The sun. [volume] (New York [N.Y.]) 1833-1916, 1876-03-26

that tue metal whose delivery Is the more con
stant and lculahlc would universally be made
the standard OF value. We It Is equally impor-
tant to estimate the variations in the demand for
the two metals, as well ~ their avnlaoilitY Tor
the calculation 81 large sums, fJr transportation
to great distances, and for o,unomicd coinage
In irouortinn as the cnmmcrrih system ~ a
nation becomes expanded and hisAly cr.an 1cd
the latter considerations are observed to DOM
mate
The insignificant sums which IN primitive
times were paid for labor and the rude products
of the forge and loom would naturally encour-
ace a preference for the more voluminous metal
over that whososmall bIlk enhanced the dan
ger Of loss. Accordingly we lind the mode Of
reckoning by silver almost everywhere preccde
the use OF gold In the oldest Bahylonian cur
renew for instance. IN the Lydian system. whose
slater had weight Of two silver drachmm IN
the earliest Greek money uo to 407 Il. c., and In
Rome prior to the close Of the second Punic
war. So, too, silver currency was rcinstatcd
under the Carlovingian monarchy and during
tho four succeeding centuries throughout cen
trail Europe, and once more alter the discovery
Of America until the second half Of the present
century. Yet II Is noteworthy that the Persian
Empire at the acme of its power, that Greece In
her bloom, ana Rome In the plcnitude Of her
world -dominion adopted a gold standar and
that the Italian republics in the thirteenth
century having attained TO a remarkable com
mercial and intellectual development, con-
formed to the same precedent.
II Is true TINT In some Of the cases cited. the
preference for silver dctued by rudimentary
condition Of industry aud trade was doubtless
fortified by the superior facility ana certainty
which attached to the supply OF that metal. We
la, t,1 81. all eI,
discoveries IN California and Australia the bulk
of gold consumed by tho countries ringing the
Mediterranean was drawn from beyond the
Euphratos whereas the silver mines Of Laurium
and Thrace and subsequently those Of Spain
might be relied on for an ample and constant
prod uct'on. II appears. however. at first sah.
inexplicable that a gold standard fairly estab-
lished In Europe through the innue-ce OF the
Italian republics should have been abandoned
In the sixteenth century, the precise epoch
when the relative value Of silver suffered mos:
violent dislocntion. But this period being CO.
incident with the decIy OF Genoese and Venc-
tian commerce, and with Ottoman domination
In the L-van', the importation of gold from
Asia must have been subject to frequent and
serious Interruptions. Moreover, II W - the inter.
est OF tne house OF Austria to substitute silver
coinage. which her control OF Spain. Italy,
W
ubled her ~ enforce. Since the adjustment or
values TO the depreciation of the standard was In
that day slow and Intermittent. the masters OF
Mexico and Peru were Ia position TO confirm
ousy defraud the states Of L lrope. az a counter
feit-r may enter to his credit 50 much OF his
fraudulent issue as he coniryes to float before
detection.
A Classification by values OF the collective bll-
lion product between toe years 1890 anl ISIS ex-
hihits three billions of dollars In gold. and
nearly seven bill ms 10 the white metal For
the period from ISIS to 1873 this relation was
precisely reversed. the percentage OF gold con
shutting sixty-ci-ht and that Of silver thirty
two per cent. Of tho whole yield. Now. that in
highly organized commercial system the ques-
lions Of convenience in computation and trans
port and of economy IN coinage outweigh all
others mas be considered demonstrated by the
fact that the last named period. when the dis
turhance Of equilibrium was entirely due to
gold, was DISTINGUISH d oy the almost unani
nous remuneration ola silver standard through
out Europe.
Tho movement naturally was initiated by Eng
land, which had established a gold standard In
1917. For half century. however. most Eu-
ropean countries cung 10 the delusion that tho
oscillations Of the bullion market might be
counterac,cd bv the makcshift OF a double
standard. a. II disturbance OF RI tive values
would not entail the withdrawal Of the anpre
ciated metal from circulation At length IN 1886,
by the soc ,llei Lam Coinage League, France,
Belgium, Swlizcrlnnd, and Italy accepted In
principle the GOLD standard to which Spain AMI
Portugal. thu scandinavian kingdoms, Roume-
MIA and the Un,ted states now conform. Lastly.
tho German Empire vita the beginning OF the
current year declared its deantlve adhesion
TO the same measure Of values. Alone amon-
the great commercial States Austria and Russia
uphold q silver standard. Holland hlyinr latcl,
taken preliminary step toward Identification
with the general Euro can system.
The tremendous shrink ge Of demand occa-
stoned 10y the almost universal reputation of
silver as measure Of value undoubtedly con-
sttutes IN important cause OF its pres
ent depreciation. Two other circumstances.
however. have notably co6perated One
obviously Is the Unprecedented expansion
Of silver production In Nevada durn.
the last few years, coinoident with signal fall
Ing "A IN the Weld of Australian and Californian
gold fields. The other Is the sudden and mys-
FERROUS contraction Of the outflow 10 the l. 81.
the amount Of silver shipped 10 China and the
Indies having sunk from sixty-nye millions IN
1851, and thlrty-1ve millions in 1895, 10 less than
twenty-five millions In 1871 the decline In the
export OF this metal being accompanied by
increased shipments ~ gold. II Is owing TO
these concurrent causes that the silver oun'e,
which ten Years ngo was worth siSty-two Ience
IN the London maiket, WAS in NAV, $50. worth
less than ifty-seven. revealing relative depres-
sion Of seven per cont.
Al parently the dethronement OF silver az a
standard OF values is conclusive and irreyocablc.
Yet a reversal Of the present conditions Of pro-
duction-the exhaustion, for example, of the
Comstock lode, coupled with discovery OF vast
deposits Of goli-mught go FAR to rehabilitnte
the discredited metal In all questions respect
ing the ultimate supply Of the precious metals,
as well as OF the useful minerals, China repre-
sents an unknown factor which may one day
nulllfy our calculations. The gold mines and
placers Of northern China sre reported to be the
richest on the globe. To what extent their Wig
orous deve lopment, following the displacement
of the Tartar dynasty by a great European power
-supposing that Russia should attempt aud ac-
compllsh 80 imuIeuse an enterprse-might reyo-
luuonize our standard Of value, must be reck.
oned among the problems Of the future
Uncle Daniels sharp Son-in-Law.
Neo Torh Correspondence Of ne Boston journal
Mr., Drew had daughter who was
widow and very rich Her father WAS trustee
and had the handling Of her money. lie kept