Watertown republican. [volume] (Watertown, Wis.) 1860-1906, 1896-10-28

measured by silver. was deprecated per
| cent. Our minis were open to the free coin
age of gold as we'll as of silver. Did that raise
| the price of gold to par with silver? Not at
all. Although the worlds stock of gold is
| much smaller than it's stock of silver, and
| although it was only necessary to raise it's
| price 3 per cent, we could not accomplish it,
This lasted from 1884 to 1860 and down to
| 1873. The price of gold bullion was not
| raised the 3 per cent and being the cheaper
currency, it drove the silver out of circta-
| ton. And as no silver had been in crcula-
| ton for over 30 years, in 1878, after full de-
| bate, this coin was omitted from our coinage
! list.
In 1892, under the ratio of Is to l. (in force
| at that time) the bullion in a gold dollar was
worth cents more than the silver dollar;
| and the silver dollar measured by gold, was
| deprecated per cent Silver being the
| cheaper drove gold entirely out of circula-
ton for more than 40 years, i. e., until 1884,
when the government changed the ra ito from
| Is to l, to Is to /, with the effect seen above
In 1860 we were nation of over 30,000,000
of people, and had no silver on hand. Now
we are nation of about 10000, 900 of people,
but have 437, 100000 of silver dollars on hand.
If, with all our power in 1860, we were I'M
able to raise the bullion value of gold but
bullion value of still larger quantity of silver
not merely per cent, but more than Is
times g. i. e. At per cent.
If, with over 100000 of people in 1860
we had been able to raise the bullion value of
gold just per cent. to par, then, being two
and One-third times as great people now as
bullion price of silver two and one-third
times as high, that is, 7 per cent, but how
could we expect even then to raise its price
not 7 cents alone, but more than times 7,
that is AZ cents ?--espeCially when the only
power we have to raise it with is our demand
for silver dollars and the demand is already
supplied to the extent of $437 900 600?
Yet unless the price of the worlds stock of
silver is nearly doubled, the price of bullion
must, as we have seen, inevitably pull the
value OF the silver dollar down, as bullion
y 4 9
/. e. till the values met.
Mr.. Bryan has presented his beliefs on this
subject.
Opposed to them stand facts and history.
And not merely history of this country alone
but of all countries.
When the mint was first opened the in
creased demand would undoubtedly raise the
price OF silver bullion somewhat, but when
this demand was supplied (the value of the
silver dollar having been brought down to its
bullion Yalue) it IS evident that with the con-
tlnued supply and diminished demand the
price must fall off again.
But it is to be noted that even if the silver
dollar Qld not depreClate, we would not eS-
cape the panic, as foreign and domestic Credi-
tors alike believe it would, and they conse-
quently would call in debts and force sales Just
the same. ms panic, as we have seen, Mr.,
bryan fully admits must occur. Therefore
the consequences of that panic are confessed
ly sure to happen if he Is elected.
Mr.Bryan is very fond of insisting it is incon-
slstent to assert that the silver mine owner
would make Drofitin coming silver and also
Ii
is not Claimed that silver dollars will go to so
cents the day the mint is thrown open, but
decline gradually, and at first the silver mine
owners could evidently make large profit.
When, by the coinage of his bullion they had
deprecated to so cents, his profit would cease;
so that at one time he could make profit and
at another time we could, and would have SO
cent dollars. A little thought solves Mr.
BryanS dilemma.
The farmer hopes to profit by SO cent dol
lar TO pay on his mortgage at half its face. How
vii! this work? On the 9TH OF November
next, there would be no more silver dollars in
CIRCULATION than to-day, nor on the 9Th or
March next, since no more could be coined
until after free coinage act had been passed
SUCH law could not be passed without the
most desperate fight by the opponents of free
silver. The fight against the Wilson tariff
lasted all summer (till August %, 1S94) and
we could not reasonably expect this to be less
determined, or that the bill would become a
law before about September 1 next.
Then to coin 517,000,000 silver dollars to
replace that number of gold dollars driven
| out of circulation would require over eight
| years. If the printing press was resorted to,
| as the popullSts suggest, it would require at
| ire present rate FOR treasury notes, on the
| special paper required therefor of 81 ESQ.,
| 600 day, over six weeks, which would bring
1t to the middle of October, and these could
! not be issued till $5l7,000,O00 of silver had
| been deposited in the treasury, which would
! require some time, and bring ii TO about No
Vember L, or about year after Mir. Bryan s
| election.
Now, as the gold would have been driven
out of circulation, it is evident that until
| the coinage bill became law, or until Sep
| TENDER, 1897, or for ten months after Mr.,
| BryanS election, we would have only two
thirds as much money as now and at the
| end OF the year no more than now.
| During all of this terrible year we would
| be suffering from such StringenCy, panic and
| depreciation of values as we have never seen
| before, and the proStrat on and dry rot follow
| ing the panic would continue for several
| years afterwards. Business activity would not
| return at once with restored currency, as Gre
alt IS creature OF slow, growth. 1t took six
| years to recover from the panic of 1878, and
| would probably require ten years or more to
| recover from this one.
With new corn at Is cents bushel in Hi
| nolS and Is in Kansas and Nebraska, and
with those prices to be still further reduced by
| the panic, the enforced idleneSs of the labor
| ing classes, and the consequently diminished
demand, to from 10 to ID cents buSbel after
thelaborer has been paid and the farmer 5 store
| DlllS Settled,hOw much would be left for
| taxes and interest on his mortgage?
And II he defaults in either will not
| the mortgage want his 100 cents instead of
| 53, and fOreClOse? Although foreclosure takes
from one to two years, and would take till
November of 1897 or 1898, yet as the effects
| OF the panic would still continue, there could
be but one result, the farmer must lose his
farm, and become a renter.
Inc outcome therefore for farmers in debt
must inevitably prove diSaStr, US
The foregoing are the Immediate effects.
In from i've to ten years hence, after bust
ness and credit We're restored real estate and
LABOR to day worth 81 in gold would again be
worth that and, if silver dollars were worth
but SO cents in gold, they would be worth So
IN silver, just as they are worth about 81 to-day
in silver bullion. But those silver dollars
would not be the silver dollars of to day be-
cause not interchangeable with gold as ours
are; They would only be worth half as much
and hence be different because depreciated
AS we'll might they think to profit by selling
their farm or labor for francs instead of dol
lars, because it takes five francs to make a
dollar and they would consequently get five
times as many of them. as that by selling for
silver dollars two of which make a gold dol
lar, they could make profit
All expenses of living would meantime
have doubled, and as these advance faster
than labor or real estate (Which always rise
last OF all COmmOditieS) even after work was
found, wages would not buy as much as they
90 to-day. Hence after severe suffering in
the start, and after low wages and high prices
for many years. the laborer would be no bet
ter off in the end
And how would the farmer be benefited, if
starting in debt he had in the process lost his
farm?
Mr.. Bryan claims it is inconsistent to say
that free silver coinage will cause disaster and
also that it will double prices.
But little reflection will show that first we
would have panic which he admits and af-
forwards prices would be doubled Tin silver.)
In this great disaster capitalists cou d save
themselves by buying exchange or foreclOS-
ing. The hardships and misery would fall
upon the labOrer, and those in debt, that,is,
upon the mass of our people, and make the
rich richer. and the poor poorer.