The broad ax., 1896-09-12
high 7

ported most Of our silver to settle Ior
those purchases. We are now export
| ing cattle, coffee, hides and other PROD
ucts, and by manufacturing to supply
our wants and keeping our silver al
home we have grown rich. our silver
mining is as profitable as ever because
we have free coinage. which makes
every dollar worth 100 cents. The min
er takes q dollars worth Of silver from
his mine and with II he pays for tue
same help and buys the commodities
as formerly.
Question-"what would be the CT
feet upon Mexican industries IL tne
| United States were to remonetlze BIZ
ver?"
Answer-"That would be good
thing for the United States, but a PAD
thing for Mexico. The immediate Ell
feet of a law Of that kind would be that
the price of silver would rise and its
purchasing power increase to that OF
gold; as your country has more silver
than gold (for you are selling silver
and buying gold you would at once pc
| come prosperous. Not so with US. we
are a consuming or a purchasing peo-
Die. although we mine silver largely.
AS the purchasing power OF silver re-
NAMED the same at home and in
creased abroad. we would naturally be-
gin to buy abroad at less price than
we can produce for at home. So you
see our growth and development would
be checked and yours increased"
Prosperous Mexico.
"As to the financial condition Of Mex
leo, II was never better. The revenues
Of the federal government are in ex-
cess of the expenses for the first time
in her history. Formerly the govern
ment was indebted to the banks and
especially the bank Of Mexico in large
amounts. Two years ago the indebt-
edness Of the federal government to
the bankers was 1900, 900. Today she
has $6,OO0,000 to her credit Fifteen
years ago promissory notes Of the gov
eminent sold at a discount OF per
cent per month. To-day, the Mexican
government can borrow more money
than she wants at per cent per an
num-"
In answer to the question as to what
did he attribute the improved credit OF
the government he said:
In the first place, we continued to
keep our minis open to free coinage,
which gave US the needed supply OF
money for the transaction Of business.
Then silver retained it's purchasing
power at home but lost one-half with
you. This acted as a powerful stimu-
liant to exports, because the gold re-
ceived was worth double to us the
amount of the sale, at the same time 1t
has proved as great a protector against
imports by acting as an increased
tariff. Then the general government
has for years been on a peace footing,
and the government consolidated and
strengthened, so that the money and
industry formerly employed in internal
war can now be employed in the fos-
tering Of commercial enterprises and
establishing new industries. A strong
central government affording full pro-
lection to our people aud capital has
encouraged capital to come In, and
fully $500, ZOO, 900 Of foreign gold has
sought investment here, which large
amount has been employed In the es-
tablishment Of industries or in con-
structing the railroad system we have,
which is being increased by the build
ing Of feeders and which will be the
railroads of the future"
l asked him from what source did
the government derive its revenue
chiefly, to which he replied:
Free Coinage Building Up Industries
Formerly the tariff taxes represent
ed fully rs per cent of the income Of
the central government. Today we re-
ceive but 40 per cent. of our revenue
from that source. On the other hand
the internal revenues have increased
greatly, which further demonstrates
the increased wealth and progress nj
the republic. Again, the freight com
ing into Mexico is decreasing On al
the railroads, while the local traffic Is
increasing, which furnishes additional
evidence Of the rapid development o.
our resources and the benefit to US Of
the low price of silver out Of Mexico
Question-"Then assume that Mex
leo Is not DESTROYS that the
United States Restore BImetaIIIsmF
Answer-"Certainly not That would
be the worst thing that could happier
Mexico, IL you should open your minti
to free coinage at 16 to 1. II, however
you resume coinage at, say "a to /, Civ
ing a premium to gold Of say go pei
cent, We could go along very we'll, bu
to open your minis at 16 to would b
disastrous to Mexico"
But" said, Mr.. Creel, II the Unit
ed States resumed the coinage of silvel
at the ratio CT is to /, would not tina
! nearly double the value Of the produc
, of your silver mines and prove o
great value to Mexico?"
He replied: mo. most decide no
Silver going to par would not prove o
| much benefit to our silver mine owners