The midland journal. (Rising Sun, Md.) 1885-1947, 1890-06-13

thar says the secretary, land there will be
no more falling prices"
If congress should adopt the measure
recommended by the treasurer, what would
really happen?
Silver has not, like gold, its price fixed
by law, but is mere commodity, like
wheat, has its price in the market, tossed mp
by the bulls and pulled down by the bears
Silver, like wheat, finds its way from the
points of production to the points of con.
sumption mostly through the fundamentally
oftlealers.
OF the $50, OOO.O 900, or 500, 900, 900 worth
of silver annually produced in this country,
nearly one-halfis sold to the government
for coinage, and the balance is sold to dealers
who buy to sell at profit.
If the measure recommended by the sec
rotary should be adopted, the silver produc.
ers would haye no buyers other than the
bullion dealers.
The supply Of silver remaining the same
and the demand falling off at the rate oil
more than s., 100000 month, there would
certainly be a fall in the market price oil
silver.
In the great silver market of the world
Lonion, and in New York, silver would
have its price, price payable in gold coin or
other full legal tender money.
If the author of the measure" should
accost silver miner entering bullion
Dealers Office to dispose of his silver, and
should say TO him don't sell to this dealer
you will get nothing from him for your
bullion but legal tender dollars. Sell to me,
I'll give you the same price per ounce in a
warehouse certificate, which is not legal
tender money nor redeemable in legal ten
der money, but will be received for govern
ment dues" The we'll meaning author
might hear in response. Illegal tender
money is exactly what want, and you can
go to sheoi with your old warehouse Ger
tificate'
1t is quite certain that very little, if any,
silver would be deposited in the government
warehouses by persons desiring to use the
proceeds in their business operations.
Not so with spectators. The great
United States government being bound a,
ali times 10 buy and sell silver at the mar
ket price, a London ana New York syndi-
cate Of capitalists would be formed for
speculation in silver.
In the role as buyers the syndicate would
Gear down the price of silver as low as pos
sible, and would buy what amount they
could, not for immediate deposit in the
government warehouses but fvr retention in
their own possessions until the arrival of d
favorable time for sale.
In the course If a few months, having
expended, say. $l3, 800 900, in the purchase
Of 5000 900 ounces of silver at the average
price Of, say, 80 cent per ounce, the syndi-
Gale in the role as sellers would bull the
silver and raise its price in the London
market to, say, Sl.20 per ounce,
The synicate by its agent would then
appear before the secretary of the treasury,
say: ''The market price of silver Is $l.2O
per ounce, here is 100000 ounces, please
give me your warehouse certificate for
$4,000, 000.' The same would be smilingly
done by the treasurer.
Thus far, there would be no addition
made to the volume of currency. There
would be in the government warehouse
$4,000, 900 ounces of silver belonging to the
government, and the syndicate would have
the government warehouse certificate calling
for $1S,OOO,OOO.
Would the syndicate be satifed with
their speculation, a; this point amounting
to $i,5oO,O0O? Would they use their GER
titicate as currency? Not much. In the
role as buyers they would bear silver and
would probably be able, in short time, to
reduce the price in market 10, say, so cents
per ounce.
The syndicate's agent would then present
himself to the secretary and say, "the
market price of silver is 80 cents per ounce
Here is your certificate for $lS00G,000
payable in silver rated at the market price
Please hand over $22, 800, 600 ounces of
silver"
The secretary would hand over the l5,.
600 900 ounces, tine whole amount in the
warehouse, which at 50 cents per ounce
would discharge $4,000 of the syndi-
Gales claim and The balance, So, 600, 900, he
would pay in gold coin as repaired by HI,
measure"
The result; nothing added TO the volume
Of currency; fall in prices greater losses to
producers increased instead of diminished;
producers Of wealth robbed for the benefit
of holders of wealth.
The worlds great republic enchered out
of 81, 900 600 By the wit of few London
'trieksters," and the government cow rted
into cal's-paw TO be used by great capital.
lists for further robheries of its people.
Reports from Washington indicate that
the secretary's brilliant measure" is
defunc!. 1t is lucky for this people that
the bantling ''died a-borning. "-Leader,
Marietta, o.