The Wallace miner. [volume] (Wallace, Idaho) 1907-current, 1918-09-05
THE PRICE Of GOLD
WAS FIXED BY MAN
Based Upon Its Rel
ative Value at
the Time.
CONDITIONS CHANGED
Which Requires Change in
Gold Standard to Con-
form to Them.
CONDITIONS CHANGED

TN THE accompanying letter Col
onel Chester II. Kennan closes his
argument in support of the pro-
position to increase the standard
value of gold to $50 per ounce by an
swering the argument that to do so
would automatically increase the
prices of all other commodities. His
letters as published in the Miner have
attracted wide attention. and evidence
is not lacking that they have been the
means of enlistng the support of men
OF prominence and influence in the
business and official life of the coun-
try Colonel Remnants letter follows;
Spokane, Wash, Aug. 81, 1918.
An Argument Answered.
Senator Charles b. Henderson,
Chairman Senate Committee on Mines
and Mining, Washington, ID. c., Dear
Senator: BY those whose mental cam
eras are not quite large enough to take
in all the angles Of the gold problem
at a glance, the objection Is most
commonly advanced, that If we were
to raise the general parity of gold to.
say $50 per ounce $40 fine, then the
prices of all other commodities would
be automatically, or by common con-
sent, raised in the same proportion
and we would simply be guilty of the
proverbial attempt ito raise ourselves
by our bootstraps," or of wishing
each of ourselves 10 feet tall"
Such non reasoners however oyer-
in correct solution of the problem.
First. That the world is at present
in the direst need of about ten times
more gold coin than 1t now possesseass
need has very recently arisen. This
extra amount of gold now needed, Is
absolutely necessary for two legitim-
ate purposes, wiz: For the proper
transaction of the worlds rapidly ex-
panding business; and to effectively
broaden the gold base. upon which
rests the preWar paper issues and
the mountain of war issues based on
gold.
Second. That it is not now proposed
to raise the price of gold commensur-
ate to the present high war prices of
other commodities, nor to presently
pay off the war issues which are not
payable for many years to come.
All Standards But Gold Have Changed
1t Is simply proposed to now public
ly acknowledge and legally name the
true and actual value Of gold for all
the worlds uses--this price must be
fixed through careful weighing Of
pre-war conditions, war imposed con-
ditiOns, and post -bellum conditions
which must prevail, as judged by the
accumulated experience Of mankind.
Man has ever been rocked In the
cradle of war. He is the most de-
structive brute in all creation, but
forever builds apace far better than
he destroys. He has accumulated al
most as much experience in ending
wars as he has in commencing and
fighting wars. and he should not now
quail at the prospect,
The present gold standard was fixed
by English parliament at the price
paid for gold the day before in the
open market by the Bank of England,
and subsequently this standard was
essentially adopted by the other ma
tions. But now comes our objector
and solemnly AYERS that what man has
once created man can not alter.
Once upon time two travelling men
went to battle in the ocean. AS they
were wading in, the one behind said
to the one in front, George, how old
are your" George turned around and
said: Thirty seven years Why?'
The one behind, who had been scan
ming George carefully, replied: II did
not think a man could get as dirty as
you are in thirty-seven years"
Our poor old gold standard has been
more than 200 years without change.
Our poor miserable bankers (our
stakeholders) seem quite inclined to
complain that the change might add to
their already grievous burdens or in
convenience them in some occult
manner at present nexplicable--and
this reminds us Of another story: A
circuit Judge was riding his circuit,
and spying farmer acquaintance
nlowinp In a largo stnny feld the
Judge reined his horse up to the fence
and waited for the farmer to come
around with his furrow and have a
chat. In the conversation the judge
Continued on Page %