The Scranton tribune. [volume] (Scranton, Pa.) 1891-1910, 1895-05-04
International Eimctallism.

What then, is the true remedy? To
fnd the remedy we must find the cause
Ihe free coinage extremists mistake the
one and so misapply the other They be-
En- wrong, argue wrong and end wrong
They charge the fall of silver to the act
OF 1913 which Is said to have demone tized
II. and they say 1t has not been restored 20
its position because we have not done
enough for It, But the act of 1873 had no
more to do with the fan of silver than
the last eclipse of the moon. We hadn't
any silver to demonetiZe. We had coined
only 100000 silver dollars from the foun-
datlon of the government and for a
quarter OF century before 1873 there
hadn been dollar in circulation. As to
our subsequent treatment of silver,
have shown that since 1873 we have done
" times ms much for the silver dollar as
we did IN all our previous history. and, in
spite of this. silver kept on falling.
What them, has caused the great mon
etary disIocation of the past twenty
years? 1t was not the demonetzation Of
silver in the United States. but the over
throw OF bimetallism in Europe We had
practically no silver coinage, and our act
had no effect. Europe had 81, 600 900, 600 of
coinage and her prescription of silver
and the StOppage of her demand brought
the derangement. For nearly two hun
dred years gold and silver had maintained
a practically steady ratio The produc-
ton or the two metals had fluctuated in
the most remarkable degree. During the
hrst forty-tve years of this century the
output of silver enormously exceeded that
or gold. During the next twenty-five
years the conditions were reversed, and
the output OF gold enormously exceeded
that of silver. Within the quarter of n
century following 1850 the mines of the
world poured forth as much gold as during
the entire preceding three centuries and a
half from the discovery of America by
Columbus.
Yet through these extraordinary changes
in the relative quantity of gold and silver
there was substantially no change in
their relative value The steadying influ-
cnce was the b!metallc system Not all
of the nations, indeed. had himetallism
England had the gold standard; Germanw
and Austria had the silver standard: !:
France and her associates of the Latin
union had the bimetallic standard; and
with Germans silver balancing Engiand's
gold, France and the nations of the Latin
union served as what Walter Bagchot
called "cqualizing machines" and upheld
the monetary equilibrium. In 1S7l two
years before our much-abused and unm-
portaut act of 1873 Germany abandoned
the silver and adopted the gold standard
and began TO accumulate gold and sell her
silver coin. within seven years she sold
Sl50O00,0 600 worth which flowed across tho
borders OF France and Belgium France
and, the Latin union became alarmed and
closed their mints to silver Holland and
other nations followed. The European
time the Imports of silver into India fell
from 1W,N0,0OO rupees year to 20. OO0 900
While the demand was thus largely re-
duccd The supply was largely increased
The annual production OF silver was more
than donbled just as this restriction of ITS
use began ana II kept on until II was
more than quadruplod.
Here then is the cause OF the monetary
disturbance and here lies tho remedy
The uniformity I'm the relative value of
gold and sllvc prior to 1873 was maintained
by the blmctnlliC system; II was broken
by the general abandonment of that pol
Icy; ana II can only be reinstated by n
general return. The restoration of silver
must come through the concurrent action
Of the commercial nations. The enllght-
cncd opinion of the world recognizes these
truths. Tho entire twelve members of tho
British gold and silver commission
agreed that II was the b'metallic system
which preserved the stable ratio between
gold and silver down to 1873. Tho six
gold monome,alllst members agreed that
bmetnlllsm Us practicable and desirable
for other nations though they hcsItatcd
10 recommend It for ENGLAND. The re-
naming six members declared themselves
unrcservodly for bimetallsm by interna-
tional agreement. Germany perCciving
the great mistake she made In 1871, has de-
clarcd for nm international conference
England. impollcd by the distress among
her producing classes, IN advancing TO.
wards this policy. France has been for II
from the beginning. The depression OF
Europe urges It.
Tho palpablc advantages OF bimctallism
are gaining ground for II every day. 1t
broadena the monetary basis OF credit and
cnlargcs the stock OF available sound
money. II establishes monetary unity. 1t
make nm approximately fixed par OF ex-
change between gold and silver countries
II promotes stability of values. IL mini
mlzcs the evils OF an appreciating metal
on the one hand or OF depreciatlng metal
on the other. The restoration OF this sys-
tom IL the restoration OF silver and as its
collapse was international so It's rehabili-
tation must he international.
And now what IL our true American
policy? We do not want to rest upon gold
alone or upon silver alone. We want tho
joint use OF tho two metals upon con-
ditions which will make every dollar as
good MS every other dollar In the pockets
OF the people. and In the markets of the
world. We want the re-cstablshment on
n broader scale OF that bimetalllc system
which for seventy years. through the se-
verest strains. through periods when the
silver output was three times us great in
value as the gold and through periods
when the gold output was nearly FIVE
times ms great as the silver. still kept
them at stable ratio and maintained