After having formed his staff, Mr. Hearst launched his paper, publishing it at a cent. The _New York Herald_ is published at three cents. The _World_ was published at two cents. Mr. Hearst published morning after morning an eight and a twelve page paper at a price below the cost of production. Mr. Pulitzer, recognising that at last he had found a real rival, reduced the price of the _World_ to a cent. From that day to this the two rivals have wrestled together without ceasing. They both publish morning and afternoon and Sunday editions. They both are profusely illustrated. They both cater directly and avowedly for the million, and the million responds. The weaker of the old-fashioned papers went down beneath the feet of the contending giants as the forests went down under the trampling of St. Tammany and the Devil. But the circulation of the _Journal_ went up steadily, until in two years Mr. Hearst had a Sunday circulation of 400,000 at five cents, while the average daily sales of the morning and evening journals reached 350,000. The circulation of the _World_ was not seriously impaired. The _Journal_ grew not at the expense of its rival so much as at the expense of the other papers which were less up-to-date. Of course this result was not achieved without prodigious expenditure. Never before were such salaries paid on any newspaper. The secrets of the counting-house are not revealed to the outside world, but Mr. Hearst is said to have half-a-dozen editors and artists, each of whom draws the salary of a Cabinet Minister. Money flowed like water. Nothing was too much to pay for a first-class, exclusive piece of intelligence. Journalists of the old school stood aghast at the _Journal’s_ prices. And, what made the expenditure appear still more outrageous, for a long time there were practically no receipts. Advertisers, even in the United States, are a conservative race. A newspaper appealed in vain for their support. They would come in, but only at low prices. Mr. Hearst said they might stay out; they must come in at his prices or not at all. They took him at his word and stayed out--for a time. But now they are coming in shoals, and the advertisement columns day by day attest the capitulation of the advertiser to the newspaper. The direct cash loss on the first year’s editing of the _Journal_ could hardly be less than £200,000, if, indeed, it did not largely exceed that sum.