The Salt Lake tribune. [volume] (Salt Lake City, Utah) 1890-current, 1913-06-26
| Admiral's plea, and its soundness is
NOT MONEY ENOUGH.

, er great inanciers in saying that there
is not money enough in the world tc
} carry the immense bulk Of credits re-
| quired in the expanded business OF
mankind and to protect reserves Oh
currency issued, and at the same time
leave money for loans for necessary
business purposes.
There is not enough money in the
world to form sufficiently broad the
basis for currency and credits that the
business of the world now requires in
its tremendous growth and wide finan.
cial connections. The scarcity OF mon
ey is everywhere recognized as the
great drawback of the time, and since
gold is the only form of money that is
fully and universally recognized, a
shortage in gold in spite of the tremen-
dous yearly additions to the gold of
the world. causes worldwide pinch in
all financial and business operations.
When silver men of this Western
region, and enlightened bimetalists in
the East, in Great Britain, In Germany,
and in France, made this point twenty
years ago, they were laughed to scorn.
They were told that actual money was
not needed, either silver or gold, but
that the world business was done by
checks, drafts and other forms of cred
it. The idea that there could be such
thing as scarcity Of money was
hooted as barbarian folly which the
world had fully outgrown. But now
this point Of the silver men is univer-
sally confessed
The real silver men were at no time
in favor of fiat money. They main
tanned, not that silver was fiat money,
but was good money, just as good as
gold, and just as necessary for the
world g use. They showed that bimct-
alism had been the rule in the world
OF commerce and finance ever since
the beginning of history. They showed
that when Great Britain adopted the
single gold standard, that adoption was
for the purpose of making all the world
pay tribute to the Bank of England.
That was clearly the effect of the
adoption of the single standard in
Great Britain, and it was by this meth
cd that Great Britain's fnanciers OBJ
tanned financial supremacy throughout
the world. and were able to dictate rules
as to what they would do and how
they should do it, in all moneyed af
fairs. The silver mon did not believe
that this condition Of affairs was ad
vantageous to the United States, and
feeling the pinch of the lack of money,
they recommended a continuation of
the bimetallic standard. That they were
right appears to be conceded now, even
by the rabid gold men.
The wholly unexpected turn that the
people Of India have taken in their
hoardings caused reversal of the
golditc theory and argument. A re-
cent letter in the Boston News Bu
reau, which is reprinted approvingly in
the Wall Street Journal and other New
York papers, makes the flat statement
that "Financial authorities now de
clare that the putting of India on
gold basis was a mistake. India has
become as great a hoarder of gold as
she was formerly of silver, and the
Western world is feeling the loss of the
metal -
The corolary is derived from this that
when bimetalism was supported by all
men of the West, and it was argued
by them that reserves of gold would
eventually be insufficient, they would
be proved right, And when it was said
that it would be found later by Great
Britain and Europe that instead of
the silver men in the United States be-
ing the ones that would eventually de-
mand the restoration of the double
money standard after that standard had
been destroyed it would be the gold
men, who were then doing their best
to establish the gold standard through.
out the world, that would demand the
double standard, the idea was scorned,
but is now respected
India has taken to herself and hoard
ed fully one.fourth OF all the new gold
produced IN the world in the last five
years. This is a serious handicap to
the financial affairs and to the bust
ness affairs of all the great CONNER
cial nations. In place of being allowed
to depend on some s475,00o,000 of new
gold yearly, they have been cut down to
$3.50. 900 900.
But if India, in changing the metal
which she boards has made such ham
pering inroads on the new gold supply,
what would happen if China in her re-
awakening should also take on the gold
standard as Great Britain and other ma
tions have demanded that she should
do' Heretofore China has been con,
tented with silver, Just as India was
formerly content with it. But when
India was convinced that silver was no
longer money metal, she at once
changed to boarding gold. For if sill
yer was not money metal, and was liza
bic TO violent fluctuations simply as