The morning news. [volume] (Savannah, Ga.) 1887-1900, 1891-01-14
WAR ON FREE COINAGE.
,-p SHERMAN MAKES A SPEECH
AGAINST THE SCHEME.

"a Cbaracterizes It as Plan to Un-
,osd silver on the Government at
% Cents per Ounce Above It's Mark
a. yalue-It Would Drive Out Gold.
WASHINGTON, Jan. 13.-In the Senate
.odsv Mr.. Morgan, on behalf Of Mr.. Col
,,,i,+ gave notice of on amendment to the
s,srcisl bill aboloshing the tax on state
banks.
The bill passed providing that army Off
osrs on the limited retired list who shall
have attained the age of sixty-four years
,bsll be transferred to the unlimited list;
end nroviding further that the number of
oficers on the limited list shall be $50. The
Sanate then resumed consideration of the
fGancs bill and was addressed by Mr..
Sherman.
Mr. Sherman said, was a radical propoSi-
+io1 which changed the whole chara cter
of the bill. aud excited his feelings some
what He thought that under the circum-
stances he was justified in all he said the
ether day; and what he said then he re-
peated now.
A oNE-sIDED SCHEME.
But now he wished to discuss the measure
as a business question, which affected the
right; and property of every citizen of the
United States. 1t would be perceived that
the amendment was a proposition that the
United States should pay 81 30 for :every
ounce Of silver bullion that
MIGHT be offered from any
part of the world. The United States was
not at liberty to pay for that bullion in
silver coin or silver dollars, of which it had
S3OOOOOOOO in the treasury; but the option
was entirely with the holder of the bullion
TO demand coin or bars or treasury notes.
There was no option left to the treasury.
The price was fixed and the holder of the
bullion would take the most valuable mode
OF payment, which probably was treasury
notes. These notes were promises
TO pay money and were legal
tenders for all debts public and private.
They were made the highest standard of
value. In some respects they were better
than UGited States notes and better than
silver certificates. So that not only was the
United States bound to purchase all bullion
offered at 81 80 per ounce, but it had no
option as to the mode Of payment. The
option was in the hands of the owner.
BEATS GOLD.
Mr.. Stewart inquired whether the same
law did not apply in regard to gold.
Mr.. Sherman replied that it did not.
This proposed measure was much broader,
as he would presently show. This gave
preference to silver over gold. Not only
this, but whether intended or not)
this amendment was offered in
such a way that It was
not open to further amendment. The price
was fixed at 81 20. To-day the value of
silver in the markets Of the world was
something about 81 05 an ounce. Here was
an offer TO pay "A cents an ounce more than
tl6 market Thara
another feature of this proposl-
tion, which was that silver
was to be formed into coin or bars at the
option of tie owner, without charge, u
There could be no deduction made in the
mint for the expense Of fitting silver for
coinage. 1t was true that under the law
gold was coined without charge But there
was charge for parting aud preparing and
stilIenlng the metal-adding the proper al
10y. The depositor Of gold bullion was
liable to deduction for these charges. But
under this measure the owner Of silver bull
Ion was subject to no charge whatever.
Bullion wa' deposited and coined, or made
into bars without charge. No matter in
what form silver was presented it had to be
worked over. Pure silver deposited. ives
sometimes more difficult than that contain
ing alloy, because alloy must be added to
H. AT the minimum (according to the
director or the mint the cost of refining and
coming silver was2 cents an ounce. These
cents were paid by the United States to
put into shape bullion deposited for which
1t paid 81 20 an ounce.
WOULD DEMO NETIZE GOLD.
He said the other day that this nronosi. .
ton would tend to change the standard Of
value Of all property in the United States,
and that in time it would demonetize gold.
II,hereupon the senator from Missouri (Mr.
Veat had made a remark that If free
coinage Of silver would put gold
a0 premium, would separate
tae two metals and would change the nature
Oh contracts, he would refuse to go further
IN That direction. He (Mr. Sherman) said
now In all sincerity that if he believed that
Ifee coinage of silver would enable us to
maintain the value Of silver bullion up to
tnat OF gold, he would vote for free coinage
To-day. But if it were admitted that silver
could not reach gold except by the gov
gInnent paying bounty to the producers of
~oAestsc silver, he did not think there was
any Danger OF this measure passing. If it
we're admitted that parity of god ard silver
coul1 not stand except by the United States
s'ahdlng as purchaser in the worlds mar
t AeC, ne did not think that this was the thing
'naV ought to be aimed at.
FIXING THE RATIO BY LAW.
Mr.. Teller said that the advocates of free
coinage all over the world had asserted. as
fundamental principle, that there was
only one way to put silver and gold on an
equality; aud that was by law which
would put the two metals on some ratio to
be fixed.
!, Mr. Sherman replied that the law now
ull Ix the ratio for coinage at 16 to l. That
was all the law could do. The law could
h'T. hoT nx the price and value of silver
,nh' Uuloh' Congress was potent in
s.sy Sony things. The government was
~ eeug, but not strong enough
~ ~ Ix the value of bushel OF wheat. 1t
S,r. SuTa not fix the value of an ounce of silver
o~ln oulllon When it proposed to pay 81 30 an
Ja!(ee JJauce Tor silver worth 81 05, it would un-
aeoo,ubtedly advance the value of silver.
IiIVer might reach parity with gold. How
i1ong would it remain thereS ONLY SO
~ TpTug as the government paid that price.
rAe market value was the Judgment Of the
y. ~.orld, not of any nation. 1t was the want
~. :, One people that regulated the market, not
,r. suo laWs OF man. the problem to be solved
% n%s' how could two articles Of unequal
'1Iue be maintained at an equality.
@ hr- Ieller-I the mint were open to the
b b'eptlon and coinage Of silver, would there
" any bullion TO buy?
PLENTY TO BUY.
Wr. Sherman-Yes. it would be brought
e. o,1 rom abroad. 1t would be supplied out of
p1o'J, ,OJO, 900 worth that is ia signt. Why
~ ~ III one metal was allowed to bs
rooiueu, which was cheaper than the other
aut eIal, the cheaper metal would take the
d1le dIuole volume of circulation, and the
carer metal would either / e boarded or
1Aportea to the other countries where it