New-York tribune., 1886-08-02

HHY ,SIITtR FAILS


whc,t at New-York year ago, and is worth
hushcl of wheat at New-York now. Then sll-
yer sold at 10. I'D per ounce in London, and
wheat at % Ii at New-fork Silver was
held at II I'D. on Saturday i'll London, and
wheat at 80 Ii ut Ncw-loik. Silver lIIS iiIi-
EN- over Is per cent, but wheat hls also fallen
over Is per cent during the year.
Careless thinkers say, This Is only an in
crease in the purchasing power Of gold when
has been made mticially scarce" If 1t were
,o. other prices would be changed in like NM
uer and measure But corn then worth o. IL
ccnts is now worth % cotton then worth 10 =
cents is now worth go Lard then worth = 3-i
Is now worth 7 pork then worth 81 30 no"
commands the same price; coffee then worth
: 5-s now sells at -; sugar then worth
:. 90 now ecll> at 4.G9; iion then worth Tl1 80
j. now worth SIS Bc.>cmcr TulS then worth
S17 - are now worth S:jl 90 tim then worth
~ ii i, now worth Il > copper then worth
II cents j, now worth TO- lead then worth
10 is now worth $50. Here drc changes 50
irregular that thcle has certainly not been Scn-
c,al increase of f.; pea cent in the purchasing
power of gold.
But wheat and cotton ave obviously ap; To
bc affected in picc 10y the Wic" at when prot
net. of India can be- sid in European markets.
If wheat cells along railways In INDIA at -
,ecIs 10 the rupee, and the rupee Is worth -
Der cent les, in London th.n II Wa, other things
lning equal the buyer of wheat can ailoid To
scl il in London l3 per cent cheaper. 30 an
other sai of histy Ic i>oncls conclud" tlat our
prices oi wheat and cotton. il not OF other art
iclcs. are entirely due to the fall III price oi
silver.
Thi, ignores firt officially reported but re
ccntly. that at various stations III India pllc' :
opened thi, yotl in April > To l. per cent nigh
er thln AT the same stations last y'sr. nat
mcans lower purchasing power Tor the rupee
IN the interior of India. AT the same time, Inc
American price of wh's't IN July, 1850, "'H
nnnatu.ly and articially lifted by speculation,
70 that exports were scarcely half a. large dur
ing the latter part of lNNj us during the Simc
raIt of 1NSi. The reaction from that artificial
piicc, necessarily resulting from the retention
of "A Ialgc m-old surplus Is not due To any
scarcity or appreciation OF gold. Thus two dis
.inct set, Of proofs iii pose oi the theory tiIat
the exact correspondence which happen, IN the
decline of silver and of whcd l. due tD depend
cucc of the price of wheat upon the price OF sil
yer. or to 4 general appreciation OF gold.
1t is undoubtedly tue that the d' cine III >ii-
yer does affect the worlds market, to ZONE cN-
t,nt. and il must until c0irc.ponding decline
IN the purchasing power ot silver IN India. thnA
and other >ilycr-u.ing count lc, has occurred
Hut tie most ~tliIng fact in the whole bu>l
mess /, that the declared position of the United
Statc- Government, il il hao any effect at all on
the piice Of silver, hats been followed by the
most severe and long continued decline ever
known. If it s desirable on account OF the in
tc,c,t, Of Western wheat growers and Southern
cotton growers, 10 restore the price Of silver,
the way 10 do it is to stop tying by legislation
to force silver upon people who have no need oi
il. That legislation, whatever IT, intent may b',
operates to degrade and dcpreNs 'ilvci as moth
ing else could.