The Indianapolis sentinel. [volume] (Indianapolis, Ind.) 1880-1904, 1885-05-20
Tho Silver Question.
Communicated

In Mr.. Reeves rejoinder to my article on
the silver question, he made assertions with
q fearlessness that seemed inconsistent with
mere guessing, go l thought it prudent to in
vestigate the subject still further before
making any reply, but investigation leads
me to more pronounced opinions at variance
with those he advocates.
He Gays: Mr.. Old Style speaks OF the de-
mon stjzing of silver by Congress. That has
never been done. and it is not in the power
CT Congress or OF any other authority to de.
monetize it-oply the common consent of
Nations can do that"
1t seems to me that ths gentleman is beg
ging the question, and getting on his knees
10 do il. The term 'demonetiZe" is in gen.
sral use, and is generally accepted as mean
ing the abolition OF the legal tender auali-
ties of any medium OF exchange. 1t is this
quality that makes money of gold and silver.
II Congress DEGREES that either shall not be
legsl tender, it becomes o commodity, aud
not money. A silver spoon is not money;
neither Is a gold watch-it is the law that
makes money. Ii has only les al existence.
Such abolition of it's legal tender Qualities
would not dc stroy its value as q commodity,
but would urdou btsdly reduce its value, as
was shown in 1873. Prior To the demoneti-
cation Of silver by the United States and Ger.
many, it was at q premium over gold. The
sction of these two Governments caused il to
dt cline in value, relative 20 gold; yet the
general fall in prices prevented its deprecia-
ton relative to commodities. labor and all
property other than bonds and other obliga-
iiou payable in gold.
Another point upon which Mr.. Reeve re.
lies to sustain his position is that gold al
ways has and always will dominate the
world. Unfortunately for his argument he
is depending on mere assertion. At the very
time the law restoring silver was passed in
this country, OF the commercial populations
OF the world there were over 100 O00. 900 more
people bad silver alone as their standard of
values and transacted all their business upon
1t as specie basis than those who used gold
alone. The gentleman made his assertion
without consulting the facts. | will there
fore dismiss this point and turn to his other
arguments.
1t is not my purpose to defend those pro.
Visions OF the silver coinage law which re.
quired the Government to increase its inter-
est bearing debt to enable it to purchase the
vast quantity of silver bullion required by
this law.
/ believe these provisions were made AZ the
instigatlon OF the silver barons and bond
holders-the one class seeking market for
its products. the other seeking to perpetuate
the national debt.
But do not understand how any thinking
nan can regard these provisions however
odious sufficient to vitiate the commendsble
portions OF the law and even faint the coin
itself. 1 do not believe the gentleman would
permit a matter so foreign to weaken his re.
spect for gold. Hewould readily distinguish
between the good and bad provisions of the
law.
he would discover that the proper thing
IN IN h.,f - <or IL.
parts, only leaving the remainder to stand.
This is what should be done with the law
That restored silve to It's time honored posi-.
ten as a legal standard
Silver money is odious 10 those who would
m axe money scsroer, and thereby enhance
iis value They well know that the value of
each unit or money depends, primarily.
upon the number of them in circulation,
and that property and labor decrease in
value as the value o, money Increases A
shrinking volume OF money and falling
prices always have had and always must
have tendency 10 concentrate wealth, to
grade the many.
If the business of the world is to be based
on the metal &c money. the production of
either OF the metals would be entirely Insult.
ciebt. If either was dmoneuzed through.
cut the world In would double the demand
and consequently the value of the other
u,
wealth and commerce 10 still continuing:
the stock OF metallic moneys will become 10.
adequate unless their production increases
in corresponding ratio, and still more sud-
denly and greatly inadequate If it should be
reduced by the decentralization OF el.hes CT
the precious metals.
According to Professor Jevons money in.
crtased in value las per cent. bet~esn the
years 1909 and 1919. caused by diminished
productions OF the metals. After the discov.
cries Of gold in California and Australia, 1t
fell in value IS per cent, bat has since risen
az high as In 1909.
1t is OF the highest importance that the
relative value OF money aud all other things
should be preserved with as little disturbance
as possible
The people are much moro interested in
the stability of prices of comm odities, and
unchangipg terms and conditions of con.
tracts. than In juggling with different kinds
OF money, for the small premium which II
may be possible to obtain occasionally for
the one over the other. The highest devsl-
opmsnt Of Nation depends largely upon