The times. [volume] (Richmond, Va.) 1890-1903, 1895-03-28
rururL.rIoN OF SILVER TO PRICES

Fmporia. Va, March 4, 1879.
To the Editor of The Times;
Sir.-You invite reply to MIR. foord
paper in the New York Journal oil COM
merce copied In yours OF TINS uale.
FIRST. The, rates of interest nave not
kent pace with the downward price
of corS.aodities save in money centres
where none %s congested in consequence
of stagnation in all business. Large
amounts of money may be had In me
East and In New York at lower rates
than formerly, but the small operators OF
the West and South pay as much or more
than they did in the decade between 1910
and 30.
In the testimony Of Mr.. st. John, presi-
dent Of the Mercantile National Bank of
New York, before the Banking and cur
rency Committee of the House of Repre-
scntatives. the question was asked by
Mr. Johnson, of Indiana, can you eX-
plain the reasons for the scarcity OF
money in the agricultural sections and
why 1t is that it costs the people living
in those sections so much to get it?'
Answer: primarily, and underlying the
whole thing is the fact that the aggre-
gate sum of money In the United States
Is not sufficient. If there was a general
business revival in the United States we
would have painful stringent money
market within ninety days"
Second. The great banks of the world
are issuing a much smaller amount OF
notes than their gold reserve will bear.
because OF the general depression in all
trade and manufacturing The only men
who can borrow in large amounts do not
want II. and smaller dealers cannot give
the security required by the banks, as now
constituted.
Third. The price of all commodities mas
fallen, in consequence of the contraction
sa eT,f,, n
proposition TO discuss.
We thank Mr.. Foord for putting his
queSion In the shape he has, and will
proceed to answer why wheat has de-
clinx moro than pork"
SPyer having been reduced TO a com
modify, England buys it at 60 cents an
ounce, and stimulates the production in
India, where she buys wheat for 30 or 90
cents, according TO the value of silver as
"a commodity"
At the National Silver Convention at
Washington Mr. Moreton Frewen, one of
the best monetary authorities i'm the
world said: while many intelligent peo-
pie here are not always alarmed at the
imaginary dangers of free coinage, they
do not always recognize the immense inn
portarce to your farmers of higher rates
for silver. They do not recognize that
whenever the price of silver falls the
price of wheat. cotton and other produce
must fall also This is a question to
which; when In India, I gave very close
study, and / should like to make this
general statement. which / am convinced
the experience of the past and the future
will amply confirm. Let me put IL briefly
this way: The price OF wheat in this coun-
try is the price in London or Liverpool.
less the cost of carriage from here there.
ard the London price of wheat is, under
ordinary conditions, one ounce of silver
per bushel OF wheat. Your farmers will
always have 10 sell a bushel Of wheat
for an ounce Of silver less freight charges
in London: II this silver is worth 1.29
per ounce the London price OF American
wheat is a dollar and twenty-nine cents.
This is a statement that will bear close
examination, and 1t is the sum of the
Importance Of the silver question to your
nation.
Wheat has gone down. because England
comes here and takes 90 cents worth of
silver and measures IL against a bushel
OF wheat in India. We have lost each
year about 80 cents bushel on $4,000 900
bushels of wheat.
Rehabilitate silver, and IL win be worth
1 20 as before 1873 Germany began "hor
monetary reform" that she might cripple
FRANCE. and the evil has now come 10
plague the inventor" as IL always does
The unrest and dissatisfaction in her
rural districts; the falling prices there, as
here. the decline in her agriculture, and
tho falling OF OF the values OF her real
estate. are all tiaceable 70 the demone-
tization OF silver. CSee the report of the
Blmetallic Commission)
The question OF profit In working sill
Yer mines has nothing TO do with the one
at issue. We are looking 10 the producers
OF wheat and cotton and corn and tobacco
and hoping 10 save them from AN impend-
ing ruin.
IL Mr.. Foord had quoted two more lines
from Suess we could have given him
credit for the candor he grants to this
atls bimstallist. Immediately following