The Wichita daily eagle. [volume] (Wichita, Kan.) 1890-1906, 1896-08-16

FIRST SHOT IS FIRED
Continued from First Page.)
one ounce of gold is equal to thirty-one

one ounce of gold is equal to thirty-one
| ounces of silver.
The expression free and unlimited
! coinage Of silver means that any owner
| of silver bullion, without regard to where
| It was mined may take any quantity of it
| TO the minis of the United States and
| have it coined into silver dollars, free of
| expense, one dollar for every 41215 grains
| OF standard silver presented and the coin
| ed dollars delivered to him as his prop
erty, to do with as he may desire. The
! only obligation of the government BEN &
| that the dollars shall be taken at Their
lace value in the payment of debts.
The government does not issue the
| money and has no control over it after
| II IS delivered to the owner of the silver
bullion. he can exchange it for products,
land or labor, at such terms as he can
| make with the owners of these comnlod-
| tiles.
HISTORY OF COINAGE.
When the mint was established in
1872. We coined gold and silver free, but
not at the ratio of Is to l. Hamilton and
| Jefferson made diligent efforts to ascer-
tain the commercial ratio between these
TWO metals and they expressly declared
that when it was determined, the metals
| should be coined at that ratio. II the
| commercial value had been 81 to /, as
| II IS now. the minis would have been
opened to the coinage of these metals at
/ that ratio; but they ascertained that the
J was made the coinage ratio. They re-
| cosnized the binding force and power of
| Gresham's law, which is, with unlimited
! coinage of both metals at a fixed ratio,
| the metal that is overvalued at the mint
will go to the mint and viii circulate as
money, while the metal that is under
valued at the mint viii retaire from cir
culati ton"
While 10 ounces of silver were worth In
the market one ounce of gold at the Tina
that ratio was adopted it did not main
tain that as the market ratio and no one
would take an ounce Of gold to the mint
to be coined when it was of greater value
in the markets. AS a consequence, gold
went out of circulation and silver alone
went to the mint for coinage and became
the standard of values.
One other point IS important to consider
and that is that the foreign coins which
were made legal tender in the United
States, were worn and did not contain as
much silver as cur silver dollar. AS
consequence, being cheaper, and cheap
money always driving out dear money,
President Jefferson, in 1906. made the fol-
lowing order through his secretary OF
state:
Department of State,
May l, 1906.
''Sir: In consequence of a representa-
ton from q director of the Bank of the
United States, that considerable purchases
have been made of dollars coined at the
mints for the purpose of exporting them.
and it is possible that further purchases
anu Expectations Will De maze, the preSl-
dent directs that all the silver to be coin
ed at the minis shall be of small denom-
nations. so that the largest pieces shall
not exceed half dollar. I am. etc,
JAMES MADISON.
Secretary of State.
ROBERT PATTERSON. ESQ,
Director Of the Mint"
This order made by President Jefferson
closed the minis to the coinage of the
silver dollar and there were none coined
" I of hcy,
and no others were coined until 1910. Thus
we observe the treatment that these two
great fathers of Democracy. Jefferson and
Jackson, COVE the silver dollar
ACTS OF 1884 AND 1887
The circulation in the country until
1884 was largely deprecated silver. In
that year. under the leadership of Thomas
h. Benton, and with the hearty indorse-
ment OF Andrew Jackson, congress chang
ed the ratio for the direct purpose of
bringing gold into circulation Obserya-
lions We're again taken and they dill
gently endeavored TO ascertain what the
commercial ratio between the two metals
was. They determined that II was 16 TO
l. That is, comparing the same guam
titles of gold and silver, gold was l6 times
as valuable as silver. The act of 1897
modified the act of 1884, and gold came
back into circulation. But again free
coinage of both gold and silver failed TO
keep the commercial ratio the same as !
the coinage ratio, and as 10 ounces of |
silver became worth in the markets, more |
IMAM ounce of gold, gold came into c!rcu- |
Iation and became abe standard of values, |
while silver retired from circulation.
ACT OF 1853
The silver dollar as first coined con- |
tanned 4l6 grains of standard silver until |
1871, When 1t was reduced in weight to 1
4I2l2 grains of standard silver and has |
remained so until this day In 1919 a /
law was passed providing for the coinage |
OF gold dollars and twenty dollar pieces. |
4 nlIrnOSp fnr he
OF gold dollars, was to keep in circulation |
smaller coins. the silver dollar having |
gone out of circulation. This condition |
continued until 1853 silver of all kinds |
gradually retiring from use as money |
anu gold becoming almost the sole money !
IN circulation. In that year another |
chahSe was made and very important F.,
enc. Under the law, as il existed IN ia |
that time, the half dollar contained half '
as much silver as the silvei. dollar. and I
lhe quarter one fourth as much and the |
cine one-tenth rs much, and as the silver
uoIar was worth more in the markets |
than 1t was come, as money, it did not
circulate, neither did the minor coins.
The act OF 1sSS was I=ssed for a definite
Plurpose. II was the Beginning of a diff
ferene policy ty this government so far
as silver Is Governed ID until that time
any owner &C s!lIer bullion oouli take 4
10 the Inirt and have 90, ed free into
dollars. taff dollars qnalte.S I'D dimes |
After that act the coinar- OF silver w.s
not free 20 the owner &C the nYl,ion for
the coinage of half dollars. quarters ami
dimes The amount of silver IN the h.;f
dollar was reduced to 1872 grains and a
reduction vas made in tho
amount of silver in the quarters. dimes |
ard half dimes. frovis,on MAS MADE for
tae coinage OF these coins on government |
q tV' That Is the soverr 1'en' par !
chased the silver bullion in the market
and coined these minor coins. The mint I
was still kept open for the free COMA ge
or all kinds of gold coins and the coinage
OF the silver dollar. The effect OF this
act was to bring smaller coins into circrl-
lation. These coins were not worth as
much In the markets they We're as
Toney and consequently they remained in |
circulation. They were legal tender TO
the amount OF $. Ii is well to observe
that the country was on a gold basis and |
In proof of this refer to the statements |
Of two of the leading advocates of the
law. Congressman c. L. Durham and
SHELTON Congressman c. |
runham said:
Another objection argued against this
change is, that il gives US /
standard of gold only. I am unable to
perceive what advantage is to be obtain
"a by a standard OF two metals, which is |
rs well. If not better. attained by a single
gold standard: while there are great dis
advantages resulting from IL as the ex-
Dec.ence of every nation which has at
tempted TO maintain tx, has proved In
iced il is utterly impossible that YOU
should long at & time maintain a double |
standard. Gentlemen talk about a double |
standard OF gold and silver as thing that |
sNists and that We propose TO change We
have had but a single standard for the |
hree or four years. That has been and |
: row. gold We propose TO let It remain
%. and to adapt silver to it ana regulate
{ by it"
Congressman Shelton. of New Jersey.
aid
THE main object Of the bill is TO SUNNY