Little Falls herald. [volume] (Little Falls, Morrison County, Minn.) 1889-1950, 1898-04-22
THERE MUST BE A CHANGE.
Indta,s Financial system VIII Have
to BE Amended-EncouraE
for American Blmetallists.

It is agreed, even by English govern
ment authorities, that there must be a
change in India's financial system.
What that change shall be appears now
to be the only point in dispute. The
opinion is general that it cannot be any
form Of gold standard. The only al
tentative is silver. In the current is
in London, Rt Hon. Herbert C. Gibbs,
recognized among the leading financial
authorities of Great Britain, unequivo-
cally declares that the reopening Of the
Indian minis to the free coinage of sill
yer is the only practical solution Of the
vexed problem. He regrets that the
recent proposal of the United States
and France was not accepted, and adds:
India required a par of exchange
with both gold-using and silver-using
countries, and that was offered them.
India has been crying out for years for
d high exchange; that, too, was offered
them. These things, however, were all
refused, because the Indian govern
ment was on the eve of securing gold
standard.''
After pointing out the utter impossi-
bility of securing such standard in
India, the writer continues:
"What, therefore, 1 would propose is
that India should return as soon as pos
sible to her old automatic metallic
standard and reopen the minis to silver.
She would then, at least, have par of
exchange with one set of nations, viz,
those that use silver; she would, at least,
be free from monetary stringency
caused by artificial contraction of the
currency; and, above all, she would be
free from further government expert
ments in unsound money"
What follows is extremely significant.
It has. been urged against free silver
coinage that the supply Of the metal is
so large that it could not possibly be
absorbed in coinage to an extent that
would make possible it's maintenance
at par with gold. Here is Mr.. Gibbs
opinion:
II believe that there would be con-
siderable demand for silver for cur
rency purposes for India directly the
minis were opened, and that silver
would rise considerably; for there are
practically no stocks of silver in the
market, and even small demand would
raise it good deal. We can also see
by the existing monetary stringency
that even when the rupee is at one shil-
ling four pence good deal more money
is required, and there would be a great
ly increased demand for silver coinage -
But Mr.. Gibbs goes even further than
the mere opening Of the Indian minis.
In order to support the Indian coinage
he would adopt the proposal suggested
by the six monometallic members of the
gold and silver commission of 1888, and
by Mr.. Goschen. This proposal was
that England should gradually with
draw the half sovereign, and should is
sue in it's place ten-shilling notes based
on silver. Under such coinage, the
writer concludes, it might reasonably
be expected that the par value of silver
would be maintained. 1T might also
happen" he adds, that if the British
empire of it's own motion contributed
practically all that France and the
United States desired, these two nations
would also of their own motion take
steps to promte the use of silver and
maintain it's price. Germany and other
nations might also withdraw their
smaller gold pieces and increase the in
ternal use of silver"
Here, certainly, is encouragement OF
the most substantial nature for Ameri-
can bimetallists. The adoption of Mr..
Gibbs suggestions is not by any means
an improbability, and in such case the
only variation from the French Am4f1-
can proposal would be the absence OF
an established ratio-a matter of minor
Importance, to be adjusted as circum-
stances might require.-Denver Times.
Sun.