Birmingham state herald., 1895-10-27

refusal of the administration, of which
 you are part, to use silver as money
 of redemption has brought ruin upon the
 country. The only basis for our eurren-
 cy, according to the construction of the
 administration, is the gold in the treas
 ury, which is less than 00,000,0 900, and
 upon it rests nearly $1, 100000,000 of silver
 and paper money. This being the case,
 you are constantly borrowing money and
 increasing the national debt to maint,eln
 this credit money and now you say that
 this credit silver money has been added
 to the money of ultimate redemption,
 and that you are using it as real money.
 In the next breath you say that the coun-
 try would be disgraced if silver were paid
 cut as provided by the statute and the
 contract, and that we must borrow gold
 from Europe to take it's place. Your
 whole assertion that the government
 uses silver as money is absolutely false,
 otherwise there would be no necessity of
 borrowing money to redeem greenbaeks
 and treasury notes with abundance of
 silver in the treasury.
 You deny that the volume of money
 determines general prices In this denial
 you are in conflict with John Stuart Mill
 and all other respectable writers on po- litical economy. You are also in conflict with the history of this country. There never has been a panic in this country except when there was contraction and falling prices. which always follow con
 traction. The contraction resulting from
 the failure of the United States bank
 produced the collapse of 1887. The con
 traction occasioned by destroying the
 legal tender quality of foreign silver coin
 produced the collapse of 1851 The con-
 traction resulting from increasing the population by the restoration of the southern states and the retirement of
 the greenbaeks and various forms or bonds which circulated as money occa- stoned the collapse of 1873. The contrac- ion, ese, ffY.er f-at, ch inn Ino fn
 Europe when silver would have been full compliance with the contact occa- stoned the collapse of 1893.
 Your fear that China and Japan will absorb our gold shows a want of knowl-
 edge of the situation which is simply
 marvellous. You speak of gold as If 1t
 was more a necessity to prosperity than silver The two together were used dur ing all the ages. When there was
 enough of them they never did any harm
 The only difficulty which has ever ex-
 isted in regard to bmetallism was that
 there was not enough of the two metals, and the destruction of one or the disuse of one and the exclusive use of the other
 means the destruction of civilization. Are you aware, MT. Secretary, that every silver standard country is prospering
 as 1t never before did in it's history, and
 that every gold standard country Is sui fering unparalleled depression? Do. you know that there is not gold enough to
 prevent the continual fall of prices? Do you know that the United States is get
 ting in debt to Europe from s25O 0Oo0 0oo to $500 000 900 each year. and that the ability to pay those debts is growing less
 and less by the diminished price of our
 exports? The only means we have of getting gold, except the little we produce Is by the sale of our exports in foreign
 markets at gold prices. and the more gold goes up by reason of the competl- ton to get it the lower prices will be and the less ability we will have to pay the interest on our existing obligations. How long do you think the gold standard can be maintained by borrowing money? It
 may be that you will suggest that we l ought to issue long time gold bonds and borrow the money cheaper, but 1t would | cost about the same. It would be bor- | rowing money to pay interest on Dor | rowed money Without the rehabilita- | tion of silver the 100000 900 of circulation | consisting of silver and gold must be sus- | tained by borrowed money.
 | You talk about the credit of the coun | try. Do you know that you and MT. | Cleveland are destroying the credit of the country by making it impossible for the country to pay it's debts? How long do | you think the credit of this country can | be sustained by increasing the debt from | $250 coo GOO to $500 000 coo a year? Who
 has destroyed the credit of the country? | can answer, 1t has been done by Cleve-
  | trations, which by construction changed | the law by declaring that obligations payable either in gold or silver were gold obliga tions. This false construc- | tion placed upon the statute is what has | shaken the credit of the United States. | because it has loaded the government and the people with obligations which they cannot pay. That is the way to de-
 stroy credit. These obligations were not | created by contract or by law. but by | usurpation and combination with foreign l gold gamblers.
 Of course, MT. Secretary you are not l aware of the wickedness of the combina- 1 tion in which you are, because you are l not familiar with these subjects. Your l whole speech shows that you have not l had time to understand the statutes or | the principles of monetary science. Con | sequently you ought to be excused from l any criminalty connected with the de- | struction of the credit of the government | by falsely pretending that the United l States owes gold; but those who know | what they are doing must ta-.e the re- | sponsibility.
 1 Having a kind regard for you, I am l greatly relieved by the opportunity your l speech furnishes of exonerating you | from any criminal intent by the abundant 1 evidence it affords of your want of
 knowledge on the whole subject of your | discourse. Hoping that you will investi- | gate the question. and that your relations 1 with MT. Cleveland and the goldites of Wall street will not prevent you resum- | ing your original position as a friend of
 the people and an advocate of the money of the constitution, I remain, Yours re-
 spectfully. WILLIAM M. STEWART.
 800 pairs ladies' fine shoes