Washington standard. [volume] (Olympia, Wash. Territory) 1860-1921, 1895-12-06
WHAT Is THE NATTER:
Ex CONGRESSMAN BARTlNE
MAKES A LUCID PLEA.
The Decentralization of silver in
1873 Has Reduced values Just
lots Will lBc Through Bimct-

tnat the industrial ana business sltua
ton is unnatural and unsatisfactory
must be a careless observer indeed.
Everybody knows that in 1898 thi
country was struck by financial cy
clone that had never been equaled il
its history. Money vanished from
sight, and credit utterly collapsed
Factories closed, mines suspended
millions oi honest workmen wer,
turned idle into the streets. Busines
was completely paralyzed, and every
thing was at 4 standstill except the
production of the bare necessities o
life. Even these were sold at prices
ruinous to the producer. and the hard
est kind OF hard times held the nation
and its people in q grasp of iron
With its severity only slightly abated
this condition has lasted until the
present time.
| What was the cause?
The Republican protectionist gen
orally claimed that it was the advent
OF the Democratic party to power upon
a free trade platform. Some OF them
intimated that the "Sherman law
may have been a very slight factor in
destroying public confidence, but al
insisted that the main cause was the
threat OF free trade.
Mr.. Cleveland and the gold wing ol
the Democratic party took the posi-
ton broadly that while high protection
was in a degree responsible, the chic
cause was that "infamous measure
known as the " Sherman law"
The United States government was
adding about $4,0OO,0OO month tc
the currency in treasury notes baset
upon silver bullion, and this addition
to the money supply was actually &c
it was said) producing money fam
inc. These notes were of full pal
value, sometimes even commanding q
small premium, and yet it was seri
iously urged that the people had mt
confidence in them, which lack OF con
fdence had plunged us into financia
convulsions.
We were told in the most dOgmati'
way that the repeal OF that law woul'
Immediately restore confidence, stol
the exports of gold, and send flood
tide of prosperity rolling over the land
The whole power of the administra
ton was brought to bear to force tn
repeal. The Democratic party brok
in two under the pressure. The Re
publicans voted strongly with the COL
wing of the Democracy, and the las
, vestige OF legislation sustaining an
upholding silver as money metal wa
swept from the statutes of the Unite
States.
Two years have passed since ther
! and still the food-tide OF prOsperit
lags on its way. 1t is not pretende
:, by anybody at this time that the r.
, peal of the Sherman law" restore
prosperity. But it is loudly proclaime
that good times are now coming b
leaps and bounds. This. however,
merely a prediction, and it may be la
tenderly away with many others con
ing from the same source, for futul
consideration.
The question recurs, then, VIII;
was the cause OF the great panic
1898?
The trouble with the reasoning
the gold sophists was that they toe
too narrow view Of the situatio
The tinanciers and business men
New York, oppressed by the diflicu
ties which surrounded them, locke
only at the immediate present, forge
ting that during the previous four
; five years almost every civilized cou
try on earth had passed through Il
Il same ordeal. For years tho storms
- financial disaster had been sweepil
over Europe, shaking the Bank
n England to its foundations, and carr
y ing desolation even into far-off Al
tralia. Finally it burst in all its fu
upon us. The shock was heavier he
q. than in any other country, because
the enormous magnitude OF our pl
duclive enterprises and the extent
which they are conducted upon t
basis of credit. The United States
in fact the greatest OF all debtor l
tions.
\ Our gold went abroad, not becar
we were purchasing silver, but becau
other nations, driven to extremi
had to have the gold.
:, 1t is commonly assumed by the I
ponents OF silver that everything v
nd all right in monetary way ur
about the beginning of 1898. L
shows very superficial understand
'H OF the real situation. The truth
and it is recognized by every lead
economist on both sides OF the Atl
tic and upon both sides of the sill
question, that the entire period fr
9. 1873 down to 1892, with only temp