The Democratic advocate. [volume] (Westminster, Md.) 1865-1972, 1883-07-07
Why Trade Dollars Were Coined.

|
The trade dollar is not money In the
words of Assistant United Treasurer Acton
they were not made as money, were never
legallzed and were never recognized as money.
The Government cannot redeem them if it
wanted to do 500 The Government only
puts It's stamp on, APO grains of 900-hne silver,
and thus certifes to the fact that it contains
APO grains which are 900 fine. For years the
trade between America and the Eastern ma
tons, principally China, was carried on largely
through the medium of the old Mexican dol
lar, which contained only about 412 grains of
90o-hne silver. The United States govern
ment saw that it could dispose of about S55.-
100000 of silver at Il profit by coming and
stamping these dollars for China, which were
to take the place of the Mexican dollars.
SO the trade dollars were made and stamped.
Any one who wanted them could buy them
from the Government for 420 grains of 900
fine silver; that was all. They were not put
out as money. As matter of fact, there are
now about 100000 of these trade dollars in
circulation in the United States, and the loss
to those who have paid 100 cents for them at
their intrinsic or bullion value would be $780,.
900. These 100000 dollars are part of
the 35,000,000 stamped at the minis, which
never reached China, because of the popular
cry here for a silver dollar before the Bland
dollars were authorized.
THE BLAND OR "BUZZARD" DOLLAR.
Although containing y grains less of 900
fine silver than the trade dollar, the Bland
dollar passes at par. This is the result of the
cheap silver cry of 1878. Mr.. Bland, a Mis-
souri, Congressman, succeeded in getting a
bill passed through Congress authorizing the
coinage of a legal tender silver dollar con-
tanning only 4124 grains of 90O-fne silver.
10 IOl1 81 cd anth
lied by an act of 1887, but demonetized by
subsequent act of 1873. There were 8,045, 1888
of these coins turned out by minis between
1887 and 1873. The act of 1873 authorized
the coinage of 100000 of the "Bland dol
lars'' per month, and there have been 49,
100000 of them turned out, of which about
81. GOO, 900 are in circulation. The reason
why they, although of less intrinsic value
than the 'Etrade dollar" are taken for lOO
cents is that a debtor is compelled to take
them in payment. They are taken by the
Government itself for duties and for all obi
cations due to the National Treasury. Bust
ness circles, however, which regulate all val
ues will not be satisfied with these "Bland
dollars and will not use them. In conse-
quence they are left to accumulate in the
United States Treasury to such an extent as
to cause great uneasiness to the Treasury De-
partment Assistant Treasurer Acton says
that there is an easy remedy for the nuisance
of the trade dollar. He advises that the Gov
eminent shall call in all the ''trade dollars
in circulation at their full face value, and
melt them down into subsidiary consulate
dollars, quarters, etc.-and they Will not only
cover all expenses but actually make a profit
to the Government. For instance, trade
dollar contains 42O grains 900 fine, while two
silver half dollars together contain 3S5 grains
800 fine, difference of thirty five grains-a
profit of cents, much more than enough to
cover the cost of coinage.