Shenandoah herald. [volume] (Woodstock, Va.) 1865-1974, 1896-09-18

Threat to Put the United States on the
silver Basis Would Cause Business Stag
nation-Mr. Bryan's scheme to Throw
the Country Into Fits So That He Can
Try His sixteen to One Quack Medicine
Evil Effects of the Free Coinage Agita-
ton Already Manifest.
Hon. Carl Schurz, ex-secretary Of the
interior, addressed an immense audience
in Central Music hall, Chicago, on
Sept. 3. Speaking Of a possible free sill
yer victory he said:
Consider what the immediate conse-
uuences would be if Mr.. Bryan were
elected president, with a congress to
match. Mr. Bryan would Of course be
anxious to have his free coinage law
enacted, but that could not be, even if
he called an extra session Of congress,
until some time in April or May, five or
six months after the day Of election.
But as soon as on the 4th Of November
the result Of the election was announced
everybody would know that the parity
of gold and silver would not be main
tanned.
1t having been made certain by Mr..
Bryan's election that the parity Of gold
and silver would not be maintained,
there would be rush upon the treas
ury for the gold in it by persons hold
ing greenbacks entitled TO redemption,
and the gold reserve would be exhaust
ed in q twinkling. Gold will instantly
disappear from circulation, to be hoard
ed or exported. Why will it disappear
Because every sensible person when
making a payment will prefer to make
it in the less valuable dollar and hold
the more valuable gold dollar back for
more profitable use. Gold will there
fore quickly rise to a premium, and we
shall be on the silver basis long before
free coinage law can be enacted. Our
daily transactions in buying and sell
ing, in paying and receiving wages,
will no longer be carried on upon the
basis Of the gold dollar worth 100 cents,
but Of the silver dollar worth so cents
or thereabout, for the government will
no longer hold up the silver dollar to
the value of the gold dollar.
The quantity Of gold vanishing from
circulation will amount to about $780,
600, 600, the disappearance Of which
will make a tremendous hole in the
volume of our currency. But, says the
silver man, there will be free silver
coinage to fill the gap promptly with
coined silver or silver certificates. On,
no, my fellow sufferers. The disappear
ance of gold will happen promptly after
the election of Mr.. Bryan, and there
will not possibly be any free coinage Of
silver for at least six months, and it
will require great many more months
to fill gap Of 5000, 900, 000
What will happen meanwhile3 The
st. Louis Globe Democrat reports Mr.
Bryan to have said some time ago: II
think it--meaning the victory Of the
free coinage movement-will cause a
panic. But the country is in a deplor-
able condition, and it will take extreme
measures to restore it to a condition Of
prosperity" Whereupon the ST. Louis
paper poiDtedly remarks, Evidently
Mr.. Bryan has heard Of the doctor who
always threw his patient into fits before
administering any curative medicine.
Just so.
How, then, would Mr.. Bryan's eft"
work? The sudden disappearance of our
gold from circulation would produce
the most stringent contraction Of the
currency ON record. Business men who
owe money and at the same time have
money due them will be forced to col
lect that money by every means at their
disposal Nobody will be inclined TO
lend out any money except upon extraor-
binary security. The banks will nat
urally consider it their duty TO keep
themselves strong, and therefore 10 call
in loans and 10 restrict their discounts
and advances TO business men with the
utmost caution. Business establish
ments, manufactures, mercantile
houses, unable to get the money for meet
ing their obligations. will by the hun
dreds succumb to their embarrassment
and tumble down like row Of bricks.
Others will cautiously restrict their OPP
erations to the narrowest possible limit,
and wage earners by the thousands will
lose their employment and be turned
into the street.
How can foretell these things with
so much assurance9 Because they have
already cast their shadows before. Do
you remember the crisis of 1898, when
the silver basis was in sight? And
now again the mere apprehension Of
possibility Of Mr.. Bryan's election
and Of the consequent slipping Of our
country upon the silver basis has al
ready caused untold millions OF our
securities to DO thrown upon the
market in Europe as well as here,
Scores Of business orders are already
recalled, large number Of manufao-
turing establishments have already
stopped or restricted their operations
r.