Little Falls transcript. [volume] (Little Falls, Morrison County, Minn.) 1876-1894, 1879-03-20
The Trade-DOllar.


Last summer aud fall the financial
problems connected with the political
affairs of the nation were so thoroughly
discussed in the newspapers and on the
platform that we have been entertain>
ing the opinion that everybody was
very we'll Informed in regard to mone>
tary matters. We find, however, that
there are good many people in Nor
rison county who believe that the
trade-dollar is the standard silver dol.
lar, and who blame the government
for coming and issuing, as they be-
1ieve, q silver dollar that will not pass
for more than IS cents. For the benz
eft of such persons we will explain
the difference between the standard
silver dollar and the trade>dollar. The
trade>do}lar was coined expressly for
the trade with China, is not a legal
tender in the United States, and has
only bullion value. On one side are
the following words: ''Trade>do'lar.
420 grains, 900 6ne." Not being a
legal tender, it is nothing more than a
commercial commodity, and sells for
whateve the silver in it Is worth,
which we believe is now about 83
cents. Each coin is stamped with its
weight and fneness, 80 that lts value
may be readily determined. It is le-
gal tender in some Of the provinces
and cities of China, where silver is
used as currency and gold is not. For
several years there has been heavy
movement of silver to China and
British India, by reason Of it's demon>
etization in several other countries
and the trade-dollar was one of the
natural outgrowths of this movement.
Secretary Sherman, referring to the
trade>dollar in his last annual report,
says: ."This coin is in no sense mon~
ey Of the United States which the
government is bound to redeem and
care for. The government stamp up.
on it is to certify to its weight and
fneness for the convenience of dealers
in silver bullion"
In 1873 the trade~dollar was worth
104 cents, and therefore did not come
toto circulation in this country, al
though an act was passed by Congress
in February Of that year making it
legal tender for any amount not ex>
ceeding five dollars in any one pay
ment. This limited legal tender quail
ity was afterwards taken away, but we
do not remember at what date. The
fall in the price Of silver bullion caused
the value of the trade>dollar to fall be-
low its nominal value, after which it
is estimated that about 100000 Of
them we're put in circulation in the
United States east of the Rocky Noun
tains AS they no longer pass for
more than their value as bullion, it is
not probable that the volumn in cir
culation in the United States will in
crease. The standard silver dollar
was made, by act Of Congress, legal
tender at its nominal value for all
debts and dues, public and private, ex>
cept OTHERWISE expressly stipulated in
the contract; and the secretary of the
treasury is compelled by law to coin
not less than two million dollars worth
per month, nor more than four mil>
lion dollars worth per month, Of these
dollars. In all ordinary transactions
they are worth the same as gold dol
lars, because the act of Congress
makes them so. The standard silver
dollar contains 4l23 grains, 900 fine,
u grains less than the trade>dollar,
and its value as bullion does not exceed
81 cents. But its legal tender quality
makes it pass current az dollar.