1 to proclaim this economic truth4 ,the great 8estancias0 of #ahj square miles in area1 covered by immense herds of cattle1 must finally1 says ,m4 ,f4 ,segni1 author of an ,investigacion agricola1 be divided into small concerns of from #djjj to #ab1jjj acres1 which would1 with fewer animals but a better system1 yield a greater profit both to the owner and to the country4 ,the old system of large ranching must gradually give way to an intensive system1 when stock-raising1 combined with agriculture1 will employ a larger population1 attract more capital1 and realise better results4 ,there is happily no need to be greatly pessimistic on this point1 as we can already perceive a tendency to the subdivision of property1 which comes from the powers of the ,state as well as from land-owners or commercial companies4 ,thus the land law of #aijg was passed solely with the object of preventing large monopolies2 it prohibits the acquisition for the benefit of a single person of any portion of the national domains of greater area than #fagj acres4 ,the importance of this step will be understood1 when we remember that the ,state has still to dispose of #bab millions of acres of desert land1 suitable for agriculture1 and situated in territories which are rapidly becoming peopled4 ,on the other hand1 there are certain business concerns which1 as owners of enormous tracts of land1 are dividing them into small lots1 which they are offering freehold to prospective farmers at fairly moderate prices1 and facilities of payment are offered at the same time4 ,among these firms we may mention the 8,sociedad ,anonima la ,curumalan10 owning some #fjj1jjj acres of land in the southern portion of the ,province of ,buenos ,ayres1 suitable both for cattle-raising and for agriculture1 which is selling land at from #b1 #bs4 to #c per acre1 according to the quality and the situation1 payable in three or four years2 the payment by instalments being increased by an interest varying from #g to #i percent4 yearly4 ,the 8,stroeder ,colonisation ,society10 which has exploited a large belt of agricultural country2 the 8,compaia de ,colonisation del ,rio de la ,plata20 the 8,estancia y ,colonia ,trenel10 founded by the great ,argentine land-owner1 ,antonio ,devoto1 and a large number of other companies and syndicates are working on the basis of enabling the colonist to acquire his own land1 and are doing successful business4 ,a striking example of progress in this matter of the subdivision of property is furnished by the statistics of the ,province of ,crdoba for the years between #ahih-ahii and #aije-aijf4 ,during this period #c1aic1fjj acres of land1 out of a total of #i1hbc1cjj acres1 which represent the colonies and settled land of the province1 have been sold to farmers2 that is1 nearly a third4 ,thanks to this subdivision1 the number of colonists in this province who have become the actual proprietors of larger or smaller holdings has risen to #defh4 ,what is happening in ,crdoba is also happening more or less rapidly in the other agricultural provinces2 and it is by this method that the ,argentine will one day succeed in abolishing the latifundia1 whose progressive disappearance is a condition of further development4 ,we might multiply the instances of land-owners or commercial enterprises which are helping the labourer to buy land1 for the system of dividing the land into small allotments1 selling it at a cheap price1 and allowing payment by instalments1 is every day becoming more widespread4 ,the journals are full of announcements of the sale by auction of lands which1 until to-day1 have never felt the ploughshare1 and are now given over to colonisation4 ,one also hears men speak1 as of an accomplished fact1 of the method initiated by several railway-companies which propose1 by means of their own capital1 to bring into the market and increase the value of the vast tracts of uncultivated land which they own on the outskirts of their systems4 ,unhappily1 in spite of this tendency to the subdivision of the soil1 the most usual system of working the land is still that of letting it at a fixed rent1 or for a certain proportion of the yield in place of rent1 or by a profit-sharing system1 under which the tenant receives #ej1 #dj1 or #cj per cent1 of the harvest4 ,the large land-owners1 who are the most numerous1 prefer the former method1 and often impose on the farmer the obligation of leaving a crop of lucerne on the land in the last year of the tenancy4 ,the chief drawback of this system is that the labourer never becomes the owner of the soil he cultivates1 so that he is not actuated by the powerful ties of property1 which should attach him to the country and its destinies4 ,on the other hand1 too1 the tenant tries to obtain from the soil the largest profit he can1 without troubling to consider whether he is exhausting it or not2 he leaves not even a tree behind him as a monument of his tenancy4 ,but in spite of all these drawbacks this system does furnish the colonist with means to buy land cheaply later on1 and in another district4 ,such is the history of many farmers1 who began by humbly labouring under the conditions above described1 and are to-day rich land-owners1 possessing enormous tracts of land1 which they work in the way that they find most profitable4 ,it is hardly necessary to say that the agricultural methods employed vary according to the situation of the farms1 their fertility1 and the means of communication4 ,agriculture1 properly so called1 establishes itself and spreads along the waterways or railways which facilitate the transport of the harvests4 ,the crops principally grown cannot afford the cost of transport at a greater distance than #ahj or #aij miles by railway from the nearest point of embarkation or consumption1 and the nearest railway-station must not be further than #ah or #bj miles4 ,there are only a few crops of greater value that can be profitably grown at greater distances1 their higher prices covering the increased cost of transport4 ,the region consisting of the ,provinces of ,buenos ,ayres1 ,santa ,f1 ,crdoba1 and ,entre ,rios1 which is the richest in cereals1 is also that in which the greatest number of small farms are to be found4 ,the statistics for #aija-aijb show that out of #cg1dcd farms #ac1aej1 or about #cf per cent41 were worked by their owners2 #ah1hai1 or #ej per cent41 by tenants2 and #edfe1 or #ad per cent41 by mtayers----that is1 tenants who give up from half to two-thirds of the crops to the owner of the land4 ,other more recent statistics1 relating to the ,province of ,santa ,f1 give the number of farmers owning their land at the time of the harvest as #fgdg1 or #cb per cent41 and the number of tenants as #ad1bbg1 or #fh per cent4 ,the majority of the farms1 especially those cultivated by the owners1 says the ,investigacin agricola1 have an area varying from #fj to #bej acres4 ,farms held on lease or by payment of part of the harvest are usually larger1 especially in the former case1 and the work is done with greater expedition1 but as a rule less perfectly and without the same stimulus4 ,farms varying from #gej to #aejj acres and more which employ day-labourers are still less numerous1 since as a general thing nothing is gained by employing them4 ,on the other hand1 however1 there are large farms whose owners in reality only supervise matters of administration1 and which are divided among tenant-farmers or mtayers1 paying so much per cent1 of the harvest1 or a rent in kind1 according to the crops and the conditions agreed upon4 ,in such a case the proprietor or colonist is not actually an agriculturalist1 but a business man1 who more often than not has not sufficient knowledge to assume the scientific or even the rational direction of the operations on his estate4 ,agricultural ,products ,having considered the physical conditions of the ,argentine soil1 the regions given over to particular forms of agriculture1 and the disposition of rural property1 the moment has now come to consider what areas are at present respectively producing crops of various kinds from seed1 comparing them not only with the area of each province1 but also with the statistics of previous years4 ,in making this inquiry1 we have a valuable starting-point in the ,censo agropecuario1 taken in the month of ,october #ahhh2 the first serious undertaking of the kind ever attempted in the ,republic under competent direction4#dj ,footnote #dj3 ,cf4 ,l'agriculture et l'levage dans la ,rpublique ,argentine1 d'aprs le recensement de la premire quinzaine d'octobre #ahhh1 by ,f4 ,latzina1 printed by ,p4 ,mouillot1 ,paris1 #ahhi4 ,in an introductory chapter the ,director of this census says3 8,it is only eleven years since the products of ,argentine agriculture have been greater than the country's needs4 ,for example1 the quantities of wheat exported before #ahgh were so small as to be negligible4 ,now we see that in eleven years we have reached a point at which we export #h1hjj1jjj bushels of wheat 7#ahhg71 #bee1jjj bushels of flour 7#ahhh71 #ad1dgj1jjj bushels of maize 7#ahhg71 and #c1bdh1jjj bushels of linseed 7#ahhg74 ,those who will look into these figures will perhaps agree that they represent a great progress for so short a time40 ,the area of agricultural land in cultivation1 according to the census of #ahhh1 amounted for the whole ,republic to #e1ihd1gij acres1 of which #b1jad1jjj acres1 or about #cc per cent4 were under wheat2 #a1igi1hcj acres1 or #cc per cent41 under maize2 #ifc1cbj acres1 or #af per cent41 under lucerne2 #bii1jej acres1 or #e per cent41 under linseed2 #ga1dbj acres1 or #ab per cent41 under barley2 #ig1ffj acres1 or 4#i per cent41 under vines2 #eb1jbj acres1 or #h per cent41 under sugar-cane1 and the rest under crops of no great importance4 ,this point of departure being established1 let us pass over the follies of and the damage caused by the frantic speculations of #ahhh and #ahhi1 as well as the financial failures of #ahij1 and let us call a halt at the year #ahie1 in which the country1 still under the effect of a terrible catastrophe only lately undergone1 had recovered itself and resumed work with a fresh ardour3 the only proper remedy to heal its wounds1 and to set it once more on the paths of progress4 ,this inventory of the progress realised by the ,argentine during seven years of misfortune is all the more interesting in that the second national census was taken at this time1 thus precisely marking the economic1 democratic1 and political progress of the country4 ,we find that in #ahie----limiting our inquiry to the four principal cultures----the progress realised during these seven years was as follows3---- ,products4 #ahhh #ahie ,increase in ,seven ,years4 ,acres ,cultivated4 ,acres ,cultivated4 ,absolute4 ,per cent4 ,wheat #b1jad1acj #e1jfb1gag #c1jdh1ehg #aea ,linseed #bii1jej #idf1fij #fdg1fdj #bai ,maize #a1igi1iaj #c1jgc1acj #a1jic1bbj #ee ,lucerne #ifc1cjj #a1gbi1jjj #gff1gjj #gi ------------------ -------------------- ------------------ ------ ,totals #e1bef1cij #aj1haa1ecg #e1eee1adg #aje ,if we now compare the figures for #ahie with those for #aijb1 we find that the national agricultural expansion has never ceased during this second period of seven years4 ,during this period1 moreover1 an important change occurred2 one which encouraged production by placing exchange upon a solid basis3 we refer to the law of monetary conversion1 which gave paper a fixed value and abolished the discount which had hitherto affected all private commercial transactions4 ,in comparing the figures of the years #ahie and #aijb1 we find that the progress was as follows3---- ,products4 #ahie #aijb ,increase in ,seven ,years4 ,acres ,cultivated4 ,acres ,cultivated4 ,absolute4 ,per cent4 ,wheat #e1jfb1gag #i1abd1ddi #d1jfa1gcb #hj ,linseed #idf1fij #c1bbh1ggd #b1bhb1jhd #bch ,maize #c1jgc1acj #d1dej1jfj #a1cgf1icj #dd ,lucerne #a1gbi1jjj #d1bgc1ejb #b1edd1ejb #adg -------------------- -------------------- -------------------- ------ ,totals #aj1haa1ecg #ba1jgf1ghe #aj1bfe1bdh #id ,it now remains to examine the third period1 from #aijb to #aijd-aije1 the statistics of which are as follows3---- ,products4 #aijb #aijd-aije ,increase in ,two ,years4 ,acres ,cultivated4 ,acres ,cultivated4 ,absolute4 ,per cent4 ,wheat #i1abd1ddi #ab1aaj1gjf #b1ihf1beg #cc ,linseed #c1bbh1ggd #b1fgd1gch #eed1jcf #ah ,maize #d1dej1jfj #e1fdh1ihh #a1aih1ibh #bg ,lucerne #d1bgc1ejb #d1idj1jjj #fff1dih #ae -------------------- -------------------- ------------------ ------ ,totals #ba1jgf1ghe #be1cgd1dcb #d1big1fdg #bada ,footnote #da3 ,this increase would amount to #gce per cent4 in seven years1 as compared with #id and #aje per cent4 for the two previous periods3 but an average reckoned from two years is of course not reliable4----,,trans4 ,we see that1 with the exception of linseed1 the progress of agriculture has received no check2 on the contrary1 the figures speak of still greater expansion1 attesting to the great economic future of the country4 ,the culture of wheat1 as we see1 has increased by #b1ihf1beg acres2 maize1 by #a1aih1ibh acres2 lucerne1 by #fff1dih acres4 ,unfortunately1 the culture of linseed has suffered a decrease of #eed1jcf acres2 a result to be attributed partly to low prices1 and to the loss of a certain proportion of the previous crops4 ,as for maize1 we see that in #aijd-aije #e1fdh1ihh acres were sown1 a figure which represents an increase of #bg per cent4 over the #d1dej1jfj acres of #aijb4 ,yet the yield was only #aca1aee1jjj bushels in #aijd-aije1 whereas in #aijc-aijd it was #afc1cjj1jjj bushels4 ,this sensible decrease was felt chiefly in the ,province of ,buenos ,ayres1 where the loss was one of #ca1dij1jjj bushels1 out of the total loss of #cb1ade1jjj bushels1 while in the ,province of ,santa ,f the yield was almost unaltered4 ,the average yield in #aijd-aije for the whole country and the entire area of land under seed may be estimated as #bc bushels per acre1 as against #ca4d bushels in #aijc-aijd4 ,the harvest of #aijd-aije would thus have left a large deficit1 had not the increase of sown lands compensated in part the diminished yield of the soil per acre4 ,this fact is a witness to the truth of the important fact to which we have elsewhere drawn attention3 that the ,argentine need no longer as before fear a bad total harvest1 by reason of the enormous increase of sown lands4#db ,footnote #db3 ,years hence1 when the limit of expansion has been reached1 or expansion for any cause has diminished1 the inevitable exhaustion of the soil may cause some bad years1 unless more scientific methods take the place of the policy of obtaining large yields at any cost2 but the change will probably be gradual4 ,,trans----4 ,since #aije the agricultural expansion of the ,republic has assumed considerable proportions1 thanks to the splendid harvests1 which have not only attracted a greater number of cultivators1 but have also enabled these already established to take in and cultivate new land4 ,examining only the figures relating to the harvest of #aijh-aiji1 we find that the area sown in wheat1 linseed1 and oats has increased to #bj1cdb1ibj acres1 which are divided1 according to the figures issued by the ,statistical ,division of ,rural ,economy of the ,ministry of ,agriculture1 in the following proportions3---- ,acres under ,acres under ,acres under ,provinces4 ,wheat4 ,linseed4 ,oats4 ,buenos ,ayres #f1ahd1aci #a1jij1gej #a1dca1hci ,santa ,f #c1baj1jej #a1fca1ahh #cd1eci ,crdoba #c1gaa1icj #dba1hgj #aj1jfh ,entre ,rios #gic1faj #efe1fcj #cg1jej ,pampa ,centrale #ghj1djj #gd1ajj #di1djj ,other ,provinces #ahe1bej #f1cgj #a1bce and ,territories ------------ ----------- ----------- ,total #ad1hfe1cgi #d1dhi1ijh #a1efd1aea ,if we add to these figures the #g1jdb1gaj acres sown with maize in #aijf-aijg1 and the #g1daj1jjj acres of lucerne which were already in cultivation1 we obtain a general total of more than #ce millions of acres of land bearing the principal ,argentine crops at the end of #aijh4 ,these figures reveal the large increase of #aj millions of acres over these relating to the harvest of #aijd-aije4 ,in speaking of the chief crops of ,argentine agriculture1 there is one which we must especially mention1 which1 although not capable of repetition year by year1 yet assumes considerable proportions1 occupying already many millions of acres4 ,we refer to the fodder known as lucerne1 which in #ahij was grown only on #a1dhj1jjj acres1 and on #a1gbi1jjj in #ahie2 while to-day no less than #g1dab1jjj acres are under lucerne4 ,this crop is a new source of wealth for the ,argentine4 ,its growth has arisen from the increased value of lands which were until lately considered unfit for the production of cereals4 ,these lands are now greatly in demand1 and of late years great fortunes have been made out of them4 ,lucerne serves two different purposes2 it is exported as dried fodder1 or is used at home to feed and fatten cattle4 ,hence the lucerne farmer may either graze his holding or mow it2 so that there are lucerne farms and lucerne 8estancias10 or ranches1 each having its distinct characteristics4#dc ,footnote #dc3 ,lucerne is exported chiefly to ,brazil and ,south ,africa4 ,the farms are mostly near the stations of the chief railway-lines which lead to the ports of embarkation1 and consist of holdings of #aej to #bej acres1 cultivated by small proprietors1 or more generally by mtayers----tenants who pay in kind4 ,the mowing1 drying1 raking1 gathering and stacking of the lucerne are operations which last from ,october to ,march2 the embalement1 or packing into bales1 which are pressed and bound with iron1 by means of a press worked by horse-power1 occupies the rest of the year4 ,there is also a form of exploitation which is more elementary and also more rapid3 the cutting and immediate sale of the crop as green fodder2 this method is in use on farms near the cities4 ,but the great lucerne belt1 which occupies by far the greatest proportion of the sown lands1 is composed of the 8estancias01 which are composed of fields or farms of lucerne destined for the feeding and fattening of animals1 chiefly cattle4 ,these exist of all sizes2 from the 8estanzula0 to the largest ranches4 ,latifundia sown with lucerne are common in the south of ,crdoba1 and there are instances of immense green savannas of from #ce1jjj to #ej1jjj acres----roughly1 from #ej to #hj square miles in extent----consisting entirely of lucerne farms and belonging to a single lord and master4 ,there are several settlements or colonies of this kind in this region2 such as the ,colonia ,maria ,soledad1 situated at ,carnerillo and at ,chucul1 including some #db1jjj acres of lucerne farms2 and the ,duggan prairie1 which has #cb1jjj acres of lucerne4 ,properties of #ae1jjj acres are numerous4 ,according to the last statistics published1 the culture of lucerne is distributed as follows3 ,province of ,buenos ,ayres1 #a1bce1jjj acres2 ,province of ,crdoba1 #a1bce1jjj2 ,province of ,santa ,f1 #gdj1jjj2 ,pampa ,central1 #cjj1jjj2 ,province of ,san ,juan1 #bjj1jjj2 other ,provinces1 #bej1jjj2 giving a total of some #d1jjj1jjj acres4 ,at the moment of writing these lines this area should certainly have increased to a total of #g-a_/b millions of acres4 ,in spite of the great progress already achieved----it was not less than #be per cent41 for instance1 in the ,province of ,crdoba in #aijc-jd----the culture of this species of forage is still in its infancy in the ,argentine2 it is bound to increase notably1 on account of the superb results to be obtained1 both from its use as fodder and on account of the manner in which it will transform a certain kind of uncultivated soil which grows nothing but tough grasses of slow growth and low nutritive value4 ,one of the first economic effects produced by the growth of lucerne on a particular estate or in a given neighbourhood is that it increases the value of the land on which it has been sown4 ,on this point several cases have been cited which would seem incredible1 were they not easily verified4 ,fields which three or four years ago were sold for #b paper piastres per acre are to-day worth #cj1 and lands which were sold for #be to #cj piastres are now sold for #hj and #ajj piastres4#dd ,footnote #dd3 ,probably the reader need not be told that the roots of the lucerne plant accumulate enormous quantities of nitrogen-yielding bacilli1 thus producing organic compounds in the soil1 ready for use by the next crop sown4 ,the old practice of sowing clover and ploughing the roots into an exhausted field revives the land in this manner4----,,trans4 ,lucerne farms also increase the value of the land in their neighbourhood4 ,it is enough to use the phrase1 8good land for lucerne10 and the land referred to will immediately realise a high commercial value4 ,of the profits to be derived from lucerne when exploited in a rational and up-to-date manner1 we may judge from a single instance reported in the ,buenos ,ayres ,standard3 a league#de of meadows sown with lucerne in ,la ,penca1 in the south of the ,province of ,crdoba1 has yielded in a year a profit of #cj1jjj2 and in another year it actually produced a profit of #db1hjj4 ,this journal also adds that a league of similar land in ,new ,zealand would be worth no less than #cfj1jjj4df ,footnote #de3 ,this league is that of #bejj hectares1 or #fage acres2 making the linear league #cad miles4----,,trans4 ,footnote #df3 ,cf4 ,anales de la ,sociedad rural ,argentina2 ,art41 ,el ,pais de la ,alfalten4 99 99 99 99 99 ,the constant increase of sown lands is certainly the most notable feature of the agricultural situation4 ,it is the more interesting to note that of late years this development has been due to the nation's own resources1 as after the politico-financial crisis of #ahij the current of immigration and colonisation which had assisted agriculture in previous years was almost completely checked4 ,as soon as the flow of immigration is re-established----and it seems to us that it is already recovering1 thanks to the attractive power of the abundant harvests rather than to any political or administrative measure----we shall certainly see that the agricultural yield of the ,republic will receive a fresh impulse from this cause4 ,the #ce millions of acres sown in #aijh-i represent a little over #djg per cent4 of the entire surface of the country1 as compared to a percentage of #jjh in #ahhh4 ,besides this1 we must not forget that according to the figures of the agricultural and pastoral census of #aijh1 #fdf1fbj square miles1 or rather more than #ci per cent41 are employed in the feeding of #fg1baa1ged sheep1 #bi1aah1fbe horned cattle1 #g1eca1cgf horses1 #dfe1jcg mules1 and #bhe1jhh asses4 ,finally1 if we admit the possibility of considerably increasing1 by means of the intensive system1 the yield of cultivated soil1 we see that it will also be possible1 on the same stretch of land1 to increase the number of head of cattle2 so that it is permissible to conclude that the ,argentine ,republic can still conveniently give up a third of her surface to colonisation1 without in the least affecting or damaging the industry of stock-raising4 ,knowing the extraordinary progress attained by ,argentine agriculture during the last twenty years1 as well as the development of each of the particular crops preferred by the ,argentine farmer1 we must now inquire in what regions of the country this expansion has made itself particularly felt4 ,for this purpose we will divide the ,republic into geographical belts1 confining ourselves here to an examination of these ,provinces in which agricultural progress has been particularly notable1 and limiting ourselves to the three principal forms of culture3 ,total ,surface cultivated during the ,agricultural ,year #aijh-aiji4 ,geographical ,belts4 ,number of ,acres ,cultivated4 ,,province ,,of ,,buenos ,,ayres---- ,northern ,section #iih1idj ,western ,section #c1jdc1gjj ,central and ,southern 7first group7 #a1hjg1aij ,central and ,southern 7second group7 #b1gee1ihj ------------------ #h1fje1haj ,,province ,,of ,,santa ,f---- ,northern ,section #cbf1baj ,central ,section #c1aid1fih ,southern ,section #a1dee1fej ----------- #d1igf1eeh ,,province ,,of ,,entre ,,rios---- ,first ,section #cfj1cjj ,second ,section #ejf1iej ,third ,section #ebg1ihj ----------- #a1cie1bcj ,,province ,,of ,c,,rdoba #d1jfd1gfj ,,territory ,,of ,,pampa ,,central #iac1ijj ------------ ,,total #ai1ief1ach ,it will be seen from this table that the great agricultural belt of the ,argentine is formed by the ,province of ,buenos ,ayres1 ,santa ,f1 ,crdoba1 ,entre ,rios1 and the ,territory of ,pampa ,central4 ,this latter has taken an important place in the national production1 and so rapidly1 that we may still prophesy a notable expansion of its resources4 ,the other productive belts have in proportion made less progress1 excepting the ,province of ,mendoza1 where vine-growing has been developed1 and that of ,tucuman1 where the culture of the sugar-cane has made great strides4 ,there1 for the moment1 the progress of agriculture has halted1 as the other districts will only be developed later on1 when the populations of the former regions overflow1 unless some hitherto unexploited source of wealth----such as the quebracho in ,chaco----attracts capital and labour4 ,at the time of the last harvest the ,province of ,buenos ,ayres was in the front rank in the matter of wheat1 no less than #f1ahd1ahj acres being devoted to that cereal4 ,this enormous area represented an increase of #b1icc1ibj acres since the year #aija-aijb1 and of #e1bed1caj acres since #ahie4 ,if we compare this figure with that of #ahhh1 when only #fji1efj acres were under wheat1 we find an increase of #e1egd1egj acres4 ,of the #f1ahd1acj acres of wheat sown in the ,province of ,buenos ,ayres in #aijh-aiji1 #c1fbj1cjj acres1 or #ec per cent41 were in the region known as the 8,centre and ,south0 7the first and second groups united71 formed by an assemblage of fifty-six cantons1 of which some1 although they were only lately affected by the movement which has turned untouched and desert prairies into green fertile fields1 are to-day important centres of production1 having a considerable influence upon the commercial balance of the country4 ,the real development of agriculture in the ,province of ,buenos ,ayres dates only from #ahie4 ,until then it was considered merely as a country especially adapted for stock-raising1 and this false conception was so rooted in many minds that it was believed that agriculture was out of the question1 except in the ,province of ,santa ,f4 ,comparing statistics1 we find that the latter ,province had #iib1jhj acres of wheat in #ahhh and #b1dgj1jjj in #ahie1 while ,buenos ,ayres boasted only of #eaj1jij and #ijf1dij acres in the same years4 ,it was much the same with linseed2 the figures being #ahj1cjj and #feg1jbj acres in ,santa ,f1 and #ajh1fej and #afj1eej in ,buenos ,ayres4 ,maize formed an exception2 while ,santa ,f1 in the two years given1 had only #aej1fgj and #dbi1edj acres under maize1 ,buenos ,ayres had #a1bei1gjj and #a1feb1dcj acres4 ,only in the agricultural year #aija-aijb did ,buenos ,ayres step in front of ,santa ,f1 and attain such crops of wheat as until then were unknown1 leaving all competitors far behind4 ,in the matter of linseed1 for which ,santa ,f has always had a special predilection1 that ,province has always1 since #ahhe1 maintained its superiority over ,buenos ,ayres4 ,as for maize1 ,buenos ,ayres retains its superior position1 although it is just to admit that in #aija-aijb the other ,province made considerable progress4 ,before leaving ,buenos ,ayres1 we must mention that the second place in the culture of wheat1 is taken by the region known as the ,west1 which1 with its #a1dga1cfj acres1 or #bi per cent4 of the total1 forms1 like the analogous region in ,north ,america1 one of the great grain districts of the ,argentine4 ,in this region there are cantons1 such as those of ,nueve de ,julio1 ,lincoln1 ,pehuajo1 ,general ,villegas1 ,trenque ,lauquen1 and others1 which1 reputed from all time unfit for agriculture1 have surprised every one by revealing themselves as absolute mines of wealth4 ,this region has been touched1 it is true1 by the magic ring of the railroad1 which has unrolled in these new territories1 so full of unexploited wealth1 an immense network of tracks1 whose marvellous effects make us think of the tales of the ,thousand and ,one ,nights4 ,it is in this region that we have seen1 as the logical result of the agricultural awakening1 the most surprising increase in the value of the soil4 ,these prices mounted by leaps and bounds2 from #a1 #aes4 to #c1 #ajs41 from #c1 #ajs4 to #g1 from #g to #h1 #afs4 per acre1 and even more2 yet one is forced to admit that this increase1 though apparently capricious1 has a real enough foundation1 since it is based upon the remunerative qualities of the soil4 ,in the ,province of ,santa ,f1 the cradle of the agricultural settlement in the ,argentine1 there are at present #hbj colonies and cultivated lands1 of which the surface under seed embraces an area of #g1bbc1ihj acres1 divided as follows3 ,wheat1 #c1bei1ibj acres2 linseed1 #b1jcg1iij acres2 pea-nuts1 #bi1cij acres2 lucerne1 #a1ghg1bhj acres2 other crops1 #aaa1djj acres4 ,the ,province of ,crdoba has furnished another of the ,argentine's agricultural surprises4 ,neglected1 not so long ago1 by the stream of immigration which set in for preference towards ,santa ,f or ,buenos ,ayres1 ,crdoba began to attract the attention of labourers when the latter 7discouraged by some calamitous years in ,santa ,f7 were drawn thither by the fertility of its soil1 the scarcity of swamps1 the regular rains1 the cheap land1 and the proximity of centres of consumption and ports of embarkation1 and by the facilities of transport offered by an extensive network of railways4 ,there the labourers set up their tents1 and their numbers increased day by day2 there they devoted themselves to the strenuous task of reclaiming the virgin soil1 and there1 in return1 they obtained magnificent harvests1 a veritable benediction of grateful nature4 ,the results surpassed all expectation2 to such a degree1 that to-day the ,province of ,crdoba is one of the first colonial centres of the ,republic1 and the ,province which offers the most brilliant future to the cattle-breeder and the agriculturalist4 ,to-day the transformation of the soil progresses so rapidly as to astonish both natives and foreigners4 ,to give some idea of the enormous development of this ,province1 it is enough to say that in #ahih-ahii it counted #agf colonies and #ga settled estates4 ,in #aije-aijf these figures were respectively #cdh and #aij4 ,the size of these colonies has increased in the same proportions2 in #ahih-ahii their area was roughly #c1hjj1jjj acres2 it increased to #h1iaj1jjj4 ,of this enormous area1 reclaimed and cultivated at the time of harvest in #ahih-ahii1 some #c1aej1jjj acres represented wheat1 #dcd1ejj linseed1 and #cee1jjj maize4 ,we must also mention another important crop1 which covers a large area of the ,province of ,crdoba2 lucerne1 which is represented by some #b1bdj1jjj acres4 ,but the most surprising fact concerning the ,province of ,crdoba is not the vast area under the plough1 but the prodigious increase of crops of every kind4 ,thus the area sown with wheat1 which in #ahih-ahii was #a1ehh1hjj acres1 was #b1dag1ibj1 in #aijc-aijd and #b1fie1fbj in #aijd-aije4 ,it is the same with linseed2 in #ahih-ahii #ahd1dij acres were sown2 in #aijc-aijd1 #dci1hcj acres4 ,these figures give some indication of the vast agricultural future which lies open before this ,province4 ,another agricultural revelation has been afforded by the ,territory of ,pampa ,central1 which in #ahhh had only #ad1ijj acres under the plough2 some #aa1jjj being in maize1 #bajj in lucerne1 and #cjj in wheat4 ,in #ahie it contained #be1ebj acres under culture1 and in #aijc #cjh1gej acres were bearing crops of various kinds2 wheat1 #ga1fcj acres1 and maize1 #dai1ijj2 and in #aijh-aiji1 the ,pampa contained #iac1ijj acres of cultivated soil2 #gij1jdj under wheat1 #gd1jjj under linseed1 and #di1djj under oats4 ,in the space of twenty years the ,pampa1 once regarded as a sterile waste1 almost impossible of cultivation or of settlement1 has seen a great development4 ,it contains to-day more than #hj1jjj inhabitants2 twenty centres of population3 about #iad1jjj acres under cultivation2 #dfd1fde cattle2 #d1hji1jgg sheep1 and #bha1ecg horses2 with an annual export of products estimated at #ae millions of paper piastres1 or #a1bhj1jjj4 ,its soil has greatly risen in value2 the square league of #bejj hectares 7or #fage acres1 or a square nearly #cad miles on the side1 or just under #aj square miles7 sells for anything up to #ajj1jjj paper piastres1 or #hhjj2 and even in the remoter cantons it will sell for #cejj or #ddjj4 ,this extraordinary progress has been accomplished quite recently2 it dates back hardly three years1 and the prices tend to increase each day4 ,before completing this sketch of the agricultural products of the ,argentine1 according to the official statistics1 we must remind the reader that the total of these products increases by leaps and bounds1 so that the figures given must be regarded as strictly provisional1 on account of the great development to be foreseen as new centres of colonisation are formed4 ,the ,pampa ,central1 of which we have just spoken as a very mine of wealth1 is capable of producing in the future enough meat and grain to nourish a great part of the population of the world4 ,in the ,argentine men employ1 for the more important crops1 such as wheat1 maize1 linseed1 lucerne1 etc41 the latest and most perfect agricultural implements and machines2 cultivators1 ploughs1 drills1 harvesters1 etc41 etc4 ,we have not space to mention all2 but it is enough to say that in the regions where farming on a large scale is the rule1 a progressive spirit is in the air1 which impels the owners of great establishments1 and even simple settlers1 to furnish themselves with the very best machinery1 for which they sometimes pay considerable sums4 ,that agriculture has achieved the rapid expansion of which we have just given details1 notwithstanding the little help which immigration has lately rendered1 is due principally to the employment of the perfected machinery in common use4 ,the best types of ploughs1 harrows1 drills1 and reapers of all kinds----binder-reapers1 traction-engines1 winnowing and thrashing machines1 all of the best construction and the most recent model----are familiar to the ,argentine farmer1 who makes constant use of them4 ,the owners of the great 8estancias0 make all necessary sacrifices in order to work their estates in the latest and most perfect manner4 ,the machinery comes from the ,united ,states1 and facilitates all the operations of la grande culture4 ,two or three years ago1 for example1 saw the advent of a new machine1 simple and of moderate price1 which replaced the reaper and thrasher1 by performing both operations at once as it moved4 ,it reaps the ears of corn1 winnows them1 grades the grain1 and pours it into sacks2 leaving the straw1 it is true1 but the value of straw in the ,argentine is negligible4 ,all these operations are performed as the machine progresses2 four horses are enough to draw it4 ,with this new machine corn that is standing in the morning is reaped during the day1 and by the evening is ready for despatch to the port of embarkation4 ,to give some idea of the extent to which agricultural machinery is used in the ,argentine1 we may mention that in the period #ahij-aijd there were imported from abroad1 mostly from the ,united ,states1 #dei1jjf ploughs1 officially valued for customs purposes at #a1cca1dji2 #bb1ghc winnowers1 valued at #bgg1igf2 #ih1dgj reapers1 valued at #b1jda1ihb2 #cg1hbd drills1 or sowers1 valued at #agf1bfh2 and #dggj thrashing-machines1 valued at #a1bej1ahd4 ,from #ahih to #aijd #ac1gbe maize huskers were imported1 valued at #cdj1dgi4 ,to complete these data we append a table1 giving the number of agricultural machines imported in the course of the years #aije1 #aijf1 #aijg and #aijh3 #aije #aijf #aijg #aijh ,ploughs #ff1djd #hd1idh #ei1aif #bi1gge ,winnowers or huskers #gij #ghe #acd #ih ,reapers #ad1dib #bj1gci #ag1ccd #ah1gbb ,drills or sowers #g1iaa #be1ddg #ac1ige #i1ebh ,harvesters #gjf #b1jaa #bbf #a1hff ,thrashers #iji #a1acf #dij #ifi ,we must also mention that there has been a great development of factories in the ,argentine1 which turn out agricultural machinery and implements2 some of these have been established with large amounts of capital1 and possess an equipment fully equal to that of the best equipped establishments of ,europe4 ,the ,agricultural ,yield ,having now considered the agricultural progress achieved in the ,argentine1 the areas under seed at different periods1 the prevailing crops1 and the regions in which agriculture is more especially established1 we must now study the results of agriculture2 that is to say1 its yield1 and shall attempt to forecast the future reserved for the country4 ,as we have already stated1 there are no complete statistics available1 such as there are in the ,united ,states and in other countries1 which give in detail the cost of working farms of various sizes1 and the prices at which the latter sell their produce2 and it is only from such details that we can calculate the net profit of each acre4 ,but1 despite this lack1 we can probably find the data we require by resorting to the opinion of those competent in such matters1 either because they are themselves practising farmers1 or because they have set themselves the same problem as that we are facing4 ,in the good lands of the ,provinces of ,crdoba and ,buenos ,ayres1 and in the ,pampa ,centrale1 the hectare may yield the settler #ej piastres 7in notes71 or #d1 #hs42 in other words1 #a1 #aes4 #g-a_/b;d4 per acre2 provided there is no hail1 and if he escapes the other agricultural plagues4 ,some estates this year have produced as much as #bjjj kilos of wheat per hectare1 or #bi bushels per acre2 yielding1 at #f per ton 7the ,argentine ton of #bbje lb47 a yield of #abj piastres#dg 7paper7 per hectare1 or #d1 #es4 #f-a_/d;d4 per acre4 ,estimating the expenses at #be to #cc per cent41 there remains a profit1 let us say1 of #c1 from which we must still deduct some #ajs4 for rent1 so that the labourer draws a final profit of #gj piastre notes per hectare1 or #b1 #ajs4 ,footnote #dg3 ,the piastre note is approximately worth #bb francs1 or #aib pence----#as1 #g-a_/e;d4 ,in one particular establishment1 not far from the station of ,labenlaye1 on the ,buenos ,ayres ,pacific line1 the yield of a family of mtayers1 who cultivate #abe to #aej acres1 and pay a quarter of the crop to the proprietor1 and also work on the cattle-ranch on days when there is no work in the fields1 make an annual profit of #hh a year4 ,this is equivalent of a profit of from #ajs4 #d;d4 to #ads4 #d;d4 per acre1 earned by cultivating the soil as mtayers or tenants in kind1 retaining #ge per cent4 of the crop2 but it must be remembered that this is absolutely a net profit3 all the labourers' expenses1 the cost of nourishment1 clothing1 and other current expenses1 are all debited first2 so that the #hh may be saved or spent or invested4 ,but an argument more eloquent than all the arithmetical demonstrations which we might draw from particular cases is the well-known fact that every year a large number of labourers become the proprietors of the holdings they cultivate1 or acquire other holdings in the neighbourhood4 ,it is by no means an exceptional thing for those who cultivate a tract of land to draw from it in a single year a sufficient sum of money to acquire it for themselves1 while reserving the expenses of sowing and other work to be done before the next harvest4 ,to support this statement1 here are a few exacter details as to the capital required to reclaim a holding and its approximate yield4 ,according to calculations furnished by a man of great experience in matters of colonisation1 the capital required by a family of four or five persons cultivating #bej acres of wheat1 including the expense of installation in the first year1 may be estimated as follows3---- ,s4 ,d4 ,two ,ploughs1 sulky type #ba #b #j ,two ,harrows1 threefold #g #ah #j ,one ,roller #d #h #j ,one ,husker or winnowing machine #ci #ab #j ,twenty ,oxen #hh #j #j ,two ,horses #h #af #j ,two ,carts #ce #d #j ,harness1 chains1 implements1 etc4 #h #af #j ,house1 corral1 well1 fencing #aje #ab #j ----------- #cai #h #j ----------- ,the family or the colonist who does not possess such capital will find rich proprietors or colonists who will furnish him with implements1 draught animals1 and seed corn1 as well as the necessaries of life4 ,the harvest over1 the seed corn is reserved for the next sowing2 the expenses of the harvest are deducted1 and the net profit is halved1 one half going to the proprietor1 and one to the colonist4 ,it is thus that the majority of immigrants begin to earn the capital which enables them to become proprietors4 ,for bachelor immigrants there is another method1 which gives excellent results3 they place themselves with colonists who possess some capital as 8interested servants10 or profit-sharing labourers1 lending their services from the ploughing to the harvest of wheat and linseed4 ,they receive for their services food1 board1 and #f or #g per cent4 of the gross profit of #ajj hectares4 ,they put the sums received during three or four years out at interest1 and have then sufficient money to buy the necessary implements and to become tenant farmers4 ,three or four years later they buy land on the instalment system1 and finally become large land-owners2 one may count by the hundred those who have followed this course1 have become the proprietors of wide tracts of land1 and have to-day made large fortunes4 ,as soon as he is a land-owner the colonist or farmer has already an almost certain future before him1 as the net profits he obtains each year accumulate in geometrical progression1 unless some fatality pursues him3 a thing that is of sufficiently rare occurrence4 ,to gain some idea of his net profits1 we turn to the following details1 which are drawn from a competent source3 ,approximate ,estimate of the ,expenses and the ,yield of #bdg acres of land sown with ,wheat4 ,,expenses4 ,s4 ,d4 ,preparing the soil4----,two ploughings and a raking1 at #bs4 #c-a_/c;d4 per acre #bh #c #b ,sowing1 drilling and harrowing1 at #cch;d4 per acre #c #aj #e ,seed4----#bch bushels of seed corn1 at #h1afs4 per ton #eg #d #j ,harvest4---- ,reaping and stacking1 at #ds4 #bfh;d4 per acre #eb #af #j ,thrashing4----#ddjj bushels 7#abj tons7 of grain1 at #ags4 #f;d4 per ton #aje #ab #j ,sacks4----#aejj1 at #ejbd;d4 each #bf #h #j ,transport4----,to granary1 port or station1 #abj tons at #hs4 #h;d4 per ton #eb #af #j ,rent4----#bdg acres1 at #hs4 #ff;d4 per acre 7approx47 #aje #ab #j ,general expenses4----,repairs1 tools1 dilapidations1 wages1 hire of machinery1 etc4 #eb #af #j ---------------- ,total #dhd #ag #g ,,receipts4 ,sale of #abj tons 7#ddjj bushels7 of wheat1 at #f1 #cs4 ,s4 ,d4 #b-a_/b;d4 per ton 7#cs4 #dbh;d4 per bushel7#dh #gci #d #j ,expenses of growth and preparation #dhd #ag #g ---------------- ,settler's net profit #bed #g #e ,footnote #dh3 ,at the present price 7#bb francs per #ajj kilos1 or about #h1 #afs4 per ton7 the sale would produce #ajef1 a net profit of #ega4 ,this is unusual4 ,in short1 a profit of about one pound per acre4 ,the above figures relate to the property known as 8,la ,vizcaina10 in the ,department of ,bolivar2 it consists of #abc1hjj acres of agricultural land1 or #ahc square miles1 and is the largest agricultural farm in the ,republic belonging to a single owner or held by a single tenant4 ,it must be mentioned that1 on the whole1 the land is high2 it has never been invaded by locusts2 the depth of the mould or upper soil is considerable1 and the property has two railway stations built upon it and a third about #b-a_/b miles distant1 which facilitate the despatch of the harvests4 ,the above figures do not give a precise idea of the farmer's situation1 since agricultural land is let for four years1 and in four years1 six harvests may be obtained 7three of wheat and three of maize71 which sensibly diminishes the cost of working and increases the profits in proportion4 ,we may use the same table as relating to linseed1 substituting #g1 #ahs4 #f;d4 per ton1 or thereabouts1 for the sowing1 and #a1 #as4 per ton for thrashing4 ,in this district linseed-farming is accompanied by certain risks1 on account of the scanty rain and the late frosts2 sometimes the harvest is #g1 #h1 or #aj quintals 7metric7 per hectare2 but it is usually only #c or #d4di ,footnote #di3 ,in normal years1 if the fields have been well worked1 one may count on an average of #cf bushels of wheat per #b-a_/b acres1 or #ad per acre2 #cf bushels of maize per acre1 and #abe bushels of linseed per acre4 ,on virgin land the results are often of great interest2 for it is not uncommon to obtain over #bj bushels of wheat per acre1 7#a bushel #fj lbs474 ,in order that these figures representing the farmer's profit shall give a true idea of the reality1 it must be remembered that besides the wheat crop he can also obtain another and equally profitable crop of maize in the same year1 and he may also increase his profits by fattening pigs and raising game and other products which command a ready sale in the neighbouring towns4 ,these examples must not of course be taken as representing a general law2 the net income of course depends upon the cost of production and the yield of each harvest1 and these two factors may vary infinitely1 where the crops under consideration are as large as those raised in the ,argentine4 ,but what we may affirm is that1 besides a certain number of farms lying fallow1 there are hundreds of thousands of acres of virgin soil1 purchasable at a low price1 on which it is enough to cast the seed1 after a superficial cultivation1 in order to obtain a splendid harvest4 ,in conditions as favourable as these1 and using machinery which enables the farmer to cultivate enormous surfaces with little labour1 there are always serious probabilities of success for the agriculturalist4 ,this it is that explains the great increase of cultivated lands during the last few years1 whether virgin lands divided and sold by the owner1 or lands leased to tenants who pay in kind or give up a percentage of the crops4 99 99 99 99 99 ,in a country whose soil gives such wonderfully abundant yields1 great fortunes1 and fortunes rapidly made1 are common4 ,the ,argentine1 like the ,united ,states1 has her legendary type of immigrant1 who has progressed in a very short time from extreme poverty to great riches1 by applying his energy and initiative to agriculture or stock-raising4 ,here are two of the most notable and best-known1 examples4 ,a few years ago there died in the ,argentine one of the greatest landed proprietors2 a man named ,santamarina1 whose life-history is worth relating4 ,son of a small farmer of ,galicia1 ,santamarina decided1 when about twenty years of age1 to seek his fortune in ,america4 ,his means not permitting him to meet the expenses of the voyage1 he resorted to the classical procedure2 he shipped as a stowaway on a vessel about to leave ,vigo on a voyage1 to ,buenos ,ayres4 ,discovered on the voyage1 the captain had compassion on him1 kept him on the vessel and landed him1 fifty years ago1 in the capital of the ,argentine2 without any resources1 and sustained only by the hope of gaining a livelihood more easily than in ,spain4 ,santamarina immediately made his way towards the great plaza1 where the produce of the country was at that time sold2 and there1 hoping to secure a job1 he spoke to a man who was conducting a wagon1 and whose business it was to bring wool from the country into the ,buenos ,ayres market4 ,this man1 seeing him strong and willing1 offered to share with him his work as wagoner2 but he first inquired of ,santamarina whether he possessed a knife1 as at that time in the ,argentine it was the necessary instrument of defence1 and at need1 of attack1 and was also employed in all the usages of the nomad life4 ,santamarina had no knife2 but he had a piastre1 which the captain had given him before he left the ship1 and with this piastre he bought a knife1 which served in this partnership as his only capital4 ,having led the common wagon for some time1 ,santamarina had saved enough to buy a better one for his own2 then1 chance aiding him1 he purchased a few sheep whose wool he sold2 and finally1 by dint of work1 he succeeded in saving sufficient capital to buy a little land and start sheep-raising on his own account4 ,this was the beginning of his success2 little by little ,santamarina bought more sheep and more land1 and became in the end one of the greater landed proprietors of the ,argentine4 ,he died in #aijd1 leaving a large fortune and a name justly honoured throughout the country4 ,to-day a visitor to his magnificent 8estancia0 of ,tandil may still see1 under a glass shade1 the knife and a model of the wagon which were the first instruments of his fortune4 ,the second story is more commonplace1 but no less true4 ,twelve years ago two ,neapolitan immigrants came to settle at ,rosario4 ,to gain a living1 and no doubt in memory of their former trade1 they founded in partnership a boliche2 that is1 a bar for the sale of drinks4 ,when a certain time had elapsed1 their business being far from prosperous1 they decided that one or the other of the two was one too many1 and so determined to separate4 ,but which of the two should retain the boliche8 ,they drew lots to decide the point2 and he whom chance favoured retained the business alone1 while the other went in search of his fortune elsewhere4 ,the latter1 far from allowing himself to be discouraged1 made for ,rosario harbour1 in search of a new trade3 he assumed that of a dock-labourer or lighterman4 ,this was at the time when the growing of maize was beginning1 in the ,province of ,santa ,f1 to give satisfactory results4 ,our hero1 having spent some time in carrying sacks of grain upon his back from the quays to the vessels about to sail1 conceived the idea of buying1 with his savings1 a sack of maize1 and to sell it retail1 in the country1 for the purposes of seed4 ,this first venture having succeeded1 he continued his operations with a larger number of sacks2 then1 finally1 he abandoned the trade of porter in order to enlarge his new business1 which from that time increased by thousands of sacks1 and soon became a great export business4 ,thanks to the development of the culture of maize in this region1 he has become one of the greatest merchants and speculators in this product1 and enjoys to-day a fortune of many millions1 while his companion1 less happy in his affairs1 still keeps the little drink-shop in ,rosario4 ,,chapter ,,ii ,,the ,,production ,,of ,,wheat ,,in ,,the ,,argentine1 ,,compared ,,with ,,the ,,yield ,,of ,,other ,,exporting ,,countries ,the world's wheat-harvest----,comparison between the statistics of consumption----,the conditions of production in ,russia and in the ,argentine----,comparison with the ,united ,states1 ,india and ,canada---- ,the prospects of the ,argentine export trade in wheat4 ,having described the progress realised by the ,argentine ,republic in the course of the last few years1 it will be not without interest to inquire what are the resources of those nations which are1 or may be1 the competitors of the ,argentine in the world-market and in the production and consumption of wheat4 ,here1 according to the most reliable sources1 are the figures relating to the average yield of wheat in the whole world during the last sixteen years3---- ,period ,year #ahid-aijc4 #aijd4 #aijg4 ,europe 7bushels of #fj lbs47 #a1dfh1jjj1jjj #a1fef1jjj1jjj #a1feb1jjj1jjj ,america 0 #fhd1jjj1jjj #gef1jjj1jjj #hhi1jjj1jjj ,asia and ,australia 0 #bie1jjj1jjj #cif1jjj1jjj #deh1jjj1jjj ,africa 0 #dc1jjj1jjj #eg1fjj1jjj #ed1hjj1jjj ------------- ------------- ------------- ,totals 7approx47 #b1dij1jjj1jjj #b1hfe1fjj1jjj #c1jej1jjj1jjj ------------- ------------- ------------- ,we see that the ,european production of wheat represents nearly #ei per cent4 of the world's production1 for a population which1 according to the calculations of ,m4 ,levasseur1 consists of about #daa millions of inhabitants4 ,if we reduce this figure by one-fourth1 thus eliminating infants and the aged1 we find that this population disposes of only #bgbh lb4 of wheat per head1 or #ebab lb4 less than the 8type0 or standard ration of #gich lb4 per annum1 recommended by the ,bureau of ,experimental ,stations of the ,ministry of ,agriculture of the ,united ,states1 after long and patient research4 ,in pursuing this inquiry into the distribution of wheat production among all the countries of the world1 we shall be able to judge of the rank occupied by the ,argentine ,republic1 and by so doing to rectify an error which is frequently committed1 the error of confounding exportation and importation1 which gives this country a very different place to that which is its right4 ,here are the figures showing how the production of wheat is distributed3---- ,,country4 ,period4 ,year4 ,year4 #ahid-aijc4 #aijd4 #aijg4 ,united ,states 7bushels of #fj lbs47 #egf1jjj1jjj #ejd1jjj1jjj #fja1jjj1jjj ,russia 0 #cfj1jjj1jjj #fje1jjj1jjj #edg1jjj1jjj ,france 0 #caf1jjj1jjj #bij1jjj1jjj #ccf1jjj1jjj ,austro-,hungary 0 #ahj1jjj1jjj #agj1jjj1jjj #aig1jjj1jjj ,argentine ,republic 0 #gf1jjj1jjj #adg1jjj1jjj #agg1jjj1jjj ,italy 0 #aai1jjj1jjj #adc1jjj1jjj #adh1jjj1jjj ,spain 0 #ic1fjj1jjj #ia1hjj1jjj #aji1fjj1jjj ,germany 0 #aaf1jjj1jjj #add1jjj1jjj #aja1gjj1jjj ,canada 0 #fc1jjj1jjj #fg1cjj1jjj #hb1jjj1jjj ,roumania 0 #eg1fjj1jjj #ej1gjj1jjj #ed1hjj1jjj ,england 0 #ed1jjj1jjj #cf1gjj1jjj #dg1jjj1jjj ,bulgaria 0 ---- #ej1gjj1jjj #db1hjj1jjj ,asiatic ,countries 0 ---- #cdj1jjj1jjj #cfd1jjj1jjj ,australia 0 ---- #ei1djj1jjj #hb1jjj1jjj ,other ,european ,countries 0 ---- #gh1hjj1jjj #fe1djj1jjj ,african ,countries 0 ---- #dg1jjj1jjj #ed1hjj1jjj ,other ,american ,countries 0 ---- #bi1jjj1jjj #bg1jjj1jjj ------------- ------------- ,totals 7approx47 #b1hij1jjj1jjj #c1jcj1jjj1jjj ,this table shows that in #aijg the ,argentine occupied the fifth place as a wheat-growing country4 ,if we compare this production of wheat with the minimum ration of #gich lb1#ej which is considered indispensable to human nutrition1 we see that apart from ,european ,russia1 with its #aaf million inhabitants1 there is left for the remaining #cjj millions of ,europeans1 less a quarter1 as we have explained above----that is1 for a population of #bbe millions----about #a1bjj1jjj1jjj bushels of wheat4 ,this quantity represents an average of #aeae lb4 per head per annum1 or a deficiency of #bdig lb4 per head4 ,footnote #ej3 ,there seems something improbable about this figure4 ,for one thing1 very few people could eat over #b lb4 of wheat----representing over #c lb4 of bread----per diem2 and white bread forms no important part of the diet of most populations4 ,probably the figures represent the amount of bread necessary to a hardworking labourer1 whose dietary consists chiefly of bread----a diet only common to the south of ,england4----,,trans4 ,the population of ,germany1 estimated at #ei millions1 has only #adgd lb4 of wheat per head1 making a deficiency of #fddf lb4 per inhabitant4 ,the ,united ,kingdom furnishes its #db1ejj inhabitants with only #ejf lb4 of bread per annum1 leaving a deficiency of #gdad lb4 per head4 ,thus ,europe1 which1 without ,russia1 produces more wheat than the rest of the world1 does not produce enough for her own consumption1 low as it is4 ,it is therefore necessary to seek out these wheat-producing countries which are in a position to make up this deficiency4 ,now at the present time there are very few such countries2 they are ,russia1 the ,united ,states1 the ,argentine ,republic1 ,canada1 and ,india1 and among these it is the ,argentine for which the most important place seems to have been reserved4 ,russia has hitherto been one of the great providers of wheat to ,europe2 but it would seem that this position is not one that she can retain4 ,russia is far from having attained the degree of agricultural evolution which the ,argentine has achieved2 it is true that she exports #hj per cent4 of her wheat harvest1 but then the ,russian peasant eats only rye bread4 ,of the #cbf millions of acres of cultivated land in ,russia1 #cj millions only are devoted to wheat1 or rather less than double the area used for the same cereal in ,france1 or just double the wheat-area of the last ,argentine harvest4 ,in the wheat-belt of ,tchernoziom1 the black earth is all in cultivation1 and its extent cannot be further increased4 ,fertile though this soil may be1 and although its depth is from #ab to #dj inches1 the results amount to no more than four or five grains of wheat for each grain sown4 ,the last harvest gave about #eed bushels per acre1 while the average in ,france is #bj bushels4 ,these results are due chiefly to the poverty and ignorance of the ,russian peasant2 it often happens that his wheat crop no longer belongs to him1 having been sequestrated by the tax-gatherer in payment of unpaid taxes4 ,on the other hand1 the ,russian peasant cannot procure agricultural machinery1 the price of which is increased by exaggerated tariffs4#ea ,he cannot even obtain draught animals1 his wretched resources not allowing him to procure them4 ,footnote #ea3 ,more3 when it is provided for him he frequently will not use it2 or it undergoes a series of remarkable accidents1 so that the harvest has to be gathered by hand4 ,this is more especially the case where he is reaping another's harvest1 when his object is to ensure the employment of more hands4 ,he is unable to understand that machinery means wealth and development4 ,it is only fair to say that it seldom does in ,russia1 as he cannot easily get more land of his own1 and his master's estate is often hemmed in by others4----,,trans4 ,if to these factors we add the progressive exhaustion of the soil1 we see that the production of ,russian wheat for export is very near its limit2 the more so as the home consumption of wheat tends to increase with the economic development of the country4 ,we can hardly wish otherwise than that these peasant farmers1 habituated to a life of poverty1 should themselves consume some of the wheat they produce1 instead of contenting themselves with rye4 ,let us now compare this picture of ,russian production to that presented by the ,argentine4 ,what is it that is responsible for the superiority of the ,argentine ,pampa over the ,russian steppes8 ,it is the inexhaustible fertility of a virgin soil1 which produces abundant crops1 without necessitating artificial enrichment1 nor even the system of the rotation of crops4 ,the soil yields harvests of #bj bushels to the acre1 without exhaustion1 producing for many years in succession1 as it is doing now in ,chubut1 in the south of ,buenos ,ayres1 and in ,crdoba1 while the yield of the ,russian harvests is only #ee bushels4 ,for the exploitation of this wealth1 ,argentine agriculture employs the most perfect machinery to be obtained in the world1 employing thousands of horses also1 to drive it2 while the ,russian peasant has to work with his own hands1 having neither machines nor horses to multiply his strength4 ,what shall we say of the prosperous and fortunate situation of the ,argentine colonist1 who is not only enabled out of the fruits of his labour to have bread and meat in abundance upon his table1 but is often in process of acquiring1 and that without long delay1 the earth he cultivates4 ,his happy lot has nothing in common with that of the ,russian peasant1 the veritable serf of the soil1 who never gets so far as to eat the smallest crumb of the wheat he has harvested4 ,the one labours under a soft1 benign sky1 which does not expose him to the rigour of extreme temperatures in an atmosphere of freedom and brotherhood which make for energy1 while the other labours at his furrow in a severe and unequal climate1 and under a system of political oppression which crushes his individuality and diminishes the value of his efforts4 ,a comparison between the social and economic conditions of agriculture in the two countries inclines us to conclude1 without prejudice1 that ,russia cannot be considered a dangerous rival to the ,argentine or the markets of the world4 ,the ,republic of the ,united ,states of ,america is incontestably the first wheat-growing country in the whole world2 and it is interesting to consider whether this country1 which is also the greatest exporter of wheat1 will remain in the future1 in spite of the growth of internal consumption1 a formidable rival to the ,argentine in the markets of the world4 ,let us first of all consider what great progress there has already been in the production of wheat in the ,united ,states4 ,year4 ,population4 ,production4 ,proportion ,exported4 7in ,millions of ,bushels47 ,per cent4 #ahgg #df1cec1jjj #bhj #bef #ahhb #eb1die1jjj #cgc #cah #ahhf #eg1djd1jjj #cdf #bfe #ahia #fc1hdd1jjj #chf #bff #ahid #fg1fib1jjj #chc #dae #ahig #ga1eib1jjj #dad #cci #aija #gg1fdg1jjj #ejf #dacf #aijd ---- #ecc ---- #aije ---- #fde ---- #aijf #hd1baf1dcc #ffi #bff #aijg ---- #fba #bda ,in the ,united ,states the area under wheat has considerably increased1 but the yield per acre has steadily decreased4 ,thus we find that in #ahge the yield was #abc bushels per acre2 #ag bushels per acre in #ahgi2 #aag in #ahhc2 #adi in #ahib2 #acd in #ahii2 #aje in #aijb2 #aj in #aijc2 and #acf in #aijd4 ,thus in spite of the increased yield1 the results per acre have not increased1 and the average of #aijd is inferior to that of #ahgi2 while in ,france the average yield has been one of #bj bushels per acre from #aijj to #aijd4 ,the national census of the ,united ,states for #aijj contains a graphic chart1 which represents the average yield2 from which we find that only in the north-west1 certain districts of the west1 and in a portion of the ,states of ,washington1 ,oregon1 and ,california has the production equalled this maximum of #bj bushels per acre2 in most other localities1 which afford the vast majority of cases1 the yield has varied between #he and #aef gallons per acre4 ,having glanced at the production of the ,united ,states1 we must inquire whether this great nation is increasing its exportation of wheat proportionately1 and how far such exportation may prove an obstacle to the development of the ,argentine4 ,the following figures representing the years of the largest export of wheat1 will throw light upon this matter4 ,years4 ,wheat ,exported4 ,price4 7,millions of bushels47 7,per ,bushel on the ,dock47 #ahgi #ade #es4 #e-a_/b;d4 #ahib #bah #es4 #c;d4 #ahih #baj #es4 #j;d4 #ahii #bad #cs4 #aj-d_/e;d4 #aija #bji #cs4 #h-c_/d;d4 #aijb #bbg #cs4 #aa-a_/d;d4 ,we see that in spite of the ,european alarmists1 who in #ahgf denounced the 8,american ,wheat ,peril10 it took fourteen years for the exports to increase from #ade to #bah millions of bushels1 and that the latter figure has been only four times surpassed since #ahib4 ,the production of wheat1 on the other hand1 increased #aaf per cent1 between #ahge and #aijc1 while the population1 during the same period1 increased only by #hb per cent4 ,but we must not forget that although the increase in population is constant1 that of production is not----indeed1 the harvest of #aija amounted to only #bgc million bushels of wheat1 as compared to #bhj millions in #ahgg4 ,there is a decrease in years of bad harvests1 but the population naturally knows no such decrease4 ,the consumption of wheat did not increase between the census of #ahij and that of #aijj2 the average remained #dbdf lb4 per head1 representing a deficit of #cfhh lb4 below the standard allowance of #gicd lb4 ,on the other hand1 as the population increases by about #a-a_/d or #a-a_/c millions per annum1 while consumption remains stationary1 we may conclude that if this country has not yet reached its maximum of wheat-production1 it is very near that stage1 and that the moment is approaching at which all its wheat harvest will be absorbed by internal consumption1 to the detriment of the export trade4 ,we have mentioned ,india as a wheat-exporting country2 but it is no longer a rival to the ,argentine in the conquest of the international markets4 ,here is the comparative table of exportation from ,india and the ,argentine4 ,years4 ,india4 ,the ,argentine4 7,millions of ,bushels47 7,millions of ,bushels47 #ahia-b #ede #cdb #aijj-a #i #cfh #aijb-c #ahe #fjj #aije-f #bfg #ajij #aijf-g #bhi #ajfh ,a mere glance at these figures is more eloquent than any commentary1 since the exportation of wheat from ,india increased by barely #aj1jjj1jjj bushels between #aijb and #aijg1 while that from the ,argentine increased by #df1jjj1jjj bushels4 ,on the other hand1 it is known that ,india exports only #aj per cent4 of her harvest1 although her extremely frugal population consumes only #abf lb4 of wheat per head1 instead of the #gicd lb4 we have taken as our basis of annual consumption4 ,we see then that the production of ,india1 if her population consumed a normal amount of wheat1#eb would not satisfy the national requirements1 so that far from exporting wheat she would1 on the contrary1 be forced to import large quantities from without4 ,footnote #eb3 ,there is really no such thing as a normal consumption of wheat1 especially for ,india4 ,the amount consumed is a matter of climate1 local or national foodstuffs1 fuel1 methods of cooking1 etc4----,,trans4 ,canada is among those wheat-growing countries whose competition is most to be feared2 and this for many reasons----geographical1 political and economical4 ,if ,argentine statesmen do not seriously apply themselves to attracting a foreign population1 and to reducing the expenses which press upon the inhabitants1 the ,argentine will run the risk of being supplanted in the future by this important ,british colony4 ,canada1 from many points of view1 presents a singular analogy to the ,argentine ,pampas4 ,like the latter1 it is an almost desert country1 its area being #c1aij1jjj square miles 7nearly #b millions more than the ,argentine71 with a population of #e1cga1jjj1 or slightly less than that of the ,argentine2 and like the latter1 ,canada is a country in process of formation4 ,a similarity which completes the comparison is that the exports of ,canada consist principally of the products of agriculture and stock-raising4 ,her principal client for wheat is ,england2 in #aijf-aijg the harvest was #hd1dgj1jjj bushels1 and #da1jcc1jjj bushels were exported2 or almost exactly half4 ,here we should remark that the ,canadian ,government is making every effort to increase the population1 and spares no pains to attain its object4 ,in contrast to what has been done in the ,argentine1 where the public lands have only served to form latifundia1 and to enrich a few individuals1 the soil in ,canada is sold by the aid of accurate maps1 which are accompanied by a mass of information upon questions that may interest prospective colonists2 more1 the purchaser is given all kinds of facilities for payment1 as well as for meeting the first expenses of installation4 ,thanks to a rational and active propaganda1 immigration is abundant2 the figures for #aijc were #abh1cfd1 compared with #aab1fga in the case of the ,argentine4 ,finally1 ,canada contains #ai1ejj miles of railways1 as against #ac1fjj in the ,argentine4 ,from the foregoing data we may conclude that the countries capable of exporting wheat are far from numerous1 and that the area sown with cereals throughout the world is comparatively small4 ,hitherto wheat has been grown on an extensive scale in the ,united ,states1 ,russia1 and ,india2 the agriculturalist demands everything of the soil and gives it nothing1 so that the alternative will soon arise of losing the harvest1 or of restoring fertility to exhausted soils1 by means of costly manures which will absorb enormous sums4 ,then the legend of new countries will have had its day4 ,to resume3 there exists an enormous discrepancy between the needs of the consumer and the production of wheat2 and the ,argentine ,republic1 thanks to a concatenation of favourable economic and physical circumstances1 is certainly in the best position in a great measure to supply this deficiency4 ,but to obtain the desired result it is indispensable that she should still increase her population1 and that the colonist should find upon the hospitable ,argentine soil not only the guarantees of liberty and justice1 but conditions propitious to his evolution as a land-owner4 ,,chapter ,,iii ,,stock-,,raising ,the transformation of the2 old 8estancia0----,the principal stock-raising establishments3 description1 extent1 number of heads of cattle and favorite breeds----,the great 8estancias0 of the ,south and ,patagonia4 ,approximate area of the soil devoted to cattle and sheep2 general estimate of the numbers of cattle and sheep----,results of the census of #aijh----,the capital represented by ,argentine stock-raising4 ,having spoken of agriculture and its future1 we must mention another industry1 which is the second source of national wealth----the pastoral industry4 ,as a result of the rapid rise in the value of land1 and the multiplication and selection of animals1 the old form of ,argentine stock-raising is undergoing1 at the present time1 a profound modification throughout the country4 ,the traditional ranch or estancia1 on which the animals browsed at will on vast prairies enclosed by wire fences1 exposed to all the variations of the weather and all the vicissitudes of the temperature1 feeding only on the grass of their pastures4 ,this old type of estancia is gradually disappearing2 is undergoing a transformation into carefully-managed farms1 on which artificial prairies are constructed2 farms with lucerne fields of #ab1jjj1 #be1jjj or #ej1jjj acres1 surfaces difficult for a ,european to conceive4#ec ,footnote #ec3 ,a field of #ab1jjj acres would be1 for instance1 #d miles wide and over #d-a_/b miles long2 one of #be1jjj acres1 #f miles wide and #f-a_/b miles long2 one of #ej1jjj acres1 #g miles wide and #aa miles long4----,,trans4 ,the science of pedigree herds and the culture of carefully-enclosed pastures have created1 says a distinguished writer1 the true pastoral industry1 in which stables and barns and sheds take the place of the ancient 8corral40#ed ,the wealthy owner drives from the railway station to his estancia in a carriage2 the old rustic ranch-house is transformed into a true country-house1 sometimes a veritable chteau1 with a park and gardens4 ,there are estancias within a hundred leagues of ,buenos ,ayres which we remember as desert country in the power of the ,indians1 where now traps and carriages of ,english type are seen crossing the plains1 where folk dine in evening dress in luxurious homes4 ,the ,european stock-breeders have driven back the ,gaucho to the great estates on the borders of the desert4 ,footnote #ed3 ,cf4 ,costumbres y ,creencias populares de las ,provincias ,argentines3 ,a lecture by ,m4 ,p4 ,groussac at the ,world's ,congress at ,chicago1 ,june the #dth1 #ahic2 published in ,la ,nacion of the #bcrd of ,october #ahic4 ,nothing would be more difficult----and for our part we renounce the task----than to say which are the first stock-raising establishments of the ,republic2 whether by reason of their extent1 the numbers and the breed of their animals1 or the magnificent dwellings of their owners4 ,establishments of this type are to be counted by hundreds1 by thousands4 ,nevertheless----though exposed to the danger of falling into inevitable errors or omissions1 for lack of precise information----we must not forget to mention the ,estancia ,san ,juan1 founded by ,seor ,leonard ,pereyra1 at a distance of #be miles from ,buenos ,ayres1 and a mile and a half from the ,la ,plata1 and consisting of over #dj square miles of meadows in full luxuriance4 ,then there is the ,estancia ,san ,jacinto1 belonging to ,seor ,hugel ,t4 de ,alvear1 an establishment reputed as one of the foremost in the country1 which embraces an area of #bdd square miles1 or about one-third the area of the county of ,surrey4 ,of this enormous area some #fd square miles are under lucerne1 and support #ajj1jjj ,durham cattle1 #ajj1jjj ,lincoln sheep1 and #aj1jjj horses4 ,the ,estancia la ,gloria of ,santamarina ,sons1 situated at ,laprida1 in the ,province of ,buenos ,ayres1 comprises #ade square miles1 and supports #bj1jjj cattle and #fj1jjj sheep4 ,another establishment1 which might be taken as a model1 is the ,estancia ,san ,martin1 the property of ,seor ,vincent ,l4 ,casares2 which is situated at ,cauelas1 and covers an area of some #cj square miles4 ,the specialities of this establishment are the breeding of draught-horses----,morgans1 ,hackneys1 ,shires and ,clydesdales2 the breeding of cattle----,durhams1 ,holsteins and ,swiss----of which the finest individuals are kept for breeding1 and the second-grade animals fattened for export2 the keeping and selling of bulls of the three varieties named for general breeding purposes2 and finally the breeding of pedigree rams of the ,lincoln and ,negrete breeds1 and also of pure cross-breeds and of pure-blooded ,yorkshire pigs4 ,the horses from this estancia have a merited fame throughout the ,argentine1 and are even beginning to be known abroad4 ,a portion also of this estancia is an establishment known as ,la ,martona1 which alone supplies three-quarters of the milk consumed in ,buenos ,ayres1 and which also manufactures butter for home consumption and for export4 ,another of the great stock-raising establishments of the ,republic is the ,seor ,carlos ,casares' ,estancia ,huetel1 about #aej miles from ,buenos ,ayres1 on the ,southern ,railway4 ,it occupies an area of some #bdj square miles1 all enclosed by wire fencing1 and divided into forty-two stock-raising establishments1 with fifty-seven shepherds' houses and five managers' houses4 ,this establishment contains about #fb1jjj ,durham cattle1 #hg1jjj ,lincoln sheep1 with pedigree rams1 imported or born on the estancia1 and #dbjj ,clydesdale horses1 draught-horses and saddle-horses4 ,about #aa1jjj acres are sown with lucerne1 and #ejjj with maize1 wheat1 oats and linseed4 ,there are fifty-six or more imported bulls1 and notably one of the finest of his race1 the celebrated ,aguinaldo1 winner of the first prize awarded by the ,agricultural ,society4 ,the park of this estancia draws the attention of visitors2 it is #ejj acres in extent1 and contains some #ebj1jjj forest trees1 #hgj1jjj shrubs1 and #ce1jjj young trees4 ,the total number of trees on the estate is over #b millions4 ,there is a school on the estate1 all the expenses of which are paid by the proprietor4 ,the ,estancia ,san ,jacinto1 owned by ,seor ,saturnin ,j4 ,unzue1 also merits a special description4 ,it is a few hours distant from ,buenos ,ayres1 and covers an area of some #ee square miles4 ,it supports #aj1jjj cattle and #cj1jjj sheep4 ,on this estancia the ,durhams have been brought to a great pitch of perfection4 ,the stud is famous for its saddle-horses1 and contains #adj pedigree animals1 imported or born in the country4 ,las ,palmas1 belonging to ,colonel ,alfred ,t4 ,urquiza1 would figure as a model establishment in any country in the world4 ,in the ,province of ,buenos ,ayres1 in which it is situated1 it would be difficult to find a pedigree stock-raising establishment so well organised1 and so well adapted to its purpose4 ,the estate consists of some #djjj acres1 overlooking the majestic ,parana de las ,palmas1 with its green islands1 which reach as far as the ,rio de la ,plata4 ,here about #cjjj beasts are annually fattened for export4 ,the cattle are shorthorns1 and the horses ,hackneys4 ,yet another establishment1 which must be reckoned one of the best in the ,argentine1 is the ,cabaa ,san ,gregorio1 belonging to ,seor ,gregorio ,villafae2 an ,argentine who in strict justice ought to be mentioned as one of the first breeders in the country1 on account of the intelligent efforts and pecuniary expenditure devoted by him to improving the breeds of cattle1 sheep1 and horses1 during many years of personal labour4 ,seor ,villafae's establishment is not of very great extent1 its area being only #ah1jjj acres1 but is notable for the great number of its pedigree cattle and the purity of type to be observed in his sheep4 ,he devotes himself chiefly to breeding ,durham and ,hereford bulls1 ,lincoln rams1 ,hackney and ,clydesdale stallions1 collie dogs1 fox-terriers1 ,brahma fowls1 ,catalans1 ,dorkings1 and ,plymouth ,rocks4 ,we must also mention the ,estancia ,san ,pascual del ,moro1 the property of ,seors ,adolfo and ,rufino ,luro4 ,it is famous for its stud of race-horses1 from which issued1 in #aijd1 the great winner of the season1 ,old ,man4 ,this long list of breeding establishments would still be incomplete indeed1 did we fail to make special mention of the ,estancia ,chapadmatal of ,seor ,m4-,a4 ,martinez de ,hoz1 who has made the greatest efforts to raise his establishment to the level of the best ,european models4 8,equal to the best in ,europe10 was the judgment of a competent and impartial observer1 ,colonel ,holdich1 who1 in his last book1 entitled ,los ,paises del ,fallo del ,rey1 bestows upon it this well-merited praise3---- 8,a well-known estancia1 that of ,seor ,michel-,alfred ,martinez de ,hoz1 near the ,mar del ,plata1 surprised me by the singular character of its surroundings4 ,the soil1 with its irregularities1 had the look of an ,english park4 ,little hills and knolls1 one after another1 stretched away1 covered with their golden harvest1 with soft undulations1 to the precipitous borders of the sea2 instead of the eternal barbed-wire fence1 living hedges were already springing up1 dividing the fields and the pastures4 ,on the highest hillocks rose stacks of oats1 carried up from the fields in the high-wheeled wagons characteristic of the country-side2 and there the stacks were being rapidly built by hand-labour4 ,it was a beautiful rustic scene4 8,lower to the right1 on the softer soil by the banks of a stream1 which descended babbling to the sea1 through beds of rushes and buttercups1 was a pasture2 here1 standing in the branches of the bank1 were the ,shire horses2 they formed animated groups1 and placidly watched our movements2 they were the most magnificent examples to be found out of ,lincolnshire4 ,further down still1 on drier soil1 was a troop of mares1 of an ,english-,creole cross1 with their foals4 ,these animals were for draught1 and the excellence of their breeding is proved by the registers of the ,argentine ,rural ,society1 which record the prizes awarded to the ,estancia ,chapadmatal4 8,in a higher part of the estate1 in a quarter reached through long avenues of poplars1 which lead thither from the house1 and where the ground is covered with forests of eucalyptus or willows1 are the bulls and cows4 ,the ,argentine stock-breeder does not consider expense when it is a matter of importing good ,english cattle for breeding purposes4 ,the chief estancia has a series of breeding bulls1 which are led before the visitor1 each by his special keeper1 with the same pomp and ceremony as the stallions which precede them in the brilliant review4 ,it is not only near the capital and the principal centres of population that we find these model estancias1 which afford their owners every ,european comfort4 ,they are to be found also in the extreme south of the country1 in the solitudes of ,patagonia1 near the #ejth degree of south latitude40#ee ,footnote #ee3 ,cf4 ,annales de la ,sociedad ,rural ,argentina1 ,no4 #d1 #cjth ,april #aijb1 p4 #aei4 8,from the ,river ,coyle1 from ,puerto ,gallegos and ,magellan ,straits1 to a point near ,last ,hope10 says an ,argentine traveller1 ,mr ,george ,j4 ,m',lean1 who visited these regions a few years ago1 8the country is fairly peopled1 and one comes across estancias1 such as ,el ,condor1 the property of ,messrs ,wood ,waldron1 an establishment of #ccg1ejj acres1 with a wire-fenced enclosure containing #afj1jjj sheep1 equipped with forty steam shearers1 with hydraulic presses1 and sheep-dips warmed by steam calorifier4 ,it is a common thing to find estancias1 many of which are fenced with wire1 feeding #dj1jjj1 #fj1jjj or #gj1jjj sheep4 ,the most important are united by telephone1 by which means they communicate not only with each other1 but with ,puerto ,gallegos or ,punta ,arenas4 ,i have spoken down these over a distance of #cjj miles4 ,in the ,chilian portion of ,tierra del ,fuego1 there is a telephone connecting ,cape ,dungeness with ,punta ,arenas1 and also to the channels of ,last ,hope40 ,in the ,territory of ,santa ,cruz is the ,estancia ,san ,julian1 belonging to the ,san ,julian ,sheep ,company4 ,this 8estancia0 has an area of #bif1jjj acres----#dfbe square miles----and contains #gj1jjj sheep1 with an annual yield of #ij per cent4 of lambs1 or #fc1jjj4 ,in the same ,territory is another very prominent estancia1 the property of the ,patagonian ,sheep and ,farming ,company ,limited4 ,this embraces an area of #dga1jjj acres----#gcd square miles----the area of a medium-sized ,english county4 ,finally1 in the same ,territory is a vast property of #gjj1jjj acres----#ajfj square miles----belonging to the ,bank of ,antwerp4 ,in the ,territory of ,chubut1 which for some years has been a favourite locality for ,european capital and ,european immigrants1 and which contains a large ,french colony1 there is a very important estancia belonging to the ,lochiel ,sheep ,farming ,company ,limited1 which covers an area of #cbg1jjj acres1 and contains #ce1jjj sheep4 ,another foreign company established in the southern part of the ,argentine1 8,the ,argentine ,southern ,land ,company10 possesses #a1eah1jjj acres of land1 of which #hei1jjj are in the ,territory of ,rio ,negro1 and #fei1jjj in that of ,chubut4 ,this company was established in #ahii1 with a capital of #bcj1jjj1 later reduced1 on account of business misfortunes1 to #adj1jjj1 which is the present capital4 ,on this company's lands are #de1jjj cattle1 #dj1jjj sheep1 and #dcjj horses4 ,in all these establishments1 and in many others which we are unable to cite1 as it is difficult to obtain precise information concerning them1 we find that1 thanks to the intelligent efforts of their owners in seeking to import the best breeds of the most famous ,european breeding establishments1 there are now many stallions1 bulls1 and rams of the purest blood and of great value1 which are either imported or selected2 and through these the general stock of the country has reached a very high quality of race4 ,all stock-breeders1 even the smallest1 are aware to-day of the great advantages to be obtained by crossing selected animals with sires of pure blood1 and the result has been a great advance in the stock-raising industry4 ,the statistics of importation show that in nine years1 from #ahii to #aijg1 plus eleven months of #aijh1 there have entered the country from ,england1 where the ,argentine breeder usually seeks his stud animals1 #aj1jdj bulls and cows1 and #ce1jid sheep4 ,these two figures alone show the importance which the ,argentine breeder attaches to the improvement of the breed of his flocks and herds4 ,the prices paid for these animals are sometimes extravagant2 in one case #cebj was paid for a bull2 but land-owners willingly pay such sums in the certainty that such sires will bring them considerable profits4 ,the area at the disposal of the ,argentine stock-raiser is still practically unlimited4 ,we need only remember that of the #gej millions of acres which roughly represent the area of the ,argentine soil1 one-half1 or some #cge millions of acres1 are adapted to stock-raising4 ,of this enormous area some #ahe millions might be sown at once with cereals and fodder1 notably in the coast ,provinces1 in ,crdoba1 and the ,pampa1 and there remains as much more for stock-raising1 without taking into account the millions of animals that might be nourished by intensive culture in the cultivated zone4 ,this extension would allow of the existence of #dj million cattle and #bjj million sheep4 ,results of the ,census of ,stock taken in #aijh ,what is the amount of stock at present in the ,argentine ,republic8 ,we are in a position to answer this question1 one of the present writers1 ,seor ,a4 ,b4 ,martinez1 having been appointed ,director of the last agricultural and pastoral census1 which was taken during the first fortnight of ,may #aijh1 according to a law passed by ,congress4 ,the work which sums up the results of this important undertaking is in three volumes1 and is at present in the press2 thanks to which fortunate circumstance we are able to anticipate its publication1 and to give our readers the benefit of this investigation4 ,the census of agriculture and stock-raising1 undertaken over the entire territory of the ,republic1 has revealed the existence in ,argentine territory of #bi1aaf1fbe cattle1 #g1eca1cgf horses1 #dfe1jcg mules1 #bhe1jjj asses1 #fg1baa1ged sheep1 #c1ide1jhf goats and #a1djc1eia swine4 ,if we compare these results with those of the two previous censuses1 that of #ahhh and that of #ahie1 we obtain the following table3---- ,,census4 ,cattle4 ,horses4 ,sheep4 ,swine4 #ahhh #ba1ifc1icj #d1bfb1iag #ff1gja1jig #djc1bjc #ahie #ba1gja1cbf #d1dde1hei #gd1cgi1efb #feb1gff #aijh #bi1aaf1fbe #g1eca1cgf #fg1baa1ged #a1djc1eia ,we see from these figures that in twenty years1 between #ahhh and #aijh1 the number of cattle has increased by #g1aeb1fie head2 and in thirteen years1 between #ahie and #aijh1 by #g1dae1jii head4 ,the number of horses has increased by #c1bfh1dei between #ahhh and #aijh1 and by #c1jhe1eag between #ahie and #aijh4 ,sheep have increased by #eaj1feg between #ahhh and #aijh1 but decreased by #g1afg1hjh between #ahie and #aijh4 ,swine1 far from numerous if we compare their numbers with these obtained from other countries1 present a continual increase3 #a1jjj1chh between #ahhh and #aijh1 and #gej1hbe between #ahie and #aijh4 ,the decrease of #gjj1jjj in the numbers of sheep in thirteen years is in keeping with what has been observed in the principal wool-producing countries4 ,authorities assure us that of the #djj millions of sheep which existed in various parts of the world in #ahgc1 there remain to-day barely #cjj millions4 ,in ,germany1 for instance1 to go by the ,journal des conomistes1 the number of sheep has dropped from #ai millions to #g millions in a space of twenty-five years4 ,the causes of this constant diminution are numerous4 ,first of all we will take the development of agriculture1 which has expelled the sheep4 ,according to an eminent collaborator in the census1 8,the sheep has to walk1 must walk far and wide1 must walk always1 in order to eat sufficiently----unless he does so1 his food will be too costly2 he is essentially a vagabond1 and he consequently requires a great space and continual supervision40#ef ,for these reasons the ,european small farmer prefers1 if he can1 to keep one or two cows in his cow-shed and suppress the sheep entirely4 ,footnote #ef3 ,probably the sheep would pay better if kept more as cattle are kept4 ,the theory of long marches only applies to enormous flocks1 so thick upon the ground that they must walk miles a day1 eating all the time4 ,if the whole herd of sheep on a large sheep-farm were divided into many small flocks1 and the farm into1 say1 ten times as many pastures1 each flock might be turned for two days into each pasture1 so that it would have three weeks' growth on it before the flock returned3 or1 if large enough to feed the sheep twenty days1 it would have twenty weeks in which to recover----time to grow a crop of leguminous fodder1 after which a splendid crop1 or series of crops1 of cereals could be grown upon it4 ,under such a system the sheep would wander less1 fatten quickly and be more tender4 ,english sheep-farming is on an infinitesimal scale1 but the profits from a small flock changed from pasture to pasture are often very considerable4----,,trans4 ,sheep-breeding really gives encouraging results in regions where the area of the soil and the prairies is out of all proportion to the number of labourers available for its culture4 ,land given up to sheep cannot support the high rents paid by the producers of cereals2 this is the principal cause of the decline of sheep-farming all the world over4#eg ,footnote #eg3 ,other causes are3 the invention of mixtures of cotton and wool2 the use of silk and mercerised cotton2 and the production of cellular or netted cotton and linen underclothing1 which is healthier and cheaper than wool1 and equally warm2 also the improvement of wool-bearing breeds1 through which fewer sheep will produce the same quantity of wool4 ,the export of cheap beef from ,america is another active factor4----,,trans4 ,the following table gives the total number of beasts of various kinds1 classed according to purity of breed3---- ,species4 ,pure4 ,cross-bred4 ,native4 ,total4 ,cattle #ihd1hig #ac1jfj1ddf #ac1jga1bhb #bi1aaf1fbe ,horses #di1jjj #a1fic1jcg #e1ghh1gci #g1cca1cgf ,mules ---- ---- #dfe1jcg #dfe1jcg ,asses ---- ---- #bhe1jhh #bhe1jhh ,sheep #a1agi1dhb #ee1ddh1gdi #aj1ehc1ebc #fg1caa1ged ,goats #c1cba #abi1hjj #c1haf1ife #c1ide1jhf ,swine #cd1dfb #ehi1abf #ghj1jjc #a1djc1eia ,in the matter of cross-breeding the ,argentine has made astonishing progress1 the proof of which is to be found in the comparison of the figures for #ahie with those of #aijh4 ,it is enough1 for our purpose1 to mention that in #ahie1 in the ,province of ,buenos ,ayres1 out of #ajj cattle1 #f per cent4 were of pure blood3 #dib per cent4 were cross-bred1 and #ejb per cent4 were of native breeds2 and that thirteen years later these figures were transformed into #fb per cent4 of pure blood1 #hea per cent4 of cross-bred cattle1 and #hg per cent4 of native breeds4 ,this improvement in the ,province of ,buenos ,ayres is repeated in the other more productive ,provinces1 and in the case of other species of animals4 ,we have stated that the number of cattle in the ,argentine ,republic is over #bi millions2 this number may be analysed1 according to sex1 age1 etc41 in the following manner3---- ,year #aijh4 ,male calves #c1hbj1ddc ,heifers #c1eaa1dab ,bulls #hhf1dej ,bullocks #d1fhg1jbg ,cows for breeding #ab1hbe1ijd ,milch cows #b1afc1ijj ,oxen #a1bba1dhi -------------------- #bi1aaf1jbe -------------------- ,it now remains to consider the value of the animals registered as existing in the ,republic in the year of census #aijh4 ,in #ahie this value was estimated at #a1acf1ghj1daa piastres 7paper71 which with the exchange at #cjj per cent4 was equivalent to #cgh1ibf1hjc piastres 7or dollars7 in gold1 or #ge1ghe1cfj1 #abs41 while the latest census gives a value of #a1dha1bhb1bde piastres in paper1 which with exchange at #bbg1 is equivalent to #fea1gfd1ahg piastres in gold1 or #acj1ceb1hce4 ,if now we analyse these figures1 dividing them among the various species of animals1 as given by the censuses of #ahie and that of #aijh1 we obtain the following table3---- ,species4 #ahie4 #aijc4 ,cattle #dd1efh1dic #hb1fjd1cecd ,horses #e1jii1bhad #ah1aab1gfad ,mules #fff1aeif #a1ihe1cgdf ,asses #aca1iad #bea1bce ,sheep #bd1ebe1aja #be1bhg1eihf ,goats #chi1aci #gcb1cbb ,swine #dje1bgb #a1cgi1aib ------------- -------------- #ge1ghe1cfj #acj1ceb1hcg ,we see from this that1 in spite of the moderate valuation of the stock in #aijh1 its value had increased1 in thirteen years1 by nearly #ed1fjj1jjj4 ,knowing the numbers and the value of the live stock of the ,argentine ,republic1 a last question arises of the highest interest4 ,what place does the ,argentine hold among those nations in which stock-raising has reached its highest development8 ,to answer these questions1 we have resorted to the most authoritative publications available1 with the result that we are enabled to draw up the following table3---- ,species4 ,states4 ,cattle4 ,horses4 ,sheep4 ,swine4 ,the ,argentine ,republic #bi1aaf1fbe #g1eca1cgf #fg1hcc1aab #a1djc1eja ,the ,united ,states #fi1dch1geh #ba1baf1hhh #fa1hcg1aab #fd1fid1bbb ,canada #e1cgf1dea #a1egg1dic #b1eaj1bci #b1cec1hbh ,australia #i1cdi1dji #a1gfe1ahf #hc1fhg1fec #hac1efi ,cape ,colony #b1jjj1jjj #cjj1jjj #aa1hjj1jjj #djj1jjj ,india1 ,burmah1 ,e4 ,indies1 etc4 #ia1gjj1jjj #a1cjj1jjj #ah1jjj1jjj ---- ,european ,russia #ci1jjj1jjj #bb1fjj1jjj #db1ijj1jjj #aa1bjj1jjj ,germany #bj1fjj1jjj #d1cjj1jjj #g1gjj1jjj #bb1ajj1jjj ,france #ad1jjj1jjj #c1bjj1jjj #ag1ejj1jjj #gjj1jjj ,austria #i1ejj1jjj #a1fjj1jjj #b1jjj1jjj #d1gjj1jjj ,great ,britain #g1jjj1jjj #a1fjj1jjj #be1djj1jjj #b1gjj1jjj ,this table shows us that1 in the matter of cattle1 the ,argentine ,republic holds the third rank2 it is also in the third rank in the matter of horses2 in the second rank in the matter of sheep2 and in the matter of swine she holds one of the lowest ranks4 ,if we compare the ,argentine with the ,united ,states in particular1 the contrast is striking2 while in ,north ,america the value of all bestial reaches the colossal sum of #ffd1hjj1jjj1 in ,argentina it amounts only to #acj1djj1jjj1 distributed as follows3---- ,numbers4 ,values4 _/------------------------ _/-------------------------- ,species4 ,united ,argentine ,united ,argentine ,states4 ,republic4 ,states4 ,republic4 ,cattle #fi1dch1geh #bi1aaf1fbe #cae1ffj1jhh #hb1fjd1cec ,horses #ba1baf1hhh #g1eca1cgf #bah1fja1ega #ah1aab1gfa ,sheep #fa1hcg1aab #fg1baa1ged #ce1ega1bej #be1bhg1eih ,asses #aaa1dej #bhe1jhh #a1dab1cjg #bea1bce ,mules #c1dde1jbi #dfe1jcg #dc1bci1jce #a1ihe1cgd ,swine #fd1jid1bbb #a1djc1eha #di1feg1bjb #a1cgi1aib ,goats #a1idi1jje #c1ide1jhf #gjg1hfe #gcb1cbb ,consequently the ,argentine is far from achieving the wonderful results obtained by the great northern ,republic of ,america2#eh for that matter1 she could not compare with the ,states1 having only #f1jjj1jjj inhabitants to the latter's #hf1jjj1jjj2 and her wealth is equivalent only to a small fraction of the colossal wealth of the ,states4 ,yet an examination of the above figures is encouraging1 for in view of the progress accomplished before the previous census1 the ,argentine may justly regard her flocks and herds with pride1 and continue to increase them1 thanks to her climate1 the fertility of her soil1 and the energy of her inhabitants4 ,footnote #eh3 ,it must be remembered that of two beasts of equal purity of breed1 and in perfect condition1 the ,argentine would be reckoned as being of the lower value4 ,the reason of this is economic and very simple4 ,the ,argentine bullock is affected by competition and pays tribute to the breeder1 the railway company1 the refrigerating company1 the shipping line1 the ,european buyer or salesman1 and the retail salesman4 ,consequently it is worth less in the ,argentine than in the ,states1 where the selling-price is artificially inflated1 and where the value of a beast to the breeder1 since he has only to pay freight and the profit of a large company1 which is sometimes the breeder and the railway company too1 is naturally far greater4 ,it must not therefore be supposed that because the ,argentine horse or bullock is cited as of lower value1 that it is inferior4 ,its value is lower1 just as good land in the ,argentine is cheaper than in ,new ,york ,state4----,,trans4 ,,chapter ,,iv ,,the ,,value ,,of ,,the ,,soil ,difficulties in estimating this value----,principal factors of valuation----,examples taken from lucerne fields and the forests of quebracho----,despite adverse circumstances1 and with a few exceptions1 there has always been a tendency for the price of land to rise----,alienation of lands acquired by conquest from the ,indians2 their enormous present value----,the rise of value dates from #aijb1 and has hitherto continued without relapse----,the causes of this rise1 and its rational principles1 according to an authoritative opinion4 ,examples of valuation drawn from the sales of public lands----,the rise of prices in the ,provinces of ,buenos ,ayres1 ,crdoba1 ,santa ,f1 and the ,pampa1 with figures indicating the prices realised in some large recent transactions4 ,nothing is more difficult than to determine the value of land in a country in the course of formation1 like the ,argentine ,republic1 in which it undergoes considerable increase from one moment to another2 not only on account of general progress1 but also from special reasons1 such as good harvests1 the construction of a railroad1 etc4 ,in the same region1 in the same district1 two neighbouring tracts will often have a different value1 accordingly as they have or have not a permanent water-supply1 or as they are more or less adapted to agriculture1 nearer to or further from a railway1 a station1 or a centre of population4 ,for some years now1 two new factors of valuation have come into being3 the culture of lucerne and the planting of quebracho wood4 ,since farmers have known of the enormous----the fabulous----profits to be derived from fields of lucerne1 every buyer of land inquires first of all if there is water available2 that is1 if the subterranean water-level is near the surface2 as on that factor depends the existence of the lucerne pasture for many years4 ,if upon investigation it is found that there is water the land1 by this sole fact1 acquires an enormous value in comparison to what it would be worth if it were unfit for lucerne4 ,an important newspaper1 published in ,buenos ,ayres in the ,english tongue1 the ,standard1 has shewn that the price of land in ,victoria 7,australia71 where the acre is worth from #d1 #fs4 to #i1 compared to the prices paid for land in the ,argentine suitable for sowing lucerne 7that is1 in the south of ,crdoba and ,san ,luis1 where there are no invasions of rabbits1 where there is no drought1 and which are half-way1 so to speak1 to the ,european markets7 proves1 by comparison1 the low value of ,argentine land4 ,even when near a railway1 such lands may be bought for #ags4 #f;d4 or #a per acre4 ,in proof of the above affirmation1 the ,standard has made the following calculation3 ,let us suppose an expense of #fs4 #e;d1 per acre for the expenses of sowing and cultivating an acre of soil 7including sowing it with lucerne at #b per cwt471 it follows that the acre costs from #a1 #cs4 to #a1 #hs41 and the square league of #fage acres 7representing the work of eighteen months7 about #gibj4 ,adding #hhj for fencing and watering1 we find the price of the square league 7#i4fdh square miles7 amounts to some #hhjj4 ,what1 according to the ,standard1 is the profit to be drawn from this square league8 ,it will fatten some #dejj head of three-year-old cattle1 which may be bought at #d1 #hs4 per head1 and seven months later sold at #g1 #ahs4 #f;d42 this will give a profit of #c1 #ajs4 #f;d4 per head1 or a gross profit of #ae1hfb4 ,deducting #gjdjei for expenses 7allowing freight to the extent of #ajs4 #f;d4 per head71 there remains a net profit of #hhjj per league per annum1 or #ajj per cent4 on the outlay4 ,if such are the results to be obtained from the transformation of an uncultivated tract of land into a lucerne pasture1 it is not surprising that rural property is so quickly attaining so high a value4 ,footnote #ei3 ,apparently made up of half the cost of the lucerne pasture1 plus freight and labour2 as two sets of beasts can be fattened in a year or a little over4----,,trans4 ,in the case of quebracho----a very hard wood which is useful for building and constructive purposes1 and from which an excellent tannin can be obtained----matters are much the same4 ,having had experience of the large profits to be derived from the manufacture of quebracho extract1 and the splendid dividends paid by the companies engaged in the work1 men or business1 anxious to invest their capital to advantage1 hastened to acquire forests of quebracho1 with the result that the price of such land suddenly rose to a level hitherto undreamed of4 ,tracts situated in the ,chaco----a region where quebracho abounds----which were selling a year previously for #hh the square league of #ifdh square miles1 rose in price to #hhj1 and this latter price can by no means be considered as a definite maximum4 ,what is true of lucerne and quebracho is also1 though on a much smaller scale1 true of linseed or wheat1 when after an abundant harvest the land-owner or farmer procures the requisite capital for the purchase of the land he has been cultivating and pays a good price for it4 ,there are here elements which confound all calculations made in advance1 and make it difficult to fix even an approximate value on the soil4 ,at the present moment there is no basis for such a valuation4 ,a farm selling to-day at #bjs4 per acre1 may to-morrow sell for #bfs41 the day after to-morrow for #cbs41 and so on1 until prices are reached which astonish the first vendor1 and give him the melancholy conviction that he did ill to part with his land4 ,for this reason1 the best thing one can do to-day is to hold on to the land4 ,the value of rural and urban property has gone on increasing more and more rapidly for more than forty years2 and although there have been great fluctuations in prices1 the rise has always been constant in the long run2 owing to the increase in the population1 the consolidation of political institutions1 the construction of far-reaching railway systems1 the prodigious development of international traffic1 and1 as a natural consequence1 the great increase of public wealth4 ,to gain an idea of the entire significance of this increase in values1 we must go back to the more than modest prices of rural property which ruled before the later development of the upward movement4 ,it is enough to recall the fact that in #ahgi1 with the object of procuring funds in support of the expedition which ,general ,roca was leading against the ,indians of the wilderness1 an expedition which resulted in the conquest of #bbf1hjj square miles of territory1 the ,government offered for sale an enormous tract of land at the price of #hj the league 7about #i the square mile71 the purchase-money to be payable over five years4 ,but the devaluation of these lands was so great1 and faith in their remunerative possibilities so inferior1 that very few accepted the offer4 ,many did so rather as a patriotic loan than as a serious investment4 ,others did so as a mark of personal deference towards the men who were at the head of the ,government4 ,but all have been abundantly rewarded1 since much of the soil which they were able to obtain at #ce the league is selling to-day at #bf1jjj and #ce1jjj4 ,more than one of the great private fortunes in the country had no other foundation than this4 ,this depreciation of rural property continued still unchanged for a dozen years2 so much so1 that in order to tide over the crisis before the crash of #ahij1 the ,government1 which so disastrously handled the affairs of the nation1 had the evil inspiration to offer for sale in ,europe1 by virtue of the law of ,october the #aeth1 #ahhi1 those very #bd1jjj leagues of land obtained by conquest by ,general ,roca's expedition4 ,the sale was to be effected at the figure of #aj francs per hectare----about #cs4 #c;d4 per acre6----payable half upon purchase and half at the end of two years4 ,no limit was set to the powers of purchase of any one buyer2 each could buy just as much as his purse would allow4 ,the law1 in palliation of this incredible operation1#fj promised to apply the whole product of the sales to the fund for converting the issue of the guaranteed bank-notes of famous memory4 ,providence1 happily1 which more than once has taken the ,argentine under its especial protection1 prevented this disastrous alienation of territory from taking place4 ,had it been otherwise1 the ,republic would have sold for a mess of pottage a magnificent portion of her territory1 a country large enough to house more than one ,european nation1 and which to-day perhaps would be in the hands of a company or a foreign government----a new state within the ,state4 ,footnote #fj3 ,it must be remembered that this tract was four and a half times the size of ,england6----and this enormous country1 in the heart of the ,argentine1 was offered for sale to foreigners6 ,the process of buying it back when the terrible folly of the act was once obvious1 would have been equivalent to making the country tributary for years1 and for enormous sums1 to ,europe4----,,trans4 ,the depreciation of rural property continued for some years4 ,thus1 in #ahig1 the ,government sold by tender to the highest bidder a large portion of its best lands1 at the price of #cgej piastres1 or #ccj the square league 7about #cf the square mile71 payable in five years1 with permission to pay in bonds of the patriotic loan1 which then stood at about #ge per cent4#fa ,footnote #fa3 ,the piastre note1 was then worth #a franc #ga----as4 #dd;d41 or #cdb per cent4 of the par value4 ,it was later fixed by law at #dd per cent4----,,trans4 ,this situation continued until #aijb----;a year which saw the settlement of the old question of the ,chili-,argentine frontier2 a year of abundant harvests and enormous development in the stock-raising world2 a development which took shape first in the export of cattle on the hoof and then in the despatch of great quantities of chilled or frozen meat to the ,english markets2 a year which also saw the advent of a financial stability resulting from the 8law of monetary conversion10 which gave a fixed value to paper money1 the medium of all commercial transactions in the interior4 ,then came a steady and decisive rise in the value of landed property in general and of rural property in particular4 ,since the beginning of this movement the value of the soil has steadily increased2 the last price is always greater than the previous one1 although the latter may have appeared stationary1 if not final4 ,this being the case1 we ought to ask whether this general rise responds to permanent and sufficient causes1 or if it is only the result of capricious speculation1 affecting landed property now as at another time it affected paper money4 ,in reply to this question1 ,seor ,roman ,bravo1 one of those ,argentines who are most familiar with all the complex aspects of land valuation1----for he is the ,director of the house of business#fb which transacts the greater proportion of such operations----has at our request summed up1 in the following terms1 the causes which at present determine the increase in the value of property3---- ,footnote #fb3 ,the sales by auction conducted by this house during the first six months of #aije amounted to #b1cgf1jjj4 8,the economic life of the country offers at each step signs of further progress4 ,the enlargement of ports1 the extension of railways1 the dredging of channels1 the development of the building trade in the chief city of the ,republic1 all show the spirit of enterprise at present animating the individual and the people4 ,commerce and vigorous industries reinforce these elements of prosperity and welfare4 8,but it is in matters of land purchase that we best perceive the material expansion and the intensity of the forces in action4 ,without going back to the year #aijd1 we have only to consider the transactions of the last few years to realise that1 both in the capital of the ,republic and in the national ,territories and the ,provinces1 the period has been a fertile one in the matter of transactions in landed property4 ,there has been no more active period since #ahhi2 and this time the facts have an explanation1 a natural and logical sanction4 ,agriculture and stock-raising have so augmented the sources of national wealth that in a few years the balances in favour of the country have reached the figure of nearly #bj1jjj1jjj4 ,this is the effective cause of the increased value of the land3 to which we must add the confidence which we all feel in the gradual development of the forces which labour has released1 to the benefit of public tranquillity40 ,one of the most surprising examples of the increased value of the soil1 and of the interest awakened by sales of land1 is to be found in the public and official auction of national lands which took place in the month of ,april #aije4 ,these sales were to be effected on account of those who had bought these lands in analogous circumstances in #ahig1 and who had not paid for them during the delay stipulated by the law4 ,the whole surplus over the price established by the previous sale1 less deductions for interest and other expenses1 went by law to the original purchaser4 ,the auctions were conducted in the presence of a crowd of speculators1 capitalists1 and labourers1 eager to invest their money in so remunerative a speculation1 since in the ,argentine all are convinced that the purchase of the soil is the best form of saving4 ,the result of the sale was that in many cases double the original price was obtained2 three times the price in some cases1 and in some five times the original price was realised4 ,in the ,territory of ,pampa ,central an area of #icc1fhj acres was offered for sale1 the previous price being #di1fic2 the sale price was #ace1big1 representing an average price of #hdbf per league1 or #bs4 #hg;d4 per acre4 ,in the ,territory of ,chubut1 #bfe1bgh acres were put up to auction1 the original price being #ebdce1 and the sale price #be1cfaf1 or an average of #eijbh per league1 or #as4 #ig;d4 per acre4 ,in the ,territory of ,santa ,cruz an area of #ih1hjj acres was put up for sale1 the first price being #cciacd1 and was sold for #idggf1 or #as4 #aj;d4 per acre4 ,in the ,territory of ,chaco1 in which especial interest was felt1 as the lands in question bore forests of quebracho trees of great value 7the quebracho industry being then in vogue71 higher values were obtained1 representing five times the original sale price4 ,the lands to be sold in this ,territory represented a surface of #abc1ejj acres1 and were first disposed of for #didh4 ,however1 a price of #bd1agj was obtained1 representing an average of #abjhbd per league1 or #ds4 #fi;d4 per acre4 ,in the ,territory of ,rio ,negro #gd1ajj acres were put up for sale1 which were previously sold for #cjeh4 ,they realised #hgab1 or #gbf per square league1 or #bs4 #db;d4 per acre4 ,the general result of the sale was that the ,government did a splendid stroke of business2 but the transaction was still more to the profit of the fortunate first applicants1 who1 for failing to comply before a given date with the conditions established by law1 were rewarded by receiving the price of sale less the price at which they bought2 sums which to many of them represented a considerable fortune4 ,since that period the value of land has continually increased1 as we see from the following information1 which was given us by the 8,general ,bureau of ,lands and ,colonies0 of the ,ministry of ,agriculture4 ,in #aijf and #aijg1 this ,bureau sold by public auction a large section of public lands1 and the prices obtained were far higher than those we have recorded above4 ,in the ,territory of ,rio ,negro1 in ,august #aijf1 #dig1fjj acres were sold at an average price of #is4 #h;d4 per acre4 ,in ,march #aijg1 #cad1igd acres of land1 situated in the ,peninsula ,valdez 7,chubut7 found a buyer at #fs4 #g-c_/d;d4 per acre4 ,numerous sales were effected in #aijg in the ,pampa ,central4 ,among others1 we may cite the following3 #ah1ebj acres sold at #ajs4 #fg;d4 and #dfdj at #ajs4 per acre2 a lot of #ah1gej acres at an average price of #fs4 #ig;d42 #gejj at #fs4 #e;d42 #aea1daj acres at #ds4 #d4h;d42 #abce acres at #cs4 #gf;d42 and #ab1cej acres at #cs4 #aac;d4 per acre4 ,in ,october of the same year1 auction sales were held in various portions of ,pampa ,central1 the results being as follows3 #af1dbe acres at #hs4 #ajbd;d42 #ecij at #hs4 #bc;d42 #dj1acg at #ajs4 #c;d42 #bd1gjj at #gs4 #dc;d42 #cjf1jej at an average price of #cs4 #he;d42 #bd1gjj at #cs4 #gh;d41 and #iahb at #fs4 #gh;d4 ,these examples are given to show the variety of actual prices1 according to the situation and the yield of the land4 ,in the matter of private sales1 it is difficult to keep track of rising values on account of the number of sales which take place every day4 ,we will try1 however1 to give a few examples1 to arrive at some approximate value of the ,argentine soil in the year #aije4 ,the ,province of ,buenos ,ayres1 which is the most thickly populated and the wealthiest in the ,republic1 is also that in which rural property has reached its highest value4 ,in the district of ,lobos1 a few hours from ,buenos ,ayres1 a field of #agj acres1 known as the ,atucha ,meadow1 was sold for #bf1 #gs4 #b;d4 per acre2 another of the same area for #ei1 #hs4 #i;d4 per acre2 another of #fce acres for #ab1 #as4 #j;d4 per acre1 and another of #ehg acres for #ad1 #ds4 per acre4 ,in the region of ,rojas1 also some hours from the ,federal capital1 the land on which stood the 8,san ,jos10 8,santa ,barbara10 and 8,la ,matilde10 establishments belonging to ,seor ,roberto ,cano1 and whose area was #ae1hjj acres1 was sold for an average price of #h1 #hs4 per acre4 ,in the neighbourhood of ,dolores1 not far from ,buenos ,ayres1 a meadow belonging to the 8,montes del ,tordillo0 estate1 composed of #ah1hej acres1 was sold for #ais4 #ad;d4 per acre4 ,in the section of ,lincoln #aj1jjj acres were sold at prices varying from #dhs4 to #e1 #bs4 per acre4 ,at ,trenque ,lauquen1 one of the belts of land in ,buenos ,ayres which has seen the most rapid rise in values1 sales have been effected of #bb1jjj acres at prices rising from #a1 #ahs4 to #c1 #fs4 per acre1 the average being #b1 #hs4 ,in this same section1 some #h miles from the railway station of ,primera ,junta1 #aigf acres were in #aijg sold at prices varying from #b1 #hs4 #c;d4 to #e1 #abs4 #i;d4 ,at ,general ,pinto the land belonging to the 8,filadelfia0 estate1 #bc1aih acres in extent1 was sold at an average price per acre of #b1 #bs4 #i;d4 ,in the department of ,olavarria #ai1hef acres were sold in #aijh for prices varying from #c1 #gs4 #h;d4 to #g per acre1 the average being #e4 ,in the department of ,general ,conesa1 #aa1jhe acres1 facing the ,bay of ,so ,borombon1 and #bc miles east from ,san ,dolores1 found a buyer at an average price of #a1 #cs4 #d;d4 per acre4 ,in the department of ,coronel ,pringles1 the establishment known as ,el ,bombero1 situated some #ai miles to the west of ,tres ,arroyes1 divided into thirty-one lots of from #cgj to #didj acres1 was sold at prices running from #b1 #as4 #a-a_/b;d4 to #d1 #bs4 ,among these sales of #aijh which attracted most attention were those transacted in the ,province of ,buenos ,ayres4 ,these included a tract at ,exaltacion de la ,cruz of an area of #iad acres1 near the railway station of ,cardales1 which1 sold in small lots of from #eh to #ahj acres1 obtained an average price per acre of #bi4f per acre4 ,at ,lomas de ,zamora the land of the establishment 8,santa ,ines0 were sold to the ,sansinena ,company for #ac1 #cs4 #f;d4 per acre4 ,in the department of ,azul1 a meadow known as 8,la ,vanguardia10 of an area of #bjhj acres1 #aa miles from the town of ,azul1 found a buyer at #g1 #afs1 per acre4 ,the ,san ,miguel estate1 near the ,manzanares railway station1 subdivided into thirty-six lots1 was sold at an average price of #aj1 #es4 per acre4 ,on the #aith of ,august #aijh1 in the same department1 #gda acres fetched a price of #ab1 #is4 #b;d4 per acre4 ,at ,general ,belgrano1 less than #b miles from the railway station1 #cbid acres1 divided into five lots1 were sold at prices varying from #h1 #aas4 to #aj1 #acs4 #aj;d4 ,a tract of #dii acres about #ajjj yards from ,jeppener ,station1 in the department of ,brandzen1 was sold at the rate of #ab1 #es4 #i;d4 ,finally1 at ,burzaco1 at a distance of #bejj yards from the station1 #did acres of land attained the fabulous figure of #db1 #aes4 per acre4 ,these are high prices in comparison with those ruling formerly1 and at present they are firmly maintained4 ,the prices of lands suitable for agriculture vary greatly1 according to their distance from the great city of ,buenos ,ayres or the port of ,bahia ,blanca1 and their proximity to a railway station2 accordingly as they have water near the surface1 and are thus adapted to the growth of lucerne2 and according to the terms of payment granted by the vendors4 ,there are1 of course1 other factors as well4 ,among many other examples1 we will cite the #ehh1jej acres of land at ,curumalan1 ten hours from ,buenos ,ayres1 the property of a syndicate which bought them in #aijc from ,messrs ,baring ,bros1 of ,london1 at a price of #hjg1ege4 ,up to ,july the #ast1 #aije1 this company had sold more than #bdg1jjj acres of land directly to agriculturalists----,russian for the most part----at prices varying from #b1 #ajs4 #h;d4 to #c1 #ds4 #a;d41 allowing them a term of three or four years for payment1 plus an interest of #h per cent1 per annum4 ,the ,province of ,crdoba is1 after the ,province of ,buenos ,ayres1 that in which the land has most rapidly risen in value4 ,transactions in rural property are very numerous and represent an important figure4 ,in the five years from #ahii to #aijc1 about #i1chf1jjj acres have changed hands1 and in #aijd alone #c1hbj1hcj acres were sold4 ,it is difficult to give an account of these transactions by reason of their number2 but to cite only the most important1 we may mention a block of #fa1gej acres in the department of ,juarez ,celman1 belonging to ,alejandro ,roca1 which was sold at public auction in the early part of #aije1 at prices varying from #ags4 #aj-a_/b;d4 to #b1 #fs4 per acre4 ,in view of the prices which the buyers realised later1 they made a splendid bargain2 none of them sold for less than double what he gave4 ,in the ,union department of the same ,province1 #ei1ijd acres were sold at prices varying from #acs4 #c;d4 to #a1 #afs4 #aa;d4 per acre4 ,another important sale1 effected also in the early part of the same year1 was that which took place in the department of ,tulumba1 fifty miles from the colony and railway station of ,morteros on the ,central ,argentine railway4 ,the block sold comprised an area of #bj1hbf acres1 and the prices obtained varied from #as4 #e4h;d4 to #bs4 #b;d4 per acre4 ,in the ,province of ,santa ,f1 the appreciation of land values has of late years been neither so great nor so rapid as in ,buenos ,ayres and ,crdoba2 the reason being that it was this ,province which initiated the colonising movement in #ahef1 by the foundation of the ,esperanza ,colony1 so that its land values had already undergone sudden augmentations in previous years4 ,in the five years from #ahii to #aijc1 the sales have amounted to #e1hca1afj acres1 and in #aijd to #b1jbf1dbj acres4 ,in the department of ,general ,lopez #bc1dhg acres were sold for prices varying between #bs4 #d;d4 and #b1 #ahs4 #c;d4 ,we may also note a tract of #hbjd acres1 #h miles from ,la ,serna railway station1 which in #aijh was sold for #a1 #abs4 per acre4 ,the ,provinces of ,san ,luis and ,santiago de l',estero were the last to take part in this movement of appreciation of land values4 ,the former1 in especial1 has from this point of view been a revelation to every one4 ,as soon as it was discovered that the soil of this ,province was admirably adapted to the formation of splendid meadows of lucerne1 its value rapidly rose from #as4 #e-a_/b;d4 to #fs4 #e4g;d41 #abs4 #aa;d41 and #ais4 #e;d4 ,we must1 in particular1 mention a meadow known as the 8,agualapada10 #ih1jjj acres in area1 which on the #bgth of ,july #aijh was sold at the rate per acre of #es4 #d;d4 #ec1bai acres of land1 some #ac miles from the railway stations of ,nueva ,galia and ,la ,fortuna were bought at an average price of #ajs4 #c;d4 per acre4 ,in the department of ,pedernera #af1jdc acres1 divided into five lots1 found purchasers at prices varying from #afs4 #b;d4 and #a1 #as4 #b;d4 to #a1 #aes4 #i;d4 ,but1 as we have already said1 it is in the ,pampa----in that vast country of #ef1agj square miles in area----larger than ,england----which was incorporated in #ahhj1 after the expedition led by ,general ,roca----that the most surprising examples of appreciation are to be found4 ,there all is undergoing a continual transformation2 each year the plough opens wider furrows for the seed2 the sowing of lucerne is rapidly increasing2 stock-raising establishments are to be found in the very confines of the country2 and a large network of railways1 in operation1 in construction1 or under consideration1 promise to surround it on every hand1 to circulate its products and to facilitate exchange4 ,all these wonderful transformations are being effected under our eyes1 day by day2 so that it is not surprising that the value of the soil follows this tide of energy4 ,in the ,pampa ,central1 of late years1 we have seen land suitable for lucerne1 with water #aj to #cj feet below the soil1 not far from populated centres1 and with means of rapid communication1 fetch prices which quadrupled those it had touched eighteen months earlier1 selling for as much as #c1 #aas4 #c;d4 per acre4 ,in more than one case land which was bought for #hhj the square league was afterwards sold for #hhjj4 ,among the sales of #aijh was one of a meadow of #ah1ebe acres1 six miles from ,utracan ,station1 which1 sold by order of the law1 fetched a price of #ags4 #aj;d4 per acre4 ,in another part of the same ,territory #gfih acres were sold in a single lot1 on the #ast of ,october #aijh1 at the rate of #a1 #ds4 #g;d4 per acre4 ,in the ,alfalfa ,colony1 during an auction sale1 several chacras1 or small farms1 attained prices varying from #a1 #ais4 #c;d4 to #b1 #bs4 #i;d4 per acre4 ,by the ,catrilo railway station on the ,western ,railway1 situated in the same ,territory of ,el ,pampa1 is a field whose owner1 ,m4 ,mathias ,r4 ,sturiza1 was offered #fa1fjj for it2 two years earlier he had bought it for #ebhj4 ,competent authorities assure us that in the neighbourhood of ,santa ,rosa de ,toay1 the capital of the ,territory of the ,pampa1 the value of the fields has been shown by recent sales to have increased by #cjj per cent4 ,in the department of ,victoria1 in the same ,territory1 fields which a while ago were offered at #bs4 #a4e;d4 per acre1 are to-day selling for #a1 #as4 #d;d4----ten times that sum4 ,such are the chief manifestations of the economic phenomena of the appreciation of land values2 one of the most interesting of the problems which present themselves to the observer of the modern ,argentine ,republic4 ,is it a true symptom of national vitality1 or must we see in these data the warnings of a period of commercial crisis1 characterised1 according to the learned economist ,juglar1 by the rise of all values and by frantic speculation8 ,events1 which unroll themselves amidst our feverish ,argentine activities far more rapidly than in other countries1 will not be long in giving us the answer to these questions4#fc ,footnote #fc3 ,the importance of the sales of rural property is to-day so great1 and speculation so eager1 that the prices given here1 according to information gathered barely a few months ago1 appear to us already as ancient history4 ,,chapter ,v ,,agricultural ,,industries ,,sugar-,,cane----,area of plantations----,statistics of production---- ,legislation affecting sugar----,consumption4 ,,vines----,area of vineyards planted----,production1 consumption---- ,imperfect quality----,competition of foreign imports4 ,,tobacco----,area of plantations----,value of the product----,defective preparation4 ,,the ,,mulberry----,the culture of the silk-worm might be established in the ,argentine1 but at present exists only in an experimental condition4 ,,mat----,large consumption of this product4----,statistics of foreign importation----,districts suitable for its growth4 ,,cotton----,physical conditions proper to its growth----,the first favourable results in the ,argentine----,its introduction into ,chaco----,lack of manual labour for the development of this industry4 ,,rubber----,existence of rubber plants in the ,argentine----,an unexploited source of wealth4 ,,arboriculture----,on account of the diversity of the climate1 all fruit-trees can be grown in the ,argentine----,the various fruits cultivated in different regions----,amelioration of the products4 ,the trade in fruit----,its development possible on account of the inversion of seasons as compared with ,europe----,refrigeration applied to the transport of fruit----,regions particularly suitable for fruit-growing4 ,besides the culture of cereals1 such as wheat and maize and linseed1 and the important grazing and cattle-breeding industries of the ,argentine1 together with their dependent industries1 there are other forms of agriculture and forms of natural produce1 some of which have already attained a great importance1 while others are destined to become equally important in the near future2 that is1 if the progress of evolution in the ,argentine follows1 as there is reason to hope1 its natural upward course4 ,sugar-cane4----,among the agricultural industries the culture of the sugar-cane assumes the first rank4 ,the cane is cultivated principally in the ,province of ,tucuman1 in which ,province are established the greater number of the sugar factories existing in the ,republic4 ,the cane is also planted1 and flourishes1 in portions of the ,provinces of ,santiago1 ,salta1 and ,jujuy2 in the north of ,santa ,f1 in ,corrients1 and in the ,territories of ,formosa1 ,chaco1 and ,misions4 ,sugar-planting is an industry of considerable antiquity in the ,argentine2 but it has attained a remarkable development chiefly in the last ten years1 owing to the high price of sugar and the establishment of numerous factories equipped with perfected machinery2 owing also to the notable profits which the industry offers4 ,the result has been an excess of production1 which led the industry into a dangerous crisis1 from which it is now in a fair way to recover4 ,those who suffered the most were those who had abused their credit by building expensive factories and laying down costly plant2 and those who had planted sugar in soils unsuited to its culture1 or in regions of unfavourable climate1 or where the means of transport were insufficient4 ,the total area cultivated in #aijg was estimated at about #agb1ijj acres1 of which #ad1jbi were in the ,province of ,tucuman2 #aa1aae in ,southern ,chaco2 #fiaf in ,salta2 #cieb in ,jujuy1 and #bgag in ,santiago de l',estero2 the rest being divided among various other regions of the ,republic2 these figures representing an increase of nearly #bd1jjj acres over those of #ahie4 ,these #agb1ijj acres of cane give an average yield of #cj tons of sugar per hectare1 or #aagbg tons per acre1 representing a total yield of #acb1afj tons of sugar4 ,the greatest number of sugar refineries are to be found in the ,province of ,tucuman1 where there are thirty-two4 ,in the other sugar-growing districts there are only thirteen1 which are distributed as follows3 ,three in ,jujuy1 two in ,santiago de l',estero1 one in ,salta1 one in ,misions1 six on the banks of the ,parana ,river1 two in ,santa ,f1 two in ,corrients1 one in ,chaco1 and one in ,formosa4 ,the net cost of producing the cane1 ready for delivery1 is about #e to #g centavos#fd per #aj kilograms4 ,taking as basis a yield of #cj1jjj kilograms per hectare and a sale price of #ab centavos1 the growers would make a net profit of #adj piastres per hectare2 or1 with the value of the piastre note at #bb francs1 of #d1 #bs4 #f;d4 per acre4 ,thus sugar-planting is a profitable industry under normal conditions4 ,footnote #fd3 ,the centavo is #a_/ajj or #ja of the piastre4 ,in metallic currency it is equal to the ,american cent1 and nearly to the ,english halfpenny2 in paper it is worth a little over one-fifth of a penny----#bbgbg pence4 ,the outgoings and receipts on an acre of soil planted with cane may be estimated as follows3---- ,,receipts4 ,by sale of #ab tons of cane1 at #abh;d4 per cwt4 #ab #af #j ,,expenses4 ,cost of ,planting---- ,tilling and preparing soil #j #i #aa ,lining out and fixing shoots #j #af #d ,shoots1 preparation1 etc4 #j #ab #i ,cost of ,harvesting---- ,cutting #ab tons of cane #j #ad #b ,preparing the cane #j #ad #b ,transport to factory and extras #b #ac #e ,interest on the land1 or rent1 taxes1 and redemption #a #a #c ---------------- #g #b #j #ab #af #j ---------------- ,net profit #e #ad #j ---------------- ,with an increased consumption of sugar1 the culture of the cane will occupy a far greater area of the belt in which it is already established4 ,it is1 however1 limited by the interests of the manufacturers themselves1 who limit production in order to keep up the price of sugar1 and so obtain higher profits2 sugar of native preparation being protected by laws which strike at the importation of foreign sugar4#fe ,footnote #fe3 ,this is an interesting object-lesson in the working of a tariff4 ,foreign competition once abolished by the increased prices of foreign articles1 the native manufacturer will always minimise1 and even destroy1 the protection afforded by the tariff1 by increasing his own prices4 ,if he cannot do so naturally he will do so by lessening his output2 with the result that sooner or later the tariff will actually increase foreign imports and still further limit home production4 ,obviously the only circumstance under which it can permanently profit even the manufacturers is this3 a tariff so high as to make importation ruinous2 when the home producer will raise his prices until they are just below the line of unprofitable inflation2 which1 from the context1 would seem to be the case in the ,argentine4 ,the consumer must suffer1 and usually the employ4----,,trans4 ,in #aijg #b1dih1jjj lb4 of foreign refined sugar were imported1 their value being #aha1gee2 but on the other hand #adj1cgj lb4 were exported during the same year4 ,it is to be hoped that the price of sugar will not fall too low1 as this might bring about the ruin of an industry which is worth encouraging and preserving3 but it is essential1 on the other hand1 to oppose an excessive inflation1 which would diminish the consumption of this valuable alimentary product1 and would force the consumer to pay the exaggerated profits of a small number of manufacturers and planters4 ,this is the inherent peril of excessive protection4 ,the law of #bcrd ,january #aijd and the regulation of #beth ,october of the same year have provided for this condition4 ,one must not forget that all commerce is conditioned by the law of supply and demand1 and that to avoid overloading the market with produce1 production must be limited1 according to circumstances1 and in proportion to actual requirements2 and beyond the limit of absorption the productive energies of the country must be diverted to other cultures or industries1 more remunerative and more certain as to results4#ff ,footnote #ff3 ,see the important work entitled ,la ,culture des ,plantes ,industrielles dans la ,rpublique ,argentine1 by ,carlos ,d4 ,girola1 published in the ,recensement de l'agriculture et de l'levage de la ,nation1 ,vol4 #a4 #aijh1 from which these data are extracted4 ,of all the sugar sold in the ,argentine1 only part is refined2 there is at present only one refinery#fg in the country2 namely1 the 8,refineria ,argentina0 of ,rosario4 ,the greater proportion of ,argentine sugar is delivered to the consumer in the form of 8moist0 or brown sugar1 which is graded according to its colour and the care taken in its manufacture4 ,footnote #fg3 ,the thirty-two factories hitherto referred to would presumably be crushing-mills1 where cane is crushed1 the juice evaporated into syrup or molasses and in some cases dried1 the product being 8raw0 sugar4----,,trans4 ,there are in several districts1 and especially in the neighbourhood of ,misions1 rudimentary factories where an impure sugar known as 8rapadura0 is prepared1 which is sold in cubes or tablets4 ,we have no precise data as to the production of the various grades of sugar4 ,during the last twelve years the manufacture of sugar has been greatly improved1 as a consequence of the crisis through which the industry passed1 which demonstrated the necessity of perfecting the methods of preparing and refining the 8sap10 etc4 ,to-day a yield is obtained of #g-a_/b1 #h-a_/b1 and even #i per cent4 of sugar4 ,the capital sunk in the sugar industry in the ,province of ,tucuman amounts in round figures to #d1acf1jjj1 and is distributed as follows3 ,land1 #a1bcb1jjj2 plantations1 #ddj1jjj2 machinery1 #a1dif1jjj2 buildings #ifh1jjj4 ,it will be as well to give some retrospective data here1 which will show how far the production of sugar has developed during the last few years4 ,in another chapter we shall deal with the production of sugar from the industrial point of view4 ,thus1 in #ahhd the harvest was #bd1jjj tons2 in #ahid1 #ge1jjj tons2 and in #ahie it amounted to #aji1jjj tons1 or an increase of #ceb per cent4 in eleven years4 ,in #aijd the yield was #acd1jjj1 or an increase of #cfj per cent4 over that of #ahhd4 ,in #aije it was #acg1jjj tons2 in #aijf1 #ahj1jjj2 in #aijg1 #aac1jjj4 ,we have stated that the ,argentine ,republic underwent a crisis in the matter of sugar1 on account of excessive production2 and that like other sugar-producing nations she has had to facilitate the export of the surplus by granting a bounty to exportation4 ,this premium or bounty was conceded in the following manner3 a law of #ahid forced the producer to pay #f centavos per kilogram1 or #egf;d4 per lb4 on manufactured sugar2 but offered him a bounty of #af centavos per kilogram----#aecf;d4 per pound----on all sugar exported under certain conditions4 ,this law ceased to be in force on the #cast of ,december #aijd2 but was replaced by another1 of the #ast of ,january #aije1 by which the manufacturer who did not export #be per cent4 of the sugar he produced paid #ae centavos per kilogram----or #add;d4 per lb4----on a quarter of his produce1 or on the proportion which he did not export4 ,these two laws contain a radical difference4 ,by the first1 the ,state received #f centavos per kilogram upon all sugar manufactured1 of which it restored #d centavos for each kilogram delivered for consumption1 and then restored #af centavos for each kilogram exported2 thus keeping to a minimum tax of #b centavos on sugar delivered for consumption4 ,by the second law the ,state received nothing on sugar leaving the factory1 as the producer confined himself to giving an undertaking for the value of #ae centavos per kilogram on a quarter of his manufactures1 which undertaking was returned to him if he exported a quarter of his produce2 so that in case he did export his produce the ,state gained absolutely nothing4 ,but according to a resolution on the part of the ,government1 passed in ,april #aije1 the tax of #ae per cent4 was suppressed1 together with the obligation of exporting a certain percentage of the sugar made4 ,the sugar industry thereupon entered upon a new period of absolute liberty1 and at the same time was deprived of official protection4 ,in this matter the ,argentine ,republic acted in accordance with the international agreement of ,brussels1 which suppressed the sugar bounty4 ,the consumption of sugar during the eight years #ahig-aijd was #ghj1jjj tons1 or #ig1jjj tons per annum4 ,this consumption has not actually been uniform2 for instance1 in #ahig1 about #hj1jjj tons were consumed2 while in #aijd1 #aije1 #aijf and #aijg1 the figures were respectively about #aae1jjj1 #afb1jjj1 #abg1jjj1 and #aji1jjj tons4 ,vines4----,another important branch of agriculture in the ,argentine is viticulture1 which is more especially utilised in the ,provinces of ,mendoza and ,san ,juan4 ,to give some idea of the development of this branch of agriculture we may state that in #ahhe #hj1cgf acres were planted with vines1 while to-day the figure is over #aci1jjj4 ,of this total #gd1fbj acres are in ,mendoza and #cj1ehj in ,san ,juan4 ,the different species of grape are selected from the best to be found in cultivation in ,france and other vine-growing countries4 ,the vineyards have been laid out under favourable conditions1 yet their product leaves something to be desired4 ,moreover1 bad wines have often been put on the markets1 sour wines1 and wines adulterated with water1 which have discredited the native wines1 and have led many to doubt whether the ,argentine wine industry can ever really take root4 ,the factor which has chiefly contributed to this disastrous result is the lack of capital from which the industry suffers2 the result being that the processes of fermentation and maturing are not given sufficient time4 ,pressed by their liabilities1 the ,argentine vine-growers hurry over their wine-making1 so as to put their wares on the market as quickly as possible1 in order to meet their engagements4 ,the general result1 apart from exceptions as honourable as few in number1 is that the industry produces decoctions of a kind1 but not wines4 ,despite these unfortunate conditions the consumption of the wines of the country has reached a very considerable figure1 which fact has greatly contributed1 thanks to very heavy customs duties1 to the exclusion of foreign wines4 ,in #ahii1 to go back no further1 the total consumption of wine in the ,republic was #cbb1dca1aff pints1 of which #bcg1fjj1jjj pints were of wines of the country1 and #hd1hjj1jjj of foreign wines 7not including those imported in bottles74 ,in #aijj #cjd1ddj1jjj pints were consumed2 #bba1gfj1jjj of native wines and #hb1fhj1jjj of foreign wines4 ,in #aija1 out of #cbg1cfj1jjj pints1 #bdb1hhj1jjj were of native and #hd1dhj1jjj of foreign wines2 in #aijd1 of a consumption of #cgc1abj1jjj pints1 #cjg1jjj1jjj were of native and #ff1abj1jjj of foreign wines4 ,in #aijg the total consumption of wines in the entire ,republic1 according to the office of ,national ,statistics and ,administration of ,inland ,revenue1 amounted to #fch1hdc1fhj pints1 of which #eeh1jif1jjj were of native production and #ajj1gdg1fhj were imported4 ,the production of native wines is limited1 as we have seen1 to wines for general consumption4 ,the finer varieties are imported4 ,the consumption of wines of quality in #aijg reveals a considerable increase since the previous year2 which is yet another proof in support of the many to be found in this book of the excellent economic and therefore gastronomic conditions of the country4 ,the large and profitable results of the harvests enable the people to place fine wines upon their tables4 ,the customs1 which are always a faithful barometer of the degree of well-being which a people enjoys1 afford us a proof of what we have affirmed4 ,in #aijg there passed through the customs houses1 coming from abroad1 #ei1ebj dozens of bottles of champagne1 #aihh dozens of sherry1 plus #ca1dch pints in the wood2 #fibe dozens of port1 plus #aac1hdc pints in the wood2 #eaf1ebj dozens of vermouth2 #bg1fbd dozens of semi-fine wines2 #abdi dozens of ,french clarets1 and #haaa dozens of sparkling wines4 ,the vins ordinaire imported represented a total of #ajj1gdh1fhj pints4 ,as we have already seen1 the area of the vineyards in existence at the end of #aijg was of #aci1acb1fcj acres1 their value being #ah1djj1jjj4 ,as for their yield1 it amounted to #a1aba1ebc1cjj lbs4 of grapes1 or more than #eah1jjj tons1 with an estimated value of #c1fhj1jjj4 ,there are1 in the ,argentine ,republic1 #cjig establishments devoted to the exploitation of the vineyards and the making of wine1 disposing of a total capital of some #d1cbj1jjj4 ,their products amount to #ff1gfb1jjj gallons of wine1 representing a value of #d1gbj1jjj4 ,if we compare the production of the ,argentine with that of the principal nations of the two ,americas1 we obtain1 for the year #aijg1 the following table3---- ,argentine ,republic #eef1jif1jjj pints ,chili #dge1bjj1jjj 0 ,united ,states #bha1afj1jjj 0 ,brazil #ef1cbj1jjj 0 ,peru #ag1bdh1jjj 0 ,uruguay #af1aib1jjj 0 ,bolivia #e1egf1jjj 0 ,mexico #c1afh1jjj 0 ,the ,argentine wine industry1 in which millions have been engaged1 is1 as we see1 on the road of progress4 ,it has to-day accomplished a rapid and a very considerable development1 which might well1 in the near future1 eliminate the imported product from the market1 at least in the case of wines for ordinary consumption4 ,like the sugar industry1 the wine-growing industry has gone through its crisis4 ,on the one hand the abuse made of credit in establishing warehouses1 cellars1 and costly plant1 and on the other defective methods of manufacture which brought the product into discredit1 produced a deep-rooted depression1 from which the industry has hardly yet emerged4 ,it cannot look to the future until it perfects its means of preparation1 working out its brands with the aid of time and patience4 ,this industry1 says an eminent writer1 gives work to more than #ajj1jjj inhabitants1 and represents1 as a matter of national wealth1 a value in vineyards and factories of some #ai1jjj1jjj2 it produces annually #d1hdj1jjj worth of merchandise1 contributes #f1iej1jjj to the general trade1 and surpasses in importance1 both in the capital employed and in its products1 the sugar industry of the country1 which in #aijg manufactured sugar only to the value of #b1ggb1jjj4fh ,footnote #fh3 ,see l',industrie viti-vinicole de la ,rpublique ,argentine1 by ,ricardo ,palencia1 an essay published in the ,recensement de l'agriculture et de l'levage de la ,nation4 ,vol4 ,i4 ,buenos ,ayres4 ,tobacco4----,for a long time the tobacco-plant has been cultivated in the ,argentine2 for we find1 in various zones1 conditions very favourable to its production2 but its culture has by no means as yet acquired the importance of which it is capable1 and is very far from satisfying the needs of national consumption4 ,the exports are insignificant3 #cg1ihc lb4 in #aijf1 and #af1fab lb4 in #aijg1 of the respective values of #eci and #bbf4 ,the lack of care brought to the cultivation of the plant and to the preparation of the leaf1 together with incomplete experience from the industrial point of view1 have contributed to check the increase of plantations1 which ought to occupy a far larger area than they do4 ,tobacco is grown chiefly in the northern region composed of the ,provinces of ,corrients1 ,salta1 and ,tucuman2 it is also grown to a less extent in the ,provinces and ,territories of ,misions1 ,formosa1 ,chaco1 ,catamarca1 ,la ,rioja1 and ,jujuy4 ,it may be grown equally well in the central region composed of the ,provinces of ,buenos ,ayres1 ,entre ,rios1 ,santa ,f1 and ,crdoba2 and even further south4 ,there were formerly1 and are still1 tobacco plantations in the ,province of ,buenos ,ayres1 which appeared to promise a fair future for tobacco-planting2 but all is as yet in a rudimentary condition1 and the industry makes no appreciable progress4 ,the areas planted with tobacco in #ahie and #aijg were as follows3---- #ahie4 #aijg4 ,acres4 ,acres4 ,province of ,corrients #af1bhg #bg1iaj ,province of ,salta #b1bgg #h1fde ,province of ,tucuman #f1hhj #g1daj ,territory of ,misions #e1gje #a1igf ,territory of ,formosa and ,chaco 7,south7 #a1bid #a1bce ,province of ,crdoba #c1cdh #a1gbi ,other ,provinces---- ,buenos ,ayres1 ,santa ,f1 ,catamarca #c1fca #b1dgj ------------ ------------ ,totals #ci1dbb #ea1cge ------------ ------------ ,the agricultural census of #ahie affirmed the existence of #ccdh acres of tobacco in ,crdoba1 while the ,bulletin of the ,division of ,statistics at the ,ministry of ,agriculture announced only #agbi acres2 in short1 everything leads to the conclusion that we have to deal either with gross blunders or with erroneous information4 ,as it has not been practicable for us to verify these figures we must suppose that in #ahie there was not so large an area planted as the figures would lead us to believe4#fi ,footnote #fi3 ,see ,la ,culture des ,plantes industrielles dans la ,rpublique ,argentine1 by ,carlos ,d4 ,girola4 ,the ,mulberry4----,the culture of the mulberry-tree should perhaps be included in that of industrial crops1 since its leaves are the food of the silkworm4 ,from the time of the ,spanish ,conquest1 says ,carlos ,girola1 the engineer1 our competent guide in the matter of industrial crops1 the silkworm was raised in the ,province of ,cuyo1 and silk was woven there on the hand-loom2 but1 on account of the facilities of transport1 imported silks brought such a competition to bear upon the hand-made native article that the silkworm industry gradually dwindled and finally became extinct4 ,numerous experiments have of late years proved that the silkworm can be raised over a great part of the country2 and that it has the best chances of development where the population is densest1 labour most abundant1 and the houses of the workers largest and most comfortable1 as in the ,provinces of ,buenos ,ayres 7,north7 and ,santa ,f1 and in parts of ,entre ,rios and ,crdoba4 ,so far1 however1 there is no demand for the native cocoons1 and it is so difficult to place them that at present one cannot recommend the silkworm industry except as an experiment or a speculation4 ,the mulberry-tree grows and flourishes excellently on the greater portion of the ,argentine soil1 and especially in the central and northern districts1 where it springs up quickly and vigorously4 ,it is greatly to be desired that it should be more widely cultivated1 and that its wider cultivation should go hand in hand with the development of the sericultural industry1 which in some countries constitutes one of the principal sources of wealth4 ,the mulberry also furnishes an excellent wood1 and its leaves may be used to feed cattle as well as silkworms4 ,instead of planting trees which are of no industrial use1 the mulberry should be given the place of preference4 ,yerba ,mat4----,the 8yerba mat10 or mat shrub1 is met with in the woods of ,misions1 where it grows in irregular clumps of varying extent4 ,it has been known since the time of the ,jesuits1 who were the first to plant and cultivate it1 as is proved by the plantations which to this day exist in the territory of the ,argentine ,missions 7,misions74 ,with the leaf of this plant infusions are made1 as with tea1 coffee1 cocoa1 etc4 ,the matheine contained in the leaves is possessed of properties at once tonic and stimulating4 ,the infusion of 8yerba mat0 is usually made in a receptacle shaped like a pear with an orifice at the smaller end2#gj it is imbibed by means of a silver tube having at one end a bulb pierced with holes1 which performs the office of a strainer1 and is known as the bombilla4 ,this method of preparation and of use is now tending to disappear2 and mat is now often prepared in the same way as coffee1 the result being a very refreshing drink1 very valuable in the country districts for the refreshment of travellers4 ,statistics prove that the consumption of mat is continually increasing2 and as the national production is insufficient1 recourse is had to importation from ,brazil and ,paraguay4 ,the amount of these imports for #aijg was as follows3---- ,footnote #gj3 ,usually a gourd is used1 of either spherical1 ovoid1 or pear-like shape1 with one end sliced off2 it is commonly polished and carved1 often by ,gauchos or ,indians4 ,each drinker has his own gourd and bombilla1 the latter being necessitated by the use of the leaf in the form of a powder4----,,trans4 ,pounds4 ,value4 ,mat imported from ,brazil #ajj1ahi1afb #a1jjj1cfd ,mat imported from ,paraguay #f1fed1bgf #fa1ahb ----------- ----------- ,total of imported mat #ajf1hdc1dch #a1jfa1edf ----------- -------------------- ,importation in #aijf #igj1aed4 ,we have no information respecting the national production of mat1 but we have every reason to suppose that it does not exceed #aa1jjj1jjj lb42 that is1 between a ninth and a tenth of the quantity consumed4 ,there is thus a vast field of development for this branch of agriculture1 especially in the ,territory of ,misions1 which offers all the conditions favourable to the culture of the plant4#ga ,footnote #ga3 ,see ,la ,culture des ,plantes industrielles dans la ,rpublique ,argentine1 by ,carlos ,girola4 ,encouraged by these figures1 and by the desire to replace the forests of ilex1 destroyed by improvident exploitation1 attempts have been made to develop the culture of mat2 and the first results appear to augur well for the future of this undertaking4 ,m4 ,thays1 ,director of the ,parks and ,promenades of ,buenos ,ayres1 to whom we owe the floral and arboreal embellishment of the ,argentine metropolis1 was the first to overcome the obstacles to the artificial culture of the mat shrubs from the seed4 ,the development of the plant is fairly rapid2 the plucking of the leaves may be commenced at the end of six years1 and sometimes earlier3 the treatment necessary for its cultivation is very much that demanded by ordinary orchard trees4 ,its longevity is great1 and so far it is not known to be subject to any disease4 ,the cultivation of mat may spread beyond the ,territory of ,misions1 into the favourable soil of ,corrients1 ,chaco1 and ,formosa2 possibly into other parts of the northern and central regions2 and it may give way to a more intensive culture4 ,m4 ,thays has obtained specimens of mat from seed in the ,botanical ,garden of ,buenos ,ayres1 where he has grown it in the open air4 ,cotton4----,of the various territories of the ,argentine1 none lend themselves so well as ,chaco1 ,formosa1 and ,misions to the cultivation of the cotton-plant2 not only by reason of their climatic conditions1 but also on account of the composition of their soil4 ,the cotton-plant is indigenous to the islands and sea-coasts of the ,tropics1 and its geographical limits of cultivation1 on either side of the ,equator1 run to #dj of latitude in the north1 and in the south to about #cj1 but never as far south as #ce or #dj1 in spite of the probable suitability of those latitudes4 ,the plant hardly suffers from the greatest heats of a tropical summer1 while very cold weather interrupts its organic functions4 ,it requires a hot1 moist atmosphere for its development1 but the moisture must not be excessive1 or the plant will grow too rapidly4 ,it is doubtless thanks to these natural conditions that cotton-planting attained to a certain degree of development in the ,territories of ,chaco1 ,formosa1 and ,misions as soon as the tillers of the soil became aware of its profitable nature4 ,the cultivation of this valuable textile is not1 however1 new to this country4 ,it was grown long ago1 chiefly in ,misions1 during the administration of the ,jesuit ,fathers1 who made from it cloth for their own use1 and also for purposes of trade4 ,but with the expulsion of the members of the celebrated ,company of ,jesus1 and the resulting depopulation of the countryside1 decadence overcame this branch of agriculture1 and finally an almost total extinction1 until to the people of the country it was no more than a memory4 ,finally1 in #ahid1 cotton was sown as an experiment in the ,territory of ,formosa2 a few grains of the 8,louisiana0 and 8,sea-,island0 types1 brought from the ,united ,states4 ,the results were excellent1 and encouraged the sowing of larger areas4 ,there are now1 in the various colonies founded in ,chaco1 which grow practically nothing but cotton1 some #ac1fjj acres under cotton4 ,it may to-day be asserted1 says an official report1 that ,chaco is in the van of the ,republic in the production of cotton2 by reason of the area under cultivation1 the quantity of cotton picked at each harvest1 and the importance of its trade with the ,buenos ,ayres market4#gb ,in the short space of two years1 from ,march #aijb to ,march #aijd1 the exports from ,barranqueras1 the port of this region1 amounted to #hej1efd lb4 of cotton and #bhf1hca lb4 of cotton-seed4 ,from this we may well augur1 as the above-mentioned report asserts1 that ,chaco will become a great cotton-producing country1 on condition that various refractory factors are eliminated4 ,footnote #gb3 ,see the notable monograph entitled3 ,investigaciones algodoneras en los territorios del ,chaco1 ,formosa y ,misions1 ao #aijd1 by the agronomical engineer1 ,fidel ,macial ,perez1 upon whose data we have drawn for this book4 ,that the reader may form some idea of the future in store1 during the economic development of the ,argentine1 for the cultivation and exploitation of cotton1 he need only refer to the following calculation as to its results4 ,the land in ,chaco given over to cotton yields1 in good years1 an average crop per acre of #aghe lb4 of cotton 8in the pod0----that is1 fibre and seed together4 ,selling the cotton at the very low price of #if;d4 per lb4----and the present price of cotton runs to #aaf;d41 #add;d41 and #afe;d4 per lb4----the minimum yield would be #g1 #bs4 per acre1 even with prices as low as we have indicated4 ,as for working expenses1 they do not exceed #d1 #es4 #f;d4 per acre1 unless by some trifling sum1 according to locality2 so that the average profit would be about #b1 #afs4 per acre4 ,this is the cost of production of an acre planted with cotton during the first year4 ,later the expenses diminish by #be per cent41 so that the net profit might reach #c1 #aas4 #c;d4 per acre4 ,one of the great obstacles in the way of the full development of this industry is to be found in the lack of hands indispensable for the minute and delicate operations connected with gathering the crop4 ,it has even happened1 during the last few years1 that in certain districts as much as #cs4 #g;d4 per cwt4 has been offered for selected cotton1 and in others as much as a third of the results of the harvest4 ,but we may be sure that when the native farmer and the foreign agriculturalist once awaken to the extraordinary profits which cotton yields1 its production will assume a far larger scale4 ,as the growers have to deal with an industrial branch of agriculture in process of establishment it has not yet been possible to draw from it all the profit that is secured in other countries3 cotton-seed1 for example1 in the ,united ,states especially1 is a considerable source of wealth1 but in the ,argentine the growers have scarcely begun to utilise it by the extraction of its oil4 ,but there is a beginning3 several mills have lately been established for this purpose4 ,the agronomic expert ,macial has justly remarked that we only require spinning-mills and looms for the cycle of the cotton industry in ,chaco to attain its completion4 ,rubber4----,another source of forestal wealth in the ,argentine1 and one which is for the moment unexploited1----principally because of local depopulation and a lack of means of transport----is the extraction of the rubber contained in certain tropical plants4 ,lately1 for example1 competent observers have discovered that the true rubber-plant1 the ,ficus elastica1 exists in abundance in the north-east of the ,republic1 and in the ,provinces of ,salta and ,jujuy1 between #bc and #bf of south latitude1 and #fb and #ff of west longitude4 ,it is this tree which has given such value to the ,brazilian territory of ,acre and to various other regions of ,brazil4 ,various plants yield rubber3 one species1 of a family known as 8lecherones10 grows in the darkest and dampest parts of the forest2 others1 called 8heveas0 in ,brazil1 are much thinner in the stem2 and finally there is a third kind1 the 8liane0 or rubber vine4 ,the first variety1 that of the 8lecherones10 gives a yield of #ag-a_/b to #bb lbs4 of gum per annum2 there are forest lands containing as many as #ej1jjj plants to the square league----over #ejjj to the square mile----while the poorest districts produce #bjjj to the league4 ,considering the present high prices of rubber1 we may obtain some idea of the great wealth of this region4 ,the method of exploitation is easy and simple2 the country is indubitably healthy1 and with labourers paid at the rate of #cs4 #g;d4 to #aes4 #i;d4 a day a considerable profit would remain4 ,to-day men of initiative are busily seeking to exploit this new source of forestal wealth1 which ought in time to become another centre of attraction to men and to capital4 ,arboriculture4----,there is another kind of culture which is destined in the future1 although at present it has only the smallest importance1 to become an industry of considerable moment2 the culture1 namely1 of orchard trees1 of which we must mention the rapid progress4 ,given the immense area of ,argentine territory1 endowed with the most varied climates1 from the snows of ,tierra del ,fuego to the semi-tropical heat of ,corrients and ,jujuy2 from the temperate warmth of the coast to the more relaxing temperatures of the mountains of ,crdoba or the ,andean frontier1 and containing land at all altitudes above the level of the sea1 it is not to be wondered at that all the fruit-bearing trees of the world can live and flourish in the ,republic4 ,in the northern region1 and especially in ,corrients1 ,tucuman1 ,salta1 ,la ,rioja1 ,catamarca1 ,jujuy1 ,formosa1 ,chaco1 and ,misions1 there are to-day groves of oranges1 mandarins1 lemons and limes of various kinds1 figs1 and pomegranates4 ,at ,tucuman and ,salta 8chirimoyos0 and 8paltas0 are cultivated4 ,almonds1 olives1 ,barbary figs1 ananas or bread-fruit1 bananas and 8guayabos0 may also be grown in this region2 but unhappily the fruit-growing industry is at a standstill1 on account of the lack of labour which is so great a difficulty in all departments of the industrial and economic life of the ,argentine4 ,in the central region we also find the mandarin or tangerine 7in the north of ,entre ,rios and ,santa ,f71 lemons 7in ,entre ,rios1 ,santa ,f1 and ,buenos ,ayres71 the grape-vine1 especially in ,mendoza and ,san ,juan1 and also in ,la ,rioja1 ,salta1 ,catamarca1 ,crdoba1 ,santa ,f1 ,entre ,rios1 and ,buenos ,ayres4 ,peaches1 prunes1 apricots1 cherries1 apples1 pears1 quinces1 medlars1 and figs are grown in all these districts1 and chiefly in the ,province of ,buenos ,ayres1 and the islands of the delta of the ,parana4 ,in the same region we also find almonds1 walnuts1 hazel-nuts1 and chestnuts1 but grown on a small scale only4 ,there is a fair production of lemons2 and the olive grows well under favourable conditions4 ,in the southern region there is no fruit grown1 except on a few estates in the ,rio ,negro and in the valley of ,chubut4 ,yet peaches1 apricots1 prunes1 cherries1 apples1 and pears will flourish in certain localities2 while walnuts1 filberts and chestnuts might be grown on an enormous scale on the ,andean slopes1 where the rains are more frequent and the atmosphere more humid4 ,up to the present time1 on account of the large profits made by those engaged in agriculture and stock-raising1 and above all on account of the insufficiency of the population1 which is the prime cause of which we have already spoken1 the industry of fruit-farming has been practically ignored1 and what little has been undertaken has followed no definite plan1 such as the careful selection of stocks and slips and saplings1 the preparation of the soil1 and the efficient protection of the trees4 ,but in spite of all1 very satisfactory results have been obtained1 which have revealed the fertility of the soil and the excellence of the climate4 ,but quite lately we have seen a remarkable development in this branch of agriculture1 which seems to promise a fruit-growing industry comparable to that of other and more advanced countries than the ,argentine4 ,to-day1 according to ,girola1#gc more care is expended upon the planting and cultivation of the trees1 as the growers have acquired the conviction that it is better to produce quality rather than quantity1 and that fruit-growing demands1 like other departments of agriculture1 the careful selection of varieties at the time of planting2 as well as incessant improvement by means of careful grafting1 and the application of special procedures to the elimination of noxious insects1 and the prevention of parasitic or other maladies4 ,footnote #gc3 ,see the chapter ,arbres ,fruitiers in the ,investigation agricole1 by ,c4 ,p4 ,girola1 reproduced in the ,annales de la ,socit ,rurale ,argentine for ,january-,february #aije4 ,this being the case1 it follows that the fruit-farmer is gradually acquiring rational methods1 which will soon attest to their beneficent influence by transforming the old orchard-plantations1 which were with reason described as forests of fruit-trees1 into gardens of carefully cultivated plants1 yielding crops very greatly improved in the matter of quality and the beauty of the fruit4 ,on the other hand1 the sellers of fruit-trees have at the same time been learning more as to the qualities of different varieties1 and how best to select them1 in order to place on the market those which will secure the largest profits to the grower1 and to propagate the most popular species4 ,the cultivation of fruit-trees is far from occupying its proper rank among ,argentine industries4 ,it is distributed in an irregular fashion2 some kinds of fruit-trees abound in certain districts and are rare or unknown in others2 and it is impossible for growers in the latter districts to obtain them at profitable rates1 on account of the difficulty and scanty means of transport4 ,as for the fruit trade1 it has hitherto been very limited1 and confined almost exclusively to the sale of fresh fruit1 as with the exception of the factory of the 8,tiger ,packing ,company0 and a few others1 which prepare canned peaches1 etc41 in syrup1 all growers of fruit for public consumption offer it for sale only in the fresh state4 ,yet amid the feverish activity which characterises the present situation in the ,argentine1 the fruit trade receives a greater impulse each year2 not only in the matter of home consumption1 which has been popularised by the aid of such companies as the 8,co-operative ,fruticola10 which endeavours to supply the consumer with articles of the first quality at reasonable prices1 but also in the matter of export to large foreign cities4 ,the export of fresh fruit should soon form an important branch of commerce in the ,argentine1 as it does already in the ,united ,states and in other countries4 ,in the matter of a fresh-fruit trade with foreign countries the ,argentine is particularly favoured by circumstances2 for on account of her geographical position she is able to profit by the inversion of the seasons with regard to ,europe2 that is1 by placing summer fruits on the ,european markets in the middle of the northern winter4 ,another advantage which the ,argentine will enjoy on these markets is the fact that she has to reckon with no formidable competitors2 for those countries that might dispute her place1 such as ,south ,africa1 which is situated in much the same latitude1 or ,chili1 which grows a variety of good fruit1 have not the abundant fertility of the ,republic2 or if they run her close in this respect1 as is the case with ,chili1 they are separated from ,europe by a greater distance1 which considerably increases the price of transport4#gd ,footnote #gd3 ,and also of refrigeration2 the fruit being 8chilled10 that is1 kept slightly above freezing point4----,,trans4 ,profiting by the admirable physical advantages of the country1 once this trade has obtained the indispensable assistance of rapid and convenient steamers1 with special holds or refrigerating chambers for the storage of large quantities of fresh fruit1 we are certain that it will not have long to wait for profitable results4 ,several years ago one of the authors of this book sent to ,messrs ,garcia1 ,jacobs ,company1 of ,london1 as a commercial sample1 a batch of peaches preserved by chilling1 and according to the testimony of these merchants the peaches of ,buenos ,ayres may well be the subject of a successful business1 provided that fruit of the superior varieties be produced4 ,entering into detail1 ,messrs ,garcia ,jacobs added that the best qualities sent had sold satisfactorily2 they ended by stating that consignments reaching ,london in the months of ,march1 ,april1 and ,may should yield considerable profits4 ,after this experiment many others were made by various persons1 until finally1 thinking the moment had come for establishing the fruit trade on a solid and lasting basis1 the ,royal ,mail ,steam ,navigation ,company determined to fit their steamers with special 8chilled0 chambers or holds for the transport of fresh fruit4 ,the first consignments have not been completely satisfactory1 as in this trade1 which is now being undertaken on a very large scale1 every one has a great deal to learn2 from the producer1 who plants the varieties of fruits which he thinks most suitable for export1 the farm labourer1 who gathers the fruit1 and the man who packs it in special cases1 down to the steamship company1 which has to confide the care of the refrigerating plant and the holds to a competent technician1 whose duty it is to maintain a constant temperature1 appropriate to each species of fruit4 ,but even under these still imperfect conditions the progress achieved has been very remarkable1 and justifies our assertion that a large export trade in fresh fruit is perfectly practicable4 ,the exhibitions of fruit which the ,government of the ,republic organises annually1 with much practical good sense1 have greatly helped to attract attention to the fruit-growing industry1 and at the same time to stimulate competition and improvement4 ,these exhibitions have been a veritable revelation to everybody1 for very few people suspected that the ,argentine produced so great a variety of the best species of fruit-bearing trees2 or that she could rival other countries in the matter of production4 ,the fresh-fruit trade is not1 in the ,argentine1 as it is in the ,united ,states1 favoured by the existence of refrigerator cars1 placed at the disposal of the producers by the railway companies1 and capable of transporting enormous quantities of fruit from one end of the country to the other4 ,but this innovation1 like so many others demanded by industry and commerce1 will come in time1 when the population has increased1 and new markets will be permanently opened to the producer4 ,at the present time such fruits as are intended for home consumption1 like those selected for exportation1 have not far to travel before reaching their destination1 as they are usually grown near ,buenos ,ayres2 particularly the peach1 which is the fruit most in demand on account of its superior quality4 ,although the entire ,argentine territory lends itself admirably to the production of fruit1 there are particular districts which by nature are especially fitted for the plantation of fruit-trees4 ,among such districts we may cite the islands which form the delta of the ,parana1 which are covered with an extremely rich soil and magnificent growths1 and are irrigated during certain seasons of the year by the waters of the river1 which deposit on them a richly nutritious silt1 like that which the famous waters of the ,nile leave upon its ,egyptian banks4 ,there flourish a great variety of fruit-trees1 from peach and apricot1 pear and apple1 fig and quince1 down to the 8diospiro kaki10 and many other species4 ,another region which has commenced to attract attention by reason of its magnificent fruits is that of the ,rio ,colorado2 it will one day be as famous for its peaches and apricots as ,california is to-day4 ,at a short distance from ,buenos ,ayres is another favoured district1 producing in especial magnificent peaches2 it is that of the village of ,dolores1 in the ,province of ,buenos ,ayres1 whose exquisite fruits figure on the best tables of ,london and other ,european capitals4 ,as we see from these data1 fruit-farming is making rapid progress in the ,argentine3 it may succeed in time in capturing not only the home markets1 but also the most important foreign markets4 ,as for the preparation of fresh fruit in syrup1 as well as the manufacture of dried fruits1 both of them industries well developed in the ,united ,states1 they still exist in the ,argentine only in a rudimentary condition2 but in view of the rapid progress achieved each year in the ,argentine1 in this as in other industries1 we may hope that they will soon develop and establish themselves securely4 ,,part ,,iii ,,the ,,argentine ,,from ,,the ,,commercial ,,and ,,industrial ,,point ,,of ,,view ,,chapter ,i ,,foreign ,,trade ,the important part played by the foreign trade of the ,argentine---- ,table of imports and exports during recent years----,explanation of their respective movements----,favourable condition of the commercial balance4 ,method of ascertaining the statistics of exports and imports---- ,errors in evaluation----,notes on the import duties on various articles----,variations of the customs duties----,export duties2 their transitory character----,the trade in bullion4 ,,imports----,their classification according to their countries of origin----,value of imports from each country1 with indications of the principal articles imported----,the ,argentine dependent upon other countries for a large number of manufactured articles---- ,concentration of imports at ,buenos ,ayres4 ,,exports----,their classification according to origin----,value of exports from each district1 with indications of the chief articles exported----,decadence of the ,french trade with the ,argentine and its causes4 ,tabulation1 according to importance of the principal products exported by the ,argentine----,remarkable increase in agricultural and pastoral exports----,search for new outlets4 ,eventual denunciation of commercial treaties----,projected new treaty with ,france----,causes of the superiority of ,english1 ,german1 and ,north ,american trade in the ,argentine over ,french trade4 8,dumping0 in the ,argentine----,a new client for the ,argentine----,japan---- ,elements which make for the development of commercial activity in the ,argentine4 ,the commercial balance----,results of the commercial balance----,its prime importance in respect of the prosperity of the country---- ,it is this balance which compensates the issue of capital for the benefit of the foreign debt4 ,the whole activity of the ,argentine ,republic is reflected in the statistics of its external commerce1 which gives the true measure of its prosperity4 ,all the vital forces of the country1 its river traffic-ways1 its railways1 its ports1 its business centres1 all aid in the development of the commercial movement1 which lives only by means of international exchange4 ,we have thus reached one of the most important points of our study3 that from which we can best judge the place held by the ,argentine among the great markets of the world4 ,considered under its general aspect ,argentine commerce may be summed up as follows3 the exportation of raw materials and the importation of manufactured articles4 ,we mention exportation first by design2 for it is the exports1 as we have already pointed out1 that regulate the purchasing power of the country4 ,there are no reserves in the ,argentine which permit the country to preserve its power of purchase much in excess of the movement of capital produced by the sale of the harvest4 ,this situation cannot be clearly expressed in figures2 for we can prove that as late as #ahia the sum of imports was greatly in excess of that of exports4 ,in normal periods one must1 in fact1 take into account a new factor2 namely1 external credit1 which allows the ,argentine to increase her power of purchase above her actual resources4 ,when1 on the contrary1 a crisis arises1 the imports rapidly follow the movement of the exports1 the country no longer being able to depend upon credit nor to cover by loans its unfavourable commercial balance4 ,we give below1 taken from the publications of ,m4 ,latzina the statistics of foreign trade since #ahfa1 which is the first year included in the official statistics4 ,the foreign trade of the ,argentine has passed through two distinct phases2 from #ahfa to #ahij the imports were usually larger than the exports2 while since #ahia the exports1 except in #ahic1 have been considerably the larger4 ,it is curious to note that this reversal took place after the year #ahij2 that is1 after the financial crisis which so violently shook the country1 and deprived it of that external credit which had hitherto balanced the insufficiency of exportations4 ,in #ahia the imports fell to #ac1dda1djj1 from #bh1ddh1jjj1 or a fall of more than #ej per cent4 from one year to the next4 ,thenceforward the imports progressively increased to #cg1djj1jjj in #aijd1 varying by a few millions each year1 while the exports reached their present high state of development through the progress achieved by agriculture4 ,commercial ,,year4 ,population4 ,imports4 ,exports4 ,balance4 #ahfa #a1cge1dha #d1dhh1bbd #b1hfd1eah - #a1fbc1gjf #ahfb #a1dbd1gdj #d1fbg1gdb #c1hcj1bfh - #gig1dgd #ahfc #a1dgg1jdb #e1dgc1ici #d1cag1fhi - #a1aef1bej #ahfd #a1ecj1ied #d1fbh1fdh #d1dgc1dfb - #aee1ahf #ahfe #a1chg1aja #f1jef1hfa #e1bbe1bhh - #hca1egc #ahff #a1fde1dcf #g1dhj1jig #e1cdh1aed - #b1aca1idc #ahfg #a1gjf1aei #g1geh1dci #f1fci1bbc - #a1aai1baf #ahfh #a1gfi1cgi #h1dhj1ejh #e1ida1idb - #b1ech1eff #ahfi #a1hcf1dij #h1bci1adj #f1dhi1fcg - #a1gdi1cjc #ahgj #a1hhb1fae #i1hbd1ibb #f1jdd1fag - #c1ghj1cje #ahga #a1icf1efi #i1ace1hba #e1cii1cfj - #c1gcf1dfa #ahgb #a1ihi1hhj #ab1cag1aef #i1dec1eic - #b1hfc1efc #ahgc #b1jde1jbh #ad1fhf1hjg #i1dgi1feh - #e1bjg1adi #ahgd #b1ajb1bhd #aa1efe1cji #h1ijh1cjg - #b1feg1jjb #ahge #b1afa1fci #aa1ebd1hif #aj1dja1hbb - #a1abc1jgc #ahgf #b1bbc1ahi #g1bad1jjd #i1fah1adb #b1djd1ach #ahgg #b1bhg1jje #h1jhh1fhd #h1iec1ihh #hfe1cjd #ahgh #b1cec1aid #h1gea1hbe #g1ejd1ged - #a1bdg1jga #ahgi #b1dba1hbg #i1bgb1gah #i1hga1eaa #eih1gic #ahhj #b1dib1hff #i1ajg1agf #aa1fgf1aeg #b1efd1iha #ahha #b1efe1jdj #aa1ada1ahe #aa1ehg1fed #ddf1dfi #ahhb #b1fci1egc #ab1bdi1bji #ab1jgg1ghh - #aga1dba #ahhc #b1gaf1hcf #af1jdg1afe #ab1fda1eie - #d1jde1egj #ahhd #b1gig1jdb #ah1haa1bbi #ac1fje1ifg - #e1bje1bfa #ahhe #b1hhj1aaa #ah1ddd1cid #af1gge1hbj - #a1ffh1egd #ahhf #b1iff1bfj #ai1jha1gdi #ac1iff1ifh - #e1aad1gha #ahhg #c1jef1hce #bc1dgj1dbe #af1hhd1afd - #f1ehf1jfa #ahhh #c1aeh1iad #be1fhb1dbb #bj1jbb1chj - #e1ffj1jda #ahhi #c1bfe1egg #cb1iac1igf #ah1jbi1jga - #ad1hhd1ifj #ahij #c1cgg1ghj #bh1ddh1afb #bj1afc1gih - #h1bhd1cfd #ahia #c1dij1dag #ac1dda1eef #bj1fdc1hjj #g1bjb1bdd #ahib #c1fjg1ajc #ah1bif1bcb #bb1fgd1jfg #d1cgg1hcf #ahic #c1gbi1aje #ai1bdd1gbe #ah1hah1jcb - #dbf1fid #ahid #c1hef1gbh #ah1eeg1gbe #bj1ccg1eig #a1ggi1hgb #ahie #c1ihd1iaa #ai1jai1bhg #bd1jac1efj #d1iid1bgj #ahif #d1jhd1ahc #bb1dcb1gah #bc1cgf1djc #ibg1fhe #ahig #d1ahf1bfg #ai1feg1ghi #bj1bcc1hei #egf1jgj #ahih #d1bia1ege #ba1dhe1ghj #bf1gfe1hia #e1bhj1aaa #ahii #d1djj1bbf #bc1cgj1acd #cf1ihc1ejf #ac1faa1aeb #aijj #d1eab1cdb #bb1fig1jad #cj1ibj1jhb #h1bbc1jfh #aija #d1fbe1aej #bb1gia1idi #cc1edc1bbj #aj1gea1bga #aijb #d1gda1ghj #bj1fjg1hea #ce1hig1cde #ae1bhi1did #aijc #d1hfj1cbd #bf1bda1cbj #dd1aif1ije #ag1iee1ehe #aijd #d1iha1hcb #cg1dfa1aid #eb1hca1eje #ae1cgj1caa #aije #e1bad1igd #da1jcj1hhd #fd1efh1gfh #bc1ecg1hhd #aijf #e1cgg1fci #ec1iid1ajd #eh1dej1gff #d1def1ffb #aijg #e1edf1ajf #eg1agb1acf #ei1bdj1hgd #b1jfh1gch #aijh #e1gab1dhi #ed1eid1edg #gc1bja1jfh #ah1gjf1eba -------------- -------------- ---------------- ,,totals #hhg1adb1jjc #ifd1bgh1iea #gg1acf1idj ,for the explanation of these data1 we must remember that during the last twelve years the population has increased only by about one million inhabitants1 and that in consequence the power of consumption of the ,argentine could only become modified to a certain extent4 ,if we except certain periods of exceptional importations1 referring1 for instance1 to the entry in bulk of large amounts of raw material for the construction of new railways1 we see that the imports1 as compared to the bulk of the population1 represent from #e1 #es4 to #g1 #ahs4 #g;d4 per head1 while the same figure for exports is #g1 #ajs4 #g;d4 to #aj1 #abs4 #j;d41 according to the condition of agriculture4 ,if we now examine the recent results of foreign trade1 we find the situation summed up by the following figures for #aijh1 as compared with #aijg1 #aijf1 and #aije3---- #aijh #aijg #aijf #aije ,exports #gc1bja1jfh #ei1bdj1hgd #eh1dej1gff #fd1efh1gfh ,imports #ed1eid1edg #eg1agb1acf #ec1iid1ajd #da1jcj1hhd ------------ ----------- ----------- ------------- ,excess of ,exports #ah1fjf1eba #b1jfh1gch #d1def1ffb #bc1ecg1hhd ,the commercial balance in #aijh was thus #ah1fjf1eba in favour of the exports1 as against #b1jfh1gch in #aijg1 #d1def1ffb in #aijf1 which latter sum was #ai1jha1bbb less than in #aije4 ,there is every reason to believe that the exports for #aiji will prove to have been fully as large as the year before1 for the recovery of the wool market and the enormous maize harvest will have compensated certain deficits in the matter of corn and cattle1 which suffered in the preceding year from frost or drought4 ,as for the harvest of the current year1 it is wiser not to say too much at present1 as the lack of rain has deranged the sowing season4 ,before commenting in any way upon the figures relating to foreign trade1 we must make one remark in respect of the method followed in making out our balance-sheets1 etc4 ,in the case of imports1 the valuation of the customs is taken1 and in the case of exports their current market price in gold4 ,but this procedure has the demerit of yielding results which are not in strict correspondence with reality2 the most we can say is that they enable us to make a strict comparison of one year with another4 ,the valuations according to the customs are from #bj to #cj per cent4 above the true values in the case of the majority of articles1 and are sometimes merely fantastic4 ,to gain some idea of the disturbing factor which arises from the calculation of imports upon the basis of customs estimates1 which estimates are the basis of the figures of the ,national ,statistics1 we need only take the figures relating to coffee as an example4 ,in #ahii it was valued at #cj centavos in gold2 in #aijj1 at #bj2 and in #aijb1 at #ab centavos 7#gb;d41 #dh;d41 and #b;d474 ,this decrease of over #e;d4 in three years only enables one to judge of the instability of this rate of valuation4 ,here are some examples of the tariff paid by certain imports into the ,argentine4 ,the #ej per cent4 tariff strikes principally at the importation of woven stuffs1 carriages1 harness1 furniture1 perfumery1 ready-made under-clothing1 boots and shoes1 hats1 and similar articles not burdened by specific tariffs1 for there is a host of articles which pays the entrance duty in this way4 ,in practice this ad valorem tariff of #ej per cent4 frequently becomes a tariff of #ajj per cent4 or more1 on account of the arbitrary nature of the customs valuations4 ,the #de per cent4 tariff affects stockings1 socks1 etc41 exclusively4 ,the #dj per cent4 tariff affects bales of unbleached linen1 all kinds of cotton cloth and calicoes1 dressed leather1 articles of lace made of pure silk or silk mixtures1 or of thread2 woollen blankets1 and blankets of wool with cotton warp1 or bound or bordered2 also laces and silk thread or thread of mixed silk and woven stuffs and any other articles of silk or silk mixtures1 including floss silk1 etc4 ,the #ce per cent4 tariff applies to woollen stuffs in general1 whether of pure wool or mixtures4 ,the #be per cent4 tariff affects all merchandise not burdened by a special tax4 ,that of #bj per cent4 affects bar1 strip and ribbon steel1 and unbleached cotton cloths4 ,the #ae per cent4 tariff affects oak1 cedar1 pine1 spruce1 and tissues of silk intended for bolting flour4 ,the #aj per cent4 tariff affects certain chemical products1 and also cocoa1 tin1 machinery in general1 agave fibres1 jute1 and hemp fibre for making mats1 etc4 ,that of #e per cent4 which is the lowest1 is imposed on turpentines1 steel wire for fencing1 ploughs1 jewellery1 sulphur1 cotton1 whether raw or in the thread for industrial purposes1 sewing-thread1 sacks1 and other various articles4 ,besides the above there are some ninety-five articles or products on which specific duties are imposed4 ,since #aijj a legislative factor1 at first sight unimportant1 but in practice of the greatest advantage1 has to a certain extent modified the vexatious character of the ,argentine tariff4 ,this factor consists in the relative stability imposed by ,congress on the customs law1 by the suppression of the annual revision to which the rate of valuation was subjected1 which change has allowed commerce to establish its transactions on a definite basis2 whereas they were formerly contingent upon the continual modifications of the said tariff4 ,this step1 like so many others1 was initiated by the ex-,minister1 ,seor ,jos ,maria ,rosa4 ,exaggerated values were always at the base of these tariffs1 and the abuse became so notorious that the present ,minister of ,finance1 ,dr ,terry1 was himself obliged to recognise 8that reform was essential in the matter of the rectification of all these valuations1 in order that the ,customs ,administration should not strike indirectly at imported products by taxes far in advance of those intended by the legislative power40 ,a new tariff has been in force since the #ast of ,january #aije1 and although it also has given rise to a certain degree of recrimination1 it is none the less an improvement upon the former state of affairs4 ,as for the export duties1 here again we find notable discrepancies between the valuations and the market prices which ought1 on principle1 to serve as their basis4 ,they were established after the crisis of #ahij1 and as they were now no longer justified by insufficient resources1 they were suppressed by ,congress reckoning from #aijf4 ,these customs duties on exported goods were established by the ,argentine ,constitution1 but not in a permanent manner4 ,the ,charter enacted that they should be in force up to #ahff2 but at that time1 the country being at war with ,paraguay1 a ,convention was convoked1 which postponed the settlement of the matter for some years4 ,in #ahhg the export duties were suppressed2 but in #aijj1 after the terrible financial crash1 they were once more established1 in order to relieve the heavy burdens and engagements of the ,treasury4 ,these duties were from #d to #ajj per cent4 ad valorem1 and were principally directed against leathers and hides1 wool washed or unwashed1 ostrich plumes1 tallow1 fat1 animal oil1 horns1 etc4 ,as may be seen by this simple enumeration1 these duties weighed upon the by-products of stock-raising as they left the country for the markets of foreign consumers1 and this after they had already been subjected to other heavy charges1 in the shape of land taxes1 customs duties on wire for fencing1 and many local taxes1 while agricultural products escaped scot-free4 ,for this reason it has always been considered that the export tariff had no equitable basis1 and all the ,argentine ,administrations have for this reason endeavoured to suppress it1 as the ,congress finally did in #aije4 ,whether we are dealing with exports or with imports we always find1 as we have seen1 an inflation of prices on both sides1 so that the figures of the official statistics have not so much an actual as a comparative value4 ,there is still one important item to be remarked in respect of imports3 it is that the import duties in recent years have been first raised then lowered4 ,additional duties amounting to #aj per cent4 were established when the dispute with ,chili seemed about to end in war----that is1 on the #bith of ,january #aijb----;at which time a supertax of #e per cent4 was added to the tariff which had already been in force since #ahii4 ,since then these duties have been finally suppressed 7in ,january #aijd74 ,it is obvious that with these variations we have not always the same basis of valuation1 as the imports are variously affected by these variations themselves1 so that all exact comparisons are impossible4 ,we must also take into account the value of the imports which are not controlled by the customs4 ,competent persons have estimated that these amount to about #bj per cent4 of the goods passing through the customs1 which represents a sum of about #b1jjj1jjj4 ,again1 the figures we have quoted do not include the movements of currency or bullion1 which during the last six years have been as follows3---- ,year4 ,metallic ,imports4 ,metallic ,exports4 ,balance4 #aijb #a1gha1hag #fad1hfh #a1aff1idi #aijc #e1bag1bcg #bci1bcj #d1igh1jjg #aijd #d1ihc1eij #cbj1heh #d1ffb1gcb #aije #f1eaa1ijh #afc1hge #f1cdh1jcc #aijf #c1fdb1dfd #cja1abd #c1cda1cdj #aijg #d1gaj1ede #fbf1ggg #d1jhc1gfh #aijh #e1gcj1bdc #h1ifc #e1gba1bhj #aiji 7six months7 #g1hhh1gha #b1iia #g1hhe1ghi ,the increase observed from one year to the other in the importation of bullion is in direct relation to the increase of exportations3 it corresponds to the consignments of gold1 coming especially from the ,london market1 in order to expunge the commercial balance in favour of the ,argentine4 ,in the light of these observations we will now examine the commercial movement in itself1 while noting its distribution according to the various countries which exchange their products with the ,argentine4 ,we will then give a list of the principal articles entering into the composition of this foreign trade4 ,,imports ,here is a table of imports for the years #aijf-aijh1 and for the first six months of #aiji1 classed according to their origin and in order of importance3 ,country of ,origin4 #aijf4 #aijg4 #aijh4 #aiji4 7,six months47 ,great ,britain #ah1ife1ihg #ai1ehg1adh #ah1fgd1bgi #i1daf1dje ,germany #g1fhc1beb #i1afb1bcd #g1efi1dag #d1cje1gdb ,united ,states #g1hid1igi #g1gfh1dee #g1aai1dja #c1gjd1iag ,france #e1cdh1ige #e1jic1fje #e1bie1che #b1iih1cdf ,italy #d1hbd1gbg #d1hjj1fdh #d1ihb1fdi #b1gjf1jad ,belgium #b1dbe1fjh #c1agi1cgj #b1eej1fgd #a1cji1ibj ,brazil #a1cbh1bje #a1efi1hga #a1deg1ahi #gea1ibc ,spain #a1dgc1fed #a1deh1hid #a1gbc1fbb #hei1jac ,uruguay #cff1fdh #did1eea #dda1djg #bfi1gdj ,holland #cjb1cdi #ceb1dja #djg1fjf #bab1gad ,paraguay #bfa1gid #bhb1hfg #cja1iia #ahe1aad ,cuba #ace1iaf #aae1cif #acf1acg #ei1fjg ,chili #aje1fdc #aaj1ife #ade1cih #ci1gef ,bolivia #bf1hbb #be1cge #ca1bab #ac1ddc ,other ,countries #b1hbi1edd #c1agj1ced #c1geh1aha #a1dad1ieb ----------- ----------- ----------- ----------- ,totals #ec1iid1ajd #eg1agb1acf #ed1eid1edg #bh1bgf1ijf ,great ,britain is always at the head of the list of imports1 the total of her products imported by the ,argentine in #aijh being #ah1fgd1bgi4 ,among these products one of the greatest importance is coal1 of which #b1cch1idi tons were imported in #aijg1 representing a value of #c1bgd1ebh4 ,woven fabrics of all kinds attained a value of #c1jch1fid2 railroad material #b1gjc1ide1 and sacking for making up into sacks1 #bif1ehe4 ,germany now occupies the second place4 ,the imports from ,germany1 worth #g1efi1dag in #aijh1 are of all kinds1 and include almost every kind of product consumed by the ,argentine4 ,on account of her various industries1 metallurgical products holds the first place2 then come woven fabrics and paper4 ,the ,united ,states send principally agricultural material1 petroleum1 and pine timber2 the imports for #aijh were #g1aai1djj in value2 or nearly twice the value of the ,argentine exports to the ,states4 ,this situation is explained by the fact that both countries export the same products----cereals and cattle1 etc4 ,france comes fourth1 with #e1bie1che worth of produce in #aijh4 ,her products1 like those of ,germany1 are very numerous in kind4 ,the largest imports are of woven fabrics1 wines and spirits1 metallurgical products1 pharmaceutical specialities1 and perfumery4 ,taking the item of wines and spirits alone1 the ,argentine imports #bbh1jjj worth of bitters and vermouth and #bjb1efj worth of wines in the wood4 ,italy sent #d1ihb1fdi worth of imports in #aijh4 ,from ,italy the ,argentine imports the largest quantity of wines and of bitters1 valued at #ibb1ich2 olive oil accounts for #cid1acc1 rice for #bie1ffg1 cheese for #aha1idi 7the weight of this import in #aijg being #b1bgd tons72 in short1 all the articles most in demand among the ,italian emigrants4 ,woven fabrics attained a value of #ibg1heg4 ,far below the countries already named1 with an amount of produce less than half that imported by ,france1 comes ,belgium 7#b1eej1fgd in #aijh72 then ,brazil 7#a1deg1ahi71 and ,spain 7#a1gbc1fbb74 ,belgium sends principally metallurgical products2 ,spain her wines and oils and salt4 ,brazil sends only a dozen or so of products2 the most important being coffee1 tobacco1 and especially the yerba mat2 a herb analogous to tea1 and used as a beverage in the country districts4 ,brazil and ,paraguay1 which supply it to the ,argentine1 sent #a1jdf1ahc worth of the herb in #aijh4 ,the table given below shows what are the principal products imported by the ,argentine ,republic1 and show the considerable increase which has taken place in all branches of importation3---- #aijf4 #aijg4 #aijh4 #aiji4 7#ast six months7 ,alimentary products #c1ecb1eji #d1ahc1ahg #d1gji1hai #b1bbf1jec ,beverages #b1ceh1hjh #b1ebf1gdh #b1fee1ief #a1aee1ife ,textile materials and fabrics #aj1hbf1jjh #i1dff1fch #i1ihb1bfg #e1ghg1jgf ,mineral oils1 and chemical and pharmaceutical #c1jib1gff #c1bed1fec #d1jdh1age #b1agd1hga products ,woods1 furniture1 etc4 #a1abb1ddd #a1bgb1jjh #a1bfb1egc #gbh1agh ,iron1 machines1 materials1 implements1 utensils1 etc4 #f1ihh1dfa #f1fcb1bbh #f1jae1jig #c1dja1iab ,coal and other mineral produce #d1ahb1afj #d1abf1iaj #d1igi1hci #b1bbi1bbd ,various products#ge #ba1hij1idf #be1gji1gfc #bj1ifj1hbj #aj1edd1bgb -------------------- -------------------- -------------------- -------------------- ,totals #ec1iid1ajb #eg1agb1ace #ed1eid1edf #bh1ejg1cea ,footnote #ge3 ,under this heading of various products are included railway material----rails1 chairs1 locomotives1 etc4----to the value of #d1fgb1dhf in #aije1 #g1jaa1jgb in #aijf1 #aj1dfd1aej in #aijg1 #f1jae1jig in #aijh1 and #c1dja1iab during the first six months of #aiji4 ,building materials amounted in value to #d1djj1cci in #aijf1 #d1fjd1jgh in #aijg1 #d1bcf1dhe in #aijh1 and #b1dib1bgf in the first half of #aiji4 ,we see from this table that the ,argentine relies on foreign imports for the greater number of metallic1 chemical1 and textile products1 and even for a great many food-stuffs4 ,an essentially agricultural nation1 she has not as yet developed her industrial equipment1 nor has she been able to undertake the transformation of the raw materials at her disposal into manufactured products4 ,the development of her agriculture is the object which has hitherto absorbed all the initiative and all the capital of the country4 ,it is this dependence upon foreign countries for so many articles of prime necessity that makes the cost of living in the ,argentine so high4 ,all these articles have to pay customs dues varying from #e to #ej per cent4 ad valorem2 dues which still further increase the exaggerated valuations of the ,customs ,administration4 ,on the other hand1 these imports are by no means so decentralised as the exports2 they are brought as near as possible to the centres of consumption1 so that they shall not be forced to pay fresh freight dues in the interior4 ,the ,customs ,house of ,buenos ,ayres handles #hdi per cent4 of the imports2 ,rosario #ib per cent42 ,la ,plata #ai per cent41 and ,bahia ,blanca #h per cent4 ,as we see by these figures1 the ,federal ,capital almost monopolises the imports1 whence arises its disproportionate development as compared with the rest of the country4 ,,exports ,here is the table of the exports of the last three years1 arranged according to their destination1 in order of importance3---- ,,destination4 #aijf #aijg #aijh #aiji 7#ast six months7 ,great ,britain#gf #h1fdd1hjg #aj1gdc1bcj #ae1fdd1idd #aj1bjg1fec ,france #g1aeb1fga #g1eeb1dji #e1ghb1gej #d1gfa1ead ,germany #g1hhc1dci #g1bhd1faa #f1iej1cii #d1bhj1ebc ,belgium #e1abd1bgi #e1iah1dbf #g1aee1fcg #e1eca1jae ,brazil #b1cgh1bfc #b1hjc1fhf #c1jai1aae #a1gbi1hbd ,united ,states #b1fff1dbb #b1ahh1jhg #b1fjd1fdg #b1daa1dfj ,italy #a1cha1bbe #a1jdc1hic #a1eha1ega #a1ejh1hae ,holland #eie1jdg #hcd1hah #a1jei1icd #fbc1fcd ,spain #ead1eae #chg1aba #eai1ibj #bdh1hbc ,chili #bgg1ajg #cgj1acc #cjg1eja #big1jah ,south ,africa #gia1fjf #cjc1aah #agb1jhh #bd1ffb ,uruguay #a1jjf1hhj #bge1cbh #aed1hia #aab1cbi ,cuba #di1dgh #add1hif #eg1hia #db1jdf ,bolivia #fe1gai #aba1faj #aah1gde #ge1faf ,paraguay #da1jjc #cf1ecj #db1gcc #ag1aff ,other destinations #gee1cbd #eih1gdj #iba1jha #gib1bda ,shipments to order #ai1abb1idi #ai1beb1hia #bg1jhe1aai #ag1gaj1deg -------------------- -------------------- -------------------- -------------------- #eh1dej1gff #ei1bdj1hgd #gc1bja1jfh #ej1ced1fhh ,footnote #gf3 ,it should perhaps be explained that the totals are correctly converted from the ,argentine values1 but are not the exact sums of the columns of figures1 as these latter are for economy of space printed without the following decimals that result from conversion4 ,the error in any one case is infinitesimal----from #a_/ajjth to #a_/ajjjth of #a per cent4----,,trans4 ,in the matter of exports the first place is again held by ,england1 with an exportation of #ae1ffd1idd in #aijh as against #aj1gdc1bcj in #aijg1 an increase of #d1dba1gad4 ,england is the ,argentine's largest client in the matter of agricultural produce1 taking #af per cent4 of the whole amount exported4 ,in #aijg she spent #c1gci1eji on chilled meats2 #a1hdc1ied on cereals----wheat1 maize1 and linseed2 #a1bab1dga on wools2 #aic1hcd on butter1 and #cgi1haj on sheepskins and cowhides1 dried and salted4 ,australia also imports wheat and maize from the ,argentine4#gg ,footnote #gg3 ,these figures are for #aijg except where otherwise stated4----,,trans4 ,the export trade to ,england is still capable of a far greater expansion1 if ,england will only determine to allow cattle on the hoof to be imported once more2 an import she denied herself some years ago1 on account of anthrax1 and one which the ,argentine is eagerly begging her to resume1 under proper sanitary regulations4 ,it is ,england which has hitherto preserved the closest balance between her exports to and imports from the ,argentine1 and no other country has so far been able to oust her from her dominant position in the ,argentine foreign trade4 ,from this we see that the ties which unite the two countries have nothing factitious about them2 a fact which is still further emphasised by the statistics of ,english capital employed in the ,argentine4 ,germany holds the second place1 with her #f1iej1cii of imports from the ,argentine 7in #aijh3 #g1bhd1faa in #aijg74 ,after ,england1 she is the greatest consumer of ,argentine wool2 the exports of this product in #aijg amounted in value to #b1hdf1bac4 ,other articles absorbed by ,germany are hides 7to the value of #a1jde1dag71 and cereal products----wheat1 maize1 linseed1and bran----7to the value of #a1jac1dbf74 ,the ,german imports from the ,argentine do not1 however1 include cattle or chilled meats4 ,france1 up to #ahgf1 occupied the first place on the scale of ,argentine exports4 ,to-day her imports from the ,argentine amount to #e1ghb1gej only 7#aijh71 or nearly #aj1jjj1jjj less than the ,english imports 7in #aijg they amounted to #g1eeb1dji74 ,her purchases in the ,argentine are confined to a very few products1 of which the chiefest is wool1 the value of the export in #aijg being #d1ijh1eaj1 or a little less than half the entire ,argentine production4 ,then come hides1 to the value of #a1ejh1gfd2 then linseed1 maize1 and wheat to the value of #cji1ief1 #cbb1dgc1 and #bga1dhh respectively1 the whole imports from the ,argentine in #aijg being #g1eeb1dai4 ,the ,french system of ,protection has so far stood in the way of the trade in ,argentine cereals1 and has absolutely prohibited the entry of animals or chilled meat4 ,the interests of the ,french agriculturalists and cattle-breeders have hitherto come before the interest of the consumer1 which is to obtain the products necessary to life in the cheapest market4 ,but overtures are being made1 by the common agreement of both countries1 which may eventually open the ,french market to ,argentine meats1 in return for certain concessions granted to ,france1 relative to the exportation of her own products----her wine1 silks1 woven fabrics1 etc4 ,the marked and progressive decadence of the ,franco-,argentine trade ought to rivet the attention of ,french capitalists and statesmen4 ,hitherto numerous ties have connected ,france and the ,argentine4 ,the fundamental code and the legislative system of the ,south ,american ,republic have been impregnated by the spirit of liberty1 equality and fraternity proclaimed by the ,french ,revolution4 ,the ,argentine mind is fed upon ,french thought1 science1 and literature4 ,it is now1 however1 to be seen that the intellectual influence of ,france is losing ground1 as well as her commercial influence1 as to-day the sense of national fraternity is based upon solidarity of interest4 ,now the decadence of ,french trade with the ,argentine is truly alarming4 ,if we consult the publications of the ,national ,department of ,statistics1 we find1 for instance1 that in the thirty-one years from #ahgf to #aijg the ,german exports to the ,argentine have increased by #bdej per cent42 the ,belgian1 by #ajjb per cent42 those from the ,united ,states by #ahih per cent42 ,italian exports by #ijg per cent42 ,english by #iib per cent42 but ,french exports have increased only by #bjd per cent4 ,compared with other nations1 ,france has least been able to hold her own in the matter of trade with the ,argentine4 ,in #ahgf the importations from ,france formed #bcb per cent4 of the total imports2 while in #aijh they formed only #ii per cent4 of the totals1 making a proportional diminution of #acc per cent4 in thirty-two years4 ,our imports from ,england1 however1 which in #ahgf were #bdi per cent4 of the total1 had increased to #cd per cent4 by #aijh2 representing a proportional increase of #i per cent4 ,we are thus justified in concluding that all our efforts to develop the current of ,franco-,argentine exchange will contribute powerfully to fortify the influence of ,france1 and the sense of confraternity between the two ,latin nations4 ,the causes of the decay of the ,french trade have been recapitulated in an official document despatched in #aijd by the ,french ,chamber of ,commerce in ,buenos ,ayres to the ,minister of ,commerce4 99 99 99 99 99 ,these causes may be summarised as follows3 #a4 ,the exaggerated duties to which many of our products are subjected on entering the ,argentine4 #b4 ,the competition of local industry with the imports of certain products4 #c4 ,the dearness of labour in ,france1 and the consequent cost of manufacture1 which in many cases no longer permits us to struggle against our competitors4#gh #d4 ,the imperfection of our equipment for making certain articles4 #e4 ,the persistence of our manufacturers in disregarding the tastes of their clientle4 #f4 ,the insufficiency of the credit granted by ,french manufacturers and merchants as compared with those of other competing countries4 #g4 ,the frequent lack of technical knowledge on the part of foreign commercial travellers2 a lack which almost always prevents them from benefiting as they should from direct contact with their customers4 #h4 ,finally1 in the matter of navigation1 the expensive character of our vessels1 and the resulting dearness of freight4#gi ,footnote #gh3 ,the case of ,france is especially interesting1 because her tendency is towards self-sufficiency----the reverse of the policy of nearly all other countries4 ,footnote #gi3 ,see ,rapport ,m4 le ,ministre du ,commerce sur les causes de la diminution du commerce franaise dans la ,rpublique ,argentine1 #aijd4 ,belgium imports some #e1iah1dbf worth of produce from the ,argentine 7#g1aee1fcg in #aijh74 ,she receives much the same articles as ,germany3 #a1def1aif worth of wool1 and #b1bhe1agd worth of cereals1 of which #a1eea1bbh goes for wheat4 ,we find a new item figuring in the ,belgian imports----extract of beef----to the value of #agc1hhe2 this extract is made by ,kemmerichs1 the rivals of ,liebigs1 who manufacture their extract on the ,uruguay4 ,of late years the ,argentine has gained a new client----,south ,africa4 ,during the ,boer war an extensive export trade sprang up1 in live animals1 chilled meats1 and cereals1 and this trade has been maintained4 ,the value of the exports to ,south ,africa in #aijh was #agb1jhh 7#cjc1dah in #aijg47 ,brazil also imports alimentary products from the ,argentine3 cereals1 and especially wheat and flour4 ,the value of the exports to ,brazil in #aijh was #c1jai1aae4 ,between the two principal countries of ,south ,america----,brazil and the ,argentine----economic relations are promoted by convenience2 ,brazil furnishing the produce of its prosperous and varied forms of agriculture----coffee1 yerba mat1 tobacco1 etc4----in exchange for ,argentine cereals and cattle4 ,in ,north ,america1 on the contrary1 the ,argentine finds few outlets for its products1 as the two countries have almost the same products4 ,the exports to the ,united ,states were #b1ahh1jhg in value in #aijg2 #b1fjd1fdg in #aijh2 consisting almost entirely of hides1 wool1 and extract of quebracho for tanning2 while1 as we have seen1 the exports of the ,united ,states to the ,argentine reach the value of #g1ajj1jjj4 ,the ,argentine ,government has given much thought to the disadvantages of this commercial situation2 it has sought means to remedy it1 but so far has adopted no practical measures4 ,it has also endeavoured to conclude a commercial agreement with ,brazil1 but without success1 because in ,south ,american states questions of race-antagonism often give rise to the gravest problems4 ,this fact also explains why the attempts to establish a commercial treaty have so far failed4 ,in his last message1 however1 the ,president of the ,republic admitted that negotiations were in progress with a view to opening up new markets and to increase the mutual trade of the ,argentine and other countries4 ,he even announced that a commercial treaty with ,chili was almost completed4 ,on the other hand1 as arbitration treaties have just been concluded with ,brazil and the ,united ,states1 we may infer that these countries are not systematically opposed to any understanding with the ,argentine4 99 99 99 99 99 ,holding positions far inferior to the foregoing countries are3 ,italy1 which in #aijh received #a1eha1ega worth of ,argentine products1 principally maize and hides2 ,holland receiving #a1jei1cid worth of imports1 comprising linseed and cereals 7maize and wheat72 ,uruguay1 importing live-stock1 meat1 sugar1 hides1 etc41 to the value of #aed1hia in #aijg 7#bge1cbh in #aijh72 ,spain1 importing maize1 hides1 and fats to the value of #chg1aba in #aijg 7#eai1ibj in #aijh72 and ,chili1 importing ,argentine produce to the value of #cgj1acc in #aijg 7#cjg1eja in #aijh71 consisting entirely of cattle and mules4 ,finally we must mention ,austro-,hungary1 although that country has very little commercial contact with the ,argentine4 ,the imports from ,austria and ,hungary amount to some #ejj1jjj or #fjj1jjj 7#egh1icb in #aijg1 #feh1gjj in #aijh71 and the ,argentine exports1 principally wheat1 amounted to a value of #aej1cie in #aijg1 and #bad1bbg in #aijh4 ,one department of the foreign trade of the ,argentine cannot be precisely classified2 namely1 that of the products which are loaded on vessels which make seawards1 and those which1 coming from the river custom-houses1 are transported to ,buenos ,ayres1 there to be transhipped for foreign countries4 ,the value of such exports was #ai1beb1hia1 in #aijg1 and #bg1jhe1aai in #aijh4 ,this sum includes the value 7#ah1fed1aec in #aijg7 of agricultural products1 wheat and maize1 despatched to order but without exact destination1 whether to ,saint ,vincent in the ,cape ,verde ,islands1 ,las ,palmas in the ,canaries1 or ,falmouth in ,england4 ,the following table shows1 in the order of their importance1 the products exported by the ,argentine during the three years #aijf-aijh and the first six months of #aiji1 so that we may see at a glance what branches of production have most rapidly increased3 #aijf4 #aijg4 #aijh4 #aiji4 7#ast six months7 ,products of ,stock-raising #bd1hbg1cig #bd1gfd1jda #bc1jbc1fia #af1bac1ecc ,products of ,agriculture#hj #ca1ecj1ich #cb1hah1cbd #dh1cce1dcb #cb1ihf1dcj ,forestal products #a1ahd1cgb #a1jfh1dga #a1bfi1ddg #gid1ggb ,various #ijh1afh #eij1jcg #bgb1dig #cei1ieb ----------- ----------- ----------- ----------- ,totals #eh1dej1hge #ei1bdj1hgc #gb1iba1jfg #ej1ced1fhg ----------- ----------- ----------- ----------- ,footnote #hj3 ,the agricultural exports for #aijf wore sensibly lower than those of #aije1 on account of a decrease of #c1hfd1cib in the exports of wheat4 ,we see that agricultural products were responsible for the enormous increase in the trade statistics of #aijh4 ,they represented #ff per cent4 of the total exports1 and had increased nearly #ej per cent4 in one year4 ,the products of stock-raising have not increased2 on the contrary1 there is a falling off of more than #e1jjj1jjj between #aije and #aijh1 the value in #aije being #bh1bjh1eig4 ,we see from the preceding data how greatly agriculture has developed in the ,argentine during the last few years4 ,to realise precisely how great this development has been1 we need only recall the fact that the exportation of corn is now #aj1jjj times greater than it was thirty years ago3 maize has increased by #hjj per cent42 fodder1 by #hj per cent43 linseed1 by #gj1jjj per cent42 flour more than #fjj per cent4#ha ,these figures show how rapid the growth of the ,argentine has been1 and what progress has been realised in spite of temporary crises4 ,footnote #ha3 ,latzina1 work already cited1 p4 #eaj4 ,if we now consider the progress of external trade1 not from year to year and in detail but as a whole1 and over a large period1 we can no longer doubt that this trade is destined to accomplish still greater development4 ,importation too1 the field for which is somewhat restricted1 may also realise a greater progress as the population increases4 ,again1 once the ,argentine develops her industries with greater energy1 it is only natural that larger quantities of raw material will be imported1 to be transformed into manufactured articles4 ,as for the increase of exports1 we have only to turn to the data already given concerning the annual increase in the area of sown land1 and the importance of those lands which have yet to reach their true value1 but will do so as soon as the stream of immigration supplies them with settlers and colonists4 ,moreover1 the creation of a network of economical light railways1 and the opening of new ports on the great rivers1 will give the export trade new facilities1 which will naturally result in an increased trade4 ,in the first edition of this book we remarked that there was still an unknown factor in the future of the foreign trade of the ,argentine4 ,now there is1 in the ,presidential ,message1 an allusion to the eventual termination of the commercial treaties with the principal nations1 with the intention of suppressing the 8most favoured nation0 clause1 and of opening up direct negotiations4 ,very fortunately this measure has had no practical consequences1 for the revision of treaties is a delicate piece of work for a nation essentially tributary to the foreigner1 if one wishes to avoid the risk of provoking reactions which might compromise the results already obtained4 ,this 8most favoured nation0 clause1 which the ,republic inserts in all its treaties1 has1 for the rest1 by no means impeded the enormous expansion of the ,argentine export trade which we have already noted4 ,we must conclude that the termination of commercial treaties1 with the object of effacing this clause1 has become1 even in the case of distinguished statesmen1 a continual obsession1 although it is justified by no decisive argument1 and might well expose the country to dangerous vicissitudes4#hb ,footnote #hb3 ,one may with profit consult a notable report on ,la clause de la nation la plus favorises1 presented to the ,minister of ,agriculture by the ,divisional ,chief1 ,richard ,pillado4 ,on certain points1 however1 the customs laws of the ,republic might well be revised in such a way as to stimulate foreign trade4 ,thus with regard to ,france official negotiations have already been opened1 with the object of affording the ,argentine certain facilities in the introduction of her chilled meats2 while in return ,french wines and woven fabrics1 etc41 were to be given a preferential treatment4 ,just as the basis of this arrangement appears1 we have as yet no reason to suppose that it will be ratified by the two nations concerned1 or that it will soon be put into execution4 ,taking a more general point of view1 we are obliged to admit that if ,french commerce1 and especially ,french industry1 have not won the place which should be theirs in the ,argentine ,republic1 when we consider the magnitude of ,argentine exportation to ,france1 it is because ,french men of business and manufacturers have started from a false principle1 from whose consequences they and the ,argentine are still suffering4 ,instead of following up the rapid evolution of the ,argentine1 the ,french have persisted in regarding it1 from afar off1 as a nation scarcely yet open to civilisation and progress4 ,they used to seek to get rid of remainders1 old-fashioned articles1 and out-of-date equipments in the ,argentine1 as they do to-day in ,china and ,africa4 ,such railways as are built with ,french material are an example of this practice2 their installation left much to be desired1 and it is only lately that they have made some efforts to support comparison with other lines4 ,the ,english1 ,germans1 and ,americans of the ,states were better advised4 ,having studied with greater care the country and its tendencies1 they were able to initiate it into the paths of material progress4 ,those railways which were built by ,english contractors or companies are models of perfect adaptation to the needs of the country4 ,the equipment of the tramways1 furnished by the ,united ,states1 may be compared with that of the principal capitals of ,europe4 ,in the matter of electric lighting the great ,german companies have installed the best ,german plant4 ,the same observations may be made of a large number of other products imported from abroad4 ,there is nothing better in the ,united ,states in the matter of agricultural equipment than that possessed by the ,argentine2 as for stock-raising1 we have only to remember that it is to ,south ,america that ,england sends her best bulls1 rams1 and stallions4 ,but from these remarks it must not be concluded that the ,argentine has bought too dearly the glory of an equipment which is modern as compared with that of the old ,european nations4 ,of late years it is rather the reverse that has been true4 ,the leading industrial countries1 being anxious to sell off their stock on account of an almost general over-production1 have been propelled towards the markets of exportation in order to get rid of their surplus4 ,from this has resulted a competition from which the ,argentine has in many cases profited1 by obtaining industrial products under particularly advantageous conditions4 ,such has been the case in the matter1 for example1 of rails2 the ,german trade offered them at #d1 #afs4 per ton1 at a time when the ,european prices were considerably higher2 ,germany1 however1 was supplanted by the factories of the ,united ,states1 which supplied them at #b1 #hs4 per ton4 ,this is an application of the new economic process known as dumping1 which consists in developing production as far as possible1 in order to lower the net cost of production1 and then to sell at this net cost price1 in foreign markets1 all that the producing country fails to absorb4 ,all the nations we have cited are the actual consumers of ,argentine products2 but it is to be hoped that yet other markets will be opened1 attracted by the abundance and the quality of these products4 ,among these countries disposed to trade with the ,argentine we must mention the ,japanese ,empire1 which is endeavouring to develop its trade upon a reciprocal basis1 and has sent a commission of delegates to ,buenos ,ayres1 who were instructed to obtain complete and practical data as to the possibility of establishing a mutual trade with the young ,south ,american nation4 ,the ,japanese commissioners have accomplished their trade with the earnest application characteristic of their countrymen1 and after studying the question for more than a year they have arrived at the conclusion that many ,argentine products1 and among them wools1 hides1 and flour1 might find an extensive outlet in ,japan2 but only if imported free from the expenses imposed by the ,european middleman4 ,pursuing their investigations1 the ,japanese ,commissioners discovered that the great difficulty in the way of a direct trade between the ,argentine and ,japan consists in the fact that there is no direct line of steamers2 but this obstacle might be overcome by an arrangement with the ,toyo-,yusen-,kaisha ,company1 which would establish a direct service to ,buenos ,ayres via ,cape ,town in forty-five days2 at present the voyage takes seventy days4 ,this arrangement would lead to a reduction of #ge per cent4 on the freights4 ,flattering1 however1 as the prospects of this new market may seem1 there is one item in the plan of the ,japanese ,government which gives rise to considerable reflection on the part of our ,argentine statesmen3 namely1 the proposal to introduce ,japanese agricultural immigrants into the ,argentine2 that is1 immigrants whose presence would in many ways be inconvenient2 against whose presence the ,united ,states and other countries have reacted1 and whose very presence in the ,argentine would be contrary to the sense of the ,argentine ,constitution1 which imposes upon ,congress the duty of encouraging ,european immigration4 ,in concluding this study of the foreign trade of the ,argentine ,republic and its remarkable development1 we cannot do better than quote the enthusiastic words by which an ,argentine statesman terminated a study of the same question1 thus summarising all the various elements which concur in the development of the commercial activity of the nation3 8,despite the scanty population1 and the small proportion of our agricultural resources which has as yet been exploited1 the production of the ,argentine is considerable4 ,the herds grazing in our pastures show the state of progress which stock-raising has attained2 the harvests which cover the plains of ,santa ,f and ,buenos ,ayres have made the name of the ,argentine ,republic known on the markets of ,europe as that of a flourishing agricultural country2 sugar1 the product of the cane-fields of ,tucuman1 has enriched that ,province and the national industry1 and very shortly the vines grown in the valleys of the old ,province of ,cuyo will achieve a yet wider development1 and will give still more abundant vintages4 8,the smoke-stacks of manufacturers overlook many of the cities of the ,republic1 and certain native products are now being transformed1 as raw material1 into finished articles by the nation's labour4 ,industries based upon the vitality of our production1 and supported by the public powers solely in a rational and equitable degree1 are developing themselves without being forced to resort to the exaggerated and always mistaken assistance of an excessive protectionism4 ,in short1 our foreign trade1 upon whose promising results we have already commented1 will in its turn fortify the economic organism1 which is the basis of the welfare and the power of nations40#hc ,footnote #hc3 ,see ,memoria del ,departamento de ,hacienda1 by ,t4 ,m4 ,rosa1 #ahii1 vol4 i41 p4 #agj4 ,,the ,,commercial ,,balance ,in a country like the ,argentine1 which has no accumulated reserves1 and has not become the creditor of foreign countries by investing its capital abroad1 a favourable commercial balance 7that is to say1 the realisation of an excess of exports over imports7 is a matter of considerable importance4 ,now this excess was #ah1fjj1jjj in #aijh2 a record1 if we omit #aije1 which proves clearly that the ,argentine has entered upon a period of exceptional prosperity from the economic point of view4 ,to understand the full significance of this commercial balance1 we must bear in mind the financial situation of the ,argentine1 which has a foreign debt of #gd1bjj1jjj1 demanding a yearly interest of #c1ijg1bjj1 payable1 of course1 in gold4 ,in order1 then1 that the country may be able to keep its engagements1 the total value of its exports must cover the amount due on the year's imports and must also cover the interest to be paid on the foreign debt1 the dividends earned by the railway companies1 etc41 and the expenses of maritime transport4 ,all that we have considered up to the present shows that the productive capacity of the ,argentine is limited to the results of agriculture and stock-raising4 ,with the exception of these two elements we may say that the country produces nothing1 transforms nothing4 ,industry is as yet in its infancy2 internal trade is undeveloped2 the mercantile marine is of no importance4 ,for this reason the ,argentine must perforce employ the results of its agricultural exportation in procuring what it lacks----objects of prime necessity1 or raw materials of all kinds4 ,we can thus understand what an influence a change for the worse in the commercial balance may exercise on the destinies of the country4 ,if there is a bad harvest the deficit must somehow be made up2 and as ,argentina has not as yet saved enough capital to allow her to live on her own reserve funds1 it is at such times that a loan becomes necessary4 ,thus each bad harvest helps to increase the foreign debt1 to say nothing of the financial disturbances which it may create4 ,it may be asked why1 after a certain number of years of abundant harvests1 the ,argentine has not as yet established this financial reserve1 which would serve to lessen the blow of a bad agricultural year1 and compensate the deficient exportation of a year of lean cattle4 ,the answer will be found in the figures which we print further on1 relating to the amount of foreign capital invested in the ,argentine2 in ,government bonds1 shares in railway companies1 or other undertakings1 public or private4 ,according to our estimate1 this sum amounts approximately to #cag1bjj1jjj1 representing an annual drain of #ah1djj1jjj in the shape of interest1 dividends1 or redemption money4 ,this is assuredly the outlet by which much of the country's savings escape1 for we may truly say that the ,argentine1 which is in a sense so much international territory1 works more for other countries than for itself4 ,again1 as we shall see1 this exodus of capital takes place also by other means2 notably by the emigration of those natives or foreigners who leave the ,argentine to settle in ,europe4 ,it is not rare1 among ,argentine families1 to see certain members1 having made their fortunes1 emigrate to enjoy their incomes under other skies4 ,this applies yet more frequently to foreigners4 ,the ,italian1 for example 7and more ,italians come to the ,argentine than natives of any other country71 the ,italian is given to transforming his savings into money of his own country2 either with a view to returning1 or because he cannot on the spot find security or facility for the accumulation of personal property4 ,so at the present time there are two distinct movements of capital2 two movements of contrary direction and absolutely distinct4 ,firstly1 money flows into the country in payment of exports2 secondly1 money flows out of the country in payment of imports2 and also in consideration of foreign capital invested in the ,argentine4 ,from these two movements1 in times of prosperity1 a third movement arises2 a movement which brings foreign capital into the ,argentine1 where it finds employment in important undertakings1 due to ,governmental or to private initiative4 ,but although this influx of capital may mean further national progress1 it does not permanently affect the commercial balance of the country1 as the revenue deriving from it benefits the foreigner4 ,whatever point of view we assume1 we must always arrive at the same conclusion2 that the whole economic life of the ,republic depends upon its agricultural exports2 its commercial balance has no other counter-weight to help it to overcome the burden of debts contracted abroad by the importation of merchandise or of capital4 ,for ten years now the sense of this commercial balance has been constantly in favour of the exports1 and there has even been a remarkable progress1 scarcely interrupted at critical moments4 ,but ten years is only a brief period in the life of a people2 and however favourable the future outlook may appear1 we must always be prepared for a possible deficit1 for a minus balance1 as the result of a bad harvest or some grave political crisis4 ,these1 in a country without reserves of capital1 are contingencies of which we must never lose sight1 and which force us to express our appreciation of the financial or economic system of the ,argentine with a certain reserve4 ,,chapter ,,ii ,,the ,,great ,,argentine ,,industries ,the principal industries of the country are related to agriculture and cattle-breeding4 ,,sugar-,,planting1 ,,boiling1 etc4----,capital engaged----,tucuman the chief centre----,production and exportation----,the sugar crisis----,the ,rosario ,refinery4 ,,flour ,,export ,,trade----,capital invested----,equipment1 steam flour-mills1 grain-elevators----,production and exportation4 ,,refrigeration----,at present the chief industry of the country----,number of establishments----,table of exports of frozen and chilled meats----,capital invested----,development of the industry4 ,,dairy ,,industries----,the large establishments devoting themselves to these industries----,butter2 cheese----,exports of butter2 the development of which the dairy industries are capable4 ,,breweries----,chief establishments----,production and consumption of beer during the years #aijb-aijg----,suppression of imports of foreign beer4 ,,spirits----,decreased production of spirits4 ,,looms1 ,,tanneries----,weaving and tanning are industries which at present exist in the ,argentine only in a rudimentary condition1 despite the conditions which are favourable to their development4 ,,quebracho ,,wood----,the centre of production----,applications----,companie s engaged in the industry----,their results----,value of the products and the large profits to be expected4 ,,timber ,,trade----,varieties of timber and hard woods4 ,,fisheries----,first results of this industry4 ,the industry of the ,argentine ,republic is more or less independent upon its agriculture and stock-raising1 which contribute the raw materials for the manufacture of various alimentary products4 ,among those industries which are thus dependent on the produce of the soil we must mention1 as the more important1 sugar-boiling1 flour-milling1 the chilled-meat industry1 the making of butter1 cheese1 and oil1 brewing1 and distilling4 ,besides these industries1 the majority of which are flourishing and suffice for the needs of the country1 we must mention others which are still in a rudimentary state1 but which seem to have an assured future1 on account of the abundance of raw material2 namely1 the weaving of woollen and cotton fabrics1 and the preparation of leathers4 ,we shall therefore have occasion to remark upon the conditions of their development4 ,sugar ,factories4----,the sugar industry has fairly remote antecedents in the ,argentine4 ,dr ,latzina traces it back to the ,jesuits2 the inventory of their goods1 drawn up at the time of their expulsion in #agfg1 proving the existence of a field of cane and a sugar-mill4 ,despite its respectable antiquity1 the sugar industry only began to be of significance towards the middle of the nineteenth century1 at which time it was established in ,tucuman1 whose soil appeared to be favourable to the cultivation of the cane4 ,since then it has developed gradually1 but it is only during the last ten years that it has spread to any considerable extent4 ,we have given the details of this development1 together with figures1 in the chapter dealing with the industrial branches of agriculture1 in which we spoke of the laws affecting this industry4 ,to-day the number of sugar-mills or factories is thirty-one2 they belong to limited companies or to private persons1 and represent a total capital of #d1bbd1jjj1 to which sum we must add another of #b1fdj1jjj as the value of some #afj1bjj acres planted with cane1 at the rate of #af to #ag per acre1 and #cfi1fjj as the value of the ,rosario ,refinery2 which gives us a total of #g1bcc1fjj invested in this industry4 ,the largest undertakings used to be in the hands of ,seor ,tornquist and ,m4 ,hilairet1 now both deceased1 to whom the country is indebted for the great progress effected in this industry4 ,to sum up the position of this industry1 we must recall the fact that the area of ,argentine soil planted with sugar-cane at the end of #aijg was #agb1ijj acres1 which yielded an average crop of #abd tons of cane per acre1 and produced about #acj1jjj tons of sugar4 ,the sugar industry has been developed in this country1 as in so many others1 by the system of export bounties or premiums1 which has since been suppressed4 ,twenty years ago the ,argentine had to import nearly all her sugar from ,europe----more than #ajj1jjj tons per annum----while to-day she produces far more than she can consume1 and has to export the surplus of her production4 ,although the progress accomplished was so rapid1 it was not effected without certain misunderstandings1 caused by excessive production4 ,at the end of the sugar crisis of #ahif-g1 which occasioned the closing of a number of factories1 attempts were made to regulate the industry1 at the instance of the leading makers4 ,to-day there is a syndicate which regulates production within the limits of exportation and production1 and serves as a sales agency for all the factories4 ,the sugar industry of ,tucuman has the advantage as part of its equipment the ,rosario refinery1 which receives the raw sugar of ,tucuman and subjects it to the various processes of crystallisation and bleaching4 ,its output during the agricultural year #aijf-g was #ajg1fba1hjj lb4 of refined sugar2 during the year #aijg-aijh it was #abj1eeb1bbj lb4 ,flour-milling4----,flour-milling has had much the same history as the sugar industry4 ,although the industry was established in the ,argentine as early as the sixteenth century1 it has only been properly developed during the last twenty years4 ,before this period the ,argentine was supplied partly from ,chili1 as its power of production had not kept pace with its population4 ,to-day the situation has been completely transformed1 since the enormous development of agriculture2 not only does the flour produced suffice for the country1 but since #ahgh an export trade has sprung up1 amounting to #ci1jjj tons in #aijb1 #gb1jjj in #aijc1 #ajg1jjj in #aijd1 #add1gjj in #aije1 #abi1jjj in #aijf1 and #abg1jjj in #aijg4 ,brazil is the ,argentine's best customer for flour1 having imported #hd1jjj tons in #aijd1 #ajc1jjj in #aije1 #aad1jjj in #aijf1 and #aah1cjj in #aijg4 ,great ,britain was the second-best customer for flour1 having imported #ad1hjj tons in #aijd1 #bd1djj in #aije1 #edjj in #aijf1 and #abjj in #aijg2 to-day the exportation is negligible4 ,it is estimated that there are #fjj or #gjj flour-mills in the ,argentine1 representing a capital of from #b1bjj1jjj to #b1fdj1jjj4 ,buenos ,ayres has two1 which have been lately installed on ,american models4 ,they are situated on land belonging to ,madero ,harbour1 and comprise a fine and powerful equipment1 with grain-elevators1 silos1 and granaries4 ,one is the property of the ,belgian ,steam ,flour-mills ,company1 and has a capacity of from #ab1jjj to #ad1jjj tons4 ,the other1 with a capacity of #hj1jjj tons1 was built by the efforts of two great railway companies1 the ,buenos-,ayres ,rosario and the ,central ,argentine4 ,we have seen that no less important installations are shortly to be built at ,rosario1 by the ,french company which holds the harbour concession4 ,the ,refrigerating ,industry4----,among all the ,argentine industries the most important is that of chilling or freezing meat and other foodstuffs4 ,it is gradually replacing1 in the export markets1 the salt meat or saladeros industry1 which formerly was the only industry in the country dependent upon stock-raising4 ,the latter industry is carried on principally in ,buenos ,ayres1 ,santa ,f1 ,entre ,rios1 and ,corrients4 ,the principal refrigerating establishments are the following3---- ,the ,sansinena ,frozen ,meat ,co41 with a capital of #fjj1jjj1 and the warehouses known as ,la ,negra1 at ,buenos ,ayres and ,bahia ,blanca1 in the quarter known as ,cuatreros4 ,the ,river ,plate ,fresh ,meat ,co41 with a capital of #dec1fjj1 whose warehouses are in the ,province of ,buenos ,ayres4 ,the ,palmas ,produce ,co41 which is a component part of ,james ,nelson ,co41 and has a capital of #ejj1jjj1 exploits the district of ,campana4 ,la ,blanca1 with a capital of #cjj1jjj1 established at ,buenos ,ayres4 ,the ,plata ,cold ,storage ,co41 with a capital of #djc1hje1 situated at ,la ,plata4 ,recently another refrigerating establishment has been inaugurated at ,zarate1 the property of the ,smithfield and ,argentine ,meat ,co41 with a mechanical equipment allowing #aej bullocks and #fjj sheep to be killed per diem4 ,its capital is #bjj1jjj4 ,to this list we may add the ,kemmerich ,products ,co41 which manufactures extracts of beef4 ,its capital is #dhj1jjj1 and it is established at ,santa ,elena1 in the ,province of ,entre ,rios4 ,this company owns #bgjj square miles of land1 #cdj1jjj cattle1 #bj1jjj horses1 and #ej1jjj sheep4 ,the exports of the refrigerating establishments for the last seven years are given in the following table1 which shows the enormous increase in the export of quarters of beef during the last few years4 ,exports of ,frozen ,meat 7#aija-aijh74 ---------------------------------------- ---------------------------------------- ---------------------------------------- -- #aija #aijb #aijc #aijd #aije ---------------------------------------- ---------------------------------------- ------------------------------------- ,whole ,quarters ,whole ,quarters ,whole ,quarters ,whole ,quarters ,whole ,quarters of ,beef ,sheep of ,beef ,sheep of ,beef ,sheep of ,beef ,sheep of ,beef ,sheep -------------------- ,frozen ,chilled ---------------------------------------- ---------------------------------------- ------------------------------------ ,sansinena ,frozen ,meats ,co4 #ihe1bid #aeg1gdj #a1bhi1fbh #cjd1ajh #a1jgb1bdh #bia1fba #a1bjg1hja #bdb1idj #a1jjb1adf #ccb1cjb #ei1ece ,river ,plate ,fresh ,meat ,co4 #ibg1fdh #agj1abc #a1abj1bfc #cja1hha #a1jjj1efb #cgj1ffc #hee1jci #cce1acf #fhj1hcf #bjd1dcf #agd1bdb ,las ,palmas ,produce ,co4 #hji1ghe #agj1eab #a1jai1cca #bbd1bbd #a1jie1fgh #bia1bff #a1jef1iif #cab1hgj #hfg1hcb #ccg1fdj #bi1jii ,la ,blanca #bac1aab #db1eac #dbd1dhf #agh1gji #bdd1bii #agg1dgj #ch1djh ,the ,la ,plata ,cold ,storage ,co4 #abi1def #adj1cdc #cfi1bii #cej1jif #ajj1dbc ,the ,smithfield and ,argentine ,meat ,co4 #cc1hcj #cj1cjj #bd1cjd ,rio ,seco #fg1bdh ,the ,frigorifique ,uruguayenne #if1hdf #ad1hgf ,the ,frigorifique ,argentine #abf1hhb #fd1fja ---------------------------------------- ---------------------------------------- ------------------------------------ #b1gbb1gbg #dic1cge #c1dbi1bbb #hcj1bac #c1cha1fjj #iif1jbc #c1fgc1ggh #a1bji1iih #c1dhi1bah #a1eaa1fca #dcf1jjb ---------------------------------------- ---------------------------------------- ------------------------------------ ---------------------------------------- ---------------------------------------- ---------------------- #aijf #aijg #aijh ---------------------------------------- ---------------------------------------- ---------------- ,whole ,quarters ,quarters ,whole ,quarters ,quarters ,whole ,quarters ,quarters ,sheep of ,beef of ,beef ,sheep of ,beef of ,beef ,sheep of ,beef of ,beef ,frozen ,chilled ,frozen ,chilled ,frozen ,chilled ---------------------------------------- ---------------------------------------- ---------------- ,sansinena ,frozen ,meats ,co4 #ggc1bdc #cjj1fje #fg1iif #hab1fbd #bcg1hba #ce1hhb #a1jeh1hfb #bfc1hcb #fe1dig ,river ,plate ,fresh ,meat ,co4 #eec1ehi #bdi1jga #afc1fbd #dai1ahf #bba1jji #abh1cei #dgf1efi #bfc1fgc #ahe1bid ,las ,palmas ,produce ,co4 #ffd1hfj #cbj1jfd #cb1egj #ffi1cbe #bee1gig #bh1fbg #fdh1igd #bef1iah #eh1dfh ,la ,blanca #aai1cgj #aia1bid #fh1aac #ea1aci #ahe1ceb #ajf1ida #abf1dhb #bjj1bed #aeh1icf ,the ,la ,plata ,cold ,storage ,co4 #ded1hgi #bde1jde #hd1dgf #ecg1dea #bjg1edh #ii1abi #cag1beb #bei1jgc #bah1jhc ,the ,smithfield and ,argentine ,meat ,co4 #ad1agb #aaj1egi #ch1gje #cd1fgi #aah1jda #dj1fge #cb1che #acf1jji #ha1cjb ,rio ,seco #ajd1jdg #bfa1cce #aja1gib #acd1eie ,the ,frigorifique ,uruguayenne #fc1caa #ag1eba #adb1jgj #gf1dge #acg1hec #gf1jfb ,the ,frigorifique ,argentine #beb1iah #adf1daj #abd1hij #dje1cec #abc1adb #ba1gfh ,san ,gregorio #acc1hce ---------------------------------------- ---------------------------------------- ---------------- #c1jjj1chi #a1ehj1ehi #dee1dei #c1jeb1fii #d1djc1hce #dci1fac #c1fgb1ahb #a1egi1afc #ghi1cdh ---------------------------------------- ---------------------------------------- ---------------- ,the capital invested in the refrigerating industry1 including both share capital and loans1 is estimated at #d1ddi1hbe4 ,the profits obtainable may be judged by the dividends paid by the most important of the refrigerating companies3 the ,sansinena ,frozen ,meats ,co41 in #aijb1 paid #ej per cent4 out of the exceptional profits realised by the sale of cattle in ,south ,africa during the ,boer war4 ,since then the dividends of this company have fallen to #aj per cent4 ,another cause of the development of this industry is the closing of ,english ports against cargoes of live cattle1 for fear of anthrax4 ,it is by the help of this prohibition that the refrigerating companies have conquered the ,english market1 which to-day takes up the greater part of our frozen meat1 as before it took our cattle4 ,steps have of late been taken with a view to re-opening the ports under a pledge of sanitary measures2 but nothing decisive has been done1 on account of the protests of ,english cattle-breeders1 and also of the refrigerating companies1 most of which have been created by ,english capital4 ,the ,dairy ,industry4----,among the industries connected with cattle-breeding there is one which1 without having the same importance as the industry dealt with above1 has yet a certain margin of development4 ,this is the dairy industry1 with its derivatives1 butter and cheese-making4 ,the ,argentine breeders having imported excellent ,durham or ,dutch milch-cows1 the dairy produce is of the finest quality4 ,large establishments1 of which one1 ,la ,martona1 belongs to a private company1 have been installed for the purpose of supplying the city of ,buenos ,ayres with milk4 ,it is estimated that the daily sale at the counters of ,la ,martona amounts to #aj1jjj glasses2 the sales of ,la ,marina amount to #fjjj1 and of ,la ,granja ,blanca to #aj1jjj glasses4 ,all these approximate figures refer to the summer only1 and the sales across the counter by the litre1 for family consumption1 and the house to house distribution1 are not included in these figures4 ,besides the above establishments there are many cow-keepers in the city1 as well as dairymen who receive their milk by rail4 ,as for butter and cheese1 it was estimated at the time of the census of #ahie that there were #ceg establishments devoted to this industry4 ,in the matter of butter the ,argentine does more than suffice to itself----though ten years ago this was not the case----but to-day it exports considerable quantities to ,england1 ,brazil1 and ,south ,africa4 ,to give the reader some idea of the dimensions which the butter-making industry may attain in the future1 we need only cite the following data3---- ,according to the national census of #ahie there were #bb1jjj1jjj cattle in the ,argentine ,republic1 of which only #a1bjj1jjj figured as milch cows2 the value of the latter being not less than #ad1jjj1jjj4 ,butter-making and cheese-making were very restricted industries1 especially the former1 and the statistics of #ahie mention an export of only #ejj tons4 ,but the impulse was already given2 and the combined efforts of agriculturalists and cattle-breeders1 directed towards the improvement of the bovine species1 were about to give an extraordinary impetus to the butter-making industry4 ,let us see how the situation has improved between #ahie1 the time of the last national census1 and #aijh1 the year in which the agricultural and pastoral census was taken4 ,this latter inventory has shown that in #aijh the ,argentine ,republic contained #bi1aai1fbe head of cattle1 of which #b1afc1ijj were milch cows and #ab1hbe1ijd were cows employed for breeding purposes4 ,that is1 considering the milch cows only1 we do not find a very extraordinary increase since #ahie1 although all agricultural and pastoral industries have undergone such a remarkable development4 ,it is extremely probable1 however1 that a certain number of milch cows are counted among the cows employed for breeding purposes1 as the latter do produce milk1 whether for consumption on the farm or for commercial purposes4 ,here are the figures of the exportation of butter from #ahie to #aijh3---- ,year4 ,number of ,tons ,exported4 ,value4 #ahie #did #bd1gbj #ahif #ijc #de1afj #ahig #fjj #bi1ihj #ahih #ibg #df1cbj #ahii #a1agi #eh1ihj #aijj #a1jef #eb1gdj #aija #a1eaj #ge1ejj ,year4 ,number of ,tons ,exported4 ,value4 #aijb #d1abe #bec1ehj #aijc #e1cej #dbf1ehj #aijd #g1dei #dbc1efj #aije #e1cic #dca1dfj #aijf #d1dje #ceb1djj #aijg #c1jce #bdb1hjj #aijh #c1eej #bhd1jjj ,these figures are sufficiently satisfactory1 but they are far from representing the possibilities of the future1 when the improvement of breeds and the establishments of new creameries will permit of the manufacture of butter on a far larger scale4 ,among the present stock of #cj1jjj1jjj cattle there ought to be a proportion of at least #de per cent4 of milch cows1 or #ab millions2 at the very least #h millions4 ,counting upon a daily yield of #agf pints of milk per cow1 valued1 in its original state or in the form of butter or cheese1 at #b;d4 per litre1 or #aacf;d4 per pint1 we obtain a sum of #fd1jjj per diem1 or #bc1jjj1jjj per annum4 ,but these calculations are purely theoretical4 ,one thing1 however1 we can say to the credit of the country1 and that is that its dairy industry is admirably adapted to the requirements of a great city such as ,buenos ,ayres1 which must perforce obtain that essential aliment1 milk1 under the most favourable conditions of price and quality4 ,an extremely perfect equipment enables the industry to utilise its by-products4 ,the problem is not whether the ,argentine can produce such a quantity of butter1 but to whom it can sell it1 for in ,america ,brazil is its only customer1 while in ,europe it has to struggle against the competition of such countries as ,france or ,switzerland1 which countries it would be difficult to displace4 ,as for cheese1 we quote only from memory2 its production is practically limited by local requirements4 ,the most important establishment in this line is that belonging to ,seores ,a4 ,r4 ,luro1 on their estate1 ,san ,pascual del ,moro4 ,here the 8moro0 cheese is made1 an imitation of the ,roman cheese1 which is consumed in large quantities by the ,italian colony4 ,breweries4----,although not directly dependent upon the produce of the soil1 since the country produces no hops1 and1 very little barley1 we will nevertheless mention the industry of brewing1 as one which is at present in a prosperous condition4 ,it is undertaken by a number of limited liability companies1 of which the most important1 due to the initiative of ,m4 ,bemburg1 is the ,brasserie ,argentine de ,quilmes1 a ,french company with a capital of #cfj1jjj1 which brews about #c1ifj1jjj gallons of the #h1cfj1jjj gallons consumed by the nation4 ,next1 with a much smaller output1 comes the ,bieckert ,company1 with a capital of #cfb1hhj1 and an output 7in #aijd7 of #a1cdi1cij gallons2 the ,cerveceria ,palermo1 with a capital of #acb1jjj1 and an output of #a1bfd1fij gallons2 the ,rio ,segundo1 in the ,province of ,crdoba1 with a capital of #hj1jjj1 and an output of #dbc1haj gallons2 and the ,fabrica ,nacional de ,cerveza1 with a capital of #abj1jjj1 and an output of #edj1edj gallons4 ,here are the statistics of production and consumption for the last six years of the thirty-two ,argentine breweries3---- ,year4 ,production ,consumption 7pints74 7pints74 #aijb #di1jif1bce #df1icc1ebj #aijc #eg1jdc1bgb #ef1cfj1cej #aijd #fe1ffc1hbd #fe1jgg1ech #aije #id1bfd1fcg #hf1hcc1bad #aijf #aac1ifg1dgh #aac1hih1gid #aijg #abc1djd1fic #aae1gdf1heg ----------- ----------- #ejc1ddj1aci #dhd1hej1bgc ----------- ----------- ,the national product has won a complete victory over the foreign article1 the importation of which is now negligible2 and it has also popularised the liquid dear to ,cambrinus1 which ten years ago was still a luxury4 ,one can only regret that agriculture1 whose development has of late been so enormous1 has not as yet liberated the brewery from the necessity of going to the foreigner for his malt1 a product of barley which is the principal raw material of beer4 ,hitherto1 according to ,girola1 the native barleys have been very little used1 as they are not appreciated as they deserve to be2 and the growers1 on the other hand1 have not taken sufficient pains to produce a good brewer's barley4 ,we must hope that this situation will soon be changed1 and that more pains will be taken in the numberless fertile valleys of the ,argentine in the growing of barley and its improvement4 ,spirits4----,the production of alcohol1 unlike that of other industrial products1 is rapidly decreasing4 ,in #aijg only #c1hbc1ccf gallons were produced1 while in #ahig the production was nearly #f1fjj1jjj gallons4 ,but we must not forget that the duty1 which was originally #g centavos per litre 7#fgb;d4 per gallon71 was in #ahih increased to #a piastre per litre1 or #hs4 per gallon2 nearly five times the prime cost of the spirits4 ,weaving4----,in concluding this sketch of the chief industries of the country which are connected either with agriculture or stock-raising1 it is not out of place to speak of those which1 although so far scarcely developed1 may do better in time under favouring circumstances4 ,with the development of cotton-planting and a plentiful supply of wool1 it seems that a large number of looms might be profitably established and operated in the ,argentine4 ,but hitherto this industry1 of prime importance though it be1 has been held in check by the expense of the necessary machinery and of coal1 which has to be imported from abroad1 and the scarcity of labour4 ,tanning4----,this industry too1 ought in time to occupy a place of far greater importance than it does now2 for the raw materials----hides and quebracho1 the best of tanning media1 are present in abundance4 ,to understand the stationary condition of this industry we must remember that it would require a considerable spare capital1 as the hides have to remain in the vats for several months1 during which time the tanner has need of capital at low terms of interest1 which up to the present time has not been available in the ,argentine4 ,quebracho ,wood4----,considering its future prospects1 we must give a special place to the industry which exploits quebracho timber2 converting the balks into railway sleepers1 or extracting their tannin4 ,red quebracho is found scattered profusely through the hundreds of square leagues of the country known as the ,chaco1 which is situated between #bd and #bh of south latitude1 and #ei and #fd of west longitude1 and also in the ,provinces of ,santa ,f1 ,santiago de l',estero and ,corrients4 ,the ,chaco quebracho is superior to that of ,santiago1 which has the misfortune to grow in nitrous alkaline soil1 where the trees do not reach any considerable dimensions4 ,the ,tucuman product is good1 as it grows in a damp soil1 when it grows well and is full of sap4 ,best of all is the red quebracho of ,chaco2 it is the richest in tannic products2 according to an analysis made in the ,united ,states1 it contains #cj per cent4 of tannin1 while the ,santa ,f product contains less than #bf per cent4 ,although quebracho wood is absolutely impervious to rot1 and may thus be used in building1 for piles1 quays1 sleepers1 etc41 it is exploited more especially for the production of tannin1 as more profit is made by so treating it4 ,a sleeper requires a good-sized log1 considerable time1 and much labour1 to say nothing of the loss of wood2 while the quebracho extract may be obtained from logs of any size4 ,to-day the value of a sleeper1 loaded on the track1 is worth #fs4 #b;d41 while three times as much may be made by extracting the tannin4 ,for this reason the principal companies engaged in the quebracho trade have abandoned the manufacture of sleepers1 so that certain railway companies----the ,buenos ,ayres ,western1 for example----have had to content themselves with iron sleepers4 ,until quite lately quebracho wood was sawn into large round or squared balks1 which were then sent abroad1 chiefly to ,germany1 where the tannin was extracted4 ,during the five years1 #ahii-aijc1 #a1jdd1jjj tons of logs were exported2 in #aijc1 #bjj1bja tons2 in #aijd1 #beb1gbc tons2 in #aije1 #bhe1hig tons2 in #aijf1 #bcj1jjj tons2 in #aijg1 #bdf1ead tons2 and during the first six months of #aijh1 #abg1fji tons4 ,various foreign and native companies were formed1 with large capitals1 to convert the wood into extract of tannin1 and to export it in this form4 ,these companies are3 the ,compaia ,industrial del ,chaco1 with a capital of #cdh1jjj and two factories2 one at ,las ,toscas1 in ,santa ,f1 with a monthly output of #ajjj tons of extract1 and one at ,calchagin1 in the same ,province1 which produces #fjj tons per month4 ,these factories are equipped with ,german plant4 ,this company enjoyed a season of great prosperity in #aijd2 although its factories produced only #ab1jjj tons of extract instead of #cf1jjj1 as they could have done1 a dividend of #db per cent4 was declared4 ,since then the lack of outlet and the low prices have paralysed the development of this industry4 ,another tannin factory1 able to produce #bej tons of extract1 has been established by ,herwig ,brothers at ,pehuaj1 ,province of ,corrients4 ,the ,compaia ,industrial del ,chaco is also about to erect1 at ,resistencia1 a factory with a capacity of #cjj tons of extract per month4 ,el ,quebracho is the last of the companies established for the extraction of quebracho tannin1 and this also began to work under the most auspicious financial conditions4 ,its factories are installed at ,fives-,lille1 ,province of ,santa ,f1 on land belonging to the 8,kemmerich ,products ,co402 these have been equipped with the most perfect machines of ,german make4 ,the capital of this enterprise amounts to #cb1jjj1 which it is hoped will be repaid by the profits of the first few years4 ,the monthly output is #dej tons4 ,the ,mocovi ,tannin ,co41 floated with a capital of #fj1jjj1 has a factory some #fj miles east of ,los ,amores 7,santa ,f71 and has a capacity of #cjj tons per month4 ,the firm of ,hardy ,co41 of ,las ,palmas1 near ,resistencia1 own a factory which cost #ej1jjj1 and produces #bjj tons of extract monthly4 ,the ,formosa company1 which deals in timber and quebracho tannin1 has a capital of #bjj1jjj4 ,this company owns #if square leagues of forest----some #hhj square miles----which are estimated to contain #b million tons of quebracho4 ,this company intends to establish a factory capable of producing #ae1jjj tons of tannin yearly4 ,the ,compaia ,azucarera de ,resistencia1 with a capital of #bb1gjj1 produces #hj tons of extract monthly1 and the factory of ,m4 ,benito ,pinasco1 at ,guaycur1 on the ,santa ,f railway line1 produces #cj tons4 ,besides these factories1 ,seors ,charles and ,joseph ,casado1 the ,argentine owners of #bhjj square leagues of land 7over #be1jjj square miles71 in the ,paraguayan ,chaco1 have established two factories1 one at ,puerto ,casado and the other at ,puerto ,sastre1 which produce1 respectively1 #ejj and #ajjj tons of extract per month4 ,the average yield of quebracho wood is #be per cent4 of extract2 but as the extract contains a number of resinous and colouring matters1 which must be eliminated during the process of manufacture1 the net yield is #bb to #bc per cent4 of solid extract containing #bj per cent4 of water1 which contains #gj to #gce per cent4 of tannic oxide----that is1 pure tannin4 ,the system employed in extracting the tannin is based upon diffusion4 ,firstly1 the wood is reduced to powder by means of machines which cut or saw the wood1 into which the logs are fed entire4 ,then1 when the wood is converted into sawdust or fine chips or shavings1 it is passed through extractors or diffusers1 which separate the cellulose from the tannin1 which is finally concentrated to the degree demanded by the market by means of vacuum pans4 ,during five years1 from #aijd to #aijh1 the exports were3 #bj1aaa tons in #aijd2 #bi1djh tons in #aije2 #cj1hci tons in #aijf2 #bh1aij tons in #aijg2 #dh1afj tons in #aijh4 ,germany and the ,united ,states are the chief buyers of this valuable product1 which forms the principal wealth of the northern part of the ,argentine4 ,in the first edition of this book we prophesied a rapid and prosperous development for this industry1 which had already received a considerable impetus2 unhappily this prediction has not been realised in practice1 and the quebracho industry has suffered1 not precisely a crisis1 but a diminution of its outlets which has seriously prejudiced its interests4 ,this trouble is due to various causes4 ,firstly1 the ruinous competition between the various firms producing quebracho tannin2 a competition which has now happily disappeared1 thanks to an arrangement concluded between the principal companies1 on the initiative of ,m4 ,hermann ,schlieper2 secondly1 to the almost prohibitive duties which the ,german ,government has imposed upon the importation of the product2 thirdly1 the indifference shown by the railway companies in using on their permanent way sleepers of steel rather than of quebracho1 although the latter is more durable4 ,it is to be hoped1 however1 that in course of time these causes will disappear1 and that this industry will in future recover all the elements of progress4 ,the ,timber ,industry4----,another industry which is equally dependent upon the forestal wealth of the ,argentine is that whose object is the exploitation of the various and valuable kinds of wood to be found in various parts of the country1 especially in the forests of the ,chaco and of ,formosa4 ,the variety of costly woods to be found in these forests is astonishing4 ,recently more than thirty-three species have been classified1 all of industrial value2 the best known1 besides the quebracho1 being the acacia1 algarrobo1 button-tree1 lapacho1 bay1 the smaller cedar1 and many other varieties1 black1 white and red4 ,to exploit this forestal wealth a limited company has lately been formed with a capital of #ceb1jjj1 which proposes to erect two important saw-mills in the ,chaco4 ,this company already owns about #bcjj square miles of forest1 and is thinking of increasing its domain by further purchases4 ,fisheries4----,finally1 quitting the forests for the seas1 we must mention one other industry1 at present unimportant1 but apparently capable of considerable development3 namely1 the sea fisheries4 ,owner of an immense coast-line bathed by the southern seas1 the ,argentine has an appreciable store of wealth at her disposal2 which so far has been drawn upon only in a modest and almost secret manner1 but which is now beginning to attract attention1 to the great benefit of the country and of those who have entered upon this industry4 ,since ,prof4 ,nordenskjold wintered in ,antarctic waters1 ,captain ,larsen has been able to report a source of great wealth1 which can be easily and profitably exploited1 in the fishing of these waters2 and upon his arrival in ,buenos ,ayres he put himself in communication with a group of ,argentine capitalists1 who decided to form a limited company by the name of ,la ,pesca1 with a capital of #cb1jjj4 ,the results of the first season's fishing was so productive1 and the number of whales harpooned and 8cut in0 so large1 that1 according to a report which has been sent us1 this company was able1 at the end of the first year1 to return the capital sunk in the firm of dividends4 ,naturally such results cannot fail to draw new adventurers into this industry1 which in turn will increase and develop the wealth of the country1 at the same time procuring for the country a class of men formed by the strenuous labour of ,antarctic life2 a class of which the young ,argentine navy has the greatest need4 ,,chapter ,,iii ,,mines1 ,,electrical ,,and ,,other ,,industries ,the ,argentine has not entered the industrial age----,she has no coal-mines in operation1 no natural motive forces of any importance4 ,,mines----,symptoms of the awakening of the mining industry----,numerous lodes in the ,andes----,the mines of ,la ,rioja and ,catamarca----,mines in other provinces and territories----,mining legislation4 ,,electric ,,industries----,tramways2 their development1 their perfected equipment1 and their profits----,progress of electric lighting---- ,telegraphs----,telephones4 ,,various ,,industries----,list of various industries established in ,buenos ,ayres1 according to the last census1 with the value of their products4 ,comparison between the statistics of #ahie and those of #aijd---- ,progress realised in #aijh----,workshops and factories4 ,the ,argentine ,republic1 as we have already on various occasions explained1 has not yet entered upon the industrial phase4 ,all its capital and all its energies tend toward the exploitation of the soil1 and as the results are greater than the boldest speculator could have predicted1 the country has no need at present1 with its small population1 to launch itself into the unknown by entering the province of industry4 ,moreover1 the ,argentine does not so far possess coal or iron measures easily workable1 and has very little labour at its disposal1 and therefore should not disperse its activities among too many objects4 ,it is its best policy to limit itself to producing articles that it can make more cheaply than the foreigner2 not artificially to develop its industries in the shelter of an ultra-protectionist tariff4 ,it would fall to the consumer to pay for such products of the national industry1 and the state would lose a serious portion of its revenues4 ,in other words1 we may well ask whether the ,argentine1 in addition to its agricultural wealth1 should pretend to a great industrial future1 like that of the ,united ,states4 ,so far we cannot reply in the affirmative2 not1 at least1 under present conditions4 ,however rich the subsoil of the country may be1 a matter at present uncertain1 especially in respect of coal and iron measures1 which are the basis of all industries1 we must remember that the majority of these measures are situated in the region of the ,cordillera1 #djjj to #ejjj feet above sea-level1 over #ijj miles from the coast1 far from roads or waterways1 and are consequently very badly situated for the establishment of industrial centres4 ,what coal and iron the ,argentine may possess is distributed over a region of some thousands of miles in extent1 which does not appear to contain continuous lodes or measures1 and in which there are no real valleys or river-basins4 ,putting all questions of tariff aside1 but considering the constant lowering of freights1 we think the ,argentine will always find it cheaper to obtain its supplies from abroad1 except such as it can produce economically1 rather than attempt to embrace all industries in its dreams of greatness4 ,neither can we expect from the utilisation of natural motive forces a development which might in some degree compensate for the absence of fuel4 ,there are a few waterfalls in ,crdoba and in ,tucuman1 but such energy as they might furnish would hardly allow one to hope much from their adaptation to industrial uses4 ,one of the most important of these falls is that below the ,barrage ,san ,roque1 in the ,sierra de ,crdoba2 it belongs to the ,north ,american ,company1 8,luz y ,fuerza0 7,light and ,force74 ,the company's plant gives a yield of about #cjjj horse-power1 which is employed1 for the greater part1 in providing light and motive power to the town of ,crdoba1 and also for the production of carbide of calcium4 ,another installation1 belonging to the ,molet ,company1 has a capacity of some #gjj or #hjj horse-power1 which is employed in the same manufacture4 ,the falls of the ,yguassu1 on the upper ,parana1 some #bcj miles above ,corrients1 on the confines of ,brazil1 ,paraguay and the ,argentine1 have been described as a marvel of nature4 ,it would seem that these falls represent a force three times greater than ,niagara2 their width is #ab1jjj feet1 or more than two miles1 with a fall of #bab feet4 ,unfortunately this cataract is on the border of the ,argentine territory1 in a region of forests accessible only with difficulty1 and will probably flow for many years yet before any one profits by this enormous natural source of power4 ,mines4----,although the industrial future of the ,argentine is as yet by no means clear1 we must admit that during the last four years there has been a livelier movement in favour of gold1 silver1 and copper mining1 which has resulted in the flotation of several important limited companies4 ,it was to support these first steps that the ,government built an aerial railway----one of the boldest works ever attempted in the whole world----to exploit the rich mines of ,famatina4 8,over the whole stretch of the eastern slopes of the ,andes10 says an important official publication#hd which we take for guide1 8from ,bolivia to ,tierra del ,fuego1 the existence of numerous mineral-bearing regions is proved2 notably in the ,provinces of ,mendoza1 ,san ,juan1 ,la ,rioja1 ,catamarca1 ,salta1 ,jujuy1 ,tucuman1 ,crdoba1 and ,san ,luis1 where traces of ancient mineral workings have been discovered40#he ,footnote #hd3 ,description sommaire de la ,rpublique ,argentine comme pays d'immigration1 #aijd4 ,footnote #he3 ,the ,argentine lost much of its mineral wealth when ,potozi and ,la ,paz were lost to ,bolivia4----,,trans4 ,there are many villages which ever since the ,spanish ,conquest have drawn their sustenance from the gold and silver which their inhabitants obtain1 by rudimentary processes1 from the beds of stream or river1 and by plain mining4 ,also1 despite the difficulties of transport1 various well-organised companies have obtained very fair results from their workings1 since they obtained their concessions a few years ago4 ,now that the feelers of the railway systems have reached these districts1 and the mining companies have established aerial cable-ways to connect them with the mines1 we can already perceive a greater vitality in this industry4 ,in addition to the wealth of the ,cordillera1 prospectors are discovering new lodes in the interior of the country2 but1 as always happens1 miners prefer to gather in already familiar districts1 rather than undertake long journeys1 and the labour of prospecting at their own expense4 ,the best-known mines of the ,argentine are distributed as follows3---- ,in the ,province of ,mendoza there are mines of copper1 silver-bearing galena1 gold-bearing quartz1 coal1 alabaster1 slate1 and marble1 and wells of petroleum2 in the ,province of ,san ,juan1 of gold-bearing quartz1 silver1 copper1 antimony1 coal1 sulphur1 and amianthus4#hf ,in view of the development which this region may undergo through the exploitation of the coal-measures1 the ,great ,western ,railway has decided to construct a branch line as far as the coal mines of ,salagasta 7,mendoza74 ,footnote #hf3 ,amianthus----the best quality of asbestos4----,,trans4 ,the ,province of ,la ,rioja has been known for a long time for its rich mines of metallic silver1 and also for its copper mines1 whose ores contain a high percentage of gold and silver2 and for its gold 8placer0 mines4 ,it is to facilitate the working of these mines that the aerial cable-way is being constructed1 which will unite ,cerro de ,famatina and the mining centre of ,chilecito with the railways4 ,here1 as everywhere1 skilled miners are somewhat scarce4 ,the ,province of ,catamarca1 the centre of the ,capillitas mining country1 possesses copper mines with a high percentage of silver and gold1 which have been worked for more than thirty years4 ,these mines1 which are1 it appears1 very rich in minerals1 have been acquired by a foreign company1 and will be the object of an important enterprise2 here1 too1 an aerial cable-way will be built to transport the ore from the mines to a lower level4 ,there are also in this region two important smelting works2 8,le ,pilcian0 and 8,la ,constancia10 which are buried in the depths of the forests of carob-trees1 which furnish abundant fuel4 ,in other parts are found surface veins of copper1 silver-bearing galena1 bismuth1 antimony1 mica1 gold-bearing quartz1 as well as 8placer0 mines and coal-measures4 ,the ,provinces of ,salta and ,jujuy1 which possess rich veins of auriferous quartz1 argentiferous galena1 copper1 borate of lime1 lignite and petroleum1 are famous for the gold obtained from the streams that descend from their mountains4 ,undertakings have been formed with foreign and native capital1 and profitable results are expected4 ,the extension of the ,argentine railways to ,bolivia will still further develop the exploitation of mining districts all through this region4 ,in former times silver mines were worked in the ,province of ,tucuman4 ,in ,aconquija also we find mines of copper which must be a continuation of those of ,catamarca4 ,the ,provinces of ,crdoba and ,san ,luis1 besides ascertained veins of gold-bearing quartz1 galena and copper1 contain mines of manganese and wolfram1 and well-known quarries of marble1 and of onyx1 both green and of other shades4 ,in the ,territories of ,tierra del ,fuego and ,santa ,cruz the sands along the ,atlantic coast contain1 especially after storms1 an abundance of gold in powder and small nuggets1 whose extraction gives employment to numbers of workers4#hg ,there also are seams of lignite and of peat4 ,finally1 in ,santa ,cruz there are several salt workings1 the produce being sent to ,buenos ,ayres4 ,footnote #hg3 few years ago a company was formed with ,north ,american and ,argentine capital to work the sands in this manner in ,tierra del ,fuego4 ,the ,river ,chubut1 in the ,territory of ,chubut1 brings down fine gold along its bed1 as do its numerous small tributaries1 which rise in the ,andean slopes4 ,the presence of gold more than #ajj miles from the ,cordillera tempted some colonists to organise an expedition2 at the foot of the mountain they found gold in nuggets4 ,another company exploits the salt pits of the ,valdez ,peninsula1 and another the quarry of flat granite slabs1 known as the ,atlas ,quarry4 ,for many years now large quantities of gold have been found in the rich 8placers0 of the ,territory of ,neuquen1 where copper also has been discovered1 silver-bearing galena1 coal1 and petroleum4 ,the gold taken out of the washers of ,villa ,michic and the neighbourhood is estimated at #ccj lb4 avoirdupois annually4 ,in the ,territory of ,rio ,negro there are abundant quarries of gypsum1 limestone1 and other building materials2 in that of the ,pampa ,central copper has been recently discovered and is being worked2 in that of ,misions there is native copper1 iron1 and manganese2 in that of the ,andes 7,pua de ,atacama71 there are immense deposits of borate of lime1 as well as veins of quartz and 8placers40 ,considering the vast extent of these territories1 which have never been seriously explored except at a few points1 we have every reason to believe that it will be many years before we have even an approximate knowledge of the mineral wealth they contain2 but the data gathered up to the present time augur well for the future of the mining industry in the ,argentine4 ,we will add finally1 as a further reason for success1 the fact that the law regarding mines is remarkably liberal2 the ,state may not exploit them on its own account1 but concedes them to any adult applicant capable of administering his own property4 ,the same mining laws are in force throughout the country4 ,to acquire a claim it suffices to present a written demand1 containing an exact indication of the position and nature of the claim demanded1 the details of its discovery1 and all other useful information1 accompanied by a sample of the mineral4 ,immediately upon the presentation of this demand the administration enters it with the date of deposition1 in order to prove the right of priority2 and directly the concession has been surveyed and delimited1 the claimant has full rights in his mine and may dispose of it as he wills4 ,the mine is untaxed1 and so are the mineral products1 whether sold at home or abroad4 ,the only obligation imposed upon the miner is that he shall work his mine with at least four miners during #bcj days of the year2 if this condition be not fulfilled1 any other person may demand the concession of the abandoned mine4#hh ,footnote #hh3 ,senator ,domingo ,perez has just laid before ,parliament1 a projected law substituting a fine or tax for this obligation4 ,the ,electrical ,industry4----,it is greatly to the credit of the ,argentine that everything that makes for progress1 for an increased welfare or greater convenience1 is immediately applied by the ,republic4 ,the latter quickly absorbs all improvements and1 profiting by the experience of older nations1 immediately puts new procedures into practice1 instead of lingering in the rut of outworn systems4 ,thus it was1 for example1 in the case of the electrical industry4 ,the ,argentine has no need1 in this respect1 to envy the most advanced nations4 ,in ,buenos ,ayres----for only the large centres can be progressive to this extent----all the tramway and electric lighting concerns are most excellently equipped1 and are in this matter equal to the best installations of ,england or the ,states4 ,the electric tramway companies1 whose tracks cross ,buenos ,ayres in every direction1 are seven in number1 forming a network of lines which are distributed as follows3---- ,the 8,anglo-,argentine0 ,company1 #ahh miles2 the 8,capital0 ,company1 #cdg miles2 the 8,metropolitan0 ,company1 #aih miles2 the 8,grand ,national10 #gfi miles2 the 8,compagnie ,lacroze de ,buenos ,ayres10 #dd miles2 the 8,southern ,electric ,tramways10 #di miles2 and the 8,harbour and ,city of ,buenos ,ayres10 #fh miles4 ,the great event of #aijh was the amalgamation of these companies by the 8,anglo-,argentine10 which proposes to unite these lines under a single management1 in order to form a vast network1 comprising all the principal lines1 with the exception of the 8,compagnie ,lacroze0 and the 8,harbour and ,city of ,buenos ,ayres40 ,the total capital invested in this important undertaking amounts to not less than #ad1jjj1jjj4 ,it is to be hoped that this great financial operation1 which will place the ,anglo-,argentine ,company at the head of the most important tramway companies of the world1 will not fail to benefit the public1 and that the ,company will also turn its attention to improving its equipment and to lowering its fares to a uniform rate4 ,on the other hand the number of passengers carried by the ,buenos ,ayres tramways is constantly increasing1 as may be seen in the following table3---- ,passengers ,carried4 ,gross ,profits4 ,year4 ,horse ,electric4 ,horse ,electric4 ,total ,profits4 ,traction4 ,traction4 #aija #ie1dcf1dba #cj1jhh1hjc #hdh1cah #bid1hbb #a1adc1adj #aijb #ib1fch1jbe #cc1eic1gcd #hbg1igi #ccd1jfj #a1afb1jci #aijc #ga1jdh1eai #fb1fgj1ggi #fcf1hja #eif1gai #a1bcc1ebj #aijd #fe1ecb1gde #hb1gdf1ceb #ehg1jbb #hje1jga #a1cgj1jic #aije #cd1dhf1edg #agd1dee1jbb #dhi1gda #a1jdi1idi #a1eci1fij #aijf #bd1ibg1jhi #age1ggc1aeh #bcb1ijc #a1efe1dgb #a1gih1cge #aijg #g1cch1efc #bag1gjb1ahc #fg1fei #a1ibf1jed #a1iic1gic #aijh #bic1bfi #bed1ghj1fbg #a1ihj #b1bbi1edg #b1bca1ebg ,these figures go to confirm all we have said as to the enormous development of capital in the ,argentine1 and of its commercial activity4 ,electric ,lighting4----,in the matter of illumination1 ,buenos ,ayres was early discontented with the old methods2 electricity is now preferred both for public and private purposes4 ,today there are #gba miles of gas pipes and #bcc miles of electric cables4 ,the capital of the electric lighting companies is estimated at nearly #b1jjj1jjj1 and their output at #cj1ije horse-power4 ,the electrical supply is chiefly in the hands of the ,german ,electricity ,company1 with a capital of #a1hej1jjj1 which has already absorbed the two companies previously in existence4 ,its equipment was furnished by the famous firm of ,siemens ,halske1 which stands in the front rank of ,german electrical manufacturing firms4 ,telegraphs4----,another mark of progress is the continual extension of the telegraphic system4 ,the national1 provincial1 and private lines together represent to-day a length of #ca1bae miles1 of which #ae1abe belong to the ,state2 twenty years ago the mileage was barely half this figure4 ,as for telegraphic communication with the exterior1 there are two foreign cable companies1 one possessing the cable running to the ,united ,states via ,galveston1 and the other that communicating with ,europe via ,madeira4 ,communication between ,london and ,buenos ,ayres is now established in about forty-five minutes1 while a few years ago the average was five hours4 ,telephones4----,the telephone is used in the capital and the principal towns----,rosario1 ,crdoba1 ,santa ,f1 ,tucuman1 ,mendoza1 etc4 ,buenos ,ayres is connected by telephone with ,montevideo 7#abd miles71 ,rosario 7#aij miles71 and will shortly be connected with ,bahia ,blanca 7#dcg miles74 ,the two companies established in ,buenos ,ayres1 the 8,telephonic ,union of the ,rio de la ,plata0 and the 8,co-operative ,telephonic ,company10 represent a capital1 respectively1 of #bdc1ifc and #ehb1jcb4 ,all these data1 which we merely mention in passing1 go to prove that the ,argentine has assimilated all the details of industrial progress1 even in their most improved forms4 ,experiments in wireless telegraphy are now being made with a view to communicating at long distance with the steamers leaving or approaching ,buenos ,ayres4 ,various ,industries4----,at the end of #aijh1 according to the statistics of the official industrial census of that year1 which was undertaken by the ,department of ,commerce in the ,ministry of ,agriculture1 there were1 in the city of ,buenos ,ayres1 #aj1cdi factories or workshops1 representing a capital of #bc1ddc1add4 ,the sales of these factories1 etc41 for #aijh1 amounted to #dg1jdh1ggc4 ,the raw material consumed was worth #be1bbc1fha4 ,the motive power employed in these factories was equivalent to #aje1ege horse-power1 and the number of workers employed was #aah1cae4 ,of the owners1 #adh per cent4 were of ,argentine nationality4 ,if we compare these figures with those of the municipal census of #aijd1 we obtain the following results3---- ,census of #aijd4 ,census of #aijh4 ,number of factories and workshops #h1hig #aj1cdi ,capital employed #h1gcc1abg #bc1ddc1add ,sales #af1adc1hcb #dg1jdh1ggc ,motive power consumed 7,h4,p47 #ai1deh #ajc1ege ,workmen employed #fh1eab #aah1cae ,raw material consumed ---- #be1bbc1fha ,masters or owners of ,argentine #abce #adha nationality 7per cent47 ,we see that even in four years there has been a remarkable development of the industries of ,buenos ,ayres4 ,this development is especially demonstrated by the increase of the capital represented by the sales of merchandise or manufactured articles and by the horse-power employed4 ,at the end of four years the capital has increased by nearly #cjj per cent41 the sales by the same amount1 and over five times the motive power is employed4 ,this progress is certainly remarkable1 but it does not perhaps truly represent the actual progress achieved4 ,the ,director of the ,census1 ,seor ,ricardo ,pillado1 declares that 8the general opinion prevalent in the offices of the census department is that certain important items of information1 relating to matters of great interest1 have been concealed by interested persons4 ,among such we may cite the value of output1 the amounts of sales1 the capital employed1 the number of employs1 etc42 as the manufacturers are anxious1 above all1 to shelter themselves from a possible increase of taxation or licences40 ,so that in spite of the satisfactory results of the last census1 in spite of the notable increase of wealth and industry recorded1 the figures given are far from representing the true significance of the industries of the capital city4 ,the results already given may be classified as follows1 under the headings of the kind of industry1 capital employed1 value of produce1 motive power1 and employs engaged3---- ,value ,number of ,motive ,industries4 ,capital4 of ,hands ,power ,production4 ,employed4 7,h4,p474 ,gas lighting1 electric lighting1 lighting installations1 #f1gab1dgj #b1bbg1cgf #d1ged #ff1cib and plant ,alimentary products #c1hgc1chf #aj1ebj1ecb #ad1bbg #aa1gef ,clothing and toilette #c1bef1eab #i1aef1ggd #cg1bei #b1ehf ,woven fabrics1 leather and furs #a1ifg1fgb #e1jhd1jec #aj1hfa #e1dea ,metal work1 etc4 #a1eih1gbb #b1iaf1gic #aj1jij #d1caa ,graphic arts1 paper #a1dhi1ebe #b1agh1bid #h1bif #b1geh ,woodwork1 cabinet-making1 etc4 #a1dfa1ajc #d1ccf1ied #aa1gcf #e1egj ,tobacco factories #fje1dhg #b1bdi1hcf #b1hbi #eci ,chemical products #dcb1afj #ged1bjg #a1ggd #a1bca ,building #djh1jef #a1jig1bai #d1dae #gai ,art products1 ornaments1 etc4 #cja1bdd #gbi1ijc #b1aii #cfg ,various industries #a1cfd1hha #e1ggi1bjh #i1hge #c1hie ----------- ----------- -------------- -------------- ,totals #bh1dba1cah #dg1jcb1adf #aah1cae #aje1ege ----------- ----------- -------------- -------------- ,the establishment of large electric works which furnish current at very moderate rates1 as well as the advantages of electro-motors as compared with steam-engines1 have led a number of industries to adopt new systems of motive-power4 ,of a total of #aje1ege horse-power1 #ab1eje are furnished by electricity1 #ij1fee by steam1 #aici by gas1 and #dgf by naphtha4 ,among those industries which are still in a state of infancy we must mention the chemical industry2 this is limited to a few candle and soap factories1 sulphuric and nitric-acid works1 scent distilleries1 dye factories1 etc41 whose produce is insufficient to the needs of the country4 ,the match factories1 on the other hand1 furnish a good article and are sufficient to the country4 ,the consumption at present exceeds #bjj million boxes per annum4 ,we must also mention the existence of a few paper-mills1 glass furnaces1 and various works where certain agricultural necessities are produced3 such as iron wire1 fencing1 etc41 and also certain wheel factories2 but here again importation furnishes a great proportion of the articles consumed4 ,,chapter ,,iv ,,banks1 ,,the ,,bourse ,,or ,,stock ,,exchange1 ,,and ,,limited ,,companies ,,banks----,international character of ,argentine banking----,evolution of banking machinery----,list of the principal banks1 with amount of capital and business done----,conditions peculiar to ,argentine banking2 the lack of moveable reserves----,rates of interest on account1 on deposit1 and on advances----,statistics of the deposit accounts of the principal banks----,exchange operations3 their decrease since the determination of a fixed monetary ratio----,the ,clearing ,house2 the importance of its operations4 ,the ,bank of the ,nation----,its history----,the formation of its capital----,political interference in the nomination of its ,directors----,statistics of its accounts----,rapid increase of deposits----,difficulty of realising capital----,the resumption of payments4 ,the ,bank of the ,province of ,buenos ,ayres----,its reorganisation----,its present prosperity4 ,mortgage and ,loan ,banks----,history of the ,banque ,hypothcaire of the ,province of ,buenos ,ayres----,bankruptcy----,arrangement between the bank and its creditors----,proposal of reorganisation----,laws relating to mortgage in the ,argentine----,the ,national ,mortgage ,bank2 statistics of business done----,joint-stock loan companies2 their capital and amount of business done4 ,,the ,,stock ,,exchange 7,,bourse7----,history of this institution----,its importance2 its functions2 amount of business done----,the decrease in its transactions since the cessation of speculation in currency or the monetary ratio4 ,the ,bourse is a private establishment----,its membership and its regulations----,statistics of business done during the last ten years----,securities quoted on the ,buenos ,ayres ,bourse---- ,decrease in the total amount of business done during the last five years----,the monetary reform of #aija as a factor of this decrease----,the place occupied by the ,stock ,exchange in the life of the nation4 ,joint-stock ,companies----,the development of joint-stock companies---- ,legislation affecting such companies----,abuses committed in the formation of such companies1 due to speculation----,statistics of capital invested in joint-stock companies before and after the speculative crises of #ahij----,revival of such companies1 in a sense more consistent with the development of the country4 ,in any sketch of the commercial life of the ,argentine1 we must include the ,bourse and the banks1 which play an important part in the business life of the community1 owing to the facilities which they afford to all kinds of commercial transactions4 ,to-day such transactions represent a considerable figure1 and involve a movement of capital amounting to scores of millions4 ,there is obviously need of an organised body designed to simplify this movement1 and to place at the disposal of trade the means of effecting its exchanges with the least possible displacement of capital4 ,banks4----,it was inevitable that in the ,argentine the evolution of banking should be towards an international character1 since the trade of the ,republic is almost entirely with foreign countries4 ,moreover1 this trade is very largely in the hands of foreigners3 ,french1 ,english1 ,germans1 ,italians1 ,spaniards1 ,belgians1 or ,americans from the ,states2 which fact has resulted in the formation1 in the city of ,buenos ,ayres1 of various groups of banks1 corresponding1 in respect of their founders or their capital1 to these various nationalities4 ,each of these establishments is in constant communication with the country of its origin1 and seeks to gather round it clients of its own nationality4 ,both in the matter of importance and that of organisation the banks doing business in the ,argentine leave nothing to be desired4 ,as we shall presently see1 the sum of the capitals of all these banks amounts to a total of nearly #bf1jjj1jjj2 a sum which appears to be amply sufficient for all the present requirements of trade4 ,working under a system of free competition1 and handling a considerable capital1 they have been induced to offer greater and greater facilities to trade1 in order to increase the number of their clients and the volume of their operations4 ,moreover1 the suppression of the gold premium has removed one of their chief sources of profit2 so that they have been forced to obtain1 through the extension and perfection of their ordinary banking operations1 the compensatory increase of business which allows them to maintain the volume of their profits and their dividends4 ,one cannot subject these banks to a rigid comparison2 each of them conducts its business for the benefit of clients of its own nationality1 and in consequence must accede to their usages4 ,the ,english banks1 for example1 have as their clients railway companies1 a large number of export houses1 and steamship lines1 on account of the ties which connect them with the ,london market and its principal financial groups4 ,the ,german ,bank principally serves ,german industrial houses1 and also ,german exporters4 ,the ,french ,bank of the ,rio de la ,plata1 owing to its relations with the ,paris market1 and its strong position in ,buenos ,ayres1 is of inestimable service to ,french commerce in the ,argentine4 ,the ,italian banks share the custom of the ,italian colony1 which1 on account of its numerical importance1 gives rise to a great deal of small business4 ,the ,banco ,espaol del ,rio de la ,plata1 which has branch establishments in ,paris1 ,london1 ,genoa1 and ,madrid1 is in direct relation with the financial circles of those cities1 and facilitates all banking operations between the various ,spanish-speaking countries4 ,founded by the financiers of ,buenos ,ayres1 and afterwards enlarged by ,french capital1 the ,spanish bank1 which has admirable premises1 has succeeded in surrounding itself with a clientle of great landed proprietors1 by offering them all kinds of facilities for the conduct of business operations connected with the sale of national produce4 ,their branch establishment in ,paris is the favourite bank of the numerous ,argentines who go yearly to ,europe on business or for pleasure4 ,in this congeries of banks the ,argentine is represented by two great establishments3 one of these1 the ,banco de la ,nacion ,argentina1 is a ,state institution which1 in addition to the business transacted with the ,government1 runs cash and deposit departments like other banks2 the other is the ,banco de la ,provincia de ,buenos ,ayres1 whose origin was in the reconstruction of the historic bank of the same name1 the collapse of which was provoked by the terrible financial crisis of #ahij4 ,the excellent results of the last three years which we shall presently consider in detail1 allow us to predict a brilliant future for this institution4 ,we shall give1 in the following table1 a list of these banks1 in the order of their establishment1 with details as to their capital1 reserves1 transactions1 and dividends4 ,as lately as the year #aijg1 it was extremely difficult to obtain exact information as to the operations of financial establishments1 as there was no law obliging them to publish periodical statements of their position4 ,from this state of affairs resulted this curious fact3 that if one wished to ascertain the situation or study the operations of the ,english banks1 for example----establishments which effected their business transactions by the aid of funds deposited by inhabitants of the ,argentine----one was forced to resort to the records of the ,london ,stock ,exchange1 in order to examine the reports and balance-sheets presented each year by the administrative ,boards to the shareholders residing in ,england4 ,but1 very fortunately1 thanks to a decision of the ex-,minister of ,finance1 ,dr ,eleodoro ,lobos1 this omission has been remedied1 and it has been decreed that all financial establishments must in future supply the ,ministry of ,finance1 during the first days of each month1 with an explanatory balance-sheet giving details of their transactions4 ,this information is made public1 so that not only the ,government1 but anyone devoting himself to the study of commercial or financial affairs1 may obtain an exact knowledge of the situation of the leading banks1 and thence of the market1 or indeed of the country in general4 ,all these banks work with a relatively large capital1 which is mostly deposited4 ,to understand the situation we must remember that banks are obliged1 in the ,argentine1 to keep going by their own means1 and are not allowed the resource of mobilising their turnover by rediscounting at the ,bank of the ,nation4 ,the latter1 indeed1 is rather a competitor than a prop2 since it also seeks the custom of private clients4 ,thus the funds at the disposal of the banks consists of their own capital and their deposit accounts----these latter varying greatly from one period to another----and they cannot benefit by the supplementary force arising from a credit at the ,national ,bank4 ---------------------------------------- ---------------------------------------- -------------- ,capital ,,bank ,founded ------------------------ ,reserve ,last in ,subscribed ,deposited ,funds ,dividend ---------------------------------------- ---------------------------------------- ------------- ,london and ,river ,plate ,bank #ahfb #b1jjj1jjj #a1bjj1jjj #a1bjj1jjj #bj ,london and ,brazilian ,bank #ahfb #b1jjj1jjj #a1jjj1jjj #a1jjj1jjj #ae ,british ,bank of ,south ,america #ahfc #a1cjj1jjj #fej1jjj #fjj1jjj #ac ,italia y ,rio de la ,plata #ahgb #a1bjj1jjj #a1bjj1jjj #bdb1fjj #aj ,espaol del ,rio de la ,plata #ahhf #d1djj1jjj #c1cdf1fga #gch1hdh #ab ,francs del ,rio de la ,plata #ahhf #b1djj1jjj #b1cej1cdj #adj1efb #i ,nuevo ,banco ,italiano #ahhg #bfd1jjj #bfd1jjj #ajc1djj #ae ,popular ,argentino #ahhg #dbi1hcf #dbg1bea #aig1bif #aa ,anglo-,south-,american ,bank #ahhh #b1ejj1jjj #a1bej1jjj #gej1jjj #i ,banco de la ,nacion ,argentina #ahia #i1fig1fjj #i1fig1fjj #e1ccb1cai ---- ,banco ,aleman ,transatlantico #ahic #a1jjj1jjj #hhj1jjj #aei1bcb #i ,banco ,popular ,italiano #ahii #aaj1agj #gi1geb #c1fif ---- ,banco del ,rio de la ,plata #aijb #hh1jjj #hg1cdj #f1hfd #aj ,banco de ,credito ,argentino #aijd #bdg1bhj #adh1ghc ---- ---- ,banco de la ,provincia de ,buenos-,ayres #aijf #a1gfj1jjj #a1gfj1jjj #hi1cbj #aj ,banco de ,galicia ,buenos-,ayres #aije #bfd1jjj #bfd1jjj #b1dch #d ,ernesto ,tornquist ,co4 ,ltd4 #ahgd #a1ejj1jjj #a1ejj1jjj #bcj1bfc #aj ---------------------------------------- ---------------------------------------- ------------- ,this lack of fluidity as affecting their capital is doubly inconvenient2 it forces the banks always to keep their cash reserves at a high level1 and also prevents their finding employment for their deposited funds----at any rate in the case of accounts at sight4 ,without this faculty of rapid mobilisation they cannot enlarge1 by operations of short duration1 the sums which they receive in deposit1 and consequently cannot allow any appreciable interest on that portion of their capital4 ,some banks are at present paying #a per cent4 on current accounts2 others1 and notably the ,national ,bank1 allow their depositors no interest4 ,for deposit accounts at three months the interest is usually #c-a_/b per cent4 ,as for the rates of discount1 these have fallen considerably in the last few years2 partly on account of the increasing competition between the various financial groups1 and partly on account of the abundance of capital after several years of good harvests4 ,after standing for a long time at #g and #h per cent41 the average rate for first signatures tends nowadays to settle at #f per cent4 ,this is a fact which may surprise those who believe that the monetary situation of a country is always affected by the premium on gold1 but we shall see1 in the chapter on finance1 that there is1 as a matter of fact1 an influx of gold into the country1 and that its movable resources have never been more abundant4 ,the circulation of notes is now guaranteed by a cash reserve of more than #fe per cent4 ,the banks receive deposits at sight1 at thirty1 sixty1 ninety1 and one hundred and eighty days4 ,they also receive deposits on the 8savings-bank0 system3 that is they pay #c-a_/b or #d per cent4 upon deposits not exceeding #ejjj to #aj1jjj piastres in paper money1 or #cjjj to #ejjj in gold 7according to the particular bank7----that is1 #ddj to #hhj in notes1 #fjj to #ajjj in gold----on condition that if the money is withdrawn under sixty days no interest will be allowed4 ,after the lapse of sixty days the money may be withdrawn at the will of the depositor1 and the interest is added since the day of deposit4 ,small savings deposited on this system attain to considerable proportions1 and the public is becoming more and more familiarised with business of this kind4 ,one item that differs very sensibly from ,european usage is the rate of interest charged on current debit accounts4 ,as the ,argentine has no law regulating this rate1 there have been times1 happily now past by1 when this rate has been as high as #aj and #ab per cent4 ,of late years the ,government has paid1 as a maximum1 #f to #g per cent4 and that in moments of disequilibrium1 when international complications were feared1 and the bank rates had risen in ,england and elsewhere4 ,for private individuals conditions are also easier1 on account of competition1 and #g per cent4 has become practically the average rate4 ,in certain banks the rate on debit accounts has even fallen as low as #f per cent4 ,the following table indicates the movements of the principal accounts1 during the years #aijf-aijh1 in the case of the various banks which publish their balance-sheets1 in the ,argentine4 ,on an international market like that of ,buenos ,ayres exchange operations are naturally most attractive4 ,since the suppression of the gold premium1 which has reduced the risks to a barely sensible amount1 these operations no longer retain their old speculative character2 but1 on the other hand1 the profits to be drawn from operations of this kind have greatly diminished1 so that business has gained only in safety and extent4 ,we may here recall the fact that speculations in gold1 which amounted to #a1bcd1jjj1jjj piastres paper 7#ajh1eib1jjj7 in the year #ahii1 had fallen to #baa1jjj piastres in #aijd1 and have now entirely ceased4 ,moreover1 in order still further to avoid all risks1 such business is now done by means of cable transfers1 instead of by cheques at one month from date as formerly2 thus avoiding as far as possible any variation in the rate of exchange4 ,it is chiefly during the period of exportation that these drawing transactions become of great importance4 ,exchange business is transacted on a gold basis2 that is1 on the basis of the gold piastre1 which is equivalent to a dollar1 or to #e francs of ,french money1 or #ds4 of ,english2 as for settlements1 they are made indifferently in gold or paper1 on the basis of #dd centavos1 or #dd of a piastre in gold1 for one piastre in paper4 ,formerly the rate of exchange used to vary very perceptibly with the seasons4 ,the banks used to buy during the export season1 which for grain and wool lasts from ,december to ,march1 and consequently profited by the abundance of the market to discuss the price4 ,they then sold to import houses during the slack season1 sometimes making a profit of #f to #aj centimes4 ,now competition has greatly reduced these margins1 which scarcely vary at all1 in a normal season1 except to the extent of an insignificant fraction4 ---------------------------------------- ---------------------------------------- ---------------------------------------- - ,,millions ,,sterling ---------------------------------------- ---------------------------------------- --- ,,banks ,deposited ,discounted ,cash ,reserves ---------------------------------------- ---------------------------------------- --- ,gold ,paper#hi ,gold ,paper#hi ,gold ,paper#hi ---------------------------------------- ---------------------------------------- ---------------------------------------- - ,national ,argentine #ed #adggc #bf #aejjd #ahf #dfaa ,spanish of the ,rio de la ,plata #eb #ajjgf #eh #hbhi #bf #bhd ,french of the ,rio de la ,plata #hh #dbjf #aaf #dafj #fb #aaag ,italian of the ,rio de la ,plata #ch #fbjd #h #dbei #db #afde ,new ,italian #jh #ahjd #af #iej #jb #cfa ,popular ,argentine #jjd #hja #ja #hji #jb #bee ,province of ,buenos ,ayres #ah #deic #jdb #ciia #jd #aahh ,german ,transatlantic #bf #bcfg #id #beeb #cd #ecc ,anglo-,south-,american 44 44 44 44 44 44 ,british #bh #bhhf #gf #befa #cj #ggd ,german #jb #aji #jf #cbe #jf #bii ,london and ,brazilian #af #ffhh #eh #ede #ab #ahe ,london and the ,rio de la ,plata #adf #aaijf #afd #gfbi #if #cfjb ,national ,argentine #ih #afidj #d #ahhcb #cfab #dhdj ,spanish of the ,rio de la ,plata #cb #ihhj #ch #heec #cb #cdgf ,french #ajd #chai #abh #chde #gh #aagi ,italian #cf #fahf #gd #dfha #eb #acbj ,new ,italian #a #aihh #bd #afja #jcf #dic ,popular ,argentine #jd #fie #jjjd #aahh #jc #cbe ,province of ,buenos ,ayres #ch #diai #ah #dead #bb #abcb ,german ,transatlantic #bh #bdfd #if #bdbd #cb #fic ,anglo-,south-,american #af #gcj #db #bagc #jd #cjh ,british-,south-,american #c #bici #gf #bejh #f #gdh ,german-,south-,american #bb #bfd #bd #efc #bd #ffj ,london and ,brazilian #ab #gci #ed #fea #jh #baa ,london and ,rio de la ,plata #ad #ajffe #ab #fgac #ajj #cfcd ,national ,argentine #ajf #bjfja #d #badhc #ded #eidd ,spanish of the ,rio de la ,plata #dd #aajgg #ch #aajdd #ch #cfhg ,french of the ,rio de la ,plata #aah #djac #ajb #diai #fh #hhj ,italian of the ,rio de la ,plata #cf #ff #h #dfii #eh #acjb ,new ,italian #jh #bjid #af #ahgd #ja #dac ,popular ,argentine #jaf #hji #jjjb #addc #jb #bgc ,province of ,buenos ,ayres #d #egaab #ab #eghh #jad #acha ,german ,transatlantic #bcf #cjec #hh #bcd #cff #ijf ,anglo-,south-,american #ad #fjg #af #adfa #jh #bee ,british-,south-,american #ah #cbdg #df #bfjf #eb #gci ,german-,south-,american #af #bfd #bh #gef #jf #ada ,london and ,brazilian #ab #gac #dd #ggd #ad #bee ,london and ,rio de la ,plata #abb #ajhgg #ih #gaai #ai #cffi ---------------------------------------- ---------------------------------------- ---------------------------------------- - ,footnote #hi3 ,the amounts here given are1 of course1 the actual1 not the face values1 of the notes4 ,again1 the sales of money are now extended over a far longer period than before1 as the export season itself has been extended by new products1 such as maize1 chilled and frozen meats1 etc41 which do not necessarily find their outlet at the same time as the rest of the harvest4 ,thus the banks have no longer any incentive to hoard reserves of money1 as they are no longer certain of selling them a few months later4 ,all these conditions here enumerated are of course subject to certain small variations1 according to the kind of trade or industry4 ,the large landowner1 the grazier1 the farmer1 the cattle-breeder1 who has no money at his disposal but that coming from the sale of his products1 can only procure credit1 no matter what his wealth may be in land1 at a rate far higher than that which is demanded of the large commercial houses of ,buenos ,ayres4 ,but as we have especially attempted to demonstrate1 the ,argentine banks are to-day splendidly equipped with capital1 so organised as to assist commerce by services of many kinds1 and1 finally1 their charges have been abated1 by the action of competition1 to rates which one would hardly expect to find in practice in a new country4#ij ,footnote #ij3 ,the deposits in the ,argentine banks at present amount to nearly #hj1jjj1jjj4 ,as the latest sign of progress we may mention the establishment of the ,clearing-,house1 which commenced operations in #ahic1 upon the model of the ,london ,clearing-,house1 under the able management of the under-manager of the ,bank of ,london and the ,rio de la ,plata1 ,mr ,hogg4 ,this institution1 as its name indicates1 serves to strike the balances of the sums which the various banks may owe one another1 the balances only being actually paid over4 ,the total sum represented by the operations of the ,clearing-,house in #aijh was over #ceb1jjj1jjj4 ,this figure includes the transactions of the principal banks of ,buenos ,ayres1 with the exception of the ,national ,bank1 which does not make use of the ,clearing-,house4 ,between #ahic and #ahii the business done at the ,clearing-,house underwent a notable and continual increase1 and in #ahii amounted to more than #cej1jjj1jjj4 ,since that time its operations temporarily decreased in value1 owing to the suppression of the gold premium1 which put an end to exchange speculations1 which formerly kept the ,clearing-,house busy2 so that in #aijc and #aijd the total amount of the operations was barely #bfd1jjj4 ,since #aijd1 however1 these figures have gradually increased1 and in #aijg and #aijh they once more exceeded #cej1jjj1jjj4 ,to-day the business is purely commercial1 rendering any exact comparison with the times when speculation played the principal part extremely difficult4 ,but if we could subtract this latter element we should certainly find that the compensations based on commercial operations have greatly increased1 since the figures of #ahii1 although less by those representing speculative transactions1 have not appreciably diminished4 ,the ,bank of the ,nation4----,to complete this account of the banks of ,buenos ,ayres and their operations1 we must give an account of the working of the most important of them all3 the ,banco del ,nacion4 ,this bank is of especial interest1 on account of its relations with the ,argentine ,government1 which guarantees all its liabilities4 ,the ,bank of the ,nation came to birth at an extremely critical moment in the history of ,argentine credit and finance4 ,in #ahij1 after the double political and financial crisis which was then affecting the country1 as a consequence of the errors and abuses committed by the ,governments1 at a time when all the official credit establishments in the country lay moribund1 disorganised1 and discredited1 the ,government of ,signor ,pellegrini1 called in to inherit the confusion of that which had just fallen1 found itself faced with terrific problems4 ,it attempted to solve the banking problem by founding a new institution1 to which it assigned a capital of #ej1jjj1jjj of piastres----#d1djj1jjj----the shares to be offered for public subscription4 ,to the subscribers it promised a certain intervention in the administration of the bank1 at the same time reserving to the ,state the right of appointing the president1 just as the ,french ,government appoints the president of the ,bank of ,france4 ,in order as far as possible to guarantee the shareholders and the public against the errors and abuses which had formerly been so disastrous1 it established certain restrictive rules in the charter of the new establishment4 ,at another time there was much discussion as to whether the ,government of ,signor ,pellegrini1 whose patriotic intentions no one doubted1 would not have done better to rescue the old ,national ,bank1 which was tottering amid the ruins of the crisis1 and whose assets1 administered by the new institution1 might have given better results than did liquidation1 thus saving the ,state much expense2 but this question is no longer of immediate interest4 ,as was only to be feared1 the public1 after the spectacle of such striking examples of the lamentable end to which official banks are liable in countries formed by the chances of immigration1 and devoid of established traditions3 wherein there exists no sanction for the suppression of undoubted abuses3 the public1 we shall see1 regarded the new institution with mistrust1 and abstained from buying shares4 ,the ,government1 disappointed in its attempt1 was compelled to replace the system of public subscription by an issue of notes1 which explains why a purely official bank was created1 instead of the mixed bank which had been proposed4 ,realising that the success of a bank depends far more upon the confidence with which it inspires the public than upon its organic charter1 ,signor ,pellegrini's ,government1 together with those that followed it1 took care to place at the head of the ,banco del ,nacion only men who were capable1 by their good judgment1 their technical competence in banking business1 their social position1 and their knowledge of the business world1 of giving prestige to the establishment1 and surrounding it with the atmosphere of respect and confidence which was necessary to its success4 ,thus in spite of its official origin the bank was able to find support in public opinion1 and to render important services to industry and commerce4 ,a study of the accounts of this establishment1 during the years #aijd-aijh1 reveals a steady and prosperous progress1 which has incontestably placed the ,bank of the ,nation at the head of all similar institutions4 ,a glance at the following table will prove this4 ,it contains the balances of the three principal accounts1 upon the #cast of ,december of the five years from #aijd to #aijh inclusive4 ,year4 ,bills in ,hand4 ,overdrafts in ,deposits4 ,current ,accounts4 #aijd #h1dhf1cbf #ad1chd #ab1efa1ifi #aije #aa1hdb1faa #b1ehi1afg #ae1eja1cdj #aijf #ac1cfd1ehe #a1ijg1hah #ae1afc1igd #aijg #af1ejb1fba #b1gca1cad #ah1jjh1eja #aijh #ai1jdi1gih #b1hig1jjh #bj1gac1cge ,we see from these figures that in five years the business done has increased by more than #aj-a_/b millions of pounds2 the overdrafts in current accounts by nearly #cjj1jjj 7in four years1 #aije-aijh71 and the deposits by more than #h1jjj1jjj4 ,the ,bank of the ,nation has one hundred and ten branch establishments scattered all over the ,argentine1 and their number is continually increasing4 ,here are the figures relating to the three principal accounts in these branch establishments during the same period3---- ,year4 ,bills in ,hand4 ,overdrafts on ,deposits4 ,current ,accounts4 #aijd #e1aaa1dha #c1gdd #e1ahg1ihb #aije #f1ihg1hdg #cdi1dbg #f1hdb1eei #aijf #h1eeg1ijj #egj1cej #g1gjg1jja #aijg #i1hdh1gac #hfj1hii #h1dcc1jjc #aijh #aa1aif1fij #gdd1aai #aj1baj1fej ,we find here1 among the branch establishments1 an increase of over #f1jjj1jjj in the bills in hand2 nearly #gdj1jjj in the overdrafts on current accounts2 and over #e1jjj1jjj on the deposits4 ,these exceedingly satisfactory results have been obtained by the ,national ,bank by means of a nominal capital of #i1fhj1jjj4 ,we use the phrase 8nominal capital0 with intention1 for although this sum figures on the balance-sheets of the bank1 we must remember that in this capital are included ,state bonds1 which would have furnished1 had they been negotiated1 an available sum of #c1bab1jjj in paper-money1 and that the net profits of the year #aijh are also included1 amounting to #fdd1jcf in paper1 which by law must go to increase the 8,capital and ,reserve ,funds40 ,the two accounts1 after the deduction of the sums accruing to them as profit1 amount respectively to #i1fig1idf in paper-money and #a1cjc1bdh in gold4 ,it follows from this that if the ,banco del ,nacion1 instead of being an official institution1 were an ordinary bank1 it would have been able to pay its shareholders a dividend of #aj per cent4 upon its paid-up shares4 ,the data we have just given prove abundantly that the ,bank of the ,nation has been directed by a hand as firm as it is prudent1 and there is every reason to suppose that it will continue in the future to serve public and private interests as well as it does to-day4 ,the forecast we predicted in the first edition of this book will have proved mistaken2 a forecast based upon the authoritative opinion of an eminent ,argentine statesman1 who affirmed that the official banks 8bore within them the germs of the moral and financial ruin of the country40 ,he even added that one should never 8incorporate a bank with the political administration of a ,state1 because sooner or later it will be used as a political weapon40 ,we must here pay our respects to the memory of ,dr ,ramon ,santamarina1 a former president of the ,administrative ,council of this establishment1 whose premature death was a great loss to the bank and to the country4 ,it is1 indeed1 to his intelligent and circumspect management of affairs that we owe a great measure of the happy results obtained4 ,the ,bank of the ,province of ,buenos ,ayres4----,there is in the ,argentine another important financial house3 the ,banco de la ,provincia de ,buenos-,aires1 which has lately re-arisen from its ashes1 by the aid of the ,banco del ,comercio ,hispano-,americano4 ,this also was a victim of all kinds of abuses1 committed to its detriment1 by the administrations which successively directed it4 ,the bank was reorganised in ,june #aijf1 with a capital of #a1gfj1jjj1 of which sum half was furnished by the ,government of the ,province and half by the shareholders1 with the proviso that this capital might be increased to #d1djj1jjj1 which was done at the end of #aijh4 ,according to the business done by this bank from #aijf up to the present time1 we may predict for it a great future1 provided that its presidents1 learning from the past1 guard it resolutely from the influence of political struggles and the demoralising factions from which it has suffered in the past4 ,the new establishment enjoys all the prerogatives1 exemptions and privileges which were accorded to the old bank2 it is the obligatory receptacle in which are deposited1 gratuitously1 the funds of the provincial administrations and the courts4 ,the most delicate point in this conjunction1 namely1 the manner in which the administration of the bank should be conducted1 has been so determined as to assure the preponderance of the private interests of the shareholders of the bank over the official interests of the ,government4 ,the administration of the bank is confided to a council1 composed of a president appointed by the ,government of the ,province of ,buenos ,ayres1 and twelve directors1 four of whom are nominated by the ,government and eight by the private shareholders2 an arrangement which constitutes an excellent guarantee of proper management4 ,from the balance-sheets of the last three years1 and the figures contained in the reports of the directing board1 or ,council of ,administration1 we may judge the activity displayed by this bank1 and the progress realised since its re-establishment4 ,here1 for example1 are the amounts of the deposit accounts as taken upon the #cast of ,december of each year1 from #aijf to #aijh inclusive1 as well as the bills in hand and the overdrafts on current accounts4 ,deposits4 ,bills ,overdrafts on ,year4 ,paper4#ia ,gold4 in ,hand4 ,current ,accounts4 #aijf #d1faj1cji #agi1dca #c1dai1hji #dfg1cdb #aijg #d1ibj1efa #cif1ajh #c1iec1ijc #efe1fgj #aijh #e1gaf1dda #dji1fij #d1ghe1jdd #dgg1caj ,footnote #ia3 ,actual value in gold4 ,the extensive business done by this bank1 which is evident from the preceding figures1 has produced considerable profits1 which amounted to #aji1bih in #aijf2 #bbj1eea in #aijg2 and #bdf1hhd in #aijh4 ,in the latter year the net profits reached an average of #adjb per cent4 of the total capital4 ,this flourishing state of affairs allowed of the payment to the shareholders of a dividend of #ie per cent4 in #aijg and #aj per cent4 in #aijh1 without prejudice to the reserve funds1 which amount to #gc1ibj4 ,money-lending or ,mortgage ,banks 7,banques ,hypothcaires74 ,there are two great official institutions of this kind in the ,argentine3 the ,mortgage ,bank ,national is progressing in a normal manner2 the other1 the ,mortgage ,bank of the ,province of ,buenos ,ayres1 is painfully achieving the process of liquidation4 ,we must explain that this institution1 which worked for a number of years with average regularity1 collapsed violently in #ahij1 on account of the scandalous abuses committed by the management in the matter of loans1 and the pernicious introduction of electoral politics into the conduct of business4 ,this is one of the most lamentable pages of the administrative and financial history of the ,argentine during the last few years4 ,after numerous efforts had been made at various times with a view to making an arrangement between the bank and its creditors by means of an exchange of its bonds of mortgage for new bonds of the ,rente ,provinciale1 a satisfactory agreement was at length arranged1 which put an end to the irregular situation of the bank1 in a manner as advantageous for the creditors as for the ,province4 ,according to the report drawn up by the representative of the ,government1 the liabilities of the bank amounted1 on #cjth ,june #aijf1 to #ai1gbe1fcf2 and to set against this colossal debt the bank possessed the assets1 largely precarious1 represented by #ejc loans on mortgage1 of which the principal amounted to #a1ifg1gjd1 while unpaid or overdue interest accounted for #f1efh1ddj2 or a nominal total of #h1ecf1adj4 ,the assets also comprised certain other items1 amounting to a total of #b1ahf1ahd4 ,some of these assets had a real value and could be considered as capable of realisation4 ,among these were3 the money in the bank1 the bank premises1 the mortgages1 and the special accounts with the ,provincial ,government2 these items constituted the best class of assets4 ,the remaining assets were more precarious1 and their investigation gave rise to serious criticisms4 ,two classes of assets1 for example1 which were apparently of considerable importance----those relating to hypothecary credit and to personal shares----were far from representing the value which was shown on the balance-sheet4 ,taking into account the probabilities of the realisation of certain classes of assets1 in case of need1 a liability of #ai1gbe1fcf was opposed by assets equivalent to #f1bdb1jci1 leaving a deficit of #ac1ehc1eie4 ,in other words1 the assets represented only #ca per cent4 of the liabilities4 ,the ,government's representative1 having analysed the effective revenue at the disposal of the ,province1 and allowing for the probable progress by which it might benefit in the immediate future1 declared that the ,public ,treasury could not put aside more than #cjh1jjj for the purpose of guaranteeing the dividends on the shares of the ,bank2 but that this sum would probably be increased by #dd1jjj during the next five years1 and by #dh1djj at the end of ten years2 thus assuring the creditors of an interest of #c-a_/b per cent41 and a proportional amortisation of #a_/b per cent4 ,an arrangement on this basis was proposed to the creditors of the ,bank at a general meeting1 held at la ,plata in ,november #aijf1 and was accepted4 ,we must add that at the present time the ,provincial ,government is considering a scheme designed to infuse new life into the ,mortgage ,bank4 ,this system consists of founding a limited company in which both public and private interests would be represented2 a state of affairs very like that already in existence1 and yielding excellent results1 in the case of the ,bank of the ,province of ,buenos ,ayres4 ,the great official establishment for loans on mortgage in the ,argentine is the ,banco ,hipotecario ,nacional4 ,this bank grants loans upon real estate in the capital1 provinces1 and national territories4 ,it issues cedulas which bear an interest of #e to #f per cent41 with an amortisation rate of #a to #d per cent41 which are quoted at about par on the market1 so that the holder1 after the deduction of expenses and commissions1 obtains a satisfactory interest4 ,the value of cedulas in circulation at the end of #aijh amounted to #aa1hga1ajh in paper 7actual value7 and #a1hgf1ecj in gold1 respectively4 ,in addition to these official establishments1 there are various private companies1 founded by means of foreign capital1 which issue loans on real estate in the capital of the ,republic and on land in some of the ,provinces4 ,according to our information1 these companies employ a capital of nearly #ae1jjj1jjj1 divided as follows3 ,argentine ,railway ,loan ,co41 ,ltd4 #hbg1fjj ,river ,plate ,trust ,loan and ,agency ,co4 #b1gje1dbb ,socit de ,crdit ,foncier de ,santa ,f #eaa1abj ,mortgage ,co4 of the ,river ,plate #a1iig1gag ,river ,plate and ,gal4 ,investment ,trust ,co4 #ejd1jjj ,dutch ,mortgage ,trust of the ,rio de la4 ,plata #bhf1aid ,argentine ,mortgage and ,agricultural ,co4 #hj1jjj ,the ,standard #eda1dhh ,crdit ,foncier ,argentine #c1jaf1cdj ,compagnie ,pastorale ,belge ,sud4-,americaine #a1cej1ajb ,socit ,hypothcaire ,belge-,argentine #a1ehc1acj ,banque ,hypothcaire ,franco-,argentine #a1dhg1afj ,socit ,rurale de ,bahia ,blanca #c1ifj ------------ #ad1hid1bcc ,high as these figures are1 however1 they represent only a portion of the foreign capital employed in this class of transactions1 for considerable sums are advanced by private persons who wish to obtain the high interest obtainable4 ,these companies lend only gold1 that they may escape the fluctuations of the paper-money market1 and usually limit their operations to dealing with properties in the capital or in the ,province of ,buenos ,ayres1 doing business with the rest of the country only in a very limited degree4 ,although ,argentine legislation is extremely advanced in the matter of loans and mortgages1 the lender fears1 in the case of certain provinces1 to encounter difficulties in practice1 or delays of legal procedure in the case of foreclosing4 ,the interest on mortgages1 which during the year #aijh was maintained at about #i per cent41 is to-day showing a tendency to fall1 on account of the abundance of money in the ,buenos ,ayres market2 the rate is now as low as #h per cent4 ,it is in the capital of the ,argentine that mortgage operations are most active4 ,during the decade #ahhi-aijh the amount of loans upon property reached the sum of #cg1bda1jjj4 ,this amount was lent upon #dj1iif properties2 and of this total #g1fjc1jjj was lent in #aijh alone4 ,the mortgages effected upon rural properties1 throughout the entire ,republic1 for the years #aijc to #aijg inclusive1 amounted to #cg1ibj1jjj1 and the mortgaged property amounted to nearly #hj1jjj1jjj acres4 ,in this total the ,province of ,buenos ,ayres was represented by #af1hhj1jjj2 that of ,santa ,f by #c1bdj1jjj2 that of ,crdoba by #f1bdj1jjj4 ,the ,argentine ,republic possesses one of the most perfect systems of mortgage in existence among modern nations4 ,to prove this statement we need only explain that the ,argentine laws do not recognise secret mortgages2 nor do they admit any privileges in favour of married women or minors in respect of special mortgages4 ,neither does such a thing exist as a general mortgage1 nor are there any privileges taking precedence over the right of the mortgagee4 ,the mortgage1 like every action which affects or modifies the right of the proprietor over immovable property1 must be signed before a notary and registered by the ,conservator of ,mortgages4 ,before drawing up the deed1 the notary must1 as in the case of sales1 demand a certificate stating whether the property is or is not free from charges4 ,although the right of the proprietor is perfect as to possession1 the law tends to give property a certain degree of mobility2 thus for this reason the term of a sale with power of redemption is three years1 the term of a lease ten years1 and that of the registration of a mortgage ten years2 but all these terms may be renewed upon expiration4 ,the term of ten years in the case of mortgages does not affect the ,banco ,hypotecario ,national1 nor the ,banque ,hypothcaire de ,buenos ,ayres1 nor the ,banque ,hypothcaire de la ,capitale1 in virtue of the special laws which created these institutions4 ,the ,bourse or ,exchange4----,the first ,commercial ,exchange or ,bourse1 or let us rather say the first institution to fulfil the functions of an exchange or ,bourse1 for we cannot give that name to the market which formerly existed in ,buenos ,ayres1 was inaugurated in #ahaj under the name of the ,chamber of ,commerce----,sala de ,comercio4 ,it was composed exclusively of members of the ,english colony1 and offered them1 besides the usual advantages of such establishments1 the attraction of a well-furnished library4 ,the documents available do not tell us how long this institution lasted1 nor whether at a later period it opened its doors to the ,argentine element nor whether1 being finally transformed1 it served as a basis for the organisation of the exchange as it is to-day4 ,the only thing certain is that in ,july #ahcd the first members of the association met in the ,via ,san ,martin1 there to establish the ,bourse1 of which the inauguration took place on the #ast of ,december following4 ,before this date there was a financial group known as the 8,sociedad ,particular de ,corredores10 which was known as the ,camuati1 and which busied itself with mercantile transactions4 ,the ,bourse retained its original premises until the year #ahfb1 when it was installed in another building in the same street1 at present occupied by the ,caisse de ,conversion1 or ,bank of ,exchange4 ,some years later1 the premises being too small1 it was proposed to build other and far larger premises1 sufficient to meet the ever-increasing demands of the institution4 ,in #ahha an extraordinary general meeting was held1 with a view to forming a company to undertake the construction of premises to house the 8,sociedad ,bolsa de ,comercio40 ,but the company was not formed until #ahhc1 when it acquired the site on which the ,bourse now stands2 and its official inauguration took place two years later4 ,since then the ,commercial ,exchange has enjoyed a period of continued prosperity2 it is to-day the first commercial centre of ,latin ,america4 ,it exercises a great influence over the commercial and economic life of the ,republic4 ,it is the sole establishment of its kind1 having judicial powers1 open to all mercantile transactions1 and establishing1 under the stress of supply and demand1 the prices of the products of labour or commerce4 ,having the power of fixing the value of merchandise by quotations of paper-money1 it is1 more than any other institution1 liable to exceed its functions2 but it bears within itself1 in its admirable organisation1 the means of repairing its own errors and of remaining the faithful regulator of prices and values4 ,the most eloquent commentary upon the importance of the operations effected by the ,bourse de ,commerce is the simple enumeration of their value at various periods1 for we then realise the enormous development which they have achieved in a period relatively short4 ,in #ahhf the total of the business done was #agc1jjj1jjj paper1 #cd1fjj1jjj face value2 in #ahhg it was #bed1jjj1jjj 7#ej1hjj1jjj72 in #ahhh #dcb1jjj1jjj 7#hf1djj1jjj72 in #ahhi #dfi1jjj1jjj 7#ic1hjj1jjj74 ,the total value of all business effected1 liquidated or not1 cash or credit1 during the years #ahij and #ahia1 amounted to #ah1jjj1jjj1jjj 7#a1ehd1jjj1jjj7 and #g1jjj1jjj1jjj 7#faf1jjj1jjj71 respectively4#ib ,footnote #ib3 ,the values before #aijj are face values1 as the actual value of the piastre note fluctuated4 ,they must not be taken as actual values any more than in the case of ,indian rupees4----,,trans4 ,these figures1 in their simplicity1 cover the history of an interesting period of the financial life of the country4 ,the wave of speculation which turned all men's heads began to rise as early as #ahhg1 and in #ahia was at its greatest height2 it then crumbled into foam1 having shattered the most deeply-rooted of banking houses1 compromised the national credit1 changed brilliant illusions into melancholy realities1 and sown desolation and ruin in many a home4 ,after the catastrophe the total value of business done rapidly fell1 and we see it falling violently from one year to another----from the #ah1jjj1jjj1jjj of #ahij through the #c1cgf1jjj1jjj of #ahie1 to the #hce1jjj1jjj of #aijj2 a year which experienced a condition of affairs which was destined to produce a beneficent influence upon the economic life of the country4 ,in this total of #hce1jjj1jjj of paper-money we find that transactions in gold amounted to #ggd1jjj1jjj paper money1 corresponding to #ff1hjj1jjj of gold negotiated2 while in #ahii1 the whole business done in the ,bourse still amounted to the respectable sum of #a1bie1jjj1jjj paper1 of which #a1bcd1jjj1jjj represented operations in gold4 ,from one year to another the total sum of the business transacted in the ,bourse had diminished by #dfj1jjj1jjj 7paper74 ,the principal cause of this notable decrease was the 8law of monetary conversion40 ,this law1 which has been in force since #ahij1 fixed the value of #dd centavos1 or #dd gold1 for the future conversion of paper-money1 and enacted that the ,caisse de ,conversion should receive the gold and deliver paper1 and vice versa1 at this same rate3 a rate equivalent to #bbgbg per cent4 ,the effect of this reform was thus1 if not to destroy1 at least very largely to limit unbridled speculation1 which made itself especially felt in the value of the paper piastre4 ,speculation in gold being suppressed1 the volume of business transacted on the ,bourse de ,commerce of ,buenos ,ayres grew gradually less and less1 falling finally1 in #aijd1 to #cg1cab1jjj paper1 of which #ai1ifh stood for gold4 ,after #aijd the total sum of these operations was still further reduced1 the figures for #aijh being incredibly low4 ,thus the total1 which in #aije had attained #de1djj1jjj1 rose to #eg1hjj1jjj in #aijf1 fell in #aijg to #af1hhj1jjj1 and in #aijh to #ab1efj1jjj4 ,to-day the activity of speculators is concentrated upon operations in mortgage bonds and the shares of various companies2 each class of operations amounting to some #e1jjj1jjj4 ,these figures show that the ,bourse de ,commerce loses from day to day some part of its importance as the regulating centre of mercantile transactions2 but it would be an error to measure the economic vitality of the ,republic by the amount of business effected on the ,bourse1 since an examination of the situation shows us that the ,argentine has never known a period of more obvious prosperity4 99 99 99 99 99 ,having explained the new phase upon which the ,buenos ,ayres ,bourse has entered1 we must now consider its organisation and its usages1 and the regulations under which it operates4 ,in the first place we must remark that the ,bourse is not an official institution1 but a private establishment1 founded and supported by a limited liability company1 the 8,bolso de ,comercio10 which is recognised as a judicial body4 ,in contrast to other ,exchanges1 and that of ,new ,york in particular1 the number of shareholders is unlimited1 and varies from time to time4 ,in #ahhf there were #biei2 in #ahia1 #dija2 in ,may #aije1 #cgji4 ,to become a member of the ,bourse one must be presented by two shareholders1 admitted by the ,council ,chamber or ,committee 7,chambre ,syndicate71 and must pay a moderate entrance fee1 as well as an annual subscription4 ,according to its rules1 the object of the ,bourse de ,commerce is to 8offer a place of meeting to these members1 where they may discuss and effect all manner of lawful business2 and to facilitate and negotiate all commercial operations by giving them security and legality40 ,it also undertakes to represent commerce and production in general before the authorities of the country1 or before private undertakings2 it supports petitions relative to their interests1 in order that laws about to be proposed1 or those which are being adopted1 shall be equitable and shall favour the development of commercial transactions4 ,its object is both to ensure the unity of commercial usages1 and in case of need to take the initiative in all questions of economics which may affect commerce in general4 ,the management of the ,bourse is effected by the ,council ,chamber----the ,chambre ,syndical de la ,bourse1 which is entrusted with the general and official representation of the institution4 ,it is this authority which permits or refuses the official quotation of all stocks1 shares1 loans1 etc41 issued according to the laws of the country of their origin and by legally constituted bodies4 ,the functions of the stockbroker can only be fulfilled by persons previously authorised by the ,council ,chamber1 after they have accomplished certain formalities1 and have proved whether they have attained their legal majority1 have experience of business1 and have enjoyed a good reputation1 all of which must be guaranteed by three men of business of known responsibility4 ,the number of such brokers is not limited1 and may be increased or decreased according to circumstances4 ,in #aije1 for instance1 their number was #che4 ,they are not obliged to give security nor to make any deposit as guarantee before practising2 they have merely to pay a small monthly subscription4 ,the regulations of the ,bourse contain severe provisions against brokers who infringe any of the numerous prohibitions affecting them2 such as accepting orders from clients whose identity has not been proved2 from persons known to be insolvent1 or from incapable persons2 or acting as intermediary in negotiations where there is reason to suspect that the parties involved are not proceeding seriously4 ,brokers who infringe these rules or others----who do not1 for example1 meet their engagements----are suspended by the ,council ,chamber of the ,exchange4 ,all operations must be declared in an audible voice by the stockbroker to the recorder 7annotator71 in order that the latter may inscribe them upon the blackboard4 ,the vendor and the buyer must then exchange memoranda1 in order that the transaction shall be definitely confirmed and made valid4 ,all transactions effected on exchange#ic during official hours are copied1 with the prices1 from the blackboard into the ,journal of ,sales2 these latter being also published in the ,boletin de la ,bolsa de ,comercio2 or1 as we should say1 the ,stock ,exchange ,bulletin4 ,the settlement of all transactions concluded is effected through the ,council ,chamber1 with the aid of the ,bureau de ,liquidation1 or ,settlement ,office1 under the supervision of an official liquidator1 appointed at a general meeting of the brokers1 who charges a percentage on the settlements which he effects4#id ,footnote #ic3 ,literally1 8at the basket40----,,trans4 ,footnote #id3 ,the brokerage in #a_/d per cent4 on the sale or purchase of bonds1 shares1 debentures1 etc41 and is charged on the face 7or nominal7 value of the amount changing hands4 ,a charge of #a_/b per cent4 is also made on all operations on ,exchange4 ,such are the principal rules of the organic charter which regulates the operations of the ,stock ,exchange of ,buenos ,ayres1 and such is its method of operation4 ,let us now examine the total amount of its operations during the period #ahie-aijh1 and how they may be analysed3---- ,year4 ,piastres 7,paper74 ,pounds 7,sterling74 #ahie #a1bdd1fjb1jeh ---- #ahif #a1chc1dgb1cbi ---- #ahig #a1cjf1eca1fee ---- #ahih #a1bai1cjd1hdf ---- ------------- --------------- ,carry forward1 #e1aec1iaj1hhh ,year4 ,piastres 7,paper74 ,pounds 7,sterling74 ,brought forward1 #e1aec1iaj1hhh #ahii #a1bie1cjd1hdf ---- #aijj #hcd1ihb1bad #gc1dgh1dcdie #aija #a1jjc1gji1ihd #hh1cbf1dgf #aijb #hda1fbg1ecb #gd1jfc1bbb #aijc #chc1ije1fbb #cc1ghc1fid #aijd #dbc1ieg1cfa #cg1cjh1bbg #aije #eae1fjg1caf #de1cgc1ded #aijf #fee1fbd1eff #eg1fid1ifa #aijg #aib1acj1efe #af1ijg1dhi #aijh #adc1dff1ejb #ab1fbe1jeb ------------ ----------- ,total for #ad years #aa1ddd1cgg1cij 7#i ,years71 #dci1efa1jji ,footnote #ie3 ,these values are given only from #aijj1 when the value of the piastre was fixed4 ,of this total an amount of #hgbd millions of piastres1 or #gfb per cent41 applies to metallic operations1 which kept speculation alive until the monetary law of #ahii once and for all arrested the varying values of paper money4 ,if this law had had no other effect1 this result alone would have justified it as wholly beneficial to the interests of the nation4 ,in the quotations of the above period mortgage bonds hold the second place2 they represent about #e per cent4 ,being dominated by the spirit of speculation1 which expended itself principally1 indeed almost exclusively1 upon monetary transactions1 the ,bourse had no time to devote itself to more legitimate business4 ,thus the public funds represented only some #c per cent4 of this total2 then came shares and debentures of various companies2 and last of all banking shares1 the amount of these being insignificant4 ,the nominal value of all the securities which were quoted on the ,buenos ,ayres ,bourse in #aijg amounted to #eed1gia1icb paper and #abg1gfc1ebe gold1 or an actual total of #gd1cgd1cie1 and an analysis gives the following results3---- ,dollars 7,paper74 ,dollars 7,gold74 ,public funds and stocks #aeg1jbe1bie #ce1jjj1jjj ,national ,mortgage ,cedulas #abi1chc1ajj #aa1ddc1fjj ,provincial ,mortgage ,cedulas #abi1gde1fdb ---- ,limited ,companies3 shares #acf1feg1ebj #gh1daf1cbj ,debentures and certificates #a1ihj1cge #b1ijc1fje ------------ ------------ ,totals #eed1gia1icb #abg1gfc1ebe ,these two totals together are equal to a sum of #gd1cgd1cie4 ,in the first edition of this book we gave a summary of the nominal value of all the stocks quoted on the ,buenos ,ayres ,stock ,exchange in #aijd2 the sum amounted to #dfb millions paper and #ch millions gold1 or a total of #eb1bef1jjj2 so that in three years these figures had increased by #ic millions paper and #gj millions gold1 or over #bb1jjj1jjj4 ,it is permissible to hope that in the course of time the ,buenos ,ayres ,exchange will attain a far greater development1 and that it will even exercise some steadying influence on the prices of the public funds4 ,to-day their real market is in ,london1 ,paris1 or ,berlin1 so that the credit of the country is affected by the disturbing events of ,european markets1 while the ,buenos ,ayres market is devoid of any compensating effect4 ,however1 it may be observed that when a country begins to grow rich and to have more assets at its disposal1 the public funds placed abroad show a tendency towards repatriation4 ,we have seen this in the case of ,italy and ,austria1 which had an important foreign debt in ,france1 and have considerably reduced it during these last ten years of economic progress4 ,it will certainly be the same in the case of the ,argentine when1 thanks to a series of good harvests1 its available or fluid assets have increased beyond what is absolutely necessary for the development of agriculture4 ,investments will be made not only in land or in live stock1 but money will be invested in stocks and shares as well1 and notably in the ,government stock of the country4 ,as a symptom of this tendency1 we may mention that interest on the foreign debt1 the coupons for which have hitherto been payable abroad only1 is now payable in the ,argentine as well1 in order to facilitate the purchase of this stock in the ,republic as a staple investment4 ,the internal debt is also the object of more extensive operations1 now that the seventeen loans which constituted the old debt have been unified1 and now that a special call is to be made upon the internal credit of the county with a view to undertaking vast public works4 ,to enlarge the market for this ,government stock the authorities have just decided that its coupons shall be payable on the principal foreign markets4 ,finally1 in the course of time the market for industrial stock1 bank stock1 and railway shares will gradually become less restricted1 in proportion as the public fortune becomes more extensively subdivided1 instead of being concentrated1 as it is at present1 in a comparatively small number of hands4 ,the only thing that may compromise this future is the excessive speculation which we find1 unhappily only too often1 in a country where gambling is a dominant instinct4 ,this excess1 with its natural sequel in the form of financial crises1 might end by driving all serious clients from the ,bourse1 and in destroying the excellent elements which ,buenos ,ayres possesses for the creation of an important financial market4 ,limited ,companies4----,in the vast progressive movement which increases in force yearly throughout the ,argentine ,republic1 the ,bourse of ,buenos ,ayres has yet another part to play3 that is1 to facilitate the formation of collectivities of capital under the form of joint-stock companies1 since the spirit of enterprise exhibits itself by preference under this form4 ,collective effort is to-day more and more replacing individual effort2 the ,argentine must therefore learn how to employ this weapon of associated capital in order to promote new undertakings1 and1 by popularising movable values or securities by the help of the ,bourse1 to raise up new resources to the country's profit4 ,our study of the chief manifestations of ,argentine life and its commercial machinery would thus be incomplete if we did not give some account of the public companies of the ,argentine1 the legal formalities demanded of them upon their formation1 their mechanism1 and the vicissitudes through which they have passed at various interesting periods of ,argentine history4 ,the constitution of public companies is subjected by the ,commercial ,code to rigid formalities1 in accordance with the most advanced principles of universal legislation upon such matters1 in order to assure their proper operation as well as the interests of the shareholders4 ,the indispensable conditions of the formation of such companies are the following3 the number of associates must not be more than ten2 the capital of the venture1 or its first issue1 must not be less than #bj per cent4 of the total1 and must be entirely paid up2 the shareholders must contribute #aj per cent4 of the capital actually subscribed1 a sum which must be deposited in an official or private bank2 the company must be constituted for a fixed term1 and must be authorised by the ,government1 which cannot refuse its authorisation if the functions1 organisation1 and articles of the company are in conformity with the code1 and if its object is not contrary to the public interests4 ,to gain the right to publish the prospectus appealing to possible shareholders1 the company must also conform to the following rules3 it must indicate the date of the provisional formation of the company1 must mention the place where the charter of the company was drawn up and registered1 and what journals have published the articles and the ,governmental authorisation2 it must give details of the object of the company1 its capital1 the number of shares1 and the conditions of subscription and payment2 it must explain the exceptional advantages claimed by the founders of the company1 and convoke the subscribers to a general meeting1 which must take place within three months1 at which the company shall be definitively constituted4 ,the law formally forbids the founders of limited companies to reserve any sum or advantage whatever1 in the form of shares1 debentures1 or founders' shares1 in exchange for concessions gratuitously granted by the ,government4 ,it concedes them a maximum of #aj per cent4 of the capital1 or #aj per cent4 of the realised and liquid profits during a term which must not exceed ten years4 ,the founders or administrators of any company are responsible1 jointly and severally and without any limit1 for all that has been done in the name of the company up to the time of its definitive constitution1 without appeal against the latter1 if it take place4 ,if the company be finally constituted1 the expenses and the consequences of all proceedings undertaken to that end by the founders will be charged against the exclusive account of these latter1 nor will they have any resort or recourse to appeal against the subscribers4 ,in the case of limited companies which are not legally constituted1 the founders1 administrators and representatives are1 conjointly and severally and without limit1 required to restore any sums they may have received for shares issued1 and also to pay the debts of administration and the losses that may be incurred by third parties by the failure to fulfil obligations contracted in the name of the company4 ,once a limited company is constituted1 its administrators contract no common or personal responsibility for the engagements of the company1 but they are responsible1 personally and conjointly1 to the company and to third parties1 for the failure of execution or the improper employment of their mandate1 and also for the violation of laws1 regulations1 and statutes4 ,all companies are obliged to appoint at least once a year a censor chosen by the general meeting1 who directly represents the shareholders1 and who supervises the proper conduct of the company1 and the accomplishment of the legal formalities which concern it4 ,the ,commercial ,code contains many other enactments which tend to ensure the correct and legal constitution1 as well as the proper conduct1 of limited companies3 but those we have cited will suffice to show that the law-maker has striven to use the utmost foresight1 with the object of guaranteeing the interests and the capital confided to such companies4 ,despite this prudence and foresight1 we are forced to recognise that the institution of such companies1 which constitutes a powerful economic lever when they are correctly administered and established with a view to commercial and industrial utility1 is at present discredited on account of the abuses committed in its name at the time of the great crisis of #ahij4 ,the institution of limited companies is so intimately connected with the financial disasters of that period that its history is to a certain extent the history of speculation1 and it has suffered all the vicissitudes of speculation4 ,in #ahhb1 when ,buenos ,ayres was federalised and became the permanent capital of the ,republic2 when public tranquillity was confirmed1 with the conviction that it would be long before it was disturbed2 when the public expenditure was increased1 thanks to the employment of credit and the issue of paper currency2 when1 in short1 the prospect of universal prosperity had awakened energy and initiative2 there began to pass through the country a light breeze of speculation1 which was soon to become a tempest2 and the limited company1 which until that time had existed in a modest1 inconspicuous degree1 quickly assumed a greater importance1 with a more definite1 more concrete form4 ,the companies floated in #ahhb and in the three following years were not very numerous1 and their capital was insignificant as compared with the capital of those that followed3 yet a very marked impulse towards progress was already perceptible1 as much in numbers as in capital4 ,thus the sum of #aj million piastres1 the amount of the nominal capital declared by the limited companies in #ahhb1 rose to nearly #ac millions in #ahhe4 ,but as the fever of speculation and affairs grew higher and ever higher1 thanks to the aid of the credit too liberally granted by the banks1 whether mortgage or money-lending banks or otherwise1 and as at the same time all the paper thrown upon the market was immediately absorbed1 to the great profit of those who issued it1 the limited company followed the upward march1 although this movement did not always correspond with the idea of progress4 ,thus we see with surprise that from #ac millions of piastres 7paper7 in #ahhe1 the capital of the companies rises to #cd millions in #ahhf1 to #ie millions in #ahhg1 to #aif millions in #ahhh1 and in #ahhi to #cgh millions2 and in these two latter years the fever has reached the period of greatest danger4 ,in #ahij the economic-financial crisis1 long delayed by artificial means1 burst over the country with terrible force1 and a revolution broke out simultaneously4 ,under the weight of this double disaster the banking houses tottered on their foundations1 soon to fall in ruin2 credit1 personal or secured1 vanished absolutely2 the paper currency1 already depreciated1 fell to a still lower value2 industry and commerce were arrested in their progress1 and the whirligig of speculation1 which had so far gone merrily but giddily round1 came to an abrupt standstill4 ,as a natural reaction1 the formation of companies1 which speculation had stimulated to excess1 was stricken with an almost complete paralysis2 so that we see the capital of these companies1 which in #ahhi had risen to #cgh millions of piastres1 fall in #ahij to #aij millions1 and finally1 in #ahia1 to the modest sum of #ac millions4 ,these1 rapidly denoted1 are the salient lines of a sketch of the vicissitudes of speculation and the affairs of the capital during the last ten years2 a picture which begins with the rosy tints of hope and illusion1 and ends in the sombre colours of bankruptcy and ruin4 ,the branches of trade and industry which are most largely represented by the limited company form another question of interest4 ,it is certainly very difficult to discover the true social idea which these companies pursue at flotation1 for behind pompous titles which seem to express a true national progress1 such as the construction of harbours1 the foundation of colonies1 the building or management of railways or tramways1 the opening up of new districts by means of canals1 etc41 there lurks1 only too often1 a mere scheme of speculation in shares or land4 ,judging1 however1 by the actual operations effected by these companies during the course of their existence1 we can class them according to the object declared at the time of flotation1 and at the same time give the statistics of their capital4 ,the capital of all the companies floated since #ahhb amounts to #iej millions of piastres 7paper71 or #hc1fjj1jjj4 ,of this sum #ad1cbj1jjj was frankly intended to promote speculation in land2 #ac1bjj1jjj was applied to railways 7including the purchase of the railways of the ,province of ,buenos ,ayres72 #ab1add1jjj to insurance 7a form of employing capital much in vogue at the time71 and #ab1jef1jjj to banking affairs1 which in some cases were only the mask of speculations in stock and in land4 ,to make our sketch complete we ought to give1 instead of the nominal capital declared by these companies1 the capital actually paid up2 as we know that it is not every company that has at its disposal the sum mentioned in its articles1 but that many have to be content with the payment of one or two instalments1 while others cannot even find subscribers4 ,knowing these data1 and being cognisant of the present condition of the companies1 we should then be able to estimate the amount of loss which they have inflicted upon the country4 ,unfortunately this investigation is impossible1 for lack of information1 and we can only state that millions of pounds of private fortunes were lost or stolen in the limited companies of the period4 ,after the crisis of #ahij there was1 as there was bound to be1 a great mental reaction2 especially in matters relating to the institution of the limited company2 and the latter was so discredited that for several years not a penny could be obtained for investment in undertakings of the kind4 ,but it was not possible that such an important element of economic progress should be entirely suppressed on account of the abuses committed in its name4 ,very slowly it came into favour once more2 but thanks to the lessons of experience the new companies were concerned in the foundation of undertakings of genuine industrial and commercial value4 ,thus the companies floated in #aijb1 #aijc1 and #aijd represented a nominal capital of #hjc1igi1jjj paper 7#gj1iej1ceb actual value71 and those founded from #aije to #aijh 7inclusive7 had a nominal capital of #gb1egc1dde1 which may be analysed as follows3---- ,land #a1fgf1iei ,railways #f1jei1giag ,insurance #ac1eic1ihae ,banks #i1bea1ieha ,industry #g1bie1gicb ,commerce #f1hef1gfbc ,agriculture and stock-raising #g1bah1egig ,navigation #ddj1jjjj ,colonisation and ,immigration #bjc1iifc ,tramways #e1aac1cjca ,hygiene #efd1geie ,telephones and telegraphs #a1cdi1ihch ,mines #g1ccb1bhf ,mortgage ,companies and ,real ,estate ,companies #d1jih1ddha ,gas and electric lighting #gei1bdi ,savings ,banks #ffg1eihh ------------- ,total #gb1egc1dej ,the mere list of the above investments is enough to convince us that the day of merely speculative companies is over1 when shares were mere travesties1 more or less justified1 as in the years which preceded the crisis of #ahij4 ,now speculation in land is represented by a sum of less than #a1gjj1jjj2 while insurance is represented by over #ac millions1 banks by more than #i millions1 industry by #g millions1 agriculture by #g millions1 and mines by about the same amount4 ,these latter investments belong to the category of 8eruptive0 stock1 for1 like a volcanic eruption1 they rise suddenly to great heights1 to fall1 a little later1 leaving nothing but smoke and ashes4 ,in the matter of company formation1 as in the matter of operations of the ,bourse1 we see that the ,argentine has re-entered the normal path of progress4 ,under these two manifestations1 which reflect the economic activity of the country1 the tide of affairs continues to increase1 but the spirit of speculation no longer turns it aside1 no longer undermines the organisation of the nation's commerce4 ,,part ,,iv ,,argentine ,,finance ,,chapter ,i ,,the ,,argentine ,,budget ,the financial situation----,continual increase of national expenditure----,great and rapid progress since #ahia----;,insufficiency of the means adopted to moderate this increase----,the ,budget ,extraordinary and the ,special ,legislation ,budget4 ,causes of this increase of national expenditure----,the increase of administrative requirements caused by an increasing population2 this is the most natural cause1 and that most easily justified---- ,increase of the public debt----,the intervention of the ,state as the promoter or guarantor of important public undertakings---- ,exaggerated military expenses4 ,the total sum of national1 provincial1 and municipal expenses4 ,the proportion per inhabitant----,comparison with other foreign countries in the matter of administrative expenses4 ,the national revenue----,the revenue as organised by the ,constitution1 and its analysis----,indirect taxation----,the customs the chief source of revenue----,direct taxation2 its origin in the ,argentine2 its justification2 its yield----,revenue of the industrial undertakings belonging to the ,state3 railways1 sewers1 posts and telegraphs----,the exploitation of the ,state lands4 ,elasticity of the receipts1 which follow the development and progress of the country----,the accelerated increase of expenditure1 and the resulting chronic deficit----,necessity of serious reforms4 ,the phenomenon of an increase in the national expenditure3 a phenomenon which makes itself felt under monarchies as well as under republics1 in those countries which have long centuries of life behind them1 as in those whose independent existence has barely begun3 this phenomenon is felt in the ,argentine ,republic more keenly than in the older nations of ,europe4 ,our book would present a serious lacuna if we did not1 before speaking of the increase of the ,argentine budgets1 inquire first of all1 as closely as we can in a work of information1 what are the causes which have led to this continual increase in the national expenses4 ,we must know1 in short1 whether this increase is due to general causes1 produced by administrative necessities1 and connected with the mere progress of the country1 or whether on the contrary it arises from special factors1 peculiar to the social and political conditions of the country1 and to the practical defects of its ,government4 ,if we examine the amounts of the ,argentine budgets for a number of years1 we shall see that1 with a few rare exceptions1 they have always increased1 and at a more or less extraordinary rate4 ,even in the years when the country was groaning under some profound economic or financial crisis the same thing was to be observed4 ,not to go back too far in our retrospective study1 let us take as a point of departure the year #ahia1 which year is a veritable landmark in the history of the ,argentine people1 since it was in that year that the political and financial crisis which broke over the country attained its greatest intensity4 ,we find that in #ahia the expenditure authorised by the national budget----not the expenditure actually effected1 with which we shall deal further on----amounted to #da1bcj1cdi paper and #bj1cae1ddf gold1 or some #ca millions in gold1 or #f1bjj1jjj4 ,five years later----in #ahie----this expenditure had increased to #gf1jjj1jjj paper and #ae1jjj1jjj gold1 or #cg1jjj1jjj in gold1 or #g1djj1jjj4 ,since then1 with rare exceptions1 the budgets have followed an ascending scale4 ,if1 indeed1 we concern ourselves with the sums actually realised1 instead of those proposed by the budgets1 we find that the amounts of the later budgets are these3 in #ahih1 #ge1jjj1jjj gold and #aai1jjj1jjj paper1 or #aba1jjj1jjj in gold1 or #bd1bjj1jjj2 in #ahii1 #ca1jjj1jjj gold and #ajd1jjj1jjj paper1 or #gg1jjj1jjj in gold1 or #ae1djj1jjj2 in #aijj1 #bd1jjj1jjj gold and #aje1jjj1jjj paper1 or #fi1jjj1jjj in gold1 or #ac1hjj1jjj4 ,reducing to gold the sums estimated in paper1 we find that since #aija1 that is1 since the time when the value of the currency was established on a fixed basis1 the following sums have been expended3 in #aija1 #ad1bjj1jjj2 in #aijb1 #ag1fjj1jjj2 in #aijc1 #ae1fjj1jjj2 in #aijd1 #ag1bjj1jjj2 in #aijg1 #bj1bjj1jjj2 in #aijh1 #bj1bjj1jjj2 there has thus been a rapid progress4 ,the budget for #aiji amounts to #bgj1jjj1jjj paper1 or #bc1hab1hjj4 ,in this total are comprised two items3 one of #ae millions of piastres in paper1 value #a1cbj1jjj2 the other of #c millions1 or #bfd1jjj1 which are set aside to meet the expenses of the ftes of the first ,centenary of the ,national ,revolution4 ,if we subtract these two items1 which are necessitated by extraordinary expenses1 we find that the increase of the administrative expenditure over that of #aijh amounts to #a1gfj1jjj4 ,we ought here to remark that these figures do not include the sums realised by the ,government by means of the issue of stock3 a procedure which constitutes an interesting chapter of ,argentine finance4 ,we see1 from these data1 that the increase of the national expenditure is a constant1 almost an inevitable factor1 which occurs year by year in the ,argentine administration4 ,it now remains for us to inquire if unavoidable causes exist which force the ,state to spend without reflection1 and1 when funds are lacking1 to contract loans which grievously burden the future2 or whether1 on the contrary1 we have here a fault rooted in the soil of new countries which have no serious administrative traditions1 and in which the spirit of order and economy has not yet grown to the stature of a national virtue4 ,in the ,argentine ,republic the increase of public expenditure responds to causes which differ from those which are active in the countries of ,europe2 though we do not say that the latter do not also exercise their influence4 ,a new country1 inhabited by a sparsely-settled population1 in possession of a rich but desert territory1 its economic organism as yet barely developed1 the ,argentine has not yet produced a class of men practised in and prepared for practical administration4 ,it is1 on the contrary1 afflicted with undisciplined political parties1 full of impatience and of ideas of progress which cannot be immediately realised4 ,it is not surprising that in the ,argentine the increase of public expenditure responds to causes unlike those to be observed in other ,states1 which number the years of their lives in centuries2 which enjoy perfected administrations1 possess a large class of men prepared for the science of government and finance1 and whose needs1 far from increasing1 tend to restrain such expenditure4 ,so1 considering the question under its most general aspect1 we believe we shall not depart very far from the truth if we suggest1 as the causes which produce the constant increase of the ,argentine budgets1 the following facts3 7#a7 the increase of administrative requirements1 caused by the increase of the population2 7#b7 the increase of the public debt2 7#c7 the depreciation of the currency until a recent period1 and the increasing dearness of the necessities of life2 7#d7 national and foreign wars 7which causes now belong to history1 and have happily ceased to exercise their influence in the ,argentine72 7#e7 the intervention of the ,state as manager or promoter of expensive public works2 7#f7 the cost of an imperfect and expensive administrative machinery1 and the wastefulness of the ,government and of ,congress2 7#g7 a lack of control in the handling of revenue and expenditure2 7#h7 increased military expenditure4 ,under this last heading we may include the heavy expenses which the ,government has been forced to meet in order to maintain the integrity of its frontier and to avoid a war with ,chili4 ,between #ahhi and #aijc it has employed for this purpose a sum of #ac1jjj1jjj4 ,a brief examination of each of these causes will suffice to show that they have been truly presented1 and will also demonstrate the degree in which the phenomenon we are studying exhibits itself4 ,the influence of the first factor is assured and indisputable2 it is enough to enounce it2 it will be admitted without further criticism4 ,the increase of the ,argentine population1 although it is not precisely all that might be desired1 because it is not equally distributed1 being larger on the coast than in the interior1 is none the less considerable4 ,the first national census of #ahfi gave a population of #a1hgg1jjj for the whole country2 that of #ahie gave #d millions2 an increase of more than #b1ajj1jjj1 or of #dh per cent4 per annum4 ,since #ahie1 although the ,constitution orders a ten-yearly census1 no census has actually been taken4 ,but according to the most reliable calculations1 the population of the ,argentine amounts at present to more than #f millions of inhabitants4 ,it is obvious that an increased population must also mean an increased administrative expenditure1 as more telegraphs are needed1 more bridges1 roads1 and railways1 a larger police service1 more lawyers and judges1 and more schools and teachers4 ,no sensible person would pretend that the national expenditure could remain unchanged1 while all else was developing and prospering4 ,if the national revenue increases at an extraordinary rate1 on account of the development of the population1 it is only logical that the expenditure should increase likewise2 but in a less proportion1 it is true1 as is proper under a good administration4 ,but this is not to say that it is permissible for administrators entrusted with the annual duty of presenting an estimate of public expenditure to do what is occasionally done1 with such deplorable results----to estimate also in an exaggerated fashion the increase of the population1 in order all the more to inflate the budget4 ,the profound financial crisis1 which affected the country in #ahij1 had no other cause4 ,everything is risked by the abuses of official expenditure4 ,we have the proof of this in the fact that the economic possibilities of the country have never been so great as in these moments of financial crisis4 ,the continual increase of the public debt is another of the causes of exaggerated budgets4 ,since the first loan of #a1jjj1jjj1 contracted by the ,province of ,buenos ,ayres in #ahbb1 which was later transferred to the account of the nation1 until the present time1 when1 if no new loans have been contracted1 at least the ,government has put into circulation millions of stock which it was holding in reserve1 the public debt has done nothing but increase1 and in considerable proportions1 attaining in #aiji to an amount of #cga1jjj1jjj gold and #bcg1jjj1jjj paper1 or #ie1jjj1jjj in all2 and this1 without including the last loan of #aj1jjj1jjj contracted by the ,government in ,march #aiji4 ,another permanent cause of the increase of public expenditure is that which arises from the intervention of the ,state1 as guarantor or promoter of costly public works4 ,the ,argentine ,constitution has very wisely instructed ,congress to 8promote the introduction and the establishment of various industries and of immigration2 the construction of railways and navigable waterways2 the colonisation of the lands belonging to the nation1 and the importation of foreign capital and the exploitation of the rivers of the interior1 by means of protective laws1 temporary concessions1 privileges1 and awards1 which shall be an incentive to emulation40 ,in these sentences the writers were inspired only by the embryonic condition of the country for which they legislated4 ,in the old-established ,european nations1 where great accumulations of capital exist1 where everything is done by personal initiative1 where the commercial and industrial spirit is highly developed1 many of the prescriptions of the ,argentine ,constitution would be useless or out of date4 ,but here1 where capital is only beginning to exist1 as a result of the large commercial balance left over from each year of international trade2 here where1 to use the phrase of an ,argentine thinker1 8we are naturally rich but economically poor10 the ,state has to turn to all trades2 it has to go into business as contractor1 encourage the establishment of industries by means of premiums or bounties1 and stimulate the introduction of capital and of immigrants4 ,the last of the causes we have cited as determining the increase of public expenditure in the ,argentine1 is the increase of military expenses4 ,we do not here refer to the extraordinary expenses which the ,government had to support for a number of years1 in order to acquire the elements of naval and territorial defence wherewith to meet the possible aggressions of a neighbouring ,state1 but the ordinary annual expenses for the upkeep of the army and the navy4 ,up to #aijb these expenses followed a scale of accelerated increase1 and the country met them as a necessary sacrifice1 dominated by the conviction that by this means it could evade the greater calamities of a war2 and quieted at the same time by the promises which were given that once the danger had passed the expenses would naturally decrease4 ,unhappily it was not so4 ,although the international horizon was clear of the cloud which had threatened to disturb the tranquillity of the country1 the army and navy estimates showed no signs of abatement2 on the contrary1 they showed a tendency to increase4 ,thus in #aijb1 when the international question was in an acute stage1 and a rupture was momentarily expected1 these estimates amounted to #b1haf1jjj4 ,now1 in #aiji1 with peace and tranquillity reigning on all sides1 the war-budget still amounts to #a1ihj1jjj1 and the naval budget to #a1deb1jjj2 or to more than #c1djj1jjj in all4 ,we repeat that these are ordinary1 not extraordinary budgets1 whose amount is always considerable1 and which have to be met by means of sums raised by special financial laws1 or authorised by simple resolutions of the ,cabinet or ,council of ,ministers4 ,to these military expenses we must add the sums required to pay the retiring gratuities of officers1 and these already amount to a veritable army4 ,these gratuities1 granted under the provisions of an irrational law1 have contributed to deprive the army of a large number of soldiers who might still be serving with honour and distinction4 ,but large as these expenses are1 they are altogether eclipsed by the exorbitant sum of #ad1ibj1jjj voted by ,congress in #aijh1 which1 divided into eight annuities1 is destined for the purchase of munitions of war1 ships1 etc4 ,the ,argentine1 by consenting to such expenses1 which are as excessive as they are unjustified1 is thus deliberately entering upon the policy of armed peace1 which has produced such lamentable results among the nations of ,europe4 99 99 99 99 99 ,the figures we have already given1 which relate to the ,national ,budget1 represent a portion only of the expenses which weigh upon the inhabitants of the country2 for they do not include those amounts requisite for the support of the provincial and municipal administrations of the entire ,republic4 ,the amount of all the budgets together----national1 provincial and municipal----amounted1 in #aijh1 to #bi1bjj1jjj4 ,each one of the six-million inhabitants of the ,argentine must thus annually contribute nearly #e towards the support of the public administrations4 ,but in reality this contribution is still heavier1 as the expenses which figure in the budget are only a part of the administrative expenses1 and we must still add the expenditure authorised by special laws or resolutions of the ,cabinet4 ,this proportion of #e per inhabitant is enormous2 to understand how large it is1 we must compare it with the amounts charged in other and more advanced countries4 ,on the other hand it is stated that some #cj per cent4 of the whole national expenditure is absorbed by the salaries of the administrative employs1 functionaries1 ministers1 etc41 and by pensions and retiring gratuities4 ,commenting upon this abnormal situation1 a sometime ,minister of ,finance remarked some years ago1 in an official document which attracted attention by the energy and sincerity with which it was written3---- 8,our budgets have constantly increased of late years4 ,it is notorious that the personnel of the ,administration is excessive1 just as it is notorious that useless and expensive sinecures have been created1 with the sole object of giving places to persons whose influence has been such that the ,state has undertaken to support them4 ,bureaucracy is increasing2 industry1 commerce1 and all the spheres of free endeavour and of individual effort are abandoned by the sons of the country1 who seek salaried employment or the exercise of intermediary professions which demand no effort4 ,the number of young men who waste their time in seeking a place1 instead of devoting their activities to work1 in a country which offers wealth to all who will employ a little energy1 a little perseverance1 is surprising4 ,but all want an easy life1 even though it be poor and without horizon2 all wish to live on the budget1 and in order to gain their object they exhibit all kinds of ingenuity2 they go seeking recommendations1 and employ every means at their disposal4 8,this host of pertinacious beggars of place results in the creation of new employments and new services1 all equally useless4 ,the national and provincial administrations pay more than #fe1jjj1jjj in salaries and pensions4 ,each inhabitant contributes six golden dollars----#a1 #ds4----towards the upkeep of an army of employs1 which is an enormous sum4 ,the public services of other countries cost1 per inhabitant3 in ,switzerland1 #ds4 #if;d42 in the ,united ,states1 #fs4 #dh;d42 in ,england1 #hs4 #bhh;d42 in ,holland1 #is42 in ,austria1 #aas4 #bhh;d42 in ,belgium1 #abs4 #jdh;d42 in ,germany1 #abs4 #jif;d42 in ,italy1 #aes4 #if;d42 and in ,france #ais4 #bhh;d4 ,these figures1 taken from ,paul ,deschanel's work on ,decentralisation1 show us that we have outstripped all other nations in the matter of expenditure on the administration2 even ,france and ,italy1 where bureaucracy is regarded as a calamity and as one of the causes of their economic decadence4 8,we must check this avalanche by suppressing all useless employments and all superfluous services4 ,it is essential to turn our young men aside from their present path1 in order that necessity shall force them to exercise their energies in the vast field which is offered them by a new country1 full of natural wealth1 with a fertile soil and a benign climate40#if ,footnote #if3 ,see ,mmoires des ,finances de #ahhi1 by ,j4 ,m4 ,rosa1 ,vol4 ,,ii41 p4 #agd4 ,the reaction which ,seor ,rosa1 in his genuine patriotism1 had hoped for1 took place a little after his departure from the ,ministry of ,finance2 but unhappily its direction was the reverse of that he anticipated4 ,we have examined the expenses of the public administrations2 we have measured the weight of the public debt2 we must now examine the treasury receipts1 in order to discover what are the most important sources of the revenues which fill it1 and what elasticity they possess4 ,the ,argentine ,constituents1 after having explained1 in the sententious preamble which serves as a preface to their great political code1 what place was theirs who were building the great edifice of the ,state1 turned to consider from what sources the revenues for the ,treasury might be drawn1 in order to satisfy the necessities of the administration of the country4 ,to this effect they enacted that these resources should be3 8,the taxes upon imports and exports2 the sale or allocation of lands forming part of the national territory2 the postal revenues1 and the other taxes1 which the ,general ,congress will impose equitably and in proportion to the population2 also such loans and credit operations as the same ,congress shall decree for the urgent needs of the nation1 or for undertakings of national utility40 7,article #d74 ,has the foresight of the ,constituents in establishing these sources of revenue been justified8 or1 in other words1 were the elements of revenue created by the fundamental charter efficacious8 ,a little study of the system of ,argentine revenue will show that of all these sources enumerated1 the only ones that have a permanent and fertile existence are those relating to the customs receipts2 that is1 to the duties of export and import4 ,the others either give poor and uncertain results1 such as the sale and allocation of national lands2 or are of a perilous nature and to be used with restraint1 such as loans and transactions on credit2 or they are drawn from services which produce revenue only within narrow limits1 such as the ,posts4 ,besides the sources appointed by the ,constitution for normal requirements and ordinary periods1 the same charter enumerates another source to be resorted to in exceptional cases or for purposes of defence1 when the common security and the general welfare of the ,state may demand it4 ,this source is the imposition of 8direct taxes1 during a fixed period1 and equally proportioned all over the ,republic40 ,it follows from these limits that the principal effective source of revenue intended by the ,constitution to form the ,federal ,treasury is that of indirect taxation4 ,so far the new fundamental code has not only followed the example of the principal nations1 and hearkened to the counsel of economic science1 but has also put into effect an eminently practical and far-seeing procedure4 ,seor ,alberdi1 who of all writers has most profoundly studied the system of revenue established by the ,argentine ,constitution1 has stated that indirect taxation is the most fruitful fiscal resource1 as is proved by the customs revenues1 which are relatively greater than those of all other taxes put together4 ,the indirect tax1 adds ,seor ,alberdi1 is relatively the most equitable1 as every one pays according to his tastes and his powers of consumption2 the foreigner as well as the son of the soil4#ig ,footnote #ig3 ,see ,sistema econmico y rentstico1 ,obras de ,alberdi1 ,vol4 ,,iv1 p4 #dai4 ,as we have seen1 the ,constitution was far-seeing and lucid in its definition of the character of the revenues of the ,national ,treasury3 that is1 in fixing upon the customs duties1 the sale and allocation of land1 the products of the ,posts1 and other contributions to be imposed by ,congress for normal situations in a proportional and equitable manner2 and also in deciding upon the imposition of direct taxation for determined periods1 and relatively equal all over the country1 for exceptional and abnormal times4 ,according to the commentator quoted above1 when the ,constitution left ,congress the faculty of establishing1 equitably and in due proportion1 taxes of other kinds1 and abstained from naming them or limiting them to a fixed number1 it was because it wished to give the legislature the right of adopting all those recognised by economic science1 in order that they might be imposed according to the principles of the ,constitution itself4 ,if we now cast an eye over the table of the national revenue1 we shall see that in #aijh the nation collected1 in the form of direct taxes1 the sum of #ehc1cdd2 in the form of indirect taxes1 #d1hjc1ibj2 for the remuneration of services1 a sum of #a1jbc1ddj1 which had not the character of direct taxation2 as the usufruct of land belonging to the national domain1 and the profits of national undertakings1 #b1eaj1bdj2 and as capitation fees1 #h1jjj4 ,we must also include in the receipts the sums contributed by some of the provinces1 and by the ,national ,bank1 to the service of the national debt2 guaranteed1 on their account1 by the ,national ,treasury4 ,if we add together all these sums1 which for one reason or another were placed to the account of the nation in #aijh1 we arrive at a general total of #bb1cib1afj4 ,this revenue may be analysed as follows3---- ,the group of direct taxes is formed by the land-tax of the city of ,buenos ,ayres and of the ,national ,territories1 which figures in the balance-sheet as a sum of #cbj1cbj4 ,in reality the product of this tax is greater----amounting to more than #faf1jjj----;but the nation is by law compelled to give a certain proportion of this sum to the ,municipality and another to the ,national ,council of ,education2 what remains when these obligations are satisfied belongs to the ,government4 ,the commercial and industrial licences of the ,federal capital and the ,national ,territories form the second class of direct taxes1 their yield being #bde1ebj2 but1 as in the case of the land tax1 the ,government has to give part of this sum to the city and part to the ,council of ,education4 ,the indirect taxes are those which produce the largest yield3 they include the customs duties upon imports1 which in #aijh yielded #ab1jcf1jjj4 ,the consular duties brought in #ajj1jjj2 stamps and fees accounted for #aah1jjj4 ,besides the resources furnished by the indirect imposts of the customs1 there has since #ahia existed in the ,argentine another kind of indirect internal duty1 which is charged upon consumption1 and which every day acquires a greater importance1 in proportion as the country is developed and as wealth and population increase4 ,these duties were established at a critical moment of the country's history1 and they mark a degree of evolution in the financial system of the country4 ,in #ahia1 when the liquidation commenced of the great financial crisis which had completely overturned the economic organisation of the ,argentine1 the strength of the country was broken1 the ,treasury was empty1 and there existed a public debt which was all the more grievous in that the paper currency was absolutely inconvertible1 and decreased in value daily1 in the midst of all the difficulties which characterised that terrible time4#ih ,footnote #ih3 ,see ,memoria del ,ministerio de ,hacienda1 #ahij1 p4 #gb4 ,this overwhelming situation resulted in the establishment of indirect internal imposts2 that is1 the branch of taxation which is levied on the national industry and national production2 but which is1 in all contemporary nations1 one of the most fruitful sources of revenue2 the more so as its collection demands few sacrifices on the part of those who pay it4 ,the realisation of this fortunate idea1 which effected an important innovation in the revenue system1 was due to the administration of ,seor ,carlos ,pellegrini1 in which ,vincent-,fidel ,lopez was ,minister of ,finance1 and was perhaps the most important and meritorious act of the administration4 ,during this first year of #ahia1 the receipts furnished by this branch of taxation did not attain to the expected results2 they amounted only to #bbd1fhb1 distributed as follows3 ,alcohols1 #abc1eaa2 beer1 #bc1edi2 matches1 #gf1fag2 banks and companies1 #ihb2 total1 #bbd1ffj4 ,out of a total collection of #ge1eja1jgg paper and #dig1abj gold1 or #f1gdc1eah1 the yield of internal duties amounted only to #c4bi per cent4 ,four years later1 after the administration of internal duties had undergone considerable modifications and improvements1 so that the system of collection had become more exact1 these imposts furnished the ,treasury with #fgf1idf1 which out of a total collection of #bi1hje1fea in gold and #bh1ieh1dfj in paper1 or #aa1ega1jgf1 amounted to #ehe per cent4 of the whole4 ,in #ahig the budget voted by ,congress increased the general revenue to be collected to #cc1dib1jjj in gold and #dg1hce1jjj in paper 7deducting from this last sum #ab millions of paper produced by the shares of the ,national ,bank and #b millions as the profits of the ,bank of the ,nation71 or in all #adh1jjj1jjj4 ,the yield of internal duties had increased to #ai1cfj1jjj1 or #ac per cent4 of the whole revenue4 ,in #aijh the domestic imposts produced #d1jjj1jjj1 or #ag per cent4 of a total collection of #bb1djj1jjj4 ,the chief element of this revenue was furnished by the duty on the consumption of alcohol1 which produced #a1dif1jjj4 ,the tobacco duty came second with a yield of #a1gfj1jjj4 ,matches yielded #bfi1jjj2 beer1 #cjh1jjj2 insurances1 #fa1fjj4 ,these figures show how rapid has been the increase of the revenue from internal duties on consumption4 ,if we disregard that portion of the revenue which is raised by imposts1 and examine the yield of the industrial undertakings exploited by the nation1 we shall find that as yet they are far from constituting any real resource for the ,treasury1 and far from compensating the large amounts of capital employed4 ,comparing the yield of these undertakings with the working expenses1 we find that the balance1 as a general thing1 is on the losing side4 ,this is the case with the four railways belonging to the nation1 whose yield1 in #aije1 was #a1jab1jjj4 ,the working expenses1 the renewal of rolling-stock1 and repairs of the permanent way1 completely absorbed the revenue4 ,we must hope that this ruinous state of things will disappear presently1 when the network of ,state railways is completed1 and the lines unite important centres of production1 and the system of administration is perfected4 ,after this miserable result we may point with relative satisfaction to another important industrial undertaking of the ,government3 the sanitation works of the city of ,buenos ,ayres4 ,apart from the hygienic advantage1 which is already very evident1 the financial results are worthy of attention1 as they show that this undertaking will very shortly cover1 if not the whole1 at least a portion of the interest on the capital employed4 ,the ordinary working expenses of this undertaking amounted in #aijh to #beh1bjb1 while the revenue amounted to #fgc1bjj4 ,this left a balance in favour of the ,treasury of #dae1jjj1 of which a great part was employed1 by virtue of special laws1 in the enlargement of these works1 which enlargement will still further increase the revenue4 ,the financial result of this undertaking is a conclusive proof that such enterprises1 when directed with method and intelligence1 are always profitable to the ,state4 ,the ,postal ,service1 which the authors of the ,constitution expected to be a considerable resource1 has hitherto given only negative results2 the receipts have not hitherto covered the working expenses4 ,the ordinary expenses of the ,department of ,posts and ,telegraphs were #a1add1jjj in #aijh1 while the effective receipts for the same year were only #icf1cbj2 giving a deficit of #bjg1fhj4 ,in reality this deficit was far greater1 because fresh expenditure was necessitated by the construction and repairs of telegraphic lines1 and certain purely nominal receipts1 arising from the franking of official correspondence1 were put on the credit account4 ,if we now proceed to examine the revenue derived from the national estates1 we find that its most important item proceeds from the sale and allocation of the public lands4 ,this revenue1 which figures among those enumerated by the fundamental charter as forming the resources of the ,treasury1 has by no means produced what it should1 owing to the lack of method or foresight in the management of this important administrative department4 ,in #aijh this source produced only #bgh1jhj2 and this sum represents a considerable increase over previous years1 especially over the year #aijd1 when the revenue was only #bg1cfh4 ,but when we take the fact into account that the nation still possesses #bab millions of acres of land1 which are situated in territories whose population is rapidly increasing1 and which will shortly be well served with railways1 we perceive at once that these lands1 which are a powerful source of attraction to immigrants1 may also in time become a very important source of revenue4 ,the revenue derived from the exploitation of industrial undertakings and from the national domains being thus eliminated from the list of effective revenues1 as being nominal or insignificant1 we see that the nation has no other positive resources than the customs duties and imposts upon consumption4 ,this explains the development of the budgets of the last few years1 in which the domestic and indirect duties have increased the fiscal receipts4#ii ,footnote #ii3 ,see ,memoria del ,ministerio de ,hacienda1 #ahie1 ,vols4 ,,ix4 and ,,xi4 ,one of the characteristics of the present situation of the ,argentine is the remarkable elasticity displayed by the increase of the fiscal resources4 ,at the present time few countries in the world present a similar spectacle4 ,here1 more than in any other country1 the official revenues are in direct relation to the result of the harvests and the exportation of the products of the ranch2 so that the table of fiscal receipts is a kind of infallible barometer1 which measures the degree of wealth and prosperity of the general population4 ,if----not to go back too far in our investigations----we take the thirteen years from #ahie to #aijh as an example1 and if we convert into gold the sums received in paper1 according to the average rate of exchange for each of these years1 we find1 in the first place1 that in #ahie the ,treasury received #g1fjj1jjj4 ,since then these figures have increased in rapid progression2 passing from #g1fjj1jjj to #h1fjj1jjj2 thence to #aj1jjj1jjj2 thence to #aj1fjj1jjj2 thence to #ad1fjj1jjj2 but in #aijj1 through economic causes such as the loss of harvests1 anthrax1 the closing of ,english ports to ,argentine live-stock1 joined to such political causes as the fear of complications with ,chili1 the revenues fell to #ac1jjj1jjj4 ,but progress was not long in establishing itself anew2 in #aijd1 the revenue was #ae1bjj1jjj2 in #aijg1 #ba1bjj1jjj2 and in #aijh1 #bb1djj1jjj1 which is the highest figure the administration has ever known4 ,to appreciate this enormous progress at its true worth1 we must take the fact into account that it was precisely during these years that the nation released several sources of revenue which had previously been taxed2 such as duties levied on the export of natural products1 and on natural or artificial wines1 and additional duties levied on importations1 all of which represented a respectable number of millions per annum4 ,thus in thirteen years1 from #ahie to #aijh1 the fiscal receipts have increased by #ad1hjj1jjj1 or by #aid per cent4 ,such a result cannot but be satisfying1 and it would be the most eloquent proof of the intense vitality of the ,argentine finances were it not for the still more rapid increase of official expenditure4 ,this also has increased1 rapidly and enormously1 more often than not exceeding the revenue1 and leaving each year a more or less important deficit1 which1 accumulating from one year to another1 has finally to be converted into a consolidated debt1 whether foreign or domestic4 8,the practical result of the budgets from #ahfc to the present time10 says an official document1 8has been an uninterrupted series of deficits40#ajj ,in the face of this situation the patriotic advice which the ,minister of ,finance1 ,j4 ,m4 ,rosa1 gave the ,government and the ,congress in a memorable document some years ago1 is more than ever applicable4 8,we must do our utmost to economise10 he said1 8by restraining ourselves and reducing our expenses to the absolutely indispensable4 ,it is only by applying ourselves to the work of simplifying our administrative services1 by suppressing useless formalities and superfluous employments1 by scrutinising the least details of the public expenditure1 that we shall succeed in making large economies4 ,it is certain that to purge the administration of its ancient vices1 to sweep away all useless appointments1 to refuse to find vacant places at the bidding of power and influence1 and to establish the strictest rules of economy1 is a task of no mean difficulty2 but we cannot stop to think of the animosity and the vindictive temper which it may arouse when duty renders such conduct necessary40#ajj ,footnote #ajj3 ,see ,memoria del ,departamento de ,hacienda de #ahii1 by ,joseph ,m4 ,rosa4 ,if ,argentina truly wishes1 not to compromise her lofty destinies1 but to remain a centre of attraction to the labourers or the disinherited children of fate to whom she offers the resources of her fruitful soil2 if she aspires to be1 in the twentieth century1 the great centre of the world's emigration1 as were the ,united ,states in the nineteenth century1 she must obtain an administration both methodical and economical2 careful of the public moneys1 and at the same time open to all material progress4 ,it is thus that she will win the confidence of men and of capital2 that is1 of the two elements which she must still multiply in order to become a great nation4 ,,chapter ,,ii ,,the ,,public ,,debt ,statistics of the public debt on the #ast ,january #aiji----;,history of the public debt----,the first loans4 ,the financial crisis----,consolidated loans----,the ,romero arrangement---- ,loan for the rescission of guarantees----,the internal public debt----,the total of the ,argentine public debt1 and its annual cost in dividends and redemption----,the proportion of financial charges as compared to other budgetary expenses4 ,the burden of the public debt is heavy1 but not unduly heavy in relation to the productive power of the country----,the necessity of restraining further issues and of converting old debts----,the efforts of the ,argentine to improve her credit4 ,all the vicissitudes through which the ,argentine has passed in the course of the nineteenth century have left their traces upon the history of the ,national ,debt4 ,to the legitimate uses of credit have been joined abuses2 but all this now belongs to the past1 and we do not intend1 in a book dealing with matters as they are1 to recount this history at length1 nor to comment upon it nor criticise it4 ,the consolidated ,national ,debt1 on the #ast ,july #aiji1 amounted to #fb1hib1dbh4 ,it may be analysed as follows3---- ,,foreign ,,debt4#aja ,circulation ,annual ,cost1 on #ast ,january #aiji4 ,interest and ,amortisation4 ,loans at #e per cent4 #bc1cej1acigf #a1gjb1ehebi ,loans at #d-a_/b per cent4 #g1fig1bfbhh #eaf1adgdb ,loans at #d per cent4 #bi1hbj1cabgi #a1ded1dfefd ,loans at #c-a_/b per cent4 #b1jjd1gajdj #aba1bchji -------------- ------------- ,total #fb1hhb1dbehc #c1gid1dcfdd ,footnote #aja3 ,by #aeth ,september #aiji1 the amount of the debt had been reduced to the following figures3 #e per cent41 #bb1gjb1ccj2 #d-a_/b per cent41 #g1egi1ehj3 #d per cent41 #bi1gbh1efb2 #c per cent41 #a1ibj1jjj2 total1 #fa1icj1dgb4 ,in the total given above is an important sum of which the cost1 though entered in the ,national ,budget1 is really borne by the various provinces4 ,items in this amount are a sum of #f1hjj1jjj1 for which the ,province of ,buenos ,ayres is responsible2 the #c1jjj1jjj of the conversion loan of ,santa ,f2 #b1hjj1jjj taken up by ,entre ,rios2 and the ,crdoba conversion loan of #a1jjj1jjj2 while ,mendoza accounts for #fjj1jjj and the ,national ,bank in liquidation1 for #a1hjj1jjj4 ,this establishment1 although belonging to the ,government1 bears the cost of its debt out of its own resources4 ,eliminating these #af1jjj1jjj1 we find that the external debt1 whose cost is borne by the ,treasury1 amounts not to nearly #fc1jjj1jjj1 but to #dg1jjj1jjj4 ,we shall ultimately have occasion to inquire how far this debt weighs upon the resources of the ,treasury1 what the burden per inhabitant amounts to1 and how it stands in relation to the debts of other countries4 ,for the moment we must glance backward in order to realise the historical conditions under which this debt was contracted1 and what its destination has been4#ajb ,the first credit transaction effected by the ,republic abroad was concluded a few years after the ,declaration of ,independence4 ,in #ahbb the ,province of ,buenos ,ayres1 which had always been the heart and head of the ,republic1 taking its place1 indeed1 under certain conditions1 and under others representing it in foreign countries1 was fortunate in having at its head a progressive ,government1 which1 by its profitable initiative1 has left ineradicable traces behind it4 ,the ,president was ,general ,martino ,rodriguez2 the ,ministers included ,bernadino ,rivadavia and ,manuelo-,josepho ,garcia4 ,footnote #ajb3 ,see1 in ,the ,north ,american ,review for ,may #aijb1 an article by ,seor ,alberto ,martinez1 entitled3 8,national ,debts of the ,world4 ,,ix4 ,public ,debt of ,argentina40 ,this ,government cast its eyes over the empty surface of the vast ,argentine territory2 it saw immense wealth unexploited1 for lack of the necessary elements2 it realised its great need of material progress1 and understood1 with a just and clairvoyant judgment1 that of all these needs the most urgent were the construction of a port for the exchange of products with the outside world1 the instalment of a water supply which would ensure health to the inhabitants1 and the establishment of villages along the line of the new frontier1 serving as desert outposts1 and constituting a military pale to withstand and confine the irruptions of the savage ,indians4 ,for the realisation of these then important undertakings of public utility the ,government of #ahbb resolved to obtain the necessary resources1 by raising a loan of a million sterling1 giving as consideration a dividend of #f per cent4 and an annual redemption of #a per cent42 the ,house of ,baring to act as agents for the loan4 ,unhappily the executive power employed the resources furnished by this transaction in founding a bank which had a very short existence1 and the intended public works were not effected4 ,more than half a century elapsed before their realisation4 ,the loan was issued in #ahbd1 and was taken up in entirety at a discount of #cj per cent41 so that the ,government received #gjj1jjj4 ,for many years1 at the time of the ,rozas tyranny1 and during the ensuing period of national dissolution1 the payments on this loan were suspended2 not until #ahef1 when the tyranny was overthrown and the ,argentine nation reconstituted1 did the ,government of ,buenos ,ayres instruct ,norberto de la ,riestra to come to an understanding with the creditors1 and to offer them the punctual payment not only of the future dividends1 as they fell due1 but also of all those overdue1 on deferred stock at #aas4 #b;d41 at #b per cent4 interest1 with an annual redemption of #a_/b per cent4 ,this debt is today extinguished1 and has left no traces on the budget4 ,the second loan contracted by the nation after its reorganisation was intended to cover the expenses of the war to which it had been unreasonably provoked by the tyrant of ,paraguay in #ahfe2 and this loan has also disappeared from the ledger of the public debt4 ,the third national loan was contracted in #ahgj1 the sum being #a1jdb1igh1 under the ,presidency of ,seor ,sarmiento2 and the capital was required for the accomplishment of public works4 ,this loan and that preceding it were finally converted into others which carried a lower interest4 ,then these transactions were followed by others1 of which we will briefly enumerate the details4 ,the railway loan1 authorised by the law of the #bnd of ,october #ahhj1 was to raise the sum of #ab1jjj1jjj2 a sum required for the extension of the ,central ,north ,railway as far as the town of ,jujuy1 the ,andean line as far as ,san ,juan1 and for the branch line to ,santiago de l',estero4 ,it bore #f per cent4 interest1 with an annual redemption of #a per cent4 ,it was issued in ,london1 in ,june #ahha1 for the amount of #b1dej1jjj1 at a price of #ia per cent4 ,the loan entitled 8,the ,public ,national ,funds10 which was decreed by the laws of #abth ,october and #bhth ,june #ahhc1 enabled the ,government to pay for the shares in the ,national ,bank 7to-day in liquidation71 which it had acquired4 ,this loan1 bearing #e per cent4 interest and #a per cent4 redemption1 was issued in ,may #ahhd1 by ,baring ,brothers1 at a discount of #hde per cent41 and amounted to #a1fhc1ajj4 ,the loan entitled 8,harbour ,works of the ,capital10 authorised by the law of #bgth ,october #ahhb1 was contracted for the construction of the new harbour which the city of ,buenos ,ayres required for the development of her foreign trade4 ,an issue of #bj1jjj1jjj in gold was decreed1 bearing #f per cent4 interest1 with #a per cent4 redemption4 ,the 8,public ,works0 loan was created by the law of #bast ,october #ahhe2 its amount was #h1djj1jjj1 and its object the unification of certain loans required for various undertakings4 ,the shares bore #e per cent4 interest with an annual redemption of #a per cent4 ,the sum issued was #h1ccc1jjj1 of which #d1jjj1jjj was placed in ,london1 in ,january #ahhf1 at #hj per cent41 and the remainder in ,january #ahhg at #he-a_/b per cent4 ,this loan was guaranteed1 as far as the interest was concerned1 by the customs revenue1 and the representatives of the investors had on this pretext reserved certain rights of control over the administration of this revenue4 ,the 8,central ,northern ,railway ,loan0 was divided into two series4 ,the first1 authorised by the law of #ith ,october #ahhf1 was of #d1jjj1jjj2 but of this sum only #c1ifh1bjj was issued1 as follows3 to ,london1 in ,june #ahhg1 #a1cjj1jjj at #iae per cent42 in ,april #ahhh1 #a1ejj1jjj at #id per cent42 in ,may #ahhi1 #a1afh1bjj at #ig per cent4 ,the second series1 authorised by the law of #cjth ,october #ahhi1 amounted in all to #c1jjj1jjj1 of which only #b1igf1jjj was issued4 ,the two loans bore an interest of #e per cent4 and a redemption of #a per cent42 they were contracted to allow of the prolongation of the ,central ,northern ,railway4 ,the 8,national ,bank0 loan1 created in virtue of the law of #bnd ,december #ahhf1 authorised an issue of #b1jeh1bjj1 to enable the ,government to pay the debt which it had contracted towards the said ,bank4 ,the bonds were issued at #ij per cent42 they bore an annual interest of #e per cent41 with a redemption of #a per cent4 ,the 8,treasury ,bonds ,conversion0 loan1 authorised by the law of #bast ,june #ahhg1 was employed1 as its description indicates1 in the consolidation of a debt contracted for a short term4 ,the issue required was #e1jgh1ccj paper1 but only #fbd1jjj was actually realised4#ajc ,the stock carried an annual revenue of #e per cent41 with #a per cent4 redemption1 while the old ,treasury ,bonds have an interest of #i per cent4 ,footnote #ajc3 ,the sum of #e1jgh1ccj is equivalent at the present discount of paper to #ddf1hgc2 in #ahhg the value of the paper piastre was higher4----,,trans4 ,the loan contracted by virtue of the law of #aeth ,august #ahhg was intended to balance certain debts on the part of the ,national ,government towards the ,government of the ,province of ,buenos ,ayres4 ,the issue was one of #c1igc1gjj1 the interest being #d-a_/b per cent4 and the redemption #a per cent42 it was taken up at #ij per cent4 ,the 8,conversion of ,debts0 loan1 at #f per cent41 contracted in virtue of the law of #bnd ,august #ahhh1 was an operation of consolidation and reorganisation of debts4 ,the issue amounted to #e1bij1jjj4 ,the bonds1 which yielded #d-a_/b per cent41 with #a per cent4 redemption1 were negotiated in ,london1 in ,february #ahhi1 at #ij per cent4 ,the 8,conversion of ,hard ,dollars0 loan was issued in virtue of the law of #bnd ,july #ahhi1 which authorised an issue of #b1fjj1jjj to be applied to the conversion of debts contracted in hard piastres4 ,the new stock was to yield an interest of #c-a_/b per cent41 with #a per cent4 redemption4 ,the issue actually amounted to #b1fei1ejj4 ,the 8,consolidation ,loan0 7authorised #bdth ,january #ahia7 was one of the most important credit transactions ever effected in the ,argentine ,republic3 a transaction which evokes memories of a critical period which we ought briefly to recall4 ,when ,signor ,pellegrini's ,government came to power1 on the #fth ,august #ahij1 the country was suffering from a political upheaval1 and at the same time was entering upon a time of severe financial crisis1 8the most violent1 the most desperate crisis which has ever afflicted the ,republic1 and put its honour to the test10 according to the words of ,vincenzio ,lopez1 the eminent finance ,minister of that administration4 ,the ,treasury had exhausted its resources1 in order to increase and support the funds of the ,national ,bank1 whose debt to the ,government amounted to #dg1dia1dhcajd in paper1 and #b1ebh1bbd in gold1 while its debt to foreign creditors amounted to #c1gjh1jcg1 and to home creditors #b1cbh1hjj4 ,footnote #ajd3 ,this amount is not reduced to gold1 the rate of exchange not being fixed at the time4----,,trans4 ,if the situation of the ,national ,bank1 which served as the ,government's treasury1 was serious1 that of the ,national ,mortgage ,bank and that of the ,city of ,buenos ,ayres were no less grave4 ,the first owed #a1fij1hcc in paper and #aaa1dge in gold in dividends1 and the second was drained dry by its debts1 amounting to #cd1fdf1ecc paper and #ib1cci gold at home1 as well as #a1ifj1jjj abroad4 ,from the outset the ,government concentrated all its efforts upon the solution of these three grave problems4 ,it proposed the reconstitution of the ,national ,bank2 it would enable the ,mortgage ,bank to continue operations1 chiefly by repaying the advances which it had made to the ,state2 and assist the ,city of ,buenos ,ayres to meet its engagements in respect of the interest of the foreign debt1 constraining it to collect and employ the municipal revenues in a more methodical manner4 ,the prime object of this important transaction was 8to give the country a period of economic repose1 by provisionally suspending the removals of metallic currency for the liquidation of the nation's foreign engagements10 as the ,government declared in the message which accompanied its proposal4 ,to achieve this end1 the creation of a consolidation loan was proposed1 amounting to #ab1jjj1jjj1 and increased later on to #ae1jjj1jjj upon the advice of the lenders1 the result being destined1 for a period of three years1 for employment in paying the interest on the nation's loans and in relieving the ,treasury of the burden of guaranteeing the dividends of the railways4 ,in accordance with agreements concluded between the ,government of the ,republic and the banking houses which undertook to negotiate the loan1 the banks undertook to accept1 during a period of three years1 as consideration for the debt1 and for the effectual guaranteeing of the railways1 bonds of the loan itself2 and undertook1 moreover1 to accept them at par4 ,the issue each year was to be proportional to the sum necessary to pay the interest on the debt4 ,the nation1 on the other hand1 undertook to set aside for the payment of the interest on the said loan #f per cent4 of the customs receipts1 which were subjected to a monthly levy of the amount required1 the amount affected by the prior rights of the loan of #ahhe being deducted first4 ,the nation also engaged not to increase its foreign debts1 whether by borrowing or giving guarantees1 during the three years fixed for the issue of the loan4 ,the total amount authorised was #ae1jjj1jjj1 the interest #f per cent41 and redemption was to commence at the end of three years1 to be completed in thirty years4 ,coupons could be paid to the ,state in settlement of customs duties4 ,of the above nominal sum1 only #g1fia1gbe was actually raised1 #g1cjh1bge remaining unissued for the following reasons3---- ,under the administration of ,seor ,saenz ,pea1 when ,seor ,romero was installed in the ,ministry of ,finance on the #abth ,october #ahib he found the ,consolidation ,loan in process of issue1 the stock being sold at need1 the #f per cent4 bonds being guaranteed by the customs receipts2 they were then selling in ,london at about #fc per cent4 ,seor ,romero estimated that if the system of paying debts by means of debts is generally a ruinous one1 it was especially so in this case1 where the transaction was being effected by means of bonds so badly depreciated as those of this loan4 ,the first important act of this ,presidency was to make an arrangement with the representatives of the bearers of the foreign debt1 by which they consented to a reduced interest for five years----that is1 until #ahih----the redemption charge being suspended simultaneously4 ,in the following years1 from #abth ,july #ahih to #abth ,january #aija1 the full interest alone was to be resumed1 and from #aija the payment of the redemption charge would also be resumed4 ,as a consequence of this arrangement1 it was decided to issue no further stock of the loan1 even in cases where the issue was authorised3 as1 for example1 in the effective guarantee of railway stock4 ,holders of the latter would receive payment on the basis of the price at which the shares were quoted4 ,this is why the ,consolidation loan issue of #ahia was confined to the sum already cited4 ,the 8,travaux de salubrit10 or ,water ,supply and ,drainage loan1 authorised by the law of #cjth ,january #ahia1 to the extent of #f1gej1jjj1 in bonds bearing #e per cent4 interest and #a per cent4 redemption1 was created under the following conditions3---- ,the ,government of ,seor ,juarez ,celman1 which preceded that of ,signor ,pellegrini1 was inspired by the ,spencerian doctrine1 which asserts as a principle that the ,state is always a bad administrator1 and fell into financial and administrative errors which were to cost the country dear indeed4 ,thus it resolved to place in the hands of individuals all the industrial enterprises undertaken by the nation1 among which was the scheme for supplying the city of ,buenos ,ayres with water and facilitating the elimination of its filth and sewage4 ,every one very soon saw1 however1 that a serious mistake had been made4 ,the individual firm entrusted with these important services was exclusively preoccupied in exploiting the public1 and its methods resulted in protests and resistance on the part of the inhabitants of ,buenos ,ayres4 ,on #fth ,august #ahij1 the ,government1 ,pellegrini being president1 came to the conclusion that it was its duty as an administration1 and was also a matter of political efficiency1 to place the sanitation works in the hands of the ,state once more2 and with this object it obtained an authorisation to contract a loan of #f1gej1jjj1 at #e per cent4 and #a per cent4 redemption4 ,such was the origin of this loan1 of which stock to the value of #f1cgd1iie was issued4 ,the 8,rescission of ,railway ,guarantees0 loan1 authorised by the laws of #ajth ,january #ahif and #cjth ,december #ahih1 was contracted to disburthen the ,state of the heavy obligations which weighed upon it as a result of having guaranteed an interest of #f per cent4 on enormous capitals employed in the construction of railways4 ,with this object #aa1fii1ieg worth of stock was created1 and issued at #d per cent4 and #a_/b per cent4 ,the loan for the 8,conversion of ,provincial ,debts10 created by the law of #hth ,august #ahif1 was justified by the highest considerations of national solidarity1 and of the defence of ,argentine credit abroad4 ,the enormous debts contracted by the ,provinces1 unauthorised and uncontrolled by the central power1 quickly resulted in a veritable bankruptcy1 at the end of a period of waste and folly1 of unchecked and uncalculating expense4 ,the nation1 which had in no way intervened in the matter of these loans1 and had contracted no obligations whatever on their behalf1 might strictly have refused to accept any responsibility for such heavy liabilities2 but it is indubitable that the insolvent condition of the ,provinces in the ,european markets might have affected the credit of the nation1 the latter being1 in foreign eyes1 involved in all these individual failures4 ,what ,president ,quintana said in his inaugural address on the subject of the peace of the ,provinces1 which is also the peace of the ,state1 may also1 with no less reason1 apply to credit4 ,on the other hand1 the nation could not remain indifferent to the precarious situation created by the suspension of payment in the ,provinces4 ,as practically all their revenues were already pledged1 so that they could not pay interest on their debts for many years1 the legal action of their creditors might fetter their administrations1 oppose serious obstacles to the development of their sources of wealth and production1 and1 in short1 inflict serious damage upon the entire country4 ,these very serious considerations decided the public powers to lend the ,provinces their aid1 so that the latter might make equitable arrangements with their foreign creditors1 and as far as possible free themselves from such heavy liabilities4 ,these arrangements were for the most part effected by exchanging the #d-a_/b per cent4 stock of interior debt which the ,provinces promised against #d per cent4 stock of the foreign debt1 which the nation remitted to the creditors of the ,provinces4 ,the total of these provincial debts amounted to #cj1cee1aij1 and the nation1 for the complete liquidation of the same1 gave #d per cent4 stock1 bearing a redemption charge of #a_/b per cent41 to the value of #ag1aii1hii4 ,the interest and annual redemption charges of this stock amounted to #ggc1iie4 ,on the other hand the nation acquired by this arrangement #d-a_/b per cent4 stock of the loan known as the ,guaranteed ,banks loan to the value of #i1age1bcc1 the interest and redemption charge 7of #a per cent47 amounting annually to #ejd1fch4 ,adding to this sum that of #bcb1jjj1 as the contribution of the ,province of ,buenos ,ayres1 and #ea1bbj furnished by the ,province of ,entre ,rios1 we have a total of #hbg1heh annually4 ,the exchange of the internal against the external debt thus produced a temporary profit of #ec1hfc per annum2 we say temporary1 because the #d per cent4 stock has a later date of redemption than the #d-a_/b per cent4 ,the 8,conversion of ,municipal ,stock0 loan1 authorised by the laws of #beth ,september #ahig and #aeth ,december #ahih1 was raised1 to the extent of #a1edj1jjj1 by the issue of stock at #d per cent4 and #a_/b per cent4 ,the result of this issue was destined to pay what still remained owing to the creditors of the ,national ,bank in liquidation4 ,the law of #eth ,january #ahii authorised a loan of #f1jjj1jjj1 intended to balance the debts of the ,public ,treasury2 the alcohol duty being offered as guarantee to the extent of #hjj1jjj per annum2 but hitherto the loan has not been negotiated1 and there is no longer any question of this issue4 ,such1 briefly detailed1 are the antecedents of the various foreign loans contracted by the ,argentine nation4 ,as for the domestic consolidated debt in #aije1 it was the object of a complete reorganisation1 so that to-day the history of its origins is not of much practical interest4 ,it amounted1 on #ast ,january #aiji1 to #g1fci1gfj in gold and #i1aii1eha in paper1 of which #f1ijj1jjj was in gold and #g1gjj1jjj in paper in #e per cent4 stock1 #gaj1fbj in gold in #d-a_/b per cent4 stock1 and #hhj1jjj in paper in #f per cent4 stock4 ,this gives us a total 7in gold7 of #af1hci1cda1 on which the charge in interest and redemption absorbs an annual sum of #a1jjd1dde4 ,here is the analysis of the internal debt3 ,,internal ,,debt1 #ast ,january #aiji4 ,gold4 ,paper4 ---------_/------------ ------------_/------------ ,stock in ,interest and ,stock in ,interest and ,circulation4 ,sinking ,fund4 ,circulation4 ,sinking ,fund4 #f per cent4 loan1 ---- ---- #hhj1jjj #eh1jhj #e per cent4 loan1 #f1ibi1adj #dbb1ajj #ah1ijh1adj #a1aaj1hih #d-a_/b per cent4 loan1 #gaj1fbj #dj1gej ---- ---- -------------------- ---------------- ----------- -------------------- ,totals #g1fci1gfj #dfb1heb #ai1ghh1adj #a1afh1igh -------------------- ---------------- ----------- -------------------- ,as we explained in our first edition1 the first action of the ,government which assumed power in ,october #aijd was to convert the various loans of the internal debt1 which bore an interest of #f per cent41 and amortisation charges of #f1 #d1 #c and #b per cent41 into one single loan at #e per cent41 with a redemption charge of #a per cent4 ,this operation gave the following results3 ,the amount of #f per cent4 stock1 including ,national ,bank stock1 amounted to #e1hhh1hha1 or #ff1iah1cjj paper4 ,of this total #ej1had1jjj1 or #d1dga1fcb were converted in the ,argentine and #ffd1hhd in ,europe1 or in all #e1acf1eaf2 the balance then amounting only to #gcj1ahd4 ,the result was that the average price obtained for converted stock was #hg4ei per cent41 and for unconverted stock #ab4dj per cent4#aje ,footnote #aje3 ,the following figures relative to the ,argentine foreign loans taken from the ,investment ,handbook of the ,international ,stock ,exchange1 may interest the reader4----,,trans4 ,argentine #e per cent4 ,stock 7#ahhf-g73 ,authorised1 #h1bij1ajj3 issued or subscribed1 #f1cjf1ejj4 ,price on #ast ,january #aiaj1 #aje-a_/b4 ,argentine #d-a_/b ,sterling ,loan 7#ahhh-i73 ,authorised1 #e1bfc1efj2 issued1 #d1cbb1jfj4 ,price on #ast ,january #aiaj1 #ajj4 ,argentine #c-a_/b per cent4 ,external ,bonds 7#ahhi73 ,authorised1 #b1fci1ejj2 issued #a1ibc1afj4 ,price on #ast ,january #aiaj1 #hj4 ,argentine #d per cent4 ,railway ,rescission 7#ahie73 ,authorised1 #aa1fjg1ajj2 issued #aj1bje1ajj4 ,price on #ast ,january #aiaj1 #ig-a_/d4 ,argentine #d per cent4 ,gold ,bonds 7#aijj73 ,authorised1 #b1hbh1eae2 issued1 #b1geb1hee4 ,price on #ast ,january #aiaj1 #ia4 ,argentine ,cedulas1 ,series ,b4 7#ahhf74 ,these are certificates to bearer issued by the ,national ,mortgage ,bank in lieu of cash lent to borrowers on real estate4 ,they were first issued in #ahhf1 when a total of #ej1jjj1jjj was issued in three series1 ,a1 ,b1 and ,c4 ,they are redeemable by sinking funds of #a per cent41 and under ,article #fj of its organic law the ,national ,mortgage ,bank has to add to these funds the sums in cash received from its debtors on account of advances of capital or sale of properties4 ,cedulas are guaranteed by the nation4 ,in circulation1 #cast ,august #aiji1 #a1age1bej4 ,cancelled4 #ac1hbd1gej4 ,interest1 #g per cent4 ,prices have varied from #bd-a_/d to #dh-c_/d4 ,price on #ast ,january #aiaj1 #dd-a_/b4 ,buenos ,ayres ,water ,supply and ,drainage ,bonds 7#ahib74 ,authorised1 #f1cbd1djj4 ,present amount1 #e1fbj1hbj4 ,the operation of the ,sinking ,fund in ,january #aiaj will further reduce this amount4 ,prices have varied from #eb-c_/h to #ajf4 ,price on #ast ,january #aiaj1 #ajf4 ,buenos ,ayres ,sterling ,bond #c to #c-a_/b per cent4 ,authorised1 #aj1bif1jjj2 issued1 #i1gif1jjj4 ,price on #ast ,january #aiaj1 #fi-c_/d4 ,although the ,minister who effected this operation1 exceeding the advice of competent persons1 or rather defying their judgment1 took it upon himself to issue a fervent panegyric of his transactions in an official document1 we none the less consider that the fundamental defect of this conversion lay in having largely reduced the amortisation rate of some of these loans1 bringing them down from #f per cent41 #d per cent41 #c per cent41 and #b per cent41 to a uniform rate of #a per cent42 as the sinking-fund1 as a general thing1 in the case of all financial administrations1 and especially of those of a country without any great experience of government1 is a restraining factor1 a limit which ,governments and ,parliaments impose upon themselves1 in order not to spend all they collect4 ,without this money-box1 this 8woollen stocking0 of ,governmental savings1 as ,m4 ,neymarck called it1 it is certain that there would be no trace in the ,argentine ,treasury of all the millions it has paid in amortisation during the last few years2 so that the present generation would have cast upon the shoulders of the coming generation a far heavier burden than that the latter will inherit as things are4 ,returning to the external debt1 we may state that among the loans which figure in the national liabilities are eight1 with a capital of #bc1cej1aci1 at #e per cent4 interest2 two1 with a capital of #g1fig1bfc1 at #d-a_/b per cent42 eleven with a capital of #bi1hdj1cae1 at #d per cent41 and one of #b1jjd1gaj at #c-a_/b per cent4 ,the public debt1 external and internal1 amounts to the following3---- ,external debt #fb1hib1dbh ,internal debt #af1hci1cfe ----------- #gi1gca1gic ,let us see to what extent the interest on this debt weighs upon the ,budget3---- ,external debt #c1gid1dcf ,internal debt #a1jjd1dde -------------------- ,total on #ast ,january #aiji #d1gih1hha -------------------- ,in the tabulation of the foreign debt we have not included the new loan of #aj1jjj1jjj1 the stock being known as 8,argentine ,internal ,credit1 #aiji10 bearing #e per cent4 interest and a #a percent4 consolidated sinking fund1 which the national ,government has just raised in ,europe4 ,this loan1 which was readily taken up1 was divided in the following proportions3 ,england1 #b1ifj1jjj2 ,france1 #c1bjj1jjj2 the ,united ,states1 #b1jjj1jjj2 ,germany1 #a1fdj1jjj4 ,taking this new loan into account the total of the external debt is #gb1hib1dbh4 ,the various amounts of interest payable on the whole ,national ,debt1 external and internal1 converted into gold at the rate of #ds4 per piastre1 represent a total of #d1ggh1hhb4 ,as we have stated before1 this burden does not weigh exclusively on the ,treasury2 we must deduct from it the interest paid by the ,provinces and the ,national ,bank1 or1 a sum of #fhg1fbh1 so that the interest paid by the nation amounts in fact to #d1aaa1bec4 ,comparing this figure with the total of the general budget1 we find that the interest on the ,national ,debt amounts to #becd per cent4 of the total expenditure1 of which #bbc per cent4 weighs exclusively on the nation4 ,finally1 we must not forget that large sums included in the budget are paid into the sinking fund at a rate which should rapidly decrease the debt2 a factor which evidently must be reckoned as a compensation4 ,in the face of this enormous debt are we to conclude1 with certain authors of repute1 that when the payment of the interest on the public debt absorbs more than #dj per cent4 of a nation's revenue1 that nation is in the most serious situation1 not far removed from bankruptcy8 ,certainly the theories of these gentlemen are based upon valuable data1 which are deduced from the science of finance1 or taken from the actual examples of certain nations2 but it is also certain that these theories have been formulated with the mind directed toward ,european countries1 in which population1 wealth1 and all the phenomena of social life are evolved in a slow and harmonious manner2 but for countries like the ,argentine1 countries with enormous natural resources1 subject to sudden increases of wealth and population1 where all manifestations of progress are abrupt1 such theories are not true4 ,again1 in order to estimate justly the extent to which this debt weighs upon the nation1 we must take account of the special conditions under which this debt was created2 a factor which makes international comparisons difficult4 ,it is not enough to know only the total of the ,national ,debt in order to comprehend the financial position of a ,state2 for it may well happen1 as in the case of ,australia1 that the capital of the loans forming the debt has been employed in productive work1 the yield of which contributes to increase the ,treasury receipts4 ,neither can the amount of debt per inhabitant give us a true idea of the financial vitality of a country2 for just as a given burden may crush one man1 while another can bear it with ease1 so1 according to the physical resources of either1 one nation may support a debt with ease which would utterly overcome another4#ajf ,footnote #ajf3 ,m4 ,alfred ,neymarck has shown how broken a reed is any argument based upon the amount of debt per inhabitant1 and how void of any scientific basis4 8,we have successively passed in review the various countries of ,europe1 and by basing our arguments upon facts and exact figures we think we have demonstrated that in the evaluation of a nation's credit1 of the price of its stocks and their rate of capitalisation1 the figure #8per inhabitant' has no value and no significance4 ,such statistics1 which are more or less used everywhere1 in ,france and abroad1 by force of habit and routine1 are absolutely incorrect and incomplete2 they have only one sure result3 they infect the spirit of judgment of those who rely on them40----,in the journal ,le ,rentier1 for the #gth1 #agth1 and #bgth of ,september and the #gth of ,october #aijd4 ,the weight of the ,national ,debt must be estimated by its relations with the economic system and the conditions of national development4 ,for example1 in making such an estimate with regard to the ,argentine debt1 we find that side by side with the increase of this debt there is a notable increase of the national wealth1 which should keep all creditors tranquil and satisfied as to the liquidation of the obligations contracted towards them on the part of the ,state1 although these obligations might at first sight appear out of proportion to the means of the ,state4 ,if we take1 as a mark of national wealth1 the value of products exported1 we have the following figures to go by3 between #ahij and #ahii the value of the ,argentine exports rose from #bj1afc1fjj to #cf1ihc1bjj4 ,in #aijc it amounted to #dd1jjj1jjj2 in #aijd to #eb1hjj1jjj2 in #aije to #fd1djj1jjj2 in #aijf to #eh1djj1jjj2 in #aijg to #ei1bjj1jjj2 and in #aijh to #gc1bjj1jjj4 ,side by side with the exportable products the revenues of the nation have also achieved an extraordinary expansion1 which has enabled the ,government to complete important public works1 to perfect its administration1 to acquire and equip the first fleet in ,south ,america1 to spread primary and secondary education through its territory1 and to push its civilising agencies to the utmost limits of the country4 ,in #ahih the ordinary gold receipts rose to #f1daf1ddj1 while in #aijc they amounted to #h1hgi1dbj1 and in #aijd to #i1cde1gjh3 but in #ahii there existed additional importation duties1 which are now suppressed4 ,in #aijg the receipts in gold amounted to #ab1ijj1jjj1 and in #aijh #ac1fjj1jjj4 ,the same increase is to be observed in the receipts collected in paper money4 ,in #ahih they amounted to #d1bja1die2 in #aijc to #e1gji1gdi2 and in #aijd they rose to #f1jhf1gec1 although the duty on wine had been removed during the first half of the year4 ,in #aijg these receipts amounted to #h1caf1jjj1 and in #aijh to #h1gef1jjj2 figures which represent an enormous progress4 ,thus a country in which the national resources and those of the ,exchequer increase in so rapid a progression1 is evidently in a position to support1 without much anxiety as regards the future1 the burden of its ,national ,debt1 however enormous the latter might appear4 ,but such considerations must not1 of course1 incite the ,administration to violate the financial principles of method and economy1 nor lead it to increase the public expenditure at an unjustifiable pace1 in order to meet parasitic requirements1 or satisfy electoral demands4 ,what gives rise to such fears is that when there is need for works of a certain degree of importance1 such as would give a stimulus to the material progress of the country1 or at least to endow the country with new buildings and constructive works1 the budget never comes to the rescue1 and the end is always an issue of internal stock4 ,of late years the ,republic has enjoyed a pastoral and agricultural yield such as it has never seen in its economic existence4 ,this double yield1 the result of energy favoured by climate1 was not only remarkable for abundance1 but the prices which it commanded in the international markets were the highest that have ever been known up to the present4 ,all would seem to indicate that in consequence of this abundance the ,argentine ,treasury would overflow with money2 that it would be in a position to meet all the current expenses of administration1 and also many of the extraordinary expenses which are demanded by a nation in process of formation for the stimulation of its material progress4 ,unhappily it has not been so4 ,the ordinary revenue1 like the national production1 has exhibited a marvellous elasticity3 but in spite of that it has not been enough to cover the ordinary expenses4 ,turning from the shadows that obscure the picture of the financial and economic situation1 we may1 in spite of all1 conclude that investors who have placed their capital in ,argentine loans may be fully reassured that the interest will be scrupulously forthcoming4 ,although the majority of the loans have been employed in other ways than those intended at the time of their issue1 it is none the less true that by their aid certain works of national utility have been effected1 which could not have been realised without such resources4 ,to cite only two1 let us recall the fact that the nation has spent #aj1igf1cjd in the construction of railways2 while the ,buenos ,ayres ,water ,supply and ,drainage ,works absorbed #f1ecj1jjj4 ,again1 as the great ,argentine financier ,seor ,tornquist has said1 we must not forget that although the country avoided a war with ,chili it was only by allowing #ae1jjj1jjj to be swallowed up in ships and armaments2 and this was done without recourse to the outside world for loans1 after not less than #d1jjj1jjj had been absorbed by military preparations in the interior4 ,these sums1 representing nearly a quarter of the present debt1 were spent to avoid a fratricidal war1 which would have cost us ten times as dearly4 ,apart from the fruitful application of loans1 the creditors of the ,argentine must also consider the sacrifices made by various ,governments to defend and uphold the financial credit of the ,republic4 ,the service of the first loan contracted by the nation----that of #ahbd----was1 as we know1 suspended during the melancholy period of tyranny and national dissolution2 but hardly was the ,argentine family reunited1 hardly was a regular ,government established1 when the latter hastened to resume the liquidation of the liabilities which had been contracted4 ,president ,avellaneda1 in a solemn moment1 has eloquently recalled the facts3---- 8,there is a new nation in the process of birth1 possessed of the sentiment of its own greatness2 either by a puerile hallucination or by the revelation of its destiny4 ,it has barely formed a ,government2 but already it imagines vast schemes2 it asks and obtains money from ,london2 for capital1 although she is represented as hard and having no bowels of compassion1 knows often a sudden tenderness for dreams4 8,but the dreams of this people are quickly destroyed3 then follows anarchy1 with its long and lamentable lapses of self-knowledge3 anarchy1 into which young societies fall1 by the very weakness of their native elements2 until at length they are seized by the iron hands of tyranny1 as was indeed the fate of ,argentina4 ,and a tyranny that endured for twenty years6 ,wretched nation6 ,unhappy ,argentina6 ,her voice was all but dumb1 failing in the depths of that abyss6444 8,the bonds of that debt were quoted on the ,london ,exchange2 but in time they were quoted no more1 for they had at length lost all value2 even their name was erased4 ,a day came1 however1 when the children of ,argentina's creditors went to search for their bonds among forgotten papers2 and the bonds were redeemed4 ,for many that was a day of legitimate surprise2 the bearers had offered their paper to their debtors at any price2 but now they were told that they would receive its written value4 ,it was enough for them that they should be paid in future2 but they were told that even the arrears of interest and amortisation should be arranged by means of new stock1 which was known as ,deferred ,bonds4 8,when1 among its assets1 a nation possesses such a trait in its life as this----a trait unique in the financial history of the nations----it has the right to hold its head erect1 affirming its honour and its credit40 ,since that date1 and during thirty-six years1 the country scrupulously paid the interest on its debt1 until the disastrous year of #ahij1 when1 as a result of the financial and political crisis1 the most violent the country had ever suffered1 the payment of the foreign debt began to be a matter of serious consideration for the ,administration4 ,many schemes were proposed to help the ,state tide over that difficult time2 but none of them included the repudiation of the debt4 ,the ,government then at the head of affairs accepted the most onerous of these schemes1 because it was that which was most to the advantage of its creditors4 ,the arrangement then decided on1 known as the ,morituri loan1 or ,morgan loan1 has been the subject of severe criticism2 but one thing was not and will not be debated1 namely1 the noble and patriotic intention which inspired the authors of this transaction1 and resolved them to safeguard the worthy traditions of ,argentine credit4 ,by respecting their foreign liabilities they served the truest interests of their country1 and respected also the spirit of the ,constitution1 which holds that credit1 and foreign credit in particular1 should be the great constitutional resource1 placed in the hands of ,governments 8for the urgent needs of the nation1 or for undertakings of national ability40 ,,chapter ,,iii ,,the ,,double ,,currency ,the persistence of the double currency----,the history of paper money---- ,the origins of the premium on gold1 and its almost continual increase----,the year #ahij and the depreciation of the currency---- ,the causes of this depreciation2 abuses in the issue of paper1 caused by a bad financial and administrative policy4 ,remedies suggested----,rosa's law fixing the value of paper money and establishing a ,caisse de ,conversion----,opposition to this law---- ,its beneficent effect upon agriculture and stock-raising1 which had especial need of a stable medium of exchange----,reserve fund created with a view to converting paper money2 its vicissitudes in the past and its present constitution----,the present monetary situation4 ,in the financial history of the nations there are few examples of countries in which the phenomenon of two standards of currency has manifested itself so persistently and for so long a period as in the ,argentine ,republic4 ,this is one of the gloomiest pages of its past1 on which are recorded all the errors of its rulers1 all the abuses of speculation1 and all the faults of administration whose cost the present generation has been paying since the opening of the twentieth century4 ,since the #bgth of ,may #ahbj1 the date on which the ,junta of ,representatives authorised a gradual issue of paper money1 and another issue of redeemable and endorsable notes1 the latter to be applied to the payment of debts contracted in the name of all the ,provinces during the previous ,administrations2 since #ahbj1 we were saying1 until the present time1 there have been few years indeed during which the ,republic has not been under the empire of a double currency4#ajg ,footnote #ajg3 ,in #ahbj the issue of paper money was #dj1jjj piastres per month1 and that of the notes was the same4 ,our paper money1 says an ,argentine publicist1 originated in an issue of #bij1jjj piastres by the ,banque d',escompte1 created in virtue of a law of the ,province of ,buenos ,ayres1 dated the #bbnd of ,june #ahbb4 ,four years later1 when on the #bjth of ,january #ahbf the ,discount ,bank was transformed into the ,national ,bank1 the issue amounted to #b1fid1hef4 ,when the ,national ,bank was in turn converted into the ,mint1 eleven years later----that is1 on the #ast of ,january #ahcg----the issue had already amounted to #ae1bhc1edj4 ,seventeen years later1 when the ,mint was transformed into the ,provincial ,bank 7#ast ,january #ahed71 the issue amounted to #bjc1iae1bjf4 ,during the twenty-seven years which elapsed between the creation of this bank and the passing of the monetary law of #ahha1 the successive issues of ,national and ,provincial ,governments had increased the mass of inconvertible paper to the sum of #hhb1jga1aef4 ,it was then1 with gold at #bejj per cent41 that the ,government began to recall all this mass of paper1 replacing it by another issue1 of which the one piastre notes exchanged against #be1 or a piastre's worth of the issue which was destined to disappear4 ,this operation1 which at a blow reduced the paper currency to a twenty-fifth part of its original amount1 also brought gold to par4#ajh ,footnote #ajh3 ,see ,las vicisitudes de nuestra moneda jiduciaria en los ultimos #fe aos 7#ahbf-ahij71 by ,f4 ,latzina4 ,in #ahfa the depreciation of paper touched its lowest point3 #bdhc piastre notes were given for #ajj in gold4 ,the premium was thus #bchc per cent4 ,but the reader must not take this to be the only surprise that the history of the double standard has in store2 others1 still greater1 remain to be told4 ,in #ahfb the depreciation was even lower1 the premium reaching #bdef per cent41 and #beef piastre notes being given for #ajj in gold4 ,the premium continued to rule high until #ahfg1 being #befi per cent4 in #ahfc2 #bghd per cent4 in #ahfd1 #beig per cent4 in #ahfe1 and #bdjf per cent4 in #ahff4 ,we stated just now that the ,republic1 during a long period of history1 never escaped from the inconveniences of depreciated paper save practically on two occasions1 which were unhappily of only too short a duration4 ,the first occasion was when ,adolfo ,alsina was ,governor of the ,province of ,buenos ,ayres4 ,the 8,bureau of ,bank ,exchanges0 was established1 its mission being to exchange one piastre in gold against #be in paper1 and vice versa4 ,this ,bureau was in operation from ,february #ahfg to ,may #ahgf1 the date of the suspension of metallic conversion4 ,after this period the value of paper money declined anew4 ,in ,may #ahgf the golden coin was worth #bh piastre notes2 in ,june1 #cj2 in ,july1 #cc2 in ,december1 #bi4 ,in #ahgg the average value of a golden piastre was #bi piastre notes2 that is1 #ajj piastres in gold represented #bijj notes2 in #ahgh the ratio was #cahg2 in #ahgi1 #cbbj2 in #ahhj1 #cjee2 in #ahha1 #bgjf4 ,it was at this time that the second exception occurred1 marking another check to the constant depreciation of paper4 ,in ,november #ahha1 under the ,presidency of ,general ,roca1 ,seor ,romero being ,minister of ,finance1 a law was promulgated establishing a bimetallic standard in the ,argentine4 ,the monetary unit was to be the piastre of gold or of silver2 the first weighing #bd4i grains ,troy1 and the second #chc4h grains1 both being alloys containing nine-tenths of the pure metal4 ,this law also established the metallic conversion of depreciated notes4 ,this operation was a beneficent advance in the economic and financial system of the country2 for by establishing metallic conversion it gave stability to the legal instrument of monetary transactions1 and also contributed to establish an enviable state of affairs during the years #ahhc and #ahhd1 which gave rise to the rosiest hopes for the future4 ,but by an irony of fate the very ,government which had suppressed the double standard found itself forced to re-establish it in ,january #ahhe4 ,it should be remarked that at this time ,seor ,romero was no longer ,minister of ,finance4 ,the country being once more abandoned to the miserable system of inconvertibility1 the depreciation of paper began its downward progress1 recalling the too celebrated case of the assignats1 a case one would have thought impossible of recurrence in time of peace and among a people that had suffered no catastrophe for many years4 ,in ,june #ahhe the premium rose to #ej per cent42 in #ahhf1 it was #ci per cent42 in #ahhg1 #ce per cent42 in ,july #ahhh #ec per cent41 finally1 in #ahhi1 it proceeded by leaps and bounds2 #ej per cent4 in ,january1 it was #ec per cent4 a month later2 in ,march it was #ee per cent41 rising to #abj per cent4 in ,september and ,october1 and #acj per cent4 in ,november and ,december1 despite the empirical measures of alleviation adopted1 amid violent disputes1 by the ,minister of ,finance4 ,thus the ,republic entered on the year #ahij2 a year of grave political and financial disaster4 ,on the one hand was the revolutionary movement1 prepared by the connivance of part of the army and the navy2 on the other hand1 the crushing depreciation of paper1 ending in an absolute catastrophe which affected both public and private fortunes4 ,in the month of ,april of that year the premium increased to #bae per cent42 that is1 #ajj piastres in gold were equivalent to #cae in paper4 ,in ,july1 when the revolution broke out1 it stood at #bag per cent4 ,in ,november the ,government which replaced that which had been attacked by the insurgents prohibited the quotation of gold4 ,nevertheless1 the premium rose to #bbe per cent1 and remained at that figure until ,december4 ,we must remember that1 in spite of the downfall of paper1 the economic vitality of the ,republic had suffered no serious blow2 no war had broken out1 no international complication had occurred2 there was1 in short1 no organic cause to which the premium could be attributed4 ,certainly1 the commercial balance was unfavourable2 but that phenomenon has not the significance generally attributed to it4 ,the true causes of this crushing state of affairs were exclusively of a financial and administrative nature4 ,it was the inevitable result of the manner in which paper money had been issued to serve the needs of the ,government1 and to feed the furnace of speculation4 ,one cannot forget that at the end of #ahhf the total issue of paper amounted to #hj1bea1chj2 that in less than two years it was nearly doubled1 amounting to #adg1ejc1iaa2 while in #ahij the paper currency reached the figure of #aif1hhb1ejj4 ,but this situation1 painful as it was1 could not be suddenly changed for the better2 other causes of a like nature were about to intensify it4 ,the new ,president1 who came into power after the revolutionary outbreak found himself forced1 by various circumstances1 to increase the existing circulation of paper4 ,the new issues amounted to #aej1jjj1jjj4 ,as was only to be expected1 such an issue on the back of the existing paper currency1 which exceeded #aif1jjj1jjj1 could only produce a disastrous fall in paper4 ,its depreciation touched the lowest point in the history of the ,argentine1 or of any other country during the second half of the nineteenth century2 the blackboard of the ,stock ,exchange showed an exchange value of #dfd per cent4 or a premium of #cfd per cent41 in the third week of ,october #ahia4 ,this was the record of monetary depreciation4 ,after #ahib the monthly quotation of gold1 in relation to paper1 oscillated between #cei and #bij in #ahic2 #dcc and #cjg in #ahid2 #cgg and #caa in #ahie2 #ceb and #bff in #ahif2 #cag and #bgd in #ahig4 ,we see from these figures that these conditions are abnormal1 extraordinary2 and yet1 owing to their long duration1 they are almost part of the normal life of the ,republic4 ,it is therefore a matter of interest to study the causes of such phenomena1 in order to decide whether they are inherent in the period of transformation through which the country is passing1 in which case it would be idle to attempt any reform at present1 or whether they can be controlled or checked by the employment of means counselled by science and confirmed by experience4 ,according to the judgment of certain persons who have devoted themselves to the study of economic questions1 the causes which1 in the ,republic1 produce the double standard1 are of a permanent character1 proper to the period of formation through which the country is passing4 ,it is even said that so long as ,argentina has not a capital of her own with which to float herself in the full tide of affairs----such a capital as is the result of years or centuries of prosperity----so long will she be a debtor among the nations1 and the system of the double currency must continue4 ,we ourselves are of opinion that the causes which have produced1 and now maintain the inconversion of the fiduciary currency1 are of a very different character to those implied by the above judgment2 and that if we consider the economic state of the country at the moment when the double standard was established1 we shall find that it was in no way responsible for the phenomenon of depreciated currency4 ,the true cause is the necessities of the ,government2 determined either by factors beyond the range of debate1 such1 for example1 as the eventuality of a foreign war1 or by less justifiable reasons1 such as deficits in the budget and reckless issues of paper4 ,in both cases the printing-presses of the official banks have been set to work1 in order to tide the ,government over a difficult passage1 at the risk of vitiating the instrument of national credit by the efflux of inconvertible paper4 ,those interested should read the history of the first issues1 exposed in a masterly manner by ,seor ,augustin de ,vedia1 in his work on the ,national ,bank2 they will see that the excessive issue of notes cannot be explained or justified by the period of economic formation which the country has passed through4 ,we must search for other causes in order to explain this long and unfortunate period of inconversion1 which lasted1 with a few years' respite2 from #ahbj down to #aije4 ,what1 for example1 were the reasons which determined the premium on gold in #ahhe1 under the first ,presidency of ,general ,roca8 ,was it1 by any chance1 that any economic calamity fell upon the country8 ,were the harvests lost8 or was there a foreign war1 or even one of those revolutionary risings so common among the ,south ,american nations8 ,did the germs of some epidemic invade the country1 decimating the population by disease and poverty8 ,was there any violent and ruinous fall in the market prices of ,argentine products8 ,nothing of the kind befell4 ,the ,government itself1 in the message in which it solicited the ratification of the double standard1 that 8the national production1 the valuation and the degree of culture of the soil1 had consolidated the national credit40 ,the crops were abundant2 and their prices1 in foreign markets1 were more than fair4 ,the ,republic was at peace1 at home and abroad2 thus realising one of the dreams of the paternal administration which directed its destinies4 ,as for the public health1 it suffered no perceptible eclipse in all the ,argentine ,territory4 ,it has also been said that the commercial balances were unfavourable to the ,argentine3 a country at once a debtor and a centre of immigration4 ,and it has been asserted1 too1 that the ,republic suffered from a sudden increase of growth1 without having behind it any reserves of accumulated capital4 ,the affirmation that the depreciation of the currency1 and in consequence the establishment of a double standard1 arose from unfavourable commercial balances1 has no scientific basis and is not supported by precise demonstration4 8,none of the countries which have suffered the misfortune of a depreciated currency have reached that condition purely on account of adverse balances10 as a ,spanish economist1 ,seor ,edouardo ,sans y ,escartin1 has said with justice4 ,all countries have suffered from this evil1 on account of monetary changes1 and the ,argentine is only the latest example4 ,france towards the end of the eighteenth century1 ,england from #agig to #ahba1 ,austria and ,russia since the beginning of the last century1 the ,united ,states from #ahfb to #ahgh1 ,italy since #ahge1 ,paraguay since #ahgj1 and the ,hispano-,american ,republics for the last twenty-five years3 all these countries have suffered from monetary perturbations1 some through the abuse of paper money or the excess of the fiduciary circulation1 others through the variations of the relation of gold to silver4 ,in none of these countries did the crisis take the form of the consequence of unfavourable commercial balances4 ,we find1 in fact1 that it is not the case that economic causes1 resulting either from the formative period the country has traversed1 or from its lack of accumulated capital1 have contributed and are still contributing in the ,argentine ,republic to prolong the system of inconversion2 the causes are exclusively financial and administrative1 as we have already maintained4#aji ,footnote #aji3 ,the famous ,italian economist1 ,eteocle ,lorini1 maintained in a book which he published in #aijb 7,la ,republica ,argentina e i suoi maggiori problemi di ,economia e di ,finanza74 that the ,republic has never possessed money1 but only a simple legal tender or instrument of exchange4 ,having glanced at the circumstances which have determined the state of monetary inconversion which has afflicted the country ever since it became a nation1 we must now examine the remedies which the public powers have suggested in the hope of emerging from this detestable state of affairs4 ,every presidency has declared its firm intention of redeeming or reducing the paper currency in circulation2 but none of them has obtained results that we can really regard as final4 ,of all the attempts to terminate the condition of inconvertibility1 to give stability to the currency1 and to prepare1 in a more or less proximate future1 for the establishment of a sane monetary system1 the most earnest and scientific1 and that which had the happiest results1 was that which emanated from the proposal presented to ,congress in ,august #ahii by the ex-,minister of ,finance1 ,seor ,jos-,maria ,rosa1 which has since then become law3 the present law of the conversion of the fiduciary currency4 ,the scheme of reform of this eminent statesman was worked out on the following basis3---- #a4 ,immediately to fix the rate at which the future conversion would be effected1 in conformity with the actual and contemporary value of the currency4 ,the fixing of a definite rate was necessary in order to consolidate the then existing state of affairs1 to suppress the premium1 and to give transactions a positive basis1 without indefinitely retarding the possibility of conversion2 and also to prepare for the liquidation of old issues1 and to deliver the country to some extent from the gigantic burden of its issues4 #b4 ,to form a large metallic fund to guarantee this conversion and to make it possible for money to become stable during this period4 #c4 ,to maintain a fixed standard by these two means3---- 7a7 ,the creation1 in the ,caisse de ,conversion1 of a bureau operating as an automatic regulator1 in conformity with the tightness or slackness of money1 and according to the necessities of the market2 thus making elastic the paper currency1 the circulation of which might increase or decrease1 on account of the quantity of gold given out in exchange4 7b7 ,the intervention of the ,bank of the ,nation in matters of international exchanges4 ,it was on these lines that the ,minister drew up1 and ,congress adopted1 a law which enacted that the nation should convert1 during a fixed period1 at a convenient time1 the whole fiduciary circulation into ,argentine gold coinage1 at the rate of one paper piastre for #dd centavos of a gold piastre4 ,this same law ordered the formation of a ,conversion ,fund1 with resources which it enumerated2 and finally it established in the ,caisse de ,conversion a bureau for the exchange of paper into gold and vice versa to all who might apply1 at the rate of one paper piastre for 4#dd of a gold piastre4 ,few laws have been so beneficial as this law of monetary conversion was to the ,argentine ,republic4 ,the present prosperous economic conditions of the country are the work of this law2 it constitutes the glory of ,roca's ,government1 which gave it birth and enjoyed its first fruits4 ,yet we must emphasise the fact that this law1 so beneficial to the public1 was at the outset repudiated not only by the ,president1 who1 to avoid subscribing to it1 forced his ,minister to send in his resignation1 but also by the principal organs of the press1 at the head of which was that important journal ,la ,nacion1 and again by the ,professor of ,finance at the ,university----,m4 ,terry----who was all for conversion on a sliding scale2 that is1 for the worst method conceivable1 as by maintaining the condition of instability he would have adjourned the question instead of solving it4 ,but thanks to the rare energy and the intelligent propaganda of ,seor ,rosa1 the sole author of the law1 effectually supported by ,senator ,pellegrini and ,seor ,tornquist1 this important step was accomplished1 despite all the obstacles which barred the way4 ,in a very short time this law1 so strongly opposed before its birth1 produced marvellously beneficial effects upon the economic life of the ,republic4 ,it gave stability to the currency2 that is1 it endowed the ,argentine with one of the greatest blessings a commercial and productive nation can enjoy4 ,to be convinced of this fact it is enough to run the eye over the column of metallic quotations on the ,exchange1 published in the 8,statistical ,annual of the ,city of ,buenos ,ayres40#aaj ,footnote #aaj3 ,annuaire statistique de la ,villa de ,buenos ,ayres4----,the transactions in metallic values effected on the ,buenos ,ayres ,exchange in #ahii 7before the passing of the law71 amounted in value to #aji1hag1aaf1 or #a1bcd1egi1cgj paper1 while in #aijh there were none4 ,any one wishing to exchange gold for paper or paper for gold to-day1 goes to the ,caisse de ,conversion1 where the exchange is effected without any charge4 ,this law has killed speculation on exchange values1 which before it was passed had assumed scandalous proportions1 and went far to developing throughout the country that passion for gambling which is even now a corroding cancer at the heart of the young ,republic4#aaa ,footnote #aaa3 ,as the ,annuaire statistique declares1 in the course of the year #aijh no less than #h1afj1jjj changed hands over the sale and purchase of lottery tickets and betting on racehorses4 ,this is an evil that may grow into a national calamity if nothing is done to arrest it2 and we see with pleasure that the ,government has stated its intention of presenting to ,congress the draft of a law prohibiting lotteries4 ,this law also provided for the formation of a ,conversion ,fund1 which was a powerful factor----si vis pacem para bellum----in the pacific solution of the old frontier dispute with ,chili4 ,this fund amounts to-day to #e1ajj1jjj deposited in the ,bank of the ,nation1 and would1 without this far-sighted law1 have been swallowed up in the whirlpool of administrative expenses4 ,lastly1 the law of monetary conversion has been the salvation of agriculture and stock-raising1 the two chief sources of national wealth1 by preventing the too rapid change in the value of paper1 which is a result that deserves to be considered with attention4 ,the law was promulgated at a time when a large harvest was expected1 and when1 from that very cause1 the depreciation of paper violently increased1 the value falling from #bgh in ,august #ahih to #bjf in ,december of the same year4 ,it is certain that at this rate the depreciation would finally have touched #aej1 to the greater profit of the speculators4 ,what would have happened had the monetary situation altered so rapidly8 ,the ,argentine agriculturalist or stock-raiser1 having paid all the expenses of production with gold at about #cjj per cent41 would have been forced1 by reason of the rapid depreciation of paper1 to sell his products at a price which would no longer compensate him for his increased expenditure4 ,this would inevitably have ruined the producer----that is1 the principal artisan of the national fortune4 ,far from opening up new lands with his ploughshare1 as hitherto had always been the case1 he would have abandoned the land already under cultivation4 ,we need not describe the disaster which would have overcome the country under such conditions as these3 the loss of credit both at home and abroad4 ,the stream of immigration would have been suspended2 emigration1 on the contrary1 would have increased1 taking the form of a veritable exodus1 even of a flight2 and each impoverished and disillusioned emigrant1 as he left the ,argentine1 would have proclaimed that the country was ruined4 ,as a result the ,argentine would have been for years partially depopulated1 or at least deprived of the new recruits which immigration brings in1 and of whom it has such need in order to realise the value of more virgin territory4 ,worse still3 once the harvest was sold1 at prices which could no longer be calculated on the basis of the cost1 gold1 now freed from all restraint1 like a balloon whose mooring is broken1 would have resumed its upward journey4 ,the melancholy spectacle of #ahij and #ahia would have been repeated2 gold would have risen by leaps and bounds1 in contradictory and incalculable rushes1 finally to reach the limits that mean bankruptcy4#aab ,footnote #aab3 ,we remember that gold1 which on the #ith of ,august #ahij stood at #ce per cent4 when a new ,government came into power1 had risen to #dbe per cent4 by ,may #ahia1 and in ,october of the same year touched #dfd per cent42 the highest premium ever known in the long history of the double standard during the last half of the nineteenth century4 ,in the ,united ,states during the war of secession1 the premium on gold rose to #bhf per cent4 only 7on ,july the #dth #ahfd74 ,such are the disastrous results which would have ensued had not the law of monetary conversion come just in time to restrain the rapid depreciation of paper1 and to give money the stability it must possess if it is to be the faithful and precise instrument of commercial transactions1 the common measure of all exchanges4 ,such were the beneficent results which followed shortly upon the operation of the law2 and we can only regret that it has not always been understood and applied with sufficient force by those who were responsible for putting it into practice4 ,the ,governments which have followed since then have not always followed the ideal of economy and scrupulous administration which should ensure the success of this important reform4 ,none the less1 the ,conversion ,fund amounts to-day to #e1ajj1jjj4 ,according to the figures for ,october #aiji the monetary situation of the country may be summed up as follows3---- ,the total of notes in circulation amounts to #fhf1bia1gjd paper1 equivalent to #fj1cic1fgj4 ,the ,conversion ,fund of #e1ajj1jjj in gold1 added to #cd1geb1jeh on deposit in the ,caisse de ,conversion and to the #ad1jgc1eae deposited in the various banks of the capital1 forms a total of #ec1ibe1egc4 ,it follows from these eloquent figures that the fiduciary circulation1 notes1 nickel1 and copper1 is guaranteed in ,argentina by an actual value of #fe4i per cent4 of its total2 the notes alone are guaranteed by #hi per cent4 of gold4 ,unquiet spirits from time to time1 including the enemies of monetary reform1 announce their opinion in the press that this law should be modified4 ,quite lately the well-known journal ,la ,nacion1 which is distinguished by the constancy and fervour with which it attacks this beneficent measure1 has opened its columns to an enquiry1 in order to obtain the opinion of the public1 or at least of persons competent in such matters4 ,happily common-sense triumphed2 the law remains intact1 continuing to benefit the whole national economy4 ,,chapter ,,iv ,,the ,,caisse ,,de ,,conversion ,the principles on which the establishment of this institution is based----,the necessity of a rapid redemption of fiduciary money---- ,the imperfect success of this programme----,new issues of notes---- ,new attributes of the ,caisse dating from #ahii----,the exchange of paper for gold and vice versa----,the development of this system of exchange----,the authority attaching to the ,caisse4 ,among the official institutions which are closely connected with the issue and redemption of paper money1 the ,caisse de ,conversion demands a special place1 on account of the important part which it plays in the financial life of the ,republic4 ,this establishment was created in #ahij1 at a moment particularly critical for the credit of the country1 when the terrible crisis occurred which ruined several banks and resulted in a depreciation of the fiduciary currency which exceeded all expectation4 ,the ,government which presided over the destinies of the country understood that it was necessary1 in order to ameliorate such a situation1 to put some means into practice which should ensure a more gradual movement of paper1 its reduction in no matter what form1 and its future convertibility within a short and definite period1 as the message declared which accompanied the draft of the law submitted to ,congress4 ,in obedience to these excellent principles of financial and banking policy1 it proposed the creation of a ,junta or a special ,directorate1 8independent in its action1 and uniting the necessary faculties for the recovery1 administration1 and application of the elements that must be confided to it for the effectual accomplishment of its important mission40 ,an 8important mission0 it was indeed that was confided to the ,junta by law2 for this body was to see the gradual conversion and redemption of paper money1 supervise the strict execution of all the laws relating to paper money1 and oversee all issues of the same4 ,with the object of effecting1 sooner or later1 the actual and effective conversion of paper money1 the law created a 8,conversion ,fund10 composed of the metallic reserves of the guaranteed banks1 the sums for which these same banks would be debitors on account of the value of stock bought as guarantees1 the public funds issued to guarantee the bank issues1 and all the sums which1 in virtue of other legislative enactments1 might be destined to the conversion of bank paper1 and especially those proceeding from economies made out of the general budgets4 ,the ,executive attached a special significance to this fund1 proposing to use it to great advantage in the future2 if the succeeding ,governments had the wisdom to maintain the elements indispensable to the regular circulation of the national currency4 ,these details prove that the fundamental idea at the bottom of the creation of the ,caisse de ,conversion was that of effecting1 by its help1 and by utilising the resources with which it was endowed1 a rapid redemption of paper money4 ,this intention1 moreover1 was solemnly affirmed at home and abroad when the contract was signed with the ,english bankers for the issue in #ahia of the loan known as the 8,funding ,loan10 amounting to #ae1jjj1jjj2 in virtue of which loan the ,government undertook to withdraw from circulation1 during each of the years #ahia1 #ahib1 and #ahic1 #ae1jjj1jjj in notes1 or #de1jjj1jjj in the three years4 ,unhappily the ,government's good intentions had no practical issue2 the ,caisse de ,conversion1 from the first moments of its existence1 found it impossible to fulfil its object4 ,so the proposal to withdraw #ae1jjj1jjj a year went no further than a beautiful ideal2 it never took definite shape as a reality4 ,in #ahia #a1fif1fgf in paper were burned2 they came from an additional customs duty on certain imports4 ,in #ahib #a1dfc1dbd1 having the same origin1 were disposed of in the same way4 ,besides this a sum of #c1eaa1fjj1 provided by the payments made by the ,national ,bank and the ,bank of the ,province of ,buenos ,ayres on account of #ce1aaf1jjj lent them by the ,government in order to help them out of a greatly embarrassed condition1 was also burned4 ,the balance-sheet of receipts and expenditures drawn up every year by the ,comptabilit ,gnrale records only #a1bdh1jcb as burned in #ahia1 and #c1ehf1bee in #ahib1 or #d1hcd1bhg in two years2 a very different sum to the #cj millions which the ,government had promised to withdraw4 ,thus the ,caisse de ,conversion1 from which the ,minister of ,finance had hoped so much1 failed at its birth1 and as an institution gave no positive results4 ,so it was not necessary1 as the ,minister of ,finance1 ,seor ,v4 ,f4 ,lopez1 pleasantly remarked1 to await the appreciation of future ,governments4 ,but this is not all2 instead of redeeming the promised quantities of fiduciary money1 the ,government which was then directing the destinies of the country----we must believe that it was compelled by circumstances1 which are so often more potent than the human will----the ,government actually found itself forced to increase the total of paper in circulation by emitting1 for various reasons1 further issues of notes4 ,dominated by circumstances1 it issued in #ahij #ce1aaf1jjj1 in order to legalise the excess of an issue delivered to the ,national ,bank and the ,bank of the ,province of ,buenos ,ayres4 ,in the course of the same year it created an issue of #fj millions more1 in order to furnish the ,national ,bank with #be millions1 the ,national ,mortgage ,bank with #be millions1 and the ,city of ,buenos ,ayres with #aj millions4 ,in #ahia it issued #ej millions in order to found the ,bank of the ,argentine ,nation1 and finally #e millions more for the ,mortgage ,bank4 ,in short1 urged by necessity1 the ,government created #aej1jjj1jjj of paper in two years1 which on the top of a previous issue of #afa1gff1eij in paper was naturally followed by disastrous results4 ,the ,government which took charge of the administration in #ahib also manifested1 in its programme1 its firm intention of increasing the value of paper money by its gradual redemption2 an operation which would1 of course1 be the duty of the ,caisse de ,conversion4 ,to this end it included the necessary sums in the budget1 and #hfe1dbf were burned in #ahic and #h1jjj1cid in #ahid4 ,but the results obtained by this measure were far from responding to the hopes which were founded upon it2 although the ,government religiously and with much solemnity1 burned on the #aeth of each month a determined sum of paper money----usually half a million----the value of paper1 far from rising1 fell further and further below that of gold4 ,the ,government finally saw that its plan was useless2 and hastened to explain itself by the mouth of its ,minister of ,finance1 who declared that 8the executive power recognises that the withdrawal of eight millions of piastres per annum cannot fundamentally alter the price of our paper2 but what it does affirm is that this quantity will be sufficient1 provided the production of the country increases1 provided that the exports exceed the imports2 that is to say1 provided that the international balances are in favour of the ,republic40 ,we may say in passing that these two desired factors were realised2 but not the expected advantage1 for the ,government again made the mistake of issuing #ae millions of internal stock1 bearing interest 7#a1cbj1jjj71 while at the same time it extinguished another debt1 also domestic1 which did not bear interest4 ,all these details prove in a conclusive fashion that the original and organic functions of the ,caisse de ,conversion were inverted from the time of its creation2 converting that institution into a factor of depression in all that concerned the paper currency1 instead of being the instrument of increasing its value4 ,after this date the ,caisse operated as a secondary and harmless department of the public ,administration2 leading an almost forgotten existence1 until the year #ahii1 when the law of monetary conversion was passed1 which entrusted it with two missions of great importance1 which were destined to exercise a beneficent influence upon the fiduciary circulation1 and therefore upon the economic life of the ,republic4 ,one of these two missions had as its object the establishment of an office for the exchange of paper into gold and vice versa1 at the rate of #b4bgbg piastres in paper for #a piastre in gold4 ,the other consisted in forming a ,conversion ,fund1 to which more or less important resources were assigned4 ,this fund amounted in #aijb to #b1djj1jjj in gold1 but at a moment when an international complication was believed to be imminent this sum was placed at the disposal of the ,government by authorisation of ,congress4 ,the ,government eventually returned #b1jjj1jjj of this sum1 and since then the fund has constantly increased1 amounting in #aijg to #e1ajj1jjj1 as we stated when speaking1 in the passages relating to the issues of paper money affected by the ,caisse de ,conversion1 of the results of the application of this new law4 ,the law to which we are referring was put into execution on the #ith of ,december #ahii4 ,on that day the first transaction under the new law was effected2 the ,caisse received #ajj piastres in gold1 in exchange for which it returned the equivalent in notes1 in the proportion of #dd centavos of gold to a piastre note4 ,the balance drawn on the #cast of ,december showed the existence of #bib4f in gold4 ,at this same date the fiduciary currency in circulation amounted in all to #bie1adi1gce4 ,let us now look into the operations of the ,caisse de ,conversion after this date4 ,during the year #aijj #ah1cih1ddi 7#c1fgi1fij7 in gold was received2 but as this sum was eventually withdrawn the fiduciary circulation soon reached its former figure4 ,in #aija there was nothing done2 that is1 the ,caisse received no gold4 ,in #aijb scarcely anything was done2 #dbji was received1 and #cfcf was paid out1 leaving a balance of #egc4 ,the operations for #aijb began in ,october1 during which month the ,caisse received #fh1 #abs42 it paid out #fg1 #abs41 so that #a remained4 ,in ,november the takings increased to #adig1 and the outgoings were #adff1 leaving a balance of #ca4 ,in ,december #bfci were taken and #bajb issued1 leaving a balance of #ecg4 ,only in #aijc did the operations of the ,caisse de ,conversion amount to anything4 ,the two principal causes of this state of affairs were1 firstly the settlement of the frontier dispute with ,chili1 a question which had caused serious alarm1 and had resulted in enormous official expenses during the few previous years2 and secondly the size of the commercial balances4 ,bearing this in mind1 it is not surprising that the amount of gold in the ,caisse de ,conversion1 and1 consequently the issues of paper money1 should have commenced to increase and have continued to do so until they reached the proportions which they have since attained4 ,in #aijc #i1bjh1bhd in gold was taken1 and #a1egf1fbe paid out2 leaving #g1fdh1bbi4 ,the busiest months were ,april1 when #b1eai1jdh was taken1 and ,march1 when the takings were #a1gch1cie4 ,the largest outgoings were in ,march and ,july1 amounting respectively to #bci1acc and #bbb1ajd4 ,in succeeding years the metallic reserve of the ,caisse de ,conversion has continually increased1 thanks to the favourable sense of the economic balances of the nation's trade1 and the capital which has entered the ,republic1 to be employed in the establishment of new industries1 or the creation of railways1 tramways1 etc4 ,at the time of writing the metallic reserve of the ,caisse de ,conversion has lately increased to #cd1geb1jeh1 which1 added to the #e1ajj1jjj of the ,conversion ,fund1 gives a total of #ci1heb1jeh4 ,the proportion of these reserves to the paper currency in circulation is to-day #fe4i per cent4 ,according to the law the increase of the metallic balance in the ,caisse de ,conversion has inevitably caused1 as a natural consequence1 the parallel increase of the issues of notes1 nickel1 and silver1 of which the amount in circulation increased to #fhh1agg1iih on #cast ,october #aiji1 or #cic1jbh1bfg more than on #cast ,december #ahii1 the year in which the law of monetary conversion was voted1 and in which the same circulation amounted to #bie1adi1gca4 ,the rapidity with which the emission of paper has increased has caused certain journals1 and especially those which have been prominent in attacking the law of monetary conversion 7whose beneficial effects they were yet powerless to deny7 to raise cries of alarm1 thinking to see in this increase a future economic peril1 or the seeds of a dangerous crisis1 due to the inflation which1 in their judgment1 is produced by such issues4 ,but it is easy to prove that these alarms are not justified from the moment when such issues are guaranteed by a corresponding deposit of metallic currency in the ,caisse de ,conversion4 ,moreover1 a very little reflection will show that one cannot help admitting that this gold1 being the product of the ever-increasing economic balances of the country1 will affect the monetary situation equally if instead of being in reserve in the ,caisse de ,conversion it is to be found in the strong-rooms of private banks4 ,as we may see from these data1 the ,caisse de ,conversion has completely changed its rle4 ,it has abandoned its original function1 which was confided to it by the law2 namely1 the redemption of the fiduciary currency and the re-establishment of the monetary equilibrium when destroyed by excessive issues of paper4 ,to-day this institution is merely a purely mechanical department of the ,administration1 and its functions might be fulfilled1 at any rate theoretically1 by other administrative departments which are closely connected with it4 ,,chapter ,v ,,the ,,balance-,,sheet ,,of ,,the ,,argentine ,,according ,,to ,,the ,,inventory ,,of ,,securities ,,the ,,inventory ,,of ,,movable ,,property ,,or ,,securities----,the capital represented by movable properties1 stocks1 bonds1 shares1 etc41 is the only kind of capital which lends itself to statistics---- ,the great groups of movable properties3 ,national ,funds1 ,railway ,shares1 ,insurance ,companies1 ,foreign ,banks1 ,mortgage ,companies1 and agricultural and industrial undertakings4 ,the nominal amount of capital represented by movable values----,table of the annual revenues of the same1 and the sinking fund---- ,division of this revenue among the different countries having capital invested in the ,argentine4 ,english capital----,the importance of ,english investments in all branches of ,argentine activity----,the benefits of a reaction in favour of ,argentine capital----,french capital2 its small value compared to ,english capital----,german capital and its rapid increase----,approximate valuation of that portion of revenue remaining in the ,argentine1 and of that which goes to the various nations having capital invested in the country4 ,,the ,,balance-,,sheet----,the assets are principally composed of exportation values2 the liabilities1 the value of imports---- ,the revenue of investments exported to foreign countries1 and the total of the sums expended by the ,argentine abroad----,table giving a summarised ,balance-sheet and the balance in favour of the ,argentine----,international exchanges and the importation of gold confirm this favourable situation----,argentine capital will presently play a more important part in the country as compared with foreign capital4 ,,the ,,inventory ,,of ,,movable ,,values ,the time has come to sum up our conclusions1 and we cannot do better than attempt to present the figures of the movements of the capital invested in the ,argentine1 and by stating1 as far as possible1 its yield4 ,we have already had occasion to declare that ,europe has not turned her attention to the young ,south ,american ,republic for sentimental reasons1 nor on account of the beauty of her political institutions nor the splendour of her landscapes4 ,what interests the general public is the extraction of the riches of the ,argentine soil2 the economic and industrial expansion of the country1 and its fitness as a field for investment and original enterprise4 ,to respond to this mental attitude we have thought it proper to undertake a dry and impartial inquiry into the value of the capital invested in the ,argentine1 and the total of its yield4 ,capital represented by movable values is the only factor which has in some sense an official existence which is amenable to control2 it lends itself to statistics sufficiently precise to allow of our estimating1 from this point of view1 the wealth of a country2 and it is consequently in this direction that we may search for a standard with which to compare the favourable estimates expressed in our preceding chapters on the subject of the development and prosperity of the ,argentine ,republic4 ,this inventory will lead us to other data1 which are equally instructive4 ,in reviewing the movable values and in estimating their yield we shall at the same time examine into the general movement of foreign capital and its earnings1 so that we shall be able approximately to state the amount and the profits of the capital invested by the various ,european nations which have dealt with this country4 ,by the aid of these statistics we shall finally see the situation of the ,argentine1 which the results of its foreign trade have shown us only imperfectly1 in its true light4 ,although the country has an extremely favourable commercial balance1 which in #aijh was not less than #bd1jjj1jjj1 this sum has to support enormous charges for the payment of interest on loans placed abroad3 the dividends of railway companies1 of banking houses1 of all manner of land companies1 of commercial and industrial companies1 whose shareholders are abroad1 etc4 etc4 ,these are the sums we are trying to determine1 in order to draw up as exactly as possible the balance-sheet of the ,argentine4 ,this chapter will therefore be devoted to estimating on the one hand what the country owes to foreign capital1 and on the other hand what profit foreign capital draws from its investment in the ,argentine4 ,it is to some extent the current account of ,europe and the ,argentine that we wish to present1 taking as our basis the movable values1 which are the only serious data upon which we can base our inquiry4#aac ,footnote #aac3 ,in this book we make use of the figures which ,seor ,alberto ,martinez communicated to the ,international ,statistical ,congress1 held in ,paris in ,july #aiji4 ,the nominal total of ,argentine movable values subscribed up to the #bast ,december #aijh was #dgd1cif1ice 7in gold71 of which sum #bai1eac1cii represents shares1 #ajd1ejb1afc bonds1 and #aej1cha1egb the public debt of the ,nation1 the ,provinces1 the municipalities1 the capital of ,state railways1 and the capital of the ,bank of the ,nation4 ,if we compare these figures with the inventory of the movable values existing at the end of ,december #aijd1 we shall find an increase of #aeg1agc1eee4 ,but if we take account of the fact that in the first amount the cedulas of the ,province of ,buenos ,ayres figure to the value of #ae1djj1jjj1 while in the second they amount to #aj1djj1jjj only 7the amount of shares admitted to conversion by the ,government71 we see that the difference is considerably greater4 ,this increase does not arise exclusively from the new shares issued by companies created during the last two years2 a large proportion is due to existing companies1 which have at last decided to furnish the information demanded in view of this new inventory4 ,but a certain number of companies still remain outside the inventory1 whose stock would increase the total by #e or #f million pounds4 ,here is the list of the stock in circulation on the #cast ,december #aijh3 ,summary of ,securities in ,circulation on #cast ,december #aijh1 and their ,subscribed ,capital4 ---------------------------------------- ---------------------------------------- --------------------------- ,,shares1 ,,securities ,,etc4 ,shares4 ,debentures4 ,bonds4 ,totals4 ---------------------------------------- ---------------------------------------- ----------------------- ,external ,national ,debt 7approximate values7 ---- ---- #fb1hib1dbh #fb1hib1dbh ,internal ,national ,debt ---- ---- #af1hci1cda #af1hci1cda ,external ,debt of the ,province of ,buenos ,ayres ---- ---- #aa1bhi1fjj #aa1bhi1fjj ,internal ,debt of the ,province of ,buenos ,ayres ---- ---- #e1cfi1gfj #e1cfi1gfj ,internal ,debt of the ,province of ,santa ,f ---- ---- #a1aji1jgd #a1aji1jgd ,internal ,debt of the ,province of ,entre ,rios ---- ---- #cde1cea #cde1cea ,internal ,debt of the ,province of ,tucuman ---- ---- #aie1gfe #aie1gfe ,municipal ,debt of the ,city of ,buenos ,ayres ---- ---- #e1jgh1ijj #e1jgh1ijj ,municipal ,debt of the ,city of ,rosario ---- ---- #a1hej1jjj #a1hej1jjj ,municipal ,debt of the ,city of ,crdoba ---- ---- #ghj1jjj #ghj1jjj ,municipal ,debt of the ,city of ,santa ,f ---- ---- #bcf1jjj #bcf1jjj ,municipal ,debt of the ,city of ,bahia ,blanca ---- ---- #aaj1jjj #aaj1jjj ,national ,mortgage ,cedulas ---- ---- #ad1ggi1hje #ad1ggi1hje ,bank of the ,argentine ,nation ---- ---- #i1fig1idg #i1fig1idg ,state ,railways ---- ---- #bj1jjj1jjj #bj1jjj1jjj ,private ,railway ,companies #aja1ehg1icb #gf1gce1ajg ---- #agh1cbc1jci ,tramway ,companies #ad1aeh1fdd #g1bcj1iha ---- #ba1chh1fbe ,national ,bank of the ,capital #af1ade1fec #bhi1jdd ---- #af1dcd1fig ,mortgage and ,agricultural ,loan ,companies #h1hfe1hff #g1ghh1cgh ---- #af1fed1bdd ,gas and ,electric ,lighting ,companies #h1abb1aff #c1dee1aii ---- #aa1egg1cfe ,harbours1 ,docks and ,quays #e1bgf1ceh #e1jif1eba ---- #aj1cgb1hgi ,anglo-,saxon ,banks of the ,capital #f1ccb1djj ---- ---- #f1ccb1djj ,agricultural and ,stock-raising ,companies #h1bhb1igh #ddc1jeh ---- #h1gbf1jcf ,savings ,banks1 ,building ,societies1 ,annuity ,companies #g1jaf1jfg #hh1jjj ---- #g1ajd1jfg ,forestal ,exploitation #e1eej1hhj #eig1ijj ---- #f1adh1ghj ,mining ,exploitation #c1ieh1ffc #ach1ced ---- #d1jig1jag ,refrigerator ,companies #c1bij1ace #gjc1ghj ---- #c1iic1iae ,telegraph ,companies 7wireless included71 ,telephones1 etc4 #b1dca1jjd #cjb1djj ---- #b1ggc1djd ,national ,insurance ,companies #b1gbc1aia ---- ---- #b1gbc1aia ,breweries #a1ghj1igb #ceb1hjj ---- #b1acc1ggb ,transport ,companies 7,land and ,sea7 #b1jfa1ahg ---- ---- #b1jfa1ahg ,local ,provincial ,banks #a1hcb1acc ---- ---- #a1hcb1acc ,sugar ,refineries #a1aih1def #ehh1cfh ---- #a1ghf1hbd ,markets #a1aig1hbj #dbc1cfj ---- #a1fba1ahj ,dairy ,companies #fif1ghd #af1cfj ---- #gac1add ,hotels1 ,theatres1 ,clubs1 etc4 #faj1cha ---- ---- #faj1cha ,metallurgical ,companies #egg1ajj ---- ---- #egg1ajj ,flour ,mills #dbe1cdj #de1aeh ---- #dgj1dih ,various ,industrial ,companies #g1eee1bcb #fj1jjj ---- #g1faj1bcb ,various ,commercial ,companies #c1gic1hia ---- ---- ---- ---------------------------------------- --------------- ,official ,totals #bai1eac1fci #ajd1ejb1abc #aej1cha1egb #dgd1cif1ice ---------------------------------------- --------------- ,the largest group of investments is constituted by the capital represented by the private railway companies1 which amounts to #agh1jjj1jjj1 against #aaa1fjj1jjj in #aijd4 ,this capital increases daily1 and considering the development of the network of railways all over the country1 it is not fantastic to prophesy that in a short time this sum will reach the figure of perhaps #bjj1jjj1jjj4 ,the second large group consists of the securities representing the ,external ,national ,debt1 which on the #cast ,december #aijh stood at #fb1ijj1jjj1 or #g1djj1jjj lower than that of the debt in circulation on #ast ,july #aije4 ,this diminution arises from the redemption of bonds by means of the #f per cent4 ,funding ,loan1 of which the total was #e1fjj1jjj4 ,if to the amount of this debt we add the sums represented by the external debt of certain cities1 the internal debt of the nation1 and the internal debt of some of the ,provinces1 we find that the entire ,argentine ,national ,debt forms a total of #acj1jjj1jjj4 ,we need not examine at greater lengths the composition and value of these two groups of securities1 as we have already dealt with them in special chapters4 ,as for the insurance companies and foreign banks1 any estimate of their capital is difficult2 but it is otherwise in the case of the mortgage companies4 ,the capital which these companies have invested in the ,argentine is now of a nominal value of more than #af1ejj1jjj4 ,but this is only a small portion of the foreign capital invested in mortgages in the ,argentine2 for the high interest earned by this class of investment1 which a short time back rose to #aj per cent41 has attracted large sums of foreign money which have been invested privately4 ,seor ,tornquist estimates the foreign capital thus put out in mortgages at #i1jjj1jjj4 ,we must call attention to the interesting fact that the amount of foreign capital invested in the agricultural and other rural undertakings of the ,argentine increases day by day4 ,at the end of #aijh this capital amounted to #h1gbf1jcg1 of which the greater part was the property of ,british subjects1 who first devoted their energies to agriculture and stock-raising in the ,argentine a comparatively long time ago4 ,it is the ,english who have been the most active agents of the rapid and extraordinary progress of ,argentine stock-raising1 especially in all that relates to the selection of breeds and the best manner of feeding4 ,among the industrial undertakings1 that which has of late years assumed the greatest importance is the frozen or chilled-meat industry----the refrigerating industry4 ,there are now nine refrigerating establishments1 with a subscribed capital of #c1iic1iae4 ,other industrial undertakings1 such as sugar factories1 breweries1 quebracho mills1 and mines1 are beginning to take a significant place in the list of ,argentine securities4 ,the nominal total of all movable values being estimated1 at the end of #aijh1 at #dgd1cif1icc1 the question which now occurs is1 ,what is the annual yield of these securities8 ,this is the most difficult point of our inquiry1 and one we can answer only by approximate estimates4 ,while it is simplicity itself to calculate the interest on the bonds of the public debt1 whether external or domestic1 it is anything but easy to calculate in all cases the dividends paid by each company to its shareholders4 ,some companies do not publish balance-sheets1 and others confound the profits realised in the ,argentine with the profits earned by their foreign houses or headquarters4 ,as far as our present knowledge goes1 the revenue of the securities we have mentioned may be estimated to be as follows3---- ,annual ,revenue1 of the ,securities of the ,argentine ,republic1 #cast ,december #aijh4 ,,name ,,or ,,nature ,,of ,,securities4 ,revenue in ,pounds ,sterling4 ,external ,national ,debt #c1bji1gbgb ,internal ,national ,debt #hdc1hgid ,municipal ,debt of ,buenos ,ayres #aif1aced ,municipal ,debt of ,santa ,f #a1fcfj ,municipal ,debt of ,rosario #abj1jjjj ,municipal ,debt of ,crdoba #ai1ejjj ,municipal ,debt of ,bahia ,blanca #f1fjjj ,external ,debt of the ,province of ,buenos ,ayres #cfh1ibhj ,internal ,debt of the ,province of ,buenos ,ayres #bee1ijdj ,cedulas of the ,national ,mortgage ,bank #hgb1jeaf ,debts of the ,provinces of ,tucuman and ,entre ,rios #bi1jacd ,debt of the ,province of ,santa ,f #fg1gdej ,railway ,companies #h1dbc1eajh ,national ,banks of the ,capital #a1aca1diif ,anglo-,saxon ,banks of the ,capital #ghh1fhjh ,local ,provincial ,banks #ec1gbef ,mortgage and ,agricultural ,loan ,companies #a1jdd1hdgb ,tramway ,companies #ijg1fjch ,gas and ,electric ,companies #hjd1eghb ,telegraph and ,telephone ,companies #ig1dghf ,harbours1 ,docks and ,quays #bic1ddgh ,savings ,banks1 ,building ,societies1 ,annuity and ,insurance ,companies #bed1hebb ,agricultural and ,stock-raising ,companies #dif1cjib ,forestal ,exploitation ,companies #ahh1ejej ,refrigerating ,companies #bbi1fedb ,markets #afe1bdch ,mining ,companies #bc1hafh ,national ,insurance ,companies #aib1jdjd ,sugar ,refineries #afe1aedf ,breweries #agd1bdij ,dairy ,companies #ca1hhbf ,metallurgical ,companies #dj1fjej ,transport ,companies #bea1ghcb ,hotel and ,theatre ,companies #ei1ccbf ,mills and ,granaries #cc1gfeb ,various ,industries #afi1bech ,general ,commercial ,companies #ada1iegb ------------- #bb1add1icib ,now what1 approximately1 are the amounts of securities or movable values belonging to foreigners and to natives of the ,argentine8 ,such is the question we must now set ourselves1 as one of the most important relating to the country's future4 ,blessed with an immense area of territory1 mistress of enormous and unexhausted natural wealth1 and peopled by only #f millions of inhabitants1 the ,argentine is a nation still in process of formation4 ,she attracts men and money from all quarters of the globe2 for she promises generous payment for initiative and for labour4 ,from the economic standpoint1 then1 it is of enormous importance for the ,argentine whether the revenue of her securities goes to persons residing in the country1 or whether1 on the other hand1 it goes abroad1 thus unfavourably affecting the result of her commercial transactions1 and threatening to upset the balance of international payments4 ,in the case of a country which exists under the special conditions which affect the ,argentine1 where there are no accumulations of capital1 where the spirit of enterprise is not very highly developed1 and where every commercial or industrial undertaking of any importance has to look to the outer world for support1 the total of the sums which leave the country each year to pay for imported articles1 to meet the interest on the ,national ,debt1 to pay the dividends on the shares of limited companies1 and the profits of private undertakings1 the interest on capital out on loan1 whether on mortgage or otherwise secured1 and finally to remunerate capital invested and employed in the thousand different ways peculiar to this period of rapid intercommunication----the total of all these sums must be very great2 something1 indeed1 like a metallic river rolling across the ocean4 ,so much being granted1 the moment has come to present the problem3 of the #bb million pounds required to pay the interest on loans1 the sinking-fund charges for their redemption1 and the dividends of hundreds of companies1 what is the proportion which each year leaves the ,argentine to become spent or invested abroad1 assuring the owners of bonds and shares the best part of the revenue of a distant country1 a country endowed with a fertile soil1 in which industry has a great future awaiting it8 ,and what proportion of this total remains in the country8 ,to solve this problem1 it would be necessary to follow the track of each of the shares or bonds issued1 in order to discover the destination of each2 and this is what we shall attempt to do1 with the help of the principal banking houses and the great commercial houses in financial relations with the outer world4 ,although all estimates on such a subject must rest upon the slightest foundations1 and cannot be accepted as precise statistics1 we do not hesitate to give a few figures as an indication worthy of credence1 being drawn from the best possible sources4 ,to proceed with due method1 let us begin with the most important division of the foreign capital invested in the ,argentine1 namely1 ,english capital1 which was the first to come from abroad to stimulate the progress of the country4 ,according to an inventory made by the banking house of ,tornquist ,co41 which has willingly given us the information we required1 the capital imported from ,england and invested in ,argentine securities amounts to more than #bij1jjj1jjj1 distributed as follows3---- ,english ,capital ,invested in the ,argentine4 ,capital4 ,interest4 ,loans----,governmental1 ,provincial1 ,municipal #fc1hed1fdch #c1jdf1eihb ,railways #aff1cfj1fhcb #h1jdi1dcah ,banks #g1hfb1djjj #gje1jifj ,agricultural ,loans and ,mortgages #f1hdg1baff #bei1gcbb ,tramways #bj1bhd1gjef #hge1fjch ,electricity #e1aeb1eijd #bhg1fheb ,agriculture and stock-raising #d1jah1iigh #bdh1bjdh ,various investments #ad1gbi1gjhh #ghe1ihfd -------------- ------------- #bia1aaj1idfj #ad1beh1cchd ,thus this sum of #bia1aaj1idf sterling represents an annual revenue of #ad1beh1cch4 ,to continue3 in seeking to find the true amount of the economic international balance1 we should have to include in the inventory of ,english capital bound to the ,argentine by commercial transactions the large number of steamers which run between ,british and ,argentine ports1 whose value might be represented by a sum not less than #aj1jjj1jjj4 ,if this be added to the sum already obtained1 we find that the ,english capital invested in the ,argentine or bound to the country by commercial ties is not less than #cjj1jjj1jjj3 the revenue of which1 estimated at an average of #f per cent41 represents a sum of #ah1jjj1jjj per annum1 entirely paid out of the production and the economic forces of the ,argentine4 ,to test the accuracy of this estimate we may mention that according to a conscientious study of ,english capital as placed in the principal countries of the globe1 a study published in #aiji in the ,economist1 the sums invested in the ,argentine amount to #bed1jjj1jjj3 a figure not very different from that we have already given4 ,but let us be content for the moment to realise that the known inventoried revenue on bonds and shares belonging to ,british companies or ,british subjects residing or situated in ,england amounts to #ad1jjj1jjj after the deduction of the portion remaining in the hands of ,englishmen residing in the ,argentine2 and in the presence of such figures let us meditate for a moment on the social and economic consequences of such a fact4 ,english capital1 since the dawn of the organisation of ,argentina1 has been the great propulsive agent of all national progress4 ,in #ahbb1 when she was still insignificant both in riches and in population1 ,argentina knocked for the first time on the doors of ,british capitalists1 asking them to lend a million pounds to be used for the construction of a harbour1 for the instalment of waterworks in her capital1 and for the foundation of cities2 projects which were never executed2 for it was with this loan as it was to be afterwards with many other ,argentine loans4 ,the funds demanded on credit were not employed to further the object for which they were solicited4 ,after this first loan all other ,argentine loans were subscribed by ,british capital4 ,moreover1 no industrial or commercial undertaking has been established in this country but it has gone to seek the breath of life in the financial houses of the ,city4 ,professor ,eteocle ,lorini said with reason1 in commenting on this fact in his book1 ,il ,debito ,publico ,argentino3 8,all the industrial1 commercial1 agricultural and mining companies which furnish our ,argentine statistics bear the foreign mark1 limited2 so that one ends by getting the impression that one is studying a purely ,english colony1 for one finds this limited upon all species of manufactures2 limited after the statement of capitals2 all undertakings are limited2 insurance is limited2 the circulation and distribution of ,argentine wealth is limited40 ,whatever may be the importance of the limited company1 it is by no means to the interest of the ,argentine to declare war upon foreign capital2 she should1 on the contrary1 respect the far-seeing provisions of her ,constitution1 which imposes upon ,congress the duty of encouraging the introduction of foreign capital conjointly with a foreign population1 because both are vital elements of the national development and progress4 ,but while we respect this tradition we feel that the ,government should1 in counteraction1 endeavour to stimulate the application of ,argentine capital to commercial or industrial enterprises1 in order that the entire resources of the country shall not be developed for the sole profit of the foreigner4 ,professor ,lorini1 whom we have just quoted1 is of the same opinion4 8,we are certainly not of those10 he says1 8who complain of the introduction of foreign capital4 ,the more the latter is imported1 the more it gives employment1 and increases yet more the wealth and welfare of the country4 ,but we must also add that as more capital arrives from without1 so the payments which the country has to make for the use of it grow larger1 and for this reason the whole financial policy of the ,government and the ,argentine should have as its object the introduction of the severest economy and the greatest possible thrift2 not only that engagements contracted may be honourably met1 but that in course of time we may form a national capital1 capable of competing with foreign capital1 of reducing its pretensions1 and even of replacing it little by little1 should the latter1 for any reason whatsoever1 be compelled to emigrate in virtue of causes foreign to the economic laws of the country40 ,after ,england ,france stands in the first rank of those ,european nations which have had faith in the future of the ,argentine1 and have risked the investment of their capital in this young and wealthy state4 ,unhappily the total amount of ,french capital invested has not been augmented1 as one might have hoped1 by the political and commercial ties which for many years have united the two countries1 or by the fertile opportunities which the ,republic has to offer to the activity and enterprising spirit of the ,latin races4 ,the nominal total of ,argentine securities quoted on the ,paris ,bourse amounted1 on the #cast of ,december #aijg1 to the value of #gh1iii1cjh1 which sum may be analysed as follows3---- ,state funds #eb1ccb1cjf ,banks #aj1cce1fhj ,transport #ab1hjb1bij ,mines #edh1igh ,various #b1ihj1jjj ----------- #gh1iii1bed ,to prevent an erroneous interpretation of the above figures1 it should be stated that this total does not represent the value of the securities actually held by ,frenchmen1 but only the securities quoted on the ,bourse1 which is a very different matter4 ,for example1 the ,french ,bank of the ,rio de la ,plata figures in this total to the extent of #b1djj1jjj1 the amount of its capital actually subscribed1 although scarcely a quarter of it circulates in ,france4 ,on the other hand there is a very considerable quantity of ,argentine securities belonging to capitalists or investors living in ,france2 securities which are not quoted on the ,bourse and are not deposited in any bank4 ,we may cite as an example the last loan of #aj1jjj1jjj1 issued under the title of 8,internal ,argentine ,credit #aiji40 ,of this amount #c1djj1jjj was subscribed in ,france1 yet the bonds of this loan1 on account of a difference with the ,french ,government1 have not yet been quoted on the ,paris ,bourse4 ,we are thus justified in concluding that the amount we have given as representing the value of the stock held by ,frenchmen----#gh1iih1hed----;is approximately correct2 and that the two factors which affect the matter in opposite senses may be taken to cancel one another4 ,we must also note the fact that the majority of ,government funds find as large a market in ,london as in ,paris4 ,for example1 the #d per cent4 loan of #ahig-aijj1 which was entirely issued in ,london1 was only admitted to quotation on the ,bankers' ,exchange of ,paris in #aijc4 ,in the banking department1 the shares of the ,spanish ,bank of the ,rio de la ,plata and the ,french ,bank of ,la ,plata were only introduced to the ,paris ,bourse at the beginning of #aijh2 the principal market for these shares is still at ,buenos ,ayres4 ,in the transport department1 the ,general ,company of the ,tramways of ,buenos ,ayres1 which has a capital of #a1hjj1jjj1 can only be represented in ,france by a very small proportion of this capital2 the shares have been issued principally in ,brussels1 ,london and ,berlin4 ,we must remember that ,french influence in the ,argentine has been active for a long time and in various ways4 ,it was especially the immigration of the worthy inhabitants of the ,french ,pyrenees which first set in towards the ,rio de la ,plata1 where the ,frenchmen invested their energies in many remunerative departments of labour2 some becoming farmers1 some cattle-breeders1 some giving themselves to industrial work1 some to trade in the cities2 thus contributing to the development of the wealth of the country4 ,the ,french mercantile marine was also the first to establish and maintain a rapid and easy transport between ,french and ,argentine ports1 thus permanently uniting the two countries4 ,as for ,french commerce1 it retained1 as lately as #ahhd1 a place in the first rank with regard to the exchange of manufactured articles or the products of the soil1 the trade being carried on especially through the medium of the ,rio da la ,plata2 indeed there was a time when ,french commerce represented #ea per cent4 of the total trade of the ,argentine1 while now it is responsible for only #bjg per cent4 of the total value of ,argentine imports and exports united4 ,we may therefore consider that the part played by ,french capital in ,argentine affairs is much too small as compared to the function of ,english capital1 and we must regret that ,france is not more deeply interested in the great movement towards national prosperity4 ,after ,france the ,european nation which has invested the largest amount of capital in the ,argentine1 and which has fully understood the true importance of the latter country1 is ,germany4 ,in the remarkable increase and expansion of her industries ,germany has not forgotten the shores of the ,rio de la ,plata4 ,she has entered upon a struggle with ,england2 all her electrical and chemical undertakings have taken root2 factories have sprung up due entirely to ,german capital2 a ,german ,transatlantic ,bank has been established in ,buenos ,ayres2 the ,hamburg ,south ,american ,company flies its ensign on the ocean1 swiftly carrying passengers and merchandise between the two continents2 a ,german electrical company has established its power-houses in the ,argentine capital2 an extract of meat company is drawing its profits from the live-stock industry2 several quebracho mills have been founded2 many other factories have been established1 and the ,germans have thus absorbed a large proportion of the ,argentine export trade4#aad ,the commercial relations between ,germany and the ,argentine increase each day4 ,twenty years ago the exchanges between the two countries represented hardly #aid per cent4 of the general foreign trade of the ,argentine----at a time when ,france possessed #ea per cent4 instead of her present #bjg per cent4 of the trade----while in #aijh the exchanges with ,germany amounted to #bcd per cent4 of the entire trade4 ,footnote #aad3 ,in the course of the year #aijh there left ,buenos ,ayres1 in the vessels of various lines1 #aj1hje first-class passengers for ,europe1 of whom #bgej left by the ,german ,company of ,hamburg2 #bjda by the ,royal ,mail ,steam ,packet ,co42 #aaic by the ,messageries ,maritimes2 #gia by the ,transports ,maritimes vapeur2 #gaa by the ,general ,italian ,navigation ,co42 #fhh by ,la ,vloce2 #ehh by the ,italia2 #eef by the ,lloyd ,sabando2 #cgg by the ,lloyd ,italiano2 #cdj by the ,spanish ,transatlantic2 and the rest by vessels of various less important lines4 ,what is the total value of the ,german capital invested in the ,argentine ,republic8 ,it is not easy to say with strict accuracy2 but according to the very authentic information of certain ,buenos ,ayres bankers we may reckon that the ,german capital employed in the banks1 commercial houses1 estancias1 and industrial concerns1 and in the ,german ,electrical ,company1 the electric tramways1 etc41 etc41 amounts to #dj1jjj1jjj4 ,if to this capital we add that represented by the vessels under the ,german flag1 which maintain an active communication with the ,rio de la ,plata1 obtaining a large proportion of the best clients1 the total of the ,german capital employed in the ,argentine amounts to some #fj1jjj1jjj4 ,with these data in hand1 and an approximate knowledge of the amount of foreign capital invested in this country in shares1 bonds1 and other securities1 namely some #chd1jjj1jjj1 as well as its approximate revenue1 which in round figures is about #ah1jjj1jjj1 plus #a1fjj1jjj as the general sinking fund charge1 or in all about #ai1fjj1jjj1 we may draw the following conclusions3---- ,we know that the revenue of the bonds held by the ,english capitalists1 including the sinking fund1 amounts to #ad1aeh1ccg4 ,again1 the amount necessary to pay the interest on the bonds of the ,national ,debt1 cedulas1 debentures1 and shares held by ,french1 ,german1 and ,belgian investors1 may be estimated at #c1fih1ggi2 so that of the total revenue of #ah1dic1hif produced by the ,republic1 there remains in the country a balance of #d1bhg1hbj4 ,,the ,,balance-,,sheet ,nothing is more difficult than to bring together the constituent elements of a national balance-sheet1 on account of the complexity of the necessary facts which often escape the net of the statistician4 ,beginning with the most important elements of this balance1 and1 so it seems1 the most plainly visible----those formed by the movement of exports and imports through the customs----and ending with the most insignificant facts1 there are still a large number of factors for which it is impossible to allow4 ,taking a broad view of the matter1 we must first of all observe that the estimates by which we finally decide that that which leaves a country1 whether in merchandise or in specie1 is of greater value than that which enters it1 are extremely arbitrary4 ,the principal means of appreciation is the table drawn up by the ,customs ,administration upon cargoes leaving and entering the country1 but the results drawn from this table are inevitably approximate4 ,on the one hand the declarations upon which the valuations are based are always untrustworthy1 as they are made by individuals who are interested in diminishing the actual values of their consignments4 ,on the other hand1 they are influenced by a thousand other circumstances which the customs cannot take into account1 such as shipwrecks and unfortunate commercial transactions4 ,moreover1 merchandise exported is usually valued by the customs at the moment of leaving the port of embarkation2 that is1 when it has so far paid only very small sums for carriage and transportation4 ,imported merchandise1 on the other hand1 is valued at the time of its disembarkation1 in the ports of arrival or destination1 when it is already burdened by all the expenses incident to a long voyage2 such as freight1 insurance1 brokerage1 etc4 ,it very often follows that in calculating the results of a given transaction1 and in supposing1 moreover1 that the estimates are perfectly correct1 we often find a perceptible difference between the comparative figures of exportation and importation1 which must be settled 7so it is often supposed7 by a payment of cash1 whereas in reality the whole transaction consists of a simple exchange of commercial products4#aae ,footnote #aae3 ,see ,nouveau ,dictionnaire d',economie ,politique1 ,article ,balance du ,commerce1 by ,georges ,michel4 ,besides these general causes of error in the calculation of the principal elements of the ,argentine balance-sheet1 there are others affecting the ,argentine which we might call local1 which arise from the manner in which the customs estimate the merchandise imported4 ,we have seen that the ,customs ,administration bases the collection of duties upon a valuation tariff1 the exaggerations of which have given rise to the liveliest complaints4 ,as for the statistics of the exports of national produce1 they are based upon the market prices4 ,as for the foreign capital invested in securities1 etc41 we know its value within a fair degree of approximation4 ,but it is quite otherwise with the large masses of foreign capital employed or invested privately1 whether in mortgages1 commercial enterprises1 urban or rural properties1 or in a thousand other directions2 we know neither the total amount nor the interest1 nor profits which it produces4 ,these profits are a permanent cause of uncertainty with respect to the establishment of the national balance-sheet4 ,apart from these causes already enumerated there is yet one other which deserves to be taken into account2 it consists of the sums which ,europeans who are established or have become enriched in the ,argentine send each year to their families abroad4 ,we have1 unhappily1 no means of estimating the importance of this sum4 ,finally1 a cause of inaccuracy which is felt at present as it never has been before1 has its rise in the ever-increasing number of natives of the ,argentine who leave their country for ,europe1 their purses well lined1 and themselves ready to spend their money in superfluities or luxuries1 or in travelling from place to place4 ,according to the information furnished us by the agents of various steamship companies1 #aj1hje first-class passengers left the ,argentine for ,europe in #aijh1 in search of more or less costly amusement4 ,what will one of these rich ,south ,americans spend abroad8 ,how far do the mass of them contribute to increase the sum which the country pays out across the ocean every year8 ,it is difficult to guess2 but if we estimate1 as we moderately may1 that each of them spends about #ajjj1 we may add on this count only a sum of #a1jhj1ejj to the debit side of the ,argentine balance4 ,on the other hand1 we have not included among the yearly liabilities the enormous sums which the country pays each year in ocean freight charges1 because in fixing the sale price of exported products the freight has already been deducted1 as well as insurance1 brokerage1 commissions1 the cost of wharfage1 etc41 etc4 ,but to give some idea of the importance of these sums it is enough to say that1 according to estimates worthy of evidence1 the ,argentine ,republic paid in freight1 in the year #aijh1 for the transport of some #f million tons of linseed1 wheat1 and maize1 at the rate of #a per ton of grain1 a sum of about #f1ejj1jjj4 ,these figures having been considered1 we may now establish as follows the basis of the economic balance of the ,argentine3---- ,the ,credit side is formed in the first place by the value of the exports1 which in #aijh increased to #gc1bjj1jjj2 then by the great and incessant consignments of capital on the part of already existing companies1 or new ones which are formed to exploit railways1 tramways1 or other industrial undertakings1 or to undertake the mortgaging of landed property4 ,an economic journal1 much valued in ,buenos ,ayres1 the ,buenos-,aires ,handels ,zeitung1 estimates at #h1jjj1jjj the amount of fresh capital which enters the country each year4 ,the third class of assets is constituted by the sums brought into the country by immigrants1 which are estimated at #a1hjj1jjj4 ,the total of all these sums amounts to the considerable figure of #hc1jjj1jjj4 ,on the ,debit side we must first of all place the value of imports1 which in #aijh amounted to #ed1fjj1jjj1 including the large arrivals of railway and tramway material which the country has not to pay for immediately1 as it obtains them upon long credit2 this item is consequently much smaller in reality than it appears at first sight4 ,then comes the interest on the foreign capital invested in the ,argentine ,republic in bonds of the ,national ,debt1 in railway shares1 tramway shares1 and various other undertakings4 ,we have seen that the revenue of all these securities issued by or in direct relation with the ,argentine ,republic amounts to #bb1jjj1jjj1 and that of this sum #d1cjj1jjj remains in the ,argentine2 we therefore conclude that #ah1jjj1jjj leaves the country each year as remuneration for investments4 ,then we have also to enter upon the debit side a total of #hd1djj1jjj which 8seems to leave the country0 each year in payment of the debts contracted with foreign countries4 ,but in reality this sum is perceptibly less1 for the reasons we have mentioned above1 so that we may reduce it to #hj1jjj1jjj4 ,now1 if we place side by side the ,debit and ,credit of the nation's economic balance account1 we shall find that in the year #aijh there was a favourable balance of not less than #c1jjj1jjj4 ,it is undeniable that this favourable balance has in fact been obtained1 not only in #aijh but also in previous years1 for there exist two irrefragable proofs of the fact3 the rates of international exchange1 always favourable to the ,argentine1 and the uninterrupted stream of metallic currency which flows towards the ,rio de la ,plata4 8,the state of exchange10 as ,goschen has said in his work on the subject1 8offers us the means of ascertaining not only the state of the commercial atmosphere1 by indicating the proximity of disturbing currents1 but it also indicates them in such a manner that by interpreting them carefully1 we may choose the line of conduct to be followed in order to steer clear of danger1 and to avoid the precipitate results of panic40#aaf ,footnote #aaf3 ,c4 ,i4 ,goschen1 ,theory of ,foreign ,exchanges4 8,the attentive observation of exchanges10 says the economist ,foville1 confirming by these words the assertion of the expert just cited1 8suffices to indicate to the minds of those competent whether the monetary stock of a country is in process of increasing1 or whether1 on the contrary1 there is an escape of currency towards the outer world4 ,exchange tells us in which direction bullion is being attracted1 at a given moment1 just as the weathercock tells us the direction of the wind40#aag ,footnote #aag3 ,see in the ,bulletin de l',institut ,international de ,statistique1 ,vol4 ,,xv41 #aijf1 p4 #bjj3 ,les ,elments de la balance conomique des peuples1 by ,a4 de ,foville4 ,now if we examine the table showing the international variations of exchange during the last five years we shall find that the latter are on the whole high above par2 in ,december #aijf and ,january #aijg especially they attained considerable figures which have never since been surpassed4 ,as for the importation of bullion and the visible existence of gold in the country1 it will serve our purpose to know that according to the official figures there was on the #cast of ,december #aijg a total of #bi1jfj1jjj in the country1 which was distributed as follows3 #ba1jbj1jjj in the ,caisse de ,conversion1 and #h1jdj1jjj in the various banks1 including the ,conversion ,funds4 ,a year later1 on the #cast of ,december #aijh1 these figures attained a total of #cd1hfj1jjj1 of which #be1cdj1jjj was in the ,caisse1 and #i1ebj1jjj in the various banks4 ,but in the course of the year #aiji this upward movement has been even more evident1 since the total amount of gold in the ,republic on the #ast of ,november #aiji was no less than #ec1hjj1jjj1 of which #cd1hjj1jjj was in the ,caisse and #ai1bjj1jjj in the banks or the ,conversion ,fund4 ,it is already therefore certain1 if we are to judge by the important consignments of gold actually on the way to the ,argentine1 that by the end of #aiji the ,republic will possess metallic funds to the amount of at least #ef1jjj1jjj4 ,we have seen what a part foreign capital has taken in realising the economic value of the ,argentine and the influence it has exerted in developing the country4 ,it is employed in the greatest variety of ways3 in ,state loans1 railways1 and every branch of industry4 ,to it we owe harbours and railways2 that is1 the principal factors of economic wealth2 it is foreign capital1 invested in navigation companies1 which puts the ,argentine in touch with all the nations which consume her products4 ,however1 placing ourselves at the standpoint of the laws of evolution which preside over the destinies of the nations1 we must admit that1 in view of the present prosperity of the country1 the intervention of foreign capital in the affairs of the ,republic must daily lessen1 in proportion as a national reserve of capital collects2 as has happened in the ,united ,states1 and in all states which are in the first rank of civilisation4 ,but the term of this economic movement is still far removed1 and until the day arrives1 foreign capital will in all security continue to find employment in navigation and in public works1 and also in those nascent industries which are beginning to exploit the mineral wealth of the ,republic4 ,,conclusions ,this volume does not call for a long summary2 for we have1 we believe1 in the course of our enquiry1 thrown sufficient light upon the characteristic aspects of the situation of the ,argentine to enable the reader to judge of the place it now holds in the world-market among the great producing nations4 ,but what does remain for us to do is to sum up in broad touches the fundamental progress realised in the last few years2 a degree of progress to which the country is indebted for its modern prosperity1 and which bears the seeds of its future development4 ,firstly1 to deal with the matter of international politics1 we must remember the solution of the frontier dispute with ,chili1 which for more than fifty years was a cause of alarm as well as of expense1 and which had threatened to become embittered to the extent of arresting the stream of ,european immigration and ,european capital so necessary for the improvement of the ,argentine soil4 ,the example afforded by these two ,republics of ,south ,america1 which of their own initiative had recourse to arbitration1 rather than finally settle their difference by a resort to arms1 and then pledged one another to delete gradually from their budgets the unfruitful item of military expenditure1 surely indicates that a new spirit is awake in the ,argentine1 and that she looks to pursue her future destinies along the paths of peace and industry4 ,in the matter of economics the capital fact consists in the enormous expansion of the two fundamental industries of the country----agriculture and stock-raising4 ,to measure the ground covered1 it is enough to mention that in #aijj the total value of the products of stock-raising was only #ab1bjj1jjj1 while in #aijd this value had increased to #ba1jjj1jjj1 and in #aijh to #bb1bjj1jjj4 ,it has been the same with the products of agriculture2 in nine years their export value has increased from #ad1fjj1jjj to #dh1jjj1jjj4 ,under the stimulus of this progress an intense vitality has manifested itself in every department of national activity2 the power of consumption of the ,argentine1 as measured by the statistics of importation1 has largely increased2 property has in many places attained ten times its former value2 commercial transactions of every kind have increased2 and new industries1 such1 for instance1 as the refrigerative industry1 have been created and are prospering4 ,it is therefore evident that the dominant characteristic of the present situation of the ,argentine from the economic point of view must be sought in the remarkable expansion of all the forces of production4 ,the most eloquent proof of this economic prosperity has just been furnished by the late census of agricultural and pastoral enterprises1 effected in #aijh by ,seor ,martinez4 ,the total value of these undertakings1 representing the better part of the national wealth1 attains1 as the table on the following page will show1 the figure of #ggc1jjj1jjj4 ,now1 to speak of financial matters1 there is a third factor1 which came very opportunely to consolidate the results of the wonderful expansion we have spoken of----the law of monetary conversion4 ,while it was laying the foundations of the future conversion of the fiduciary circulation1 this law created a reserve fund to make it presently practicable1 and so gave stability to the instrument of exchanges2 suppressing the gold premium1 so prejudicial to business1 and supporting the prosperity of the country by a fixed and common-sense currency2 a support which the country needed in order that it might develop without checks and shocks1 but one it had hitherto lacked4 ,no measure has contributed more than this to the relief and improvement of ,argentine credit1 and to the increased value of the public funds1 which will before long result in the work of financial reorganisation4 ,the results of this happy conjunction of political1 economic1 and financial facts were not long to seek2 for in less than five years the ,argentine passed from a state of chronic crisis to the fullest prosperity known since her existence as a nation4 ,but to preserve all the benefits of the progress accomplished the young ,republic has still one task to fulfil3 to fortify domestic peace1 to perfect her political system1 and to improve her principles of administration2 conditions indispensable to the assured and normal development of the country and its future greatness4 ,the ,total ,value of the ,agricultural and ,pastoral ,farms and ,estates of the ,argentine ,republic#aah 7,according to the ,agricultural ,census of ,may #aijh74 ,footnote #aah3 ,the details are in round figures1 the totals official4 ---------------------------------------- ---------------------------------------- --------- ,length of ,,values ,,in ,,pounds ,,sterling4 ,,provinces ,,and ,iron ,wire ---------------------------------------- -------------------- ,,territories ,fencing ,machines 7in ,miles74 ,soil4 ,animals4 ,fixed ,plant4 and ,tools4 ,total ,value4 ---------------------------------------- ---------------------------------------- ----- ,buenos ,ayres #bbd1ejj #cbf1cad1jjj #fe1hjc1jjjbb1eii1jjj #g1cag1jjj #dbb1jcc1jjj ,santa ,f #fh1hjj #ib1ihf1jjj #aa1gad1jjj #f1acd1jjj #c1ahb1jjj #aad1jaf1jjj ,entre ,rios #di1fjj #bd1dhc1jjj #aj1eej1jjj #c1fhf1jjj #a1agi1jjj #ci1hih1jjj ,corrients #dj1fjj #c1aij1jjj #g1iej1jjj #a1eac1jjj #bcj1cjj #ab1hhc1cjj ,crdoba #gc1hjj #ch1cjf1jjj #aj1abh1jjj #e1icd1jjj #b1dai1jjj #eg1hcg1jjj ,san ,luis #ad1jjj #f1jdg1jjj #b1aai1gjj #a1bgj1jjj #bjb1jjj #i1fch1ijj ,santiago #e1efj #d1dgb1jjj #b1abh1jjj #hia1jjj #add1jjj #g1fce1jjj ,tucuman #i1dhj #d1deg1jjj #a1eja1jjj #b1aae1jjj #aib1jjj #ac1bfe1jjj ,mendoza #e1ajj #dj1jde1jjj #a1beg1jjj #b1ceb1jjj #bcj1jjj #dc1hdd1jjj ,san ,juan #c1afj #c1dfb1jjj #daa1jjj #a1fjb1jjj #abf1jjj #e1fja1jjj ,la ,rioja #gaf #c1agj1jjj #a1jfa1jjj #hji1jjj #cf1aij #e1jgf1aij ,catamarca #a1hcj #c1bbc1jjj #gie1jjj #a1cdh1jjj #bf1jjj #e1cib1jjj ,salta #c1fjj #c1jbd1jjj #a1gef1jjj #gfb1jjj #gh1fej #e1fbj1fej ,jujuy #a1dfj #bjj1jjj #egg1jjj #bda1hjj #ai1fjj #a1jch1djj ,chaco #a1fhj #gbf1jjj #ffi1jjj #aee1gjj #cg1hjj #a1chh1ejj ,chubut #b1bfj #fef1jjj #a1fdb1jjj #ccd1jjj #fa1jgj #b1fdc1jgj ,formosa #cfj #cea1jjj #eef1jjj #acd1jjj #ae1jjj #a1jef1jjj ,la ,pampa #aac1dcj #aj1ijh1jjj #c1fic1jjj #a1chb1jjj #edb1jjj #ag1ebe1jjj ,los ,andes #baa ---- #cf1ijj #ce1bjj ---- #ga1ijj ,misions #b1bdj #fce1jjj #baf1jjj #bcc1jjj #bb1hjj #a1ajf1hjj ,neuquen #cih #hai1jjj #hhg1jjj #ahi1jjj #ce1dij #a1icj1dij ,rio ,negro #aj1ebj #b1gci1jjj #b1ddj1jjj #hfc1jjj #afh1jjj #f1baj1jjj ,santa ,cruz #f1efj #a1jjc1jjj #hij1jjj #eih1jjj #cb1fjj #b1ebc1fjj ,tierra del ,fuego #b1gjj #abe1jjj #dfj1jjj #bfi1jjj #ba1gjj #hge1gjj ---------------------------------------- -------------------------------- #fdb1jfe #ega1efc1dcjacj1agi1gjjee1dgg1ejj #af1cba1bgj #ggc1eda1icj ,illustration3 ,,map ,,of ,,argentina ,,and ,,adjoining ,,states4 ,transcriber's ,note3 ,our apologies for the poor quality4 ,,index ,agriculture1 peculiarity of production1 #aji 7#abe-aec72 principal regions1 #abe2 chief crops1 #abf2 size of holdings1 #abg-i2 land agencies1 #acj-a2 usual land tenure1 #acb2 dependent on railways1 #acb2 produce 7tables71 #ace1 #acf1 #acg 7table72 increase of sown lands1 #aci2 statistics of area 7table71 #adj-a2 profits of 7tables71 #adg-aea2 wheat1 #aed-afa2 agricultural exports 7table71 #bbg3 total value of agricultural and pastoral holdings1 #cgb ,agricultural census1 see ,census ,agricultural industries1 see ,industries ,agricultural machinery1 see ,machinery ,america1 see ,united ,states ,andes1 climate of1 #gc ,area1 of ,argentine1 #gb2 cultivable1 #gf ,argentine nationality1 the1 #ei-fh ,argentine ,republic1 the position of1 #ga2 boundaries1 #ga2 area1 #gb2 climate1 #gb-d2 soil1 #gd-f2 scourge of locusts1 #gg2 rivers1 #gg2 almost a desert nation1 #aae2 production of wheat in1 #aed-afa2 foreign trade1 #baa-bcd ,austria1 trade with1 #bbf ,bahia ,blanca1 port of1 #hi-ij ,balance-,sheet1 the1 of the ,argentine1 7#cdi-cgb72 securities in circulation 7table71 #ceb2 revenue of same 7table71 #cee-cef2 interest paid on foreign capital1 #ceg2 table of ,english capital1 #ceh2 of ,french1 #cfa2 ,german1 #cfc2 favourable balance1 #cfg2 total value of farms and estates1 #cgb ,banks1 7#bfa-bgh72 balance-sheets of1 #bfd-bfh2 nature of business1 #bff-gj2 clearing-house1 #bgj2 balance-sheet of the bank of the ,province of ,buenos ,ayres1 #bga2 see ,mortgage ,banks ,bank of the ,nation1 the1 #bgj2 balance-sheets1 #bgb ,belgium1 trade with the ,argentine1 #bai-bbe ,boundaries of the ,republic1 #ga ,bourse1 the 7#bgh-bhf72 extent of operations1 #bhj-a2 organisation of1 #bgf2 regulations1 #bhc2 table of operations1 #bhc-d2 value of securities quoted1 #bhd ,brazil1 trade with the ,argentine1 #bai1 #bbe ,breweries1 #bdb 7table71 #bdc ,budget1 the 7#bie-cji72 amounts of1 #bif2 cause of excessive budgets1 #bii-cjd2 composition of1 #cje ,buenos ,ayres1 #hc2 harbours of1 #ha2 market of1 with statistics 7table71 #hd-e2 port1 inward and outward trade of1 #he 7table72 importance as a port1 #hf4 ,buenos ,ayres1 province of1 #adb ,bullion1 imports and exports of 7table71 #bah ,butter1 exports of 7table71 #bda-b ,canada1 wheat production1 #afj-a2 immigration policy1 #afa ,capital1 foreign1 invested in the ,argentine1 #cea2 ,english1 #ceh2 ,french1 #cja2 ,german1 #cjc ,cattle1 numbers of 7table71 #baa ,census1 agricultural1 of #aije1 #abg2 of #aijh1 #abh2 of #ahhh1 #acd2 of stock of years #ahhh1 #ahie and #aijh1 #afi2 of #aijh1 #aga2 of cattle1 #ahie and #aijh1 #agb2 #ahie and #aijh1 #bda-b2 of land1 #aijh1 #cgb ,cereals1 congestion of1 on railways1 #aji2 shipping of1 #aaj2 warehoused at railway stations1 #aab2 where grown1 #abf2 area under1 #adb-d ,colonisation1 commencement of1 #aaf2 comparative failure of policy1 #aag1 #aba ,colonising agencies1 #aca ,commerce1 see ,foreign ,trade2 commercial balance 7table71 #bab1 #bcb-d ,companies1 see ,limited ,companies ,concessions1 harbour1 #hh2 railway1 #ii ,conversion1 ,caisse de 7#cdb-cdh72 conversion fund1 #cac2 failure at first1 #cac-e2 operation under new laws1 #cdg2 metallic reserve of1 #cdg2 present functions of1 #cah ,crdoba1 #adb-d ,cotton1 #aii-bja2 profits1 #bjj ,currency1 the double 7#ccj-cda72 origin of1 #ccj-a2 depreciation of paper1 #cca-b2 bimetallic standard established and suppressed1 #ccb2 gold premium1 #ccb-c2 excessive issues of paper1 #ccd2 law of conversion1 #ccg2 speculation in exchange killed by1 #cci2 monetary situation of the country1 #cda4 ,see ,caisse de ,conversion ,dairy industry1 #bdj 7table71 #bda1 #bdb ,electric lighting1 #beg ,electrical industry1 the1 #bef2 tramways1 #bef2 7table71 #beg ,england1 wheat imported by1 from ,canada1 #afa ,estancias1 model1 #afc-afg ,exchange1 see ,double ,currency ,exports1 see ,trade4 ,tables of1 #afj2 of wheat1 #aei2 of general1 #bac1 #bba2 of meat1 #bci2 of butter1 #bda ,finance1 see ,balance-,sheet of the ,argentine4 ,financial crisis1 the1 #bhi-bia ,fisheries1 #bdh ,flour exports1 #bcg ,foreign trade 7#baa-bcd7 ,france1 trade with the ,argentine1 #bai1 #bbd2 ,french tariffs highly unfavourable to the ,argentine1 #bbc2 decadence of trade1 #bbc-d1 #bbi ,fruit-farming1 #bjb1 #bjg ,germany1 trade with the ,argentine1 #bai1 #bbb ,great ,britain1 trade with the ,argentine1 #bai1 #bbb ,harbours1 see also ,ports1 development of1 #hc ,immigration1 7#aac-aba72 supremely needed1 #aad2 paradise of1 #aae2 statistics of1 #aah-i2 statistics of 7table71 #abj2 difficulty experienced by immigrants who wish to buy land1 #aba2 mistaken policy1 #aba2 in ,canada1 #afa ,imports1 see ,trade and ,tables of1 #bai1 #bbf ,industries1 ,agricultural 7#ahg-bjg72 sugar-planting and making1 #ahg-aib2 profits 7table71 #ahi2 vine-growing and wine-making 7table71 #aib-aie2 tobacco-planting1 #aie2 acres planted 7table71 #aif2 cultivation of the mulberry and sericulture1 #aif-g2 the mat industry1 #aig-h2 imports 7table71 #aih2 cotton-planting1 #aii-bja2 where grown1 #aii2 profits1 #bjj2 oil1 #bja2 rubber1 #bja2 fruit-growing1 #bjb-bjg ,industries 7#bce-bdi72 dependent on agriculture and stock-raising1 #bce2 sugar factories1 #bcf-g2 flour-milling1 #bcg2 refrigerating industry1 #bch2 7table71 #bci2 dairy industry1 #bdj2 7table71 #bda-b2 breweries1 #bdb2 7table71 #bdc2 weaving1 #bdd2 tanning1 #bdd2 the quebracho industry1 #bdd-bdh2 timber1 #bdh2 fisheries1 #bdh2 mining1 #bea-e2 electrical1 #bef2 7table71 #beg2 electric lighting1 #beg2 7tables71 #beh-i ,italy1 trade with the ,argentine1 #bai1 #bbf ,japan1 trade with1 #bcj-a ,labour1 great opportunities of1 #aae ,land1 vicious system of ownership1 #aah2 prevents colonisation1 #aba2 average size of holdings1 #abg-i2 national possessions and enormous private holdings1 #abi2 land law of #aijg1 #acj2 system of tenure1 #acb2 agencies1 #aca2 auctions1 #aca-c2 areas in cultivation1 #acd2 rise in value1 #aci2 values of1 and sales1 #agd-ahe ,limited ,companies 7#bhf-bib72 constitution of1 #bhf-h2 the crisis of #ahij1 #bhi-bia2 table of capital invested in1 #bia ,linseed1 profits of1 #aej ,locusts1 #gg ,lucerne1 #acg-h2 use of in stock-raising1 #afb2 affects value of soil1 #agd ,machinery1 agricultural 7table71 #add-e2 tables1 #adf1 #adh ,markets1 ,buenos ,ayres 7table71 #hd ,mat1 #aig-h2 where gathered1 #aig2 imports1 #aih ,mtayage1 #acc1 #ach ,mines 7#bej-e72 gold1 silver1 copper1 coal1 antimony1 sulphur1 etc41 #bec-d2 mining laws1 #bee ,mortgage ,banks1 #bge-bgh ,mulberry1 cultivation and use of1 #aif-g ,national debt1 the 7#cab-cbi72 tabulated amount of1 #cab2 first loans1 #cad2 further loans1 #cae-cba2 table of internal debt1 #cbb2 total debt1 #cbc2 interest on1 #cbd ,nationality1 the ,argentine1 #ei-fh ,pampa1 the1 #ge1 #add2 production of wheat per acre1 #aeg ,pampero1 the1 #gc ,parana1 ,rio1 the1 #gi2 navigable value and dredging of1 #hj-a2 ports on the1 #hb1 #hh-i ,plata1 ,la1 port of1 #hf ,plata1 ,rio de la1 #gi ,plate1 river1 see ,plata ,population1 density of 7table71 #aac-d2 #aag ,ports1 #hb2 statistics of 7table71 #hc2 on the ,parana1 #hb2 ,buenos ,ayres1 trade of 7table71 #he2 see ,plata1 #hf2 ,bahia ,blanca1 #hi ,property1 large private1 #abi ,provinces1 population of1 #aac-d2 produce of1 #acg ,quebracho wood1 effect on value of land1 #gd-e2 the quebracho industry1 #bdd-bdh ,railways 7#ia-aab72 mileage of 7table71 #ic2 general statistics 7table71 #id2 comfort and equipment1 #ie2 statistics 7table71 #if-g2 revenues of1 #ih2 administration and tariffs 7table71 #ih-i2 cost of1 #ii2 concessions1 #ii2 guarantees1 #ii2 mileage1 #ajj-a2 comparative mileage 7table71 #ajb2 projected lines1 #ajc-d2 ,government policy1 #ajd2 future development1 #ajf2 celebrated aerial railway1 #ajg2 indispensable auxiliary of production1 #ajh2 congestion of traffic1 #aji2 mileage and capacity of cars 7table71 #aaa2 warehousing by1 #aab ,rainfall1 #gc ,refrigerating industry1 #bch2 7table71 #bci ,revenue1 #cje-caj ,rivers1 #gg-hb ,rosario1 capacity as port1 #hj-ha2 second port of ,argentine1 #hg-h ,rubber1 #bja-b ,santa ,f1 #adb-c ,seasons1 #gb ,sericulture1 #aif-g ,shipping1 #aaj ,south ,africa1 trade with1 #bbe ,spain1 trade with the ,argentine1 #bai ,stock ,exchange1 the1 see ,bourse ,stock-raising1 7#afb-agc71 #abe2 where followed1 #abg2 probable decay of old large estancias1 #acj2 industry undergoing modification1 #afb2 use of lucerne in1 #afb2 account of model establishments1 #afc-afg2 breeds of horses1 #afc2 cattle1 #afc2 sheep1 #afd1 etc41 seq42 importation of pedigree animals1 #afh2 statistics 7tables71 #afi1 #aga1 #agb1 #agc2 value of stock 7tables71 #agb1 #agc ,sugar 7#ahg-aib72 where grown1 #ahg-h2 profits 7table71 #ahi2 size of harvests1 #aia2 bounties1 #aie1 #bcf-g ,tanning1 #bdd ,tariffs1 #bae-bag ,taxes1 direct and indirect1 #cje-cjh ,telegraphs1 #beg ,telephones1 #beh ,temperature1 #gb ,territories1 national1 population of1 #aac-d 7table72 private property in1 #abi ,textile industries1 #bdd ,timber trade1 #bdh ,tobacco1 #aie-aif ,trade1 foreign 7#baa-bcd72 exports and imports 7table71 #bac2 excess of exports 7table71 #bad2 metallic imports 7table71 #bah2 imports with countries of origin 7table71 #bah2 ,imports 7table71 #bbj2 exports 7table71 #bba2 commercial balance1 #bcb-d2 see industries 7#bcd-bdi72 in chilled or frozen meat 7table71 #bci2 value of exports1 #cbf ,trade1 see ,industries ,traffic1 through ports 7table71 #hc2 railways1 #hi-aab2 shipping1 #aaj ,tramways1 horse and electric1 #bef2 7table71 #beg ,united ,states1 wheat1 production of 7table71 #aeh2 exportation of 7table71 #aei2 trade with the ,argentine1 #bai1 #bbi ,uruguay ,river1 #gi ,valuation of ,soil 7#agd-ahf71 see ,land ,vines1 #abg 7#aib-e72 where grown1 #aib ,whaling1 #bdh ,wheat 7#aed-afa72 statistics of1 #acf1acg 7table72 profits of growing 7tables71 #adh-i2 production of 7tables71 #aed-e2 production per acre1 #aeg2 production in ,u4,s4,a4 7table71 #aeh2 yield per acre in1 #aeh2 exportation of 7table71 #aei2 exportation from ,argentine and ,india 7table71 #afj2 in ,canada1 #afj-a ,wine1 #aic2 imports of1 #aic2 consumption of1 #aic-d2 production of 7table71 #aid2 capital1 #aie ,,list ,,of ,,tabular ,,statistics ,,page ,traffic passing through ,argentine ports1 #aijg-h #hc ,produce entering ,buenos ,ayres market1 #aije-h #he ,inward and outward trade of port of ,buenos ,ayres #he ,railways1 mileage of #ic ,railways1 general statistics of #id ,railways1 gauge1 mileage and dividends #if-g ,railways1 freight1 cost of #ii ,railways1 mileage of1 comparative #ajb ,railways1 rolling stock and its capacity #aaa ,population of ,provinces and ,territories #aac-d ,immigration and emigration1 #aijd-h #abj ,immigration #ahig-aijh #abj ,progress of cereal production1 #ahhh-aije #ace ,production of cereals1 per province #acg ,area of land under cultivation in five regions #ada ,imports of agricultural machinery #adf ,agricultural machinery required by farmer cultivating #bej acres of wheat #adh ,approximate expenses and profits of the same #adi ,wheat1 the world's production1 #ahid-aijg #aed ,wheat1 distribution of crops1 #ahid-aijg #aee ,wheat1 produced in the ,united ,states1 #ahgg-aijg #aeh ,wheat1 exported from the ,united ,states1 #ahgi-aijb #aei ,wheat1 ,argentine and ,indian exportation compared #afj ,census1 cattle1 etc41 according to1 #ahhh1 #ahie1 #aijh #afi ,census1 number of different animals according to #aga ,cattle1 analytical statistics of1 #aijh #aga ,cattle1 horses1 etc41 values of1 #ahie1 #aijh #agb ,cattle1 horses1 etc41 table of national and comparative possessions #agb ,cattle1 horses1 etc41 table of national and comparative values #agc ,sugar-cane1 outgoings and receipts on #ab acres #ahi ,wine1 national and comparative production of #aie ,tobacco1 area planted with1 #ahie1 #aijg #aif ,mat1 importation of #aih ,trade3 exports1 imports1 population and commercial balance1 #ahfa-aijh #bac ,trade3 exports1 excess of #bad ,trade3 exports and imports of bullion #bah ,imports and countries of origin1 #aijf-aiji #bah ,imports analysis of1 #aijf-aiji #bbj ,exports1 destination of1 #aijf-aiji #bba ,exports1 increase of various branches1 #aijf-aiji #bbg ,exports1 of meat1 chilled and frozen #bbi ,exports1 of butter #bda-b ,breweries1 consumption and production1 #aijb-aijg #bdc ,tramways1 horse and electric1 of ,buenos ,ayres1 increase of takings1 #aija-aijh #beg ,factories1 statistics of #beh ,industries1 various #bei ,banks1 accounts of principal #bfd ,banks1 statistics of #bfh ,bank of the ,nation1 accounts of1 #aijd-aijh #bgb ,bank of the ,province of ,buenos ,ayres1 accounts of1 #aijf-aijh #bgd ,banks1 mortgage1 capital of #bgg ,bourse1 operations of1 #ahie-aijh #bhc-d ,bourse1 value of securities quoted on #bhd ,companies1 floated in #aije-h1 capital of #bia ,debt1 national or public1 #aiji #cab ,debt1 internal1 #aiji #cbb ,debt1 external and internal #cbc ,debt1 interest on #cbd ,securities1 summary of ,argentine and capital1 represented by #ceb-c ,securities1 revenue of ,argentine #cee-f ,capital1 ,english1 invested in ,argentine #ceh ,capital1 ,french1 invested in ,argentine #cfa ,agricultural and pastoral property1 total value of1 #aijh #cgb 99 99 99 99 99 ,,colstons ,,limited1 ,,printers1 ,,edinburgh 99 99 99 99 99 ,,transcriber',s ,,amendments ,transcriber's ,note3 ,blank pages have been deleted4 ,footnotes have been moved so as to follow the referencing paragraph4 ,paragraph formatting has been made consistent4 ,the publisher's inadvertent omissions of important punctuation have been corrected4 ,some table headings have been replaced with keys and a key table4 ,some table ditto marks have been replaced with the words represented4 ,repetitious front matter has been removed4 ,the following list indicates any additional changes made4 ,the page number represents that of the original publication and applies in this etext except for footnotes and illustrations since they may have been moved4 ,key3 fromto3 ,page ,change xix ,the four ,provinces of ,buenos ,ayres1 ,santa ,f1 ,cordoba,crdoba1 xxvi direct observation1 and hard-and-fashard-and-fast figures1 xxvii throne was transferred to ,cordoba,crdoba4 xxvii and founded ,corrientes,corrients in #aehh4 #gh ,territories of ,chaco and ,misiones,misions4 #id #bg1fib1bic #b1gfi1bic #if ,private ,companies 7,concessionnaires,concessionaires74 #ig ,railways of the ,entre prin,entreprise #ajj it had been enableunable to keep4 #acg ,crdoba,crdoba #adb ,general ,villegas1 ,trenque ,leuquen,lauquen1 and others1 #afa thanks to a concatinationconcatenation of favourable #afc stock-breeders have driven back the ,guacho,gaucho #afd an establishment known as ,la ,martina,martona1 #afe overlooking the majestic ,parana de leslas ,palmas1 #afe fox-terriers1 ,brahmah,brahma fowls1 ,catalans1 ,dorkings1 #afg warmed by steam caloriferscalorifier4 #agc it is worth less in the ,argentine than iin the ,states #agg payable half upon purchase and halhalf at the end #aig carved1 often by ,guachos,gauchos or ,indians4 #bjj ,investigaciones algodenerasalgodoneras en los territorios #bab which is the firsfirst year included #bcb ,see ,memoria del ,departemento,departamento de ,hacienda #bei #bh1dba1cah #dg1jcb1adf #aah1cae #aje1egaje1ege #bhf progressive movement which increaseincreases in force #cjc where bureauracybureaucracy is regarded as a calamity #cbc the latter will inherit as thingthings are4 #cef ,table was split up across two pages4 ,now it is all on p4 #cee4 #cgb ,crdoba,crdoba #gc1hjj #cgb ,catamarea,catamarca #a1hcj #cgc balance-sheets of1 #bfebfd-bfh2 99 99 99 99 99