Marietta daily leader. (Marietta, Ohio) 1895-1906, 1896-09-28
SOUTH AMERICA
Countries That Are Now Using
a Debased Currency.
THE SITUATION IN BOLIVIA,

Tho Condition of the Farmers and Other
working Glasses Is Miserable In the
Extreme-Effect Upon the Masses OF
Money of Fluctuating value-Ex-liin.
lister T. II. Anderson Tells q West vir.
ginia Audienos What He Saw and Ex,
perienced.
From a report of the, opening Of the
Republican campaign in West Virginia
which was sent to the Cincinnati Com.
mercial- Tribune from Kingwood, the
following is taken:
The speaker Of the day was Hon. T
II. Anderson, of Ohio, ex-United States
minister to Bolivia, one of the silver
standard countries of South America.
from 1SS9 to 1893 He had the oppor-
tunity while there of studying the ques-
ton and noting its evils in the course
Of his own personal experience. Here
are some of the things he told his vast
audience about its workings:
During one year, with the consent
of Mr.. Blaine, then secretary of state,
had my official residence in Arequipa,
the southern metropolis of Peru, also a
silver standard country. My official
duties brought me in close contact with
the diplomatic representatives and the
existing conditions of practically all of
the South American republics on both
coasts. And want to say to you that.
by common consent, the one over. shad-
owing curse that rests upon the people
of South America is debased currency.
1t has destroyed their credit abroad, and
created and perpetuates universal dis
trust at home.
1.-The condition of the working class.
es, of the farmers, and Uf the common
people is so far removed from the stand.
ard of living common to the people of
our own country that there is no COM
parison. Instead of seeing q country
dotted with bright and happy homes
and the farmers afield pursuing their
vocations in the prospect and hope Of
adequate reward for their toll, their
condition is but little better than it was
$50 years ago under the dominion of the
Inca empire. At best they secure what
would be to you an intolerable exist
ence.
Bolivian money fuctuates from 10
to 20 per cent within single month. A
man who has S25.000 worth of goods
upon his shelves today may wake up to-
morrow morning to find that in the
fluctuations of silver 10 to 20 per cent of
their value has been swept away The
result is that the wholesale merchant,
the importer, protects himself against
these fiuctuating values by selling to
the country merchant at such price as
will save him from loss and give him q
margin of profit. The middleman, OF
country merchant, in turn protects him
self in the same way by selling his goods
to the last purchaser at what is to him
ruinous cost and in turn he buys
from him what he has to sell at the low
est possible figure, in order that he may
have such profit as will justify him to
continue in business under this fuctuat-
ing standard of values. And thus the
common people are whipsawed, cut both
ways, as they buy and sell. Therefore
it is that the condition of the people is
as l have described.
Moreover, the maintenance of our
gold reserve is an easy problem as COM
pared with that of keeping their silver,
which is their only metallic currency in
circulation. And why? Because their
paper money, which is redeemable in
silver and which, like all other paper
money, is without intrinsic value, being
the cheaper money, drives the silver out
of circulation just as we claim that
silver will drive gold out of circulation
if we come to basis Of silver mono
metallism. Consequently silver is
boarded to such an extent that it is ini-
possible for them to keep in circulation
sufficient silver to carry on the ordinary
business of the country
Therefore it is that when they want
to make change, as, for instance, if A
wants to pay B 81, or $5, or $40, they
effect the transaction by tearing the bill
in two, each taking half. So that you
are not very long in the country until
you find yourself receiving and paying
out these pieces of paper money in your
daily transactions You have plenty OF
money, it is true, and that is what Mr.
Bryan and his friends tell us we want
here; but the important question is
what is it worth when you get it? II
takes from l,0 to 200 dollars of theil
money, depending upon the price OF
silver, to buy 100-d dollar draft on Lon.
don or New York.
'If that is what is meant by silver
Standard, if that is what is meant by the
unlimited coinage of silver dollars-fo,
that is what they have down there-are
you ready to vote for it. are you ready
to join Mr.. Bryan in fastening this de-
plorable system of finance upon this re
public?" [Cries of mo |" and applause.
Mr.. Anderson then turned his atten
ton to Peru, country with very sim
liar state of affairs, but in Peru they
will not circulate Bolivian money, ano
when the traveller crosses Ethe border ht
must change his Bolivian silver for the
silver soles of Peru.
Watch the women on their shopping
tours, and you will see, following de-
murely behind each sonora or senorita 6
peon bearing under his arm sack o.
silver, out of which the purchases are
paid. When it comes to larger trans
actions between the centers Of popula
tion and the interior towns. the silver
Is transported on the backs Of mules
and burros to settle their mutual &C
counts.
''Is this what we want in this coun