The Norfolk Virginian. [volume] (Norfolk, Va.) 186?-189?, 1895-09-15
GlARING FAltAClES
Crude and Unsound Views From u Sound
Money State.

Crude and Unsound Views From u Sound
Money State.
Senator William Z. Chandler of New
Hampshire declares himself as stead
tasty opposed to the gold standard and
in favor of free coinage under an inter
national agreement AT ratio of 1915
or 10 to /. In letter in which he de-
finos his position no says, THAT man
knows nothing who will deny that If
both ceased to be money metals an ounce
of silver would DO worth us much as
ono-si1teenth Of an ounce Of gold.
Senator Chandler differs fr@n the other
silvoritos only in believing that tho
United States cannot alone mako the
value OF l6 ounces of silver worth one
of gold, but in other respects he holds
all the false doctrines of the cheap dol.
lar school. His views az to the origin Of
tho value of gold and silver arc exactly
those OF the fiat money advocates when
he says, 1T is the use Of the two gold
and sliver) As money metals that gives
each all of its value worth considering
That such glaring fallacies should he
beloved by II senator FROM n state which
has always favored sound money is all
indication OF the popular confusion rs to
the resi- nature of value. Senator Chan
dlor would Indignantly deny that he
wished to aid in the reputation of
debts or to establish the silver standard
instead of gold. But his arguments are
exactly the same ms those ON which the
Populists base their schemes for cheat
ing creditors and debasing the standard
of value
The bold assertion that if both met
ais ceased to be used AS money IL onucgs
OF silver would be worth one of gCkl is
purely guesswork on the part of Senator
Chandinr, and has no support intpust
history oripresent conditions. II what
he s;lye were true there must have been
established by nature fixed ratio he.
tween silver and gold Such supposi-
tiou is nonsense, as nature has no moro
to do with ratios than with the number
OF buttons on Il coat. Since gold is now
worth 80 times as much rs silver, il
would secm that to deprive them Of
their use AZ money would affoot both
alike. Senator Chgndler thinks that tho
result would be to decrease the value of
gold twice as much as of silver, but Of
fers no proof that such would DO the
case
The theory that it is the use of gold
and silver as money which gives them
nearly all their value is another fiat
money failacy, the source of tho green
back delusion. The facts are just the re-
verse of what Senator Chandler SAYS.
Instead of being valuable because they
are used for money, gold and silver are
used for money because they arc vaiua-
bic as metals. Before either was used
as measure Of value gold and silver
had u value Of their own and would
continue to be valuable if their use ms
money entirely ceased. OF this there
can be no question, since in countries
which have no metallic money these
metals have II commercial value, which
IN tho case of gold is equal to its coin
age valuc If Senator Chandler were
right gold and silver would he practi-
cally worthless i'll countries which did
not coin those metals into money.
There arc other equally grave blum
ders in Senator Chandeliers profession of
financial faith, but the above will be
sufficient TO show that he is III unsafe
leader for Americans who want IL sound
currency aud an honest dollar.