The progressive farmer. [volume] (Winston, N.C.) 1886-1904, 1896-07-14
WASHINGTON, D. O., May 4 Is

WASHINGTON, D, O., May 4 1886
j. G. Reif, Esq NeaU York:
DEAR SIR:-Your letter Of the 1st in
( stanU is received. Whether the govern
ment or the mine owner should receive
the benefit of the seigniorage, or the
diff 9rence between the COINAGE value
aud the market price of silver bullion,
if our minis were re opened TO the coin
age of silver, would be entirely imma
terial. There would be no difference
between the value of the silver bullion
! and the coin, provided that the silver
! could be converted into coin without
limit and without charge other than
| that which is imposed for the coinage
| Of gold. TIE reason why gold enough
TO make g gold dollar and a gold dollar
! are Of TIE same valu9 is because the
| government will convert the gold into
a dollar for the benefit of the owner.
The same was true with regard to sill
yer from the foundation Of the govern
ment up to 1873, because under the
laws of Hamilton, J,ffareon and Jack
| son the owner Of silver bullion could
take it to the mint and have it coined
for his benefit, and there were no
/ charges for such coinage except such
as were necessary to prepare the bull
hon for coinage, which vas always
sufficient to pay for running the mint.
! Gold is still coined without charge, ex
cept such as is necessary TO prepare the
bullion for coinage, and, IS before
stated, the bullion price and the coin
age price for gold fit for coinage are
the sane. If silver fit for coinage could
be converted into coin without charge,
would anybody sell silver for a less
| price than would be paid at the nint2
The seigniorage referred to by you
! results from the fact that the govern
ment will not coin silver as formerly
for the benefit of the holder, and be
cause the owner of bullion cannot have
it coined. The silver which Is coined
IS worth more than the uncoined silver.
The goldites are in the habit of saying
that the silver miner would get more
than his silver bullion would be worth
in case of the restoration Of the coinage
laws as they existed before 1878 They
say that he would get q dollar for fifty
cents worth OF silver. They also sey
thatin case of free coinage the silver dol
Ter which he would get would be worth
only fifty cents. They do not see the
Inconsistency Of their statement, which
is that the silver miner would receive
a silver dollar worth only fifty cents,
in case Of free coinage and at the same
! time he would receive twice as much
as his bullion is worth. IL the silver
dollar would be "a ffty-cent dollar un.
der free coinage, it Is ST. fiji lent to see
how the silver miner would be beDe,
flied, because he can get g little more
than fifty cents now for enough to
make 6 silver dollar.
Of course you and We know that tie
silver dollar would be a hundred cent
dollar, and that silver bullion enough
60 make q silver dollar would also be
worth one hundred cents, and there
would he no difference between the
bullion value Of silver enough to make
a silver dollar and the silver dollar
and also that there would DE no seignior
age for that very reason. You see the
, seigniorage would disappear when the
value OF the silver and the coin were
the same, as they must necessarily bt
under free coinage, The silver mine
owner would be benefited TO the ex
tent that the value OF his silver was
advanced, and no more. In reaching
the parity between the two metals
gold would d~epreciate in value anc
} silver appreciate until they came to
gether as they we're previous to 1873
+ The silver mine owner would not b.
benefited by the depreciation of gold
but the producers and debtors would
/ be relieved from the robbery of Roths
? child's two-hundred cent dollar and re
e stored to their rights under the Consti
tuition, and also restor ed to a condition
Of prosperity, which can W com
while the dollar grows big and mel
grow small. Yours truly.
Editor SILVER KNIGHT ATCHNAE