The sun., 1879-01-13


European delegates. The declaration sub
sequently made, however, must be taken
into account. Belgium, Switzerland, and
Russia for instance, affirmed that they had
adhered to the proposed response because
it did not contradict the mono-metallc doc
trinc. In the latter country, We may here
point out, while the paper rouble forms the
bulk Of the circulating medium, both gold
and silver may nowbe legally coined; but in
view Of the attitude taken by her representa-
tive it is not improbable that gold stand
ard may be adopted in the near future. On
the other hand, the Austrian delegates
stated that their signatures were given be-
cause the response contained nothing CON
trary to bi-mctallic principles On the same
ground Italy consented to join In the reply,
although she strongly protested against its
studied ambiguity. 1t is believed that Hol-
land, whore both metals are now legal ten
ders, would have put on record similar views
if her delegates had not been absent. NJ.
LEON SAY, however, who represented France,
vigorously seconded Mr.. GoscHEN through
out the Conference in the defence of the gold
standard, although by the conditions OF the
Latin Union he is unable for the present TO
secure the complete adoption OF his princl-
pies. 1t only remains to point out briefly
what those conditions are.
The convention concluded In 1865 between
France, Belgium, Switzerland and Italy ex-
pires in December, 1879, although, to pre-
vent its tact renewal, it was stipulated that
notice must be given before the first day OF
this year This compact made the coinage
Of these four States recprocally current In
one anothers territories, and committed all
OF them to the bi-metallic standard. In 1874,
however after the discontinue of silver, the
Union modified It's agreement by SO far linn
itinR the coinage Of that metal, that In four
years from the date named IL manufactured
ouly hundred million Of flve-franc pieces
In other words, about the quantity needed
TO absorb the silver which Germany had
been able to sell. But the essential principle
Of bi-metallism was not shaken by this pro-
vision, since silver remains legal tender in
each Of the countries composing the league
although IL is plain that the copartners are
Numerically opposed as regards the policy
Of proonging the convention. The Helvetic
Government, which had never coined either
gold or silver money, but. up to 1874, had
merely fabricated tokens, Is now convert
to the most extreme mono metallist opin-
ions. Belgium is equally pronounced in her
admiration of the English system, although,
should she establish a gold standard after
the close of the present year. she must look
forward to a heavy loss resulting from the
sale Of hel silver coinage, which amounts to
500, ,0OO,0OO On the other hand Italy, which
is under the regime of paper money, will
undoubtedly continue to maintain the double
81 Hut Ia f.. haY
preference as Austria. whore for some time
silver norins have been coined, owing
to the fact that the silver and the
paper horin have come 10 have
about the same value as comnared with
gold. While such is the attitude oi her
allies in the Latin Union, France, under the
lead Of her Finance Minister seems 10 bc
enlisted on the side OF mono mctallism in
theory. But will she insist ON its early,
practical apploationf That is the decisive
question which brings US back 10 the equivo-
cal ground taken by the English delegate,
Of whose ideas and purposes VI. LEON SAY
showed himself u thoroughgong partisan.
Nothing could be- more positive than Mr..
GosCHEN's adhesion 10 mOno-mctalism as
principle. He declared an international
double standard TO be impossible, for the
reason that England would never permit
silver to be money within her own terri
tory. Yet he noted with approval the Aus
trian coinage Of silver, and allowed IL 10 bo
understood that England would not be- i'll
pleased II the German stock ~ the Write
metal still unsUld were bought by the United
States. Nor did he hesitate to admit that
general effort made at once on all
sides to get rid Of silver might
occasion the most serious dlslocations
in the economic situation, and produce a
crisis more disastrous than any within the
memory Of the commercial world. Now
there can be no doubt that the joint influence
OF France and Great Britain is potent enough
to determine the solution Of the monetary
question. In view OF the facts cited, and Of
the opinions avowed by their leading flnan-
ciers we must conclude that ms regards the
further demOnetization Of silver, both those
great powers will exhibit during the coming
twelyemonth q strictly conservative, ex-
pectant attitude, and that the weight OF
their authority will be given to wary
maintenance of the existing state Of things.