New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1878-11-27
SJIYFp IVD TBE LJTyY Union.


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SILVER 4ND THE LATIN UNION
The bmetallic standard has been formally
abandoned, for sshe present at least, by the
Latin Union. The details of the convention
recently concluded by the representatives of
the five Powers are now known. One year
still remains of the period covered by the
former treaty, and during that year the COIN
age of silver lega-tender will wholly cease in
all the countries of the Latin Union, except
that Italy still retains the right of coinage to
the amount of 2O,OOO,OOO francs-abOut
$4,OO0,OOO. Less silver than the United
States law permits to be coined III a single
month can therefore be coined during the
whole year 1879 by all the Powers of the
Latin Union. But a new treaty binds those
Powers TO abstain wholly from coinage OF sill
Yer in pieces of five francs each or more, for
six years from January /, 1850. This COM
pact can he set aside only by agreement OF all
the Powers. The annual conferences are not
to be continued. For seven yeaT& to come,
excepting $l,00O,00O to be issued by Italy,
the Powers undertake to abandon silver coin
age altogether. Yet it was to the nations OF the
Latin Union that people of tho United States
were pointed for sympathy and support III the
elliott 10 restore silver to its lost place in
commerce. TO the experience of the
Latin Union we were and still are
constantly referred, as proof of the surprising
excellence Of 1.-The doublc standard" The
Statesmen and the people of those nations do
not seem to appreciate that blessing, for they
make haste to get rid of it, for themselves and
their ncighbOrs, for seven years mt least
4 To-.
least for seven years, OF an attempt which
was virtually abandoned long ago. When the
nations of the Latin Union agreed to limit
their coinage of silver, they virtually abOl-
ished for a time the silver standard, and re-
| solved TO rely upon gold alone ior the COM
mercial measure of values, with silver in use
only as n subsidiary or token coinage.
The distinction, so little understood year
| ago in this country. has been sharply taught
Ivy experience under the act Of the last session.
We have seen that the coinage of silver being
restricted, no silver dollars can be got into
circulation excepting as the equivalent in cost
and the representative or token OF gold dollars
Under such circumstances they are not cheaper
than gold, and no one wants them, because
they are more incOnyenent than paper
| Precisely the same conditions have sus-
tanned the value of the silver coins in
France and the other countries of the
Latin Union. Nobody could take silver
To the Mint and get it coined. The only coins
issued were by the Government, and there
fore cost exactly the same gold coins to
the receiver. And the issue was so far linn
tied that the coins, once placed in circulation
ut a cost equal to that of gold coins, returned
to the Government without depreciation and
at the same value. As long as the coinage
and issue of silver is in like manner re-
stricted here, SO that the dollar is in reality
only subsidiary or token coin, no serious de-
precIaton can occur. But in this country it
is gravey proposed to open the fiood'eates of
unlimited coinage, mt the very moment when
the Latin Union decides to abstain for seven
years from even Il restricted coinage.
1t is very strangely reasoned by some who
should be better informed, that the large
supply of silver com in France Is an import
ant element in the prosperity of that country.
Even The bulletin, noticing an estimate of
! the coin outstanding, whether in bank or not,
observes ITO this must be added $500, 000,-
200 francs of circulating notes of the Bank
:" of France Not ut all, for the bank holds
against those notes 2,O63, 100000 francs in
specie. Obviously it is an error TO count
rs Gin circulation both the notes
and the coin held for their redemp-
ton. The entire coinage of legal
tender silver Give francs) now remain
ing in France is estimated, in an elaborate
article in the Economists FRANCHISE, at 1916
| OOO. 900. OF this amount large but I'M
| known part is included in the $500, 100000
| of specie in the bank. Ii does not appear
that the Ec0pOmiStc has data from which to
estimate the amount of silver remaining within
the limits of France alone in the form Of COIN,
| and probably no estimate can be other than
| eonjectural which attempts to fix the amount
lost or melted down during ninety-three years
| of coinage under the present system, or
| taken into neighborng countries in which, by
the convention of the Latin Union the
same coins are n legal-tender. But the great
| fact which explains the phenomena of French
| currency is that the use OF banks is compare
lively unknown, and yet the people are above
all others given to boarding In this country
checks, drafts and bills take the place of coin
| in known payments amounting to over $780,
| O0,000,0OO yearly, and in unknown pay
ments of vast amount. The use of the
cumbrous silver coin, by such people, must
of necessity be very limited.
| GENUINE LOYALTY.
| Because the South pleases TO vote the