The diamond drill. (Crystal Falls, Iron County, Mich.) 1887-1996, 1896-10-10
Condition Of the Laborer and
Business in a Land Where
Free Coinage Exists.
WHAT THE MExICANS SAY
A Representative Of the ST Louis
Globe Democrat Tells What
He Saw

porous, there has been much written Oy
men who had lived there and others.
The reports, which were not flattering
20 the country, were denied by the sill
yer advocates and branded as lies. The
silyerites stouty maintained that IL la
Dor was as well employed here ms In
Mexico the great question of what TO do
with the poor would be solved as there
would be no poor They claimed that
in that country there was no Wall street;
that food, clothing and the necessities
of life were cheaper; that the nation
was prospecting as 1t never had before,
and all on account of the free coinage
of silver
The ST. Louis Globe Democrat, wish
Ing TO be just In the matter, decided
10 send n representative there who would
report what he saw and learned, with
out regard as 10 how the reports would
affect the political situation. The man
was one on whom the paper could de-
pend TO tell the truth.
Extracts from some of the letters
which throw some light on the subject
of free silver and it's effects are printed
below:
Prices Depend on Foreign Exchange.
Pirates on the high seas could hard
ly be a more dangerous menace 20 com
merce between nations than this iluctua-
ton OF exchange between countries on
different standards. Outside Of a few
mOney-changers at coast ports, business
men of the states hardly notice from
week 10 week the variations in exchange
between their country and Europe. But
In the business relations between the
United States and Mexico the changing
difference between the standards is
matter of hourly concern.
Whats exchange todayI" goes with
every mornings salutation between mer-
chants in Monterey
"Silver's up" or "silver's down" is the
commercial news of first Importance.
The shrewd representative Of a San
Antonio tTex.) jobbing house on his way
back TO the states from his midsummer
round Of the cities Of Mexico said:
Here's n variation OF DC between the
gold standard Of the states and the silver
standard Of Mexico within two weeks.
How is a man going 10 sell goods or do
any business between the countries when
he has got 10 make allowances for such
fluctuations. When / soil bill of goods
10 n Mexican merchant on six months
time I've got TO figure the prices high
enough 10 save my house in the event
that silver drops by one of those violent
fluctuations before the day Of settlement
comes. The merchant has got TO mark
the retail prices on margin sufficient
10 protect him against possible change.
And so American goods must be sold in
Mexico AT two margins above legitimate
! profits in order TO protect the American
Ajohber and the Mexican stOrekeepcr
|against these rapid up and down move
ments Of the standards. The condition
IL simply ruinous 10 trade. People will
not buy when prices are raised ON them.
My house may make n tremendous profit
or barely save itself in n sale Of goods on
six months time. That isn't the way TO
do business. You might as well have n
Chinese wall between two countries as
these fluctuations. And this is what we
will have on vastly greater scale II
the United States goes 20 n silver stand
ard and Great Britain and the European
nations continue the gold standard.
know what this thing Of two standards
means between Mexico and the States
and | don't want to see IL i'm our trade
with Great Britain and Europe.
A Dollars Worth of Labor.
A dollar worth 30 cents commands the
same labor i'm Mexico now that dollar
worth n dollar did ten or twenty years
ago Right there Is the cornerstone on
building. That is what makes il now
profitable 60 work mines with ores worth
81 and IS, Mexican money, ton. That
condition of labor brings the cost Of min
ing and carrying out the ore down 10 81
n Ton. That kind Of labor built and
operates the cables, which take the place
Of thousands OF burro trains, NJ a frac-
ton of the cost for like construction and
operation In the States Gables have re-
duced the cost Of conveying ore from the
mine TO the railroad, two miles down the
mountain, To 20 cents and 30 cents n ton.
This labor enables railroads to haul ores
nj from 80 cents 60 81 ton. II figures
in the cost of the TRANSFORMATION of the
coke from the gulf and the coal from the
border And. finally, IL enables the
shelters to make an unprcccdentcdly low
rate of 81 a ton for treatment of ore.
A nlpW al
y pick in the mine 20 the landing Of the
Use bullion into molds at the furnace,
This fiNity Of wages on the basis of n
dollar deprecated TO one-half its value Is
the chief factor which insurcs the profit
What matters Ii IL silver goes down IL II
commands just as much labor as ever,
and III the lead in the bullion can still
be sold for gold? The shelters of MeXi-
co buy ore from the mine owners, and
pay Mexican dollar an ounce for the
silver they get out Of IL. They paid this
several years ago, when silver was worth
more than II is now. They still pay IT,
Recently, under the importation Of com
petition. while silver was dropping so
rapidly In the United States. some of
the smcltcrs OF Mexico advanced the
price they allowed the mine owners for
silver. They are now paying under some
contracts Sl.OO In Mexican money for
every ounce OF silver found In the ore.
Today the brck-making plant few
miles out or Monterey, on the Mineral
railroad, is shipping 10000 paving brick
10 San Antonio. In Texas. IL does this
and pays the adj valorem duty OF 2j per
cent, which the Wilson tariff levies on
brick importations. The contract for
this brick shipment was obtained az
Nm Antonio because this company put
III the lowest and best Of twcnty-eight
Tds. The Monterey company enjoys
the possession OF excellent clay. hut that
isn't what enables Il 60 send brick 60 the
United States at n profit. IL outbid the
twenty American brck-making
companies because IL sells brick for
American money. worth 100 cents In
gold. and hires good labor for Mexican
money. worth so cents In gold. This
company Is paving three miles of Monte
rey streets with brick displacing the
cobblcstoncs Of time immcmorial IL
put down n block Of the brick paving as
an object lesson, and the governor. Gen.
| Bernardo REYES. with n keen perception
| for q good thing. ordered three miles Of
a.. ~ a.