The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1903-01-30
Asking the Aid of the United States in
Maintaining a Fixed Ratio Be-
tween Gold and silver.
OUR TRADE MAY BE HELPED
If FLUCTUATIONS IN VALUE OF SILL
YER BE PREVENTED.
No Commercial stability Without
Monetary neutrality-suspicious. Asks
for Power to Give Assistance.

WASHINGTON, Jan. q. - President
Roosevelt to-day sent the following mes
sage to Congress-:
II transmit herewith report from the
secretary of state. with accompanying
notes from the Mexican ambassador and
the Chinese charge d'affaires ad interim,
which seek the cooperation of the United
States in such measures as will tend to
restore and maintain fixed relationship
between the moneys of the gold-standard
countries and the siver-using countries.
recommend that the executive be given
sufficient powers to lend the support of the
degree as he may deem eXpedient to the
purposes OF the two governments
The message was referred to the commit
tee on finance. In his communication Sec
rotary Hay says:
1T is not asked that the United States
modify its monetary system, and Ii is dis
tinctly disavowed that any movement is
contemplated for the restoration OF inter-
national bimetallism. The opinion is ex-
pressed however. by the representatives OF
both governments that consultation be-
tween the United States and European
powers having dependencies in the Orient
and the Independent countries where silver
money is IN general use, may result in the
adoption of a monetary system which Will
prevent the great fluctuations in exchange
which now occur in trade with the silver
using countries. If such a result can be
achfeved-and II is pointed out that at least
a partial solution has been proposed in the
United States i'm bill now pending in the
Senate in regard TO the Philippine Islands
great benefits will follow to the trade of
the world by making easier the access of
the products Of manufacturing nations 10
the markets OF China and the other silver
using countries.
1.-The consideration of this subject may
have an important bearing also on the pay
ment of the indemnity due by China TO
certain European powers and to the United
States by enabling the Chinese empire to
put her monetary system upon a basis
which will make it possible for her to meet
these payments in manner satisfactory to
all the powers. This result, II IL could be
accomplished. would be Of the first i'm
portance, not only to the United States
and to the other powers having share in
the indemnity payments. but TO China her
self and her future development.
MEMORANDUMS.
The memorandums submitted by China
and Mexico are practically Identical. The
Chinese note can be taken as typical of
Mexico 1t says that the serious results
which are threatened by the recent fuc-
tuations in the value of silver bullion to
the commerce both of gold and silver
standard countries have induced the Chi
nese imperial government acting In con-
cert with the Mexican government, to ask
the cooperation of the United States In
seeking a remedy of these conditions for
the mutual benefit of all concerned. Ii is
|
United States, gold country, and China,
a silver country, is destroyed by a variation
of 20 per cent in one year in the price of
silver bullion. as happened last year. The
memorandum urges that stability in this
respect is as important to gold-using as
to silver-using countries Ii shows the
silver-using countries imported in 1902, al
most exclusively from gold-standard coun-
tries, goods to the value of $574 625, 323, ex-
Guiding British India and several silver
countries in South America, which might
be brought into an agreement 10 maintain
stability. 1t is further pointed out that the
largest amount of this trade, namely $780,
93i,S42. went to China. This trade. IL is de-
clared, is now threatened with a decline.
the limit of which no one can foresee. The
heavy indemnity imposed by certain other
powers on the Chinese government has fur
Their depressed silver prices, and threatens
to reduce materially the export trade to
China from the United States and Europe.
This trade the United States is said to have
increased greatly within twelve years, and
Is now but slight measure of what 1t
might become with stable currency. An
import trade of 50 per capita into China
would represent a total of 81, 10000. 000 The
announcement of commerce so important
is declared to be worthy of serious con-
promise, as Ii does. of productive labor
for untold thousands of workers. II is ad-
mitted that. while currency read5ustmen Mt
In itself would not accomplish such tre-
mendous revolution as would be involved
in the creation of trade of more than a
thousand millions, IL would be, il is stated,
one OF several steps In that direction.
1t is distinctly declared that the govern
ment of China does not seek the restora-
ton of the free coinage of silver by either
the gold or silver using nations, the
memorandum saying: 1T is recognized by
| this government that bimetallism Is In no
sense the coinage of both metals is a policy
which has been definitely discarded by lead
| ing powers of Europe and by the United
| States and that it would be futile to pro-
| pose its restoration. II is not the expecta-
| ton that the old standard countries should
| impair their monetary standards or ma
| terially change their systems. What Is
| asked Is that these governments which
| have dependencies where silver is used
| should cooperate with the governments of
! silver countries In formulating some plan
! for establishing definite relationship be-
| tween gold and silver moneys and take
proper measures to maintain such relation
| ships
| 1t Is pointed out that such plan already
| has been proposed to Congress (meanine
the Philippine currency bill introduced al
| the instance OF Secretary Root. and Ii Is
| urged that IL the United States will CO.
| operate with China and Mexico in present
| ing this subject TO other governments II
will aid greatly in securing prompt and
| satisfactory solution of an economic prob
| lem which threatens the ruin Of the silver
| using countries one hand and the com
/ mercial prosperity of gold-using countries
| on the other. The prompt and serious con.
| sideration of the matter by the United
| Cfoto ia