St. Johnsbury Caledonian. [volume] (St. Johnsbury, Vt.) 1867-1919, 1894-01-25
Correspondence.
BImETALLIsM THE REMEDY.


vious letters 1 attempted to show,
first, that neither silver nor the Sher-
man law was responsible for last sum-
mer's panic; second, that the demon
eliza ton of silver and the adoption
of gold monometallism had increas-
ed the purchasing power of gold and
lowered the price of agricultural and
manufactured products; that these
processes were steadily progressing,
threat ening ruin to the nation.
What is the remedy for this gigan-
tic evil? My answer is bimetallism;
the free and unlimited coinage of
silver at parity with each other.
This would stop the appreciation OF
gold and the corresponding depre-
citation of products; would give
stability to the currency that 1t does
not now enjoy; afford volume of
currency large enough to meet the
growing nation and develop its re-
sources; prevent the producer and
debtor from being forced to meet his
fixed obligations on falling market;
avoid the necessity for bond issues
for which the people are forced to
pay double the value received; in
short, it would restore confidence
and prosperity.
But you say, at the present price
of silver the ratio of that metal
would be to gold as about 80 to
one. That is not fair comparison.
Silver is rightfully a money metal
and not to be ratioed with gold on a
commodity basis. Demonetize gold
and it's money standard value would
rapidly depreciate; remonetlze silver
and it will rapidly appreciate. 1t is
not fair, either, to insist that the
ratio shall be decided under present
conditions. Remonetize silver, let it
regain its rightful value and then
make the ratio. 1t will be 16 to one.
l hear somebody remark that the
country would be flooded with silver
under these conditions, cheapening
it's value as money and injuring the
standard. But would this occurf
Silver was worth more than gold
when it was demonetized. In 1892
the gold production, according to
the report of the director of the mint,
was $3.50, $4,000; the silver pro-
duction was $133, O54,OOO. From
1892 to 1892 the gold production
was S., 1858, 9OS,OOO; the silver pro-
duction, $5,1O4,961 900. The ex-
cess of gold production over silver in
the last 100 years has been $685.
947, 900.
Germany demonetized silver be-
cause the country was gorged with
gold. Then why should the United
States demonetize silver? Not be-
cause gold famine now exists, sure
ly. The above figures show that sill
yer cannot drive out gold because of
excess of production. Colorado will
produce three times as much gold in
1894 as it did in 1892 The silver
flood bugaboo is easily exploded.
Let us then to the question of cir
culation Is the volume sufficient?
France is the only great bimetallic
nation at present. She is the only
great civilized nation that IS not
suffering from panic and business
depression. France has a popula
ton of 39,OOO,OOO, territory of
2O4, 1T square miles, and her re-
sources are fully developed. The
United States has population
of 81 100000, and an area of 3, 6O2,
900 square miles. She is in the very
midst of her developing period, when
she needs more money than ever be-
fore. France has circulation per
capita of $36.91 the highest shown
by any country. The United States
has per capita circulation of about
S25. so. France supports with no
trouble at all $17.95 in silver for
every inhabitant, the United States
only 1918. The United States pro-
duces silver France does not. 1t would !
require 81 1872. $4,000 in silver to
make our per capita equal to that
of France.
Is it not plain that there cannot |
under any circumstances be a food |
of silver that would bring ruin on
this country?
Great Britain is creditor country.
We must pay our debts to her as
must every debtor country, in gold.
or in products whose price is con-
stantly falling because of the appre- |
citation in gold values. The volume
of our agricultural exports is asla large |
as ever but the sum total received |
therefor is much smaller. The diff
ference must be paid in gold to our