Courier Democrat. (Langdon, N.D.) 1891-1920, 1895-05-23
CURRENCY DEBATE
LEADERS OF OPPOSING VIEWS
MEET ON THE SAME PLATFORM.
j. Lawrence LauEh1in, Professor Of
Political Economy In tho Chicago
Vniversity, and William
Harvey, the Author Of
'sCOin.0
1RnE COINAGE AT SIXTEEN TO ONE

And That without International
Agreement, ls the Proposition
That Is Discussed.
Chicago, May ia great financial
debate occurred last night between ].
Lawrence Laughlin, professor of po-.
litical economy in the Chicago uni
versity, and William M. Harvey, au-
thor of Coins Financial School"
Tho question was, in effect, "Tliat the
United States should open its mints to
the free coinage Of silver at the ratio
Of 16 to without regard to the action
of any other nation" Mr.. Harvey
spoke for an hour and q half in the
affirmative, Mr.. Laughlin followed for
IN hour and a half and Mr.. Harvey
closed with a half-hour rejoindcr.
Mr.. Harvey, in opening for the AZ
frmative, said: '"rhe first reason
why I am in favor Of independent ac-
Hon by this country is that we should
not be subjected to the influences Of
the governments Of Europe. When
our forefathers declared their political
independence from Europe it was to
free themselves from the class legisla-
ton Of those governments, justly
termed plutocracies. Our friends the
monometallists, mostly say, we admit
bimetallism,' but claim that we must
have the same money as other pow
ers. The biggest business we ever
carried OH with the balance of the
world was when they had gold and
silver as money and we had neither.
We do not settle our balances with
Europe in coin except on its CONNER
cial value and weight. Our coinage
has nothing to do with it. Primarily
balances Of trade are settled with
trade. The merchants can settle their
balances in gold for so much 4 penny
weight, as measured in the money Of
their country or our country. or in so
much silver or in so much copper or
in so much Of any other merchandise
that may be agreed upon. There is no
such thing as an international money.
The mints are open to the free coinage
of gold. and this was true Of silver
also until 1873. Gold has an unlimited
demand, but silver has limited de-
mand. Silver is now q commodity to
be measured in gold. 1t is an object
to be gored by bulls and kicked by
bears. 1t has been deprived of that
unlimited demand it enjoyed prior to
1873. We would restore it to that I'M
limited demand. Restoring it to the
unlimited demand would cause the
value of silver to rise as compared
with gold. This is what we want.
Silver is the peoples money. 1t was
so regarded by our forefathers. Gold
was and is the money of the rich. We
would make both legal tender in the
payment of all debts, and the elastici-
ty of our currency would be main
tanned.
He said that Rothschilds were our
financial managers. We are in the
hands of the pawnbrokers of Europe.
This is what gold standard means, a
money that is easily cornered. With
free silver In competition with gold
there could be no cornering Of money
metal.
LaugIllin Replies.
Prof. Laughlin, replying for the neg
alive, said:
"There is no need of an amount or
money equal to all goods in existence.
The measure of value is that in which
prices are stated and debts are paid,
provided the measure of value is also
made legal tender in any country.
The absurdity of supposing that much
money is required in order to have
something with which to measure
goods is as absurd as to suppose that
a community must have hearses in
number equal to the population. For
the exchange Of goods, therefore,
money is not needed in proportion to
the transactions. This function is
that of the medium of exchange.
From 80 to IS per cent Of the trans
actions are performed by this ma
chinery without the use Of money.
Prices since 1873 have not fallen be-
cause of the lack Of money. Silver has
fallen about so per cent as compared
with a very modest fall in the price
Of commodities. Silver does not have
the same purchasing price in 1895 as
1t had in 1873, hence free coinage can
not be urged as just measure OF
paying debts. More so-called redemp-
ton money by the amount of $1,O92,-
NOO, 900 is in existence to-day as COM
pared with 1873, and yet prices have
fallen about one-half in value, al
though we have purchased about
$6OO,OOO,000 worth. 1t is perfectly evil
dent that there is no use in the United
States acting alone to bolster up the
price of silver when we have failed
even in concert with the Latin union.
Free coinage Of silver at 16 to means
the single silver standard or silver
recommendation. Free coinage of sill
yer would not increase the quantity
OF money. Since gold must inevitably
be driven out the free coinage Of sill
yer would result in dimunition Of
the quantity Of money. To adopt free
coinage at 16 to 1 when the market
price is about "a to would mean the
instant retirement from circulation Of
nearly 5000 100000 of gold circulation.
"As free coinage of silver would in
evitably result in rise Of prices, SO it
would Immediately result in fall Of
wages. Are we willing to sacrifice the
interests Of the laboring class to the
demands of certain owners of silver
mines who are trying to l,ocdwink the
people with the cry Of more money?
1t is usually supposed that free coin