Waterbury evening Democrat. [volume] (Waterbury, Conn.) 1887-1895, 1893-07-19
RoutMell on Silver.

ltIupLekl2dt1bl VI sllfCI Al 1910 Was huk
an accident, nor was it inserted surrep-
titiously in any legislative act. 1t was
accomplished on n distinct recommends
ton of Mr.. Boutwell, to congress in his
financial report for December, 1872, The
country had due and full notice Of the
policy promised!'
Mr.. Boutwell, then recalls the fact that
in 1860 the American silver dollar was
worth more than the gold dollar by
about cents. By 1878 the gold dollar
had become about 3 per cent more valu-
able than the silver one, and there was
neither gold nor silver in circulation.
Boutwell, says he foresaw the future of
| the two metals:
AT that time the power drill had been in
vented and its value established. The use OF
| dynamite was well understood. and the number
and riches OF the silver mines in the Rocky
| mountains justified the conclusion that the
silver would Gcteriorate in value with each
succeeding year.
On this theory of the then future my policy
was based.
His theory of n coinage metal is as fol-
lows: The intrinsic value of a metallic
| currency should correspond to its GEM
mercial value. or metal should be used
only for the coinage of tokens redeema-
| BILE by the government at their nominal
value"
In 1S16the silver commission made its
/ report in favor of resuminS the double
standard and the coinage of silver with
| ont delay at ratio to gold of l6 TO /.
| Mr.. Boutwell, dissented from the ma
! iority report and made one of his own.
1t was to the effect that since Germany
had demonetized silver. and the other
countries of Europe had closed their
minis against its coinage, the United
| States should call an international con-
ference. He said:
| at is cxpcdicnt for this government to ex-
| tend an invitation 10 the commercial nations
| of the world join in convention for the pur-
1 pose of considering whether II is wise to pro-
| vide by treaties and concurrent legislation for
| the use Of both silver and gold in all such ma
| tions upon n fixed relative valuation of the two
/ metals"
As to the project for the characterization of
| silver without the cooperation of other COM
| mercial countries, said: lit is to be appre-
| hendcd that the remonetiZation OF silver by
| the United States at the present time would
be followed by such depreciation in its value
as 10 furnish IL reason against the adoption of
the plan by the rest OF the world and that an in
dependent movement on our part would in
crease the difficulties rather than diminish
them. However that may be. the undersigned
is of opinion that the introduction of silver as a
| currency should be post poned until the effort
| 10 securr the cooperation of other nations has
been faithfully tried"
| However, the majority report was
adopted. and the United States decided
to so it alone on the resumption of silver
l I H. -.
rest of the world with her:
| The coinage Of silver was authorized. and AT
| invitation was then extended to other nation.
| to join us in the of silver as a currency
| Having abandoned the vantage ground we &C
cupicd rs gold producing and gold usinG
| country, it was in vain that We invited othel
| commercial nations TO follow our example. II
1876 We were the principal gold producing ma
ton of the world, our finances were in
| healthy condition, our foreign trade was pros
| peruus, and we could have remained golC
| using nation and detied the world.
| Had We pursued that policy IL Is not improb
able that, with the heavy trade balances il
J our favor since 1876, even England would hav
! been compelled 10 resort to the use Of silver
| In 1876 we were the masters Of the situation
| and we could have maintained the gold stand
| ard to our own advantage and to the finAncia
| peril of all Europe.
We are now practically silver coun
try. Mr.. Boutwell, does not see an,
great peril in that fact, however, unles
the state bank system is restored. TheI
he thinks both the state banks and silve
i will be more than the national govern
, ment can carry. He believes that fur
Their legislation in the interest of silve
l | production would be rs much class legis
lation as lawmaking in favor of whea
or iron or any other commodity.
The immediate remedy for the presen
| situation he believes. would be for tn
= United States government to return
, its former policy of requiring custom
duties TO be paid in gold. BY tina
means an adequate supply of gold coul,
/ be had for the treasury without incur
: ring new obligations. To the objectio
I that this would be q Discriminate
against silver he replies that it is iii.
elimination forced upon US by event,
To second objection that might b
\ urged against this course he answers:
t The collection OF the customs duties In gol
| | will add somewhat TO the protective featurS
! of the tariff system. This statement is true
i some degree. and its assertion is AdmIssic
e | that q difference exists and that silver
currency is not as valuable as gold. The chang
may ltSti 10 u uecrSAso Oh iInpoFt&xsonsS an
thus indirectly the balance of trade may be q
fectcd faVorahly, and the manufacturing int
est may he promoted thereby.
To the protectionists these not evils Al
: | 10 the free traders they are not objections
!, magnitude. But whatever the objections ms
. | be, one indis pensable condition Is gained al
made secure: The quantity OF gold In the trea
: ury will always be equal TO any demand TIL
7 | can be made upon 1t.
5 Further, the silver purchase clause
e the Sherman law should be repealed,
! thinks. but there should be no disturb
ance at present of the legal tender staff
of the white metal.
" Street barricade fighting can never
: successful in Paris any more because II