The Powder River County examiner and the Broadus independent. [volume] (Broadus, Mont.) 1919-1935, 1922-09-29
PlTTNlAN SILVER ACT NOT TO
Be REPEALED UNTIL MINT
REPLACES Withdrawals

WTHD6 ANNALS
the United Ststes at approximately
100000 ounces.
these figures clearly disclose the
scarcity of silver throughout the
world. They demonstrate beyond ar
gument the impossiblity OF greatly
increasing the production.
"Now, let US consider what 10 the
demand for silver. We have already
considered the demand for silver in
India, which came to crisis during
the war.
Chinese Medium
Economists all know that China
measures all values by silver, in the
form of bullion. Commerce can not
be transacted in China except through
the medium Of silver. The demand
for silver in China has always been
enormous. This demand is now de-
pressed because of the failure Of crops
in China and the deplorable economic
and political conditions existing there.
And yet, it is evident that China is
going to revelop rapidly in the next
few years, and with this development
will come greatly increased demand
for silver.
Silver is the money of general CIR
culation in all Of the South American
republics. AS the commercial devel-
opment of those countries increases,
the demand for silver there must nat
urally increase.
1T is admitted that in India and
China are the largest markets for
silver. And yet in our own country
during 1920 the director of the mint
purchased 100000 ounces of silver
for subsidiary coinage, nearly half
of the total production of silver in
the United States.
"All of Europe uses silver for sub
sidiary coinage. During the war there
became such tremendous demand in
Europe for silver coins with which to
pay certain of their soldiers that con-
tinental European countries were
compelled to melt up silver plate to
replenish these coins, and when the
armistice was signed these countries
were denuded of silver.
Price Advanced
LIN SACy want I0S S44t0Es O1V
they need the silver? Witness what
happened Immediately after the sign
ing of the armistice. These countries
went into the open market Of the
world, to compete in the purchase of
silver with China and India. This
natural demand and purchase carried
the price of silver above a dollar an
ounce, it reaching its maximum price
of $1.3S Il an ounce on November rs,
1919.
Then the price commenced to re-
cede until the month Of May, 1920,
when the worlds market price of sill
yer went below 81 an ounce.
What was the cause of this sud-
den drop in the price of silver
throughout the world? China was
racked with famine and torn to pieces
with political disturbances. Germany,
being without gold or credit, was
compelled to remelt the silver coins
that she had laid in Immediately after
the armistice and dump such silver
bullion on the market at any price
she could obtain, because it was the
only thing that had a value with
which she might purchase in foreign
countries. Other European countries
did the same thing. Even melted up
its silver and threw it on the markets
OF the world for same reasons.
Natural Depression
THE depression, therefore, of sill
yer was natural. And yet all of these
countries must again supply them
selves with silver for subsidiary coin
so soon as they have credits or prod
ucts with which to buy silver. Not
only that, but as the countries of
Europe become prosperous they will
desire and undoubtedly will replace
their silver plate that they melted
up during the war and during the last
several months.
In the United States alone during
the past year there was over $4,000
900 ounces OF silver used in the arts.
Is it not natural that when European
countries become prosperous they will
use their proportion of silver in the
arts? The high price of our silver,
IKE the nigh price for many Of our
other products, must wait upon the
prosperity of the rest of the world.
They will buy our products when they
can sell theirs.
"The moving picture industry Il to-
day one Of the largest users Of silver.
and this silver when once used 10 de-
stroyed and goes out of existence.
This industry is increasing demand
for silver.
"These facts prove bewond doubt
that In the near future there will be
great competition in the purchase Of
silver. In the future the ruinous com.
petition OF the sale of silver will be
avoided. Such competition Is bound
to carry the price of silver above .
dollar an ounce. It may be within
one year. it may require two years,
but in any event it is almost certain