The Lambertville record. [volume] (Lambertville, N.J.) 1872-1968, 1896-09-23


Of u scarcity of mcIIey. in some parts OF the
country, especially the south and west. there
are many people complaining OF want OF
capital and too high rate of interest. The
cry for more money is the favorito cry. These
arc tho principal and the most definite COM
plants. Beyond them, however, an impress
sion has been spread by agitators that an or
ganized conspiracy of moneyed men, mainly
great bankers, in America and In Europe,
backed by tho monarchs and aristocracies OF
the old world, is seeking the general establish
ment of the gold standard Of value to monopo-
lie or corner the world rs money to the gem
eral detriment.
All this has found definite expression In the
following declaration of the Chicago platform {:
"We declare that tho act of 1873 demonetizing
silver without the knowledge or approval of
the American people has resulted In the ap-
probation of gold and corresponding fall in
the prices of commodities produced by the
people; q heavy increase In the burden of
taxation and of all debts public and private (;
the enrichment of tho money lending class at
home and abroad, prostration Of industry and
impoverishment Of the people" Mark we'll
that all these evil consequences are ascribed
10 the demonetization OF silver in the United
States alone-not to its dem onetization any
where else. This is to Justify the presenta-
ton as a sufficient remedy of the free coinage
OF silver In the United States alone. "without
waiting for the aid or consent Of any other
nation"
This platform is amplified by free coinage
orators, who tell us that the act of 1873, called
tthe crime Of 1873 has surreptitiously twp
cd out" one-half of the peoples money-name-
ly, silver; that In consequence the remaining
half Of our metallic money-namely. gold-as
q basis of the whole financial structure. has to
do the same business that formerly was done
by gold and silver together; that thereby gold
has risen to about double Its former purohas-
ing power. the gold dollar being virtually 200
cent dollar: that the man who produces things
for sale is thus being robbed OF half the price,
while debts payable on the gold basis have boz
come twice as heavy, and that this fall Of
prices and increase of burdens Is enrtching tho
money changers and depressing the people.
What Are tho Facts?
Are these complaints well foundedf Look
at facts which nobody disputes. That there
has been a considerable fall In tho prices OF
many articles since 1879 Is certainly true. But
was this fall caused by the 30 called domone-
tization of silver through the act Of 1892 Now.
not TO speak of other periods Of our history,
such as the period from l8i6 to 1851, everybody
knows that there was a considerable fall OF
prices. not only as to agricultural products
cotton, for instance, dropped from 81 pound
In 1854 TO II cents In 1S71-but In many kinds
of industrial products before 1873. What hap
pened before 1873 cannot have been caused by
what happened in 1878. This Is clear. The
shrinlage after 1873 may, therefore, have been
caused by something else.
Another thing Is equally cloar. Whenever
change In the prices Of commodities is caused
by a change In supply or demand, or both.
then 1t may affect different articles different
ly. Thus wheat may rise in price, the supply
being proportionately short, while at tho Same
time cotton may decline in price, the supply
being proportionately abundant. But when
change OF prices takes place In consequence Of
o great change In the purchasing power OF the
money Of the country, especially when that
change Ii sudden, then the effect must be
equal or ut least approximately 30, as to all
articles that bought or sold with that
money II by the 30 called demonotization OF
silver In 1873 the gold dollar or tho dollar on
tho gold basis became 200 cent dollar at all,
then It became q 200 cent dollar Mt once and
the same time a 200 cent dollar for wheat, and
q leO cent dollar Tor coal, ana 100 cent doisr
for shovels. challenge any ono TO gainsay
this.
Prices and the Act of 1873.
Now for tho facts. Tho act Of 1873 in quos-
ton became law on the 18th Of February.
What was the effect2 Wheat. rye, oats and
corn rose above tho price Of 1872, while cotton
declined In 1874 wheat dropped little; corn
made q Jump upward; cotton declined; oats
and rye rose In 1875 there was a general de-
cline. In 1875 there Nn5 d rise In wheat and
decline In corn, oats, rye and cotton. In 1877
there Vaa announcer rlso IN Wheau, carrying yno
price above that Of 1870 and up to that OF 1871,
years preceding the act of 1873, Evidently 30
far tho 200 cent dollar had not made Its mark
at ~. But will admit the possible plea that
as they say, tho act OF 1873 having been passed
In secret. people did not know anything about
It, and prices remained measurably steady, In
ignorance Of what dreadful things had hap
pened. II 80, then 1t would appear that, II the
knowing ones had only kept still about 1t, tho
Qold dollar would have modestly remained O
100 cent dollar and nobody would have been
hurt. But, seriously speaking, 1t may be said
that when the net OF 1873 was passed we were
still using exclusively paper money, that mel.
Their gold nor silver was in circulation, and
that therefore the demonetization would not
be felt Very well. But, then, in 1870 specie
payments were resumed. Metallic money cir