The great West. [volume] (St. Paul, Minn.) 1889-18??, 1891-10-23

itself its money value, and such money
value would become its market value.
/ We also prove this by experience. In
/ 1878, when silver was demonetized,
371.25 grains of silver were worth 103
cents in gold. Since then it continued
to go down, down, until in 1890, just
before the law increasing silver coin
age was passed, 371.25 grains of silver
were only worth 70 cents. As soon,
however, as the law was passed in
creasing its coinage it commenced going
up, until now it is worth 7scents. This
was all by operation of law. Say, by
legal enactment that 37125 grains of
silver are dollar, and, of course, they
will at once become worth a dollar,
less the expense Of coinage In other
words, put silver on an equality with
gold and it will be equally valuable as
gold Mr. Wheeler asks: "Who demands
it?" I answer: Five million farmers
and workingmen, who are tired of see
ing the value squeezed out of their
property, and the value in labor, Of
their debts increased by the apprecia-
ton In value of the gold dollar. And
they neither own silver mines nor want
an office. They simply demand justice
and return to the money of the Amer
lean constitution.
| Mr.. Wheeler then gives his unfor-
tunate wheat illustration, in which he
disproves all his former assertions. He
says: India is, and has been for many
years, the principal competitor in the
wheat market with which the United
States has had to contend. India being
on silver basis, Europe in buying In
dia's wheat has bought silver by the
ship load at its market price in gold
and shipped this silver to India and ex-
changed it for wheat As a matter of
fact the lower the price of silver the
more of it could be bought for a dollar
in gold. hence the more wheat could be
bought with Europe's gold converted
into silver, and the more wheat silver
dollar (rupee) would buy in India of
course the lower the price in the United
States" Well never! Did you ever?
That is precisely the argument an ad-
vocate of free coinage would use. Let
us analyze it. India is country in
which money is commodity, the
value of which is fixed by the CONNER
cial world, the basis of which is silver,
and by this (silver) the value of every
article of commerce and trade is fixed,
and this is true of gold, whether bull
lion or coin, etc" Funny, is it not?
Here is country with large COM
merce and commercial world, all
peculiarly its own, and in that world
| Mr. hoo hoo y,
odes of the money he describes in the
beginning of his article. So foolish are
the inhabitants of India. and such con-
tempt do they entertain for our COM
mercial world, they put avalue of their
own upon our fixed value, gold, and
England and Europe are able TO buy 80
per cent more wheat with American
silver, bought at its market value, than
they could with the gold they pay as
for such silver. It occurs to me that if
we were to issue legal tender paper
dollar for every 81. 25 grains of Ameri-
can silver and store such silver in our
vaults. so as to keep it out of the
reach of England and Europe, we
would not only increase our circulating
media by few millions annually but we
would retain possession of our silver
and raise the price of our wheat 80 per
cent; and free coinage of silver, by at
once making every 81. Is grains of sill
yer worth one dollar, would have the
same effect Does it ever occur to Mr.
Wheeler that England knows a thing
or two?
Perhaps Mr.. Ernest Seyd, when he
came over here in 1878 with purse of
$5O0,00O was perfectly aware of the
kind OF trap he was leading us into,
and that England wished not only to
appreciate the value of her interest
bearing American investments, but also
was maturing her plans to buy her
breadstuffs for 80 per cent less than its
value.
have already disposed of the idea
that free coinage would stimulate the
working of the silver mines and in
crease their output, and it cannot be
called sound business logic to say that
increased production of anything will
increase its market price" by showing
that under free coinage the COM
modify or market value of sill
yer would be merged into the coin
age value. Besides, the argument is
just as applicable to the free coinage of
gold. Mr.. Wheeler thinks that our
money market must be the one estab-
lished by the joint commercial law of
nations. Poor India, suppose, is not
in it By the way, who esta blished In
dia's money basis for her? And who
coins her rupees? Queen Victoria is
empress of India, 'don't-cher-know."
John Bull is chuckling in his sleeve,
and we-wen we can console ourselves
with study of Puclx's motto, 'What
fools we mortals be. "-George c.
Ward, in American Banker.
| A Gold Basis.
Secretary Foster recently made
statement that if he found it necessary
he would sell bonds to keep the coun-
try on gold basis This. it is expect
ed. will have reassuring effect on
lenders and influence time money gen.
erally.-American Banker.
That is to say that Mr.. Foster will
give the peoples note, payable, princi-
| no nd int ~