The diamond drill. (Crystal Falls, Iron County, Mich.) 1887-1996, 1896-08-22
BRYAN ON THE RATIO.
He Sang a Different Song on the
Subject When He was in
Congress.

On the 10th Of August, 1893. on the
floor OF the House Of Representatives.
Mr.. Byran said:
I'm fixing the ratio we should select that
one which will secure the greatest ad-
vantage TO the public and cause the least
injustice. The present ratio. in my judg-
ment. should be adopted. A change in
the ratio could be made las In 1SB4) by
reducing the size of the gold dollar. or
by increasing the size of the silver dol
lar, or by making a change in the weight
OF both dollars. A larger silver dollar
would help the creditor. A smaller gold
dollar would help the debtor. IL is not
Just 10 do either but IL change must
be made. the benefit should be given 10
the debtor rather than the creditor Let
no one accuse me Of defending the just
ness OF any change: but | repeat II, III
we are given a choice between change
which will aid the debtor by reducing
the size of his debt and change which
will aid the creditor by increasing the
amount which he is TO receive either by
increasing the number OF his dollars or
their size. the advantage must be given
10 the debtor"
Legislation in favor Of debtors or OF
creditors. rs n class. would be class leg
islation and wholly nnjustifablc. Cues
tons between debtors and creditors are
properly settled in the courts: and eyory
court will hold that what Is right for the
one Is right Tor the other also. Mr.. Bry-
an, therefore. did well 90 disclaim adj
vocacy Of any change Of the existing
ratio. Should n change be made mt any
time hereafter il cannot and ought not
10 affect contracts antedating such
change
But in advocating the unlimited coin
age OF silver bullion. az the present ratio,
for The owner and without cost TO him.
III m OH Of t1a.s
entire basis upon which business is trans
acted. We are informed by him that
there are three ways by which the ratio
between gold and silver coin can be al
tered; l. The shrinkagc In size Of the
gold dollar. . The enlargement of the
size and weight OF both dollars. Either
of these three methods contcmpiates n
nearer approximation OF the coinage ra-
ito 20 the commercial ratio and Is so far
forth honest. II this approximation Of
the two ratios were carried TO the point
Of idcality, the change suggested by him
would be absolutely honest-Droyided
that 10 IL not retroactive in its application
60 outstanding debts.
This is not. however. the change which
would follow the adoption Of free coin
age ~ 10 20 ]. There Is still another
possible change 90 which MIR. Bryan
made no reference In his speech. namely.
the shrnkagc Of the silver dollar A
silver dollar containing 3T1h grains OF
pure silver. worth 30 cents In gold. which
nevertheless passes current for 100 cents
In gold. is an anomaly in finance, unless
explained. The explanation is simple.
Fifty-three cents of the current value OF
this dollar Is visible: AZ cents of it's value
il invisible. and consists in credit. Free
and unlimited coinage would destroy this
credit. In advocating free coinage nc
| 10 10 1. therefore. Mr.. Bryan proposes TO
make the silver dollar sma llcr-nOt to the
eve. but in fact.
This would be change OF ratio IN the
purchasing power Of the silver dollar. az
compared with gold dollar, from 1871
10 81:
To avoid this result Mr.. Bryan gravcly
proposes that we should do one Of two
| things: double the weight Of the silver
dollar. or else coin gold dollars half their
present weight Anybody can see thar
one of these would have To be done. in
order that identity should be established
between the coinage ratio and the COM
mercial ratio.
Which Of these two cxncdicnts Goes
Mr. Bryan favorp He tells ms that en-
larging the silver dollar would help the
creditor. IL could only help him by
maintaining the present standard of
value. He also tells us that halving the
gold dollar would help the debtor. If so.
IL would be by a change In the present
standard Of value. Finally, he tells us
! that he prefers the latter expedient. be-
| cause the debtor has rights superior TO
the rights Of the creditor.