Vermont phÅ“nix. [volume] (Brattleboro, Vt.) 1834-1955, 1896-08-21
THE GREAT SPEECH
OF THE CAMPAIGN.
Senator John Sherman on the
Silver Question.

A Short History OF silver Coinage Leg
islation In this COuntry---"the Crime
OF 1S73---the Reputation and Nat
iOnRl DlshOnOr which Free Coinage
Would Bring.
The campaign in Ohio was formally
opened last Saturday by great meeting at
Columbus with Senator Sherman and ex-
Gov. Foraker of that state and Gen. Stew
art L. Woodbury. of New York as the speak
ers. Senator Sherman's speech was on the
silver question. 1t WAS an effort for which
he had made careful preparation, and it is
safe to say that no clearer or ADLER state
ment of facts upon this issue will be made.
The speech comes, certainly, from the high
est authority in the country on financial
questions. The senator said:
Both the silver and tariff are vital uues-
tions of domestic policy of equal import
ance, but propose on this occasion to con-
fine my remarks mainly to what is known
as free coinage of silver at the ratio of 10
parts of silver to l of gold. This issue is
thrust upon us by the Democratic party or
rather by the populistic branch of the Dem
ocratic party. Gold and silver coins are
recognized by all commercial nations of the
world as the best standards of value, as the
measure of every article of desire, of every
thing that is bought or sold.
These two metals not only measure all
other things but they measure each other.
Their relative value constantly changes.
Twenty-three years ago 10 ounces of silver
were worth more than one ounce of gold.
Now 81 ounces of silver can be bought by
one ounce of gold. The fuctuaton Of value
cannot be prevented by law. 1t is beyond
the reach of legislation. 1t is caused by
the changing demands for and the increas-
ing supply of these metals from the mines.
Both are necessary as money, silver to
supply the daily wants of life and gold to
measure the larger transactions of bust
ness, especially in exchanges with foreign
nations. How to maintain the parity Of
the two metals at fixed ratio has been, is,
and always will be, difficult problem, not
only in the United States, but in the civ
ilized world.
History of Coinage Liquidation.
In 1902 silver and gold were made the
common standards of the United States at
the ratio of Is to l, but this was because
the actual market value of Is ounces of
silver was equal to the actual market value
of one ounce of gold. The greatest care
was taken to ascertain this ratio by Thomas
Jefferson, then secretary of state, and AL
exander Hamilton, then secretary of the
treasury. When the new American coins
were issued it was found that the abraded
and worn coins of other countries filled the
channels of circulation and the new and
bright dollars of the United States were ex-
ported. This led to the discontinuance, in
1906, by President jefferson of the coinage
of the silver dollar, and after that date
none were coined for more than 80 years.
This order of Jefferson, suppose, would
be called by Populistic friends 1.-THE crime
OF 1906" In the meantime France and
other countries adopted the ratio of 155
ounces of silver as the equivalent of one
ounce of gold. To avoid these embarrass-
ing changes, England, in 1916, adopted gold
as the single standard in that country and
silver as subsidiary coin.
In 1884, during the administration of
President Jackson and under the leadership
of Daniel Webster and Thomas II. Benton,
Congress adopted the ratio of 10 of silver
to l of gold by reducing the number of
grains in the gold coin. AS silver was thus
slightly undervalued, it was not largely
coined.
Silver could be coined in France at the
ratio of 154 to l, and the owner Of silver
bullion could send it to France and have it
converted into coin at that ratio, thus re-
ceiving about per cent more for his bull
ion than If coined in America. Gold became
the only American coin in circulation, and
the avowed purpose of the passage of the
law of 1884 was to make gold the standard
This law, heartily approved by Andrew
Jackson, would now be called ''the crime
of 1884,
In 1853, when Pierce was president and
when all branches of the government were
under Democratic control, Congress enacted
law reducing the quantity of silver in the
fractional coins more than per cent, abol-
ished the law for their free coinage and
made them a legal tender for SIS only,
leaving the gold still practically the only
full legal tender United States coin. At
this time the silver dollar had disappeared
from the current coins of the United States
and was practically and purposely demone-
tized. This, / suppose, would now be
called ''the crime of 1853" Silver was
practically demonetized by this act and the
act of 1884. 1t is certain that from 1901,
when Mr.. Jefferson became president, to
the close of Buchanan's administration in
1861, the Democratic party was a gold
party, opposed to silver and all forms of
paper money. Yet now the Democratic
party, upon the demand of the Populist
party, seeks to demonetze gold, and to es-
tablish silver as the sole standard of value.
When the Republican party came into
power in 1851 by the election of Mr.. Lin
coin, it had to face formidable rebellion.
Gold and silver were alike banished from
circulation, and irredeemable paper money
of all denominations, from 10 cents to
$1,000, was substituted in place of coin.
Then when the war was over the Repub-
lican party sought to restore specie pay
ments as soon as practicable. In March,
1869, it pledged the faith of the nation to
payment in coin or its equivalent of all
bonds of the United States and TO redeem
the United States notes at the earliest prac-
ticabe moment in coin.
The "CrIme of 1874"
In order to carry out this pledge it be-
came necessary TO revise the various coin |
age laws of the United States This was
promptly and very carefully done by bill |
framed in the treasury department while |
Mr.. Boutwell, was secretary. The bill was |
sent to Congress April 25 1870, by Secre-
tary Boutwell,. This bill omitted from the |
coins of the United States the silver dollar, |
but provided for the coinage of the fraction
al parts of the dollar.
This bill was pending in Congress for |
three years, and special attention was called |
TO the omission of the 412t grains silver
dollar, which was never in the bill at any
stage, and the reason for this omission
given. 1t was finally determined, at the
urUant raouaef Of rnaunhars from, tho Dada |