Rock Island Argus., 1895-05-08
MORTON ON SILVER.
Secretary Of Agriculture to q
Colorado Man.
MATTERS HISTORICAL AND LOGICAL

Elaborated Cpon from the Point of View
q Statesman who Doesn't Believe In
sstr.ddles"-Brief Story Of the SILVER
70 Have Taken Place in 1858, Net Twenty
Tsan Later-Logical Fallacy Asserted.
WASHINGTON, May s-Secretary Nor
ton has written o letter to James A.
Cherry, Of Denver, Colo, in reply to
letter from that gentleman ciriticising
some statements in the interview with
the secretary Of agriculture printed .
couple Of weeks ago, which caused 30
much comment. 1t is as follows:
From your letter Of April p. 1896, 1t
appears that you and l perfectly agree in
the fundamental point, namely. that de-
mand and supply incxorably regulate all
valuables Whatsoever, at all times, and
in all places. At what points do we be-
gin to separate from each other and
then go on: to conclusions SO utterly di-
verse? These points are only two-the
first historical and the second logical.
'l.-You as .ume certain propositions to
be true of silver which are not historically
true at all, but quite the reverse Of true.
You say, for instance, until 1873 the chief
use of silver was for coinage. 1t had
other uses, but the demand for it for
coinage purposes was steady and con-
p:ant.'
History of American Coinage.
ION this point you haze bocn monstrous-
ly misinformed. The first federal coins
Of silver were minred in I79:, and OF gold
in nj hu
Secretary Alexander Hamilton and fixed
by act of congress. was LIS 1t was hoped
thus to keep the two metals in equilibrio
in the coinage But they would not even
come into equiiibrio IN that ratio. still
less would they stay there. Only 3.l sill
yer dollar pieces were O pined at the Amer
lean mint in the entirc year Of 1905. be-
cause the silver was worth more out of
the coinage than in it, and worth more
for export than for domestic money.
What was the matter with those silver
dOllarsf Nothing, only they were too
valuable. May /, 1S16, there came an or
der from President Jeffer son to the direc.
tor of the mint at Philadelphia That all
the silver to be coined a5 the mint shall
be of small denominations. SO that tho
value Of the largest pieces shall not ex.
ceed half q dollar.
Why Jefferson stopped Coinage.
The reason given by the president for
this order was that considerable pur.
chases have been made of dollars coined
at the mint for the purpose of exporting
them, and it is probable that further pur-
chases and expectations will be made.
The coinage of silver dollars, thus author
itativeiy suspended at the American
mint, was not resumed There for thirty
years. In these few facts. which are Off
cial and unquestionabkc, behold the
beauties and advantages of double
standard;- of the unlimited coinage of
both metals In an enacted and constant
ratio with each other; of two yardsticks
of different lengths to measure cloth by
In the same market.
Movemsmt Under Change of Ratio.
by the law OF 1884 the ratio was SUBJ
stantially put at l.16. But this was GO
ing too Tar in the opposite direction. Gold
was not worth 10 in silver IN the markets
Of Europe. Consequently the interna.
tional current of the metals was now for
time reversed, silver passi 1g in prefer
ence abroad to liquidate the balances of
trade and gold coming in SIN all quantities
to the United States, where at was more
than per cent. dearer in silver than in
Europe. BY 1853 the immense disad-
vantagcs of n double and.ard' had be-
come so plain to all thinking people that
congress wisely determined to abandon
the utterly futile attempt to secure the
parity of the two metals, and to make
gold the legal tender for debts except for