Pittsburg dispatch. [volume] (Pittsburg [Pa.]) 1880-1923, 1891-10-19
COINAGE QUESTIONS.

In addition to former inquiries on the
monetary question communication else
where asks a number of inquiries which,
as they go TO the foundation of the coin
age question, we take pleasure in answer
ing as fully as is practicable within the
limits Of our space.
To the first inquiry, whether the United
States has not ''the sole and sovereign
power and authority to make money!" the
reply is that it has not, on strict con-
structiOn of the words. The power
granted by the Constitution is ''to coin
money, regulate the value thereof and of
foreign coins, and fix the standard of
weights ard measures" and that forbid
den to the States Is TO "coin money and
emit bills Of credit" This may seem to be
synonymous with the words used by our
interlocUtor; but in view of the claim by
some people that the Government can
make money out of anything it is wise
to draw the distinction. The Government
can coin money; that is, it can put its
stamp on metal accepted as money by the
people, certifying that it contains speci-
fed amount of metal Of stated degree of
fnenesS; so it can issue bills of credit or
promises to pay. This is making money in
one sense; but the value of the coin will
always depend on the universal estimate
OF The value Of the coin contained in it,
and that Of the promise to pay on the pub
lie belief IN the certainty of the Govern
ment 10 make good its promise.
1t is as our correspondent says, the
duty of the Government to make full legal
tender money in amount sufficient to
carry on the commerce of the country, if
it is able to do 50. Bat there are other
duties equally vital The money or meas
IRE Of values, like the standard of weights
and measures referred to in the same sec
ton of the Constitution, should be as un-
varying as possible, because every change
il either standard works mischief in the
operation Of all contracts. An increase CT
decrease in the value of the dollar is plac-
ing an unjust burden on either the debtor
or the creditor. 1t is equally the duty of
the Government to refrain from fixing
two standards. Suppose that it should
take the notion of enacting that the old
copper and iron cents which were about
the size OF the silver dollar should be
collar? 1t is plain that such a step would
be immensely injurious. The same thing
in less decree would work the same injury
in the reduced proportion.
TIE parity OF metals for coinage pur-
poses IS the relative weight of the two
metals estimated by the coinage laws to
give the cGi5ls 3f both metals an equal
vsiua. THUS the European ratio of Is to
meant that silver coin should have
fifteen times as much metal in weight as
ife gold coin. the estimate being fixed on
the greater relative value of silver when
the ratio was fixed The legal parity of
16 to l in the United States has not been
changed since 1887, but the commercial
value has widely altered under the in
crease and decrease in the production of
the respective metals
The silver dollar has been worth more
than the gold dollar at various times. 1t
was worth more in 1853, when the eXporta-
ton OF orr silver coins for that reason
caused 4 saignorage TO he charged on the
coinage Of silver, and finally the Govern
meut ceased coming for individuals. 1t
was also worth more in 1873, when silver
WAS G1moGetiznd, as The DISPATCH has
frequently pointed out Of late. The
reason for it was the increased production
Of gold after the discoveries in California
and Australia, the decrease in the produc- \
ton ui silver. the enlarged use Of silver
III the arts and other co-ordinate causes,
TIE reversal OF which aas caused the de-