Evening star., 1933-11-17

G.J
ounces of silver. Most of the silver is
held and boarded in China and India
THAT 12,000,000,0 900 ounces of silver
at the price today, in the market of
the world, Is worth about SIS, ,160, 600, 900.
If 1t were given the same value at
which our standard silver dollar CIR
culates in this country, namely, $l.29
an ounce, or 1915 of the value of an
ounce Of gold at s2067 an ounce, this
10000, 900, 900 ounces of silver would be
worth, and have q purchasing power
Of, SIS, ,480 100000. In other words, the
purchasing power of the holders of
silver money would be increased over
300 per cent.
Buying Increase Seen.
Can any economic sophistry con-
vince any practical person that these
people, having nothing but this silver
money, would not purchase more
from lis after such increase in the value
Of silver than they do now?" Senator
Pittman said that Great Britain and
the United States had each lost about
rs per cent of their trade in manufac-
tnred exports to China since the great
fall in price of silver in 1928. China
was enjoying boom in the period
from 1928 on while the rest of the
world was In War-caused depression.
The reduction in trade with China,
the British economic mission to the
Far East said in its report, was due to
the fall In price of silver.
The Nevada Senator insisted that
there was no danger Of flight Of gold
from this country If the free coinage
of silver were undertaken, for the sim
pie reason that I'VE have clipped its
wings" He declared that silver had
proved the best and cheapest circulat-
ing currency. Experience, he said.
would prove that there is no danger in
the use of silver money. but that its
increased use will be OF great benefit.
The production of silver is limited. He
concluded:
LET us get behind the President in
the plan to coin silver produced in the
United States, in the hope and belief
that such action will be followed by
India. Canada, Mexico, Peru and Aus
tralia.
White House Is Silent.
From the White House. though.
there had come no indication that Mr.
Roosevelt favored Pittman's plan above
many others that he is studying. But
persons familiar with the Presidents
program expressed belief that even-
tuslly, at least, he would try to do
something more concrete for silver.
So far, these persons said. the Presi-
dent had relied upon his gold-buytng
plan, hopeful that as the prices of COM
modities went up that of silver would
too. Even some of his advisers, how
ever, fail to agree on whether silver is
monetary metal, like gold, or lust
another commodity
With Henry Morgenthau. IT,, this
morning taking his oath as Undersec-
retary OF the Treasury, some adminis-
tration sources held there was no
change likely soon in the Government IS
monetary plan. Whether the fact that
the gold price yesterday, for a third
consecutive day, was kept steady at
S33.56 meant MIR. Roosevelt was any
nearer stabilization of the dollar in
foreign exchange, none would say.
Taking cognizance of the r. p. c.
purchase price for newly mined gold,
which remained unchanged at 1856
for the last four days, Thomas said
the time to stabilize was near.
THE President has driven the pur-
chasing power of the paper dollar down
around 60 cents" he said 1T ought
to be stabilized there or lower. perhaps
at SO.
Besides Thomas and Smith, Senator
Harrison, Democrat, of Mississippi, at
tended the meeting. All three come
from cotton States.
Others participating were James H.
Rand. jr, head of the committee for
| the Nation; former Mayor John +.
Hylan of New York, Prof. Irving Fisher
Of Yale, George Leblanc. former vice
president of the Equitable Trust Co.
Of New York. and Robert Harriss. econ
omist, Of New York.