New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1892-11-30
THE SITTER CONFERENCE.

The Silver Conference now has before il a
plan proposed by Mr. Albert de Rothschild, of
tbc British delegations which appears to com
mand much support. II is based upon the idea
that the British Government is unable to de-
part from its monomctallic position, or by in
creased use Of silver as money effectively 10
resist the fall in price. 1t is therefore pro-
roSCd that the Powers represented in the Con-
ference shall form an association 70 purchase
SO. 100000 worth of silver annually for five
years, upon condition that the United states
continues its purchases OF 5l.00O.OO0 ounces
annually, but that the purchases by the Eu-
Korean Powers shall be discontinued within the
five years if silver reaches 43 pence per ounce.
DISPATCHES say that this plan is regarded by
Mr.. RothschiId himself and by the Governor
Of the Bank of England as only temporary
palliative. though it seems 10 be believed that
il will for time secure a higher prize for
silver
Ii is a striking tribute 20 the wisdom of Re
pubcanS that the ablcSt representatives, OF
foreign Powers. when they meet to devise
means of resisting the decline in silver can
suggest nothing better than an imitation
30 far as their circumstances permit oi
the methods embodied in the last silver act
But dispatches DO not yet indicate what use
European Powers are 10 make Of the SILVER
purchased. No provision is mentioned for
coinage or for material increase in the monetary
use of silver Without any such increase the
mere purchase of fixed quantity would have
an uncertain effect upon the market. 1t would
lock up for five years over sixth OF the
worlds present production, on condition thai
this country alone should lock- up over third
so that the Joint purchases would be about %
per cent Of the worlds present output. But
every such accumulation would have de-
pressing influence upon the price, in view OF
the possibility that the accumulated stock might
Ultimately be sold. Meanwhile arbitrary pur-
chases also tend to defeat their purpose by
stimulating the production Of silver. In this
country alone the production seems to have in
creased about fifth since the enlargement OF
purchases by the Government. No greater in
crease in the worlds production would suffice 10
add to the annual supply more than the p'lr-
chaScs by European Powers would take ont
Of the market, leaving the situation without
essential improvement.
The condition Of European purchases is that
the United States shall continue 10 take no less
than "a 10000 ounces yearly. y treaty TO
that effect would bind this country not 10 re-
peal the act Of 1890. No matter how grave
the consequenccS might be 10 the Treasury. no
matter how plain it might become that con-
tjnucd purchase; of silyc" would endangcr the
sourdncss of the circulation, they must never
thclcss be continued under the compact pro-
posed. senator sherman already maintains
that the purchases should be stopped. and
while no emergency yet presented seems likely
10 push majority in Congress TO such action, il
is possible that monetary disturbance might
with little warning make this the only and
the obvious remedy If this country il 10
carry twice as grca. share Of the burden as
all other Powers together. it would seem no
more than reasonable that the United States
should be lcf. free to terminate its purchases
at It's pleasure.
Possibly there are parts of the plan not men
toned in dispatches which render it more ac-
ceptable TO American delegates, for they are
said to be inclined to favor il. But mere
buying and locking mp OF silver without any
increase whatever iii its monetary use, even by
the issue Of paper currency against II, seems
to be of questionable service, even as a tenn
pOIaIy palliative. Ii is only two years since
the United states increased its purchases by
$50, 900, 900 yearly, but the price Of silver has
not been permanently advanced. A further
addition of purchases moi rs great in amount
in the absence of any provision 10 give silver
a larger permanent monetary use, might prove
Ineffective.