Staunton spectator. [volume] (Staunton, Va.) 1849-1896, 1895-07-17
EVILS OF FREE COINAGE.
MIR. Bynum's Strong Argument in Favor of
Sound Money.


SPENCER, IND, July Sex Con
gresham William D. Bynum, spoke
here tonight to large audience on
the money question. After reviewing
the legislation of Congress on the sill
yer question, he said
I'm view of all the evidence we have
before US, does any one believe that to
open our minis would have any other
effect save to debase the value of our
silver coin and force us to a silver
basis? What would be the result of
such policy? Our silver dollar, which
is now worth 100 cents all over the
world, would instantly drop to its bull
lion value, now about so cents, and
our 5000, 100000 of gold would instantly
disappear from circulation. No argu-
ment is necessary to prove that gold
and silver would not circulate side by
side when one was worth outside of
our limits twice as much as the other.
with the disappearance OF our sup
ply of gold there would be contrac-
ton of more than one third in our cir
culation. 1t would take fifty years of
steady work by our mints to replace
this volume of circulation by coming
silver. The very opposite of what the
advocates of free coinage are contend
|
| traction in our circulation would be SO
sudden, so severe as to bring upon us
panic more sweeping than that of
1875.
| 1T is apparent that the free coin
age of silver means change of the
standards with us; yes, it means more!
1t means an abandonment of the
standard and the adoption of a fuctu-
ating base by which to measure domes-
tic commerce. Who can contemplate
the Generalization, tie widespread
ruin that would result from such a
policy? Let it once be definitely set
tied that such is to be the policy of
| this government, and every creditor
will demand payment of the obliga-
tions due him. Every depositor in
| bank will hasten to check out his bal
ance, and every bank will be driven to
resort to the most radical measures to
collect it's loans. The consequence
would be such sacrifice of securities,
such shrinkage of values and such a
distraction of credit as would entail
universal distress and suffering. The
benefits which debtors see skirting the
edges along the pathway of this storm
and dashed to pieces amidst the uni
versal wreck and ruin that would mark
its course.
1T is said that the bankers are OPP
posed to free coinage, and therefore
every other class ought to favor it.
There is no class in the country that
would be so much benefited-that
would reap such a rich harvest-as the
bankers, if we could pass from a gold
to silver standard with as little dis
turbance as the friends of free coinage
| would have US believe. That one dol
lar of gold would instantly become
worth two in silver no one can serious
| ly doubt. AS an illustration of the
benefits bankers would receive by a
transition from the gold to the silver
| standard, accompanied by no other
evils than the mere changing of the
money, take the Indiana National
Bank of Indianapolis; it has within it's
vaults $1,000,000 in gold. The moment
free coinage should be adopted the
owners of that bank could convert
their $1,000, 900 in gold into $4,000, 600
of silver of equal debtpaying power
pay off 81, 100000 of deposits with sill
yer and have the other $1,000, 900 left
as clear profit. Why, then, some one
may ask, are they not in favor of free
coinage? 1t is because they know that
| Gu0 ulOluouU IL Is dSCtTldll0u tuaU we
are likely to go to silver basis there
would be such wild rush by deposi
tors to secure their money that they
will be crushed before they can escape
from beneath the wheels of this Jug
gernaut. They see, in the excitement
to escape before the pillars of credit
are all pulled down, that no one can
hope to get out without money.
| t'WhO WOul0 be the GREATEST sDffar-
ers during the crisis that would fol-
low? That class which could least af-
ford to stand 1.-THE wage-workers
and those earning fixed salaries. In
the reimbursement of prices which
would follow they would be the last
to receive an advance and then moth
ing in comparison with the deprecia-
ton in the purchasing power of their
earnings. The standard of wages,
with slight exceptions, has been CON
stantly rising, and with returning con-
| fidence is on the increase. There never
was time in the history of the world
when dollar would command more of
the luxuries of life. and why should
they join in an effort to pull down the
roof that shelters them?
| why stake the priceless boon of
our financial standing-the stability
of our monetary system-and the pros
| perity of the hation in the pursuit of
the will-o'-thewisp "cheap money"
| which has led every people on the face
of the earth that pursued it into the
hogs of financial distress and ruin?n