Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1894-10-18
been of equal value with gold coin in any

matter OF pride to every American that
our courage was demonstrated in war; that
our generosity and moderation were dis
PLAYED in peace; that our financial honor is
untarnished, and our credit is equal to that
of any nation in the world:
The free coinage of silver will break
down ell this. The government will lose
all control over the amount of money to be
issued. This vii! depend upon the greed
of bankers and bullion dealers. There will
be no limit upon it except the vast quantity
of silver 10 the world. All this Will seek
our market as long as our silver dollar is
worth mere than the bullion in it. The
result is ire.it lble, as certain as the
law of gravitation. The purchas-
| ing power OF the silver dollar
I with coinage free will be the market value
Of the silver bullion. No gold will be
| taken to the mint or paid into the treasury.
All we have will be Withdrawn and the
| United States will stand with China, Japan,
! India, Mexico and South America as silver
states and be detached from the great civil
| lied nations of Europe who still maintain
| the gold standard.
The Democratic platform which read
| 10 you denouaces the Republican party for
| demonetizi"g silver. A brief history of
silver legislation will show how false is this
statement.
At the beginning of our government gold
and silver were recognized as the standards
Of money at their relative market value.
A careful computation was made
By Alexander Hamilton, secretary of
the treasury, and Thomas Jefferson,
secretary Of state, and the ratio of
value was fixed as being 10 of silver TO one
of gold. Coins were issued of both gold
and silver, but i. was soon shown that silver
was undervalued; that 10 ounces of silver
were worth more than one ounce of gold,
and, therefore, the silver was exported, and
in 1906, after less than 81 800 900 was is
sued Mr.. Jefferson, then Pr. sident, sus-
pended the coinage of the silver dollar, and
none was issued after that until 1888, and
then but few were issued until 1873. So
that in fact, the silver dollar was practic IL
| lp demonetiz5d long before the Republican
party existed.
In 1853, during the administration of
President Pierce, and Democratic Con-
gress, the minor coins of silver were re-
duced in value and made a legal tender
only for s.. Though the dollar was not
stricken from the coinage, yet it was prac-
tically demone,ized and superseded.
| In 1873, when the coinage acts were re-
vised, after full conside ration during four
sessions of Congress, the silver dollar was
omitted from the coins provided for. 1t
was then worth more than dollar of gold.
The ill was debated and considered as
fully as any measure could be. and il was
passed in both Houses without divi ion.
J IN 1873. after the decline of silver had
I h..
chase of not to exceed $4,000, 600 and not
| less than 50 900, 900 worth of silver a
month, and under this act more silver dol
lars were issued every year thereafter than
the entire aggregate of silver dollars during
the whole period from the beginning of the
government to that time. If it was demon
etzed in 1873 it was certainly remonetzed
in 1878. As silver was declining in value
and was worth less in gold than the ratio
! fixed by law, the amount of silver to be pur-
chased was properly limited.
| 1t is sometimes said that the demone Ii
zation of silver caused the decliue Of silver
bullion. This is not true. Silver bullion
declined because the production of silver
enormously increased not only in this but
other countries. have table before me
which shows that prior to 1915 there was
|
From 1916 to 1860 the amount was about
$50, goo year. In 1861 the amount pro-
duced was 50 900 900. This increased
year by year until the amount produced
in the United States reached in 1892 the
sum of $50, lOl 900.
lis this enormous production that has
caused the fall in the market value of sill
yer, precisely the same causes that have re-
| a, no tin Of
1t is this large increase in the quantity of
silver produced and this fall in the value of
silver that have led to the susp ension of
liver coinage among all the nations of
Europe. Any attempt by the United States
alone to maintain It's value in view Of the
vast production would be the height of fol-
" and madness.
| am thorough believer in bimetalism.
| believe that both gold and silver are
necessary metals for coinage into money to
measure the value of all other productions
of human industry. But there must be
some fixed ratio of value between the two
metals. They must be standards of value
not only for other productions but for each
other. Every nation that uses gold as its
standard also uses silver for minor coins
and regulates the value and number of these
coins.
Great Britain was the first nation to
adopt the gold standard, but it also fixed
the contents, form, and value of its silver
coins and received and redeemed them the
same as gold, but for limited amount in
one payment. The Latin nations, headed
by France, agreed upon system Of coin
age of both gold and silver for circulation,
but when the market value of silver, in
consequence of increased production, fell
below the Latin ratio of Is ID to all
these nations suspended the coinage of sill
yer and the purchase of silver bullion.
They had enough, but they maintain their
silver coin at par with gold precisely as the
United States and Great Britain do. Ger.
many, Russia, Austri4-Hungary, and, |
msy ssy. all the nations Of Europe, have
adopted the same policy. They use both
gold snd silver, as we do. None of them
propose or would consent 10 the free col l.
age of silver. None of them would con-
sent to the exclusion of gold--the sure and
inevitable result of the free coinage Of
silver
! What. then. you may ask, would l d.
about 1t? answer that l would continue
to do what we have dole in the past.
would maintain the purchasing power of