The Madisonian. (Virginia City, Mont.) 1873-1915, 1895-04-27

| tinued his country will shut out all
American grain from the European mar
kets within ten years, and Senior RO-
nero, Mexican minister, in a written
reply to my questions, says: while it
is true that the Mexican coin when con-
verified into foreign exchange has no 9TH
! er value than that of the silver bullion
| contained in it, it is also a fact that the
| difference has greatly encouraged and
increased the export Of other products.
and has also greatly favored manufac-
turing, in order to avoid the buying Of
exchange to pay for imports from coun-
tries having a gold standard. The pur.
chasing power of the Mexican silver
dollar has not been changed in Mexico.
so there is more stability in prices and
Our economic conditions are now better
than those prevailing in gold countries.
We have fewer failures, and the increase
of traffic has prevented our railroads go.
ing into the hands of receivers" Will
some one kindly mention a gold basis
nation where the general condition is
improving, exports increasing and no
railroads going into the hands of re-
ceivers?
Is it possible to dissociate silver from
it's Evolutionary connection with gold,
to divest the mind Of misleading i'm.
pressions due to the long habit of quot
ing silver in terms Of gold, and get a
fair view Of the metal on it's merits? On
this point l first present a bit of history.
In 1871 silver was as now a commod-
ity, and gold was the same, for both
were demonetized by the %greenback.
Near the close of that year a ten ounce
silver bar Ono fiat, no buying it up by
government credit sold in New York
city for $13. 10 in gold. Gold was at q
lower premium than some years after,
so the bar of silver was worth almost
exactly SIS in g%reenbacks. This would
then buy in New York city 9ls bushels
of wheat, 26 of oats, Is of rye or IS Of
corn, and likewise 50 pounds Of cotton
or 80 of wool or 361 of bar iron. Today
that ten ounce bar Of silver would sell,
I believe, for Sc. 80, which would buy
in New York city II bushels of wheat,
or 112 pounds of cotton, nearly twice as
much bar iron as in 1871, somewhat
less of rye, oats and pork. and some
what more Of other things. On the gen
eral average of 100 commodities the
purchasing power Of uncoined silver has
declined, as near as | can estimate it,
10 per cent. Now, it is clear to my mind
that that 10 per cent is exactly equal to
the cheapening caused by increased in
vention in mining and reduction and by
the general characterization. 1t would
take columns of figures to prove it, but
I also believe it to be true that the
smaller cost of producing commodities.
due to inventions since 1871, would
with a stable money have been balanced,
or nearly SO, by increased consumption,
and that as measured by an ideally per-
feet or absolutely invariable standard
commodities have really %cheapened but
the merest trife since 1871. All the rest
which appears in the nominal quota
tions is due to the 40 per cent increase
in the purchasing power of gold.
Blinded by Self Interest.
The cold hard truth is that on this
particular point the g~oldbugs are atf1ict-
ed with a dolusion like that which
possesses a child or a green landsman
~voyaging down a very crooked river.
Now the SUI is on his right and now
on his left, at Il time in the north and
again in the southeast. while woods and
hills move round him in a regular dew
lis dance, but to his eye the boat goes
straight on. The landsman knows bet
ter, and the child can be taught better,
and both will admit the truth because
they gain nothing by self deception, but
the goldbug's interest blinds him, and
though convinced by unanswerable fig
ures he would still deny the truth.
Our creditors have assumed, as if it
were a primary truth, that while all
other articles on earth are perpetually
changing in value gold alone is gifted
with the great attribute of God-immu'
liability. They have asserted this so loud
and long that they have come to believe
it themselves, and this radical error has
dehauched all their political thinking.
In vain do we point out to them that
bar of uncoined silver will exchange fol-
nearly as much as 80 years ago, while
uncoined gold will exchange for 40 pei
cent more. In vain do we prove the
steady decline of all commodities il
equal measure with silver, and that re
CARELESS of new inventions or relative
production.
Silver the Most Constant Value.
I would not rashly rush in where
angels fear to tread and contradict sci
entitic men who have made an exhaust
, i've study Of the subject, but certainly
all the evidence III my possession Soe