The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1896-07-06
| CALAMITY Wall.
Henry CIews Tells What VIII
Happen to the Country
IF the People Seek the RemOne-
tizatiOn of Silver
WHICH HE AND HIS
Allies, the ROthschiIds, DemOne-
tized by Their Vaccinations.
Cause of Free Government Will
Be Blighted, He Says.
RUIN TO BE GENERAL
If America Makes an Effort to
Recover
What Has Been Stolen by Finan-
Allies, the ROthschiIds, DemOne-
tiled by Their Vaccinations.
Cause of Free Government Will
Be Blighted, He Says.
RUIN TO BE GENERAL
If America Makes an Effort to
Recover
What Has Been Stolen by Finan-
cial Legislation.

New York, July 6.-The following Is
| Henry Clews' weekly circular:
During the past week, the "bear''
element has found a faithful source of
selling in the exciting reports relating
| to the prospective Chicago convention.
! Between the wild excitement of the sill
yer delegates, the plots of AItgeld for
| controlling the convention, and the I'M
wise and feeble tactics Of certain Of the
eastern sound money leaders, it has
! been found easy to break prices by Wig
OrOus short selling; and the fall in pri-
| ces for the week has therefore been
| considerable. The sales, however, have
been almost entirely by professional
| operators. Private investors have shown
no disposition to part with their secur-
| tiles; and London, in spite of the weak
| ness here, has evinced a recovery of
| confidence by taking one hundred thou
| sand shares of stock, besides a good
amount of bonds. The bears have
/ found it possible to shake out a consid-
/ cradle amount of stock carried on mar
gins; and that success has been the
! main cause af their persistence. These
| operations have produced a feverish
| feeling, and have naturally fosterad the
| prevailing distrust.. This unsett1ement
! is likely to continue through the Chi
/ CdSO convention anu may quite posi-
! bly, be aggravated by its exciting de-
/ velopments. After that, the case of
| silver goes before the people for four
! months of earnest discussion previous
| to the popular verdict at the elections !;
! pending which there will be less ma
| terial for the creation of speculative
| sensa lions.
Rarely, in the history of national cleo
| lions, have the people been called upon
/ To choose h61 vital iEcHa9-
| and it is to the last degree important
| that there should be a clear conception
respecting the interests at stake. The
/ public choice is between the continu-
! ance of a basis under which gold OF it's
/ equivalents may be demanded in the
! settlement of all contracts; and a basis
under which silver dollars alone would
| be used in payments; such dollars be-
| ing sixteen times the weight of the gold
! dollar. At the present value of silver
| bullion, the silver would need to weigh
about thirty times the weight of the
! gold dollar, in order to make the two
/ coins of equal value. 1t follows there
| fore, that if, as demanded by the silver
ties, any holder of silver bullion can
have his metal minted into dollars at
| the rate of 16 weights of the white
metal to one of the yellow, the dollars
/ so coined would have an intrinsic or
metallic value of only about one-half
! that OF the gold dollar.
It is proposed that this deteriorated
| dollar shall be coined without limit,
| whether from silver imported or that
/ coming from the home mines. 1t is
| also proposed that these dollars shall
/ be a. legal tender to any amount in the
/ liquidation of contracts. Under this
| scheme the United States would stand
/ exposed to an issue of silver dollars
| limited only by the worlds entire cur
! rent production and it's accumulated
! stocks of coined silver. What would
| prove to be the depreciation of the sill
! yer dollar, under such conditions, it is
! impossible to tell. One of the first eff
! fects of the change would be for the
| European nations to exchange, as far
| as possible. their 800 millions Of their
Z silver bullion and coin for our gold.
! Besides that under the natural law by
! which an inferior currency always dis
places superior one, our supply of
/ gold would leave the country. In this
| way we should lose our gold circula-
! ton and become an exclusively silver
| paying nation with an attendant enor-
| nous loss with the only stable form of
! money and a consequent contraction OF
the circulation. We should then be
| on the same monetary basis as China,
Japan, Mexico and other thrid-rate ma
/ tiOnalitieS- Provided silver kept its
| present bullion value our dollar would
/ then be worth a fraction over one-half
| of it's present valuation; and to that
extent the purchasing power of our en-
| tire paper circulation would also. be di-
| minished. All our mercantile debts
| outstanding when this state of affirs
took effect would become payable in
this deprecated money, except those
| made under special contract payable in
gold. The national debt and the in
terest upon it would be legally payable
in the same stuff. inasumch as the law
authorizing the bonds makes them pay
able in COIN" without stipulation as
/ to whether the coin shall be silver or
gold. Many thousand millions of real
estate mortgages and of bonds of every
| form, and the interest upon all cOrpOr-
ate stocks, all of which are now pay
able in gold or its representatives,
would then become payable in this sill
/ yer money of unknown value. Thus,
! the enormous sum. of national invest
/ ments and the wealth which they rep
| resent would not only lose their stable
| gold standard of value, but would be-
come enormously deprecated and their
price would be ever f1uctuating with
the Oscillating price of silver bullion.
The 200 milliOnas of private deposits
! in banks and trust companies would
suffer in the same way, and so would
the 1900 millions of the workman's &C
| would become payable in the same de-
4 preci3ted dollar. What would become
of our foreign credit may be inferred
from the fact that we have from I SOC
to 1000 millions of investment securi-
ties outstanding in foreign countries. a
large part of which would become pay
able in this deteriorated coin.
These are some of the more obvious
consequences that would Immediately
follow the adoption of unrestricted
coinage OF silver in the ratio of 1e