Daily Texarkana Democrat., 1893-09-16
FINANCIAL WISDOM.
a Great European Financier Express
es His Views on the Sill
yer Question,

A Great European Financier Express
es His Views on the Sill
yer Question.
Some days since the Memphis Com
mercial published certain extracts
from the speech of Mr.. Balfour. the
great English Commoner, depicting
the disasters sure to result from the
almost universal adoption of the sim
gle gold standard. Comment was
made on the views set forth by Mr..
Baltour as a very strong indication of
the powerful sentiment which exists,
outside of the confines of the Amer
lean Union, in favor of bimetallism.
These views were thought to be un-
usually strong and the authority was
known to be excellent, but both one
and the other have been eclipsed by
letter, bearing directly on the same
subject, from Mr.. W. H. Greenfell,
former governor of the Bank of Eng
land and regarded as one OF the very
highest authorities in the United
Kingdom on questions of finance and
currency. Mr.. Grenfell speaks with
as much emphasis, earnestness and
power of conviction as Mr. Balfour
did and his statement of the effect of
the demonetization of silver, which he
calls throwing away one half of the
money of the world, is even more
vigorous. Mr.. Grenfell quotes Mr..
Goschen's statement that the demone-
tization of silver has caused fresh
demand for one billion dollars of gold;
in addition there is avastly increasing
demand for gold in the arts. Gold,
he says, is appreciating some six per
cent per annum, so that it is more
profitable to hoard than to invest it
in depreciating commercial enter
prises.
The letter in question is certainly
one of the abest and most interesting
documents yet presented on this vast
ly important question. 1t is address
ed to Albert Simpson, of Elmhurst,
and reads as follows:
My Dear Sir-Your idea of a party
to hold aloof from party squabbles
and to devote all their energies in the
first place in placing trade, commerce
and agriculture on sound footing
appears to be admirable, and | am
Wiling to assist in any way that | can.
The first necessity for ascertaining
this sound footing is stable measure
of value. | have not missed much
that has been written on currency
subjects during the last nine years
and feel convinced the attempt to
make gold alone do the work that has
always been performed by gold and
silver is a folly and crime. In 1852
the gold produced in the world was
36,0O0,OOO, now it is 23,0OO,O0O. !
Since 1852 (when the world was prNc-
tically blmetallic) Germany, the
United States, Italy and other coun-
tries have set up on extra demand for
gold, which Mr.. Goschen, in paper
read before the bankers institute, es-
timated at a fresh demand for G200,-
100000 upon gold. Austria is now
trying to get G35,OO0,O00, India is ap-
parently struggling to get on gold
basis. and the United States will also
set UP further demand for gold.
Where is the gold to come from? AS
trade and population increase we want
more money, by demonetizing silver
we are throwing away what is practi-
cally half the money of the world.
The demand for gold for the arts
watches, iewolry, dentistry, gliding
is enormous, and Is increasing with
the spread of civilization. Sovereigns
are melted and gold is boarded; gold
is appreclating at some 6 per cent per
annum; 1t is more profitable to hoard
it than to invest it in commercial en-
terprises and in machinery, etc, which
is depreciating, measured by gold, as
gold appreciates. The fight against
falling prices and stock depreciation
is an impossible one-men hold on IN
homes of better times; no better times,
taking trade and commerce as n
whole, can come in gold countries
while gold appreciates Employers
Of labor cannot hold out forever
against losses, and what will happen
to the wage fund.- The pitiable army
of the unemployed must increase,
through no fault of their own or their
EMPLOYERS, and the work will be less
well performed as the wages bill is
cut down dn agriculture this is espee-
ially the case, the land is being starv-
ed OF labor and tho labor is being
driven into towns). There isno ques-
ona tonth mart