Douglas Island news., 1919-12-12
SILVER SOARING;
 NOW WORTH $l.50
Big Demand and UnderProduohon Has Caused White Metal to
 Rise to Groa, Price

boon what 10 a today thcre would have boon no free silver presidential campaign. and w. J. Bryan might Isuu be country lawyer n Nebras |ka. with reputation hardly nor. ! than local says w. w Jermaue In d Washington dispatch to Che sea,tl, ITimoa of recent date. Tho price o0 |tho white metal on Saturday was |Sl3S. which means that a silver dol- liar contained on that day bullion worth. at market prices. $1o6. Tho parity is not yet l6 Go !, but it is linear it 10 s between 10 and i6. land nearer Che latter chan Che former
 Tho old law of supply and demand explains Che existing situation. In Che unoucs of Che last century One supply was abnormoliy large and Ono demand small The result was low price. which Che free silver people wished Co mcroaso by legislation. Today as Che result of Che world war Che suppls Is small and tho de- mand abnormaly larse High prices naturally follow.
 The quotations ore higher than thcy have been since 1870. w.th Che prospect good for a som further inc crease. assuming Che demand to n- crease. which is altogether likely
 China Is Che key to Che situation. She h on silver basis. Che only large country adhcr.ug Go that metal and her disturbed finances have created demand for coin Co take Che place of Che worthless cur- rcncy which has bcon in circulation
 If European countries really try Co buy silver In Che United States there Is every indication chat thc price win go much higher for Che Chinese agents show no disposition Co iowu the.r bids but Go outbic every other nation chat Is on Cine market
 so great is Che r'lyor-shor'ago In Europe chat exports ot it from Eng land are now made under license for Che first time in history. while France has placed am embargo upon exports
 The commerce reports e.y.ng de- tailed figures covering American cX- ports of gold and silver for Ono first nine months Of 1910. are Of peculiar interest at this time We sont out m chat period gold. Co tho value Of S225.921.000. sum which. it may bo m.d is double our gold exports for any cyar of our history prior Co Che war Of that huge sum. S59.- oOO.0O0~wcut to south America and N16.o0O.b00 Go Aslo Nor was Chat aD of thc shipments made to Asia. for iu Che same nine months we sent Slo9 o0oo.oO0 In alycr Go British mda and S29.000000 Co China
 10 H since chat Che Chinese de- maud has become so brisk as to send Che pr.co skyword. An or these shipments both of gold and sIlver it Is pointed out have virtually been made by Che United States for Che account Of and iof Che benefit Of Europe
 Mexico went on a gold basis ths year. leaving China. as have ole ready said. thc only large nation to adhere exclusively to silver
 Honduras. ln Central Amcricor is Che only other silver nation In Che world and is requirements are SO small as not Co effect Che existing situation Three nations use both gold and silver Italy. Persia and Spain -but their requirements are also small. leaving China as Che sole explanation or Che present high price. Further increases and they need not now he great -0il make it profitable to convert silver dollars. haIf dollars quarters and dimes into bullion
 If that stage is roached,th United States win itself face a problem to solve. The Saturday quotation Of S13S was six cents above The value Of Che silver that Us in a dollar- but as it win cost something Go melt the coin and afcrward to market it thero is no immediate danger that silver win begin to disappear iu this country
 In Che days when free silver was @ political issue there was great octIv- ity in mining throughout tho whole Of Che rorion covered by Che Rocky Mountains Gold and copper were the metals chat were in demand. but an important gold and copper deposits contained a large percentage Of sil- yer which could not be disposed of at profit at prices then prevailing. As Che silver supply continued to iu- crease. Che price fel and Che free silver issue was not long In shaping .f..rf