New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1879-09-20
THE A b @ OF FINANCE.


but II one follows the other each will bear It's share
Of the load. The long dispute as to the coinage OF
the two metals turns upon the simple Tact that they
are fitted for different kinds of work. If man
wants to bny loaf of bread OF bushe of pota-
toes. he docs not take gold if he can help it, because
the smaller gold coins too small for safe or con-
veuient use. But if a wants tn bny n house or
farm. he does not take silver if he can help it, be-
cause he would need wagon and stout span oil
horses, and about ton of silver, In order to pay
$50, 900 10 a seller who for his part, might refuse
70 sell at all if obliged to take, cart away and
guard such load OF coin. When dealings are
small. therefore. silver is the more convenient;
when large sums have 10 he used or stored, as IN
bank reserves gold is preferred. The Sparians had
so little trade that they could use lioA money OF
which il would take fifty tons to make one payment
Of ~ 900. The Romans, with larger trade, sun
had use for copper, of which three tons Womb
pay 81 900. In Asatic countries dense popuir
ton, extreme low prices of the neccssalles OF Nc
and , limited commerce make silver chiefly used,
and of that metal scycnty-one pounds VIII pay
~ COO But the great commerclal na'l'hs "S'
nold of which 10 pounds will pay ~ 900, because
payments of the value Of cart-lnad of silver Ia
such countries are Of daily occurrence. In the
United States where little coin Is used except IL
retail trade and a. Il reserve upon which notes an"
drafts are based an enormous commerce IS already
carried on over vast distances, and the less bu'AS
metal is of necessity preferred. Unless 'he r's'"
in which ali our values are measured, an" upon
which our notes and drafts based, Is OF the same
metal which the other great commercial nations
use. We shall not le able 10 draw from them when
we arc in need and shall put ourselves at i"tal
DISADVANTAGE in ali our dealings. II we wish an
Asiajic commerce, silver will serve as our chei
money Of trade. But if wish Co build mp here
q. ~
make this the money centre Of tie world, We shall
have to use the money which the commercial world
employs in its large transactions
No one nation can fix the relative value OF wheat
and cotton. nor of iron and lead. All the markets
Of the world have something 10 say about that.
Neither can any nation alone fix the relative value
OF buying-power of gold or silver. pound Of gold
will sometimes buy more than eighteen pounds OF
silver and sometimes les than fourteen POUNDS
But one nation can make limited amount OF silver
pass as token for gold, paper j. used 10 repre-
sent coin. Then the silver does not bay according
10 its own value hut according to the value OF the
gold which ii represents. Thus the new dollar con-
,ains only silver enough 10 b. worth 100 cents in
GOLD when pound If gold IS worth sixteen pounds
Of silver but the pouud Of geld Is now worth about
eighteen pounds of silver, 50 that the metal IN the
new dollar is worth only about - cents let peo-
pie take il for goods just they 90 the greeHhack
AS the token or representlt Of 100 cents IN gold,
and the reason is that can get ii for less lhe
coinage Is limited. ard the Government dos NOT
nav out the silver dollar except for gold dollars
worth of goods services or debts. Snce 40 one can
yet the silver dollar for less than the gold dollar 40
one can afford to part with II tor less an il passes
as a token. But If coinage of silver were iree so
that any holder Of 81 cents worth of silver could
get ii turned into dollar that coin would be
.ffuN
dollars would change al once. Wheat worth 100
cents in gol would not be given for silver worth
81 cents; the holder would charge more. The e.
feet would De the same ms if greenhack' enough had
been issued TO take from each note one-e gh of IT'S
buving-powcr There would he exactly the same
robbery OF workngmen, whose bread would cost
more and whose savings would buy less; the same
plumber Of creditors. and same destruction OF pubic
credit and and prostration of industry.
1t WAS thought that limited coinage of silver
woud promote larger Use IF that metal. This
country as the chief producer, suffers by it's disuse
But the event has proved that the people prefer TO
use notes and have small notes enough for herneeds
After earnest effort the Government has not been
able TO get the new dollars into circulation. Over
5000. 900 remain IN the Treasury. Though paid
ont. they are quickly returned. The people keep
the more convenient notes, and pay back the coins
II the people do not want and Will not use the dol
lars we might AS we'll require by law that
50 GOO. 900 worth of pig-iron should be bought.
stamped and stored away by the Treasury each
month That would help the iron industry. just as
coinage Of dollars, that no one wants. has helped
the SILVER industry. but whv shoud ope be aided
and not another3 If money taken from the people
by taxation is 20 be spent for except to aid
producers, why should not part of it be spent in
buying wheat from the farmer or cotton from the
planter
The limited coinage. though Ineffective here, actu-
ally retars the Of other nations to the use of
silver. England and France suffer greatly in thor
trade with ASIA because Of the partial disuse and
low price Of silver. Many great failures in
England have thus been caused. Yet these nations
have homes that the surplus silver Of the world
he taken off by this country. Smith has stagnant
nool on his lot which makes mischief. But he does
not drain IT, because his next neghbor has for years
been talking of digging ditch along the border
which W ould drain the pool without cost TO Smith.
Turopr looks upon unlimited coinage here as the
beyinninc of the ditch. As yet coin less silver
than we produce But there is constant talk Of free
coinage here. II is thought, too thar the Treasury
NAV soon coin 80, OOO000 each month instead OF
- 900 900 Thus false hopes. fed by partial coin
age here. prevent England and France from taking
any steps to restore silver TO greater and value
and the course OF TINS country teh's ID "oio'' ls
own aim.
Free coinage of silver would enable the nations of
Europe through bulion-dealers, TO empty into our
mint all their surplus silver, to turn ii into legal
tender dollars. and e. make H. take it in payment
for food or cotton or bonds. If We had Use for the
silver the change might lift its price. But We can
not Use SIC. GOO 900 which we now have, and how
are VIC to Use the much larger amount which Ger
many has to sell. and the S229. 400 900 which had
Accumulated Nav in the Bank of France There
Is no room in this country for one-tent of the
plns which Europe has 20 empty rpon Us. if COINAGE