The Wilmingtonian., 1886-04-24
'ull legal-tonder with gold all this time.


appeared. The Government bondholders
was receiving payment of interest in equiva-
lent Of gold and silver coin value, which in
1874 was at premium of 1j1 to 2S5 cents in
paper but labor was paid in paper In
1869 the bondholders secured the passage Of
an enactment through Congress which was
can act to the Government to discharge all
just obligations to the public creditors, and
to settle conflicting questions and interpre-
tations Of the Law by which such obligations
had been created and pledged 'the faith
of the United States in the payment of all
United States notes not bearing interest in
coin or its equivalent" also all interest
bearing obligations.
In every act coin, that is, gold and silver,
was scrupulously prescribed. Therefore, by
the very terms Of this contract, the public
creditor agreed to take either gold or silver,
then full legal tender coin, in payment o + the
debt 1t is so nominated in the bond and
more may not beasked.
1t is conceded as matter Of law that such
creditor is bounl by his contract to accept
payment in silver if the Government shall SO
elect
Just here the creditor interpo es the plea
of equity, and asked to be paid in gold
Firss. Because while the debt was being
created the silver dollar was not in cireula-
tion, although legal coin, and therefore he
was induced to believe coiu meant gold.
Second. Because the silver dollar is not
dollar, but only so cents, and by such pay
ment he would lose 20 per cent. of his debt.
The answer is not difficult
First. While the debt was being created
both silver and gold had disappeared from
circulation. The creditor was remitted to
tina law which prescribed both silver and
gold. Much Of the debt i'll part represents
only so cents in the dollar. 1t was based
not on coin but on paper money, then the
current money in valne
Second. The plea that the creditor would
only get so cents on the dollar Of his debt is
without basis. The silver dol ar is exchange
able for gold and is now its equivalent.
Dr. ]. Lawrence Laughlin, professor Of
political economy in Harvard University, a
gold standard advocate, aud who has writ
ten the most comprehensive and exhaustive
treatise on bimetallsm have seen, says in
his work that
The highest justice is rendered by the
II State when i6.exacts from tho debtor at the
end of the contract the same purchasing
power which the creditor gave to him at the
beginning Of the contract no less, no
more.
Then, if the silver dollar was not ex-
changeable with the gold, measured by the
rule above laid down by Professor Laughlin,
it will not be denied that the bullion in the
silver dollar will purchase as much Of the
necessaries of life as the bullion in the gold
dollar would have done when the debts were
contracted.
Again g.
Discard silver use gold only. The public
debt would by that act be increased 20 to 80
per cent. by the loss of this quantity of sill
yer coin in circulation. Labor and labor
products have admittedly deprecated so pei
cent. Our public debt, now reduced numer
icaly one-half, under such conditions woult
be potentially as large as before dollar wa
paid. Measuring as we must by our onl!
means of payment, labor and its products
Gold is decreasing quantity, and with it a
the sole measure of value, each year w
should find prices lower, gold higher, th
prices of all commodities shrinking to NEE
, its shrinking quantity.
Silver coinage benefits not the speculate
: alone but every laborer, every mechanic VIII
has bought home for his family. every fai
mer who has purchased homestead, an
: every business man who relying on just leg
islation in the interest of labor and industry
!, as well as capital has bulded upon the fu
ture in prudent debt that he might procur
on credit home, farm, business tina
should not be legtslated ont or his hand
under pretended promises Of protecting hi
financial honor.
Stop silver coinage; let gold continue t
decrease let houses, farms business, an
products Of labor continue to increase
normal ratio as heretofore, then measul
them by this diminishing gold supply only
the result is apparent
No one will buy lard which is thus cor
stantly growing less in value, or engage
business when his plant and stock uniforml
shrink up from day to day, when, notwitl
standing his added toll and labor the dnl
grows, while the means of payment dimir
ish simply because the supply Of money dos
not keep even pace,
These debts have been contracted on Il