The herald. [microfilm reel] (Los Angeles [Calif.]) 1893-1900, 1896-10-04

as you mention Is not sufficient to raise
1t to par with gold. If had the wealth
of several Rockefellers and Roths-
childs, and I should publish an offer to
pay during the present season 81 per 100
pounds for 100 carloads of potatoes TO b.
Los Angeles, that offer would not raise
the value of all potatoes. say, on this
coast. to 81, but should I offer that price
for all potatoes which might be
delivered to me; that offer, backed by
my wealth, would raise the market value
of all potatoes within profitable shipping
distance to 81. less transportation and
other incidental charges. 1t is the I'M
limited coinage which would raise sill
yer to par, or if you like, lower gold to
par with silver, so far at least as this
country is concerned, which adjustment
would, in my opinion inevitably ensue
as soon as the mints had been in opera
ton long enough to transform the bull
ion offered as fast as presented, and
many of the longest financial heads in
Europe assert that their countries would
be compelled to follow our lead. In my
opinion, free coinage would restore the
parity of the metals in almost as short
a time as it took for the fiat of the St.
Louis convention to change Mr.. McKin-
ley from a free coinage of silver advo-
cate to an enthusiastic defender of the
single gold standard.
France, Belgium, Spain and Italy, as
you say, use enormous quantities of sill
Yer, but are not exporters of silver as
we are, and surely being a great silver
producing country, the increased value
of silver would enrich our own people
first of all. Yes. ''the untold millions of
China and India would be raised in
value, too and it would be great salts
faction to know that while helping our
selves we should be benefiting our fell
low men across the seas. The best au-
thorities, I am told, assert that China
and India need all the silver they have
and could export none.
In your fourth paragraph you say: Il
know that money has been sufficient for
the real necessities of the country, and
that when people are not threatened
with being paid off in debased medium,
what there is in the country will do its
business on a safe basis" With this, of
course. I cannot from my standpoint
agree, either as to the sufficiency of the
money now in circulation for the needs
of business. or that silver would be a de-
based medium, after the short period
following the passage of a free coinage
act which would be necessary to get
sufficiency of silver money into circula-
ton, and this interval could largely be
discounted by some such eXpedient as
an ample issue of silver certificates, to
be Immediately exchanged for bullion
when presented, to tide over the period
of delay necessary in getting out the
coins.
] will close by briefly answering your
last paragraph. You say: Lastly,
your silver panacea will not be any pro-
lection in cases of panic. The only thing
which can absolutely prevent recur-
renee of things of this kind, is to stop
doing any credit business whatever. If
you think that at this stage of the world
this can be done. you will at once have
to multiply the money in actual use by
ten or fifteen or even twenty times. or
reduce the value of all property. in, a like
ratio" To this 1 can only say that if
panics cannot be avoided, a largely in
creased volume Of money in circulation
must certainly lessen the evil effects of
a panic, but there would not be enough
money in the world were all gold and sill
yer to be coined and none used in the
arts to enable us to do more than reas-
enable percentage on cash basis. The
volume of commerce is too great to be
done without credit.