Los Angeles herald., 1891-01-14
SILVER DISCUSSION.
The Financial Debate in the
Senate.
sherman Sings the Song of the
Dying Swan.
The Prospect of Free Coinage Fills
Him With Alarm.
senator Allison Comedies One or Two
Points in Favor of Silver, but Pauses
at Free Coinage.
Associated Press Dispatches.

at Free Coinage.
Associated Press Dispatches.
WASHINGTON, Jan. 13.-In the senate
today, Morgan, on behalf of Colquitt,
gave notice of an amendment to the
financial bill, abolishing the tax on state
banks. The senate then resumed con-
sideratiun OF the financial bill, and was
addressed by Sherman.
Stewards amendment, he said, was a
radical proposition, which changed the
whole character OF the bill. twas the
proposition that the United States
should pay $1.29 for every ounce of sill
yer bullion that might be offered from any
part of the world. Not only this, but it
had no option as to the mode
of payment. The option was in the
hands of the owner. This proposed
measure gave preference to silver over
gold not only this, but was not open to
further amendment. Today the value
of the silver in the markets OF the world
was something like $1.05 an ounce.
Here was an offer to pay "a cents an
ounce more than the market price.
Sherman also criticised the PROPOSE
ton that silver was to be formed into
coin or bars at the option of the
owner, without charge. He said now,
in all sincerity, that if he believed free
coinage of silver would enable us to
maintain the value of silver bullion up
to that of gold, he would vote for free
coinage today. But if it were admitted
that silver could not reach gold. except
by the government paying bounty to
the producers of domestic silver, he did
not think there was any danger OF the
measure passing.
Sherman spoke of the. Latin union,
and said the United States was much
more liberal to silver than was even
France, and yet the senate had been
told of the great prosperity of France,
and that wonderful prosperity had been
attributed to it's treatment of silver. He
said it was ridiculous to represent
France as silver country. Silver was
not legal tender for higher amount
than so francs.
He did not see why his silver friends.
nor the people, ought not to be satisfied
with the present law. 1t was compro-
mise proposition made after grave re-
Election. Why should the bullion own
erS of Nevada and Colorado be paid
more than the market price for their
silver? The present law worked we'll.
Last session it was agreed to by the sill
yer men as all they wanted; it contained
a declaration by which he thought it
was point of honor that it would be
the established policy of the United
States to maintain the parity of the two
metals. Now, within a year, a measure
was proposed which would destroy that
parity.
The immediate effect of free coinage
would be to increase the expectation of
gold. While the currency would be ex
panded by the issue of treasury notes, it
would be contracted by the expectation
OF gold.
Another effect would be to increase
the importation Of silver. When
the market f0r silver was In
the fiost disturbed state possible;
when the United States alone was bull
ing silver against the world when the
Latin nations were seeking more sta
BILE standard, it was proposed that the
United States should step in and buy
silver at price far above the market
value. Was it not a serious thing to
store of silver in the world?
Continuing. Sherman said he was
ashamed that great nation like ours
should be content to lower its STANDARD
of value to join China, Japan and the
South American states, and to leave the
great company of commercial nations
which now hopefully stood by the best
standard of value. For, whatever might
be said of silver, no one would question
that in the great business transactions
of life, silver would not answer the pur-
pose. 1t would have to be measured by
the ton. Gold alone was the standard
of value.
He could see nothing in the future of
this measure except distrust, fear and
change of values. 1t would injure all
those who depend upon their labor and
upon the production OF the farm and OF
the workshop.
There was no difficulty, Sherman as
serted. in keeping gold and silver at a
parity with each other. When they
were separated in market value, and
when it was clearly perceived that either
metal was going down in value, then
the ratio should be changed. He be-
lieved the best money ever devised by
man was the treasury notes of the
United States, issuing under the law OF
the last session-gold certificates and
silver certificates. The common people
believed in hard money. They were
willing to have paper money, but they
wanted it maintained at par.
He cautioned the Democratic senators
from the east and the senators from the
southern states that if they committed
themselves to the policy of the free
coinage of silver, they would have the
burden of that commitment next year
when the responsibility of the legisla-
ton would be upon them; and he re-
minded them that during four years Of
Democratic administration they had not
dared to propose such measure, but
kept as quiet as possible, and no alli-
ance would have driven them to the
principle of free coinage.
For one, he would stand by the legal
standard OF value on which public and
private contracts had been based.
After speaking four hours, Sherman
resumed his seat amid applause.
Teller said the senator's argument had
been an appeal against the mines OF
the country. The question was not one
of compensation to the miners, but
whether the world wanted silver as
money.
Allison said it was true the people OF