The Kinsley graphic. [volume] (Kinsley, Kan.) 1890-1940, 1896-07-31
AFINANCiAL oArECHIsM


Q-What is the bullion in gold
dollar worth? Alt is always worth
a dollar in the United States. Its
value is estimated variously in differ
ent countries.
Q-Why is it always worth 2 dollar
in United States money! A-Because
1t may at any time be. taken to the
mint and coined into a dollar free of
charge. In England its valve is main
tanned at fixed rate by the Bank of
England becoming the purchaser. of
all gold offered at the established
rate.
O-What is the bullion III Il silver
dollar worthl Alt varies with the
time and country. At present. i'll the
United States it is worth about 53
cents.
O-Then the bullion in awhile dollar
is not wol tn as much us tile bulf!on in
4 yellow dollar? A-No, because the
bullion in a silver dollar cannot he
taken to the mint and coined into a
dollar. .e
O-Has this always been SO. A
No; prior to 1873 both metals were
treated alike.
Q-Why was the change made? A
That is one Of the mysteries. 1t was
| said at the time to be because silver
dollars were worth more than gold dol
lars and none of them were being coin
ed. In other words. the silver dollar
being then the unit of value the gold
dollar was at discount and some
thing was necessary in order to in
crease the demand for gold and there
by increase it's value as compared
with silver in the interest Of gold
standard countries.
Q-Was the scheme a success? A
Yes; silver began to decline in value
at once.
| Q-What then would be the effect of
restoring free coinage of silver? A
1t would increase the demand for sill
yer and restore it to its coinage value
Just as it was prior to 1878.
Q-WOuld the owners of gold con-
tlnue to take 1t to the mint? A-Cert-
ainly. because they could get no more
for it anywhere else.
| O--But 1T IS claimed that owners of
gold would buy silver with it. A
That is absurd because the bullion re-
quired for silver dollar being worth
100 cents at the mint and the gold in
q gold dollar being worth no more,
nobody would part with silver on any
basis; besides gold must be coined be-
fore it will buy anything.
OFF the metal in a silver dollar is
so much cheaper than the metal IN a
gold dollar how do the two coins hap
pen to be equal in purchasing power:
4 3A-Prior to the declaration by con-
gress that it is the established policy
Of the government to maintain the two
metals at a parity and the iutrepre;
tation of his by Secretaries Foster and
Carlisle to mean that all forms of cur
rency are finally redeemable in gold the
silver maintained its place along side
of the gold dollar because it was le
gal tender for all dues and was itselI
redemption money. Since that time il
is kept at par with the popular BELIEF
that there is a gold dollar behind it
There is not enough gold all told in thu
l.Uuited States to redeem one-haf o
. the other forms of currency. Insteat
of maintaining the parity between tn,
/ metals the present policy of the gov
, ernment has created a greater diverg
2 ence than ever before existed,
: Q-Is there any reason to believ'
3 that gold, would disappear from .th'
countryp Absolutely none, sine
I it would not he worth any more ANY
where else than here.
I Q-Have amy countries free ceinae
( Of silver? Ayes; Mexico and japan,
nj Q-How does 1T effect them2 A-The,