Evening capital journal. (Salem, Or.) 1888-1893, 1890-08-30
Highest ofal in Leavenng PoweU Report Aug ~ 1889
RH.a;:,!,I! q! BskiRs BsM5ss7.
ABSOLUTELY PURE

of the new silver law has undispu
laUly had the effect to stimulat,
business in all directions. In thii
enliveued and buoyaut condition
the farmer, and most all of tn,
western farmers, by reason of hi
special circumstances, has been one
of the chief beneficiaries.
But the Sun undertakes TO show
that the advance in silver will put
500, ,OOO,0O0 into the pockets Of
American farmers, through the ad.
vantage gwen to American exports,
The statement of that advantage is
interesting and important, and is as
follows:
We have heretofore, in round
numbers, exported about 10000, ,0OO
ounces Of silver per annum, the re-
maiuder Of our product being ab-
>orbed By government purchase and
by use in the arts. For these 20, 900,
600 ounces there is now opened a
market at home, and it would seem
at first sight as if the former ex-
port to pay our debts abroad we
>hodld have to substitute a CORES
Pouding export of gold, but this is
not the case. In our three staple ex-
ports-petroleun, cotton and wheat
we come into competition with
silver-usiug countries exclusively,
with the exception of Australia.
Egypt and India supply cotton and
wheat to Europe, and, with drain
ing values of silver in terms of gold,
so long as we were Oh a gold bash
those countries were competing with
US at a tremendous advantage.
This is proved by the enor-
nous increase in the ex-
ports Of wheat and cotton
from India during the last three
years. BY causing the appreciation
of silver as measured IN gold, we
make Indian wheat and cotton just
50 much more as the rise in the gold
price of silver measures. OF course.
we cannot expect to get the full
measure Of this advance. The aug
mented price of wheat and cotton in
India and Egypt, must, to q certain
extent, react in order to meet the
increased competition from America.
But European markets will rise in
sympathy with the higher cost of
these exports from those countries
measured in terms Of gold. OF our
cotton crop We export in round
numbers 100000 bales, and of our
wheat 100000 to 10000, COO
bushels. 1t is fair To assume that
the advance under normal cOndi-
tions in the price of the eXportable
surplus of these two staples would
reach two-thirds of the advance in
silver, allowing one-third to be
taken of the increased standard for
Indian and Egyptian wheat and
cotton to enable those countries
to export a. all. AS against the ex-
port of 100000 ounces of silver
bullion, we have therefore, the en-
henced value Of the eXportable sur
plus of wheat and cotton, TO say
OF oil. Assuming that We
receive cts. pound more for our
cotton out of the now inevitable
thirty per cent. rise In the value of
silver, we should thus have SO per
bale added TO the value of the ex-
portable surplus of cotton, and thus
the country would receive from Eu-
rope $4,000, 600 more than it received
for this staple previously. The same
applies relatively to our
surplus of wheat aud oil.
The Sun goes SO far as to say that
it believes it will he found that this
new value Of silver provides the true
protection of our agriculturists.
And it is certainly correct when it
says that if it will put 100000, 600 in
the pockets of American farmers, by
reason of the advantage over foreign
competitors alone, and activity such
as we have not witnessed for years
in this country must follow in all
lines and ramifications of business.