The Seattle post-intelligencer. [volume] (Seattle, Wash. Terr. [Wash.]) 1888-1914, 1893-01-11
THE SUSPENSION OF SILVER FUR
CHASE.

purchase of silver bullion under the act OF
July II, 1890. The Eastern Democratic
senators. Hill, Gray, German and Blod-
gett, will doubtless support this resolu-
ton, and few Democrats from the mid
die West. like Villas. Palmer and Brice.
and so viii Senator Carlisle of Kentucky.
who has recently announced himself as
strongly opposed to the purchase OF any
more silver bullion.
This is the position of President-elect
Cleveland, who has never receded from his
position contained in his letter of Febru-
airy q, 1885, after ne had been elected pres
| idenr. In this letter Mr.. Cleveland wrote
as follows in support of the suspension of
the purchase and coinage Of silver:
1t is OF nomentous importance to proven. the
two metals from parting company: to prevent
the increasing displacement OF gold by the in
creasng coinage of silver; to prevent the disuse
oil gold In the custom houses of the United
States IN the daily business of the people; to
prevent the ultimate expulsion of gold by sill
yer. Such a financial crisis as these events
would certainly precipitate, were it now to fol-
low upon so long period of commercial de-
preston, would involve the people of every
city and every state in the Union in pro-
longed and disastrous trouble. The revival
of business enterprise and prosperity, so
IDENTITY desired and apparently so near, would be
h0pelessly postponed. Gold would be with
drawn TO its boarding places, and an unpre-
cedented contraction IN the actual volume of
our currency would speedily take place. Sad
dest of ell, in every workshop, mill, factory,
store. and on every railroad and farm, the wages
OF labor, already depressed, would suffer still
further depression by scaling down of the pur-.
chasing power OF every so-called dollar paid into
the hand of toll.
Under the silver act Of July IA, 1890. our
government is now buying $4,000 900
ounces per year of silver, a commodity
| which would otherwise be exported and
would enter into our balance of trade with
| the world. At So cents per ounce, which
| is about its present price, this represents
| 81, $40, 900, making our balance of foreign
| trade less by this sum than it would be
| otherwise, shortage that has to be sup
| piled by gold or something equally as
| good" Of this purchased silver We make
no use whatever; We do not even use it to
redeem our notes with; we incur expense
| all the time taking care Of it. The pur-
chase of silver by our government
was originally undertaken upon the
| plea that it would help hold up
the price..of silver, but neither the Bland
| Allison act of 1873 or the act of
| July. 1890. has done this, as the course of
| prices for silver during the last fifteen
years abundantly proves. When the Bland
| act was passed the bullion value of the sill
| yer dollar was 90 cents; when the silver
act of 1890 was passed the bullion value of
| the silver dollar had fallen as low az 72
cents, and now, with purchases of silver
more than doubled by the government. the
bullion value of the silver dollar has fallen
III little more than two years TO about 50
| cents. Prices Of silver declined more rap
| idly under the law of 1873, with s., 000. 600
per month added to the coinage, than I'M
der the act of 1878, which is said to have
"demonetized" silver; and silver has fallen
more rapidly under the act of July, 1890,
with purchases of bullion amounting 70
over 81 000, 600 per month, than under the
act of 1878. with purchases to only half
that amount.
This silver purchase law of 1890 benefits
nobody but the silver miners, and brings
US nearer a silver basis every month.
| There as nothing mysterious IN this steady
fall of silver under increased purchases,
| because every sound iinancier in America
and Europe sees that every increased
| purchase brings our government nearer to
the day of wrath when the "corner" on
silver We are trying 10 carry on must
crack and tumble us down 10 a silver
standard. The world knows there is a
| limit 10 the capacity of our government;
il knows that the attempt of the United
States 10 hold M the price of silver by the
tail must break down and our silver
stock piled up in the treasury como
upon the market without suffi cient
gold reserve 10 give Us currency at par.
Every monthly purchase of silver brings
US nearer the day of wrath when
our corner on silver Will crack and tumble
Us down 20 silver standard This in
creasing distrust and apprehension ex-
plains the fail of the price Of silver in
spite of our purchases. We are sending
gold out of the country at the rate of
$t-0. oo) coo and replacing it with silver at
the rate of say SA5,0O0co0 per year. We
are overlooking our currency with cheaD
money. which viii bring Us to silver
basis just as surely as free coinage The
act of July, 1890 Will take the business of
this county 10 a silver basis. The sound
est fnanciers Of the country have warned
Us against this "s;lver craze" for ten wears
past and the day Of wrath. it Is feared,
is not far distant when gold will
so 10 premium, take 10 flight
and leave Us dat on our silver" back.
The peril OF the situation is so obvious that
everybody sees il except ignorant folk and
those who are interested in silver Ii 5aes. "
The New York Eptning Post says:
| Foreigners naturally think thar We are fools
| ana thar their money Is urss.e here 80 ihev
/ g.a&ually CAL Il ~. This withdrawal Of fore .gu
| capital checks tae spIit OK enterprise, an Il I
Goes not actually produce hard times * prevents
! us from obtaining the de Zee o. prosperity "a =
| We might otherwise reach. X shoui8 lie horne
| IA llla1, tc.-ih0 ,act should never sc lest SO "a
| ot-taAt "a tas q.e-en. nervous condition % lac
| money Tns9Aet any accident, Ike e partial cran
. failure or another Hsri92 crisis, wCUiI almost
certainly result ia panic and disaster.
To the question what would take tie
place az the currency issued under tie ST.
yer purchase act, the fost answers:
Very lew person. reject ,ast II uo-asuc faxes
| the place ~ The silver purchase act. god " il
I rl. ystu4-r.. r.rra s. ss,a,,,r,tf.- q