St. Paul daily globe., 1896-04-25
THE FREE SILVER MIRACLE

"A communication, appearing in an
other column, over the signature
Cato" presents some Of the argu-
ments relied upon by the believers in
free silver, freed from the irrelevant
matter that so often accompanies
them. AS it represents, no doubt. the
views Of many honest and thoughtful
people, it deserves fair and courteous
treatment. And yet it is really an
sWered completely by an article which
appeared in these columns a. short
time ago, explaining the fact that
whether that which the free silver
advocates ask were right or wrong.
1t is impracticable because it amounts
to request for the performance of a,
miracle. AS we do not believe that
the power to do this resides in anv
legislative body, we must hold that
the free silver movement, even were
1t otherwise harmless, would be fu-
tile.
Our correspondent considers two
points, OF which the first is included
In the question, "How did the COM
mercial ration between gold and sill
yer become changed?" To this he re-
plies that the cause is in governmental
action. This is unworthy of any stu.
dent Of recent economic events and
tendencies. That the cost oP nro-
ducing silver has greatly declined
WIN the discovery Of rich deposits
and easily worked mines, no one can
deny. The production of increased
quantities Of commodity, at a large
~ decreased cost, has an effect ,1non
the ratio between it and any other
commodity not similarly affected. Nor
can 1t be admitted for one moment
that the tendency of wages has been
downward in the last twentv-f1ve-
not ten-years, the period covered by
the retirement of silver from free
coinage in the worlds m1nts, It has
peen distinctly upward; while, in the
same time, there are other comnoodi-
ties whose prices have suffered little
IL any from the downward trend Wis
lole In many quarters, as the resuIt
or greatly improved and consequently
less costly methods Of production.
But the gist Of the whole matter lies
IN the answer to the second question.
wherein our correspondent is guilty
OF Woeful lapse from correct logic
suppose that we were to admit for
the sake of argument, that govern
mental action had lowered the price
or silver. Then this gentleman saws.
What governmental action has done
governmental action can undo. Com
eress enacted the demonetization Of
silver. Let congress repeal the act Of
demonet1zatton." The error here ,s
twofold. The first statement is utterly
fallacious. What governmental action
mas done 1t cannot always undo. The
courts may and do sentence innocent
men, from time to time, to death.
and they are duly executed. No court
or legislature can restore them to life
On the contrary, most of the conse-
quences of governmental action are
1rreVocable, owing to changes in cir
cumstances and the fmpossibility of
restoring old conditions.
There is another and more serious
slip. When he speaks Of "demonetiza-
tion," so-called, our correspondent uses
the term governmental action" there
by including rightly the action of all
the great nations of the world. When
he urges reconciliation" so-called. he
says congress" can accomplish it. This
is an error In dynamics. Whatever
was the depressing effect produced I'D.
on the price of silver, measured In
gold, by governmental action, it was
the result of action not by the United
States alone, but by Germany and
France and all the rest of Europe
Grant, If you please, that this caused
the change Of ratio; then, were it pos
sible to change it back again, an equal
fierce must be set in motion. What 1t
required all Of these nations to do can
not be reversed by one of them acting
alone.
Suppose there are five men, each able
to lift 500 pounds, who agree that an
object weighing $500 pounds should be
moved from one point to another. Their
united strength moves it. After a while
one of them concludes that it would
suit him better to have it moved back
again. The other four dissent They
are either Indifferent or hostile. What,
now, can be the result of an attempt
on the part Of the one mannto restore
original conditions, except strained
muscles and a broken back? The case
is perfectly analogous to the financial