The Ohio Democrat. (Logan, O. [Ohio]) 1886-1906, 1896-08-04
A PLAIN STATEMENT,
What Is Meant by FREQ and Unlimited Coin.
age at tho Ratio of Sixteen to One.

What Is Meant by FREQ and Unlimited Coin
age at tho Ratio of Sixteen to One.
Not at all infrequently even yet the
query department of The Sunday News
is called upon to explain what is meant
by free and unlimited coinage at the ra-
ito Of 10 TO 1.
Occasionally there is question which
bctrays depth of ignorance most futh-
Unless Tho News has received ono
nnd from a small town in Colorado at
that--which makes us believe that a
statement Of the familiar facts will be
of value in some quarters. In effect it
is as follows:
"A. bets b. that 16 to means that the
mints shall coin 1G silver dollars for
every gold dollar they coin. b. bets that
it means there shall be l6 pG, Is of pure
silver to part of alloy in each silver
dollar. Which wins?"
| Neither of these notions has anything
to do with the meaning of the express
sion "16 to l." 1t means that tho
weight of pure gold in gold dollar
shall be 80. 22 grains and the weight Of
pure silver in a silver dollar shall bo
371 % grains It will be seen that tho
weight of silver in silver dollar is
within trifing fraction of 1G times
the weight Of gold in gold dollar, the
ratio being called for convenience 1G
to 1.
The act of 1S37-for free and unlim.
ited coinage at this ratio-providcd
that gold and silver bullion brought to
the mint should be received and coined
for the benefit of the dcpositor. The
coinage was free and unlimited, because
any person might bring any quantity Of
gold or silver bullion of the standard
degree Of fineness to the mint and re-
ceiTe for it gold or silver coins. The
OILY charges permitted were fer rcfn-
ing when the bullion was below stand
ard for toughening when metals were
contained in it which rendered it unfit
for coinage, for copper used for alloy
when introduced into the alloy for gold
and for separating gold and silver whom
those metals exist together in the bull
lion. All Of these charges relate to tho
conversion of bullion into tho exact
kind of bullion suitable for coinage.
BY the act Of Feb. 81, 1853, the right
of individuals to have silver coined in.
to half dollars, quarter dollars, dimes
and half dimes was taken away, tho
quantity of silver put into such coins
was reduced, their unlimited legal ten
der quality was reduced to limit of
So, and the government went into the
making Of them as business, which
was profitable because of the less guam
tity Of silver put into them. Tho silver
dollar was not mentioned in this act.
The public retained the full right to.
bring bullion to the mint and have it
coined into standard silver dollars, and
the silver dollar retained its quality as
an unlimited legal tender, which il
holds to this day. This act of Fob. 81,
1853, established a mintage charge Of
one-half Of per cent on all gold and
silver whether coined or run into ingota
OH account Of depositors, in addition to
the charge for refining or parting tho
metals contained in the act of 1887.
Thus tho matter stood until the pas
sage of the act Of Feb. 12, 1878, which
established the gold dollar as tho unit
of valuo and dcmonetized silver by
emitting tho standard silver dollar from
the list Of coins. Until that day any
person might bring standard silver bul.
lion 900 degrees fine to the mint and
Tor each 371.25 grains Of pure silver
therein obtain q silver dollar, paying
only one-half per cont coinage charge.
II he brought puro silver to the mint
inctnnI of at n,.1h hill kI.
finc, he would have to pay cents an
ounce for the copper alloy. If 500
ounces CT pure silver were deposited at
the mint, it would coin G46 dollars.
There would bo 55. 55 ounces of copper
required for alloy, which would cost
Sl.1 The onc-half per cent for coin
age would be $3. 23, which would make
the total charge at the mint $i.34 on
GAG dollars.
Through ignorance or malice, the
statement is frequently made that un-
der free coinage the owners of silver
mines would sell their product to tho
government. Pictures are drawn Of the
government vaults choked with silver
which it would be unable TO force into
circulation. This idea has probably
grown out Of the acts Of 1878 and 1890,
both of which provided not fer free
coinage. but for purchase by the United
States of limited amount of silver
each month, the dollars coined there
from or the notes issued in payment
therefor not being legal tender when
otherwise specified in the contract I'M
der free coinage tho government would
not purchase the silver coined into dol
lars. Itwould simply coin the silver for
whoever brought it to the mint aud
hand the coin over TO the person who
iso....l,A Ana .c;lx.o~ Dn,.,.r No,,,s