The great West. [volume] (St. Paul, Minn.) 1889-18??, 1892-11-18
TIE 81. VEN QUESTION.


Il \ -
n1y number Of the Forum, IN which
Mr. Coe briefly gives his reasons 70.
believing that the present silver Law
should be repealed. AZ Mr.. Coe offers
no suggestions as To substitute fo1
the present law and evidently Is not IL
favor Of free coinage of silver, II IL, Il
be presumed that he favors the. disuse
ct silver Is = money metal and It's rele:
cation to e position among Other
valua bic merchantable commodities.
n the beginning Of his article Mr.. Coz
says that the government buys silver
bullion ct market price. paying. for the
same in treasury notes, but when 8
holder Of the notes desires to redeem
them he can get back only silver coins
containing q uniform but much smaller
amount of silver than the market value
OF bullion given for them, and there
tore the notes are not redeemed atcost
The silver consequently accumulates
in the treasury" Is it possible that
Mr.. Coe is honestly mistaken and ig-
norant OF the facts, or is he merely
juggling with delusive phrases and en-
deavoring to ssdarken counsel with q
multitude Of words?' Viewed from
any and every standpoint Mr.. Goes as
sertion is fallacious, sophistical and
calculated to mislead.
will endeavor to point out wherein
Mr.. Zoe is in error. We will first as
sumo that the holder Of the notes.
which he desires to redeem i. e, the
person who wishes to exchange paper
money Tor metallic money, expects to
continue to use the metal, as he did
the paper, f'for money purposes" In
that event there is neither loss nor ad-
vantage, the exchange being purely
mutual and exactly equal. The indi-
vidual holder of the notes parts with
legal tender paper units of account
and receives legal tender silver units
OF account Each possessing the same
and equal legal attributes, they are Of
equal money value and capable equal
" of performing all the functions APP
pertaining to money. Allow me to di-
gress. We may here catch glimpse
OF good-sized Ethiopian in the gold-
ties wood pile.
A statement that cannot by any pos
sibility be controverted is that dol
lars"-metal or paper - possessing
equal money value-a depreciation in
money value of one below the other
being impossible.
That Is to say: Should volume Of
money consisting wholly of metallic
coins, be expanded by the addition
thereto of considerable amount of
legal tender paper dollars, the pur-
chasing or money value of each unit,
both metallic and paper, would be re-
duced in exactly the same ratio This
fact effectually annihilates the absurd
theory of sintrinsic value" as applied
to metallic money.
Those who occupy the ground Mr..
Coe occupies are not solicitous for the
financial welfare of the holders of
these treasury notes-on the contrary
the solicitude is likely to tend in the
opposite direction. Each successive
monthly issue of these full legal tender
United States notes has tendency to
raise the price of land, labor. and all
labor's products, thus reducing the
value, in material wealth, Of interest
bearing investment securities Of all
kinds, and to some extent hindering
and retarding the process Of absorb
ton which is gradually transferring
the wealth of the entire nation into the
hands of a few individuals.
But to resume. There are but two
other contingencies in which it is sup
possible that sane persons would wish
to exchange legal tender paper money,
which will buy food and clothing and
pay rent, for comparatively useless
metal called silver. to-wit: A desire to
speculate in silver bullion as a COM
modify, or an intention to engage in a
manufacturing or art business into
which silver enters as material. Will
Mr.. Coe kindly point out the obstacles
that stand in the way Of the holders of
these notes entering the open market
and buying silver bullion in COMPETE
ton with the government? Is it not
true that those owning silver bullion
and desiring to sell it would as readily
receive legal tender money in payment
therefor from individ uals as from the
government?
But leaving out of the question en-
tirely the foregoing propositions, which
may be said to be argumentative and
theoretical, Mr.. Goes assertion that
when a holder of the notes desires to
redeem them, he can get back only sill
yer coins" etc, etc, does not agree
with the facts or practice in the case.
The treasury notes of 1890 (the ones
under discussion) are redeemable not
IN silver coins only, but in gold or sill
yer coins at the discretion of the secre-
tary of the treasury. What, then, it
may be inquired, has been his discre-
ton? What is the general practice in
the case? Let Mr.. Foster speak for
himself In a letter written to Mr..
Hayes and published in the American
Mr.. Foster says: ssThe treas
ury notes differ from the silver certf-
Gates ii that they are redeemable il
either gold or silver at the discretion Of
the secretary Of the treasury. IS
= Treasury notes are redeemed ii
gold when so presented for redemption
at the treasury or any assistant treas-
ury Of the United States" Thus il Is
that the sworn servant Of the people
enters into 2 conspiracy with the
s.money changers todebase and humil-
late silver and make il appear, FIRST
that the people do not desire to use
silver as money. Second, that the con-
tinued existence in force of the present
law will necessitate the issue Of inter-
United States bonds to "a.
nlenish the gold reserves Of fho TT,,;+oa