The Neihart herald. [volume] (Neihart, Mont.) 1890-1901, 1893-10-28

understood Twenty Years ago the silver mines Of the YVES Began to .
off the mighty burden Of debt then upon them. National banks cannot
live unless a nation is in debt. What was more natural then than the de-
sire IN their part to continue that debt? What vas more natural than
their movement to destroy half the real money of the country, to reduce
values, to give a mighter purchasing power to interest when collected,
and at the same time to take from the debtor so per cent of his ability to
pay? 1t "a in the interest of the national banks and the money power
that silver was demonetzed. And the masses of the population re suf-
ferng its baneful consequence.
The cry is made that to remonetize silver is to turn great gain into the
hands of a small class of the population, the silver mine owner. George
Wilson, of Lexington Mo, who is himself a banker, very honestly and
plainly answers this cry in his open letter crtiGing the unconditional
repeal of the Sherman law. Mr. Wilson says:
"As an American business MAJ, as a banker who has studied the financial
problem for twenty years from IA broader standpoint than personal greed, l think
that the present law should stand until a return of the coinage Of the constitution
monopoly of furnishing and holding the ONLY thing that will PAY a DEBT"
The relation which gold has had to commodities is that the value of
the latter has constantly deprecated. Within the memory Of every citizen
this assertion proves itself. But we take the view that to be LOGICALLY
correct we should say the value of gold has APPRECIATED, and that the
value Of commodities has lot changed. For because money is scarce it
requires more commodities today to buy a dollar than it did under none
tay conditions ~ years ago.
THE RELATION OF WHEAT, COTTON, SILVER, AND GOLD IN RESPECT TO VALUE.
We cite as a prominent instance the courseo of the wheat market.
Government statistics show the wheat yield for this year to be below the
decade has not kept pace with the increase of the worlds population. In
addition to this, we know of new and enlarged uses that are made of wheat,
which would naturally cause us to infer that the price of the cereal would
be hm alta good hgure. But o. the contrary this has declined steadily in
that time from Sl.l3 per bushel to the unprecedented figure of So cents.
A review of the course of the cotton market reveals the same economic
paradox. Statistics show in the cae of these two commodities that there
has not been an overproduction, while the demand in the specified time
has constantly increased. Now what has caused this constant fall in
price? Undenaby it is the increased purchasing power of money that has
caused it.
A notable feature of the report of such satisticsi that silver, having
been demonetzed in 1873, has tumbled in price in a corresponding ratio
from Sill an ounce ten years ago to q cents a ounce today. This fact
leads up to a natural conclusion, viz: That silver, following the price of
the commodities nj its upward or downward movement is a nearerp perfect
measure of value than gold. And that both gold and silver combined
would furnish a more permanent basis of money, subject to less huctuation,