The evening herald. [volume] (Shenandoah, Pa.) 1891-1966, 1893-08-21
AGAINST FREE COINAGE
Why Senator Voorhees, Will OPP
pose the Silverites,
1T IS A PRACTICAL IMPOssIBIIITY

4 Lettor from Secretary Carlisle in which
j Is shown That Free Coinage Law
, Would Cost the Government Hun
/ dred Million Dollars.
! WAsHINGToN, Aug. 91.-In an article
headed "The Present Situation" the
Washington Post says:
The free coinage of silver at a ratio of 90
20 /, or at any increased ratio, is practically
impossible
This is the trump card which Senator
Voorhees, is to play in the senate tomor-
row. 1t is behind this barrier that he is to
iutrench himself This is to be his ex-
PLANTATION for abandoning the convictions
of lifetime; this is to be his answer to
those who will quote against him his
memorable speeches in the past.
This trump card has been placed in SEN
ator Voorhees, hands by the administra-
tion. Secretary Carlisle, who, despite all
assertions TO the contrary is loyal to the
president to the last degree, first gave to
Senator Voorhees, verbally the data to
make good the assertion that free coinage
is impracticable. He has gone further
than this and has prepared an elaborate
letter which the senator will read in the
senate In this letter the statement is
made that it will cost the government be.
tween S1120 600 and S113 100000 to carry
out the provisions of Senator Vests free
coinage bill
1t is true that there is nothing in Sena-
tor Vests bill about recoinage. But it
does not need a prophets vision to know
that dollars below par, which only the
government is compelled to take, will
drift with alarming rapidity into the
treasury in payment of customs dues and
accounts, and there they will remain, add
ing to the congestion of the currency. I'm
less they can be recoined they will be use
less as money, and if there is to be free
coinage at an increased ratio some of the
silver fnanciers in the senate must provide
the secretary Of the treasury with over
800, 100000 to execute the law.
Altogether it would seem as if the silver
men were involved in situation from
which it will be difficult for them to ex-
tricate themselves.
The letter of Secretary Carlisle referred
to in the foregoing is as follows:
Referring to our conversation relative
to the probable cost incident to the change
from the present coinage rate between
gold and silver q to 16 for the standard
silver dollars and to 1495 for subsidiary
silver to a ratio of 1 to 20, you are respect
fully informed that the number of silver
dollars coined since 1878 aggregates 419,-
1872, ,45O.
"Without any allowance for abrasion
and loss incident to melting the same the
coming value of these dollars, at ratio
of l to 90, would be $333 222 1872 or SS4, no. q
2SS less than their present face value. To
recoin these dollars at the ratio Of l to 20
would require the addition of 81 376, 700
ounces of new bullion, which, at the ave
rage price paid for silver under the act of
July IA, 1890 would cost SIS, ,SS3, ZOO.
'In addition to this I estimate that
there would be a loss from abrasion and in
| the melting of these dollars of at least
| s., ,00O,0OO which amount, together with
the difference in the face value, of the
coins 1854, 10, 2SS) which have to be reim-
| bursed to the treasury by an appropria-
tion for tina purpose.
"From the fact that the silver dollars
are distributed throughout the country it
would be necessary, as they are redeemed
I at the several sub-treasuries, to transport
them to the mints, and the expense of
transportation for S3O0OOO,OOO the amount
outside of the stock on hand at the sub
treasures and mints at Philadelphia, San
Francisco and New Orleans would average
at least L e per cent, or "a, 100000
81 therefore estimate the cost of re coin
Ing the silver dollars already coined as
follows: New bullion to be added, S75 1885,
700; loss by abrasion and melting, S3,OOO,-
600; cost of coinage Qabor, materials, etc },
ST, 600; copper for alloy, SOS, 200; trans
portation of dollars to mints, 81, 500, 900;
total, $50 741 900.
'The stock of subsi diary silver coin in
the country is estimated at S77, ,000, 900,
which at full weight would contain 55,-
500, S75 ounces of fine silver. This amount,
at ratio of l to 20, would coin S55, ,S43, ,SO2
or $2l, l56, l97 less than the present face
value.
ITO recoin s77, 200, 900 of subsidiary sill
yer into an equal amount of fractional
coin at a ratio of l to 20 would require the
addition of rs, 797, 625 fine ounces which, at
the average price paid for silver under the
o" tun' "A 1890, would cost S17, ,52S, ,7s5.
There would be loss of about 215 per
g AZ, by aprpsion from the face value, OF
about 81, ,295,0O0.
II would, therefore, estimate the cost of
recoining the subsidiary silver in the
country at ratio of l to 20 as follows,
New bullion, SlL52S, is5; loss by abrasion,
81 ,92j 600; cost of coinage Qabor, materials
eJc.), S2,50O0O0; copper for alloy, Sl5,636;
cost of transportation, 81 l55, 900; total,
$50, ,l24, z2l."