The Hillsdale standard. [volume] (Hillsdale, Mich.) 1851-1909, 1898-07-26


and labor, the employer and the en-
ployed, corporations, monopolies and
other interests related TO those which it
is asserted will be affected by the adop-
tion of free silver i'll the United States.
1t is not my purpose TO review condi-
tions and relations in Mexico for the
mere purpose of criticising or condemn
ing them, but to secure from the per-
sistent and necessary effects of the free
md unlimited coinage OF silver here
such ideas as may be fairly formed as to
what would be the first and most i'm
portant effects of the adoption of SINH
lar policy in the United States.
Some degree of acquaintance and IA
miliarity with general conditions here
In Mexico as affected and influenced by
It's coinage system promptly and fully
reveal the foundation claims of the adj
vocates of free coinage i'll the United
States as assumptions which find no eX-
istence in the practical experience Of
Mexico, nor would they find existence
In any country where the free and un-
limited coinage of silver prevailed. The
claims referred to assume that such q
system would furnish an abundant sup
ply of money that it would create a
source and control of such supply with
which the common people would have
more influence and connection than with
our present system, and that with tho
free coinage of silver would come to
our country some peculiar independence
which it does not at present possess rela-
tive to its currency system and moneta-
ry supply.
How Coinage Affects Conditions.
Conditions almost the opposite eX-
treme from chose suggested by such
claims exist here in Mexico, and they
are so directly related to the coinage
system in operation here as to make it
absolutely certain that they would ac-
company the free coinage of silver wher-
ever il may be adopted Mexico Is at
the present time and has been during
recent years in extreme need of more
capital for the development of her great
natural resources. During this time of
need the mines of Mexico have been
enormously increasing their output OF
silver and the mints Of the republic
have been open to free coinage, but the
circulation of money has not increased,
and the government and the common
people alike are impotent and powerless
relative to all that affects the currency
of the country, its volume and its value.
The free coinage of silver in Mexico has
no effect in determining or sustaining
the value of silver, and the experience
of this country will be repeated wher-
ever such system is adopted. All lines
of legitimate trade and business trans
actions are hindered and embarrassed
by the fluctuating value of the curren
cy, but this fluctuation and uncertainty
have added largely to the profits of spec
ulation and even to the dividends of the
banks of Mexico, which always make
their interest charges include all risks
as TO fluctuations in the uncertain value
of free coinage currency.
There is not one-third the amount Of
money in circulation here for each in
habitant as in the United States, and,
Notwithstanding its restricted circula-
tion, the silver currency of Mexico, fol-
lowing, as it must, the day by day eX-
perience Of the silver market, has lost
more than half its former value in the
hands of the laborers and small produ-
GERS here, thereby reducing their wages
and profits to that disastrous extent. No
system of coinage could be further re-
moved from consideration of the needs
of the people or influence by them than
is the free coinage of silver as practical
ly illustrated here in Mexico. 1t is in
dependent of both the government and
the people, the silver mines of Mexico,
as in the United States, being largely
owned and controlled by foreigners,
who control and dispose of their out.
puts as will best serve to advance their
individual and corporate interests. Mine
owners of Mexico find markets for some
of their silver in the free silver coinage
countries, as do the silver producers of
other countries, but further than that
Mexico possesses no opportunity or adj
vantage not fully shared by all gold
standard countries in trading with free
silver nations Silver is bought and sold
and exchanged between such countries
at its market value, no attention what
ever being paid to the coinage assump-
tions of the several silver using coun-
tries The market value of silver is not
determined in Mexico or in China, nor
would it be in the United States if the
latter country should adopt the free
coinage of silver. England and Ger
many and France and the other coun-
tries of Europe have more TO do with
the production of silver than have the
countries which are dependent upon it
for coinage purposes, and they will per-
sistently profit through any attempt to
give fictitious value to silver bullion or
silver coin and profit, too, at the ex-
pense of the country making such an at
tempt
A further assumption that health
full and helpful degree of protection is