New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1873-10-23

ginning of the war, passed from the use OF
paper money of the second class to that of
the third. Gold and silver have been
slipping out of the country ever since.
In the six years ended June 30.
1881, the exports of gold and silver coin and
bullion exceeded the. imports by S233,5O0,o OO
which we may interpret to mean that the
mines produced enough TO enable us to MAIN
tain paper currency of the second class for
growing population, and export about forty
millions of gold and silver year. In the
twelve years ended June 30, 1873. the exports
of gold and silver exceeded the imports by
1888, 800 900, an average of fifty millions
year. This shows, since our mines have no'
increased in productiveIess, that by passing
from tho partial use of gold and silver as
money to the use of paper only. we nave oy
an inevitable law, been depleted OF most OF
the gold and silver that formerly circuidtol W
the country Az Mr.. Boutwell, would say' me
balance of trade has been against u.s.
Ill. Let us now glance at Mr.. Bo"tWeITs
policy as Secretary of the treasury wien
appears to have been TO maintain the Diiahco
of trade in our favor by keeping ABOUT one
hundred millions in gold locked up IN the
Treasury-we refer to the gold opned 10y the
Government, excluding that belonging to pm
vate depostors. That policy failed because
Mr.. Boutwell, and his successor supposed
themselves to be under the necessity OF letting
} the gold out from time to time to Keep the
premium from advancing, 1t being as5uheu
that the price of gold was the measure OF the
public confidence in the solyency or the
Government The gold owned by the
United States has therefore, steadily decreased
from ninety millions on the 1st of November,
1870, to eighty three millions on the lSt OF
November 1871, to fifty-seven millions on inc
LIST of November. 1872, to ffty-two millions at
the present time. In the three years since tao
LIST of November, 1870, the price OF gold' 10"
at the lowest point since the war, after many
fluctuations. has fallen but three per cent
The truth il that gold and silver nave ieiI
tbis country because we have made them use
Iess "a money. The only way to get them
boct ia IN make a use for them by providing
for specie payments. BY issuing seven nun
dred and fifty million dollars of irredeemaDle
raper money we have driven the precious
metals out of circulation and Invested them
of their utility. Whenever we can cOntTive to
make them serve the useful purpose for which.
uppdTcHIOg JItJ nCAO CiO"''"t wv D"''N
have the balance of trade in our
favor. AT the present moment. owing to
an unhealthy condition of our credit system,
gold is imported from England. SO it was in
1857 and 1861, and in former panics. But we
have no more use for gold now than we had
a year ago, and it will speedily recross the
Atlantic. The only way 10 make it stay with
us is to increase its value, and that can only
be done by making room for it to circulate as
money in company with paper of equal value.
Mr.. Boutwell,. MIR. Spinner, and the other
riders of the balance of trade hobby
reverse cause and effect BY max
ing our currency scarcer we shall
improve its value. and by improving its value
we shall turn tho balance of trade in our
favor. The more valuable the currency of
the lower are the prices of its com
modities and the greater Its exports. Gold,
instead of being cheaper here than in any
other country, must be dearer than in any
other before the normal condition of trade
will bring it to our shores. If we improve
our currency we shall attract gold from
abroad If we further debase it the best
things the Government can do are 10 keep its
hands off the much abused "b'ills" of the
Gold Room and to hoard coin. Otherwise the
whole stock will be exported