The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1902-06-16
THE MONEY STANDARD IN THE
PHILIPPINES


1t is highly important that Congress
should at this session pass a bill for the
establishment of civil government in the
Philippines, and probably it will not fail TO
do So The bill which passed the Senate
and which is now pending in the House
will doubtless be amended in some respects
by the latter body, and may be improved.
1t is understood that the House has a bill
of it's own which it may pass as a sub
stitute for the Senate bill In this event it
is TO be hoped II will provide for the es-
adjustment of the gold standard in the
Senate bill does not do this. On the con-
trary, it provides for continuing the silver
standard and for the coinage of a new sill
YER dollar of special weight and design for
use in the Philippines. This would be
mistake The question is by no means free
ciers and business men differ regarding 1t,
but the weight of argument seems to be
decidedly in favor of establishing the gold
standard. In favor of silver it is urged
that it has been for ages and still remains
the standard of value among Asiatics,
Japan alone having adpoted the gold stand
ard for special reasons relating to her
bond issues. The nearest trading neighbors
of the Philippines-the vast Chinese empire.
the British colonies of Hong-Kong and the
Straits Settlements, French Indo-China,
Siam and most of the numerous islands of
N oil ha
silver standard. 1t is maintained, there
fore, that as a considerable part of Phil
ippine commerce is carried on with silver
using countries the long-established silver
standard should be retained. Admitting
the truth of the facts. the argument based
upon them seems to advocate the continu-
ance Of a vicious system because it is con-
venient. The commercial reasons for
tablishing the silver standard in the Phil
ippines ought 10 be very strong, indeed. to
overcome the Inconsistency and almost i'm
morality of maintaining different stand
ards in different parts of American terri
tory. Admitting that the change from
silver to gold standard would be attended
by some present inconvenience and confu-
sion in the Philippines, and that the people
might not take kindly to it at first. there
can be no doubt that in the long run it
would be greatly to their advantage. If it
did not tend 10 promote commerce be-
tween the Philippines and the Orient it
would certainly facilitate commerce be-
tween the islands and the United States.
which is more important, and by giving
the islands a stable currency would en-
courage the introduction and investment Of
foreign capital, which is also a matter of
prime Importance. 1t came out in evidence
before the Senate committee that the Eng
lish bankers at Hong Kong and Shanghai
were in favor of maintaining the silver
standard in the Philippines. This is in ac-
cordance with the British policy of recog
nizing silver as the money standard of the
Orient, and might also be accounted for
by the expectation that 1t would promote
trade between the Philippines and the Brit
ish ports of Hong-Kong and Shanghai.
But this is not an American view, and the
United States is under no obligation to
promote trade between the Philippines and
British ports. On the contrary, as it is
charged with the duty of civilizing the
islands, it should lose time in establish
ing there the money standard Of the civ
ilized world thus bringing the people into
moral touch as we'll as commercial rela-
tons not only with the United States, but
with other gold-standard countries. The
inconvenience incident to change of
standard would be small compared to the
confusion and generalization now prevail
ing in the currency system, and the perma-