The San Francisco call., 1896-08-16
MONO SILVlRITES
ARE ASSA|LEO,
I Continued from First Page.I

earliest practical moment in coin. In order TO
carry out these pledges it became necessary to
revise the various coinage laws OF the United
States This was promptly and very carefully
done by bill framed in the Treasury Depart
ment while Mr.. Boutwell, was Secretary.
This bill omitted from the coins the United
States the silver dollar, precisely as was done
in 1858, but provided for the coinage OF the
fractional parts OF the dollar, in accordance
with the act OF that year. This bill was pend
ing in Congress for three years-was carefully
considered in both houses, and special atten-
tion was called to the omission of the 41212
grains silver dollar which was never in the bill
at any stage, and the reasons for this omission
given. The bill passed both houses and be-
came law February II, 1873, by practically a
unanimous vote of both parties. and was espe-
cially supported by the Sena tors and members
from the silver States. This has been called
'the crime of 1872 and as the bill was un-
der my charge i'll the Senate, was held to be
the chief criminal. 1t was, in fact, wise
measure of public policy, carefully discussed
and considered during three years.
1t is strange that the very men who sup
ported the coinage of 1873 and demanded the
exclusive use of gold are the very men who de-
mand the free coinage of silver and denounce
as ''goldites" and srobbers" all those who be-
lieve in the coinage OF both gold and silver.
Senator Sherman quoted from speeches
delivered in 1874 by Senators Jones and
Stewart of Nevada, favoring gold stand
ard, and continued:
Senators Jones and Stewart and all the Rep
resentatiyes and Senators of all the silver
States were honest and urgent in saying that
gold was the best and only standard of value
but they changed their minds when the largely
increased and increasing production of silver
in Nevada and other States reduced the
market value OF silver below that of gold at
the established ratio of 16 to 1. When the
coinage law of 1873 was enacted neither gold
nor silver was used in domestic transactions,
but we collected our customs duties in gold
coin and conducted our foreign commerce in
gold, the money of the world. Itwas not until
January, 1873, that the first step was taken TO
resume specie payments, nor did we resume
until January, 1879. During this period
silver rapidly fell in market value below gold
at the ratio of 16 to /.
Prior and subsequent to 1873 many changes
were made in coinage by the leading countries
of the world, and gold became the standard of
values in those countries, but in all silver was
coined and largely used as subsidiary coin,
precisely as in the United States. The Bland
bin, if it had become a law as 1t passed the
House. would have demoneti tized gold. When
the bill came to the Senate an amendment
was made on motion of Senator Allison which
changed the scope of the bill, and authorized
and directed the Secretary of the Treasury to
purchase from time to time silver bullion at
the market price not less than So, ,000,0 nor
more than $4 900 900 worth per month, and
cause the same to be coined into silver dollars
as fast as purchased. This blh, SO amended,
passed both houses. 1t was known the
Bland-Allison act. 1t greatly added to the diff
feuities of resumption, and for that reason
was vetoed by President Hayes, but became
law over his veto. Under its provisions the
United States purchased over 29l 200, 900
of silver at the cost of $30S, ,279, ,260. 1t
was hoped that this enormous purchase would
arrest the decline of silver, but in spite of it
silver steadily declined in market value, and
at the present price the loss to the Govern
mept on the purchase of silver under this act
amounts to over $10O,000.0O0.
Senator Sherman then reviewed the pas
sage of the act of July Is. 1890, providing
for the purchase of silver at the market
price, issuing in payment therefor treasury
notes, and its repeal in November, 1898.
He continues:
We cannot by law fix the value of either
metal or coin or of any of the articles that
enter in to the wants of life. The great law of
demand and supply affects the value as it
does iron, copper or zinc. Ali have fallen in
market value by means of new discoveries and
improved methods of production. We had
July !, last, in actual circulation among the