The Wichita daily eagle. [volume] (Wichita, Kan.) 1890-1906, 1893-02-12
SHALL WE REPEAL THE SHERMAN
ACT.

To the Editor OF the Eagle.
Nearly all the eastern papers, both Re-
publican and Democratic, are urging the
repeal of the Sherman act at the present
congress. This act authorized the pur-
chase Of 100000 ounces of silver,
month, under which the treasury de-
partrnent has been issuing about $50, 000,-
900 in silver coin and certificates year
to add to our currency.
The main argument in favor of re-
pealing that act is that it will stop the
expectation of gold and thus prevent it
from going out of circulation as money.
But the repeal of that act prevents the
expectation of gold and will not its
repeal prevent any increase of our cur
rency? 1t seems that during the month
of January the gold in the treasury de-
creased about $13,000,00O. Gold has
been rapidly leaving thei country ever
since the result of the election IN No
vember last became known abroad. The
demand for gold in Europe Is very
great, for the purposes of increasing the
supply of money wanted there. Nearly
all European nations are now on gold
basis, with silver coinage limited to frac-
tional currency. Their only means of
increasing the supply of gold coin is by
obtaining more gold from other coun-
tries and they have hitherto obtained
their supply largely from this country.
Now the Republican administration
goes out of power on the 4th of March
next, and it leaves business of all kinds
in a prosperous condition and our
finances on a solid basis The credit of
the government is unquestioned in all
countries. The balance of trade last
wear was 1908, 600, 600 in favor of the
United States, and our exports are still
more than our imports, vet gold IS rap
idly leaving US. If gold goes abroad. it
Is from one o! three causes. First.
balance Of trade against the country:
second, by the return Of our securities
which NAV be sent home for payment;
third, the large amount of gold carried
abroad by Americans visiting Europe.
There are not many visitors going abroad
az this time of the year, and the balance
of trade Is still IN our favor. What,
then, is the reason for the loss of gold!
The result of the election last fall is
beginning TO get in its destructive work.
The effect of that election has been to
destroy confidence in our securities, or
more particularly in the way they VIII
be paid by the incoming administration.
Foreign holders of our securities know
that the Democrats and PcpuiistS are in
favor of the free and unlimited coinage
Of silver, and that measure eventually
means she payment Of all our bonds and
other securities IN silver. Hence they
are sending them by the millions every
week and demanding payment before
the present administration expires.
Again, before the election millions Of
soreign capital was coming 70 thi; coua-
try aud was being invested in new man
ufacturing establishments that were
amply protected bT the Mckinley bill.
The election has entirely stopped that
for the reason that CIeveland's party Is
pledged TO the repeal of tae Mckinley
bill. and this capital Is being with
drawn.
The repeal Of the Sherman act viii not
restore confidence or lessen our imports.
Gold will go abroad and viii soon lie 81
q premium, whether the Sherman sct l.