Evening star. [volume] (Washington, D.C.) 1854-1972, 1903-01-30
PROPOSED NEW RATIO
COMMENT ON THE JOINT NOTE
FROM CHINA AND MEXICO.
Initial Step Taken by the Latter
Views Were Received Herein
Line With Administration Bill.

The proposition transmitted 10 congress
yesterday afternoon by President Roose-
welt, embodying a joint note from China
and Mexico asking the cooperation OF the
United States in the establishment OF
universal standard Of coinage for the sill
Ver-using countries of the world. and the
suggestion of the President that he be
given powers to lend the support Of the
United States to the proposition in such
manner as he may deem expedient, Is re-
corded as the initial step in what may be
a decided improvement in the monetary
condition Of the world
Mexico has taken the initial step in this
matter. China was invited to join her in
presenting the matter to the United States,
the direct interest of this country being
the Philippine monetary problem, which
Congress is at present trying to solve.
As this Philippine legislation Is at pres
ent receiving the attention Of this country
the time was regarded by Mexico and China
as most propitious for the presentation of
their plan. A summary of the joint note,
Which Is printed in another column Of The
Star. gives the reasons for the action in
detail.
Mr.. Enrique c. Creel. the confidential
agent of the Mexican secretary Of finance,
who has been in Washington for several
days for the purpose of furthering the
project, gave to The Star today further
information concerning the present plans
and ultimate ends to be accomplished.
Exactly what we have in view at this
time he said, sis the appointment Of a
Joint committee of three members from
e eaC OF the three countries. the United
States. China and Mexico. The duty Of
this committee will be to give full and
careful consideration of the economic
problems in relation to establishing a new
monetary system In the silver-using coun-
Nha
tenn as at present viewed would be a ratio
or silver to gold of 80 to 1, or exactly what
IS proposed by the administration measure
for the Philippines
After this committee has heen anno,ntad
ana plan agreed upon and approved by
the governments represented, 1t will be the
Iurther duty Of the committee to present
.ne pan TO the European governments, in
Gluulils Great Britain, Germany, France
Russia and other countries having Interests
IN the east and urge their cooperation
II Is not the Intention of the Mexican
government to recommend bimetallism, or
the 1ree coinage Of silver or to discuss any
OF the propositions which have already
been discredited by the great powers of the
Worid, out to start on new policy within
tne ilnes or the gold standard system, and
70 NIX gold value to the silver currency
to be used in silver-using countries as well
As TO make the necessary international ar
rangements for the use of silver coins as
Iraotlonal currency and subsidiary cur
monetary system of the world on a gold
basis. e
Views Well Received.
The views Of the Mexican government
on this subject have been well received bv
the government Of the United States and
py several authorities on monetary oues-
lions who have already been consulted and
are giving the matter full study and con-
sloeration. have also received very encour
aging support from some Of the leading
bankers Of this country who have assured
me that Mexico has taken the wisest stem
posslole, and one which will be followed
by practical success.
The interests of gold countries and of
Ihe SILVER countries are common on the
ilnes or international trade The silyer-us-
ing countries are buying from the gold
countries at present nearly 5000 600 600 In
products per annum on the gold basis
These products consist mostly of manufac
tured goods and supplies. With a substan-
tial currency which will give Satisfaction
TO both the gold and silver countries this
international trade would be expanded very
soon to more than 81, 600 600 600 annuaIlv in
sOlai Ihis would be so because the pur-
CHASING power Of silver currency would he
increased. the price Of labor would be adj
vanced and in great many other WAYS the
new monetary system would develop inter
national trade.
Increased Possibilities for China.
"Ons Of the very important factors to
bring about satisfactory results has been
China, which is working in this matter In
full accord with Mexico and has also an
Piled for the cooperation of the United
States. China is consuming at present only
90 cents per capita Of foreign goods, while
Japan is consuming So per capita in foreign
goods. If after few years the markets of
China are open to the commerce. Of the
world she will be in a position to buy. in
stead OF S2OOOOO,OO0 worth Of goods annu-
ally, more than 81, 600 600 900 worth. which
lation of 100000 600.
"On the whole, the proposition which
Mexico has taken up is one Of the most i'm
portant economic problems that could be
submitted to the world, and IL It shall he
carried to success 1t will be a strong move
", 70 . 0f,,