Iowa County democrat. [volume] (Mineral Point, Wis.) 1877-1938, 1896-06-11
SILVER AND WAGES.
apEEcH OF SECRETARY CARLISLE AT
CHICAGO.

! He Addresses a Mass Meeting of Laborers
on the Currency Question Cheap Money
Everywhere and Always the Enemy of
Labor 1t Reduced Actual Wages in Chile
and Mexico and Would DO So In This
Country.
The following is an extract from the
clear, forciblc AID Tnanswerable speech
CT Secretary John q. Carlisle ut Chica-
20 on April 10:
Money received for wages, like money
received on every other account, is val
liable only to the extent that it can be
exchanged for other commodities, and
| it is scarcely necessary to suggest that
Il dollar worth so cents will not pur-
chase as much in the markets as dol
lar worth 100 cents. To call a dime a
dollar would add nothing whatever to
It's intrinsic value or to its purchasing
power. If these propositions are correct,
it is clear that when wages are paid in
a deprecated currency the rates Of
wages must be increased in proportion
to the depreciation OF the money and
in proportion to the increase i'll tho
viii suffer loss.
But | affirm that it is the universal
rule that the rates Of wages do not in
crease III proportion to the depreciation
in tho value Of tho money i'll which
they are paid. and that when the cur
rcncy is deprecated the rates Of wages
do not increase III proportion to the in
crease in the prices of the commodities
the laborer is compelled to purchase.
Wartime Wages and Prices.
In 1862 tho wages of labor, paid in
deprecated paper, wero less than 3 per
cent higher i'll paper than when paid i'll
gold, but the prices of the 223 articles
used by the laborers and other people in
the maintenance of their families were
nearly 1S per cent higher than they
were when paid i'll gold. In 1868 the
wages Of labor paid i'll deprecated pa
per worth about 90 cents on the dollar
were 1913 per cent higher than when
paid III gold, but the prices of the arti
clcs the laborcr had to buy with his
wages were nearly 10.pcr cent higher.
In 1864 the wages of labor paid i'll de-
prcciatCd paper dollars worth 40 cents
each had advanced 25l2 per cent, but
tho prices of the nccessaries Of life had
advanced 9015 per cent. In 1865 wages
paid i'll paper currency worth G3 cents
on the dollar had advanced 43 per cent
above the rates previously paid i'll gold
or its equivalent, but the prices of com
modities had advanced nearly III per
cent--that is to say, had moro than
doublcd-and i'll 1866 wages paid i'll u
currency worth II cents Oh the dollar
had advanced fraction moro than 90
per cont from the previous rates i'll
gold or its equivalent, but the prices of
commodities had advanced 80 per cent.
Tho rise in the rates of wages never cor
responded with tho rise i'll the prices of
other things until the year 1869, four
years after the close of the war, when
the value of our currency was II cents
on the dollar, and it was quite certain
that no further depreciation would oc-
cur.
The wages Of labor, measured by gold
as they We're i'll 1860 when we had n
sound currency, had fallen about "a
per cent i'll 1868. moro than 10 per cent
in 1864, and nearly Al per cent i'll 1865,
when we had u deprecated currency,
Silver and Wages In Chile.
Tho recent experience Of the republic
of Chile furnishes another impressive
warming to the wage Garner against the
evils of deprecated currency. In 1915
the peso, or dollar of Chile, was worth
about SSh cents i'll our money, but i'll
1888, ten years after gold went out and
silver came i'll, the peso was worth less
than 90 cents i'll our money. Silver con-
tinued to dcpreciate, and besides large
amounts of paper currency were issued
by tho government and the banks, and
III 1895. 20 years after the change from
the gold basis to the silver basis, tho
peso was worth only about 34L cents
in our money. Let us see now what of-
feet this cheap money, or, i'll other
words, this system of silver monomet-
allism which you are asked to adopt
here had upon the wages Of labor i'll
tiltb Nbiiltly'
In 1875, when tho peso was worth
SSi. cents, u mechanic, n boiler maker,
IL blacksmith, a carpenter, fireman
and an ordinary lahorcr received togeth
err for days work lSR pesos OF
$l6.37 i'll our money. In 1885 the same
persons received for the same work 900,
pesos, but, owing to the depreciation of
the currency, this was equal to only
Sl0.93 III our money, and i'll 1898, 20
years after the country had descended
to II silver basis, the same laborcrs re-
ceived for the Same work 25. 90 peStS
but the value Of the peso was less than
80 cents, and consequently their wages
amounted to only S.. "a III our money.
or just about one half of what they had
received 20 years before.
Our minister to Chile. after very
careful examination of the entire situa-
tion i'll that country says, 1t may be
taken for granted that i'll Chile, rs III
all other countries which have like
financial experience, the consequences
of chcap money have weighed most