Greenbrier independent. [volume] (Lewisburg, Va. [W. Va.]) 1859-1980, 1895-05-16
Let L Have the Double standard.

Let l. Have the Double Standard.
1t must be conceded by all who
have any correct understanding Of
the monetary question, that the
general effect of gold mcnometal-
ism is to depreciate and keep down
to the minimum the prices of all
commodities and labor. Whether
this be the best condition aS regards
our own country is question that
each individual person must decide
Tor himself. If as a nation we were
just starting out on our career and
were out Of debt, it might do very
well To have our monetary system
based entirely on gold. Prices of
products and labor would naturally
adjust themselves to the gold stand
ard. Wages would necessarily bc
low, as would also the prices of COM
moditieS. There would be a CORES
pondonce between wages and the
cost of living. So that ones earn
ings would buy as much Of the nee
ossaries and comforts of life as
would be the case of both wages and
ommoditirS were prOportiOnally
higher. But after having gone on
for nearly Il century under a double
standard, or bimctalism, when silver,
as well as gold, was recognized rs
money of ultimate redemption, thus
giving our monetary system a base
at least twice as great as gold alone
gives IT, the change from this to the
single standard practically doubles
the amount of existing Indebtedness
by doubling the difficulty of paying
it, that is by making it take twice as
much products or labor to pay such
debts, as would have been necessary if
the double standard had continued.
There is nominally about five hun
drcd million dollars of gold coinage
in this country. One hundred mil
lions of this is required to be kept at
the Treasury as a reserve fund. a
considerable portion of the re-
mainder is undoubtedly boarded by
banks and others so that there is
probably not more than two hun
dred and fifty or three hundred mil
lions at most in general circulation.
With only this limited amount of
basis or money OF ultimate redemp-
ton in the country, and this largely
in the hands Of those likely to with
hold it from circulation, at the very
time when the government needs il
for the payment of gold obligations,
or redeemable in gold currency cir.
culation, how will it be possible for
the gold reserve to be kept up and
. the public confidence in the govern
ments ability to meet its gold obli-
CATIONS maintained? 1t is certainly
not clear to the average mind how
this is to be done, and it is this fact
that breeds that lack of confidence
in the ability of the government to
do all that it has agreed, that creates
: panics and hard times. To maintain
the gold reserve, two bond issues of
fifty millions each were necessary
during the last year. What assur-
ance have we that the same thing
will not have to be done during this
year and SO on every year until
finally we shall he so deep in debt
that there will be no hope Of paying
out. 1t is incumbent on those who
advocate adherence to gold mono.
metalism to explain to the people
how these difficulties are to be sur
mounted. Everybody wants sound
money and a sound monetary sys-
tenn, but all are not agreed that only
gold monometalism and sound
money are Synonymous.
" BIMETALIST.D