Birmingham state herald., 1895-12-04

View or the fact that the ratio between the metals which they suggest calls for 100 cents worth of gold in the gold dol lar at the present standard and only 50 cents in intrinsic worth of silver in the silver dollar. Were there infinitely stronger reasons than can be adduced for hoping that such action would secure for us a bimetallic currency, moving on lines of parity, an experiment so novel and hazardous as that proposed might well stagger those who believe that sta bility is an imperative condition of sound money No government nor human con trivance or act of legislation has ever been able to hold the two metals togeth- CT in free coinage at a ratio apprecia bly, different from that which is established in the markets of the world Those who believe that our independent free coin age of R1ver at an artificial ratio with gold of 16 to l would restore the parity between the metals and consequently be- tween the coins oppose an unsupported and improbable theory to the general be- lief and practice of other nations and to the teaching of the wisest statesmen and economists of the world, and what Is far more conclusive, they run counter to our own actual experience.
 Twice in our early history our law makers, in attempting to establish a bi- metallic currency, undertook free coin age upon ratio which accidentally va ried from the actual relative values of the two metals not more than per cent W d1fhculties and cost of transportation than now exist, the coin whose intrinsic worth was undervalued In the ratio grad ually and surely disappeared from our circulation and went to other countries where their real value was better recog- nized. Acts of congress were impotent to create equality where natural causes decreed even slight inequality. Twice in our recent history we have signally failed to raise by legislation the value of TTndpT. n n not Nft in 1878 the government was required for more than twelve years to expend annu- ally at least $24, ,000 900 in the purchase of silver bullion for coinage. The act of July IA, 1890, in a still boder effort in- creased the amount of silver the govern ment was compelled to purchase. and forced 1t to become the buyer annually of b4 OOO,O0O ounces, or practically the entire product of our mines. Under both laws silver rapidly and steadily declined in value. The prophecy and expressed hope and expectation of those in congress who led in the passage of the last mentioned act that it would re-establsh and main- tain the former parity between the two metals are still fresh in our memory.
 In the Night of these experiences which accord with the experiences of other na- tions, there Is certainly no secure ground Tor the belief that an act of congress could now bridge inequality between gold ana silver at our present ratio, nor is
 
 try which has less than one-seventh of the silver money in the world, could by its action alone raise not only our own but all silver to its lost ratio with gold. Our attempt to accomplish this by the free coinage of silver at ratio differing widely from actual relative values would De the signal for the complete departure or gold from our circula ton, the imme- diate and large contraction of our circu- lating medium, and a shrinkage in the real value and monetary efficiency of all other forms of currency IS they settled to the level of silver monometallism Eyery- one who received fixed salary and every worker for wage would find the dollar in his hand ruthlessly sealed down to the point of bitter disappointment if not at pinching privation. A change in our standard to silver monometallism would also bring on collapse of the entire Sys- tenn of credit, which when based on a standard which is recognized and adopt ed by the world of business Is many times more potent and useful than the entire volume of currency, and is safely capa- ble of almost indefinite expansion to meet the growth of trade and enterprise.
 In self-invited struggle through dark ness and uncertainty our humiliation would be increased by the consciotisne ness that we had parted company with all the enlightened and progressive nations of the world and were desperately and hope leSsly striving to meet the stress of money, commerce and competition with debased and unsuitable currency, and in association with the few weak and laggard nations which have silver alone as their standard of value
 All history warns us against rash ex- periments, which threaten violent changes In our monetary standard and the degradation of our currency. The past is full of lessons teaching not only the economic dangers, but the national immortality that follows in the train of such experiments. will not believe that the American people can be per- suaded, after sober deliberation, to Jeopardize their nations prestige and proud standing by encouraging financial nostrums, nor that they will yield to the false allurementS of cheap money when they realize that it must result in the weakening of their financial integrity and rectitude, which thus far in our his- tory has been so devotedly cherished as one of the traits of true Americanism. Our country's indebtedness whether owing by the government or existing be- tween individuals, has been contracted with reference to our present standard To decree by act of congress that these debts shall be payable in less valuable dollars than those within the contem- platfon and intention of the parties when contracted, would operate to transfer. by the fiat of law and without compensa- tion, an amount of property and a vol ume of rights and interest almost fncal- culable Those who advocate blind and
 
 name of bimetalism and protesting the belief, contrary to all experience, that we could thus establish double stand ard and concurrent circulation of both metals in our coinage are certainly reck- oning from cloudy standpoint Our present standard of value is the standard of the civilized world and permits the only bimetallism now possible, or at least that is within the independent reach of any single nation, however DOW erful that nation may be.
 While the value of gold as standard is steadied by almost universal cemner- cial and business use, 1t does not despise silver nor seek its banishment. Wherev- CT this standard is maintained there Is at its side in free and unquestioned circula- tion volume of silver currency some times equaling and sometimes even ex- ceeding it in amount, both maintained at parity, notwithstanding a deprecia- ton or fluctuation in the intrinsic value of silver. There is a vast difference be- tween a standard of value and a currency for monetary use. The standard must