Los Angeles herald., 1890-04-20
THE DAWN OF BETTER TIMES.

believe that the policy of the United
States has undergone a material modi
tication, or this startling and continuou.
advance in the value of silver bullion
would not be recorded.
The discovery OF gold in Australia anc
California almost simultaneously, about
the year lS49, really threatened the
stability of that metal. Gold was dis
charged into the channels of trade in fal
larger volume than silver had ever been
In one year California alone yielded
$50, 700, 900 in gold, with Australia as a
good second.
This was twice the largest amount OF
silver ever poured into the worlds
circulation in any one year. Yet as
there was no conspiracy against gold
everything was lovely for that metal
In the thirty-tive years following 1S40
the two prolific gold fields, Australia
and California, poured, by authentic
record, over two thousand millions of
dollars into the channels of the worlds
trade, and it was absorbed very readily.
1t created flush times, gave vivacity and
solldity to commerce and made enter
prise flourish as it had never fourished
before in the history of the globe.
When the Comstock lode, however,
began to Weld large quantities of silver,
with promise gilmore from the rich finds
in Colorado, profound conspiracy was
Matched in Wall street, in New York,
and on Change, in London. ANY one
who will turn back to an old file OF anv
newspaper that contained the market
quotations of that time will find that at
that date the California farmer was re-
ceving splendid prices for his wheat
just about twice what he receives now.
The same disproportion held as to all
other products. Bi-metallism ruled the
world, and the infusion of silver into the
arteries of commerce gave it precisely
the impetus needed to impart liveliness
to trade, activity to enterprise and
energy to speculation.
At this time England was stimulating
the growth of wheat in India, her mer-
chants desiring to emancipate the British
nation from dependence on the United
States and Russia for that cereal. Silver
is the only circulating medium amongst
the natives of India The far-sighted
OF London conceived the idea
that ii they could only demonetize silver.
reduce it to commodity, buv it as
bullion! at the deprecated prices
which would follow it's demonetization
coin it into rupees. and use it in buvinp
East India wheat at the nominal value
Of the bullion thus coined they could
make superb brokerage fee, and trans
fer to their own pockets the profits
which had hitherto gone into those of
the American and Russian wheat
grower.
1t was in 1873 that this Machiavelian
idea was developed in London. At that
time the coin circulation of the civilized
nations OF the world consisted of about
two thousand millions of dollars in gold
and an equal amount in silver. At the
same time that it was seen that the de-
of silver would enable the
London money kings to make an enor-
nous profit in their dealings with India.
t was perceived that reducing the coin
circulation by one-hali, and converting
silver into a commodity, would enor-
nously increase the purchasing power
II the incomes OF all who derived their
support from bonds, mortgages and
)ther fixed charges. In other words.
TWO thousand millions of dollars being
no longer available for the payment of
1ebts, and no longer entering into the
value OF real estate, farm produce and
other elements of life, the creditor really
found his possessions almost doubled.
while the debtor, to his dismay, saw his
ability to pay and the value of his
security diminished by one-half.
Fortunately for the plans of the con-
spirators, Germany, with short-sighted
policy, demonetized silver, intoxicated
as she was by thepayment in gold of the
French indemnity of five thousand mil
ion francs. Ii Germany, instead of de-
silver, had simply added to
her currency the five thousand million
francs in gold OF the French indemnity
she would today be the richest country
N the world. Unfortunately for her,
understood war and diplomacy
better than he did finance.
With silver demonetized in Germany.
the London conspirators saw that the
United States, with her double standard
Of gold and silver, stood in the wav. A
bill was introduced into the House of
which practically de-
silver in 1873. 1t never
passed the Senate. The report of the
to investigate this dark
OF which Senator John p.
Jones, Oh Nevada, was chairman, clearly
that fact. Senator after
Senator got up in his place in the Senate
and solemnly declared that fact. Never
theless the Revised Statutes of the
United States appeared with such Il law
IN their pages, and silver began to sink
ike plummet. With it began to sink
he value of farms and farm products
md the scale of wages. The old lively
md inspiriting progress of the United