The times. [volume] (Richmond, Va.) 1890-1903, 1896-06-11
FALSE INPECTfJTOyS.
Sensible Argument against Free silver by
Farmer.

Sir.-As a true bmctallist. I am op-
posed 10 the adopt II or the single silver
standard, hich ould be the necessary
result ~ unlimited fire. coinage at the
| ralo OF IL 10 /. The great argum mt in
| Ichalf OF the silver standard IL the fall
! M'ious nope that It's adoption Will en-
| HNh'e the price Of American farm pro-
| nuets. How gricy0us will be the disap-
! poihtment OF our farmers II they hug
| the silver dcllsion t. thcir bOscms. /
| lIopose to show by calling attention 10
| very instructive statement 10 be found
on page 100 OF the report OF the Inter-
! national Monetary Conference held AT
brussels IN 1872. Tho statement appears
/ Itles, ana the passage which | call
/ Ipoh my felow-fauHcrs 10 cOnsllcr most
] carefully j. 10 this effect.
/ ~ the time when the above events
| TOOK MS by surprise"-lthe reference is
10 tie decentralization of silver by Ger
| many silver either coined or In barr
| was our sole article OF export and pre-
S,ilDed me limit OF our import trade: for
| t-'ept silver we did NOT I'm 1913. export
/ more than COCOON piasters IN vanilla,
| tohdcco, coffee. skins. c,c The deprccia-
uuh or silver, az 1t has appeared TO for
,.sn conntries-tor IN our own country
values nave not perceptbly damaged
mas produced an actual premium on ex-
portatlon. Articles which were not ex-
ported fWfnery are soid now in TIE
markets Of Europe and the United States
cost OF their production and the expenses
incurred. because compensation Is found
IN the gam IN eNchonge Of p or 30 per
cent corresponding TO the depreciation OF
silver and FOR this reason the export OF
articles other than silver has risen from
Depwp IN 1873 10 so 200. 900 In 1877"
To make tho meaning Of this perfectly
clear let MS suppose that a Mexican mer-
chant buys from a native producer OF
Nnrilla quantity for which he pays
him one thousand dollars IN Mexican
money. The merchant ships the vanilla
70 London, and presently receives adyices
rom MS agent that IL has been sold for
leb pounds sterling, which at the par
or exchange" (Sf.S6-G5 10 tie sovereign
= 800. So II seems as II the Mexican
merchants had lost SiuO But NOT so.
For he Immediately draws on his London
agent for ls6 pounds sterling. and taking
TINS d7nft or bill OF exchange 20 q Mex
lean banker, he sells il 10 him at - per
cent. above the par OF cXchanca and te-
ceires sil2J IN Mexican money. or Sl2J
more than he paid the producer Of the
lie cannot shasc this profit with the
producers or vanilla. for Doe will need
it next month 10 help pay for "A quanti-
~ OF British cloth. which ne expects 10
import 10 the extent OF lSG pounds sier-
ling IN value. Then be- Will want 10 buy a
Dill or exchange IN London Tor lo6 pounds.
for which. II the premium remains at p
per cent. he III have 10 pay 1l25 dol
lars IN Mexican money-the same price
at which he had sold his drHft on bis
London correspondent q month prCyi0us-
ly: so that his profit I'm the double trans
dcuon must come from the price he
charges bis Mexican customers for tho
british cloth; This will Doe not Jess than
81 90. In other words. the Mexican pro-
Queer viii not be- able 10 procure dol
hrs worth Of British clo,h COR a dol
.ars orth Of vanilla. but Will have 10 pro-
drce ~ - IN vanilla. coffee. tobacco. or
something else. In order % obtain bis
needed dollars worth Of imported goods.
Thus we see Tie reason why the export
ot Mexican agriculture. produce increased
from 90 100000 I'm 1873 20 S27.oO0O0O On
1897 The Mexican peasant las tO work
harder and produce more in order 90 sup
ply hi5 wants
Substitute American wheat or cotton
for vanilla" I'm the above Illustration.
and YOU have what will Dee the effect Of
the adoption OF the single silver standard
hv The United States, or the free and nm
limited coinage Of silver at the ratio Of
international currency consists 90 bills
Of exchange" always payable in god or
IFS equivalent. Just as domestic currency
consists OF cheques. drfts end bank
notes payable in Whatever metal or met
ais may Doe the standard or boz legal tom
der Ereas Iry notes rclcomab.c in the
standard metal or metals Whenever The
domestic currency Is deprecated. II can
be- exchanged Tor international currency
thnt u.s. for bills or exchange only az
a premium which IS greater or less. ac-
cofdlne 10 the degIee OF aepi'ciatloh OF
thc dome site currency. This prminm IS
always slprd 70 -he cost pilce ar IN
ported goods, but is never added 10 the
market price OK domestic products until
the depreciation OF the domestic cucren-
cy Las progressed SO FAR that the eN-
porter can afford 10 hand over some
small part Of bis profit 10 the native
producer
The Mexican delegation no Brusse.s tes-
tihed that during DE period ircm 1913 90
1872. the prices OF Mexican products %
Tie home market had not percepubly va
rird. The Mexican yaquelo cowboy.