Evening star., 1924-09-14
Continued from First Page.)

the circulation of silver dollars. This
was oCcasioned partially by the sale
of about S260.000,000 in fine silver
for India during the war, to sta.
biliZe currency conditions there. Just
before the sale of the silver to Great
Britain for India there were in cir
culation here about S81,00O,OO0. This
figure has been reduced now to about
S4.000,000, and there is still demand
for dollars, throwing a heavier load
on the paper. making its demand
= greater and its condition still more
1ntit.'
silver Is Replaced.
The silver sold to India was re-
auired by law to be replaced by the
government from domestic producers
at 81 an ounce. Over the terms OF
this purchase a fine fight arose be-
tween the Treasury and the silver
producers. But that is another story.
This repurchase," according to an
official Treasury statement. lis now
substantially completed. While much
of the silver sold was represented in
currency circulation by silver certifi-
Gates, there has. been a material de-
crease in the number of silver dollars
in the hands of the public since the
original melting down. 1t is the de-
sire of the Treasury to restore to
general circulation in the United
States silver dollars, which formerly
represented a material portion of the
money used by the public. :
There will be no change in the
amount of money in circulation"
One of the most significant reasons
for pushing the "cartwheel' however,
is believed to be our friend "econ-
omy," which constantly is bobbing up
in all phases of government opera
tons nowadays. Here is the official
pronouncement on that score: 1.-THE
increased use of the silver dollar will
permit the Treasury to maintain it's
paper circulation in better condition
and will effect material saving in
the expenses of the government"
Would Be Economy.
There is a very meaty kernel in the
nutshell, "a very material saving to
the taxpayer. In fact, it has been
figured out in dollars and cents just
how expensive it is for you to carry
that dollar bill around in your pocket
instead of the shiny silver cart
wheel"
For instance: 1t costs an average
of one and a half cents, the Treasury
says, to keep a dollar bill in circula-
tion during it's life. The life of dol
lar bill has been approXimated at the
low figure of about six months. Some
last less than 80 days. Thus the ex-
pense of using paper dollar is about
; cents year, or per cent. Per-
haps the particular user of that dol
lar bill does not pay his quota of the
3 cents, but the taxpayers Of the
United States pay it, every one his
share. The cost of manufacture is 9
mills each bill. other costs being
transportation and handling.
If the Treasury should succeed, as
" hopes eventually, in putting out
about 40,000,000 in silver dollars. and
these dollars should replace paper,
there would be a saving for single
year, less the almost imperceptible
cost of abrasion of the silver, of
about $1,200,000. or the interest, at 4
per cent, of $30,000,000 of the public
debt The amount the silver dollar
loses by abrasion each year is so
small that Treasury experts do not
have accurate figures on 1t. The sill
Yer dollar passes at it's face value so
long as it can be recognized. On the
other hand. the abrasion in gold coins
is very high. as a gold coin is worth
only its weight in gold" The table
of abrasion cost in gold has been very
accurately determined.
How will the dollars be pushed out to
the public? Not all the campaign has
been mapped out as yet Several phases
of the program remain to be deter
mined. but a start has been made. Each
pay day Treasury employees will receive
at least one dollar Of their pay in silver
The Navy Department has decided to
help out Already it has instituted the
policy of paying it's navy yard and shore
yard employees everywhere in silver for
all pay under IS.
The Department of Agriculture has
already inaugurated similar plan
Other Government departments are ex-
pected to join in the movement
Beside help from the Government it
self. however. it is known to be the plan
of the Treasury to invite the assistance
and cooperation Of banks and civic or
ganiyations generally lin acquainting
the public with the desirability Of 40
cepting the silver dollar as an auxiliary