The representative. [volume] (St. Paul, Minn.) 1893-1901, 1894-03-14
HOW GOLD HAS ADVANCED.
RuinOus Fall In Prices and Debtors OPP
pressed by the Single Standard.

Ruinous Fall In Prices and Debtors OPP
pressed by the Single Standard.
The correct method of stating the fact
that silver has just now fallen to the
lowest figure ever reported is as fol-
lows: Gold has advanced to the highest
figure upon record. The assertion that
the silver dollar is worth but 80 cents
really means that the gold dollar is
worth $3.50. The method of getting at
the truth is to consider the purchasing
power of the two dollars at their bull
lion value. The gold dollar will now
buy much more of wheat, cotton, wool.
petroleum or any other staple commod-
ity than at any previous time. Thus it
has gained SO much in value that larger
quantities of real wealth, the product
OF human toll, must be given to obtain
possession of the coin.
But silver will buy no more than it
did 10 or 20 years ago. There has been
no decline of prices in silver using coun-
tries like Mexico. To the man in Mexico
it is plainly apparent that gold has gone
up. To the man in the United States,
deceiving himself with the notion that
gold remains stationary, it appears as
if silver and commodities had declined.
There can be no true comprehension of
this important question until that delu-
sion disappears. The fact of the situa-
ton will be grasped when there is reali-
zation that gold is advancing
Because it is advancing American
and European banks are stuffed with
idle money. Men will not engage in
new enterprises requiring borrowed
funds upon falling market. Because
it is advancing the dimensions of every
debt are increasing, the burden upon
the debtors of the world becomes heav-
Ter, the wealth producers are urged to-
ward poverty and bankruptcy, and the
trade of the world is disordered A
day or two ago the little silver using
republic of Guatemala succumbed to
the difficulties of an effort to pay IN
gold at 80 per cent premium a debt con-
tracted when gold and silver were at
par. In India the government and the
people are nigh to desperation because
they must now send to England 27O,-
600, 900 rupees annually to pay trib-
ute of 100000 900 which could have
been paid few years ago with $780,
OO0 900 rupees. In our own country we
pour our products into Europe to meet
obligations which grow larger as we
try to extinguish them. We sent abroad
wheat at 60 cents to creditors who
lent their money when wheat sold for
$1.25. We ship them cotton in payment
81 lnl,f xrv1,, nh
few years ago with just half the cotton
that is required today.
1t is not wonderful under such cir
cumstances that American western farm
mortgages are in default, principle and
interest, to the amount Of hundreds of
millions Of dollars or that the farmers
are becoming desperate as ruin stares
them in the face. 1t is not remarkable
if European trade with silver using In
dia is encompassed with difficulties
which make it a business for gamesters
or that the frightful shrinkage of values
threatens to produce panic in Calcutta
and Bombay. Even our rich nation
could hardly endure the strain which is
put upon the impoverished Hindoos.
Prices fell last week. They will fall
next week and the next and the next.
AS they fall the tension becomes greater,
and unless all signs fail there will soon
be collapse and bankruptcy wherever in
the wide world the debtor is exhausted
by the merciless grasp Of the creditor.
With this view Of the situation clear
ly before them intelligent men may
readily determine that the silver ques-
ton cannot be regarded with the con-
temptuous Indifference allotted to it by
the majority of American newspapers.
1t imperatively requires consideration.
1t must be disposed of in accordance
with the requirements Of justice. 1t
stands for contest of formidable pro-
portions between the money controlling
classes and the wealth producers of the
earth. Victory for the former means
slavery for the latter. Permanent vic
tory is impossi BILE in this age of enlight-
ened civilization.
Germany is studying the subject
through commission of scientific men.
In England bimetallism makes swift
Roadway under the direction of wise
economists and statesmen. In the United
States, deeply concerned for the triumph
of silver, gold monometallism will be
doomed when the people perceive the
facts as they are. The recent formation
of the bimetallic committee in New
England is a hopeful indication that the
popular intelligence is to have such en-
lightenment.- II. c.. in New York
Press.
Keeling to Crisis.
Guatemala today and other silver
countries tomorrow. Default with most