The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1878-09-05

THE rR DE DoLLAR-lTs HISTORY AND RE-
SUITS or IRIS COINAGE.
Tho following Is inc Official history of the trade dol.
lar and results of It's coinaso:-
TREASURY DEPARrxExr,l
OFFICE OF THE SECRkTARY,
WAsnIKGroN. sept y, 1875
o. II. Booru, Esq., Mansfield, Ohio:-
SIR hasten 70 fHlA the promise mads you that
upon my return 10 the department would write you
FULLY concerning the Issue tho trade dollar and the
present depreciation In It's value
Tho coinage Of this dollar was authorized by the
Coinage act Of February u, ls7s. In words as ol-
"rnai any owner Of silver bullion may deposit tho
same at any mint to be formed into bars into dol
lars OF the weight OF 400 grams iroy dcsepa IN
this rado dollars. and tho charges for convert
ing standard silver into trade dollars, Tor melting and
refining when bullion rs below standard Tor tonghcn-
ius wncn metals src contained in IL which render II
unit Tor coinage, for copper used for alloy when the
snver when those metals exist together in the bullion
and Tor tho preparation oil bars, shall DO liked from
nmo TO ums W the Director Of the Mint with the
equal but not exceed in their judgment the actual
average cos, 70 each mint and assay occ oi the ma
toria labor, wastnge and use OF mat hincry emp oyed
eacn Of trc cases aforementioned"
AS It's name Indicates, the purpose Of this coin WINS
vii. other coins tue law made IL legal tender Tho
amount OF IS IN any Que payment. Al the tmo OF
the passage OF the act the acsual vauc Of this dollar
inc no charge OF and quarter cents for
coinage WAS little more than 104 IN gold. Under
such circumstances there could DO no ebj-ct Tor tho
Quenily they wero exported mostly 10 Chine, whcrc
from lack OF circulating moItum these pieces, con-
government as thor weight aud oneness Obtained
extensive circulation aud created market for The
silver Of the Pacific States, as intended by the &C.
Alter few mo nhs, however, an unforeseen dcprcci-
aion The value Of SILVER bullion occurred, aud IN
she early part OF 1876 this depreciation reached such
point hat 81 IN god would purchase moro than the
ssary Of silver Tor trade dollar pay
Undcr such conditions dealers IN bullion found
nruii m "A
par IN tho Pacific States, where Tho currency was
upon gold basis, but the csn being legal tender Tor
only So It's cirouistiou was necessarily limitco Ia
amount as we'll rs restricted IN locality.
The people Of tho Psc,lic Stascs objected to its
all Tor circulation, and the atcnton OF Congress
having been called 10 tho matter tho sth oil May,
1876, Hon. samuel j. Randall oil feDnsylvsnia, IN
.rsaseca into the House o, .%o ,a5a sec.'Gn %
coins. On tho 10Th OF juno following Hon. 3. 8.
Cox. Of New York, reported ihc measure to tho
House. urging IT'S adoption. No objection rnlssi,
aud II became law July %, 1875. without nodinca-
ticn or an Opposing voice or vote IN either house,
"rhat the trade dollar snail not hereafter DO legal
tender, and the Secretary Of the Treasury Is hereby
authorized 10 limit iroul timo TO time the coinage
thereof 10 such amount as he may deem sufhelout
10 meet the export dcmsnd for tho samc."
Up to tina, time tcxce ping Tow daysl and for
several months thereafter tho trade dollar cost more
than paper currency dollar, and consequently none
Of the coins got into circulation In other than the Pa
O~iDg TO tho appreciation Of tho paper currency.
however IN tho fall Of 1871 the trade dollar became
~ less value than the paper deIar, and In December
Of that year a large number Of them were put into
circulation at their face value, at pront 70 the own.
crs Of the bullion.
Apprchcns,vs OF such misuse Of the coins on the
10th Of October, In that year. ordered the discontu-
uancc OF thor coinage at the mint at Phiadspha and
four days later at the other miuts. Meanwhile the
department. IN rcpiy TO merous inquiries, had Unit.
fofmly stated that the trade dollar possessed oniy
commercial value, depending upon the PROC oil silver
bullion.
IL will be seen that the put into orculs.
on months after the passage OF the act taking from
thom their legal tender character In their coinage
and issue the department has never had any interest
or derived any PROFIT For the expense Of tner coin
tho owner Of the bullion reimbursed the govern
mcnt ana thuscndcd tue oil tho government
with tho transaction Az no Zine aud on account
have thcy ever been received or paid out w the
Treasury, aud II B cause oil regret that SO many Of
our people should have accepted sbon a. their full
value, thus enabling their owners 70 put them Int
circulation AZ considerable pront .t 4 ~
Under date Of July rs, 1873, the Director Of the
Mint published tables from which the value o.
thess coins be ssosrtaissd He does not advise
any TO disposs Of them II such rates. The Ia y
under which tho department buys bullion with whicu
10 roin tho standard SILVER ovisr requrss tho safus
~ be poueht III the nsrxst price, ana can PURCHASE
trade dollars only buiiion. Possibly IN time these
coins will 6nd ready market In China a. nearly Of
| quito their face value for circulation ~ coin.
II chs connsssisa Psrmas ness sssrSoe % ussnR