The Winslow mail., 1899-08-24
The Cause of Free Silver.
BIMETALLISM IN FRANCE.
Facts Concerning Free Coinage Both
Here and Abroad Early in
the Century.


Previous to 1878 the principal BIZ
metallic nation of Europe was France,
which, in the year 1903, opened it's
mints to the free coinage of both met
ais at the rate Tor ratio, as it is called)
of fifteen and one-half ounces of silver
to one of gold. In 1865 Italy, Belgium
and Switzerland entered into treaty
with France, by which they all agreed
to coin money of the same denomina-
tions and at the same ratio, to-wit:
Fifteen and one-half ounces of silver
TO, one of gold, and the money thus
coined was tC1e legal tender in all
of those countries. A few years later
Greece joined them, and the five ma
tions constitute what is known as the
; Latin Union
In 1856 the United States, then
merely a confederation, adopted the
double or bimetallic standard, provid-
ing for both gold and silver coins of
full legal tender, but without any
actual coinage, the country having no
mint In 1892 a mint was established,
and the coinage of both gold and sill
-ver was authorized at the ratio of ff-
teen ounces of silver to one of gold.
The reader will carefully note the
difference between this American ratio
and that of France At the French
mint an ounce of gold coined into the
same amount of money as fifteen and
one-half ounces of silver. At our mint
an ounce of gold was equal to fifteen
ounces of silver. Compared with the
French mint rate, gold was worth three
per cent. less for coinage purposes in
this country than it was in France,
while silver was worth three per cent.
more.
Partly owing to this fact and part
ly to trade conditions, our coinage of
gold was quite small, but with the
exception of the years 1S16-1S17, we
coined some each year, also coming
considerable amounts of silver. But
the gold did not remain in circulation
here very long. Being worth three per
cent. more for coinage in France, it
Avas naturally attracted to that couh-
try.-~When we had to make specie
payment in Europe we sent gold in
preference to silver, because it would
go three per cent. farther in buying
goods or paying debts.
This made gold scarce in our cur
rency. To remedy it, in 1884 our ratio
was changed; but instead of adopting
the French rate of fifteen and one-half
to one, we jumped over it to sixteen,
or more accurately, 15.9SS to one. Six
teen to one is near enough for general
discussion.
The conditions of coinage were now
reversed. Instead of gold being worth
three per cent. less at our mint than
in France, it was worth three per cent.
more. An ounce of gold in our coin
age was equal to sixteen of silver,
while in French coin it was only equal
to fifteen and half. The movements
OF specie were modified accordingly.
Silver was now the more desirable
metal for export, because it would
make three per cent. more money at
the French smint rate than it would
here. But, as formerly with gold,
there was always some silver coined
and some in circulation; so the United
States was in the fullest sense a BIZ
metallic country.
The American people at all times had
a right to the free coinage and full use
of both metals as money. The amount
of the coinage was immaterial as af-
fecting the principle. We had the
right to coin it and use it after it was
coined. This is the essential princi-
pie of bimetallism. The right exist
ing, both metals will necessarily be
used to the best possible advantage.
IL silver is better for export, that metal
will be exported. If gold is better for
export, that is the metal which will
go. But whichever is exported the
most largely, it viii always be for
1ull value in return, and that which re-
mains at home win be good and honest
money for the transaction of our busi-
ness. To restrict the right of free coin
age of either metal means fall in
price of property exchanged for money
AL this has followed the demonetiza-
tion of silver since 1873 Labor has
been the greatest sufferer.
ELEMENTARY PRINCIPLES.