The Yale expositor. (Yale, St. Clair County, Mich.) 1894-current, 1895-05-17
prices in exchange for the foreign i'm

prices in exchange for the foreign i'm
pcrter's silver, and then the silver-pay-
ing customer complains of the rising
prices. This leads to the manufacture
of these articles in the silver-using
countries, where the manufacturer Is
satisfied to take silver at its old value,
and thus the market for the gold stand
ard producer is destroyed. That has
been the case in Mexico, India, China
and Japan, and doubtless more marked
in Japan than in any other country.
II looks now as If Japan might be-
come the great manufacturing country
of the orient IL not of the world. It's
population is quite as skillful as is that
of England. Japan has the advantages
of a better climate, Of cheaper labor,
of an abundance of cheap iron and coal;
her products can be sold in China and
India on a silver basis with profit, and
even in Europe on a gold basis at
figure less than any European country
can manufacture them. 1t may be said
that her manufacturers are not suffi-
| GENTLY perfected to compete with the
European manufactures. This may be
true in many articles, but not as to
most articles; and as to those not yet
perfected, the patience and skill OF the
Japanese will soon secure for their
manufactures the same excellence that
tured products to both European ana
Asiatic consumers.
1t must be borne in mind that labor
has not fallen in India, China, Japan
and other standard countries,
and that one ounce of silver bullion will
buy as much labor now as it ever did.
This is true of all the domestic supplies
and materials required for manufacture
| ing in silver countries. 1t is also true
of taxes and general charges that must
be met by all manufacturers alike. In
Europe, however, and in America, one
ounce Of silver bullion will buy only one
| half as much labor or supplies and will
discharge only one-half as much taxes
and general charges. Under these con-
| ditions it Is impossible for any Euro
pean or American manufacturer to
compete with manufacturers in the
countries l have named. II we persist
in giving the silver-using countries OF
the world the advantage which they
now possess by reason Of cheap silver
we will find that in few years the
manufacturing of the world will be in
the hands of the Asiatics, and they will
export to gold-standard countries their
products, and sell at prices quite i'm
possible for the gold-standard manu-
facturers to meet.
The advocates of the gold standard
tell us that the decline in prices is not
the result of the disuse of silver, but
| is due to other causes which they are
pleased to denominate as over-produc-
ton. They ignore the fact that the
fall in prices is only in the gold-stan-
| ard countries. Countries having the
| silver standard have not suffered fall
in prices, nor have they had rise in
| prices of articles of domestic produc-
ton. They have had the desirable
condition OF stable prices. The rise OF
imported articles has only stimulated
| their manufactures.
For twenty years and more the pro-
| Queer in this country has seen the price
of his product lessen with each year.
The owner of houses and lands outside
of the great cities has seen the same
steady decline in the selling price OF
his property. Wholesale prices have
especially fallen, while retail prices
have not fallen to the full extent that
the wholesale prices have. Thus the
| consumer has not had the full benefit
of cheap goods by the fall in prices
that has pinched and destroyed the
| producer. All the gold-standard coun-
| tries have had this fall in prices, while
in the silver countries, as l have stated,
prices have practically remained stable.
| Now what has caused this steady de-
cline in prices since 1873? 1t is folly
| to say that production has increased to
such an extent as to cause this great
fall. Nor can 1t be truthfully asserted
that production has been so cheapened
| by improved machinery and facilities
| for manufacturing that the products
can be sold at such greatly reduced
prices. The fact that producers are
| all complaining of the loss of profit
is proof positive that in cheapening the
cost of production prices can be
lowered. The fact of steady increase
in population ought at least to have
maintained the prices of 1873.
Supply and demand control prices.
| In fact, it is demand alone that con-
trolls prices. The supply will in time
meet the demand. The demand de-
| ponds upon a desire coupled with
ability to possess. In our present con-
dition our supplies fall off and still
prices.fall because the demand has fall
| len off, and demand falls off because
the would-be purchaser has not the
| financial ability to buy.
ii. NJ. TELLER.