Kansas agitator. [volume] (Garnett, Kan.) 1890-1905, 1896-07-31

the area OF France. A single one of
our railway systems, the Erie, ex-
ceeds the aggregate railway mileage
of all Mexico. We offer an employ
ment for money to an aggregate
greater than the worlds spare silver
will furnish. Hence our silver money,
at home and abroad, will be valued
as the money of the United States.
| 1.-THE opposition threatens us with
flood of Europes silver upon our re-
opened minis We answer, Europe
has no silver but her silver money.
Her silver money values silver at from
cents to cents on the dollar higher
than ours. Hence the European
banker mast sacrifice from three to
seven per cent of his full legal tender
| money in order to recoin it at our
mints. Europe's silverware, like
Americas silverware, carries in 1t the
additional value of labor and the
manufacturers profit.
They threaten us with food Of
silver from the far East. We answer
that the course of silver is invariably
Eastward, and never toward the West.
British India is perpetual sink of
silver, absorbing it, never to return,
| by from $40, 900, QUO to $50, 900, 900 worth
every year. And midas absorption
of silver will be enlarged by the
steadiness of price for silver fixed by
our reopeDed mints.
Our Gold Already in Retirement
"They threaten US with a sudden
retirement Of 5000, 900, 0OO gold with
the acco m oanying panic, causing con-
traction and commercial disaster I'M
II 81 ID w hot tnt,
stock of gold other than about $780,
0O0,0 or Sl50, 900, 900 circulation of
the Pacific is already in retirement.
Practically all our gold is in the
United States treasury or held by
banks. The gold held in the treasury
will remain there if the secretary
avails of his option to redeem United
States notes in silver. The gold in
the banks constitutes the quiet and
undisturbed portion of their reserves
against their liabilities. 1t will con-
J tinue to do money duty as such re-
serves after free coinage for silver is
enacted. Hence, premium on it will
not contract the currency. The ut
most possible contraction of the cur
rency will be the few millions circu-
lation on the Pacific coast and this
will be retired but slowly.
"a similar threat of flight of gold
was made for the Bland act OF 1878.
President Hayes was urged to veto it,
but Congress passed it over the veto.
Instead of fight of gold, as had been
predicted, we gained by importations
81, 900, 600 the first year, $40, 900, 900 the
next and 800, 100000 the third year.
During the twelve years that the act
was on the statute book we gained
sell, coo, OJO of foreign gold. Instead
of the destruction of our credit broad,
as had been predicted, the United
States per cent loan, which stood at
iO1 on the day of the enactment, sold
at leo per cent within three years, and
at 1870 per cent subsequently. Instead
of defeating the resumption of specie
payment on January of the follow
ing year, the 24,00O,0 900 silver dollars
which were coined in 1878 and circu-
lated by means of the silver certlfi-
Gates, reduced the demand upon the
government for gold. Hence the
threat of disaster is without historic
foundation.
What Will Follow Reopening MINIS
"This, too, is what will follow the
reopening of our minis to silver: The
gold already in the treasury will re-
main there, if common sense dictates
the treasury management; that is, If
the treasurer exercises the option to
redeem United States bonds in silver.
a premium on gold will not occasion a
contraction of the currency, bank
boards of gold continuing to serve as
a portion of bank reserve against bank
liabilities A premium on gold will
tend to increase our exports by caus-
ing a higher rate of foreign exchange
that is to say, by yielding larger
net return in dollars on the sale of
bills of exchange drawn against goods
exported. A premium will tend to
diminish our imports by increasing
the cost of bills of exchange with
which to pay for goods imported.
1.-The tendency of increasing our
exports and decreasing our imports
will be: First, to set our spindles run
ming, swell the number of paid oper-
atives, increase their wages, thereby
adding to the number and paying ca
pacity of consumers, and thus enlarge
our home market for all home pro-
ducts and manufactures, with pros
perity in general as the resu!t assured.
1.-The tendency of increasing our
exports and decreasing our imports
will be: Second, to esta blish credit
balance of trade for the United States.
A credit balance of trade means
that Europe has become our debtor
and must settle with us in money:
Europe's silver money is over-valued
in her gold, compared with ours, by
from 3 to 7 cents on the dollar The
European merchant or banker will
therefore make his trade settlements
with us in gold, more profitabi!y by
from 3 to Z per cent than in silver.
With the instant that European trade
settlements with the United States
are made in gold parity for our gold
and silver money is established in the
markets of the world. Herewith
the 81. 25 grains of pure silver in our
silver dollar and the 23.2a grains OF
gold in our gold dollar becomes OF
exactly equal worth, as bullion IN
New York"