Richmond dispatch. [volume] (Richmond, Va.) 1884-1903, 1896-06-03
THE COINAGE QUESTION.
Our Disense, and the Remedy to
Cure IL.

| To the Editor Of the Dispatch:
However much Democrats and Republi-
cans may differ from each other or among
themselves about measures and meth
DDS, all are agreed that a return to
business prosperity Is a matter OF para
mount Importance. Just now the silver
method Is striving for right-of-way. II
| II will accomplish the end in view, II
ought TO have II. VIII It do so? There
are those who say that our financial
troubles grow out Of a scarcity OF money
| 10 remedy which they advocate the free
coinage Of silver at 16 to l. Those OPP
posed TO the free-coinage measure say
| that Il viii not only not relieve the stu
| alton, but will really lessen the amount
Of money in circulation. instead OF in
| creasing it, As this is considered by
some to be the fundamental question at
issue together with that OF the pur-
chasing-power OF silver. II the free-coin-
age measure prevails), IL would seem that
| its correct solution is of the greatest i'm
portance VIII the free coinage of sill
| yer increase the amount Of money in cir
| culation, or not? Mr. Cleveland has
been trying to keep the coins OF the two
metals at an equal rurchas.ng-value, but
IL has been a difficult task, even with
the small amount of silver in circulation.
Should there be vast increase of sill
yer money through unlimited coinage (as
the friends Of silver wish. would II be
! possible for Mr.. Cleveland or any one else
10 do this? Would not the two metals
part company at once. and every dollar
of the sji9.0J0O00 of gold now In use dis
appear as q circulating medium, and be-
come a commodity to be bought and sold
at a premium? Perhaps the silver peo-
Ill IgnlgCp
gold with silver. and coin enough, not
only to fill up the gap occasoned by the
withdrawal of the gold, but vast deal
more.
Very well. How long will it take to
coin enough silver to fiji up this gap?
The Director OF the Mint estimates the
capacity of the minis for coming silver
dollars to be about 100000 per annum
1t would therefore take the mints
thirteen and half years 20 coin
enough silver to replace the gold, during
all OF which time we would have less
money than we have now, and the prom
ised increase would only begin when
we shall have lived through ten years
Of the next century. II the number or
capacity Of the mints were doubled or
trebled. Il would still be years before this
100000 OF gold could be replaced with
silver Besides, how is free coinage to
OF course the silyer-mne-owners would
get their bullion to the minis, and I'm
course OF time succeed I'm getting the re-
sulting coin, or some of 1t. into circula-
ton Though, If one has s. OF II In his
rocket the weight Is uncomfortable; but
the people at large who are clamoring
for free silver, and are going 10 vote FOR
IT, presumably, do not own silver-mines.
A small fraction Of our people may have
Iii. .Iaf md faNx 70 mil
the land might get a hundred, or. pos
sibly, a thousand dollars in coin from
the mints i'm exchange for their plate.
II they live long enough. But the people
who own the silver plate are perhaps
the very ones who are opposed TO free
coinage: and II those who favor IL have
nothing TO coin, what Increase OF money
will II occasion, or what relief 10 them!
II all who owned silver plate wished 10
have II coined, and could get this coin
at once would the amount so obtained
make any apprecable difference in the
volume Of money now IN circulation?
But. can we attribute the present state
Of things i'm the business world 10 a money
famine, when there is none? As mat
ter OF fact, money is abundant, and Is az
this moment seeking borrowers. There
Is as much money in the country to-day
as there was I'm the days OF business pros
perity four years ago. The temporary
scarcity of money was a symptom OF the
disease. rather than the disease itself.
How did this scarcity Of money come
about? II we can diyest our minds OF
all side issues and get above the fog
occasioned by the discussion OF free sill
yer. etc, the answer TO this question
may reveal the source of the trouble and
suggest a remedy. Not that there Is
anything new in this. but we have argued
and discussed questions arising from the
evil until we have lost sight Of the evil
itself Everything was moving along sat
isfactorily in the business world until the
question arose as 10 the ability OF the
United States to keep the silver that was
being coined equal TO gold I'm value. Peo-
ME I'm Europe who owned our bonds and
stocks began 10 fear that IL could not,
or would not be done. Withdrawals be-
gan. and continued until the gold in the
Treasury diminished to an extent that
created panic People lose their mental
balance in a panic, and the distrust or
the government soon extended 10 dis
trust of the banks. the resources OF which
were taxed TO the utmost to meet the
steady drain upon their supplies OF cur
rency The banks adopted measures
which finally checked the run" but not
until millions of money had been with
drawn and boarded by the people Thence
arose the temporary money scarcity.
Note that the stringency in the money
supply thus occasloned was the result
OF the panic. not the cause OF IT, and
also that this stringency has passed away;
that money Is as abundant as IL ever was.
and vet business Is PROSTATE. The cause
of the prostration then is not In the sup
posed lack of money. Observe. IL is not
contended that there Is as much currency
in circulation lin the South, particularly
as there ought 10 be for the best interests
Of the people. but simply that as tho
present unrest and business depression
exists with the same amount OF money
I'm use as when prosperity was at its
height. we must seek some other explana-
ton of the trouble. What. then, IS the
matter? Isn't II precisely what IL was at
first: The fear that the government or
the people, cannot or will not settle
their debts in dollars worth 100 cents each?
The fear OF debased silver currency
TOO large TO be kept at parity with gold
seems TO be at the bottom OF the whole
matter. The coinage OF a limited amount
OF silver under the Sherman bill being q
prime factor In bringing about our troubles
IL Is prosposed 10 coin an unlimited
amount OF silver 10 remedy these troubles
we are asked TO jump from the frying
nan into the fire. Is II strange that con.
slderatlons such as these deferred good