Clearfield Republican. [volume] (Clearfield, Pa.) 1851-1937, 1878-02-27
COINAGE or SIL YER.
sPEECIr OF
HON. WIN. A. WALLACE,
OF PENNSYLVANIA
IN THE
United States Senate,
JANUARY 30, 1918.
COINAGE or SIL YER.
Concluded from last ,eeek ]

n proposition TO which he assents?
Mr. Wallace. do not. and tho al
swer il in the figures which | have a
. readv ciyen--tbe Senator pcrbaps di
not hear them-as TO France, IN whic
a conclusive answer-is given 20 th
Senator's question. for il is clear tha
with a bimetalIic standard there gol
il not expelled. but on the contrar
silver flows there. and they have NOR
gold in that country than in England
Mr. Allison. Gold flows there?
Mr.. Wallace. Gold and silver bot
flow there.
Mr.. Bayard As ! understand th
standard of France. called to day a b
metallic standard, is only nominally &C
1t is not true, as | understand, us
matter of fact, that il is so.
Mr.. Wallace. As matter of fac
! the fivc.franc piece is to day in circu
lation with full egal.tender power il
France, paying debts just as gold does
remaining there iull legal tender
and il is so in Germany: the slve
lhaler is iull legal tender there jus
us the gold mark is.
Mr. Bayard. | will not interrup
my honorable friend in the course of
prepared speech. There il time enougl
ior us TO discuss the question hereafter
thought he was stating as | said, bu
one hall the proposition, and | merely
wanted TO know whether he admitted
the other half that whichever way ant
in regard to whichever metal the un
LIBERALIZATION by the stamp Of authority
is made, il is to that metal decree oI
banishment and exile from the curren
cy of the country.
Mr.. Wallace. fully admit that tn,
political economists OF England argue
that they argue it solely upon the
ground OF their own practice and ex
perience but l say the practical fig
uies, as demonstrated in France anc
Germany and by our own experience
today, contradict aud deny II absolute
ly. The test is simply whether the
people with whom geld Is to remain
will sell and produce more than they
buy and wear and eat. III the view
taken by the Senator be correct that
gold is to fly from us, then it necessa
rily follows that we must have enough
OF this fnll legal-tender money oil silver
to be paid to us Tor the commodities
that we produce and sell IN the mar
kets of the world, to be returned to Vi
in lieu OF all the gold that would natur
ally and otherwise come TO us. Doc
trines based upon the experience OF
given nation around which certain
theories are built up, are not an answer
to facts that exist IN the living rca'l
ties OF the present day.
But, sir, in regard TO this bill beior,
the Senate. This bill is not the Blanc
bill. The free-coinage feature is out O
it. Under that bill any one could tax,
his silver to the mint and deposit it fol
coinage free. A supply for years il
advance might be lodged for coinage
BY the Senate amendment it is provid
ed that we shall buy monthly in th,
open market all the silver bullion W,
use, not less than two nor more thai
four millions of dollars each month
The difference between the price o
bullion and the coin value of the dollal
is profit or seigniorage to the Govern
ment. The value OF this provision, I,
my mind, is in the regular monthly de
mand Tor bullion. We are custome
ready to buy. our vaults arc not iileC
with bullion, and as months roll on th
demand adds to the value OF the raw
material
The law of supply and demand ap
plies to gold and silver bullion as /,
any other commodities. The annua
supply OF gold Is about ninety millions
OF dollars OF silver about seventy mill
lona Lessen the demand for either ii
commodity aud it's price decreases
increase the demand and its price tend
upward at once. IT, therefore. n dc
mand for silver 10 be vested with mon
ey function be created larger than be
fore. the price of bullion must rise. /
we coin annually one. .balt oftbc' world
supply of silver its rise in value is m
eyItable. If silver takes the place O
pold as money in any large detree. th,
demand for gold bullion il 10 that OK
tent decreased. We thus see the law
of demand and supplv operatiny unor
both metals 10 canse their anproxiina
tion. This. too. treated as mere com
modtlcs or merchandise and not NJ
, money. IL Is this very law that bal
caused the OWL we now seek to rem
edy. Germany in her MASSAGE IN i'm
perial unity snbstitnted gold t3r silver
France in her selfdelense. ceased coin
are of silver for time and our net o
lS73 had the same effect This aetio,
necessarily leauened the demand TO
silver. and its market value bas q
course fallen. It's dcmuuvtizutluu nm,
non.us nut il upon mar with othe
merchandise unded add to the value q
its rival gold. With nll,bis il has no
fallen as compared with other commo
: dities. IL will buy as much land o
wheat or labor now as il would in 1879
= but gold will buy more. IL gold tha
has risen, not silver that has fallen. o.
the basis of the relative production O
the metals silver is the more valuabl,
Tor while We get annually nine of gol
we get but seven of silver. The art
and abrasion of silver consume abou
one third OF It's annual product. Chin