The advocate and Topeka tribune., 1892-12-21


sitious, that it is useless for congress to
waste time upon legislation looking in
that direction. There is another fact
known to all. We recovered at Geneva
an award against Great Britain Of $l5,-
100000. When this claim was maturing
the banking and commercial classes OF
Great Britain induced the government
to interpose, and by diplomatic arrange
ments through the state department.
here, operating upon the treasury de-
partment, secured the transfer OF secuTi'
ties, and thus avoided the transfer OF
coin. In the presence Of these facts, is
it to be assumed for moment that wa
can go into the markets OF the world and
purchase coin with which we can redeem
four, three, two, or one hundred millions
outstanding legal tender notes?
When drain Of gold sets in, the Bank
of England raises it's rate of discount un-
til it makes money scarce enough; and
reduces the prices Of commodities low
enough to arrest the drain. This Is a
necessity for it's own preservation, to
which it must sacrifice everything else,
not excepting it's own customers It is
unfortunately too plain how the United
States, depending upon the European
prices Of its commodities for the means
to pay it's debts, must fare in contest
for gold with the banks Of London and
Berlin.
And 80 far as it is true, as it doubtless
Is to some extent, that our indebtedness
to Europe is paid from the sale Of COM
modities elsewhere, the United States, as
a debtor country, is interested against
such a elimination Of the world 81 meas
ure of values % would result from de-
monetizlng silver, and ought to throw
the weight of it's example and influence
against it.
Every additional employment for gold
increases it's value, and it must be an un-
wise policy for the United States, owing
large debts held in gold standard coun-
tries, and many Of them specifically pay
able in gold, to make new demand for
that metal, of from $300,000,000 to
$5O0,OOO,0OO, by adopting an exclu-
sive gold standard. The interests to be
subserved by such a policy are not
American interests, but those of the
gold standard countries of western Eu-
rope, and especially Of England, which
are to an enormous extent the creditors
Of the United States and Of other parts
Of the world.
Upon this general statement it is ap.
parent that struggle for given guam
tity Of both the metals must be less
severe than struggle for the same
quantity OF single metal. The needed
quantity is less percentage of the stock
of both metals than it is Of the stock Of
either. The whole world can be drawn
upon for both, while only part OF the
world can be drawn upon for one; and
if the single metal sought for is gold, it
is only the smallest part OF the world
which can be drawn upon.
Tne actual and legal money Of the
United States Is now. and has been since
1862, paper issued by the government.
1t owed its origin to exigencies growing
out Of the civil war, and to the belief
that it was necessary for the preserva-
tion Of the government. The law su-
thorizing its issue has been d-cided by
the highest judicial tribunal to be war
rsnted by the constitution. 1t owes its
value to the demand Of the population
OF the country for money, and not to the
} indefinite promise to redeem it in coin.