New-York tribune., 1903-02-11
MEYICO'S CURRENCY.
Uhy ueE1caH Government Desires
to Adopt the Gold Standard

At the dinner given on Saturday night by the
Mexican commissioners who are in this
try for the purpose Of securing the aid and en-
couragement o. this government in bringing
about change of Mexico's currency system from
d silver 20 a gold basis. the speeches were de-
livered too late De reported in the Sunday
papers. Much that was said has a pertinent
bearing on criticisms which being advanced
against MexicO's plan. and also tends TO clear
dp much Misunderstanding Of il. In the course
of his remarks Mr- Cree. the senior Mexican
commissioner. said.
1 would like this proposition 70 DC we'll un4er-
stood Oy the prople Of JnIs country. In Jne
in which It has Oeen presented Dy cur Secretary
of treasury IL is Of Important
economical problems, beya1se not only
country tut AL the cJuuJrl-s OF the world are
Interested in IT. Inls proposition must be divld-
ed into three sections and each treated nde-
We have before US the monetary proposition.
and that means the changing OF = Stem from
a silver. bImetaillc system into the gold stanI-
ard system giving a nXSd value IN sOfd 70 our
money Z the relation OF TO ~ or
80 cents gold for every new dollar OF Mexican
currency As regards the Old collars. We 20
rot have any ODugaJ0u OF redeemins them
mean the old dollars in circulation outside OF
Own country. The gold value viii be pro-
/ tected bv gold reserves Dv making the new
dollar full tender and by reason Of our exports.
! which sold Tor gold
American capital invested; have over
, S2Uct-otDO Of other foreign capitals Z Is
(
leo should be a success. 50 that other capital
/ may flow into my country and continue the work
of stimulating the development Of her Won
derIul natural resources IL VIII mean the sue
cess Of many enterprises established IN Mexico
( enterprises which doing well. and though
their business has been increased every year.
yet the low prices of silver curLas their profits
/ to a great extent II is that condition that
tG improve. and l must say that IN this
country nave found every possible encour-
agement
The next proposition is one OF International
I ,~fu ~wTa.-
world using silver, and they or less in
tue same condition; they are suffering for tns
( same reasons; want 70 invite them 70 SONS
international understanding and place their cur
r ncies under a fixed value regards gold ard
/ follow the system which VIII bring about IN
/ terna tional trade in a easy and satisfac-
| tory way International trade with the silver
countries is one OF the very highest importance.
| as you all know. The silver countries to-day
| are buying from the gold countries about
/ S6O0.Ooo.OO0; they were only buying S2S4 090,6e0
twenty years ago with Win, the prospect mat they
| twenty years. You can easily realize the in
| pOrtance Of such growing and expanding IN
| ternational trade, and why the gold countries
| should be so much interested in the same prop
| osirion-
| The third proposition is in regard 70 silver
/ bullion We want 10 deal with il modern
| principles; that is on the principles Of supply
/ and demand
| These are the problems that we have before
| US. and in order 70 avoid mistakes we are seek
l ing the advice Of the best talent and Of the
| most experienced men: that is the reason whv
I our government has sent this country
| seek for Information and TO exchange views
| with the prominent hnanciers Of this country.
| which we have done in very satisfactory way
| H Clay Pierce. chairman Of the Board OF
! Directors Of the Mexican Central Railroad. said
/ in part:
! The only question worthy OF consideration
| ever raised by Americans transacting business
| in the Republic of Mexico related 70 the in
| stability Of it's currency. 1t must be admitted
| that it is rather discouraging 70 send gold in
\ the shape of crude articles into Mexico for
| manufacture there to the benefit of the country.
! employing the people OF that country as labor
| ers. and be obliged to accept such enormous
| sacrifices upon the currency received when the
/ commodity is sold. Speaking from the stand
point Of railroads, doubt il there is "a ilroad
in the United States that would not be in the
hands Of receiver were that road obliged 70
| operate upon the constantly deDreCiatIug
which has fallen TO the lot Of the railroads
OF Mexico, and If the efforts OF this commission,
/ of which Mexico and this country should be
| proud, because Of what We who are here to-
/ night know they nave so quickly and success
i fully accomplished or made possible OF accom-
/ pIishment, shall result in giving 70 Mexico 4
! stable currency, the increase in values TO Amer
l more than S5000D0O0O. will have increased in
/ value % per cent. and the railroads Of Mexico
/ will be able TO return 20 those Interested IN
/ them a greater percentage Of the profit than has
/ ever been anticipated.
| Three years ago the average value Of the
| Mexican silver dollar was 40 cents; to-day il Is
/ 81. cents The tablishmenL OF stable cur
/ rency. fixing the value or the silver dollars OF
/ the new coinage. is proposed, at Jo cents in
| gold. is. in my Judgment, as easy Of accom-
| plishment as the necessary legislation. Within
I five years after stable currency is established
| in Mexico the amount Of new American capital
invested in that country viii exceed the present.
! do not doubt but that a stable currency.
! based upon the redemption OF a newly coined
| silver dollar at 30 cents in gold can be pro-
| tected in Mexico without the necessity OF main
| tanning any considerable gold reserve