The herald., 1897-09-07

| tent, just as they sometimes lower the
price of grain, and 1t would be much cas-
Ter to manipulate the silver market, be.
cause both the demand and supply are
more limited than the demand for OF
supply Of grain; but without considering
the effect of speculation, both legisla-
| ton and circumstances have tended to
lessen the price of silver. The action OF
Japan has lessened the demand for sill
| yer, and the United States has not yet
| made sufficient progress toward inter-
| national bimetallism to strengthen the
| market. Added to this the short wheat
crop in siver-using countries has les
sened the demand for silver for the pur-
chase Of wheat.
For many years the price of wheat
kept company with the price of silver.
do not mean to say that fluctuations
were always simultaneous, but they
were measurably so. This relation be-
tween silver and wheat was commented
upon by Mr.. Rusk, secretary of agricul-
ture. In his recent report of 1890, page
8, he said: Recent legislation looking
to the restoration of bimetallic stand
ard of our currency and the consequent
enhancement of the value of silver has
unquestionably advanced the price of
wheat in Russia and India, and in the
same degree reduced their power Of
competition English gold was formerly
exchanged for cheap silver and wheat
purchased with the cheaper metal was
sold in Great Britain for gold. Much of
this advantage is lost by the apprecia-
tion of silver in those countries. 1t is
reasonable, therefore, to expect much
higher prices for wheat than have been.
received in recent years"
The above quotation explains why
wheat and silver kept together, and also
supports the propositGn that legislation
can raise the price of silver by increas-
ing the demand for it. When Mr.. Rusk
made this comment India had free coin
age, and the wheat-growers of the Unit
ed States had to meet competition by
reducing the price Of wheat as the price
of silver fell.
In 1898 free coinage was suspended in
India so that British purchasers could
no longer have their silver converted
into rupees. The Indian government,
however according to the report issued
by the directors of the United States
mint in 1S94), undertook to furnish fif-
teen rupees in exchange for e1 sterling
(gold). This fixed the ratio at about 20
to and gave the Indian farmer an =
vantage Of about so per cent over the
American farmer.
The fact that silver and wheat have
parted company will cause no dismay
to those who understand that the law of
supply and demand regulates the price
of both. 1t is the contention of bimet-
allists that the opening of our mints to
the free and unlimited coinage of silver
at the ratio of 6to 1 will fix the mint
price of silver just as the mint price is
now fixed for gold. They further con-
tend that the demand thus created by
law will be sufficient to utilize all the
silver presented and thus bullion value
will be raised to coinage value.
Some of our opponents have insisted
that silver at s129 an ounce would make
a silver dollar as hard to obtain as
gold dollar is now, but they ignore the
fact that an increased volume of
standard money will lessen the
purchasing power Of dollar,
whether it be of silver or gold,
and this restores prices to bimetallic
level.
What has the Republican party done
to bring prosperity to the American peo-
pie? 1t cannot be said that the mere
election of Republican president upon
a Republican platform brings prosperity,
because business failures and bank fall
ures increased after election. Interna-
tional bimetallism cannot bring prosper
ity until an interna tonal agreement be-
comes more probable than It Is now.
Since Republicans have contented
themselves for the present with legisla-
ton on the tariff question, they must
look to the tariff law, and to that alone,
for such aid as political action can give.
They are justly entitled to any credit for
any good which it brings, and justly re-
sponsible for any injury which it in
fiicts.
Opponents Of the Dingley bill described
it's principal features when they calledit
Legislation of trusts. by the trusts and
for the trusts" That the beneficiaries
of such law will rejoice is to be expected,
but can the Republican party show that
that law has brought or can bring an ad-
vantage to the people in general?
Nothing can better disclose the weak
ness OF the Republican position than the
joy manifested by the Republicans over
events for which their administration
and their policies are in no way respon-
sible. w. ]. BRYAN.
Copyrighted 1897 by the New York
WORLDLY