Middlebury register. (Middlebury, Vt.) 1886-1937, 1895-08-16

" sllgnt expense NtW processes anu
new mechanisms are being supplied by
inventive genius to furnish u Il sub
stantial gold cure for Brother Harvey's
silver iams. More than that, the cost
of mining all metals has greatly dccreas-
ed. For instance the Quincy copper
thine III Michigan shows that in 1861 ii
cost Pol cents per pound To produce
their copper. while in 1894 it cost only
5GS cents, about one fifth. although the
ore was no richer and was mined at far
greater depth. while wages had been adj
vanced from SIS &c per month in 1879 to
5000 in 1874. see the Iron Age, April
Is, 1890, page sci"
This last long quotation suggests an
other point i'm this que, toD that perhaps
might be well referred to here. and that is,
the fact that the nations of the world have
different money standards. As to the gold
going out of the country, if 1t goes out
it is because those holding it sell it for
something else that they prefer; for it is
certain no one is going to steal il: and,
think, we can trust the Yankee nation
in making trade. As to the increase
in the supply of gold and its possible
sufliciencv for the money supply of the
world. as well as for all the other de-
mands upon it. we shall have occasion to
speak hereafter Mr.. Horn says:
"Of course when we get some more sill
ver-we would not need so much more,
but that is not it-yOu compel us to do
business on basis different from that
Il lNr- 81 - ha
again Mr.. Horr approaches condition
where the single gold standard stands at a
great disadvantage. Before the adoption
of the gold standard by the leading COM
mercial nations il 1873. the money of the
world was practically indentical. All
nations used gold or silver or both.
Through bimetalism the ratio between the
two metals was held. practically, station
airy. and as consequence international
business the world over was transacted
with facility and success. Now, how
changed the condition. The gold standard
rules in the great commercial nations of
America ard Europe. silver chiefly in the
rest of the world. while the difference be-
tween the two metals is so great and va
rying that all trade is disorgaDized be-
tween the gold standard and silver-using
countries.
Formerly the money of these last would
be taken at nearly or quite its full value
in the purchase of manufactured or other
articles of the United States and Europe.
Now there is discount of nearly or quite
30 per cent. That is, if Japan, China or
Mexico or any other of the silver-using
nations, undertake to buy goods of the
god-standard nations, they must first pay
premium of 30 per cent for the money
with which to pay for these goods. What
is the result: There can only be one pos
sible result. the destruction of this trade.
That is the result that is taking place.
The process OF change is naturally grad
ual one. 1t takes time for the peoples in
terested TO perceive what has occurred.
And it takes more time to adapt them
selves to the change. The mills of the
gods grind slow but sure. But as GER
l =
conditions of the finances will bring
about changed conditions of trade.
The sure result is to build up manufac-
tories and to stimulate the production of
articles in silver-using countries formerly
imported from counties now having the
gold standard. \ second result has been
to increase the commerce between silver
using countries. Thus recent editorial in
the Chicago Inter Ocean says:
SILVER IN MEXICO.
There has been no more valuable con-
tributiOn to the discussion of the silver
question now going on in Europe and the
United States than "A paper in the June
number of the North American Review
from the pen of NJ. Romero, the Mexican
minister at Washington. on the practical
workings of the silver standard in his
own country. more particularly the effect
upon it of the fail in the value of silver
incident to the general closing against il
of the minis of this country. Europe and
India. He does not write in advocacy of
theory. and does not in any way. d.
rectlv or by implication, attempt to intlu-
ence American public opinion upon the
silver question as it confronts our own
people.
The most notable fact is that Mexico
has escaped the hard times of the last two
years. Prices, wages, rents, etc, have
been more stable: agriculture is thrifty
and manufactures are Increasing. Not.
withsTanding the low price of silver, the
mining of it is profitable. The high price
of gold is stimulating the search for gold
and the working of the mines discovered
Under the head of disadvantages from
the silver standard is enumerated the de-
cline in importation. "The fact, " he says
THAT foreign commodities have to be
paid for in gold makes them so high thai
it operates as "A protective duty upor
them. They are beyond the reach of the
middle classes" But expectation is in
creasing. The latter has increased abOu
threefold since 1873. In explanation OF
all this, NJ. Romero remarks:
"The low price of silver abroad makes
it Improbable to export il, and its value
at home makes il useful in all industries
and we send out our agricultural products
to pay for our imports and for our golC
obligations, keeping at home our slve