Pine Bluff daily graphic., 1896-03-22
AN OBJEC1. LESSON.
Japan Furnishes an Example of the Inn
 practicabnity of Free Silver

spondent of the New York Herald, writes to that paper from Tokyo con- corning the distress and business dis organization which has come upon that country through the attempt to main tain bimetallism with free silver coin age.
 The unit of Jauanese coinage is the yen. The gold yen is a little lighter than our gold dollar, and is worth 96 cents; the silver yen is a little heavier than our silver dollar; the latter con- tains 412h grains of standard silver, while the silver yen contains 416 grains of the same ineness.
 of course, the Japanese law makes both the gold yen and the silver yen legal tender, at the same value. The government, however, does not hold the silver yen up to the standard of the gold yen, as our government holds the silver dollar up to it's face value. The result has been that within the past five years the purchasing power of the silver yen has depreciated steadily, un- til now it is practically at its bullion value-about 50 cents. The gold yen, Of course, maintains it's value at par, or 96 cents.
 As is always the case in any country where there are two kinds of currency, prices have been measured in the cheaper kind since the two parted com pany in value. Values are given in the deprecated silver yen; the gold yen has disappeared as money, and is hoarded as a commodity. It's function as cur reney has been lost.
 Slowly the prices of goods advanced, as measured by the silver yen. An article that cost the buyer one yen a few years ago now sells for two yens. That is, its real price remains the same, but the fall in the worth of the silver yen has been such that it takes two of them to buy what one would buy when itwa at par with the gold yen.
 AS is always the ease, the prices of everything else adjusted themselves to the appreciated currency before wages and salaries did. The man who worked for pay got as many silver yens as be- fore, but each yen would go only half as far in buying. In actual effect, wages were slowly sealed down to about one half. Now q realization of the real facts has come upon the people, and they are endeayoring to obtain q raise in wages. With the gradual decline in value of the silver yen, business has been demoral- ized, and Japan is now entering upon a season of depression and hard times. Col. Cockerill says:
 Ut has taken the people and the busi- ness world here quite time to readjust themselves, but they are at 1t now with q vengeance. The penalty of depreciated currency is now being paid. For the last four months there has been steady de n2and upon the part Of salaried men for an increase of pay which would enable them to live comfortably. As the purchas- ing power of money has grown less the prices of commodities and the necessaries of life have steadily increased. The gov ernment led off recently by doubling the salaries of all it's forenign employees This has been followed by number of big corporations.
 "They have yielded to the demands of their people after the usual struggle, and this is the beginning. Wages are every where being pushed up, and in all branches where skill is required, men are lying down on their contracts and begging for concessions. Bankruptcy confronts thou sands of honorable business men. The de- ] with China. Everybody knows that Japan made money during her war. The gov i ernment is richer than 1t ever was. The decline of silver has upset everything, | and great uncertainty attends all busi- | ness enterprise. The first thing that a business man does in the morning Is to look at the value of the huctuating dol lar It may be worth 62 cents or 1t may be worth 49. Exchange futters and shifts, and considerable sums are lost to commer- cial men every day If they have foreign trade relations. Japan could not go to ! gold basis, no matter how much she tried. That would mean universal bank ruptcy.
 Her general finances are deplorable, and the condition must grow worse un- til business is settled down to the basis of 50-eent dollar. Not a business con eern in Japan will escape the effect of this curtailment of profit incidental to a 50 per cent. increase in salaries and wages. The man who encourages a silver basis for the people of the United States by pointing to Japan as a glorious example is simply deceiving himself and his eoun- trymen.
 The United States has been q gold standard country since 1853, except dur ing the war, when we were on depre- ciated and fuetuating greenbacl cur rency. There is not an obligation in eX- istence that was not contracted on a gold basis. The wild theories of the silver men do not stand the test of actual practice. Japan is an example of the truth of the matter. Our people should profit by that example, and not rush headlong into bankruptcy and an era of harder times than we now have.-- Toledo Blade.
 National Revenue and Gold Reserve.
 It has been urged in some quarters that the dwindling gold reserve is due to the deficits of our budgets; that, if the revenue were increased sufficiently, the gold reserve could be maintained intact There are only two ways by which the treasury can obtain gold; CD through the payment of revenue, or (2) just as blankets or shoes can be got,