The morning news. [volume] (Savannah, Ga.) 1887-1900, 1892-02-15

Sl25 ,000. 900 of gold in the federal treasury
and even this cannot by any proposed free
coinage law be drawn out in payment for
silver dollars or coin notes."
The report then takes up the question
of the relation of the silver question
to India for the purpose Of show
ing that even demonstration oper-
ates as a bonus on Indian exports 20 our
disadvantage. 1t says: "The fact that
nearly the whole of the exports Of egricult-
ure go to European gold using countries TO
be sold in competition there with countries
on single silver basis is cited by ecouomi-
cal writer's Of this country and Of the old
world TO show the disadvantage of the
American farmer in such competition.
SILVER AND FARM PRODUCTS.
"lt is claimed. and the history of prices
shows, that as silver falls as compared
to gold, so in about the same ratio the
prices Of our farm products fall To say
that silver is low is tantamount to saying
that the prices Of cotton, wheat and other
farm exports are depressed. The reason is
plain. Countries having silver standard
avoid as far as possible liquidating foreign
debts In money, for the reason that silver Is,
as compared with gold, deprecated. To set
tie foreign balances, therefore, ik
silver entails loss Of the difference in ex-
change between the value of silver com>
pared to gold, the difference being the di-
vergence between the commercial value
and coinage value of silver. Hence, a
silver standard country, India, instead of
sending her money, silver to pay her for
eign balances, sends wheat and cotton and
other exports, which, in her currency,
have not lost their value at home OF abroad.
This system works as an interest bonus upon
all such exports from silver standard
countries. Not 30 with the American
farmer. Here silver is coined only on gold
account. We are thus tied to the single
gold standard. Consequently when gold
goes up ae compared to silver the American
farmers wheat, cotton and other exports
fall in prices. In other words, as silver
falls below gold so also our articles of ex-
port trade, especially farm products, fall in
price, These facts were clearly brought
out in the investigation Of the British royal
commission.
A FURTHER EXPLANATION.
IAN explanation, further, is that the
farmer in all silver countries who sells his
products for gold in gold using countries
gets gold. If, therefore, wheat is worth 81
q bushel in London,a bushel OF wheat sold
there will get gold dollar. This gold dol
lar will buy silver enough now in the Lon
don market sufficient to coin 81 25 at our
ratio, and more at the ratio of India: SO
that the farmer in silver standard countries
gets more for bis wheat, a sufficiency
OF silver to coin it in his home mint into
81 25 or, in other words, he has in reality
got 81 % for his wheat. Not so with the
American farmer. He gets his dollar in
gold, but he cannot with that gold dollar
buy silver for coinage at home for the rea-
son that free coinage is denied him, silver
coinage here being limited to government
account. The American farmer gets 81
for given amount OF wheat, meats and
cotton product, whereas the farmer in silver
WTaFsxr A,.sz
amount of his product. Free silver coinage
would put silver and gold on fractional
parity, thus putting the American farmer
on an equality with The Hindoo and other
silver using people.
THE FARMER GAINS THE MOST.
ut lis beyond doubt that free coinage of sill
yer would thus add at least 12 TO Is per cent
to The value of all farm products, so that it
is clearly seen that the gain OF the silver
miner. as compared to the gain of the
American farmer by free coinage
of silver, is practically insignificant"
On this point the majority quote from an
article printed the past week in a Wall
street paper, calling attention to the fact
that the silver and cotton (of the latter of
which we exported in 1891 $276, ,65S, ,029
against 1921 ,492, 800 of all breadstuffs) are
selling at the lowest prices in their history.
A telegram from New York, dated Feb. l,
is also quoted. Ihls telegram related that
cotton had tumbIed the day before, and
after noting that the decline was partly
due to the large visible supply
said 1.-THE low price of silver is also a
factor in the decline, as England settles
with India in silver, and the lower silver
goes the cheaper England can buy in India. :"
Continuing the report says breadstuffs
are doing somewhat better now than cotton
owing to the failure of such crops nearly
everywhere except in the United States.
Yet Notwithstanding this unusual failure
our food products are now selling too low
for any profit. These are also falling. and
will suffer the same as cotton under like
condition.
In conclusion the majority submit the re-
port made Gt the last session by Mr.. Bar
tine of Nevada, who, as leader of the free
coinage republicans on the committee and
in the House, made a comprehensive, ex-
haustive and judicial review of the silver
qoestion in all its details In this document
Mr.. Bartine went into the cry that free
coinage would food us with cheap silver,
showing by consideration Of the financial
condition in Europe and India that it was
not to be apprehended, Quotations from
Mr.. Bartine's report also go with more
elaboration into most Of the points outs
lined in the first part Of the report to be
submitted tomorrow.