Perrysburg journal. (Perrysburg, Wood Co., O. [Ohio]) 186?-1965, 1896-10-03
ex-sECRerARy scHuRz.
shows clearly That Free silver Would
Ruin Industry,

y
interior, addressed an immense audience
in Central Music hall, Chicago, on Sep
tember 5. Speaking of a possible free
silver victory he said:
Consider what the immediate conse-
quences would be if Mr.. Bryan we're |
elected president, with a congress to
match. Mr.. Bryan would, of course, be
anxious to have his free-coinage law
enacted, but that could not be, even if
he called an extra session of congress,
until some time in April or May, five or
six months after the day of election.
But as soon as on the 4th of November
the result of the election was announced
everybody would know that tue parity
of gold and silver would not be maiu
tanned.
1t having been made certain by Mr..
Bryan's election that the parity of gold
and silver would not be maintained,
there would be rush upon the treasury
for the gold in it by the persons hold
ing greenbacks entitled to redemption,
and the gold reserve would be exhausted
in twinkling. Gold will instantly
disappear from circulation, to be hoard
ed or exported. Why will it disappear?
Because every sensible person vvhen
making a payment will prefer to make
1T in the less valuable dollar and hold
the more valuable gold dollar back for
more profitable use. Gold will there
fore quickly rise to premium, and we
shall be on the silver basis long before
free-coinage law can be enacted. Our
daily transactions in buying and sell
ing, in paying and receiving wages,
will no longer be carried on upon the
basis of the gold dollar worth 100 cents,
but of the silver dollar worth so cents
or thereabout, for the government will
no longer hold up the silver dollar to
the value of the gold dollar. That is
what the silver basis means. You can
study in Mexico how it works.
The quantity of gold vanishing from
circulation will amount to about $780,
100000, the disappearance of which
will make a tremendous hole in the
volume of our currency. But, says the
silver man, there will be free silver
coinage to fill the gap promptly with
coined silver or silver certificates. Oh,
no, my fellow sufferers. The disappear
ance of gold will happen promptly after
the election of Mr.. Bryan, and there
silver for at least six months, and it
will require great many more months
TO fill gap of 5000, 200, 900.
What will happen meanwhile? The
st. Louis GlobeDemocrat reports Mr.
Bryan to have said some time ago: 81
think it-meaning the victory of the
free-coinage movement-will cause a
panic. But the country is in deplor
able condition, and it will take extreme
measures to restore it to a condition oil
prosperity" Whereupon the st. Louis
paper pointedly remarks: Evidently
Mr.. Bryan has heard of the doctor whc
always threw his patient into fits befor,
administering any curative medicine
Just so.
How, then, would Mr.. Bryan's "fit'
work? The sudden disappearance o
our gold from circulation would pro
duce the most stringent contraction o
the currency on record. Business mel
who own money and at the same tim
have money due them will be forced t
collect that money by every means a
their disposal. Nobody will be incline,
to lend out money except upon eX
traordinary security. The banks vii
naturally consider it their duty to keeI
themselves strong, and therefore to cal
in loans and to restrict their discount
and advances to business men with tn
utmost caution. Business establish
ments, manufactures, mercantil
houses, unable to get the money fo
meeting their obligations, will by tn
hundreds succumb to their embarras:
ments and tumble down like a row c
bricks. Others will cautiously restriC
their operations to the narrowest poss
BILE limit, and wage-earners by the thol
sands will lose their employment and
turned into the street.
How can l foretell these things wit
so much assurance? Because they hay
already cast their shadows before.
you remember the crisis of 1898, whe
the silver basis was in sight? And no
again the mere apprehension of poss
bility of Mr.. Bryan's election and of IL
consequent slipping of our country upC
the silver basis has already caused u
told millions of our securities to
tnIONu upOh LIC llluI hCu III l-ulOpC
well as here.
Scores of business orders are alreaC
recalled, large number of manufactu
ing establishments have already stopp
or restricted their operations, ente
prise is already discouraged and near
paralyzed, many works of public uti
ty by industrial or railroad compani
have already been ordered off, tho
sands of workingmen are alrea
thrown out of employment, gold is
ready being hoarder, capital is alrea
being sent out of the country to be
vested in Europe for safety.
And why all this? Not, as the silv
men foolishly pretend, because the {
isting gold standard has made mon
scarce, for capital is lying idle in heal
scores upon scores of millions, fail
yearning for safe employment.
Ask those concerned why all this hf