The Scranton tribune. [volume] (Scranton, Pa.) 1891-1910, 1896-10-30
THE POOR MANS MONEY.
History Proves That II Is Gold, Because
Gold Gives a More Stable
Purchasing Power.

From Letter by John J. Rooney In the
New York Sun.
You say "silver is the poor mans
mOney-the workingman's money!" l
asked of my Democratic friend, who,
largely through mistaken party loyal
ty, was leaning to Bryan and free sill
ver." well. | have voted the Demo-
cratic ticket as often as you have, but
| can't agree with you. History shows
that the contrary is the truth; gold is
the wage earnerS' friend, his best ally;
silver his worst enemy"
THAT is a surprising statement" my
friend exclaimed, Il never saw any
gold IN the hands of the Workingman
among the poor. How do you fit that
fact with your assertion"
THAT is a fair question-one that has
served to create this prejudice against
gold, but. like many other prejudices,
it does not bear the light of reason, of
fun discussion. You say, now, the poor
man, the wage Garner, never sees gold,
and that therefore it cannot be of any
use TO him. But have you ever con-
sidered that every dollar that now
comes into the hands of the working
man-yes. every CENTS practically a
gold dollar, practically a gold cent?
Why? Because the government of the
United states, the treasury, stands back
of every one of those dollars, every one
of those copper cents, with gold ready
for redemption purposes.
In other words, my friend, the silver
dollar you hold in your hand Is worth
as melted bullion about So cents. Where
does the remaining AZ cents worth of
purchasing power come from? From
the gold in the treasury vaults. How
much is the copper in a cent worth,
how much the nickel in a scent piece,
the silver in a dime, in a quarter, in a
half dollar? Not one Of these coins
stands on its own intrinsic value.
Every one of them, in their power of
purchase, is now a gold coin--is as good
as gold-is gold. The gold and silver
coin does not circulate extensively
among the people, largely because of
inconvenience and also because of q
government policy of substituting for
the coin the notes that stand for it; this
policy grew out of the issue of green
backs and the issue of silver notes by
the treasury. If gold has disappeared
from common circulation it is chiefly
due to the practice forced by political
pressureS upon the government of isSu-
ing great patches OF paper money. for
the redemption of which the treasury
has been compelled to keep huge gold
reserves and the banks gold funds to
meet emergencies.
FREE COINAGE, NO CURE.
"But won't the free coinage of silver
at Is to l remedy this?"
Free coinage of silver will compel
the United States treasury to announce
that it is unable to keep its silver and
notes as good as gold, redeemable i'm
gold. The silver dollar will then fall to
its bullion value. SO cents. the minor or
subsidiary coins in proportion. The
fixed wages of the worl<ingman will
perhaps, remain the same in name. if
the employer survives the business
shock, but in the power of purchase the
wages will be cut in half"
But wouldn't free coinage release
the gold from the treasury ana banks
among the people," my friend inquired
mo. The gold will be released. but
it will be released for export. The gold
dollar will go where it will bring its
true bullion value; it is clearly impos-
sible to circulate dollar worth 100
cents, gold. with a dollar worth 53 cents.
i'm unlimited quantities. They remain
side by side now in our coinage because
the silver dollar. the less valuable one
in bullion. is limited in quantity. The
increase of the supply. through the Sill
YER act of 1890. drove out millions of
gold and brought on the panic of 1893.
What would an act Of the same kind.
a free coinage act, do? Drive all gold
out of the currency
How would that affect the poor
man."
THE poor mans money-his wages
and his savings-would be worth their
silver value. one-half their present gold
value. 1t is hard to see how silver.
under those conditions, would be the
poor mans friend
But would not the silver dollar ad-
vance to the value of the present gold
dollar?"
THE treasury has spent for silver in
eighteen years over 800 100000. and the
price of silver has steadily fallen. The
reason is. the supply increased to meet
the demand. and the supply is not yet
more than scratched. In Mexico. where
silver coinage is unlimited, the silver
dollar is worth only it's bullion price:
our silver dollar, though holding less
silver, buys twice as much even in
Mexico. because it is gold here. An
unlimited amount could not be kept
gold by our treasury, and the poor
man would find. under free coinage.
that he would pay two silver dollars
for his living where he is now paying
the one dollar which is kept gold at