Arizona weekly citizen. [volume] (Tucson, Ariz) 1880-1901, 1894-01-27

Is on the basis of figures collected by emf
d nent satisticlans, that ''the natlona
Q debt, regarded as principal sum, hal
l. increased its weight upon the shoulder
It of the British taxpayer between loI;
y and 1850 by nearly 2OO,OOO,UOO ster
s ling, and amount nearly equRling The
q trance-Gsrman war fine"
: And We have to remember that, a:
o regards especially national debts, the
f national creditors are represented mainly
), by the capitalist and money-ownine
r classes, whilst the principal representa-
q tlves of the national debtors are those
l who labor in the fields, the factories, o.
the mines.
4 Now, as to tn remedy which bimet
I allists propose. This, as We have seen
s is, To put silver into the standard cur
rency concurrently with gold by
opening the minis for the unlimited
, coinage of the two metals at fixed
) ratio of value, and making both the
, gold and silver coinage legal tender
: to any amount.
Their main point is that the intro
duction of silver in this way into the
standard coinage would check the
} tendency of money to appreciate" or
increase 10 value. 1t manifestly would
tend to check that tendency by broad
ening the base on which the monetary
system stands.
Sta'isticians tell US that the quantity
OF coined gold 10 the world amounts to
about e600,OG0,000 sterling, and the
quantity of coined silver to about
{ 100000. The precise figures, in
such case as this, are not Of very great
consequence. For we may take it, at
all events, that the amounts are some
thing about those mentioned. Plainly,
the causes that tend to affect the value
OF either of the two precious metals
would have far less disturbing effect
upon a standard of value composed of
of 100000 sterling, than it would
| have upon currency of only half the
amount. Then, Furthermore, it is to be
remembered that this enlarged cur
rency would consist, not 4 of one metal,
but of two.
But is it really possible at this time
of day, by any state regulation, to fix
the price of silver or of anything else?
Will not the price OF any precious
metal, IN spite of artificial restriction,
find its level in the market under IT,
law of supply and demand?
That is the stock fallacy Of the mono
metallists, | mean the monometallists
OF the older, but now rapidly dwindling,
school. OF course, supply and demand
will regulate all prices-the price OF
silver or gold, as well as of everything
else. But this precisely is the reason
why blmetallism is Al effective means of
kee ping gold aud silver at fixed ratio
Of value In the bullion markets of the
world.
Legislation cannot directly give value
to thing, but it can set up demand
which is one of the factors of value.
The opening of a sufficient number OF
mlnts for what practically amounts to
the purchase of silver at certain price
relative to gold, establishes a constant |
demand for silver at that price. So long
ss bimetallism was upheld In the French |
and other mlnts, the ratio was kept
steadily.
1t was kept steadily, too, not in con-
traventlon of the law of supply and de- |
mand, but precisely because of the oper- |
alton of that law. The state arrange
ment for the unrestricted coinage of |
both metals 10 those minis at the fixed |
ratio of 49, of silver to one of gold was, |
In fact, the handspring of the working |
of the law Of supply and demand in the |
case. The arrangement that was in |
operation in the various minis constitut- |
ed permanent demand for each of the |
two o! the precious metals at that fixed /
ratio between the mint values of the
two. Those who had silver anywhere |
to dispose OF would not part with eight
cen or twenty ounces of it for an ounce
of gold, when by sending their silver to
a public mint they could get as good
price for 1515 ounces.
Between 1S4S and 1870, the stock of
gold money in the world, according to
Trustworthy estimates, increased by
nearly ninety per cent, whilst the guam
tIty OF silver money IN the world in
creased by only ten per cent. But still,
under the natural operation of the BIZ
metallic system of France and other
countries, the relative value of gold and
silver stood practically unchanged.
Stability of value in the monetary
standard of value is, of course, of very
great Importance. But the Importance
of it is sometimes overlooked. In view
of this aspect of the case, some newspa-
per disquistions on the currency ques-
ton are amusing. Here, for instance, is
characteristic specimen:
"lf two sovereigns at the present value
which three sovereigns used to have,
the obvious result is that two sovereigns
will serve just as we'll as three.
Thus, by natural causes there comes
an economy of gold to the precise extent
to which there exists need of it.
1.-The balance is self adjusting"
That, of course, would be perfectly
true if money were merely a medium of
exchange, to be employed in buying and
selling, the transactions, moreover, be-
ing for immediate cash. But money, as
we have already seen, has another and
most important function. 1t forms-to
use Mr.. Balfour's expressive words
the record OF obligations extending
over long periods of time"
But then, the practical question re-
mains, is nothing to be done? The ex-
isteuce Of the evils resulting from the
present system can 10 longer be denied.
OF tie monometallists it may be said
that, whilst fully and frankly admitting
the existence of those evils, they have
no practical remedy to suggest. They
are satisfied to hold on by the dog-in-
the msnger policy of hindering even a
trial being given to the remedy proposed
by the blmetallists.
, The bimetallists, on the other hand,
have q remedy to propose, and what
they propose is nothing pew, nothing
that has not been tested by long expert
euce. The currency arrangements which
they recommend were. as we have seen,
in full operation in Europe down To the
y ar 1878.
This, then, is tie practical question::
Is nothing 10 be done 70 avert the disas-
ter now plainly inevitable, if those whom
recent legislation has subjected to the
worst evils of our present currency sys-
tenn are left without a remedy?
The CoTrplenion OF a Chinese
Is not yellower than that OF an unfor-
tunate individual whose liver COM
plant has assumed the chronic form.