The Jersey City news. (Jersey City [N.J.]) 1889-1906, 1896-10-26

What viii happen should Mr.. Bryan be
elected?
He stands pledged to sell no more bonds
to keep up the gold reserve, to pay in
silver h principal and interest on gov
m bonds. to redeem the outstanding
paper money in silver, and to pass as
speedily as possibly a free coinage act.
What viii the consequences be?
]. Since the gold in the Treasury will
not snfhce by about 200 million dollars to
pay the g~reenbacks and Treasury notes
the last 200 million dollars outstanding
must be paid In silver. Since our national
are nedeemable in greenbacks,
all Of these must also fall to a silver
basis. The election of Bryan viii put this
country on a free silver basis SO soon as
the gold reserve hall be exhausted. and
without waiting for the passage of a free
2. Al debts. except where otherwise
stipulated, viii then be paid in silver.
3. In anticipation of this result foreign
capitalists haylng money loaned out or
November, cable their American cores
pondents to call IN loans and remit bal
ances. These correspondents viii make
among the first at the National Treasury
to draw gold, which alone can be used IN
making foreign ~remittances.
4 In order to meet his drain upon
tACt% OooAt 0aidtF(CS l1C ain Will De
compelled to collect moneys due them
from their customers.
5. Moreover, since the principal and in
terest OF United States bonds will then
be payable in silver as well as all divi-
dends on. stocks, foreigners will dispose
largely of their holdings in both of these
classes of securities, n thus compel still
further large remittances of gold abroad.
6. The example set them by foreigners
will be followed by all American credi-
tors n prefer gold 10 silver dollars Cn-
GLIDING those who advocate the free coin
age of silver but make their own mort
cages, leases and notes payable in gold.
If gold cannot be obtained from the
Treasury they will buy sterling exchange
or exchange on Canada, thu compelling
further exports of gold.
T. The enormous demand for none thus
created will bring on a ~stringency In the
money market. which will be the occasion,
not merely OF litigation. but of a general
run upon the banks.
8 In the cities. where combined action
is possible, the banks will suspend. The
country banks, although solvent. unless
they can devise some practicable method
of suspension of payments, will fan.
y. Gold Will go to a premium and be ex-
ported or boarded.
TO- The disappearance of all our gold
and the drop in the value of silver and of
paper redeemable only in silver will pom
tract the currency to one-third its pres
emit volume. According to Circular No. 123
of the U. S. Treasury Department page
Stty Lac 5loth VI At2OtCJ III kAc OllleQ
States July /. 1896. was made up of three
items:-O $500, 100, 900 in gold, all of which
Will disappear under the operation of a
free coinage act; 9l. S625. 0oo,G 0 silver.
lion value of one half: 80 1888, 800, 900 un-
covered paper. which win also, when re-
deemable In deprecated silver, lose half
Its value. The value of the currency left
will be $504s 450, 900, and the amount of
silver required to replace the deficit oc-
casioned by a change in the standard of
valuation will be s1,104, $50. 900.
II. The immediate effect will be a gen.
modities. Everything in the country will
be for sale, in order to get ready money,
and there will be few buyers. Spectators
will enrich themselves by purchasing at
panic prices.
IL. In the general crash all factories
will be closed and all mills stopped.
IL. With no wages coming in, laborers,
mechanics. miners, and factory hands will
be unable to buy farm products. and the
farmer viii suffer with the rest of the
community. When a food devastates the
low lands adjacent to a river the high
water mark on the trees in the river bot
tom stands at the same level on every
tree, regardless of its name or size.
IA. The farmer will take the additional
risk of having all mortgages past due
and all mortgages in default called in and
foreclosed. The only bidders will be the
mortgagors. and the owners of the equities
in real estate VIII be largely wiped out.
Is. Since all railroads and other cor
porations must take their pay in silver.
and those having gold mortgages must
buy gold at a premium, all stocks having
a gold mortgage ahead of them will
shrink enormously in value and be prac-
tically unstable
16. The strongest banks. being thus
unable to realize upon their assets. will
be in danger of collapse, dn spite of any
combination which they may be able to
make.
Foreign importations win cease. and
the government will be without adequate
income to pay its current expenses.
IL. The disaster which will thus over
take all classes of the community, and
whelm the country in a common ruin.
will probably prevent the passage of any
free coinage act. so that the sufferers
from this needless panic will reap no re-
ward In the end from their sacrifices.
10. But ever If a free coinage act should
be passed, It cannot take effect without
long delay; first, the delay In legislation; |
the delay in order to create new
minis and put them In operation; or. If
notes are issued instead. the
delay In printing them; besides they can
be issued until the bullion required
to secure them shall have been mined
or imported and deposited In the Treas
ury.
20. While waiting for the new supply of
to take the place of that which
will have been lost to circulation, the
his situation and employment: |
The farmer will have to take for his pro-
duct. and the mechanic for his labor. |
any price that may be rendered him, In
order to avoid starvation. The fate of
the farmer and workingman will be the
late Of all who depend upon these two
in the social organism for their
and prosperity. The interest
IF the employer and employe, of the buy
ar and the seller. Of the debtor and the
is after all a common interest.
The sun, when It rises, lightens every one
Of them. when the sun of prosperity sets |
IN night, all are alike In the darkness of
q common calamity. |
q. In short, Bryan's election would |
a worse calamity to the people Of
the United States than famine. pestilence
Or war. |
MI. Bryan admits that first erect Of
his success at the polls would be q panic, /
justifies his course by saying when
come before us and tell us that we
will disturb you business interests. we
reply thai you have disturbed our BUSH |
ness interests And again: when the |
Is In q deplorable condition. 1t will
take extreme measures to restore 1t to q |
condition of prosperity The reckless
ness Of the experiment which In his ixno- |
rnnca 0f finance He PROPOSES to try. Il |