The progressive farmer. [volume] (Winston, N.C.) 1886-1904, 1893-02-07
The SILVER
BY Howard M. Holden, a Banker, Read
in the Senate by Senator
Stewart, of Nevada.
From Congressional Record.l

A recent writer says:
Mature has provided silver and
gold with physical qualities utterly in
imitable by man, special to each, and
both absolutely homogeneous, no mat
ter from what part of the world the
two metals r extracted. Further,
more, nature produces them IN hmlted
quantity, which all the efforts and ae-
sires of men can not increase. Fol these
reasons silver and gold have been spOn-
~taneously used by all nations as an
equivalent of exchange, and have oeen
selected by legislators as q only TWO
appropriate metals for money"
Aside from special conditions, such
az unusual supply or demand, values OF
commodities have become adjusted TO
existing stock of these metals. me
money of the world stands opposite 70
the property OF the world.
The worlds stock Of each metal IS
about equal to that Of the other, nalt
silver and half gold. If n halt OF
this stock is obliterated, II the measure
and the referee of the values OF com
modities is reduced, the values OF com
modities must cOrrespOndlngly decline.
The vast credits of the world, lnclud-
ing the money Issues, all rest
upon the gold and silver stocks as their
basis, and as the only money Of ultimate
redemption If the basis is narrowed
the superstrUcture of credit must con-
tract.
After the passage of the Sherman bill
IN 1890, providing for enlarged pur-
chases of silver, the temporary effect
of which was to enhance the price Of
that metal, Secretary Rusk, of the Agri-
cultural Department, realizing the dis
aStrOus effectsupOnO our agricultural in
terests of the decline in silver, wrote
the following in his annual report to
the Presi lent: (See page s, report OF
1900
The recent legislation looking to the
restoration of the bimetallic standard
of our currency, and the consequent en-
hancement Of the value Of silver, has
unq~uestiOnably had much TO do with the
, recent advance in the price Of cereals.
The same cause has advanced the price
of wheat in Russia and India, Ii IN
the same degree reduced their power Of
competition. English gold was former
" exchanged for cheap silver, and
wheat purchased with the cheaper
metal was sold in Great Britain for gold.
Much of this advantage is lost by the
appreciation OF silver IT those Oun
tries. It is reasonable, therefore, to
expect much higher prices for wheat
than have been received III recent
years"
Could any statement more fOrcioly
illustrate the situation than the above
by this high authority2 His hopes If
the permanent advance Of wheat were
not realized, for the reason that silver
declined again and both wheat and cot
ton followed it both up and down. In
January, 1890, wheat was at Is cents,
cotton at about 105 cents and sill yer at
81 cents. The Sherman bill passed in
July, and in Augustsilver rose to 81 81,
wheat to 81 09, and cotton TO 12t cents.
Silver soon declined again, and about
the end of the year reached 81 05, and
wheat and cotton, like faithful eatel-
lites. went with 1t to about Sc and 81
cents respectively. The reason why
silver did not stay up, as Secretary
Rusk hoped, was because the Sherman
bill, like all legislation since 1878,
treated it as a commodity and not as a
money metal. Whatever other causes
course of prices and values, it IS clear
that the leading and principal factor
has been the declinei in silver, resulting
from It's demonstration.
What, during these years, has been
the aggregate effect upon the American
farmer, planter and stock raiser? And
through him what the effect upon the
entire country? What upon railroad
earnings, upon the extent and profit
- ablenees Of manufacturing and mer-
camille pursuits, and upon the material
welfare Of all classes? Who can esti,
mate it? It aggregates into many hun
dreds Of millions Of dollars. What has
it implied to thefarmers of Kansas and
Missouri, and what to the trade and
progress of Kansas City and like cities9
How much of improvement to the
house and barn, how much of home
comforts and enlarged life, of educa-
ton to the children, does wheat at 40
TO so cents per bushel make possible to
the farmer?
Our resources are so boundlt So in this
country and our energies 50 great that,
IN a measure, we prosper In spite of
these conditions. But what will be the
situation if they continue in their down
ward course? The Chicago market re-
port of August II, telegraphed to our
morning dailies, said: 1.-The bears
were talking cheaper silver and cheaper
flour" From the unrest which these
conditions produce spring strikes, third
party movements, and a prolific brood
OF impracticable projects.
1t has been the fashion in certain
quarters to speak of this question as
n that principally affects the owners
Of silver mines, and to apply to them
such epithets as '%silver barons," and
the like. Certainly, if this were true,
their interests would deserve the pro
foundest consideration, for the United
States is the largest producer of silver,
and the mining sections are large o
sumers Of the manufactures ofsthe
East, and contribute enormously to
the general business Of the country
and the work of the miner is of ines,
timable benefit to mankind.
The precious metals which are the
result of his labors are to civilization
what the blood is to the arteries of the