The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1895-06-15
He shows the Fiat of the Government
Does Not Make Money, and Cites
the Case of the Trade Dollar.
HIS SPEECH AT LOUISVILLE
MUSIC HALL CROWDED WITH THE
BUSINESS MEN OF KENTUCKY.
Prospects of Monetary Conference
Fading Away-World's Output of
Gold and Silver Last Year.

LOUISVILLE, KY. June 1.-THE large
personal following of Secretary Carlisle in
this city and the keen interest felt by
all classes in the currency question filled
Music Hall this evening with such crowd
as Louisville never before saw congre-
gated on "a similar occasion. Long before
the hour at which the address was ad-
vertised TO begin the hall filled to
overfowing, the well-to-do and influential
business men jostling with the laborer and
mechanic for a convenient seat. Nor was
the meeting a gathering Of Democrats
to honor a party leader; Republicans were
out in force and on every countenance
could be seen the desire to learn.
Promptly at o'clock Mr.. Carlisle came
forward and was presented by Charles r.
Long. His reception should have satisfied
the most expectant. When the tremendous
applause subsidized, in his clear, incisive
voice, Mr.. Carlisle waded Immediately into
his subject. He repeated his argument that
the undervalued metal would be driven out
of the country by the adoption of bimetal-
lie system and at some length paid atten-
tion to the claims that the fall i'm the
price of silver was due to its demonetiza-
ton. lie said:
1T is insisted, it is claimed, that the
fall in the price of silver is attributable
to the legislation in Germany, the United
States, France and various other coun-
most illogicaliy it is also insisted that not.
withstanding the reduced price of that
metal is the result of the unfriendlN ac-
tion of a great many governments acting
in concert and with settled purpose the
United states alone can restore the value
of silver. OF course, il it required the ac-
OF n twee or he pae " THer to
present state, IL would seem quite clear
that no one of them alone could restore
it. as, if the depreciation in the value of
silver as compared TO gold has been caused
solely by the adverse legislation complained
of. 1t follows that If tnat legislation had
compared TO gold, would now be the same
it in 1872 before that legislation
occurred What then then Would YOU'D have been the
silver would have been in circulation in
the United States at this time or any other
since s1S72 because at that time the bullion
contained in the silver dollar was worth
3 per cent. more than the bullion contained
in the gold dollar and the two could not
circulate together. The same law which
drove silver out of circulation, under the acts
of 1884 and 1873. would have kept it out
and instead of having in circulation among
the people about 1898, ,0O0,c00 legal-tender
silver as we have now we would have had
none.
THE fall in the price of silver was not
due to the Hesitation complained OF, but but
average annual production of silver in the
world during the. five years next preceding
1863 was about $66, COO; while in 1898 it
vas over 500 600. an increase of PIG
per cent. much greater than the increase
in business or population OF the world.
Notwithstanding the fall in silver, silver
mining continues to be most profitable
industry. While the farmers and other pro-
ducers are struggling TO live comfortably
and meet their obligations. owners of silver
mines have accumulated enormous fortunes.
1T is not necessary to discuss what
might be the effect of the permanent or
temporary establishment of an international
ratio by agreement between the great COM
mercial countries of the world, because the
free coinage people repudiate the sugges-
tion than any other nation should be con-
suited. and all that is necessary is for the
United States TO proceed Independently at
once. IL the fiat of a single government
is sufficient to impart value to coin, or
any other commodity, perhaps these gentle
men are right but the whole world has
been wrong for thousands of years. and
all the labor and all the taxation TO which
the people of the world has been subjected
in the past has been unnecessary and
justifable. That the fiat of the government
does not make money was illustrated by
the history of the trade dollar. That was
coined free of charge and delivered with
out expense to the owners of bullion, and
contained thirty-six more grains than was
contained in two half dollars or four quar-
ters. 1t was legal tender for all debts up
to s. just as half dollars and quarters were
The trade dollar, more valuable intrinsi-
cally, but without the credit behind it.
sank TO 80 cents, while the less valuable of
coins were maintained at full par. What
happened to the trade dollar would be
exactly what would happen to all our silver
dollars if free and unlimited coinage were
adopted"
Mr. Carlisle will leave here tomorrow
morning for Washington. After the speak
ing tonight the Secretary rendered a
reception at the Waterson Club