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SEPTEMBER 18, 1903.
of ultimate redemption, despite the efforts of tha
republican leaders to discriminate against It. The
silver dollar Is worth 100 cei.3 because Uncle Sam
will accept It In payment of 100 cents' worth Qf
taxes. The gold dollar has never since 1834 been
worth more than a sliver dollar; there never waa
a time since 1834 when the gold dollar would buy
more than the silver dollar.
Really, the ignorance, wilful or otherwise, of
the Sioux City Journal Is distressing. But it ap
pears to be fully as well posted on the money
.question as the average of its republican contem
poraries. '
As the Journal is so free to ask questions, per
haps it will be willing to answer one or two.
Can the Journal point to any republican legisla
tion that maintains the "exchangeable value" of
the silver dollar with the gold dollar? If gold
should be universally demonetized, how long
would gold maintain its present bullion value?
Lastly, will the Journal condescend to tell
us which It would prefer, silver certillcates based
on silver dollars held in the treasury vaults at
Washington, or a currency based on bank assets
that-may be worthless tomorrow regaruless of
their, worth today?
JJJ
Mr. Bryan In Ohio.
Because Mr. Bryan was unable to keep tho
appointment for his first speech in the Ohio cam
paign, the Chicago Chronicle, in an editorial
printed in its issue of September 2 says: "People
who have maintained that Colonel Bryan will
not bolt. next year will do well to note w-at has
happened in Ohio., Despite his friendship for Tom
Johnson tho colonel deftly sidesteps that gentle
man's invitation to orate from the same platform
with the 'goldbug Clarke."
Owing to the press of private business, Mr.
Bryan was compelled to cancel three of his ap
pointments in the Ohio campaign.
Mr. Bryan's attitude with respect to Mr.
Clarke is shown in an interview pre
sented by the Associated press in the newspapers
oi September 3, as follows:
. "I would have preferred the nomination
of someone who had been active and earnest
in the support of all the planus of our plat- .
form, but the delegates who indorsed the Kan
sas City plaUorm also indorsed Mr. Clarke,
and after talking with him and listening to
his speech last night, I am satisfied tnat his
sympathies are with the people in their fight
against organized wealth, and that, if elected
senator, he can be trusted to stand for the re
forms for which the democratic party is con
tending. As an evidence that his sympathies
are with the massesf i point to the fact that
he has long advocated the election of senators
by a direct vote a reform without which
other reforms' are impossible.
"Mr. Clarke is opposed to government by
- injunction and tnls questian is a good test of
his sympathies. He is in favor of an income
tax anotner proof that he is not the repre
sentative of plutocracy. His views on imper
ialism and the tariff are sound and in lino
with democratic princir es. His one differ
ence Is on one phase of the money question
namely,, metallic money and on this question I
believe he was grievously in error in 1896.
But since that time the arguments made in
favor of a larger volume of money have been
vindicated. Believing, as I do, that his sympathies-are
right, I shall trust him to carry
out his platform on all questions that come
before him, rather than give encouagement
to those who would elect a republican legis
lature and thus not only return Mr. Hanna, but
prevent the enactment of needed state legis
lation. "On the more acute phases of the money
question I believe Mr. Cxrko will be found
in entire harmony with the Kansas City plat
form demands. I cannot conceive of his sup
porting an asset currency or the Aldrich Dill,
neither do I uelleve he would support tha re
publican measures which provide for branch
banks and for making the silver dollar re
deemable In gold.
"Mr. Clarke recognizes, as he said last
night, that revolutions do not go backward;
he recognizes that the democratic party is
inarching forward to meet the issues presented -..
The Commoner.
by plutocracy and ho Is eppoaed to the scheme
of the reorganizes Whllo wo might prefer
some other democrat to him, we certainly pre
fer him to a republican who is against us on
all questions, especially when tho legislature
that will olect him will also give tho people
home rule, cheaper railroad fares and moro
equitable taxation. To oppose him because of
his action in 196, In splto of tho fact that
ho helped us heartily in WW), in spile of tho
fact that ho has supported Johnon in all his
reforms, In splto of the fact that ho Is now
helping us on everything except ono phase of
one question, and In splto of the fact that on
that question I believe his sympathies will
lead him to our aldo whon ho thoroughly un
derstands tho subject, to oppose him, I say, In
splto of these things, would be unreasonable
and unjust"
JJJ
Automatic Currency.
The people aro now told that whllo the presi
dent does not look favorab' upon the asset cur
rency scheme, ho has Indicated that ho Is iu
favor of "automatic currency." The Now York
correspondent for the Philadelphia Press pro
vides a hint on this line whon he says:
"Should congress provide that, upon suit
able security, whether that be assets or bonds
other than governments, tho secretary may au
thorize any bank to issue curroncy in excess
of that secured by national bonds and up to
25 per cent of its capital, for which an in
terest or tax is charged representing a little
more than the normal rate for money, then,
in view of tho experience of tho New Yorlc
clearing house, that would have an exact and
certain automatic character which would pro
vent any undue inflation of the currency."
This correspondent adds:
"Upon one other point there seems to
be, on the whole, favorable opinion, although
it Is less pronounced than that which sup
ports the automatic currency Idea, and that
is the repeal of the law requiring sequestra
tion In tho treasury of the cash received for
customs duos until it is paid out for govern
ment obligations. These two, being the only
measures that now appear to have fairly good
public-support, are presumed to be the meas
ures which will be Incorporated In the bill
soon to be prepared by the senate committee."
If this means anything at all it means that
the program is to pass, practically, tho asset cur
rency scheme of the Fowler bill and also the Aid
rich bill.
To be sure, it Is reported that tho president
has indicated that he is in favor of "automatic
currency;" but It will be difficult for one to dis
cover any material difference between the cur
rency scheme provided for In the Fowier bill and
tho "automatic" currency scheme as outlined by
the New York correspondent for the Philadelphia
Press.
This correspondent says that in the auto
matic currency scheme "tho racretary will author
ize any bank to issue currency in excess of that
secured by national bonds up to 25 per cent' of
its capital;" and he intimates that these will be
on "suitable security whether they be assets or
bonds other than government bonds."
Accepting this, then, as the program, .is it
not fair to assume that the financiers have be
come alarmed because of the popular protest
against asset currency and h&vo undertaKen to de
ceive the people in a most impudent way by
merely changing the popular name for their un
patriotic plan?
JJJ
A Terrible Scare.
The United States Investor, & financial pub
lication, prints an interesting editorial entitled
"The Philippine Coinage." The Investor is great
ly disturbed and says that "the present high price
o! silver bullion and its steady tendency upward
ever since the first purchases for the Philippine
coinage were made on March 26, may well cause
uneasiness." The Investor fears for "the stabil
ity of the monetary system created for the Islands
by the act passed by the last congress."
The Investor adds:
"That act creates a theoretical gold peso
3
of Just half the weight of the United State
gold dollar as the unit of value and provide
for tho coinage of sliver pesos, sliver subsid
iary coins and minor coins of nickel and
bronze to form tho real initalllc curroncy of
tho islands, 'mo act provides that th3 silver
peso shall woigh 416 grains, and that It shall
contain 000 parts of puro silver in 1,000 parts.
Right here !b tho defect of the systom. Mr.
Conant, who was sent to tho Philippines to
make a report as to tho monetary needs of w
tho Islands, recommended a peso weighing
416 grains, but to bo only 83 parts flno In
stead of y00. Ho foresaw that tho margin
between tho bullion valuo of the coin and IU
. faco valuo would bo so small If It wns made
900 parts fine that thoro would bo danger of
tho price of bullion advancing to such a lovel
as to make It moro profitable to melt tho
coins and sell tho sllvor In tho bullion markot
than to use them as a medium of oxchange.
He recalled that as recently as 1900 tho prico
of silver had remained for three months above
64.1 conts per ounce tho lovel at which tho
bullion in tho coins is worth oxactly tholr
face valuo on tho basis of 9u0 parts puro sil
verand ho thought tho margin ought to be
made greater. Congress, howovor, feared the
Chincso counterfeiters, and put moro silver
into the coins so as to make it less profitable
to counterfeit them.
"The unwisdom of this action is now ap
parent Sinco tho first purchases of silver
for the coinage were mado, tho market price
hoB gone up moro than 9 cents per ounce,
and a further advanco of about 5 cents
would mako tbo bullion value of tho coins
and their face value Identical. A still further
advanco of a fraction of a cent would lead
to their being exported to tho Hong Kong
bullion market, and would break down the
entire monetary system of tho Islands. The
authorities at Washington hope that tho pres
ent advanco will bo temporary, and that it
will stop short of 64.1 cents per ounco, but
thoy aro very uneasy, not only as to tho pres
ent, but as to tho future, for thoy can have
no assurance that the prico of sllvor will re
main below 64.1 permanently. Tho situation
presents a problem with which congress should
deal during tho next session."
Tho Investor was among those publication
that during the campaign of 1896 had the habit
of saying that value could not bo legislated Into a
thing. They told us that to restore silver to its
constitutional place at the mints would drive
gold abroad; and It Is interesting to read the
comments the Investor now makes with respect to
tho Philippine coinage.
They do not have free coinage in the Philip
pines, but according to the Investor, tho first
purchases for the Philippine coinage havo given
to tho price of silver "a steady tendency upward ;
and now the Investor is terribly alarmed, not be
cause tho silver coin Is dishonest money, but that
the margin between the bullion value of the coin
and Its faco value Is so small that there is danger
of the price of silver advancing to such a level
as to make it moro profitable to melt the coins and
sell the silver in the bullion market than to use
them - as a medium of exchange. And the In
vestor Is alarmed, not because the silver coins in
the Philippines are not good money, not because
the Investor's boasted "superior money" has a
tendency to go abroad, but the. Investor is alarmed
because,, as it says: "A stiu further advance ot
a fraction of a cent would lead to their (the sil
ver coins) being exported to the Hong Kong bul
lion market, and would break down the entire
monetary system of the islands."
Wo aro told, also, by the Investor that the au
thorities at Washington hope that "the preaeat
advance will be temporary and that it will itof
short of 64.1 cents per ounco, but they are vary
uneasy not only as to the present, but as to ta
future, for they can have no assurance that ta
price of silver will remain below 64.1 ceata fas.
manently."
Is it not possible that those who hava linai
encd to the terrible predictions mad by UpMi
monometallism as to what would kaatMA ta ib
event silver was restored to its plaea at tJM Urn
States mints, may fiad ioo for tfeewKfct Wi
comments made by thi aaaaakd
respect to the PhiUpyiaa aoiaMpt'' f
Witt
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