The weekly intelligencer. [volume] (Lexington, Mo.) 1891-1901, 1891-07-04
FAIRCHlLD OPPOSES SILVER.

FAlRCHlLD OPPOSES SILVER.
Mr.. Fairchild has been put forward
as the champion of mono-metalism,
presumably because he was Mr.. Cleve.
lands secretary of the treasury. The
mono-metalists are extremely solicitous
of securing democratic converts to theil
cause, and never let slip III oppportu'
nifty to bring into service the few prom.
inent democrats who believe their way.
In the June number of the Forum.
Senator Stewart, of Nevada, had {,
paper advocating free silver coinage,
and Mr.. Fairchild was selected TO an.
swer it. In trying to meet Mr.. Stew,
arts mastery points in silver coinage,
Mr.. Fairchild says:
All Europe has stopped the free coinage
of silver, which it would have not done
q it believed that it, in conjunction
with us, could maintain the old ratio OF
the precious metals. The countries of the
Latin Union have a vast amount of silver,
and it is much more important to them to
maintain the equality of silver with gold
49, ~NN. J>NY NAS obAAA bAhSJ
are not willing to do so with our help;
how much less then must they believe in
our power to do this unaided! Therefore,
upon thinking that they saw the approach
of silver mono-metalism in this country,
they would also think that u gold coins
were better property than our silver coins,
and would take steps at once to get our
gold and save themselves from the posi-
bility OF getting our silver. They would
do this by selling all the securities created
N chic D..w 49, - uyIs IL NI-v -.-lN AL
a market. They would seek that market
here, and the result would be that, for a
time ut least, this country would have the
use of much less foreign capital Than it
has now Certainly the first result OF
this action on the part OF foreigners would
be to depress all values here, and to create
more or less scarcity of money in this
country. Every one can answer for him
self whether this condition would be we'll
for us or not.
Like all other papers opposing silver,
there is a great deal of f%ustian, if not
untruth, in Mr. Fairchild's article.
The members of the Latin Union have
temporarily suspended silver coinage
forced to do SO by the altitude of Ger
many and Great Britain. They refused
to unite with the United States in re-
monetizing silver, not because they
feared silver, but because they could
not agree with the United States upon
a ratio. The Latin Union ratio is 49,
of silver to l of gold. That of the
United States is l 5.9S8 of silver t o 1 of
gold. 1t would therefore be mt u sacri-
flee of nearly three per cent, over
1924 900 900, for the Latin Union to
adopt the American ratio, and the
United States could not, in justice to
its creditors, change its ratio.
Then the fear of an European flood
is groundless, as any n knows, who
understands the significance of the
tenacity with which the European peo-
pie cling to their silver coin.
But the weakest point in Mr.. Fair
child's speculation,-for it does arise
to the dignity of an arguments the
assumption that Europe would with
draw the capital it has invested in this
country, in the event of free coinage.
Mr.. Fairchild must be too well in
formed as to the condition of things
that led to the investment of large
volumes Of European capital in the
United St.Ites to seriously fear the
withdrawal If any great amount of it,
unless it should be under a distress of a
limited money 'uch as Great Britain and
Germany have been suffering during
the past nine months. And, the fact
that since the 1st day of last January,
over 100000, 900 of gold has been
called to Europe, would Indicate that Il
withdrawal of European capital may
not depend upon whether we are coin
ing silver or operating under Il law
which provides for its suspension ut an
early data law that leaves the coin
age of silver at the mercy of its bitter
est, most t%reacherous foes.
1t is pardonable to presume that
hwhat Investments of European capital
have been made in this country were
made simply and solely for the fat
dividends that the investments prom
ised.B
ThelEuropean capitalist is a man of
foresight and energy. If he has IL sur
plus of money oil hand, and finds no
profitable investment for il at home, he
will go abroad to invest just as in
1888 he came to this country to buy up
our breweries and Touring mills. Be
fore that time European capitalists had
invested largely in the United States
bonds. They had bought them under
standing that they were payable in the
gold and silver coin of this country,
knowing that this country had the
right to pay their bonds, principal and
interest, I'M silver dollars of 412la
grains of stapdard silver-for we then
had what the American people ask tC
be restored now,-free and unlimited
silver coinage. How absurd then t.
say that a restoration of the condition
under which u large amount of Eu.
rOpean capital was invested, would
cause the withdrawal of the same.