Evening star. [volume] (Washington, D.C.) 1854-1972, 1906-05-01
CURRENCY IN MEXICO.
Effect of Establishment of the
Gold Standard.
VALUES NOW MORE STABLE
Credit of the Country as High as Any
Nations.
THE EDUCATION OF WOMEN
Admission to the Learned Professions
Success Of the American School,
the Sarah L. Keen College.
HE EDUCATION OF WOMEN
BY WILLIAM e. CURTIS
Special Correspondence Of The Star and the Chicago
Record Herald.

Special Correspondence of The Star and the Ctcaeo
Record Herald.
CITY OF MEXICO. April o5. 1906.
The day of the silver dollar is done Some
or the South American countries still adhere
to the double standard and In China there
is no currency but silver. but 1.-The dollar OF
our daddies'' has become q matter OF con,
Venlence rather than an article of value.
Mexico. the last of the important silver
countries, went or gold basis just about
year ago on the LIST Of May, 1906 at the
rate or thfrty-two to one and the value of
the old silver dollar, for centuries the COM
mon currency of the east, and still the
standard In China, was fixed at so cents
gold forever, slight advance from Its bull
hon value on that date. Since then silver
has appreciated several points, and It's bull
non value Is now greater than it's currency
value, but that anomaly is not likely to con-
einue long. In order to maintain the parity
OF the TWO metals q law was passed shut
ting out about four billion silver dollars
bearing the Mexican coat-of-arms which
nave been coined during the last three CEN
turtles and shipped to different parts OF the
world They cannot come back to the coun-
try. The custom house inspectors now ex-
anime the effects of incoming travellers with
vigilance to prevent the smuggling of silver.
There are supposed to be about 100 600 600
silver dollars in circulation in the republic
That number will not be increased unless
commercial conditions REQUIRE It.
Fifty million dollars in gold bullion were
purchased by the issue of bonds for re-
serve fund and gold certificates similar TO
those of the United States have been issued
against 1t, payable at the National Bank of
mexico This Is q precaution against any
possible dangers that may arise from nm nd
vance in the bullion value of the silver
pesos which might cause them to be pur-
chased for export and produce 4 currency
o~ntd
fore as good as the coin
Under the present system Mexico now has
two gold coins and a silver dollar of q 43o
grams OF silver and 2.634 grams of copper
and subsidiary coins of so, %, 90 10 and S
cents OF silver and l cent Of copper The
gold coins have value of 10 pesos and 5
pesos, respectively, in silver and are worth
IS and 81. 80 In American gold
Very few of the gold coins are in circuIa-
ton. The minis of Mexico are running them
out as fast as possible. and ], 600 900 1O-peso
pieces and 100000 5-peso pieces have been
coined for the Mexicans at our mint In
Phlladelphia. The government Is trying to
get these gold coins in circulation. but has
not been very successful because gold
money is a novelty in Mexico and people
VINO are fortunate to obtain a sample will
Keep II rather than spend 1t. 1 told you
the other day how several large manufac-
turing establishments and one of the rail-
way companies had paid off its hands in
gold. but none Of 1t Is in circulation 1t dis
gold coins as ornaments and will probably
continue to do until they become more
familiar with them, which WILL of course
withdraw them from circulation. Some of
the hnanciers of Mexico fear that cur
rency famine may be produced In that way
Change Adopted Without Stir.
The effect of adopting the gold standard
has not been perceptible among people gen
orally. They have experienced no change
IN,
thing has occurred. Wages are just the
same; the prices OF food and clothing and
other things have not been altered Not
rifle has been apparent in commerce or
trade, but business is going along just the
same as before. The old silver dollar will
buy just as much in the market or over the
counter as it did before It's value was def
nttely fixed by an act of Congress.
the only notable change has been in large
transactions and In banking circles. The
rate OF interest has dropped from and 10
per cent to and per cent and for the first
time IN the history Of the republic per
cent loans are being made. Banks and
noney-lenders are no longer afraid of Mexi-
can Investments. Public security Is felt
When the value of silver was fixed the
value of real estate and other investments
Became free from fuctuation. Several new
banks have been started in the city since
the gold standard was adopted-four of
them with American capital. Public credit
is now as sound as that of the United States
or any of the European countries. Govern
meft bonds are at premium. Minister
Limantour can now borrow all he wants
all that congress may authorize at par
with interest at per cent. When he first
came into Office he considered himself for
tunate If he could sell per cent bonds at
90 or 90.
Effect Of Monetary Reform.
In his recent message to congress- Presi-
dent Diaz congratulated the country upon
| the situation 1 have just described He said
"The era of prosperity which the repub-
ITO In enjoying is due in a large measure
TO the monetary reform which among
other gratifying results, has given pow
erful stimulus to the investment of for
egn capital in this country 1t NAV be
asserted that the stability of value of our
currency is now an accomplished fact
and. thanks to that fact 1t will be pos
sible to exploit the great wealth of our
soil which had remained unproductive
owing to the insufficient resources avail
able to the nation. The recent rise in the
value of bar silver will tend to consoli-
monetary laws and enactments, because it
has afforded the opportunity to put into
circulation during the brief period of four
months gold coin or bars to the value of
more than s42.OOOOO0 This would have
been impossible, in all probability. except
after the lapse Of several years. If the
| price of the white metal had not risen to
parity with gold at the rate established
In our new currency regulations"
Mr.. Limantour, the minister of finance,
in his report to Congress, reviews in great
detail the commercial and financial situa-
ton of the republic in the light of the
new monetary system and says:
1T is a source OF profound qualification
to the executive that during the year,
since publicity was given to the monetary
plan. the changed conditions should not
have been accompanied by any material
hardship to the numerous producing
| classes OF the republic, and still less to
the consuming classes. The minor In
conveniences which the change of system
necessitates were susceptible of being
easily redressed by measures such as the
revision Of the tariff of import duties and
| the granting of franchises to the mining
| industry. which quickly restored equilib-
rum to the interests chiefly affected. The
satisfactory situation Of the country has
been enhanced by the fortunate occurrence
| Of rise in the value Of silver to point
higher than that which 1t has attained
for several years past.
between 1oo2-19o and 19o3-19o4 our ex-
ports increased by $4,000 American dol
| lars and between 1908 1904 and 1904
by 600 American dollars; and II the
conditions of foreign markets where our
articles are marketed and the rate of for