West Virginia argus. [volume] (Kingwood, W. Va.) 1877-1946, 1896-09-10
BIMETALLISM.
Another Well Written Article In
Favor Of Free silver BY Mr.. o. Frank
HardestY, Prominent Republican
Merchant, Of Rowlesburg.

mefchant. OF hONleSDurg.
Special Contribution 20 Tm ARoUs.
La the discussion of the money
question that is now agitating the
people throughout the length and
breadth Of the land. the advocates
OF the gold standard insist that we
should have money that has H,trin.
SIC ralWe; that the material on which
the money stamp is placed should
possess an intrinsic value equal to
the money value stamped upon it;
that gold possesses this property
and that silver does not, and for
this reason they favor a single gold
standard. Is this true? Has gold
intrinsic value ? If not they must
assign some other reason for
single gold standard. The word
intrinsic means internal, inherent,
not apparent or accidental opposed
to eXtrinsic. Now, the fact is, gold
has no intrinsic value Whatever. If
value were intrinsic, if it were in
herent IN a thing, it could not
change or fluctuate. III the value
Of gold or silver were inherent in
the metal, the same quantity Of
metal of the same degree of 6ueness
would always be of the same value.
The intrinsic properties Of gold and
silver are the same now as they were
in 1878, as they always have been,
but their relative value, when un-
controlled by legislation, are sub
iect to great fluctuations. Value
is created and controlled by the law
of supply and demand. There are
certain properties in gold that make
it desirable for certain uses indie.
pendent of legislation, but gold
deserves its chief value from the
fact that by virtue Of law a certain
quantity of it may coined into a
dollar and when so coined, the dol
lar is a legal tender and lawful
money. If the demand for it as
money metal is increased (as it
would be by the demonstration of
silver) its value will be increased,
while on the Other hand, if gold
should be demonetized its value
would almost entirely disappear.
The stock of gold now IN use as
money is about $500, 100000.
There is enough in stock to supply
the demand for use in the arts for
20 years.
1t is safe to say that if gold should
be demonetized, if the fictitious
value given it by law should be
taken from it, the bullion in a gold
dollar would not bring 10 cents in
the market of the world, that 90
per cent. Of the present value of
gold is fctious and caused solely by
legislation. So tho gold bugs can
not hold this argument. They also
claim with the free and unlimited
coinage of silver the United States
would become the dumping ground
Of all the cheap silver in the world.
IL the United States would restore
silver to its proper place, there
would be no cheap silver in the
world. The reason why silver is
worth less (measured by gold) now
than in 1873, is because, and only
because, OF adverse legislation.
They tell as you cannot legislate
value into thing nor out Of a
thing, but that value is controlled
by the law Of supply and demand.
Now, while this is true, it. is also
true that anything which tends to
I. increase the demand for thing
| Che supply remaining tho same)
must necessarily euchauce It's value
and II the legislative demand is for
the total supply, and " the logisla.
tive demand Gxes a price at which
the total supply will be received.
1t necessarily follows that the value
Of the commodity 30 fixed cannot
fall below the price fixed. It might
rise slightly, but it could not by
any possibility fall below. In or
der however, 70 have this affect, the
legislative demand must be for the
total available supply. The reason
/ why the Bland bill or the Sherman
act did not restore silver TO its
ancient place as a money metal at
the ratio previously existing between
| gold and silver, was because the de.
mand was not for the total available
supply. From the historical &C
count given in the Encyclopedia