The Stark County Democrat. [volume] (Canton, Ohio) 1833-1912, 1896-08-06
FREE SILVER AND THE SILVER
MINE OWNER.


What does free silver coinage meanf
1t simply means that the owner of silver
bullion shall have the right to deposit It
at our mints, and have the weight Of
silver returned to him in the shape Of
standard silver dollars OF full debt-paying
power, just as at this time the owner Of
gold bullion has tho right to take IL to the
mint and receive in return full legal ten
der gold coin, weight for weight with the
bullion deposited.
But we are told that 25.s grains Of
standard gold is worth 100 cents, whereas,
I12K grains of standard silver Is worth
but SO cents. Does free coinage then,
mean that the owner of silver bullion
shall get one dollar for every SO cents
worth of silver deposited with the mints'
The gold men say It does. Let us see.
The coinage value of an ounce of pure
gold Is s20.67, OF an ounce Of standard
gold that is nine parts pure gold and one
part alloy, $500. Free coinage of silver
at the ratio Of 10 to means that sixteen
ounces Of silver shall be accepted at the
mint as the equal of one ounce Of gold,
and coined into the same number Of
dollars. Therefore, as one ounce of stand
ard gold, coins into $1s6 Of gold ~coin,
sixteen ounces Of silver would coin into
SIS. go of silver coin. These sixteen ounces
of silver can be bought for s9.94. There
would therefore be profit of ss. 66 on an
investment of 1924, or about 81 per cent.
IL holder of silver could take 1t to the
mint and coin 1t without charge into
silver dollars.
The assertion that free coinage means
that the owner of silver bullion shall
receive 81 in coin for So cents worth of
bullion, is without foundation. Under
free coinage Of gold the valne Of gold as
bullion and gold as coin is the same; 25. 8
grains of gold as bullion (the weight of
standard gold in the dollar) is worth no
less than 25.s grains Of gold as coin. So
under free coinage Of silver 412H grains
Of standard silver bullion would have the
exact commercial value of the standard
silver dollar of 412H grains. whyP
Simply because no one would part with
4121I grains OF standard silver for less
than dollar when he could take 1t to the
mint and have it coined into dollar
without charge, any more than any one
would at this time think of selling 25S
grains Of standard gold for less than $40.
This 25s grains of standard gold is the
exact equivalent of $40, because the owner
has the privilege of taking it to the mint
and getting gold eagle in return.
So under free coinage of silver, 412K
grains of standard silver would be the
exact equivalent of the standard silver
dollar. 1t would be worth no more, no
less for the owner Of silver bullion hav-
ing the privilege Of having it coined into
full legal tender dollars of 412H grains
free OF charge would not think of selling
412H grains of silver for less than a sill.
yer dollar. Nor could 412H grains OF
standard silver bullion become more
valuable than the silver dollar, for just
as soon as silver bullion rose, so that
412]3 grains of standard silver was worth
more than dollar, there would be a
profit in melting down the dollars.
So under free coinage the silver miner
would not get a silver dollar fol SO cents
worth Of silver. He would have to deposit
100 cents worth of silver bullion Just as
the gold miner has to deposit 100 cents
worth Of gold at the mint for every dollar
he gets in return.
But we are told that under free coinage
the gold value of the silver dollar would
be but SO cents. Granting this for the
moment, how would the silver miner
reap any profit? For the silver he took
to the mints for coinage he would not
get gold in return; for the silver de-
posted he would get weight for weight in
silver coin. II the silver dollar was
worth under free coinage but SO cents in
gold, the dollar the silver miner got from
the mint would be worth but SO cents
in gold. For bullion worth SO cents in
gold he would get silver dollar worth SO
cents in gold. The dollar he received
would be worth no ore than the bullion
he deposited, the bullion before coinage
would be worth but SO cents in gold, after
coinage into the dollar it would be worth
no more. So unless free coinage resulted
in raising the price Of silver and depress-
ing the price of gold from which all pro-
ducers would derive great benefit, for as
gold fell, prices would rise, the silver
miner would derive no advantage from
the opening of our mints to silver.
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Editor News Democrat: At the meet
ing of the Bryan Free Silver Club in the
Assembly room, Friday evening, would
IL not be proper to take up the matter of
reception to W. j. Bryan, as he passes