But now, at the very sources, the full flood of the somewhat turbid tide of
prosperity was beginning to fail. The ebb had not yet reached the civic
consciousness. It would have required a philosopher, and a detached
philosopher at that, to have connected cause and effect, to have forecast
the inevitable trend of events. If there were any philosophers they were
not detached! Nobody had discovered the simple truth that extravagance,
graft, waste, cost money; and that the money must come from somewhere.
Realization on its property and taxes were the twin sources of the city's
revenues. The property was now about all sold or swindled away. Remained
the taxes. And it is a self-evident truth that people will pay high taxes
cheerfully only so long as they themselves are making plenty of money
easily.
Up to this period such had been the case. Prices had been high, wages had
been high, opportunities had been many. Enormous profits had been the rule.
Everybody had invariably made money. These conditions upset the mental
balance of the shipping merchants back East. A madness seemed to obsess
them for sending goods to California. The mere rumour of a want or a lack
was answered by immense shipments of that particular commodity. The first
cargo to arrive supplied the want; all the rest simply broke the market. It
was a gamble as to who should get there first. The immediate and
picturesque consequence was a fleet of beautiful clipper ships, built like
racing yachts, with long clean lines and snowy sails. They made
extraordinarily fast voyages, and they promptly condemned to death the old-
fashioned, slow freight carriers. Indeed, four-hundred odd of these
actually rotted at anchor in the bay; it had not paid to move them! Some of
these clippers gained vast reputations: the Flying Cloud, the White
Squall, the Typhoon, the Trade Wind. The markets were continually in a
state of glut with goods sold at auction. This condition tightened the
money market, which in turn reacted on other branches of industry. Again,
the great fires of '49-'53 resulted in the erection of too many fireproof
buildings. Storage was needed, and rentals were high, so everybody plunged
on storehouses. By '54 many hundreds of them stood vacant, representing
loss. At that period the first abundance of the placers began to fall off.
Agriculture was beginning to be undertaken seriously; and while this would
be an ultimate source of wealth, its immediate effect was to diminish the
demand for imported foodstuffs--another blow to a purely mercantile city.
All this made for excitement, some immediate gain, but a sure ultimate
loss. Markets fluctuated wildly. A ship in sight threw operators into a
fever. No one knew what she might be carrying, or how she would, affect
prices. It was, therefore, positively unsafe to keep-many goods is stock.
Quick, immediate sales were the rule. And failures were many.
Now in these middle fifties the pinch was beginning at last to itself felt.
Everybody was a little vague about it all, and nobody had gone so far as to
formulate his dissatisfactions or his remedies. The tangible result was the
formation of two as yet inchoate elements, representing the extremes of
ideas and of interests.
The first of these elements--that can with equal justice be called the
parasitic or the middleman class--consisted in itself of several sorts of
people. The nucleus was a small, intellectually honest set of men who
believed, in the law per se, in the sacredness of formal institutions in
the constitution, and in the subservience of the individual to the
institution. This was temperamental. Behind them were many much larger
groups of those needed either the interpretation or the protection of the
law for their private interests. These were of all sorts from honest
literal-minded dealers, through shady contractors and operators, down to
grafters and the very lowest type of strong-arm bullies. The tone and
respectability came from the first, the practical results from the second.
The first class had a genuine intellectual contempt for men whose minds
could not see--or at least would not accept--the same subtleties that it
did. Its members were fond of such phrases as the "lawless mob," or the
"subversion of time-honoured institutions." This small, subjectively
honest, conservative, specially trained element must not be forgotten in
the final estimate of what later came to be known as the "Law and Order"
party.
On the other hand was first of all an equally small nucleus of thinking men
whose respect for the law, merely as law, was not so profound; men who
were, reluctantly, willing to admit that when law completely broke down in
encompassing justice, individualism was justified in stepping in. Behind
them was a vast body of more or less unthinking men who recognized the
indubitable facts that the law had become a farce, that justice had
degenerated to tricks, and who were, therefore, instinctively against law,
lawyers, and everybody who had anything to do with them.
Strangely enough this made for lawlessness on both sides. Those who
believed in "law and order" committed crime or misdemeanour or mere
injustice, sure of escape through some technicality. Those who distrusted
courts administered justice illegally with their own hands! Nor was this
merely in theory. San Francisco at that time was undoubtedly the most
corrupt and lawless city in the world. Street shootings, duels, robberies,
ballot-box stuffing, bribery, all the crimes traceable to a supine police
and venal or technical courts were actually so commonplace as to command
but two or three lines in the daily papers. Justice was completely
smothered under technicalities and delays.
The situation would have been intolerable to any people less busy than the
people of that time. For political corruption in a vigorous body politic is
not, as pessimists would have us believer an indication of incipient decay,
but only an indication that a busy people are willing to pay that price to
be left alone, to be relieved of the administration of their public
affairs, When they get less busy, or the price in corruption becomes too
high, then they refuse to pay. The price Francisco was paying becoming very
high, not only in money, but in other and spiritual things. She could still
afford to pay it; but at the least pressure she would no longer afford it.
Then she would act.