Santa Fe daily New Mexican. [volume] (Santa Fe, N.M.) 1885-1897, 1896-09-18
anything at all to do with their pu rchas-
inp pOwAr or Daritv

huybniuR db Ill W uO WIN uuolr Pu Tcude-
ing power or parity.
Neither gold dollars nor silver dollars
are redeemable in sny other kind of
money under our present system, and this
would still remain the case if we should
enact free-coinage law for the unlimited
coinage of both metals at the ratio of Is
to l.
Hence, there would be no drop in sill
yer, no fall in wages, and no rise in prices
as necessary result Of the enactment of
a free-coinsge law by our government.
Any change that might come in the ex-
listing relations between our money sup
ply and the work it has to do could only
be brought about by an increase in our
volume of currency,ia and that would nec-
essarily and naturally be slow process,
even if the mints were reopened to the
free coinsge of silver at the ratio of 16
to with gold Tomorrow.
If no silver bullion we're brought to
our mints for coinage into standard dol
lars, there would be no change at all in
the purchasing power of our present
stock of money. II large coinage of
silver dollars resulted from the enact
ment of free-coinage law, the increase
in the volume of our circulation would
soon check the fall in prices which has
gone ON internationally but surely for
more than TIVE entY years, and if the coin
age kept on increasing gradual rise in
prices would naturally follow.
The point which we wish to make, and
upon which we are willing to stake our
reputation for veracity and for knowl-
edge of the coinage question, is that the
change from the present relation between
money and prices, and consequently be-
tween money and wages, and money and
debts, would be very slow and very grad.
ual, and would not probably average
per cent per annum for the next twenty
years. Our own best judgment is that it
would fall considerably below this aver.
age In that time. Fully one-third of all
the new silver taken from the mines of
the world annually is now conceded by
all reputable authorities to be absorbed
in the arts and manufactures. This
would not leave more than $140,000,000
of new silver to be added to the worlds
coinage yearly, and We would not, in any
event, get much more than our fair dis
tributive share of that amount.
IF WE GOT HALF OF III
it would only add 81 per capita per an
mum to our present circulation, or less
than per cent to our reported volume
of circulation.
In 1890 and 1891 we added nearly $780,
100000 year to our currency on account
of the purchase of silver bullion under
the Sherman act, and everybody knows
that the level of prices was not unduly
raised by that increase in our circulating
medium. Since then prices in this coun-
try have fallen, according to the New
York Tribune, about 20 per cent, and it
would take great many years, even al
lowing that we should add $70,000,000 a
year to our currency on account of free
coinage, to bring the level of prices back
to the mark it reached in 1891.
1t must be evident, therefore, to every
Intelligent observer that there could not
possibly be fall of 80 per cent in the
purchasing power of our present stock
of currency as result of free coinage,
and if money did not fall it shows con-
clusively that the purchasing power Of
the earnings of our laboring men would
not decreas and there could be no SO per
cent decline in the value of bank deposits
or other forms of Investments.
We challenge any goldite authority in
the country to meet and refute our po-
sition in this matter, and we have no
hesitation in predicting that none of
them will undertake to 90 so.
They will probably keep on lying
about so per cent fall in the value of
all our currency as necessary result of
the reopening of our mints to the free
coinage of silver and gold at the ratio of
16 to l, just as they kept on predicting
similar disaster during all the years from
1878 until 1890, when the Bland act was
in operation, without ever having their
prophecies verified by experience. They
we're just as certain then that limited coin
age under that act would put this country
on a silver basis, and make our measure
of values, first a 9O-cent dollar, and then
an 8O-cent dollar, and then 70-cent dol
lar, and then so cent dollar, as they are
now that free coinage will give Us So
cent dollar; but everybody knows that no
disparity ever arose between silver dollars
and gold dollars in the period in question,
and it ought to be equally plain to all in
telligent citizens that the goldites are as
false and as foolish in their teachings
now as they we're then.