The herald., 1895-12-01
"hONEST nONEY AND SOUND CURRENCY

Under the head of Honest Money and
Sound Currency the Santa Ana Standard,
which Is, by the way, most creditab abe
exponent Of Democracy, though a bit
shy on sound money, asks The II erald q
few questions. Lack OF space since OBJ
serving the queries has prevented us be-
slowing on them before a measure of the
consideration they deserve. From the
number the following are selected as fair
| ly representative of the financial in
| quiries uppermost in the editorial mind
| Of the Standard.
| After remarking that the silver dollar
| today contains the same amount of metal
that it did twenty years ago, although sill
yer is cheaper in the market, the Stand
ard SAYS:
First-The cheap dollar is still good for
all debts, public and private, and will do
the business of the country now as it d ID
then. If it does why denounce it?
Second-If species of money will pay
taxes and encourage the industries and
prosperity OF the country, why not re-
tain it?
Third--If it is good enough for the la
boring man and the producer, why is it
ot good enough for the capitalist and
bondholder?
our money-this nation or England?
3 Fifth-If the legal tender silver dollar
of today is good enough TO do the bulk
of the business of the people. why should
ii be abolished or demonetlzed simply be-
cause England don't want it?
SiXth-Is it not fact that when Eu-
rope refused to take our green backs at all
and the gold gam blers said they were not
worth 80 cents on the dollar, that this
country was more prosperous than ever
before in history. Why was it so?
Seventn-Was it not because the people
had plenty of money?
We will consider these propos itons in
the order of their numbering and neces-
sarily with the Drevity demanded by the
exigencies of newspaper space.
The silver dollar, designated by the
Standard as the cheap dollar" is still
good for all debts, public and private,
and will do the business OF the country
now, as heretofore, because it is still pos
sessed of the legal-tender power and
therefore must be accepted in the lis
charge of debts, except when payment
in other money has been specifically CON
tractcd for. And it is acceptable even in
the discharge of debts covered by a spe-
cific contract for gold, because it is the
DOIlby VI tllo tllNch 2bhGts
as declared by statute, to maintain all
its dollars at parity. So that although
the bullion value of the silver dollar is
but about 80 cents, it has the liquidating
efficacy of 100 cents. 1t will have this
equality in the markets with the gold
dollar lust so long as the financial world
is satisfied that the L nited States govern
ment is willing and able to maintain 1T
on parity with the gold dollar. 1t cir
culates practically, not as silver dollar,
but rs a gold note for one dollar.
With the free and unlimited coinage or
silver at the ratio of 16 ounces OF silver
to 1 OF gold, when the commercial ratio
Is 81 to i, the silver dollar would imme-
diatelv lose one-half its present purcnas-
ing power; its value in the markets
would be the value of the bullion IN ii,
for it is apparent that no matter what the
wish or policy OF the government might
be. it could not long MAINTAIN gold and
silver dollars at a parity, because its abil-
ity to give l00-cent gold dollars for 5J-
cent silver dollars could endure but a
few days.
The present silver dollar is not de-
noInced by the opponents OF free com
age. 1t is coinage of more of the same
KIND that is denounced. And it is the
people who oppose the coinage of more
of these dollars, and especially unlim-
ited coinage, that a:e the true friends
of the present silver dollar, for by so do
ing they maintain its value with that Of
the gold dollar, while the people who
olamor for free coinage would really de-
,,raba IL in no mo- Of AF
Second-Money will pay taxes and be a
useful instumentality in trade and in.
dustry i'll the degree that it is really
worth what 1T purports to pe. Money
does not encourage the industries of a