The Yale expositor., 1896-07-10
TO BENEFIT MANKIND.
OPEN THE MINTS TO FREE
AND UNLIMITED COINAGE.
Double the Amount of Money in Circu-
lation and Every Avenue OF Business
VIII Boom-Tho Wall street Repub-
Iican Platform.

|
has been misplaced, asks the National
Bimetallist to explain how the silver
would get into circulation If it were
coined without limitation. The under
lying thought with those who ask this
question seems to be that inasmuch as
there is large amount OF money lying
idle now there is no occasion to provide
for any more. That idea carried to its
logical conclusion would also require
the mints to be closed to gold, for 1T is
n well known fact that but a very
small portion of the gold now in the
country is in actual circulation. Hence,
we might inquire, why coin any
more?" Nevertheless, proposition TO
stop coming it would bring storm of
protest at once.
The fact is that whether country
has much money or little there is al
ways some of it lying idle. In India
and China, where the money in actual
use is very scarce, there arc vast sums
boarded away. And, strange as it
may appear at first glance, it is never
theless true, that where the supply Of
money is insufficient to keep pace with
the wants of trade the amount unem-
ployed will be larger in proportion
than where the supply is ample.
A very little intelligent thought will
disclose the reason. When the money
supply is diminishing, either actually
or relatively, it means lower prices for
products. Lower prices means smaller
profits, no profits at all, or actual loss.
Hence people having money will not
invest in productive enterprises. They
will buy gilt edge securities, employ 1t
in purely speculative ventures in stock
exchanges and boards of trade, or If
conditions become too bad they will
lock it up for safe keeping.
These are the conditions which now
exist in the United States. For many
years, ever since the demonetization
of silver in 1878, business has been
done on falling market and more
and more money has been withdrawn
from actual employment.
Now for the effect OF free coinage up
on the circulation.
The first effect of opening the Amer
ican mint would be TO raise the gold
price of silver to S1.29 per ounce.
Leaving out of consideration the ques-
tion Of whether parity would be main
tanned it is perfectly plain that in the
first instance silver would go up to the
mint rate in gold for the simple reason
that no man in his sane mind would
take any less for it. The secondary,
almost coincident effect, would be to
raise the prices of all those products
such as wheat, cotton and petroleum
that are sold in the European market
at silver prices. This means corrc-
spending rise in the American market.
to be closely followed, as is always the
case, by a sympathetic rise in the
prices Of other things of a
similar character and occupying a
common field. AS, for example, a
general rise of wheat would un-
douttedly be accompanied by rise Of
corn, rye, barley, buckwheat, etc. So
the price of cotton has its effect upon
the price of wool. If the price Of cot
ton goods takes a sharp and long con-
tinued decline It is inevitable that
wooden goods will follow more or less
closely because cotton goods and
wooden goods in measure compete
with each other. So do great many
other things, and subject, of course. 20
exceptional influences, there is
general tendency Of I'll prices to
rise and fall togethcr. So the
mere rise in the market price of
silver bullion consequent upon the
opening of the American mint would
| oiu nd
to prices and especially to the prices of
our great agricultural staples.
This would necessarily bring out for
investment large sums Of money now
lying idle, for investors always seek q
rising market. Again, the silver de-
posted at the mints would be struck
into coin and the coin handed to the
owner, who in turn would pay it out 10
others with whom he has business.
Thus it would find its way into general
circulation, swell the volume Of money.
stimulating prices and business at the
same time. There is never any trou-
BILE about getting money into circula-
tion when business conditions are
healthful, and an abundant supply of
good money is always productive of
healthful conditions.
One thing should be entirely clear.
If silver cannot be coined 1t Is utterly
impossible for it to get into circulation.
II 1t can be coined there is certainly q
chance for it to find its way into the
channels of trade. 1t us give 1t that
chance. If it do not circulate 1t will
at least do nc harm, while if it do cir
cuate it will be productive of great
good.
1t is strange what prominent place
the negative has in the goldites discus
sion Of the money question. Goldy
meets almost every argument in favor
Of the coinage of silver either by
TRADE of abuse or by conjugation sf
the verb can't
First person l can't.
Second person you can't
Third person he, she or II can't.
Plural
First person we can't.