The Indiana State sentinel. [volume] (Indianapolis) 1868-1895, 1894-09-12

mark. Holland. Russia and the nations
comprising the Latin union, Secretary
; Smith said:
I'm the meantime the United States
had changed from the coinage of only
S031 $50 silver dollars in eighty years up
to 1873 TO the coinage of 419, 600 stand
ard silver dollars and to the purchase of
/ silver upon which treasury notes were
issued, making a total coinage value of
$570, coo, 900 of silver used in this country
during the last awenty years. From an
average Of 100000 a year, the United
States had changed to nearly $30,000.000
year The annual product of silver in
the meantime had changed from $50
10000 at coinage ratio in 1873 to $780,
100000 at coinage ratio in 1892. and de-
preciated in value about so per cent.
From these facts several conclusions are
irresistible First the people of the
United States have the use of seventy
times as much silver as money of full
legal tender. at present, as they had be-
fore 1873; second, the depreciation in the
value of silver is due to causes other
than its treatment in the United States.
1T is, therefore, evident that silver, at
a ratio of Is TO 1, If unlimited coinage
was attempted in this country, must
either flood our minis with enormous
quantities of silver, which would at
once depreciate the value of our money,
or il would be coined only in reasonable
quantities., and then could not substan-
TALLY affect the mercantile value OF the
event we would be forced to the exclu-
sive use of a dollar worth only little
more than the present dollar.
1T would cause the settlement of all
contracts at the rate Of so cents on the
dollar. 1t would require the reorganiza-
ton of all prices to be adapted to the
new deprecated currency. 1t would
compel a change of all legislation in
fixing salaries.
1T would necesstate the readjustment
of the private and government business
of the United States to meet conditions
caused by a degraded dollar The con-
fusion incident to such changes could
scarcely be described. Commercial dis
order, business wreck and ruin must at
once be precipitated. No panic from
which our country ever suffered has
| been comparable to the which would
be inflicted upon the industrial interests
, by such action The fear that the gov
eminent of the United States would not
be able to maintain its various moneys
upon a parity, but that we were upOn
the point of being forced TO the silver
| standard with results similar to those
just described, materially contributed to
the panic of last year.
Record of HarrisOn's Administration.
For the condition of the treasury
which led in part to this fear the re-
publican administra ton was responsible.
The whole administration of Mr.. Harri-
son. with the exception of the first year
! (Which received it's impetus from the eX-
cellent financial conditions existing at
| the close of Idr. Cleveland's term, was
one of falling revenues. increasing e%pen-
ditures and a heavy expectation of gold
The receipts during the Cleveland adj
minstratiOn were SOP 900, 600 less than
/ during the Harrison administra ton.
while the total expenditures were over
/ 1881 600 600 less; 500 900 900 in gold were
! imported into this country in excess of
! the amount exported during Mr.. Cleve-
/ lands term, while Mr.. Harrison retired
! from office with a net gold balance
/ against us of nearly S15S 900 OOO The net
| exports Of gold during the last three
months of Mr.. Harrison's administra-
/ ton amounted to $50 900 co., while he
net exports Of gold during the fiscal
| year ending June 30. 1894 amounted To
but 81 1850 900. During the republican az
| ministrauOn expenditures increased az
| the rate of S60000.000 a year, while the
| revenues decreased more than SIS 900, 900
! annually. Mr.. Cleveland retired leaving
! a surplus in the treasury of $3.50, 34S 900.
4 Four years of republican misrule reduced
the surplus to $62, 100000. with charges
| fixed for the ensuing year amounting.
in round numbers, to $95, 900 900 in excess
| of the revenue.
| Caused Alarm.
1.-The condition of the treasury known
! to the financial world caused alarm lest
| the government could not longer main
! tain at par the enormous burden of 42O-
| 900. 600 silver dollars, intrinsically worth
! about 65 cents on the dollar, and $3.50 000-
| 600 of Sherman notes, predicated on silver
of the same character. This was not the
! only cause of the depression. Financial
| panics may be expected about every
| twenty years, judging by the past history
/ Of this country, and one was due in the
/ early nineties. The Barring failure in Lon
| don, also, was largely responsible for the
! decentralization of business, but the fears
were intensified by the fact that the gov
| eminent, already carrying an immense
volume of currency, intrinsically worth
/ less than Its par value, could not stand
i the additional annual purchase of $50 OOO-
/ 600 provided for by the Sherman act and
maintain it's silver at par. II was appar-
/ ent that unless these purchases should
! cease the day would surely come when
| gold and silver dollars could no longer
J be maintained al a parity and would
/ reach their commercial value rather than
! their legal value, driving gold a once out
! Of circulation and bringing this country
/ TO a single silver standard with the same
/ evil consequences that would follow the
! free and unlimited coinage of silver at the
/ alto of 16 to 1 by the United States alone
/ The repeal OF the purchasing clause OF
| the Sherman bill stopped the panic, and
/ where money could not be had at any
! price in the summer of 1893 il can now
/ be readily obtained al low rates of inter-
/ est. And yet with the terrible experience
| of last year fresh in our minds, it is pro-
posed TO open the minis without limit
] to the flow of silver that would certainly
! produce mOnOmetallism. The fear of sill
yer monOmetallism materially contributed
/ TO last years panic"
Mr.. Smith closed his speech with an ap-
! peal to the voters of the state to remain
! true TO the democratic principle Of sound
! money, inaugur3ted by Jefferson sup
! ported by Jackson, and preserved by
| Cleveland.