The commonwealth. (Greenwood, Miss.) 1896-1923, 1898-04-14


readers to communication pub
shed in the New York Tribune Of
ebruary 20, from its London cores
ondent The relation Of the author TO
he Tribune, and also chat his facts are
ken from publications in the London
lines, guarantee his statements against
ny suspicion Of unfairness based upon
prejudice in favor Of bimetallism
With this assurance this report from In
lia merits careful reflective considera-
ion
London. February 10.
The Indian government IN advising
he rejection 81 the proposals Of the
Omitted States and France for interna-
ional action respectiong bimetallism
emarked We believe that our diff
oulties are now nearly over and that
We shall in the future succeed ia es-
ablishing astable exchange at 16 pence
the rupee by continuing the policy ini-
iated ii t898s" An abstract Of the
opinion Of the Anglo-Indian press on
lie present financial conditions, which
1 find this week in the London Times,
does not confirm this optimistic declar-
alton. It IS one Of the gloomiest revel
ations Of financial stringency and in
dustrial exhaustion ever made.
Since the closure Of the Indian mints
the rupee has had an artificial value on
an intermediate level between gold and
silver It has been scarcity rupee,
not representing the market value Of
silver, but the lack Of an adequate sup
ply Of currency the Indian govern
ment, having large gold payments to
make in England every year, has profit
cd BY an artificial scarcity Of money. #
the rupee had been on a par with silver
in its downward course the remittanees
would have been heavily increased. The
Indian government since the closing Of
the mints to silver has produced
money famine for the sake Of obtaining
more favorable rates Of exchange in its
with London.
The results Of this policy "a explained
by financial writer's in India have been
disastrous to All classes The average
rate Of interest from a in 1898 and 5s
in 1896 to Z 1872 in 1897 Flow high
it will 60 in in 1893 no expert ventures
to forecast IN Calcutta. loans have
been negotiated as high as IA per cent
while ia Bombay, according to The
Times, Of India, even f24 per cent
would not bring ont an advance upon
the most solid Of all security, namely
gold bars. With a bank rate Of 10 per
cent merchants have been embarrassed
in selling their bills, and commercial
enterprise has been paralyzed This
money strigencY, while fat
al to economic progress, has also affect
ed the capacity Of The masses for pnr
chasing food ii famine times Mr. B,
N, Malabri, ia his pamthlet OF india
in 1897 discusses tile vital question
famine results from the abb
sence Of foodstuffs or from The want Of
means to buy food. The London Times
makes this weighty summary q fuan-
eial opinion Ia Indiai
IF the conviction once possesses tha
Indian mind that she ardHcial enhance
ment Of Che rupee Is eontributory
cluae of famine Il win furnish com
mon aiiying Cry fof all classes peas
ant 5wnsman rich and poor anch
y tho congress has never yet raised
Put Is economic terms TIE contention
q that government ID order more easi-
u e discharge its own gold obligations
has subjected India toan artificial cur
/ ncy.that bears down the producing in'
dusties on which Gle present and TIE
future ol the 7eoble depend Thus
stated The question IS open g fair ar
gHment Bat i L pa from the
Anglo Indian 70 Che vern8eular press
il will cease to De stated in economic
terms ana become 5 popular cry of TIE
sn0iialion of toe peasant TINT cry for