New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1893-04-20


closing OF these minis the silver market VIII
still he moro restricted.
In opposition 10 the countries which nave a
single standard, either OF gold oil silver there
are those which in fact or by special compact
maintain double standard To III" first belong
Portugal and Spain, which, However, practically
have large silver currency with an equally
large circulation in deprecated notes, so that
gold is IT a premium Both countries. however.
have little general importance for the money
market Itsdes Portugal is bankrupt and spain
is on the eve of becoming 80. But il il astonisl-
ing that a country ike Holland. which has we'll
regulated finances and an important money Mar-
kct, should he in similar condition ltS cur
rcncy consists nearly exclusively OF silver ana
notes. and the amount of gold kept ny the banks
is very small.
The European States which have by compact
established a double standard belong 70 the So
called Latin Union. namely. France, D'lsiun''
Italy, Switzerland and Greece. The last y uh-
important, having large currency OF depr'cia'"'
paper bit Italy also is in bad condl'ich'
Seven years ago size resolved to introduce the
gold standard and for that purpose maze Il loan
Of SOC, OCuOOO francs, but the law omitted vi"
clause by which England and Gcrmany malh-
tain their gold standard viz. that every sum
above GO has to b. paid in gold. The balanc" oil
trade became urtavorable by the tariff war with
France. while the Government has TO pay large
amount of interest for bonds kept by other conn-
tries in cold The consequence of these com
hincd circumstances that the yellow metal
RAPIDLY cmierafed and the only result OF the goiu
loan was an additional charge of interest In iac'
gold i. again at premium. Their" is very HUG
silver in circulation the five. two and on" franc
pieces having gone TO the other countries OF III"
Latin Union. which are bound TO admit them "a
long rs the compact lasts But At the last re-
uewal Of the Union it was decided that in case Of
its dissolution every member had 10 take n'ch
thc silver coined by its minis at its full nominal
value. and if the Union shoud come to an chd
this would entail heavy losses upon Italy, the
five frame pieces being at present intrinsicaly
worth only , francs -. The same is to ID" siid
OF Relrium. although It's financial condition Il
much better and II has no deprecated paper cur
,.ncv A. long as the coinage of silver was
free in tho countries of the Latin Union larg"
Sims of fvr-franc pieces were coincI AZ i'rls~'IS
which, bearing thu Belgian stamp, the Government
i'm case Of A dissolution OF m" ,nlon "o"l" ~
Obliged 10 take back from the other countries
where they circulate: the loss when th' r'2Idh
EXchcnurr would have TO bear Is caicnla'eh AZ
cording 10 the present value or silver nj f''o""'-
600 to 10000. 900 francs. switzerland IS IN II
much better condition because II has coined com
paraiiyolv littlc silvc-: hut there, also. very
little gold i, sA-n. although much OF il - brought
into the country hy the yearly large IniiuA OF
travellers The principal reason il that tue
Government has cnjoncd oil pubic departments
10 keep every piece OF gold and 10 sehd IL 10
Rarne, 20 be added 10 the fund in me case OF
future complications; practically therefore, the
circulation consists Of silver and notes
France stands in a position different from that
Of ali the other members Of the Union. Sli" also
has an enormous amount OF appreciated silver, bnt
She alone has known not only how To keep the
gold, but even TO attract II: FROM ieoV 10
the end of 1892 the gold kept by the BANK OF
France alone has risen from l.l2O,OOOooo u
IiOp. 600 900 francs Most Of the gold produced
IL the mines or exported from the nitcd states
has gone to France. Tins IL. indeed siartIgS
fact which fairly puzzles the ccnnonica' W2r.u'
The more ~ a. France has little OF American
-rcuritics the interest OF winch Il paSdni" III
c.ld A. the balance OF trad" OF le'i va,
uniavorablc. The only explanation elE". = ,;,
the Bunk Of France has been manipla''d VIZ
con-ummatr ability. and that now France J. .n''
largest creditor of Russia, TN" puDlIc lo>''ssil,3
about five miIaris in Russian S'cnfitr"' pay
ahl. i'm cold AZ all events, France hd> 80 ihur'
gold that il was recently found h"cc>Sai! ~
enlarge the limits of the notes is,lFu ny o ,''
bank from 3,jO00o0.ooO To 4oo",""v,U"o "
France i A very wealthy country, me ahhu'i
sayin1. of her population being calcuia"u dv
, zoo .0oo. 900. thus il has been able 10 sup
port an enormous taxation a wns'rini poi.
calculates that by the Panama scandal a.onr ,h'
value of French rcntcs. shares ana oonuS ia
declined by l,ll6,O00,00O francs. Dnt ii' ,ie =
another feature which presents gray" opJ 'Io'I,
The law obliecs all savings banks 10 invest 'n'..
funds in rcntes. This is rroiitahl" IN ordinary
times. but in case q an internal ctiSii =, :" cash
year when investors claim their deposits III 'dS'''
tho rrntrs could only be sold az a h'a'A ~.
n is significant that already, Ill cohs''lur",
the Panama affair, much money mas o'.n w., '
drawn from the savings banks. 20 tlat the W." 'I
,nrirn. believed il necessary TO threaten WIN
nunishment any ono who set ailoat IL laisc Alarm
about the situation of those banks ,
II now | conclude with few words on ''
monctarv condition of the United states. go -
with diiiidencc, feeling well ia" difh'nlN toi Il
foreigner 10 form competent lluSW'nV III ""i'
most intricate question; but, as i"r 10 "a.
a.. nr,sont c,,is IL the necessary result ot Inc
Eland and sherman acts oLlging inc ,'oteihurh.
IN monthly purchases of silver. which IN lew
wears have ama-scd in the treasury Il quantity Oh
,L,t metal which cannot hc kept III circulation,
neither in specie nor by silver c'Itihca'eN d.
-id.., this silver has been pald Tor ny notes an,
81 IN the one side the Government mas am
"a LARGE floating debt, and. on the other hanu, IN"
currency consists practically Of paper. HltI'rt'
there has been no lack OF gold. bccius IN. customs
are TO he paid IN th'' he..l, anu i W.
throughout the country supported the ''"y'rhhen,
~ much a, DoSsIblr But tins SITUATION III, H''i
,,pidiy changing since th" large exports u S2ii
Ia Europr caused partly by til" Mchin'N hll :
for notwithstanding that mcasuT" Of sccluslon,
the imports wcrc considerable IN l,9!, an rs 'lc
harvest in those countries which Giiw corn from
america was good. thoSr imports had partially 20
he paid for IN gold. In any event the scarrliN
Of that metal is an accomplished iact. frSi''h'
Cleveland is said 10 b. resolved nor TO make Il
move AZ the present moment as the senate IN itS
actual composition would not agree to the repeal
Of the silver acts: but, If the question l. alow'i
to stand over till December. il may bc too lac
for stopping the disappearance ct On" cold from
circulation. which will then be Lased upon silver
Even if a gold loan should be made in Europe, ~
the President intended 10 do but has IiFcn mp
nrobahIv because the conditions eXacted by the
london market, which has Just sent much gold
10 Vienna, seemed 20 the Government TOO hard Tor
n country the credit of which stands 80 high the
Question would he whether the United States could
keep that gold, the export Of which cannot TIC
we'll prohibited, and so would lead 10 the same
experience which. as above alleged, Italy has
undergone. The first condition 81 Keeping th,
rold is the repeal of the silver acts, which. OF
comrse would produce new and strong depr'-
citation of that metal: hut, if the silver inteie,,
i stronq enough in the Senate to prevent this
mcasnre. the country AT large will have 10 bca:
the Consequences, and in every case 1t is PER
IN, hnnc TINT "A monetary