Los Angeles herald., 1890-04-21
STATUS OF SILVER.
Secretary Window Answers
Seine Questions.
A Defense of the Bill Recon-
mended by Him.
The Objects of the Measure Elab-
Orately Explained.
He Sticks to Bullion Redemption and
Insists That Free Coinage Means
Financial Ruin.
Associated Press Dispatches. |

WASHINGTON, April 20.--Secretary
Window tonight permitted a reporter of
the Associated Press to make copy of
the following, which is taken from a
letter addressed by him to Western
correspondent in answer to his comment
and inquiries upon the present state of
the silver question:
The bill recommended by the treas
ury was framed mainly for two purposes
First, to meet the demand for an in
crease of the circulation, and second, to
enhance the value of silver by providing
for it an additional and safe use as money.
If approved by Congress, it will, in my
judgment, accomplish both these OBJ
jects, and at the same time afford fair
and just basis for harmonious action.
To the silver interests it offers every
substantial benefit that can be granted
without peril to our financial system,
and far greater advantages than
can be found in free coinage.
To those who demand more money
it offers an annual increase of from
$4,000, 900 to $6O,OOO,OOO. To those
who insist upon sound currency, it gives
ample guarantees against the degrada-
ton of the American dollar, but to those
who would initiate the currency by the
injection into it of large volume of
money without adequate safeguards
against its depreciation, it offers no
comfort whatever; and right here is
found the secret of much of the opposi-
tion to some of its redemption features.
In reply to your frivolous criticism, let
me invite your attention to the extra
ordinary concessions which are offered
to the silver sentiment of the country.
First. 1t is proposed to absorbiall the
silver produced by the mines and reduc-
tion works of the United States, thereby
withdrawing from the market nearly
One-half of the entire silver product of
the world, and thus greatly enhancing
the value of the whole.
Second. Not content with this con-
cession, wh.ch is surely without par
allel, the Senate committee insists that
the Government shall be compelled to
purchase $4,500,000 worth of silver each
month, making $54 ZOO, 900 year, which
with the amount needed in the arts and
trade with China will exceed our own
production by about $10,000,000 per an
mum. How is this excess to be OBJ
tanned? Only by purchase from abroad.
In the event of an unfavorabie balance
of trade, when our gold viii ee most
needed at home, we will be con Alled to
export $10000,000 in gold, W ich we
will then sorely need, to pay for $10,-
1000 worth of silver, which we do not
need at all. This compulsory purchase of
so great an amount will make the treas
ury the largest operator in the most gi-
gantic ''corner" ever organized.
The third bill reported by the House
committee provides that the notes issued
forV Silver bullion be redeemed in stand
ard silver dollars if demanded by the
holder. This will give the owners of
silver bullion the power to convert
every ounce produced in this country
into standard silver dollars at their own
will and pleasure. True, there is not
the slightest danger that this power will
be exceeded, because no good man will
prefer to convert treasury notes which
the Government is bound to redeem in
gold or it's equivalent into standard
silver dollars, unless he may want a
limited number of them for some specific
purpose.
Under this bill the Government will
not force silver dollars into circulation,
but will permit anyone to have coined
as many as he can pay for with treasury
notes. What more can the advocates of
silver coinage demand? Surely moth
ing, unless they desire to compel
the treasury to force standard dollars
into our circulation for the sole purpose
of depreciating and degrading it. Is it
not enough that we take nearly one
half of the worlds silver product and
lock it up in order to increase the value
of the other half; that we join the
silver producers in the most gigantic
"corner" ever organized, and that we
give to the owners of silver bullion the
right and power to convert every ounce
of our production to standard silver
dollars if they choose?
For all these unparalleled concessions
to the silver interests what is demanded
in return? Only the privilege of pro-
tecting the honor and credit of the
nation by grant of power to redeem
its notes in either gold or its equivalent
OF silver bullion.
All the bills on this subject contem-
plate policy to extend over an indefi-
mite period, and which will result in the
issue of very large volume of treasury
notes. If they be made redeelnable in
lawful money, they must be paid in the
best lawful money, if demanded, in ac-
cordance with the high rule OF honor
which this Government has thus
far maintained, and by which it has es-
tablished a credit that is the pride and
boast of our people.
If the balance of trade should turn
against us, or if distrust should arise as
to our ability to pay in gold, as it will
under such provision of the law, or if
for any other reason we be unable to re-
deem in gold when demanded, the Gov
.ernmentwill be compelled to discriminate
against silver dollars, when gold will at
once command premium and this nation
will step down from it's present proud
position and take it's place on the finan-
cial basis of China, India and South
America. 1t is to save us from this
danger that l have insisted so strenu-
ously for a provision to redeem in gold
or its equivalent.
know OF but two ways by which the
proposed issue of treasury notes can be
anchored to the recognized values of the
: commercial world. One ia the bullion