Grand Rapids herald. [volume] (Grand Rapids, Mich.) 1892-1959, 1892-12-03
IT MUST NOT FAIL
American Delegates Warn the
Monetary Conference
THAT IT MUST DO SOMETHING
Concerning Laws Plan 10 Withdraw
Gold From Circulation and Substitute
Silver on Gold Basis.

Gold From Circuiouon and Sup9usuto
Silver on Gold Basis.
BRussrIs. Dec. 2.--Delegates of the
powers forming the Latin union met
today 1T the Belgian foreign ONCE to
agree upon concart of action in res
pect to the proposals. OF Alfred dc
Rothsthild and also the Moritx and
Levy propositions. The Latin union
Is composed of France. Italy. Belgium
and Switzerland. Thess countries
bound themselves by formal treaties to
gold coin and silver indiscriminstsly
At the rate Of lsi to l. the ratio fixed
by France in 1908, l53 erammes Of sill
yer being equivalent TO gvamme Of
gold. Since Germany. after the Fran
co. Prussian war. adopted . gold stand
ard. the members Of the Latin union
have not maintained an open market
for the purchase and sale Of silver at
the figures stated, hut have adhered
to the bi-metallic feature Of the COIN
age.
The Moritz.Levy plan il the with
drawal from circulation of all bank
notes and gold coins below the nomi-
nal value OF twenty francs, and the
issue of q silver and paper currency
based on silver, having the came pur-
chasing power as gold coin below
twenty francs.
Danger In . Failure.
The delegates from the United
States. England. India adm Mexico have
made statements tn the committee to
the effect that they aolemnly desired
to call attention to tho universal dan
ger that would be incurred should the
conference prove complete failure.
The statements submitted to the con-
ference along with the report of the
committee indicate concerted action IN
the conference on the part of the
countries named.
from the most authentic sources. dis
poses OF yesterdays contradictory
rumors relative to the action of the
special committee On the Rothschild
plan: The special committee united in
declaring Mr.. Rothschild's plan ex.
tremely .interesting and worthy of
serious attention ct some time. Mr..
Rothschild having aeked the commit
tee directly to recommend his proposal
to the conference. the committee by a
small majority replied in the negative,
leaving the conference completes free
dom on the subject. The special conn.,
mittee, after further consideration,
decided by large majority to speci-
ally recommend the Rothschild plan to
tho conference.
Special Committes's Report
The report of the special committee
said that before consldering the plans
of Mr.. Rothschild, Moritz Levy and
Adolph Zoother. they had tried to
clear their way by getting answers from
delegates TO four vital questions. The
first question had been: 9What n,eas-
ures will tho silver producing countries
take 10 restrict or regulate pr0duc-
tionr' Henry w. Cannon had an
swered that no artificial means of
regulating the production of silver
existed in the United States, and iegis-
latlon to that end was exceedingly I'M
probable. Deputy Don Joaquin Cas-
asus had made . similar reply for
Mexico. The second question had
been: "What are the prospects re-
garding the future protection of sil-
ver?' Mr.. Cannon had answered that
the silver production in the United
States was confined to six states and
three territories. The third question
had been: "What Is the policy of the
United States concerning silver pur-
chased"
Repeal the Purchase Act
Mr.. Cannon had answered that the
democratic and republican parties and
the bankers of New York had declared
III favor of . repeal of the silver pur-
chase act Of 1890, and this act, in all
probability. would be repealed il no in
ternational agreement were made 1T
the present conferences. The fourth
question had been: "What is the policy
Of Iudla in the matter of silver COIN
aQer Sir Guilford Molesworth had
answered that rs long as hope of an
International agreement existed India
would be reluctant to alter her present
money system. The adoption Of the
single gold standard bristled with diff
cultles which excited the apprehensions
of ind,a's mercantile world, yet she
felt assured that her adoption of gold
recommendation would be still moro
disastrous to countries already having
tho single gold standard. The only
satisfactory solution Of the problem as
far a. he conld see would be interna-
tonal bi-metaliisu, IN which India
would gladly join the Latin union and
the United States.
Discussed Rotbschiid's Plan.
After disposing Of The four questions
and answers the committee had pro-
ceeded TO the discussion of the r oths-
child plan for obligatory international
purchases of silver. The opponents OF
the plan had contended that natural
economic laws would neutraIize the
effects of such an artificial mode of
trying TO appreciate silver. The act
necessitatlng government purchases
OF silver in the United states had failed
signslly not only to raise the price but
also prevented its falling. To these
objections Mr.. Rothschild had replied
that the arguments of his opponents
were entirely enc sided Tho Ameri-
can experiment had been quite conciu.
ssve. Senior onna, Spanish delegate.
then presented condensed statement
OF Mr.. RothschiId's plan IN the form OF
n bill providing tnat European coun.
tres should purchase 5000. 900 ounces
of silver annually on the condition
that the United states should coutinus
their present. purchases. and that Nix.