The times. [volume] (Richmond, Va.) 1890-1903, 1893-04-22
The Currency Question.

!
that we see no solution Of the currency
problem short Of trial of the silver
standard. The difficulty is not i'm want
of popular intelligence. else the "educa-
tiCnal measure" suggested by several
correspondents might be rendered effec-
| tive. There are some thick headed peo-
pie perhaps who believe that the present
operations of the Treasury under the act
OF 1880 can be prolonged indefinitely
without any open break in the nominal
| value OF gold and silver coins. But most
Of those who are 50 bitterly hostile to
| any change in the law know better. and
are anXiOusiy looking for the day when
| gold Will be AT a premium in this country
and silver will be the standard of meas
urement.
We have heretofore gone over at great
| length the motives that have prompted
the movement in behalf of silver, and we
/ think that by this time these ought TO be
we'll understood by all those who have
given any attention TO the subject The
owners Of mines and all who are in
terested in the production Of silver have
urged free coinage Of the metal at the
present ratio as the most desirable set
Element of the difficulty. We are not sure
that any other plan can be carried into
SUGGEST execution. The present pur-
chase Of silver by the public Treasurer
with paper money, the metal thus bought
10 be stored with no demand for it and
no use 20 which il can be applied, is only
a method Of perpetuating the struggle,
which becomes more intense and aggra-
waited with every passing month. IT does
not provide a real market for the pro-
duct as it is only placed on storage TO
await some future suggestion as TO the
service TO be required Of il.
If the act OF 1880 was repealed and free
coinage permitted the disturbance OF the
market would be very great, but the UNI
certainty would almost end with a single
blow. Any man who held 81 ounces OF
silver worth to-day %.43 could then take
IL 70 the mint and exchange It for ten
silver dollars that are legal tender in
every part Of the country. Every debtor
who held silver at its market price could
pay off eacn enc thousand dollars Of his
obligations with that which cost him only
six hundred and forty-three dollars. thus
saving about 50 per cent Of his money.
II would take but a little while for the
markets 10 adjust themselves 10 this
change The creditor class would suffer
immensely az first. and one who was only
a creditor and had no other resources be-
yond the money that was due him. might
have no way TO recover his loss But
the capitalist can be trusted to get even
with the market II ne has only the neces-
sary time and opportunity, and we would
match the lenders who thus compromised
their outstanding claims at Ga cents TO the
dollar against the whole class of needy
borrowers as certain in the end to win
back more than the initial sacrifice.
The Wage-earners would be the sOrest
sufferers. They would all be paid i'm sixty
four-cent dollars. that is I'm legal-tender
silver dollars which, through the rise in
prices Of all they must buy for their need,
will only go twO-thrds as far rs currency
now does while the gold standard is main
tanned. The dollar would be thus clipped
not when it was spent. but when il was
earned. The man now earning twenty dol
lars a week would still receive his twenty
dollars. but it would be in silver. each
piece worth but siXty-four cents. Nominal
~ he has earned twenty dollars. but he
really carries home on pay day only
twelve dollars and eighty cents. which is
all the twenty huge coins would then
sell for in exchange for meats and vege-
tables.
il will be said that he can demand an
advance In wages 10 meet this clipping
Of his dollars. That is true and I'm place
Of so he would ask for S3l.25 a week 10
bring his pay up 10 the old standard.
As business would be sadly demoraized,
he might not obtain the increase at once.
but he could strike and earn nothing for
a few weeks or months until matters be
came settled. The poor widows and or
phans living on a limited income. which |
would be paid TO them in a deprecated !
currency, must suffer. for all that We |
can see, I'm silence. They have no votes. |
they cannot strike. and they would have |
10 take the deprivation as part Of lies |
bitter discipline from which there Is no |
means Of escape. After the first tumult /
was over. we are not sure that any one |
would be happy over the result. The |
miner, II is true. could go on exchanging /
every 81 Il grains Of his metal for a
silver dollar. a legal tender one hundred |
cents by gct Of Congress. but this huge |
coin would shrink in its purchasing |
quality with each decline I'm the market
price Of his metal. His operatives and
every man with whom he dealt would
take the dollars. Of course, but they
would want more Of them for the same
service. and he would soon find that it
needs something more than the stamp Of
the mint 10 give TO a coin in reality the
purchasing power represented by the
figures on It's face.
The entire stock of gold I'm the country
would nj once cease from being n cur
rency. and would become a quotable
Some bonds. promissory notes
and other contracts have been made
payable in gold. These obligations would
have TO be met according 10 the agree
mont. The man who had a thousand
dollars TO pay in gold would have TO
lake twelve or fourteen hundred Of the
silver dollars. according 70 the premium
demanded in the market with which TO
purchase the more costly metal. All for
.ign purchases and payments would have
10 be made I'm gold. as silver Is only
now quoted as we write at
1 fraction below 3 pence in the London
market. Foreign capitalists have been
lneasy for some time about the financial
situation here, and have expected that
gold would be worth a premium in our
markets either by continuance Of the
present vicious system OF paying II out
o keep up the price Of silver. or through
he sudden Introduction of free coinage.
md all who could have recalled their
Investments. In either case II would seem
IS if the two metals could not much
onger be kept together at the old ratio.
md many practical people on both sides
II the ocean have for some time past
'een facing this expected result.-New
York Journal Of Commerce.
One OF the most pleasing features in
o-morrow's twenty-page Sunday Times