Daily capital journal. (Salem, Or.) 1896-1899, 1899-02-04
GOLD STANDARD
A Review Of Financial Legislation
IN the Past.
The Omaha World Herald Dissects the
st, Louis Globe Democrats
Ignorance,

The ST. Louis Globe Democrat ha
an editorial entitled, "Bryan's Ignc
rance" 10 which it says;
The ignorance OF William j. Bryal
on matters Of American politics ant
history has often been noticed, but I
has seldom been brought out 81
plainly as IL rs in his assertion that
"if the gold standard should be estab
lished general bankruptcy would soor
follow" The gold standard was IL
operation at the time he was talking
What was virtually the gold STANDARD
was established by the coinage act o
1884, which was champoued by Ben
ton, Jackson and all the other Demo.
cratic ch!eftalus OF that day, aud that
standard remained Ia operation until
the suspension of specie payments at
the beginn ing Of 1862 owing TO the
| pressure OF the war. What Is abO
lutely the gold standard was estab
lished on Jaduary !, 1879, when gold
payments were resumed by the treas.
ury.
"A newspaper that so boldly arraigns
public man on the charge of being
/ ignorant should aG least be able te
avoid self.convictiOn on the same
charge. II the single gold standard
was established by the act Of 1894,
why was II necessary TO again estao-
lish the single god standard on Jam
uary !, 1892
! The act OF 1884 merely changed the
ratio bet ween gold aud silver by re-
ducing the number Of grains Of gold
IN the eagle, half.eagle and quarter
eagle. Prior 10 the passage OF that
act the ratio had been 10 TO l., under
which ratio gold was dndervalued and
was consequently exported. The law
OF 1894, by reducing the number Of
grains in the gold coin, made the ratio
1902 TO /.
Subsequently IL was ascertalned
that this act OF 1894 undervalued sill
yer, and that silver was being ex-
ported to Europe, attracted there by
the more favorable ratio Of 1916 TO l..
To remedy this the act of January,
1897, was passed. This act changed
the ratio between gold and silver TO
10, gSS tol.
1t soon became evident that even
this ratio did not prevent the exporCa-
tlOn of silver, and 10 February, 1858,
an act was passed reducing the weight
OF all silver coins OF less denomina-
tioh than one dollar.
Now II IL may be SAID the single
gold standard was established by the
act Of 1884, an act which merely
changed the ratio in favor Of gold,
why may II not be said that the sill.
yer standard was established in 1897
and emphasized ia 1853 by legislation
showing favor 70 silver?
AS a matter OF fact, II Is absurd
for a newspaper claiming 90 speak
with authority % charge that the
single gold standard was established
In 1894, aud IL Is no less absurd for
that newspaper 10 say, "What Is ab.
solutely the gold standard was estab
lished on January /, 1879"
IL was on January !, 1879, that
specie payments were resumed. The
law authorizing such resumption was
passed In 1875. Al the time of the
passage OF the act OF 1875
the coinage OF tbs silver dol
lar was unprovided for, but
in 1878, the year preceding the time
when the Globe Democrat says "what
is absolutely the gold standard was
established" law was enacted, dl-
recting the coinage OF silver dollars
and providing that such coins, with
all standard silver dollars heretofore
coined, should be legal tender at their
nominal value for all debts and dues,
public and private, except where
otherwise expressly stipulated in the
contract.
II the act of 1915 was intended 20
establish "whaJ Is absolutely the
gold standard" why did congress In
1873. the year Immediately preceding
the period OF resumption, authorize
the coinage OF the silver dollar and
declare that dollar 10 he money OF
ultimate payment?
IL is true that the "linanciers" for
whom the Republican party Is respOn-
sible have steadily sought % fix the
single gold standard on this country,
But whatever they have done 10 this
direction has been without the sane
tlOn OF Law except 10 the extent OF
several acts which have prevented the
silver metal from assuming It's nat
ural and proper place Ia the markets
OF the world. The acts OF 1873 which
discontinued the coinage OF the silver