The San Francisco call., 1896-08-13


the worlds supply of money. because the
| annual silver product, when coined into dol
| lars twice as large, would make only hall as
many dollars The people of the United
States would be injured by change in the
ratio, not because they produce silver, but be;
cause they own property ana owe deDts ana
they cannot afford to thus decrease the value
of their property or increase the ourden Oh
In 1873 Mr.. Carlisle said: mankind will be
fortunate indeed If the annual procuetlon OF
gold and silver coin shall Keep pace Win the
annual increase of population and industry.
| repeat his assertion. All OF the gold ana
silver annually available for coinage, when
converted into coin at the present rauo VIII
not, in my judgment, more tnah supply our
monetary needs. aoo
In supporting the act of 1890, known as the
Sherman act, Senator Sherman. on June OF
1878 the purchase OF 81, 300, 600 worth OF silver
bullion month has by coinage PROG uced an
nuaily an average of nearly SoOooOOO per
month for a period of twelve years, but this
amount, in view of the retirement OF the bank
notes, will not increase our currency In pro-
portion to our increasing population,
"If our present currency is estimated at $l,-
4OO,O000O0 and our population is increasing
at the ratio OF per cent per annnm, II would
require $4,000, 900 increased eircuiaton
each year to keep pace with the increase OF
population; but, as the increase OF populauon
is accompanied by still greater ratio OF in
crease e OF wealth and business, 1t was thought
that an immediate increase OF clrculatlon
might De obtained by larger purchases OF Sill
yer bullion TO an amount sufficient to make
good the retirement of bank notes and keep
paceWlth the growth OF population. Assuming
tnat $o4, 100000 year of additional currency
is needed upon this basis, that amount is pro-
plaeu e lor Ia this bill by the issue OF treasury
| price"
n Il the United States then needed more than
$42,OOO,000 annually to keep pace with popu-
| isuon and business it now with a larger popu-
Ieton needs still greater annual addition,
0nr cne United states is only one among many.
Uur Ia opponents make no adequate provision for
the increasing monetary needs of the world
III the second place, change in the ratio Is
nn,e NOT necessary Hostile legislation has de-
| creased the demand Tor silver and lowered its
price when measured by gold while this same
nos tlIe legislation by increasing the demand
Ioa goiu mas raised the value of gold when
| tod tnat the restoration of bimetallism would
| pc hardship upon those who have entered
~ iioo o4LI[ac's payable IN gold coin, but this
is mistake, IL Will be easier to obtain the
! gold with which to meet gold contract when
most OF the people can use silver than it is
"Hem ~ erery one rs trying TO secure gold.
| favor OF such legislation as may be necessary
| to prevent, for the future, the demonetization
OF any kind OF legal tender money by private
| contract Such contracts objected to on
| the ground that they are against public policy
No one questions the right of legislatures to
| tx the rate OF interest which can be colleetad
| by law; there is far more reason for preyent-
! ing private individuals from setting aside
legal tender. The money which is by law
| IuHu0 d lERdl l61Qer must In the course of
ordinary business be accepted by 90 out of
every 100 persons. Why should the one hun
! dredth man be permitted to exempt himself
| from the general rule? Special contracts have
| tendency 10 increase the demand ior a uar-
| ticular kind of money and thus force it to
! premium, Have not the people right to say
that q comparatively few individuals shall not
be permitted 10 derange the financial system
OF the Nation in order 10 collect premium in
case they succeed il forcing one kind OF money
| to that premium?
There is another argument to which I ask
your atten liop. Some of the more Jealous OPP
ponents of free coinage point to the fact that
thirteen months must elapse between the cleo
ton and the first regular session OF Congress,
and they assert that during that time, In case
the people declare themselves in favor of free
coinage, all loans will be Withdrawn and all
mortgages foFeelosed. If these are merely
prophecies INDUCED in by those who have for
gotten the provisions of the constitution It will
be sufficient 10 remind them that the PTesi-
dent Is empowered to convene Congress in
extraordinary session whenever the public
good requires such action. If in November thu
people by their ballots declare themselves in
favor of the immediate restoration of bimetal-
lism the system can be inaugnrated within q
few months. If, however, the assertion that
loans will be withdrawn and mortgages fore
closed is made TO prevent such political action
as the people may believe to be necessary fur
the preservation OF their rights, then new
and vital issue is raised
Whenever it is necessary for the people as a
whole to obtain consent from the owners of
money and the changers OF money before they
call ltElsldle upon HnduCldl QufSLlO0S We
shall have passed from q democracy to plu-
tocracy. But thai time has not yet arrived.
Threats and intimidation will be of no avail.
The people who in 1875 rejected the doctrine
that kings rule by right divine will not in this
generation subscribe to doctrine that money
is omipotent
In conclusion, permit me to say q word in
regard to international bimetallism. We are
not opposed to an International agreement
looking to the restoration OF bimetallism
throughout the world, The advocates of free
coinage have on all occasions shown their
willingness to cooperate with other nations
in the reinstatement of silver, but they are
not willing to await the pleasure of other gov
ernments when immediate relief is needed by
the people of the United States, and they fur
ther believe that independent action offers
better assurance OF international blmetallism
than servile depe ndence upon foreign aid
For more than twenty years we have invited
the assistance OF European nations, but all
progress in that direction has been blocked by
the opposition OF those who derive pecunlary
benefit from the appreciation of gold. How