The Wichita daily eagle. [volume] (Wichita, Kan.) 1890-1906, 1896-05-21
DEMoNEqrzR GOLD.

4 Inc current literature OF the times Is
filed with financial schemes of sup
posed national application and adop-
ton. The most of these originate with
theorists, with professors, political
leaders and the like, who themselves
have been financial failures all their
lives. SO far as acquiring wealth is con-
cerned. The most ELUSIVE writers and
speakers are as poor as church mice,
their impracticability standing con-
fessed. The national banker, success
full financier and silver advocate, st
John, of New York, being an excep-
ton. But now comes a Kansas man, a
man starting poor in life, but amassing
a great fortune, and who is a protector
of great enterprises, one of them being
the construction Of a railway on a cash
basis and unbonded, J. 3. Watkins,
of Lawrence, who is out in a pamphlet
entitled 1.-THE True Money System For
the United States" His little and
modest work, Of few pages, briefly
sums up the monetary situation Of the
country; its want Of uniformity; the
single and double metallic advocates;
the believer in simple fiat; the necessity
of currency, the difference between
legal and commercial ratios; the law
of supply and demand, and so forth,
and so forth, all in succinct yet compre-
hensive language. Mr.. Watkins says
that the difference between gold and
silver under characterization, has been
increasing rapidly, and will grow
wider unless something is speedily
done, but he is afraid of the immediate
resumption of free coinage. Among
other statements which meet with our
hearty appreciation is the one in which
he declares that coin, in large quantity,
is not desired; it will not circulate.
Coin is not the circulation medium of
this country. There is more silver
than gold in circulation today. If free
coinage were reinstated neither gold
nor silver would largely circulate. Their
representatives in paper would. Bar
gold and bar silver, for settling the
differences or the balances in trade,
are more acceptable than the coin of
any realm. Mr.. Watkins does not
assert that, exactly, but it is true. He
does. however, say that having demOne-
tized silver, thereby creating such a
wide breach between the commercial
values of the two metals, the thing 10
do is TO demOnetize gold also. With
the two metals on an equal footing
they will naturally seek their relative
commercial ratios. This may be a
new idea with Mr.. Watkins, but the
Eagle suggested and advocated the
same thing two years ago as a means
of forcing the two metals back to their
old ratios Of value.
Another feature Of Mr.. Watkins
views we like. and that is the wiping
out Of small bills, TO the end of forcing
the circulation Of silver as subsidiary
currency. Among other statements
bearing on the gold question and its
outflow Mr.. Watkins calls attention to
of individuals and of corporations Of
this country, payable in gold, to the
amount of five billions of dollars ($5,-
O00, 100000, or ten times the amount Of
our demand notes and fifty to one hun
dred times all the gold we have in the
country. He sums up the situation in
n recapitulation that, should the gold
faction succeed we would lose $780, |
OOG,O00 of silver money; if the free sill |
yer faction succeeds we would lose
in gold, and that with |
things going as they are we will, in |
eYitabiy, reduce our currency from ST. |
900,O00,000 to 81, 100 100000, a contrac- |
ton of - per cent, leaving the per |
capita circulation about S14J0. He |
by asserting that under his |
plan we would have national bank |
notes 1919, 100000 and the entire gold |
and silver production and importation /
say OF total of 100000 600 per year, |
as for every 100000 of bullion pro- |
duced he provides for a circulation OF |
HA-J,OUO, ana % per cent OF II redemp- |
ton money. This would add to the |
of the country S125. 0O0. 900 of |
money per year. thus. at the end of FIVE !
years we would have 81, SO0O 900 of |
or $50 per capita, with 414 |
per cent of the whole currency as final |
redemption money, and any dollar. |
gold, silver or paper just as good as
any other dollar. This is what Nc /
kinley demands and is what the Amer
lean people want In the meantime
the plan meets the demands of both. |
Of ali factions, in that it provides not
only for the free and unlimited use Of I
silver but also for sound money ac- |
cordlng To the StricteSt requirements.
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LABOR UNIONS FOR M'KINLEY.