Middletown transcript., 1898-07-23
THE MEXICAN DOLLAR.
Its Value Unstable, Changing
From Day to Day.
DEPENDsoN THE PRICE OF BULLION

DEPENDs0N THE PRICE OF BULLION
Under Free Coinage the Credit of Ma.
tion Has No Effect on the Value of Sill.
yer Coin-That Would Be Controlled by
the Markst-Mysteries Made Clear.
IThis series of letters is the result of per,
sonal visit to Mexico made by the writer
/ early in 1893 as special representative Of the
Michigan Republican Newspaper Association
to investigate the monetary system of that
country
One of the first persons to greet you
upon your arrival in the City of Mexico
is the lottery ticket vender. The proto-
type Of the Louisiana Lottery company,
which was driven out of the United
States by national legislation, is -four
ishing here in all its grasping glory,
and night and day the streets are parad-
ed by men, women and children selling
chances upon the next drawing. One
can buy full ticket for So or fraction
of ticket for 10 cents The scheme is
SO arranged as to thoroughly bleed its
victims whether they can invest little
or more, and of course the greater por-
tion of the lottery ticket purchasers are
of Mexico's poor classes, who through
it are persistently promised the some
thing for nothing they cannot get. Care
full investigation in Mexico relative to
such facts as pertain to claims made by
the advocates of freecoi1age of silver in
the United States suggests relation be-
tween the possibility of profit through
free silver and the Mexican National
lottery which is altogether in favor of
the lottery.
Bimetallism is favorite term made
use Of by the free silver factions in the
| United States. That it is made use of
for the purpose of deception and with
out a shadow of expectation on the part
of it's users, that it has or will have any
possible relation to their schemes, pres
ent conditions in Mexico and other sill
yer producing and silver using coun-
tries fully prove. When the American
advocate of free silver refers to himself
as bimetallist, he desires to have it
understood that he believes the adop-
tion of free coinage by the United States
would remove the difference between
the value of the silver bullion in the
| silver dollar and the gold bullion in the
gold dollar.
It is known to ALL of course, that the
value of the silver bullion of which the
silver dollar of the United States is
made is at the present writing worth
only about A cents in gold and that it's
circulation upon terms of equal value
with gold is secured through maintain
ing the policy of our government to con-
troll its own coinage, to issue its gold
and silver certificates and coins upon
terms of legal equality and to redeem
them upon the same terms at the option
of the holder. Here in Mexico differ
ent governmental policy prevails rela-
tive to coming and issuing legal curren-
cy-the free and unlimited coinage of
silver, so persistently demanded by GER
tain sections and certain factions in the
United States. The government mints
of Mexico are at the disposal of whom
soever desires to use them for coinage
purposes, the payment Of the mint
charges, which are the same to all, be-
ing the only requisite preliminary, and
the addition of this mint charge is the
only added value the Mexican dollar
secures through being changed from
bullion into coin.
An Absurd Argument.
"But the government of Mexico is
weak and impotent compared to that of
the United States" it is urged by adj
vocates of free silver, land the credit
of our country is great enough to make
its currency good :" Here is one of the
most deceptive and most absurd argu-
ments in the entire category of free sill
yer sophistry. Under the free coinage
system the credit of country has abb
solutely nothing to do with the value
of its coins. Its mints are open to the
people of all nations; it receives bullion
from friend or foe, places the govern
ment stamp upon it and returns it to its
owner unchanged in value to do with
as he may please. The credit of Mexico
of the world. Its receipts left a satisfac-
tory surplus last year over all it's ex-
penses and interest charges, and yet the
business men of this country look into
the papers every morning to ascertain at
what value they shall compute the free
silver dollar in their business transac-
tions of that day. The credit or strength
of hn fod of
more to do with the value of silver un-
der the free coinage system than has the
credit of Mexico with the silver now
coined in its mints, and the value of
the silver dollar there under such a sys-
tenn would depend entirely upon the
market value of the bullion silver it
contained, as does the value of the free
coinage dollar here in Mexico.
If it shall be asked, Why is it true
that in Mexico and elsewhere the bull |
lion in the silver dollar which formerly
was worth more than the gold in the
gold dollar is now worth but A or 45
cents? will reply by presenting the
very best and most satisfactory of rea-
sons-that silver can be produced and is
being produced in quantities equal to
the worlds demand at a cost, includ- |
ing fortune making profits, which gov
erns its worldwide market value. In
The Mexican Financier of February of |
the present year this statement is made:
What has built up and made Mexico what it !
is today? 1t is not agriculture that has done |
it, for this is not great agricultural country.
We need more agriculture in connection with |
mining enterprise, but the mines are really |
the backbone of the republic. The low price of |
silver has had tendency to depreciate the sill |
yer industry, but when we come to make a |
careful investigation of the cost of producing |
an ounce Of silver in Mexico, when we find |
that silver can be produced in many mines Of |
this republic for about 80 cents an ounce, in |
cluding all expenses, it makes us take differ |
ent view altogether of the matter. At the pres |
Gnt price Of silver this leaves handsome prof |