The Seattle post-intelligencer. [volume] (Seattle, Wash. Terr. [Wash.]) 1888-1914, 1896-08-23

y zs-nasv asaarces-~a. L was nos co-rer-
- h- hanks. ( w1s w1ZaGrzEr f-cz1 err
s4Izssor By sas tsxrt3 6e-ass<ors- Ins
saaxxg we're Interested In kperk-g tie
rrcrey II ~sTrutzszox. hcr t-Gzyta2sls-
acslnv rot IN ecace~f. hat aetuatea ~ ,
co.r~aaz fear FER re safety q rA@ir raanFy
took Il OCT cf cirrGszza1T- And ia great
er er lsSs degree rssES IS ire hasseTy & 81
r@rsods az snAnci2l uncertainty fe05as
eTSr Ehe wcri1 ard sATtsg4sl2rsy - Ire
United <tztes where tfe average q 81
fsczrxan = hlgh. tht1k q themselves 1877
srwesf freely ard az low rates wasz ley
believe investments are safe ard ST =
When hey believe CT fear tast SAFETY d.
rr.anss il. they DO as SEATTLE p~ople aaa
daring tne rznsc--wirhdrzw her money
from circulation ard investment
Tsoaks as % the safety % e1tsnstng
credit and uncertainty ss - the terms
upon wascA fsxure payments wiz be sn2es
also affect ne volume % trade ard tns
ssrcserev 81 money. II under certain Gen.
,sls&ors II The transaction q business a
dollar can tus rsazGe 10 do the work OF ten
seIfzrs the practical effect Is TIE sans
a. sh0uxh the quantity 81 money IN CT
CITATION were increased ten times -
under other conditions the work orGsrsr-
ny 6one By ten dollars IS redaced % re
.rork ordinarily done hg one dollar. tAe
ura..rscal result IS The same az though
rira-teafhS 81 the circulating rsea2cn
had beer retired. Niue-tente7 OF the ek@a-
rexs Of this country Is done BY means OF
credit Credit depends upon conndeaicee
ard confidence depends upon certainty IS
70 ssrrEz OF payment. II confidence log
ar. reason is betrayed, credit Is ees-
trovesf ard the efficiency OF the money -
circulation = reduced ntne-tentnS. II It's
eject upou business this il q much rlore
serious matter than the actual wisfsaFAs
al Of half the circulating medium Woola
~. ~ unaccornpani by a loss OF cpftA-
aevre II ,ns-ha1f the money Ia circ1ia-
ton should be destroyed today, but CONN.,
asn-a we're restored, the movement OF
money through channels of Investment
and trade would be three or four times
what IL is now.
-y-rs PRINCIPAL causes for uncertainty and
laek OF confidence 81 the present time
grow out OF the political situation ne
D.mocratic party, as represented by the
Chicago convention. propose to aoolsa
the protection OF the products OF Aniefi-
can labor, and to restrict the FeaeFa4
authority hitherto exercised in suppress
sing riots and the destruction OF properly
that local authorities are unable 70 con-
troll IL proposes the unlimited coinage
of god and silver. the silver 20 be coined
al nearly double It's bullion value. and
that this silver 1loney-whatsver It's real
vzlue--shaa be legal tender for al debts
public and private. no matter on WAT
bass the debts were contracted. think
] am correct IN saying that such q COIN
age ~ without a precedent in the history
OF money. Other nations and this
nation in the past. IN ESTABLISHING
a ratio for the unlimited coinage or gold
and silver. have sought 20 make IL the
same as the bullion ratio, and have been
repeatedly compelled 10 change their coin
age ratio 70 correspond with changes In
the market value Of the two metals.
The uncertainty as TO what may be the
result OF the election In November; as
TO what effect Democratic success would
have upon business generally; and par
ticulariy as 20 the value OF the money
In which obligations not specifically cali
ing for gold Will be paid II Mr.. Bryan Is
elected Is enough to account for the pres
ent unwillingnsss OF people TO invest or
extend credit freely in any way.
Some people believe that the free coin
age OF gold and silver at 10 10 / would
establish that ratio between gold and sill
YER bullion. Il IS not necessary, In order
10 account for the reluctance Of people TO
invest their money untn after the silver
question is settled. to say thai ali the his
tory OF the use OF the two metals as
money IL against this belief. and that no
country, or com bination of countries, has
ever been able 70 sustain an artificial
ratio between gold and silver bullion. or
a parity between an unlimited amount OF
gold and silver money at any other than
the commercial ratio OF the bullion. Ii Is
sufficient TO say that very large number
of people fear that payment under free
coinage OF silver would amount 10 less
than payment in current money. and that
they Will not invest or extend credit free
iy Ia trade so long as this fear IS accom-
panied By any doubt as TO whether free
coinage may carry. Even most OF those
who advocate the free coinage OF silver
admit the uncertainty as 10 what It's ef-
feet would be. and no man, In Seattle
or elsewhere, wants to invest or extend
a credit Of 81 600 II he fears that he may
receive only 50 per cent or 70 per cent,
or any less amount than he parts with. in
payment
These conditions are general and affect
the country at large But If II Is an adj
vantage for a new country 10 be able to
borrow cheap money for the transaction
Of business and for the development OF
latent resources tand these questions as
to why money does not circulate more
freely Indicate that many people think IL
Is an advantage. II is worth while for
localities 10 consider the conditions under
which the cheapest money can be obtained
on the easiest terms. and these are sim
ply absolute safety of investments and
certainty as 20 terms OF payment. You
can not attract cheap money from other
localities by legtslating against It; by sur
rounding investments with elements Of
uncertainty: by making collections diff
acuit and expensive. Fer every hazard
and expense attending investments IN a
particular field. borrowers pay Fer every
hazsr3 uncertainty and expense elinin-
ated from investments in a particular
field. borrowers get the fun benefit. Any
state or locality which can demonstrate
the absolute safety Of the investments 70
offers can borrow money at the lowest
rates At which capital vii invest. and II