Wood County reporter. [volume] (Grand Rapids [i.e. Wisconsin Rapids], Wis.) 1857-1923, 1896-10-15
SILVER IN THE UNITED STATES
Reviewed by David a. Wells-How He
Traces Its Origin and Growth.

1t is desirable to go back and trace
out the origin of the present remark
able excitement in the United States
about silver. The che man more re-
sponslble for it than any other is John
P. Jones, present United States senator
from Nevada; by birth one of that race
(Britisher9 to which popular opinion
in the United States is wont to a.trib-
ute everything hostile to this country;
a man, however, OF unquestionably
great ability. At his first entrance
into public life in 1873, Mr.. Jones,
with his present colleague, Senatol
Stewart, was an uncompromisins
friend of the gold standard, and de-
claimed in the senate ir favor of gold,
as the custodian Of commerce. the
most potent agent OF commerce,
common denominator of values."
He also claimed, and was probably en-
titled to the credit of having been
mainly influential in inducing Presi-
dent Grant to veto in 1874 a bill for the
imitation of greenbacks: and spoke of
LIZ AL1SbdS IhC 1SCoSSItS vi 50
to the president "as plain as a goats
tail going up hill In debate in con-
gress in 1874 Senator Stewart said
l do not care how much you discuss
1t, or how many resolutions you pass,
they do not make any difference; you
must come to the same conclusion that
all other people have-that gold is rec
ognized as the universal standard of
value. 1t is the measure that must be
used. 1t is the measure by which
wealth must be tested; and whether it
be pennies or millions matters not, it
is the measure that must test all
wealth.
About the same time these gentle
men, in connection with the other Pa
clfic coast senators, passed an amend
ment in the senate making gold coin
age free. Mr.. Jones was also at the
time an untra free-trader, and more
than once bantered the writer with not
being sufficiently progressive in this
direction. Subsequently Mr.. Jones ex-
perienced a change of heart, and be-
came-as did Senator Stewart-an OPP
ponent Of the gold standard and an
ultra-prOtectionist How was this re-
markable change of sentiment to be
accounted for? Men of brains and edu-
cation, who have adopted creeds in re-
ligiOn or opinions in economic matters
on principle, do not all at once COM
pletely reverse their opinions and
| adopt those Numerically opposite
without some powerful motives.
The explanation in the case of Mr.
Jones and his business associates does
not seem to be attended with any diff
| ticulty. They had become largely in
terested in the mineral resources OF
their state, especially silver mining
and were reported to have accumulated
great wealth from their investments
AS a shrewd business man, he natur-
ally looked out sharply for his bust
ness interests. He early saw what
others failed so promptly to see, that
the production of silver in the world
and especially in the United States
| through improved methods Of mining
refining and transportation of ores
was rapidly increasing. He doubtless
foresaw what the world now knows
that the worlds product of silver
which was 61,O00,O0O ounces in 1873
would become 165, 100000 ounces il
1895; that it's market value of $104 pei
ounce in 1873 reckoned in golD would
dwindle to so ITO cents in 1896 Wha
it now costs to produce silver no on
accurately knows. The celebrated
Broken HilP' mines Of Australia
yielded last year-1S95--over 10000 ,OO
ounces of silver at a total reported cos
Of about 40 cents per ounce; and goo,
authorities report that some Of tn
American mines turn out millions o
ounces at the present time at al
equally low figure. With such an as
pect of the future, it did not requir
any great measure of business sagacit,
on the part of Mr.. Jones and his silve
mining associates to foresee that tfli
prospective great increase in the pro
duction of silver would impair it's mar
ket or bullion value, and diminish tn
profits of mining, and that somethin;
must be done to avert such a contin
gency. AS the world had then, as i
has now, a sufficient supply of all tn
silver it needed in the arts or as al
1nstrumentality Of exchange, any at
), tempt to make its use more EXTENSIVE
did not seem feasible. An imposition
of heavy protective duties on the i'm
port of silver was also not available
i because the country was an exporte
rather than an importer of silver.
A Clever Scheme
They accordingly hit upon the fol
lowing ingenious plan-tbat the treas
ury of the United States should be re
quired to buy so much of the surplus
produced by the mines of Mr.. Jones
and his associates, as would tend tx
maintain the price of silver and conse
! quently their enormous profits; or al
least prevent any further decline in
them. They, therefore, induced con.
| gress to require the government to buy
at least two million dollars (s2,OOO,-
! O00) worth of silver bullion each anC
| every month, the total Production of al
| the silver mines in the United States
being at that time about $4,000, 900 pei
month. The government consequently
at once made market for about two
| thirds of all the product of this indus
try, and under this act the treasury did
buy $378, 165,000. This device to keep
up the price of silver did not, how
ever, work as it's originators expected
it would at the time it was put into