The Abbeville press and banner. [volume] (Abbeville, S.C.) 1869-1924, 1919-12-05
FRIDAY, DEFENDERS, 1919.
SILVER AND "SIXTEEN TO ONE" !"

SILVER AND ''SLXTEEN TO ONE.
William Jennings Bryan has had to wait
twenty three years for his famous slogan,
ssSixteen to One'' to reach par. Now it has
passed that mark One silver dollar is now
worth in bullion about $1.0S. Free coin
age of silver at the 16 to 4 ratio would
not appeal to silver producers at present.
Said Mr.. Bryan the other day: Are the
New York fnanciers living up to their
claims of honesty that they made so vo-
ciferously in 1895, or are they paying their
debts in q cheap gold dollar?" But ne
failed to say how flat would that Cross
OF Gold speech fall in these latter days.
& What is the cause of this remarkable
condition of the silver market? The New
York Evening Post gives the following
explanations:
zone of the notable commercial phez
nomena of the war has been the great in
crease in imports of merchandise by the
belligerent nations from the Orient, and
the great decrease in their exports to the
East. 15
s Both were perfectly logical result OF
the fact that Europe was at war and the
Orient, except for Japan's brief campaign
of 1914, at peace. Before the war, Eu-s
rope was accustomed to settle through ex-
port of gold any balance against it in its
trade with China, Japan, and India. Bel
ligerent Europe's operations with it's cur
renGies have put an embargo on it's export
of gold to the East since July, 1914. But
Asia has from time 'immemorial accepted
], silver in payment Of such balances, and tine
result in the present case was to create in
Europe an abnornally great demand for
silver. Purchases of silver, for such pur-
poses and for shipment to Asia from our
cwn west coast, were naturally made in
large amount by Europe on our markets;
as result of which our, own total export
of silver, which was only $5i, 100000 in
1914, had risen in 1913 to no less than
$252,000,000. The rise in the price of
silver, then, is not at all mysterious 5.
Says the New York Times: S: S. s:
81. /" The reason for the latest advance in
silver, which has carried the price at New
York higher than at any previous time in
nearly fifty years, and the London price to
the highest figure on record, goes back to
the spring Of 1913, when the United States
decided to assist Great Britain in settling
her debts with the Far Last "a.
Before that time. England had been
meeting her engagements in the Orient,
and in India with both gold and silver. 4
When the available silver supplies had
nearly disappeared and the gold was bad
IL needed for other purposes Congress
passed the Pittman act, which released
something like $500, 600, 900 in American
silver coin for the use of the Allies.
"Most of that silver went to India for
account of the British Government Great
Britain also bought heavily in China, the
great silver-using nation, and wherever
else she could, sending most of this metal
also to India. In this country the export of
silver was placed under control of the Fed
eral Reserve Board, and the metal was al
lowed to go out only when that body issued
licenses. The licenses, incidentally, were
issued mainly for Indian export China got
very little new silver, while she allowed a
considerable amount to go over her bor-
ders ,*
Last May the ban on silver exports out
Of the United States was lifted and imme
diately, China became an influence in our
market Her purchases mounted rapidly
until now she is the chief bidder for the
metal and, according to dealers, is outbid-
ding all other consumers. That demand has
been the prime influence in sending prices
up"
cuAJ1 EpsRrN. MovEo