The Topeka state journal., 1899-08-11
INDIAN MINTS CAN'T OPEN
To Silver Without an International
Agreement

Washington, Aug. lin diplomatic
quarters copies of the report just pre-
sented to the houses of parliament by
the committee which investigated the
currency of India have been received.
1t is on this report that Lord George
Hamilton, secretary of state for India
has based his announcement within the
last few days that India will be on a
gold standard.
This announcement has attracted
much attention in the United States
and the conclusions are, moreover, to
some extent connected with the negoti-
ations carried on some months ago by
Senator WOlcott and others represent
ing this country as to international bi-
metalHsm. This committee was made
up Of the most influential statesmen
and financiers of England, Sen
tor Wolcott and others repre-
senting this country as to international
bimetallism. This commission was
made up of the most influential states
men and financiers of England and the
testimony before them was given by
such eminent authorities as Lord
Rothschild, head of the great firm Of
Rothschilds, Lord Aldenham, former
governor Of the Bank Of England; the
Earl Of NOrthbrOOk, former governor
general of India; Sir Alexander Mac
kenzie, lieutenant governor of Bengal:
Professor Marshall of the University of
Cambridge, and indeed. practically all
of the students and scholars of ecOnO-
mic question in Great Britain. The SeS-
sions were private and the testimony
as well as the final report, has now been
made public for the first time
The report first sets forth the origin
and present condition Of the monetary
system and then says:
We proceed to consider the question
whether in the light of the six years
experience gained since 1898, 1t Is desir-
able to reverse the policy initiated in
that year, and to reopen the Indian
mints to the unrestricted coinage of
silver. In our opinion measures for
gradual re-Opening would be so fully
and Immediately discounted as to de-
feat the precise objects for which they
are suggested. II is obvious, moreover,
that the certain prospect of a heavy
fall in coinage would at once drive cap
ital from India
The policy of opening the mints at
some future date to silver stands on a
different footing when urged by those
who look forward to the international
agreement and consider that there is
reasonable hope of such an agreement
within a limited period. Such persons
aim directly at stable exchange be-
tween India and the United Kingdom
and advocate delay only in order that
an International agreement may be
reached.
with regard to this anticipation we
confine ourselves here TO stating that
the negotiations of 1897 with France
and the United States of America hay
ing proved fruitless, no fresh PROPOSE
tions, so far as we are aware, have
been or are being made by any of the
governments concerned.
we come next to the suggestion that
the present system Of closed nints
handicaps India in her industrial com
petition with countries on a silver stan
dard. This aspect of the question was
considered by Lord Herschell's commit
tee, who expressed the opinion that
even II we assume the argument as to
stimulus or check to production to be
SOUND, the effect Of each successive fall
IN exchange must be transitory and
could be continued until circumstances
nae brought about the inevitable ad-
IN TINS opinion, we concur and evil
dence has been laid before ms T-J9fcJ,
SHOWS that prices and wages have risen
IN China since silver has fallen in price
ana the local currency has appreciated
IN terms OF silver To reopen the IN
olan mlnts to silver without an inter
nadonai agreement would necessa riIv
result, according to all past experience
MA renewing the instability of exchanges