Daily independent. [volume] (Elko, Nev.) 188?-1915, 1896-06-15
SENATOR DANIELS SILVER
SPEECH

Following is a continuation OF Sen
ator Daniels silver speech:
This consequence OF the contraction
Of the currency results from econom-
ic laws which are as fixed and certain
in their operation as the procession Of
the equinoxes or the law OF gravlta-
ton. The whole value OF the proper
ty Of a country is measured by the
whole sum OF the cutrency which may
be used in it's purchase and exchange
and the PARTICLES Of property bear the
same ratio to the particles of the cur
rency which express their price or
valuation as the Ioass of currency. 1t
results from this principle that as the
mass of currency is diminished in
amount the mass Of property dimin-
ishes proportionately in. value as .ex-
pressed in money. 1t follows that a
very small diminution of the volume
OF the currency produces a very large
diminution In the monetary value of
property. Thus, If we we're to de-
stroy all money, it is evident that we
would destroy the monetary value of
all property, for there would be no,
money into which any part of it might
be converted and exchanged. No
price could be fixed, because TO price
could be paid. So, if we were to de-
stroy half Of the money, half Of the
monetary value of the property would
be destroyed likewise, as the demand
for the money would remain as great.
with only half of the supply to meet
it. So, if we we're to destroy 10 per
cent of the money, 10 per cent Of the
monetary value of property would
pass away with it., Now, the value of
all the property of the country is
many times greater, than the aggre-
gate value of al! its money. and the
reduction of property value in money
is just so many times greater than the
amount of the reduction ofthe money
in which the assessment or valuation
is made.
With diminishing currency and di-
minishing values Of property, it is
quite evident that the burdens of debt
and taxation is increased. The debt
remains a fixed figure. There is less
supply of money from which the fund
must be derived to pay it; there is
a less aggregate valuej Of property
from which the fixed debt must be
liquidated. The creditors demand
draws with the same power, and, in
deed, with increasing power, since in
terest accumulatos day by day, while
the supply of funds on which the de-
mand is made d%imiuishes, and the
supply of property from which the
funds must be extracted also dimin-
ishes. Hence, a larger proportion Of
the debtors property must now be
taken to pay the debt. Just so with
taxation. Public expenses, such as
fixed salaries, contracts to supply
armies and build ~navies, to conduct
schools, and construct roads and make
other improvements, and interest on
public obligations, all these items in
the continuous budgets remain at u
stationary figure, and the funds to
meet them must be derived from de-
Ginning v~alues.of land, Of personally,
and OF business. The assessments
made for taxation before the con-
traction OF thei currency took place
remain, while the subjects Of taxa
ton are shrinking in value. The tax
payers must now pay sum which no
longer represents the value ON which
it was based. The burden is increas-
ed, the power to bear it is lessened.
As soon as the reassessment comes
the diminished value Of prowerty il
such that taxes must be increased
in order to discharge the fixed oblipa-
TONS.