Pittsburg dispatch. [volume] (Pittsburg [Pa.]) 1880-1923, 1891-11-18
A SILVER DILEMMA.
Its Horns Are Free Coinage and the
Measure Now in Force.
SECRETARY FOSTERS ADDRESS.
He Speaks at the Banquet of the New York
Chamber of Commerce.
THE WAY ITO PRESERVE THE PARITY

NEW YORK, Nov. E.-As the Dig clocf
in Delmonico's banquet hall chimed
O'Clock this evening the doors of the dinin.
room we're thrown open, and 272 gentlemen
began their march to the feast spreat
within. The occasion was the one hundred
and twenty-third annual dinner of tn
Chamber of Commerce of the State of New
York.
The line was led by President Charles S
Smith, attended on the right and left by th'
invited guests: Hon. Carl Schurz, Hon
William T. Wilson, Rev. Dr. Charles S
Briggs, Horace White, Hon. Enoch L
Fancher, David NJ Stone, Hon. Franl
Hiscock, Hon. Chauncey NJ. Depew, Gen
eral John NJ. Schofeld, Hon. John Bigelow
Hon Edward s. Lacey, the Earl of Aber
deem, Rt. Rev. DR.. H. C. Potter, Hon. Ed
ward O. Leech, Major General o. o. How
ard, Hon. Charles Foster, Hon. Thomas ID.
Carter and Captain Henry Erben.
One wear ago the nations Secretary o.
the Treasury had entered the same hal
among the guests hale, hearty, cheerful
before the lights had gone out in the great
hall he was dead Many times the tragedy
was referred to tonight.
Statesmen Who Couldn't Come.
President Harrison and Secretary Blaine,
who it was hoped would find 1t convenient
to attend, failed to put in an appearance.
Both sent regrets, however, as did also Sec
retary Tracy, Grover Cleveland, Postmaster
General Wanamaker, Secretary Proctor,
Henry Cabot Lodge, ex-President Hayes,
Governor Russell of Massachusetts, Hamil-
ton Fish, Chief Justice Fuller, Thomas A.
Edison, Attorney General Miller and Sir
Edwin Arnold.
President Charles S. Smith, of the Cham
Der, made the opening address, and a toast
was drunk in silence to the memory of Gen.
eral Sherman. Hon. Charles Foster, Secre-
tary of the Treasury, was introduced, and
he made the speech of the evening. His
subject was "To Maintain the Parity Be-
tween Gold and Silver is the Fixed Policy
OF This Government. In opening, he said:
To maintain parity between gold and sill
Yer is the first policy of the Government,
because we all recognize its supreme i'm
portance. When we come to the question of
what policy is the best to pursue to main
tain this desired condition. serious differ
ences of opinion arise. 1t is now agreed on
all sides that gold alone furnishes too mar
row basis upon which to conduct the
money affairs of the world.
Fifteen years ago people of the East who
were supposed to understand the question
of finance, INDUCED in prophecy rs to the
evil that would follow such large coinage
of silver dollars.
DolefuI Predictions Not Verified.
Great financiers of the country held that
the parity could not be maintained, even
with a smaller coin. Notwithstanding dole
ful predictions we have coined over $780,
100000. We have, besides, purchased about
s1o0OO,00o worth of silver bullion at gold
N-sl1rr and fny n, +bn Of n1anr1f
900 of new Treasury notes, and yet the
parity is maintained.
So, now. men whose intelligence and pa
triotlsm cannot be questioned, are moved to
indulge in gloomy forebodings over the
present outlook, and propose to repeal
the present law authorizing the purchase
OF $4,000 ounces of silver per month, to
be paid in new Treasury notes. 1t is not
my purpose TO dispute this position, nor
do propose to make myself the special
advocate of the law as it stands.
There is one very important factor in deal
ing with this question which has not been
appreciated to any such extent as it de-
serves-that is the enormous power given by
Congress to those in authority to deal with
this question, backed by the almost in
calculaDle resources of the greatest country
on earth. The question to consider now is,
what policy that is attainabie (remember.
ing all the time that the ideal
is impossible) will result in the least strain
least resort to the exercise of the extraor-
dinary powers conferred upon those in
authority 10 do what the law commands
viz, to maintain the parity of gold and
silver. In my opinion, with all of our power,
we could not maintain the parity if the
policy of the free coinage of silver pre-
vailed.
The Present System Probably Safe.
Iam firmly of the opinion that the parity
of the two metals can be maintained under
the present policy. We produce in this
country about s43,oo0C0O of gold annually.
of trade with foreign nations for the next
two years, and for a longer period, if the
present tariff laws are maintained, will re-
Quire gold shipments to US to pay balances
i'll our favor. Under the present policy we
buy 4.5o0.o0O ounces of silver per month, pay
ing Tor this purchase its value in new
Treasury notes. Under such conditions the
work of maintaining the parity will not re-
quiIe any extraordinary exercise of power
or be a strain upon the resources OF the
country.
If,however, the balance of trade should turn
against us to any great extent which seems
to me quite improbable, except in the event
OF extraordinary contingencies abroad, the
strain would come, but even then nv faith
in our resources is such to compel me to
believe that we would weather the storm
and preserve the parity. The shipment of
more than sc, 000. coo of our gold to Europe
without embarrassment to us is only an H.
lustration OF the marvellous financial
strength of the country.
Under free coinage silver would take the
place of gold in settling balances If the
price OF silver were advanced from 81 to 81 %
per ounce, all the silver in the world would
be attracted to this country. To maintain
the parity under such conditions would he
difficult.
Either Free Coinage or Sherman's Bill.
In my opinion, gentlemen, the practical
question for you to consider is which of
these two policies will you prefer. know
you have expressed desire for the repeal
of the present law, and understand you do
not propose a substitute of any kind. In
other words. if you can have your way, you
would permit silver to take care of ITSELF L
have not given much thought to this phase
of the subject for the reason that do not
believe Congress will indorse Your views:
but think can see clearly that IL the Gov
eminent goes out of the market the price
will decline. Perhaps it will be large de-
cline. in which case it seems to me task of
maintaining the parity will be embarrassing
and difficult.
/ feel quite safe i'm saying that one of the
hindrances 20 an early agreement in the di-
rection l have indicated is the belief in
Europe that free coinage is to be the policy
of the country. IL this is to be our policy
they know that their silver will come to us
and that our gold will go to them. Is it not
the part of wisdom for US to refrain from
doing anything that will impair our ability
To preserve the parity.
In what / have said express the opinion
OF myself only. The position l occupy re-
quires me. for the time being, to give my
best thought and attention to this and kin
dred subjects, / am trying to consider, not
the ideal, but the pra actical only.
When Chauncev M. Depew arose he
eulogized Secretary Foster for publicly
favoring Sherman for reelection, as against
Foraker Bishop Potter, Hon. William I.
Wilson, Of West Virginia, and Rev. DIR. c.
A. Briggs, were the other speakers.
The Gar rcify Crowiup Ho