Democratic Northwest. [volume] (Napoleon, Ohio) 1869-1894, 1891-10-22

SPECIAL CAUSE OF CohFLAlNT.
On the contrary, while their loss has
been trifling compared with the enorm-
Gus sacrifices that the vast mum Der of
producers in the states east of the
Rocky mountains have suffered in be-
ing compelled to buy gold to pay obli-
cations contracted to be paid in either
gold, silver, or paper, and in being
brought in direct competition with the
cheap labor of Asia by the demonetiza'
tion of silver, still they had no reason
the constitution and laws of the United
States providing for the coinage of sill
yer would be set aside or abrogated.
Their lives and fortunes have been
spent in the discovery, acquisition, and
development of silver mines. These
mines were appreciated equally with
gold mines Silver had been used as
money longer than gold, and the silver
in the silver dollar was worth a prem
ium of about per cent. above the gold
in the gold dollar When the mint act
of 1873 passed without their knowledge
or consent, denying to silver the right
of coinage, they felt that they were
previously wronged by the action of
congress which deprecated their prop
| erty.
ACTUAL LOSS, $3.50, 900, 900.
Why should the miners be represent
ed as favored class? The demonetlza-
ton of silver has not only destroyed
E.. .F Ie % nd
industrious citizens by running their
mining property, but the actual loss in
discounts on the silver they have pro-
duced is about $3.50, 900, 900. Sew
enty millions of this has gone into
the treasury of the United States
am informed by the director
of the mint that while the Bland act
was in force, under which $4,000, 600
worth of silver bullion per month was
purchased at the market price and con-
verted into money at the coin value,
the United States made about $40, ,O00,-
900 profit in the difference between
such market price and such coinage
value.
The act of 1890 does not provide for
the purchase of silver with money
raised by taxation. On the contrary, il
provides for the issuance of paper
Eaoney on the receipt Of silver bullion
at its market price, dollar for dollar.
On what authority do you say that
'to-day the production of silver is
probably the most profitable in the
United States?" Such declaration is
q reflection upon the business instinct
of the people of the United States. Il
your statement be true, then why dc
not more people engage i'll the busi
ness? 1t is free to all.
l fear, Mr. Sherman, that you know
very little about the cost of producing
silver. ] venture to assure you thai
the average cost of the production o.
an ounce of silver for the last thirtJ
years has been at least So and probably
$4 You do not take into account
that vast expenditures are necessarily
made in explorations which produce
nothing You confne your observa
tions to the cost of producing silver
from paying mines after they have
been discovered and developed If yor
knew any thing about the business
you would understand that the work
ing of such mines is like gathering the
harvest after the crop has matured
without taking into consideration tn,
value of the land or the expense of pro
ducing the crop.
NOT WITH THE PEOPLES MONEY.
have already shown that the gov
ernment buys no silver with the none,
of the people "nder existing law, bu
simply receis, uuliion and issues Ger
tifcates and les them legal tender
You say that the government nov
buys in the open market more than thu
entire domestic production of silve
bullion because it needs it for coinage
and as the basis of treasury notes." but
you fail to explain the use of sucl
basis if the gold standard, and no
say that ''all kinds of circulating note
are now equal to each other, and arr
kept at the gold standard by redemp
ton and exchange" Keeping all mon
ey at the gold standard by redemption
in gold is the evil of which bimetallist!
complain. This evil is not remedied b,
the use of all the domestic product o.
silver, or of any other limited amoun
of silver which must be kept at pa
with gold by promise of redemption
The financial distress of the commercial
world is caused by want of real money
not credit money.
In January, 1878, when gold and sill
yer coin were both real money, it is es
timated that there were about 81, 500,
900, 900 of such coin. The director o
the mint now estimates that there i
only So, 727, 900, 900 of gold coin in tn,
world. On your theory that silver de
pends for its value on redemption il
gold there is only about half as mucl
real money in the world as there wa
eighteen years ago. Is such a reduc
tion in the standard money of the com
mercial word not sufficient cause fo
our financial trouble?
THEN MIRACLES ARE STILL POSSIBLE.
You say eff more money is required
there are many ways of providing i
without cheapening the purchasing
power of our money" If such be th'
fact, then there is certainly something
new under the sun, and the axiom tina
value is determined by the law of sup
ply and demand must be discarded. l.
you have any method by which you car
add to the number of dollars in circula
ton without diminishing the purchas-
ing power of each dollar, then miracles
are still possible. The farmers of Ohio
know, if you do not, that when money
is plenty prices rise, and that contrae
ton depreciates the value of their prop
erty. They appreciate the baleful eff
fects of contraction by the rejection o.
silver as standard money in the depreci
| alton of their propertv. Those who arr