The western sentinel. [volume] (Winston-Salem, N.C.) 1887-1926, 1894-03-08
SILVER AGAIN.

BANDS bill for the coinage of the
selgniorage having passed the House,
the silver question comes up again
for discussion, and We do not know
what better We can DO Tor the infor-
nation Of our readers on this subject
than to quote this from one of the
best of modern reviews:
Ii there should happen to be a
reader of the Review OF tie Reviews
who does not understand exactly
what is meant by Mr.. BANDS pro-
posal to put sos 100000 into the
treasury by coming the seignior-
age he need not feel especially dis
couraged. There are members OF
Congress who would find it hard to
explain clearly. The word seignior
age has usually been applied to
the mere fraction of one per cent.
charged at the mint to cover the eX-
pense OF converting bullion into coin.
A broader definition, no Tever, and
one that is sanctioned by the Gen
fury Dictionary" is as follows: "The
difference between the cost of a mass
OF bullion and the face value OF the
pieces coined from it." Now thu
sherman act called for the purchase
by the government of 4, 100000
ounces OF silver bullion each month
at the current or market price for
silver bullion. Thegovernment paid
for the bullion in special treasury
notes. Inasmuch as the price of
silver was constantly fuctuating, the
4
month to month was never the same,
although such monthly issues were
always based upon practically the
same quantity OF bullion. Altogeth-
er, from the time of the passage Of
the Sherman act in July, 1890, up to
its repeal on November l, 1898,
somewhat less than $154, 100000
was issued i'll treasury notes in pay
ment tor a great mass OF silver that
now lies IN the government vaults.
The Sherman act made these
notes Tedeemable iii gold or silver
coin, and gave the Secretary of the
Treasury authority at his discretion
to coin the silver. Buti5 will require
a number Of years, working ali The
mintS at full capacity, to manutac-
OuIS tue OC,OOO,OOO oiI't dOIiui .
TOT waich there is no demand. MIR.
BANDS idea is to expand the circu
lating paper currency represented by
this mass OF silver from the out
standing issue of treasury notes to
an amount 500 100000 greater, ty
treating the whole of it as il it were
"a deposit of coined silver dollars, for
each OF which corresponding paper
dollar should be sent out. Ii this
measure should become a law, its
effect would he to put 500, 900, GOO
into the treasury OF the government
to help the Score! airy out OF the diff
culties occasloned by the serious
deficiencies in the current revenue.
But, inasmuch as the continued &c
probation of silver has made the
mass brought under the Sherman
act worth in the market today con
siderahly less even than the $154,-
600, 900 of treasury notes, it is plain
that the issue of additional notes us
against the seigniorDge so called
would be no better than an oUU-and-
out issue OF fat money. in fact, as
between this proposition and that OF
the Greenbackers, who have always
consistently demanded the imam big
Gus issue OF treasury notes secured
by nothing but the credit OF the
nation, the latter method would
seem preferable. Moreover, the
proposition helps the silver mining
industry in no manner, directly or
indirectly. 1t is "a make shit that
has little to commend it and that is
Objectionable upon many grounds.