Birmingham age-herald., 1895-06-02
ASKED AND ANSWERED.

The EuZaDetntOWn News, WHICH seeIlS in search of information on the silver question, propounds a number of ques- tions to gold bugs. It seems to us better to be gold bug than to be any other kind of bug, so we never object to the designation. As to the questions, they may interest other inv estigators, and are instructive as showing how much there is known on finances which is yet unknown to the advocates of silver:
 I.
 If the bullion value of the silver in a silver dollar is only worth 46 cents, why is 1t that it posses for 100 cents?
 
 Because the silver dollar can be taken to the United States treasury and eX- changed for gold dollar Government credit supplies the deficit in the bullion value.
 How can there be any danger under free coinage of Europe shipping it's silver here when last year it had to buy from the United States $51 GOO 900 in silver bullion to supply its own needs?
 Today silver bullion is worth as much abroad as at home; the market value is the only value 1t has. With free coinage silver bullion would buy twice as much gold, twice as much of anything here as in Europe. so 1t would come here. Today an ounce of gold buys thirty-two ounces of silver at home or abroad With free silver you could take sixteen ounces to the mint, have it stamped and it would have the nominal value of one ounce of gold.
 III.
 If there is no foreign silver to be inn ported how can the free coinage of sil yer injure the country, when the total output of our mines is only S70,000, 900 per annum, or about $1 per capita?
 There is foreign silver to be imported If we offer the miners more for it than they can get for it in foreign parts.'' It is not necessary that we should offer twice as much as it is worth in London to get it. If we will make the legal ratio 31 to l, when the market is 32 to l, we change the whole situation and turn the silver tide to our shores
 "
 Why is it that the United States when it only had a population of 300000 es- tablished and maintained it's own money system must now with a population of 70,O00,O00 let England fix it for us?
 The United States has never been able to maintain it's own money sytem against the world, except when it's own money system was in accord with the markets of the world.
 "
 Why is it if the silver dollar is a dis honest dollar and 50-cent dollar that the gold bugs don't demand their demon- citation?
 The silver dollar as 1t exists today is not dishonest dollar. We do not have free coinage, and the credit of the gov ernment makes good what the silver dol lar lacks. As long as the government can maintain the dollar at a parity with the gold dollar, it is a perfecly honest dollar, and it is not necessary to demone- tze 1t.
 If all the American securities held abroad are payablein gold, principal and interest, how can any more gold be taken out of the country by free coinage of sil- yer?
 All American securities held abroad are not payable in gold Gold would be taken out of the country, because 16 ounces of silver would exchange in America for one ounce of gold, whereas, abroad one ounce of gold would exchange for 32 ounces of silver. Gold would be sent abroad to pay for the silver and other commodities which would be i'm ported.
 If Mexico's per capita in money is only about one-fifth what it is in the
 
 of all home products are twice as high in Mexico as in this country, all finan- cial authorities agreeing that the more money the higher the price, and less money dearer the price?
 The per capita circulation has nothing whatever to do with prices In so far as home markets in Mexico are twice as high in this country the fact is due to the other fact that the silver money is to that extent Appreciated. Money in England is less per capita" than in France, but prices are on an equilibrium. The per capita is greater in the United States today than in 1865, and prices are lower, because money in 1865 was dis credited money. Money in circulation in the United States today is sound money.
 VIII.
 Under the free coinage of silver this country never had to borrow dollar of gold to maintain its credit, yet since the hints were closed against the white metal $150, ,00O 900 of gold has been bor- rowed to take the place of that much gold that has gone abroad. This was done in less than twelve months. How could it go any faster with the free coin age of silver?
 This country formerly had to borrow no money to maintain it's credit, because it had no debt due on demand. It has in greenbackS and treasury notes over $500, O,000,000 due on demand. It has sl- yer dollars out which it has agreed to maintain at par. To give every reason able assurance that this demand debt will be paid, the government has to keep "a good reserve in gold. As long as there was doubt about our ability to meet this debt lon demand" gold went out: When Cleveland declared his determina- tion to keep up the gold reserve, the drain closed.
 N
 Why is is that in the last twelve months since the United States has been upon a strictly gold basis, that New England and New York, the creditor