Smyrna times., 1898-04-06
WHY A DEBASED CURRECY =?

same right now as formerly to express
his opinions on questions affecting the
public interest:
NEW CASTLE, DEL, March, 1898
Mr.. EditOr:-The public mind seems
to be quite absorbed in questions of
peace or war, and what we should do
for Cuba &c. Some important matters
at home ought to be kept in mind as we
go along. We are nearing an impor-
tant campaign in which a Congress is
to be elected, and for which the minds
of the people ought to be so prepared
that sound platforms and able and qua
lifted statesmen for candidates might
be secured.
Questions relating to the currency
will likely be revived and pressed
with possibly as much energy as two
years ago. That sensible men should
ever advocate a deprecated currency
is something difficult to account for.
Among the reasons that have heard,
a prOminant one is, that the people
south and west are so involved in debt
that many of them have insolvency
and utter ruin staring them in the
face.
Some of them can remember when
money was cheap and plenty, and how
easy it was to pay old debts and inter
est with 4O-cent dollars. The question
of honesty did not come in, as the law
compelled the creditor to accept.
To make As or so cents worth of sill
yer into the form and stamp it as a dol
lar and compel people to accept it in
payment of old obligations, is nothing
else than robbery legalized. 1t is vir-
tual bankruptcy, paying of all claims
with fOrty-five cents on the dollar
When people are nearly bankrupt this
sometimes has to be submitted to, but
we do not need to debase the currency
to accomplish this. While people deep
ly indebt are thus lifted out of insol-
vency, how about the creditor? Are
there not among the debtor class hon
est people who do not wish to take ad-
vantage of their creditors and shirk
the payment of their obligations.
Do people know and remember that
as soon as inferior money makes its
appearance, that sound money at once
disappears? Nothing but. this depre-
ciated money to be had. The presi-
dent and his secretaries will all be paid
in gold. All the hundred thousand Of
ticers of the government, congressman,
ministers at foreign courts, consuls
and the like, they will of course be
paid in gold or its equivalent The in.
terest as well as the principal of the
national debt, must be paid in gold
The governors of the states, the Leg
islature, and all State officers will bt
paid in the same way.
On the other hand, the common peo
pie must put up with this cheap
depreciaciated money. Even their de
posits inthe banks and savings
funds, the insurance on their build
ings, bank dividends and dues of every
kind, even money loaned must be ac
cepted at less than half what is hon
estly due. l speak of what this legal
izing of cheap money would lead to
l am not much apprehensive that i
will ever be foisted upon us. 1t wa
supposed that the government purchas
: ing and coming nearly or quite all tn
silver that was mined, would certainly
advance and keep up the price. Th
; event proved the contrary, the pric
| continually going down. Silver Ger
tifcates have been issued as fast a
: required, ever since the act was passe
and few of the coins have fOun
: their way into circulation, but ther
| are still millions in the vaults q
Washington ready for distribution a
fast as they can be put into circulation
, If we needed more money there is a
5 abundant store of silver dollars ther
| which the government stands pledge
3 to maintain at parity with treasur
D notes and gold, and also bullion the
+ purchased, which is not yet all coined
| There is no need of any scarcity {
currency, and every dollar is equa
with every other dollar is equally goo
: in every section of our commo
: country.
g This passing of tender laws and con
r pelling people to take deprecated cul
n rency, is no longer an experiment.
!. has been tried different times in thi
r country and there are numbers of pee
Y pie now living, who have suffere
: from the disastrous and ruinous effect
4 of such legislation. A sweeping fiji
: through the heart of our large cities
: or blight upon all the produce of tE
fields could not be more damaging
: the interests and general prosperity G
l the country, than the debasing of OF
l. currency to less than half its preser
vaule.
The founders of our government i
providing gold and silver coin as th
currency of the country, aimed t
come as nearly as possible to an equa
ity of value in the coin metal, IS to
was at that time being close
u the proportionate value and this wa
9 settled upon as the ratio. It had N
J. varied from this proportionate rat
l. for more than century, but for mo
. than half the time the proportiOna
o value was below 10.
n After 1894 there was a steady a,
. vance in the price of silver bullion, a
4 the time about Is and about half Il
Il nearing 16. Gold being the more va
II liable disappeared from circulation
g 1t was, I think, about 1886 that IL
ratio was changed to 16, which at ii
s time was trihe above the proportion
y ate value of the two metals. AS wi
3 be recalled, gold became plentiful an
. was the chief circulating medium fl
many years. Gold was the cheap'
money. Silver is not now worth ha
what it was then. The silver none
now in the treasury and in circulatio
is in the neighborhood of four hu
a dred millions of dollars, besides Sc
o,oI ,o;IIiona in bullion ownad nv III