, 1890-05-16
SENATE AND HOUSE.
Teller and Coke Address the
Senate on the Silver Bill.
Republicans Limit Debate on
the Tariff Bill.
McCalla's Sentence Approved
by Secretary Tracey.

Ou the CAltuudT were lue senate Dlu lS
provide for the adjudication of claim:
arising from depredations; house bill
granting pension to Mrs. Della Parnell.
The senate then resumed consideration
OF the silver bill, and Teller continued hi.
argument in criticism of it. There were
two features of the bill which should be
amended, he said, if the bill was to per.
form the two things which It's friends pro.
posed to accomplish by it-that was to
raise the price of silver and to give the
country an increased circulation. 1t was
absolutely essential in the first place that
the treasury notes provided for
in the bill should have the high
est possible money functions. IT one
OF the principal duties OF money (dis-
charge of indebtedness) was denied, the
depreciation and suspension of silver pur-
chases would be invited. He did not
deny that the passage of the bill would
put the price OF silver up It's very in
PRODUCTION had that effect, because it was
apparent to the people abroad that if the
United States government consumed the
entre silver product OF the country lone
third of the world s product) there would
be a demand for silver that could not be
met. 1t might put up the price to par
He did not know exactly what par would
be. He supposed $1.29 per ounce would
be called par in the United States. 1t
would be less in Great Britain and less in
Europe. If it put the price at one
eighth Of per cent above par purchase
under the government bill wonld cease,
and the great interests arrayed against
silver would obtain Their ends. This was
M vain gnnnOatffon NOR ina ,,n -
the part of the people who wanted to
have silver ujed as coin. Ii was borne
out by facts. There was a party, not in
the United States alone, but all over the
world, that held the credits OF the world.
that took toll from all quarters; that lev
led tribute on all enterprises. and that
was arrayed against silver.
For seventeen years that party had
held the whole civilized world. Ii had
its seat in Europe, but it had Its influence
here. 1t had added One-third to the
national debt of the United States by
legislation, and had added an equal
amount to state, municipal and individual
debts. These people had enriched them
selves at the expense of many. Colossal
fortunes had been built up in the United
States and Europe within seventeen
years which had no parallel in the history
of the world -%fortunes equal in extent to
those brought back to Rome by the con-
querors who invaded Asia. And did any
body believe these people were now
ready to surrender their vantage and
adopt the financial system that would re
lieve the tax ridden debtors of this coun-
try and the world and put them back on
the plane where they were in 1873? The
energies of those people were beyond cal
c%ulation. Their avarice was only equalled
by their energy. They could put silver at
and above par when they wanted to, and
they could thereby destroy silver as a
money metal. And then (when the
United States government wonld not buy
silver under the pending bilD they would
come back and say: I'VE told you silver
would not do for money. We told you it
was not a suitable money metal and that
you have to 90 to the only suitable money
gold. Was it a delusion, he asked. to
suppose that that would be done?
He suspected that those people would
do anything within the range of legisla-
tive enactment or of commercial transac
tons to accomplish their purpose, and the
bill that contained a provision which
would allow such a state OF afIirs was
not a perfect bill.
Butler asked Teller to give his idea of
the effect of the free coinage of silver on
International monetary arrangements.
Teller said everybody had to admit
that the proposed bill, whether it we're the
scheme OF the secretary of the treasury
to pile up bullion in the treasury depart
ment and pay it out on the demand OF
note holders, or the amenment reported
by the finance committee, was a TEN
pOrary affair. Not one member of
the finance committe would claim 1t was
a permanent thing. They said it was
temporary, they were waiting to see what
the current of events was going to be and
they said to the friends of silver c%oiuaIc,
you ought to accept this bill. 1t Is not,
it is true. a full restoration OF silver to its
money function, but it is the half way
house at which YOU can stop for a while
and when you have gathered strength, go
on" The bill, he said, was a half way
scheme. 1t afforded no relief whatever
except in making a special market for
silver IN excess of the present government
demand of -, 000, 900 a month. If
it was proposed to restore silver. it
would have to be given its full
money function. 1htre we're at
least nine men in the world calling for sill
yer as against one man e Hing for gold.
There we're not more than lbs, 100000 e
peop'c of that preference, and by law sil-
yer was the chief money. Silver was bet
ter adapted for use as money than gold.
Willie he was himself a bi-metallist, if
there was to be only one money standard
he would welcome silver as the basis in
the interest of the human race and Of the
people of this country. And the sooner
it was reached the better for American in
dustry, the better for commerce, the bet
ter for trade and the better for every
thing.
Hoar inquired whether even without
the characterization of silver in 1873 its
price would not have fallen.
Teller replied: When silver was de-
monetized a silver dollar was worth, in
trinsically, a dollar and three cents and a
fraction. There was nothing at that time
to indicate that silver was going to fall.
There had been an increased product in
the world, reaching to $Sl 900, 900, but
there had been no suggestion in the pup
lie prints of the world that there was any
danger from overproduction of silver. Ii
the United States had remained on the
double standard, and if the demOnetiza,
ton OF silver in Germany had brought
down the price of silver, and If the latin
union hal r ; ricted silver on account of
the effect ol Tie man silver in the market,
the mints OF tile United States would have
been opened Immediately to the coinage
Of silver aud every silverowner could have
taken his silver to the mint and had it
converted into legal tender money against
which there was then, at least, no preju-
dice any where.
The question now before the senate was
one Of vital interest to the people of the
II 1911 r ~ IT-..l