The Kinsley graphic. [volume] (Kinsley, Kan.) 1890-1940, 1895-08-09
HENRY cLEws. VIEWS.

His Ten Reasons for Opposing Free Coin
age Reviewed and Answered.
Recently the New York chamber of
commerce askad-. q number of rep
resentative men in various profession
al lines to say why they opposed free
silver coinage. Among the answers
received was one from Henry Clews,
who sends ten reasons why his convic-
lions are wholly against the unrestrict-
ed coinage of silver in the United States
at the ratio of sixteen parts of silver to
one of gold.
shall attempt, in this article, to re-
view and answer these ten reasons.
At the outset it may be well to state
that Mr.. Clews is writing of free coin
age of silver by the United States
alone, Independent of the action of all
other nations Mr.. Clews. presume,
comedies that the unrestricted coinage
of silver by the United States, En-
gland and Europe, in compliance with
international agreement at common
ratio, would firmly esta blish the none
tary values of the two metals, upon
such common ratio, SO that neither of
the metals would be ''dearer" or
cheaper" than the other. SO, then,
the controversy resolves itself into
a question of the ability of the
United States to alone maintain the
parity" of the metals, at a ratio of 16
to l, by according to silver the privi-
lege of unrestricted coinage at her
minis. This is purely matter of
speculation. the argument therein be-
ing. of necessity, based upon a hypo-
thetical premise, such premise being
the position of silver under non-eXist-
ent conditions and not under the con-
ditions prevailing at present. The
free coinage of silver at a certain, fixed
ratio, would take silver off the market
as commodity. Gold is thus treated
to-day and the only question in issue
is whether the United States alone can
do for silver what several nations, in
unison and combined, do for gold.
What is done for gold? Let us see.
Reliable statistics and estimates prove
that the amount or quantity of gold
which constitutes a dollar costs to
produce an average of not more than
25 cents in money, while silver costs
slightly more.
Noticing, very briefly. the supply
and demand" argument, it will be suf
fcient to state that, for the past ten
years we have produced an average
supply" of 5000 600, ounces annually,
while the demand" for use in the arts
has been about one-half, or 1900, 600
ounces annually. With no other de
mand" except that of the useful arts,
gold would be worth less than the cost
of productions; but here it is that the
demand" for monetary purposes in
tervenes, and by affording an uplimit-
ed market, at a fixed price, for all sur
plus supply" renders it impossible for
any gold to be obtained for use in the
arts at less than its money value, as
fixed by the coinage laws So much
for supply and demand"
Can the United States, alone, do as
much for silver, and maintain its value
equal to gold at a ratio of 16 to 1?
That's the question.
Mr.. Clews' reasons, in their regular
order, will now be given aQd an answer
essayed to each:
'First-Because it would be DELHI
and ultimate controlling portion of the
circulating medium"
Answer-1t would no more be de-
basement of our silver money than is
our present practice in respect to gold,
a debasement of our gold money. The
gold dollar is three-fourths fiat" and
as silver costs more to produce than
gold, the silver dollar would be less
fat dollar than the present gold dol
lar is.
"Second-Because universal expert
ence has proved that a debased cur
rency always drives out of use and out
of the country full-valued money, and
consequently our $500, OO0. 900 of gold
would go to strengthen the currency
systems of other countries, while ours
would be CORRESPONDENCE weakened"
A.-Insthe first place, gold money is
lot only full valued money, but is
four-fold valued money. In the next
place, there is not 5000, 600, 900 of gold
the United States All the gold coin
Try and in all banks of all kinds, on
July 1, 1895, amounted to slightly over
1900, OOO, 900, while there was none in
circulation and but little boarded. If
what gold we have was to go abroad,
would lower the exchange value of
gold money in England and Europe
md assist in maintaining the value of
silver.
''Third-Because the loss of that gold
would be SO much contraction of the
,olume of our money"
A.-The slightly more than $500, OOO,-
700 of gold, of which we have knowl-
edge, constitutes the so-called gold
redemption reserve in the United
States treasury and a portion of the re-
serve held in the banks. It forms no
part of 1.-The volume of our money"
But what about that flood" of silver
our gold-bug friends so much dread?"
Is it to be such slight shower after
IL, as not to be heavy enough to COM
sensate for the loss of this gold? Be
sides all this, McClews has not proved
chat we should lose the gold.
"Fourth-Because when gold ceased
to circulate silver coin would fall to
it's bullion value (Which is now fifty
cents on the DOLLAR and its purchas-
ing power being thus reduced there
would be corresponding virtual con-
traction in the value of our silver
| money"
A.-So there's going to be no flood"
And those wicked silver miners would
DOT get dollar for fifty cents worth
Of silver, after all. That is, they would
| get dollar coin but it would be worth
q "a - l.