The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1896-10-29

quent upon the closing down of the sill
yer mines following the repeal of the
silver purchase act.
CONSUMPTION OF LABOR IN
PROSPECTING.
Nor is this the only benefit that could
be derived from the advanced value of
silver to its coinage measure IN giving
employment to those concerned di-
rectly in silver mining, great as that
may be. The hope that encourages
prospecting for silver and gold mines
with the expectation of striking it rich
some day, consumes vastly more labor
than the employment that is given to
men in all the producing mines of the
country. The opening of the minis to
silver would open up new fields for the
vast armies of the unemployed, and
employment would Danish grievance
discomfort and crime.
FURTHER BENEFITS.
Further possible benefits are to be
considered in the advanced value of
silver in the interest of the employment
of labor Silver is very largely the BIZ
product of copper and lead. The
largest producer in the world today is
the Anaconda company, a copper COM
pany, whose bi-product amounts to
from one-siXth to one-ffth of the entire
silver production of the United States
Consider in this connection how much
greater the advantage made possible
by the advanced price of this BIZ
product-silver, making it possible to
reduce the price of copper a few points
Here is metal entering into the-indus-
tries of the world next in Importance to
iron. Here is the chance for the
expansion OF. industries by placing the
metal within the limits of new lines
of consumption that would give en-
ployment to men; or, again, the adj
vanced price of this bi-Droduct may
protect the mines from closing down,
should the price of copper fall below
the price of producing copper only as
a direct metal. thus maintaining hun
dreds of thousands in employment.
The same reasons Will hold good in
the industrial features of lead mining.
THE INDUSTRIAL ADVANTAGES.
Those who have never made a study
| of silver production can hardly realize
the industrial advantages in the en-
ployment of labor, directly and indi-
rectly concerned.
So far we have considered the pro-
duction of silver and gold purely from
the industrial standpoint We find
that if labor is made the unit of value
in their production, then
SILVER IS A TRUER MEASURE OF
VALUES
than gold, as it costs more to produce
it. We find that the profit of gold
mining is enormously greater without
yielding anything like the benefit in
the consumption of labor. 1t is a fact
however, that could all the labor of
prospecting and working the unprofit-
able mines be charged up to the pro-
ducing mines of either gold or silver,
It would be found that the cost of pro-
ducing the money metals is far above
their coinage value
I have heard of silver Being pro-
duced as low as Is cents an ounce,
which at its coinage value would sell
for S1.2e per ounce. l have heard of
gold being produced for % cents an
ounce, which sells in the markets for
500 an ounce. Compare the profit in
the production of these metals, and de
termine which in the coinage system
robs the people, and which brings the
greatest benefit, and is the truer meas
ure of values by the unit of labor
1t is self evident then, that it is not
the cost of producing the money metals
that makes them money or gives them
value by law
MONEY.
Webster defines money as, first, "a
piece of metal. as gold, silver, copper,
etc, coined and stamped. and issued
by the sovereign authority as a me-
dunn of exchange in financial transac-
tfonS between citizens and with the
government" Second ANY written
or stamped promise, certificate. or or
der, as a government note, a certificate
of deposit, etc, which is payable in
standard coined money, and IS lawful
currency in lieu of it.
You VII. observe that coined money
is the only real treasure, as it is the
money OF ultimate redemption. All
other forms of money are in lieu of
coin and amount to demand notes.
STAPLE FINANCIAL BASIS.
1t is evident then in order to have a
stap.e and safe financial policy. that the
volume CT our holdings in coined money
must reguiate the amount of currency is
sued against it. 1t is just as unwise and
as unsafe for the government to have an
over issue of paper, as for the individual,
as is evidenced by our ever recurring bond
issues TIC cash these notes. We are now
down to the principles of financial
economy, and are facing conditions 1t
IS equally a principle in monetary science
that the entire volume of money must
| regulate ell property and commodity
values, under the general relative law of
supply and demand. Now. if we restrict
u
metal. it is evident that our holdings OF
coined money will be about one-half of
what would be possible did we coin both
metals. If we confine ourselves to gold
alone as a basis of money. our circulating
medium vii depend on the amount OF gold
we can borrow as our share of the entire
gold of the world, and this at the OK
pense of such interest rates as our ns-
tional credit will entitle us TO.
If such policy is TO be maintained, it
can only be BROUGHT about by sra 'irg
! down all va us 10 h :afe and wise limit
as VIII give us a staple currency.
ALEXANDER HAMILTON.
Alexander Hamilton said in his report
on the establishment of the mint in 1871.
ITO annul the use of either of the
metals as morey is to AIR dge the quantity
OF the circulating medium, and is liable to
all the objections which arise from the
comparison OF the benefits of a fail, and
the evils CT q scanty circulation. Neither
could the exclusion of either CT them be
deemed in other respects favorable to
commerce"
FALLING PRICES.
Though nominaIiy we have been. on the
gold standard since 1873, and have been
fhrr. the fct'on has been like the ebb
and flow of the tide. rising and falling,
lower and lower, with each receding wave,
untIl ls5S. BY the repeal OF the silver pur-
chase &C. was withdrawn an amount of
! currency that maintained an artificial
condition, such as Is always the case with
inflated eurrency-infiated only in relation
to our holdings of basic money and for
that reason our property and commodity