The Valley Virginian. [volume] (Staunton, Va.) 1865-1895, 1885-03-12
The Silver Question

sure on our Columns and the late hour
at which we went to press last week, the
letter of President Cleveland on the silver
question was omitted from our last ISSUE
1t will be found on the fourth page OF To-
days VIRGINIAN.
We referred to the letter in our last Is
sue. and endorsed the safe and wise posi-
ton the President announced on this I'M
portant question The repeal OF the COM
pulsory law as to silver coinage rs OF the
greatest moment to the business interest
of the country. The arguments addressed
in behalf Of the law Of 1878, which COM
manded the coming of S2.000,00O standard
dollars each month, as the minimum, and
S4,000,000 as the maximum, have proved
fallacies In that debate Senator Thur
man said, ''let me say to the Senate OF the
United States that this bill will bring
back silver to it's true value" In col
loquy with Mr.. Blaine as to the payment
of United States bonds, Mr.. Thurman is
reported us follows In three years hence
not your silver dollar of 425 grains, nor
any mans dollar OF 495 grains, nor
any other man s dollar of 4S5 grains, but the
dollar of 4l23 grains will pay them at par. !"
Senators Wallace, Ferry and Window ex-
pressed similar opinions. The expressions
of these distinguished Senators when the
law of 1878 was under consideration show
the view they took Of the operation OF the
compulsory silver coinage and the int1u-
ences under which the law was passed
After eight years of practical operation,
it is found that the theory of these gen.
tlelaen was fallacious-that instead of gold
and silver getting closer together as a
standard of value. they have been getting
farther apart, until to-day the silver dol
lar is less in value by Is cents than the
gold dollar and the natural tendency is to
drive the gold, the more valuable curren-
CIV, from the channels of trade and substi-
tute it with silver, the less valuable cur
rency. The assumption OF the silver
ties in their reply to Mr.. Cleveland s
letter, that gold has largely increased
SlllcS Lllc clIdCLlaCAO VI uiiC OlitNA SOIht'SoS
law, is only apparently true. 1t is
conceded that the stock of gold, as stated
by Congressman Buckner, in discussing
the subject, for many years past has in
creased little, if any, beyond the annual
wasteage and it's use in the arts andmanu-
features and other uses than money. Its
production, according to the estimate OF
the Director of the Mint, has fallen off IN
the last three years from $lOS,OOO,Oo0 in
1881 to 1914, 0O0. 900 in 1884, and at least one
halfKthe yearly production is used by four
of the great nations of the world, for 9TH
Ell purposes than money. The London
Bullionist, an accredited authority on
monetary questions estimates that in 1874
the gold circulation throughout the world
was So, 460, 900, 900 for a population of so,
I 000, 600 then using it whereas.in 1884 II
increased to So ,s95, 900, 600 for population
of 22S, 000, 900. In 1874, according to these
estimates, the gold circulation. was equa
to $50 per capita. lands 1884 the. gold..scir
culation per'capita was but SIT among golt
using peoples. In England it is ad
mitted by many of the most eminent econ
omists and statisticianssthat the purchas
ing power Of gold has very largely in
creased owing..to the absorption by Ger
many first. and then by the United State
of seven to nine.hundred millions of thu
world S supply Of gold ; and that the fall.il
the price of commodities contingent upO
the increased purchasing power Of gold ha
averaged 26 to so per cent. on the lead
ing and important articles of commerce
1t is conceded by all that gold has grow
and is growing scarcer, prices have de
clined and are declining, and trade ha
Suffered and is now suffering, not only il
all parts Of the European continent bu
throughout the world, America included
This condition of things affects the pro
auctions of manual labor as well as tn
profits of the factory and of machinery
and includes the entire output of the farm
as well as that of the mine and the shop
The fall in prices has been cOeval with thu
demand made by Germany first, followed
1 NY blC ~ ulbCi DufUOO uue OUilCl SOuHUIl Co
on the worlds diminished and diminish
ing supply of gold, and must continue
with every additional strain on the supply
Gold is the sole measure Of the value of al
commodities here and elsewhere through
out the civilized world. The immens
silver circulation of France and tn
United States does not enter intothe inter
national exchanges of the world, OF in de
termining the prices of commodities il
the great marts of trade abroad. Ever.
additional state in Europe OF elsewher
that goes upon the market to purchas
gold for resumption or for the use of it
people for circulation, increases the pun
chasing power of this metal. and appre
ciates its value as compared with othe
commodities, including silver, cotton, iron
wheat and other provisions, and thus add
to the burdens of the taxpayer and debtor
1t is manifest that the United State
cannot maintain a safe monetary sys
tenn that is based upon deprecated sil
yer and appreciated gold. There must b
l LII tllC uWU lucuctlo. u ollFC
dollar must represent as much intrinsi
value as gold dollar. The two must b
brought together to serve a common pun
pose, and this can be done only, either b
an international agreement with othe
nations to maintain the free coinage of 81
yer at a fixed ratio by suspending TIL
coinage Of silver until it is demanded
the wants of business or by the adoptio
Of an American bi-metallic policy of tn
free coinage OF silver and gold accordln
to their market yalue-thus making do
lar Of one metal equal to dollar of TIL
other. With the present compulsory coin
age of silver dollars of less value than tn
gold, there can be but one sequel to il
| Gold will be boarded ard withdrawn frOr
circulation deprecated currency be
! come the measure of value and business
and widespread disaster follow as it did i
1878 under the influence of the depreciate
paper currency of that period. Senate
Sherman, discussing this subject, recent
asked, what would be the effect of this
The immediate effect would be contrat
, tion of the currency so sharp and abruI
as to extend its shock to every village i
the country. Gold is now held here i
such vast sums that it might not at ono
L. .4o1 l,,,f no 1o1 ,,,