, 1877-12-30

/ we pIl1lt ILLS morning 1Cttef 1TuH1 nAl.
z. STILES Elk, in which ho warns the peo'
pie Of the West against the total wreck OF
credit which is involved in the coinage o1
| silver. The argument is peculiar. It asserts
that the great need of the West is abundant
aud cheap capital; that this capital is to be
men holding this capital will not lend it, nor
permit their sons to lire in the West, if tie
West lns loose notions on money matters !;
that these capitalists want an exclusive gold
currency; thnt they want silver abolished as
money and that, if silver bo remonetized,
the West will not be able to borrow any
money, and, havingn no capital, will 60 to the
bad bowwows Of general wreck aud ruin.
That is the argument. If it have any force
or point, it means TINT the holders Of
1oanable money will not lend silver
to tho West, even at good interest;
that they will only loan gold; that,
in their anxiety to furnish the West with
"cheap capital" they will refuse to lend
| silver, which may be abundant, but will lend
| gold, which is scarce, in great demand, and
| Very dear. It seems to us that the argument
furnishes its own complete refutation. Tho
moral nature of the man who lends money
for hire has rarely reached the point that liz
will refuse to lend that kind Of money which
is wanted. From 1869 to 1877, there hts,
never been time when Eastern capitalists
wero not willing to lend paper dollars.
Even when paper dollars were worth but 40
cents each, the Eastern capitalists did not
hesitate to lend them to the Government,
and to the people Of the West, and take
therefor notes, aud bonds, and mortgages
payable thereafter in dollars, with good
round rate Of interest annually. The moral
vo1ted against lending deprecated money at
high rate Of interest, the debt being pay
able in lawful doilhrs, though such dollars
may ba worth 10, 20, or even 80 per cent
more than whom the debt was contracted.
Admitting the extreme possibility that re-
monetized silver may he at discount in !
gold, it will naturally be abundant, and will |
seek investment. Why will not capitalists |
lend silver as well as grecnbacks? Why is
1t TINT gold will be the cheap capital, and sill
yer the dear money? Mr.. E1r betrays his
ignorance Of the subject which be discusses.
TO contract tEa-a9:, the meta1lic currency Of the
sole means Of payment and the soi5 elssthieg tbs !
Of values, would have the direct and im1ne-
3iata effect Of depreciating the gold values
of every form of property, except mortgages
md bonds. The value of gold being thus
above its ordinary value, the !
present rates of interest would be substan-
tally increased. and, the amount Of 1oauable
unds being limited, the demand be-
ng urgent, aud the rates Of in
crest advanced, the want for abun- ]
liant and chenp capital would hardly find | :
satisfactory response from the gold market.
'he permanent decentralization of silver +
'ould give to gold an increase of value not /
asily measured Where gold dollar now Il
!; the equivalent Of a bushol of wheat. the II
old dollar, made tile exclusive metallic i
loney, would lave q value equal to perhaps r.
bushel and nhalf Of wheat, and would have Il
ke increased value mall other forms of prop- y
:ty. One hundred dollars Invested in n 1oan h
ade payable in gold, with silver aud eli 9th I,
money permanently demonetized, wouid c
qniro property equivalent to $Io5 to S140 81
gold ut Its present ynlne to par it. 70 at
ing about this condition Of things. }te ~
citing out OF one-half the worlds supn1v CT
metallic money, in order to give increased W
lue to the other hall, is, according to Mr. u,
r, the way to make loannblo capital RI
undnnt and cheap. The trouble with the II,
il that money is too c1eap. de
le argument Of the scientific aud the finan- of
experts is, that metallic noney is too in
cap +; that the dollar ought to buy moreland off
ire food, and more property; tint there re-,
too much metallic money, und tLerefona e.,
tho silver should be discarded as moncv.
'ola not be tolerated any Ionger,-in which in
"a the gum Of gold in the worlds use will str
70 the money vnnc Of the present sum of tho
h metals combined. The gold dollar of ga,
future, If silver cau be geuer.lly demon sne
ed, will havo noarly double the yutue in mar
chasing power of the dollar of the pres tbr
, and Tie man whose bond or 1norteaoo for
fall due III those days will nutl that, con
to only the san1e number Of dollars NAV mn
sxacted Of him, it will Require twice the mi,
'r and twice the amount of property to | mi,,
dollar that would be required if the to
inc Of metnilic currency were maintained sar,
silver served with gold as the money If a ~,
kind. TO claim that this condition Of toni
gs is necessary to make toauable funds !. nj
ndant and Fcheap," as does Mr, En- obic
us, .>' - AH eA'teo1e case Of dis garit
>. 'A"l'on' fortr
Q are opposed to magnifyine the Of
u. The people Of the West do not t1;s
Z or believe that metallic money is ,n,p7
heap and so plenty that its value must forct
Increased by reducing its quantity one ,non,
The people of the West do not want nonst
'oliar reduced in size or value, but thev mid3
- '. a"'i"e u increased The in e,
&c ind private debts OF the country are that
TED by the thousands Of millions of IF 81,
rs, all payable in coin dollars, aud this s1,c =,
lime to insist upon having these coin Rns.;
IS increased in value, in order to m occun
the sum OF labor and of property Rans
red to pay the debts. Such an iucreasa sor~o,
value OF money would be equiya]ont 7vh;o1,
condscation of the property held as rnn;1
q Tor these thousands of millions If hn+ :,
Of public and private debts, and vet Drooc]
Pretending to be sane insists TINT She fs
Ia >, &1@n7 - essential to make is left
'le capital "cheap" aud abundant f,rtt,