The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1898-01-17
BOGUS AND REAL BIMETALLIsM.

The announcement that the Indiana BIZ
metallic clubs will be set in motion again
by a number of one-idea 1e-to-1 shouters
suggests that those persons and all who
follow them do not understand practical BIZ
metallism and that an explanation of what
may be called the two kinds Of bimetallism
may be timely.
Mexico is a nation which has one kind of
bimetallism- Its laws provide that the
owner of gold or silver bullion can take
either metal to its minis and for small
charge have them coined into money at
the ratio of about 1872 to /. This is the free
and unlimited coinage of gold and silver
such as Mr.. Bryan advocated, only his ratio
is 16 to l. They claim that such a law for
coinage is bimetallism. Does it give Mex
leo bmetallism? Do the owners of gold
bullion take it to the mints of Mexico to
have it coined into money to be used in
that country? Not at al. AS a legal tender
with which to pay debts and wages, unless
some other contract is made, silver alone is
used. Consequently no owner of gold bull
lion takes 1t to Mexican mint. He goes
into the market with his gold bullion and
gets for it more than twice as many silver
dollars as the ratio of 1872 to l would indi-
cate. In other words, instead of getting
161s ounces of coined silver for one ounce of
gold he gets from thirty-three to thirty-fve
ounces of coined silver for his one ounce of
gold. No gold circulates in Mexico, for the
reason that the market value of the bullion
in the gold dollar is more than twice the
market value of the silver in the Mexican
silver dollar. Mexico is one of the gold
producing countries, but every ounce flies
to countries which recognize that metal as
the basis Of money. Mexico is a larger
producer of silver than any country of it's
population in the world, but a large portion
of it goes to other countries to be sold at
its bullion value because its coined dollars
are worth no more than their bullion value
at home, except to pay for labor, which
must accept them, or for home products
which have no value for export. Such is the
bimetallism of Mexico-a bimetallism which
is called by writer's silver monometalism,
which it is. and nothing else.
The United States and France have an
other kind of bimetallsm Gold is really
the standard in coinage, but every means
which prudent legislation can provide has
been adopted to obtain the largest use of
silver as money by limiting it's coinage, so
that in the business of the country it can
take the place of gold. The metallic cur
rency of the United States by the last re-
port consisted of $745 O37 SOC in gold, $751; 1884,
4SS in standard silver dollars and $76 400 2O7
in subsidiary silver coins Because of the
limited coinage of silver and the acceptance
of the standard silver dollars as full legal
tender the whole volume of the silver COIN
age in the country, $52S. 154. 695, is made as
good as gold and is so much coin added to
the gold coin of the Nation. In all business
transactions gold, silver and paper redeem
able in both are in use. So long as there is
no free-silver scare the people prefer the
paper redeemable in either coin TO the coin.
Thus We have under existing laws in the
United States practical bimetallism - both
metals as money. 1t is the only bimetalism
possible except possibly by an international
agreement for a coinage ratio for both met
ais
If bimetallism means the use of silver
alone as money, as in Mexico, then the
clubs In Indiana which may meet to shout
for 16 to l are composed of bimetallists If
bimetallism is the largest possible use of
both metals as money, then the 16-to-1 peo-
pie are silver monometallists, and would
commit the United States to silver mono
metallism.