The Scranton tribune. [volume] (Scranton, Pa.) 1891-1910, 1895-05-04
Free COINAGE Means a silver standard.


Free Coinage Means n silver standard.
What Is free coinage? The standard sill
yer dollar is now worth about 80 cents
Free coinage means that the government
shall receive all the silver which may be
presented. and upon every % cents worth
put the stamp OF one dollar. As nobody,
however expects 1t to be coined, 1t really
means that the government shall issue IT'S
note for one dollar III exchange Tor 30
cents worth OF bullion, and that this note
which the favored bullion owner gets for
fifty cents worth of his commodity shall
be made Il legal tender FOR one dollar In
current circulation. Now. what would be
the result? IL would be the forced circu-
lation of dollar worth one half its face
II would be the debasement of the unit Of
value, and SO the violent disturbance of
all values. II would be the destruction of
stability, and SO the overthrow of con-
tidence, security ana prosperity.
Let me be entirely frank. / know the
advocates of free coinage claim that their
measure would raise silver to the standard
of gold. or perhaps they would prefer TO
put it, reduce gold TO the standard of sill
ver-that. in u word. II would establish
parity. They point to the fact that the
silver or silver certificates already in cir
Culation have been kept at par AT the ratio
of 10 to |. Notwithstanding a far different
market ratio. This is true because We
have limited the coinage or purchase, be-
cause We have maintained the gold re-
serve, because we have pledged the whole
credit and power of the government to
sustain parity. But when we enter upon
unlimited coinage under present condi-
tions We embark upon new and danger
Gus sea. The free silver champions con-
tend that our silver policy has failed be-
cause We haven't gone far enough, and
they insist that free coinage would bridge
the divergence and remove the disparity
in a single instant. II ii does not estab-
lish the equivalence of gold and silver at
the determined ratio II is rank reputation
and dishonOr. 1t is the wilful adoption of
a debased standard and the compulsory
circulation of a deprecated dollar, with
all values, its arrangement of all finance
and trade, and its incalculable wrong and
dangers in every direction.
But what possible hope can there be, in
the light OF the facts already before us
that free coinage will re-establish parity?
II was claimed just as confidently that
the purchase act of 1880 would do It, What
was the faCt2 Its first temporary effect
was to raise silver so that the bullion
value Of a dollar which was II cents in
1890 advanced for a short time to 81 cents;
but 1t soon dropped back TO Y cents and
has been falling ever since. We were then
buying pretty nearly the entire silver pro-
duct of the country. 1t must be remem-
bered, too. that India, the great sink of
silver in the East, was still under free
coinage. While We were coming or pur
chasing nearly $500 OJJ.0C Of silver India
was coiuing over 800, $1,000. and during all
this time and in spite OF this great mar
ket silver kept on falling. India has
since stopped her free coinage and how.
then, can we hope to do alone what the
two together could not do?
Do you realize what free coinage by the
United States alone Involves? II involves
one Of tUo things, s,-cither the lifting up
Of the entire volume Of silver in the world
to the standard Of gold, or else the drag
ging down of the United States to the sin
gle standard Of silver. There Is no possl-
BILE escape from one horn or the other of
this dilemma. The visible stock of silver
in the world Is about $4,000. 100000. Europe
has over S1,0cOG0ONO. The product Of tho
United States in 1893 was GOOOJ.0OO ounces
The annual product of the world has
grown from an average Of 40, ,C0O, 900 ounces
between 1860 and 1870 to an aggregate of
l6O,0OOcD ounces. For the United States
alone to enter upon free coinage means
that We must stand ready to buy all Of
this vast stock that may be attracted by
our open hand and open mint, and that
while N " now at n ratio of 32 to l. we
must undertake the stupendoug and i'm
possible task Of lifting 1t to equivalence
with gold at the ratio of lG to l. II means
not only that we shall stimulate and in
fate our own product but that Europe will
dump Its surplus silver on ug. / know
the silver extremists deny this truth. I
known they alleRe that the silver Of Eu~
rope IL In use as coin and that II could
not be sent here without loss But this
| answer win not bear examination, as n
moments consideration will show.
Ever since bimetallsm was abandoned
Europe has been struggling for gold
With the adoption of Independent free
co 'uage In this country that struggle
,nn,,, gain new force because II would be
nntjced hat the re-establigbment of BIZ
rnetaIIIarn n ID been indefinitely postponed
The bank OF + "ance has S2j0. 10000 Of sill
yer, not in circula ion, but locked up in
over tij0.0O0,DO. The Ban" oi opa,n mas
about 80 0O0,0OJ. the Bank OF 'pe Netner-
lands 33j,OO000 and others varying
amounts. There are over 10000 OW .Noren
In nine banking houses. This silver "
worth nothing 10 them beyond Its bullion
value. 1t serves as 81 part of the metalnc
reserve for their paper money; but they
could better sustain more paper on gold
and II they could make tho substitution iy
sending this silver to the United states
they do III In 1890 when the bin for the
free coinage Of silver was pending In the
United state senate, ] had the honor Of
being the American minister ut St Peters
burg. The Russian minister OF finance
was Mr.. VIshnegradslt, n statesman OF
oblcst finance minister IN Europe at tho
time. I had occasion one day to call upon
him, and ! found him with n copy OF the
American free coinage silver bill. then
under debate In the senate, lying open on
the table before him. His first express
sions revealed bia profound interest In the
subject. He had studied the details OF
the bill TO the minutest particular. He did
not hesitate 10 pronounce II n most re-
markablc measure involving most dis
astrous policy which. as q friend Of the
United States and Of safe finance. he
hoped she would not undertake. He in
uuired carefully after It's prospects, and
then in earnest words came the pregnant
climax, which. as others were involved, !
shall not In this public declaration ven
ture to repeat In rs specific form as he
gave II In that more confidential talk.
But he said In substance: IF this bill be-
comes law the United States will expose
herself to dangers of which she has per-
haps little idea: there Is great deal of
silver in Europe; we have some In Russia
already the proposition has been made TO
me to Join In movement, In the event of
the American adoption Of free coinage, TO
unload n part of Europe's silver on the
United States; but believe this measure
and this action would bring calamity and
I hope the United States Will make no
such mistake" IT was the clear vision
and the weghty rernonstrance of u states
man looking on with the truer perspective
of distance and speaking with direct per-
sonal knowledge OF dangers which the