The Pacific commercial advertiser. [volume] (Honolulu, Hawaiian Islands) 1885-1921, 1900-10-11
MEXICO AND SILVER.

r. 5. Van Dyke. an eminent writer of
Southern California. has taken up the l
question of Mexican prosperity under
free silver in way that makes him a
public benefactor. To those who may
have been impressed by the article in
the initial number of the Hawaiian
Democrat upon Mexican prosperity. we
commend a reading of Mr.. Van Dykes
thesis
Nothing In the life Of Mr. Bryan. ever
became him Ike the binding flash of ST.
lence that marked his return from Mexi-
CO three years ago." said Mr.. Van Dyke
He announced with a grand flourish OF
tfumpets that he was going there to study
the silver question. He has made no an
nouncement yet of his conclusions. The
great popularity of the silver question
was the number of false statements. both
o. theory and fact, that passed current so
long without being questioned. And fore
most among these was the one that the
Mexican dollar would still buy as much
Of the products of that country as ever 1t
did. although IL would buy only half of
the quantity OF imported articles that it
once did.
II have seen the workings of 1t several
times in Mexico, and can understand the
tremendous shut-rp of Mr.. Bryan after
being there few weeks But It Is not at
Los Angeles. and with-a slight knowledge
of business. figure out the whole thing in
five minutes.
Let US take Nogales, where the line
runs through the center of the town. Let
MS suppose the Mexican dollar worth Just
\ 80 cents in American money and the duty
and transportation across the line moth
ing. Suppose -four on the American side
| Is worth 81 a sack, which will be 81 in
Mexican money on the other side of the
lire. Suppose there is on the Mexican
side a Touring mill running on Mexican
wheat raised right there. At what price
Will that miller sell that -four to his be-
loved countrymen In their own money?
Call up your twelve-year-old boy and he
will tell you that If the miller should sell
I II to them for anything less than IL would
bring across the line in American money
they could just pack 1t across the line
/ themselves and sell Ii and thus make the
profit that the miller might have made
II the boy has been clerk in a country
store few weeks he will know business
l enough to tell you that the miller will
discount the American price just enough
II catch the business and no more, and
/ that the price in Mexican money would
be almost If not quite 81, although the
cost OF producing and grinding it should
ibc only two bits. The miller Is not going
10 be patriotic enough to give his 'coun-
tryr1en the profit that he can as well
make himself.
And how far from the line will this
! condition of things continue? The boy
need not be over 20 to tell you, after a
/ little reflection, that IL will continue lust
as far from the line as the duty and cost
of transportation will permit a profit. For
[ coffee chocolate and other such products
of Mexico duty and transportation will be
so slight compared with the value of the
article that the rule will hold all over
the Republic.
LET as now suppose that YOU are in
business and buying goods on time. If
the money OF your country is below the
par OF the worlds money 1T is almost GER
/ tain to be fiuctuating. If so. you don't
! propose to he left a loser when you come
, to settle with the parties from whom you
have bought: nor do you propose to sell
your goods too cheap IL the price is likely
to rise. Everything that is the subject
of export as well as import will be affect
ed by any fluctuation. Suppose It is like
~ 10 be as high as per cent Will you
add Just per cent to the price of your
goods? Or will you not make 1t 10 so as
to be certain. just the money lender
does In figuring on the taxes on a mort
gsEe in California?
I'm every country having its ports open
to the world everything that can be ex-
ported as well as things imported is
bound to bear the worlds price in the
worlds money, less the duty and the
transportation. II the money of that
country Is below par and fiuctuating.
which Is certain II It Is below par, then
every Ipan who deals In those articles will
increasN his profit enough to insure
against that fuctuation.
The, consequence IS that In Mexico
prices run about as follows: With the
dollar worth. say. just so cents In gold
the price OF anything that In the United
States would be dollar will in Mexico
be from two and a quarter to three dol
lars. And this seems to affect everything
that can be exported whether II ACTUALLY
Is or not. Thus in Guaymas last spring
brown Mexican beans were z cents a
pound, when at the same time they were
advertised In the Los Angeles stores at
nine pounds for quarter. Sugar was IA
cents (unrefned). coffee 65, chocolate
best kind s1.50. chewing gum Is cents
Los Angeles papers the same and import
ed stun OF all kinds on much the same
basis.
"Ali but labor. Farm iaborers got 900
Mexican. and boarded themselves; school
teachers. $40 to $50 a month, Mexican mon
ey: clerks and bookkeepers. about the
same. But products OF labor not the SUBJ
tcct OF export. like fish and oysters, bore
the price OF labor and In Mexican money
were about one-half the price of ours
here In our money. No wonder Mr.. Bry-
an has never mentioned Mexico since he
went there to make a study of the great
advantages Of a silver basis
Upon this showing the application of.
Is to In Hawaii would raise the cost
of living and lower incomes Of people
who merely have their services for sale.
People who want that result to come
about may rejoice at any prospect of
Democratic success In the National
elections. but no others will feel like
doing It.