The Ohio Democrat. (Logan, O. [Ohio]) 1886-1906, 1896-10-16
HOW PROSPERITY WILL COME.
I'irnotaiiism Wili Steady Prices X coping
tho Two Metals Together

tIOW FhOSFEHll WILL OOWE.
Bimotaiiism WIN steady Prices X eopin Y
tho Two Metals Together
IITrom tho Cincinnati Enquirer.l
Crystal, N. D.-I, with thousands of
others, should like to be enlightened
upon the following questions:
!. Through what channels will pros
perity come in the event of free coin
age?
.. What laws will preserve the
equality of the two metals?
3. What will be the effect on foreign
silver and whut will prevent spccula-
tion In foreign silver by having IL
coined into American dollars2
J. L, CARR.
1. Tho fundamental trouble with all
productive enterprises ut tho present
tiino is found in the fact that year by
year general prices are failing to q
lower and lower level. Every menu
facturcr knows that it Is impossible
TO conduct n profitable business when
his products arc constantly declining in
price. It. is agreed by all political
economists that % general fail in prices
really means an appreciation in the
value of money. The continued de-
cline in general prices since 1873 in
all gold standard countries means,
therefore, that the volume of money
has been insufficient to keep pace with
population and business. The great
virtue that binetallists claim for the
reconciliation of silver Is that 1t will
ca innrnpstn fhn c,,nr1x Nf hA
mntcrlnl that our money volume will
be adequate to keep prices steady. The
minute we steady prices prosperity will
set in, because whenever 70 manufac-
turer can self his goods for n greater
price than they cost him to produce
no other encouragement Is necessary
to induce him TO manufacture goods
The fnrner Is in the same position as
the manufactures, md, whereas, he
now finds hie crops cost him as much,
II not more, than he can sell them for,
owing to the steady appreciation in
the value of money, he will find then
conditions reversed and his crops scll-
ing for more than they cost him.
2. BimctnlllstT claim that the equal
ity Of the metals in value Mt the legal
ratio will be pcrserved by the option
which bmctallism gives to all persons
to use either metal they may
choose. Should there lie ten
dcncy for gold TO rise in com
parson with silver the demand for
monetary purposes is thrown upon sill
yer and withdrawn from gold until par-
ity IL secured. Should silver show
tendency to become more valuable than
gold then the demand is taken from sill
yer and put upon gold. with like re-
suit. This action in regard to silver
md gold is in no wise different from
what it is in other cnses where one ar
tlclc is n substitute for another. Both
wheat and corn can be made into
bread, and both will sustnin life. If
wheat should become very scarce the
fact that cornmcal could be used would
prevent the price of wheat rising be-
yond n certain figure. People would
begin to substitute corn bread for
wheat bread, and thus the demand for
wheat would he decreased. The trouble
with the single gold standard is that
when gold begins to go up silver could
not be substituted, and therefore all the
nations on n gold basis have boon striv-
ing to secure as much "a possible of the
limited supply of gold on hand. with
the result that gold keeps stendily
mounting higher and higher.
3. Youmust understand that the price
of silver in the United Stntes would he
the price the world over. No one would
bring silver here to be coined from any
foreign country. because the price In
the foreign country would be the same
as that here, less. perhaps, charges of
transportation, etc. Besides this, no
foreign coin would come here TO be re-
coined. because in most countries their
ratio is higher than one TO sixteen, and
hence thcCe would be loss in bringing
II here to be coined. Foreign subsidiary
silver coin. of course. would not come.
There is also no great stock Of silver
bullion, that is, uncoined silver. any
wherc in the world. The silver basis
need all the silver money
they have on hand. Under these cir
cumstances you will perceive that no
speculation would be possible.