The Austin weekly statesman. (Austin, Tex.) 1883-1898, 1894-09-13

| to the use of nearly $50 ,OOOOOU year
The annual product OF silver in the
meantime had changed from ,OOO,-
900 at coinage ratio in 1873 to sZUU,-
900, 600 at coinage ratio IN Io9Z anu
deurecisIed in value about 5O per cent.
From these facts several conclusions
are irresistible: First, the people OF
the United States have the use OF ~
times as much silver money of full
legal tender as they mad before 1878;
second, the depreciation in the value
of silver Is due to causes other than lts
treatment in the United States. Ii ls
therefore evident that silver al ratio
| of Is to l, if unlimited coinage ls al
I tempted in this country, must either
flood our minis with enormous guam
titles OF silver, which would at once
depreciate the value of our money. or
it will bs coined only in reasonable
quantities and then could not sub
sCantially affect the mercantile Valu
of tie bullion throughout the world
In ell her event We would be forced to
the exclusive use of dollar Wort
only little more than half the present.
dollar. 1t WOULD cause the settle
uSuI VI a. lhO IoGO Va
so cents on the dollar. II would re-
quire the reorganization of all prices
to be adapted 10 the new deprecated
currency. 1t would compel change
OF all Legislation fixing salaries. 1t
would necessiUale the entire reaGlust-
ment of the private and government
business of the United States TO meet
conditions caused by degraded dol
lar. The confusion incident to such
changes could scarcely be described.
CONNIE cial disorder, business wreck
and ruin must at once be preciritated.
No panic from which our country ever
suffered has been comparable to the
one hich has been inflicted upon the
industrial interest by such action.
The fear that the government OF the
United States would not be able TO
maintain It's various moneys on a
parity, but that we we're on the point
OF being forced to the silver standard
with results similar to those just de-
scribed, materially contributed to the
panic of last year.
For the condition Of the treasury
which led, in part to this fear, the
Republican administration was re-
spOnsible. The whole of Mr.. Har-
rison's administration, with the ex.
ception of the first year, (Which re-
ceived its impetus from the excellent
financial conditions existing at the
close OF MI. Cleveland's term), was
one OF falling revenues, OF increased
expenditures and a heavy expectation
of gold. The receipts during the
Cleveland administration were $685.
900, 600 less than during the Harrison
administration while the total eXpen-
ditures were over 1921 100000 less;
$22 100000 gold were imported into
this country in excess of the amount
exported during Cleveland's term,
while Mr. Harrison retired from Office
with ret gold balance against US
of nearly $15S, 100000. These fig
ures are startling. The net exports
of gold during the last three mouths
of Mr.. Harrison's adluiuis:ra, ion
amouted to $50, 900, 900, While the next
exports of gold during the fiscal year
ending June 30, 1894, amounted to
$4,5SO,000. During the Republican
administration expenditures incTeas.
ed ct the rate of $60,00O,000 year
while the revenue decreased more
SIS, 100000 annually. Mr.. Cleveland
retired leaving a surplus in the
trasury ot$23O, $4,000 Four years of
Republican misrule reduced the sur
plus to $62, 45O, 900, with charges fixed
for the ensuing year amounting in
round numbers to $95, 900, 900 in excess
OF the revenues.
The condition of the treasury,
know to the financial world, OCCASION
ed alarm lest the government could
not longer maintain at par the enor-
NOUS burden of $42 100000 of silver
intrinsically worth about IS cents on
the dollar and $3.50, 900, 900 of Sherman
notes predicated on silver OF the same
character.
This was not the only cause of the
depression. Financial panics may be
about every twenty years,
Judging by past history of this cOun-
Try, and one WAS due early in the
nineties. The Barring failure in Lon.
don. also, Is largely responsible for
the decentralization oil business, but
the leals were intensified by the fact
that the government is already carry
ing an immense volume of currency,
lulElDsIC4l|y "UTIu 1888 luhu lUs par
value, could not stand the additional
annual purchase of $50 900, 600 provided
iOF by the Sherman act and main.
tain its silver at par. Il WAS appsr-
ent that unless these purchases should
cease the day would come when gold
and silver dollars could 40 longer be
maintained at a parity and would
reach their commercial value rather
than their legal value, driving gold Al
once out of circulation and bringing
this country to single silver stand
ard with the same evil consequences
that would follow the free and unlim
tied coinage of silver at the ratio of
Is ~ by the United States alone.
The repeal OF the purchasing clause of
the Sherman bill stopped the panic,
and where money could not he had at
any price in the summer Of 1893 il can
now he readily obtained at
low rates of interest. And
yet, with the terrible expert
ence of last year fresh in our minds it
is proposed to open the mines with
out limit to the flow of silver that
would certainly produce monometal-
ism, The fear of silver monometal.
lem materially contributed to last !
years panic. What would happen
with free and unlimhed coinage of