TftAYELS IN MEXICO.)
THE BLINQB AND ARROWS OP OUTRaOKD PARMKRO.
A SHORT CATECHISM.
iV
1
to
-
I
K
a"-
a&v
3
f;
THIRD OP A SERIES OP K. B.
LIQHT'S. LETTERS.
Anyone Who Imagine That Free Silver
la Injuring Our Country Ought to
lteail Thli INot an Idle Workmun
Anywhere In the Kapabllo.
(Copyrighted 189G by Chicago Frees
Bureau.)
THIRD LETTER.
Chihuahua, Aug. 1C, 1S96.
I find so many attractions In this
quaint entorprislng city, that I am
tarrying hero longer than I expected,
that I may fully Investigate Its In
dustries. The largest manufacturing plant In
Northern Mexico Is that of The Indus
trial Company of Chihuahua. The
principal ownor is Mr. Enrique Creel,
the banker, whose very Instructive in
terview I recorded in my previous let
ter. Mr. E. C. Creel, his brother, 1b the
superintendent The works wero es
tablished by the erection of a small
foundry and machlno shop, and em
ployed of a capital of $40,000. Later
tho capital was Increased, and the pro
Jits have been allowed to accumulate
until now tho company has a capital of
4260,000. Mr. Creel very courteously
showed mo through tho works In which
ho takes a pardonablo pride. Ho in
formed mo their employes are chiefly
natives, to whom they pay tho same
wages for the samo work as to for
eigners, and tho scalo of wages now
employed was molders, $2.00 to $3.00;
machinists, $3.00 to $5.00 per day of 10
hours.
In tho rolling mill tho employes from
foreman to Iron handlers average $4.00
per day of 12 hours per shift Six
months ago they employed twenty for
eigners mostly Americans. Now they
employ but three, as they find that the
Mexicans turn out more work, because
they will bear rushing, which the
Americans would not Mr. Creel said
ho preferred tho Mexicans because they
did not understand the art of combin
ing and coercing their employers as
did tho Americans.
Tho weekly payroll of tho Industri
al Co. amounts to $5,000. The product
covers merchant bar iron, castings for
Etoves, architectural work, castings for
smelters and mines, and general mach
lno work. The work is of Inferior fin
ish, inartistic in design, and lacking
that attractive stylo our Americans
produce; but It may satisfy their trade.
The thought presented to my mind
was, with tho competition of an Ameri
can plant, under tho direction of one
who was thoroughly conversant with
the business, It would be necessary to
turn out better work or lose tho trade.
I believe there is a grand opening at
Mexico City, the commercial metro
polls, for a plant of equal magnitude,
to bo operated by American capital,
and directed by American skill.
Mr. Creel told me that last spring a
large contract was awarded In Mexico
City, to which foreign manufacturers
wero Invited and were present, but that
the Industrial Works secured tho en
tire order amounting to upwards of
$250,000. This was made possiblo by
tho high rate of exchange which has
proved of Inestimable benefit to Mexican
Industries, and shut all manufacturers
out that operate In gold standard coun
tries.
As I look Into this question I can
:omo to no other conclusion that that
our manufacturers havo not studied
this monetary question from the stand
point of solf-lnterest. That they -do
not realize that through its operation
the silver-using nations aro establish
ing new Industries, covering every im
portant branch in those countries
where we havo long monopolized their
valuable trado, and that new indus
tries aro being planted upon such a
solid foundation they can never be dis
lodged. Look at Japan. Never did a
country develop their resources more
rapidly, and never wore our industries
eo seriously threatened In our home
markets, as by that nation operating
upon a silver basis with their abun
dant cheap labor. Should we remain
on a gold basis and double our present
tariff (barring transportation) they
would yet have an equal chanco In our
markets. Restore unlimited coinage of
silver, and we at once place them on
a lovel with our manufacturers If there
wa3 no tariff. Then by continuing the
tariff of today, or increaso It if you
please, we shall effectually shut them
out of our markets. If the committee
that is now in South America looking
for new avenues of trade will take up
tho monetary question and study it
from a non-partisan standpoint, they
will roach the conclusion that they can
accomplish more by returning and ac
quainting their brethren of tho true
cause of tho present paralysis of their
business, than can possibly be accom
plished by advertising their wares in
countries operating on a silver basis.
If thlB Btatement is doubted let them
6ond a commlttpo to Mexico, where our
manufacturers a few years ago sold
thlB republic a very largo part of tho
goods it consumed. Then we annually
held a balance of trade against this
nation of some $15,000,000, which has
been gradually reduced until In 1894
there was a balance- against
us of over $11,000,000. Under
these conditions Is It surprising
that upwards of $350,000,000 of
foreign gold has found moro profitable
Investment here, than at homo? But
lot us not soliloquize. I prefer to give
statements as I gather them from
gentlemen In tho various walks of life,
and especially manufacturers; for I re
call how at home we have over 3,000,
000 Idle workmen denied the right to
cam bread by tho sweat of tho face,
because tholr employers cannot find
sale for their wares.
From the rolling mills we drove to
La National Soap Works, owned and
nbly managed by the Brlttlngham
Brothers. I am told this business was
established in 1885 in a small way,
Blncfl when It has been enlarged three
' tfi
1 LABOR'S WAGES AND MONOMETALLISM. j
liiiiiiiiiiuiiiiiiiiiiuiuiiiiiiimiiiiiaimiiiiiiiuiiiiiiiiiiiiiirs:
Tho advocates of the present gold
standard aro fond of asserting that
wages aro higher In gold standard
countries than they aro In bimetallic
countries. They quote tho daily wages
paid In Brazil, Belgium, Denmark,
Franco, Germany, Italy, Holland,
Great Britain, Argentina, Norway and
Sweden, Spain, Turkey, Portugal,
Canada, Switzerland, Venezuela, United
States, Chill and Australasia, all gold
standard countries, as against Auntrla,
China, Russia, Central America, Pcr
sla, Peru, Uruguay, Mexico, Colombia,
Japan, India and Ecuador all silver
standard countries. It will bo noticed
that not ono of the countries named aro
on a bimetallic system, except It bo the
United States (the figures are for the
year 1890, when this country was on
a partial bimetallic basis) which they
nevertheless put in tho gold standard
column. Today all tho countries named
have either a single silver standard or
a single gold standard. Not ono of
them has a financial system like the
United States had up to 1873, and, In
a measure, from that time to 1893,
when the Sherman law was repealed
by a forced panic and under which
wages advanced so much. A single
times until now, it has a weekly capa
city of two car loads of laundry soap.
These gentlemen havo since built a
much larger factory at Lerado which
has a capacity of three car loads per
Week. In connection with tho Chihua
hua factory, Messrs. Brlttlngham and
Tarrazas operate a candle factory
with a capacity of seventy-fivo boxes
per day. In all of these works they
consume quite largely cotton seed oil,
which they formerly bought in the
United States, but the high rate of ex
change caused tho building of a factory
here, consuming Mexican cotton seed
and thus wo lost another source of In
come and another struggling industry
was crippled. They are now buying
soap boxes In Michigan. It Is hoped we
can retain that trado. The Brittlng
hams aro loyal Americans and ex
pressed regret at seeing our country
losing so rapidly the valuable trade
of the Southern Republic. I asked
those gentlemen how present wages
compared with those paid when they
began manufacturing. To which the
reply came, when we began In 1885 wo
paid our men from 25 to 50 cents per
$1.00 per day, and to some of our older
and hotter men we pay $1.25 per day.
Wo pay our engineer and carpenter
each $2.25 per day by the year, we em
nlov only native help. All work 10
hours per day. Labor Is organizing
and wages are going up.
At present tho demand for labor is
In excess of the supply, especially for
the farm. During tho past two weekB
tv.o car load of laborers have been ship
ped In. The last one, two days ago,
and today there is not an idle man in
the city that wants work. For several
years past we have not had our usual
amount of rain fall. Many men have
left the farms and found work In the
factories, until now the farmers cannot
procure sufficient labor to raise and
harvest their crops. The demand has
bcon so great for farm help that the
state has leased their prisoners to
the farmers in the immediate locality.
Before leaving El Paso, Mr. Dona
hue, general agent of tho Mexican
Central, told me if I desired informa
tion at Chihuahua, I would find their
agent at that point very well informed,
and ho would gladly give me Informa
tion if I applied for It Therefore my
Uext call was upon W. S. Clayton at
the depot. I found him a regular en
cyclopedia. It was quite satisfactory
to have him corroborato the statements
made by those Interviewed, as It In-
silver standard Is almost as bad aB a
single gold standard. Tho ono vlrtuo
of silver monometallism over gold Is
that it keeps tho forces of production
at work. There Is practically no un
employed In tho silver countries. A
third of tho forces of production in the
gold countries aro idle at tho present
time.
And again it Ib organized labor that
keeps wages up In every country. La
bor Is thoroughly organized in nearly
all of the gold standard countries. In
tho silver countries It Is not. All of
tho gold countries named have hereto
fore been bimetallic countries. Tho
silver countries havo always been
monometallic. Wages thrive under the
bimetallic system. Wages go down
under tho monometallic system be It
gold or silver. This country la now on
a gold monometallic system and has
been Blnco 1893. Wages have gono
down 30 per cent, since then. The
dally pay of workmen In tho United
Slates in 1892 was $12,000,000; today it
is about $8,000,000. We want to get
back to the bimetallic system, not mere
ly as It partly existed prior to 1893, but
as It wholly existed prior to 1873. Then
wages will go up.
creased my confidence In tholr correct
ness. It Is proper to say here, that I
havo aimed and shall continue to give
tho name and address of tho party in
terviewed in full, that any person do
sirlng to test tho correctness of my
statements may do so by addressing
tho party personally.
I naked Mr. Clayton to give mo the
rates governing traffic on tho Central,
to which ho replied : "On passenger
business we have first, second and
third class. Tho first class Is three
cents, the second Is two cents, and tho
third Is one and one-half cents per
kilometer, or about of a mile. The
first class cars are furnished with
chair seats, the second with seats of
the usual pattern, but aro not uphol
stered, having slatted seats, the third
class cars have slotted Beats running
lengthwise along each aide, and a dou
ble row of seats back to back, through
the center. These cars will accom
modate more than twice as many pas
sengers as the first class cars. As tho
low rates encourage travel I believe
the suggestion of lower rates for cheap
er accommodations, worthy tho co
clderatlon by our American railroads."
To the question do you find the liber
al use of silver Inconvenient or burd
ensome? Ho replied: "No we aro ac
customed to it, and the large amount
of silver In circulation enables all to
pay cash for purchases as made. Our
merchant would rather handle tho sil
ver than keep books. Then plenty of
money Improves business. The high
rate of exchange encourages the estab
lishing of new industries, which cre
ates a demand for labor which Is fully
employed at good wages considering
the cost of living.
The average pay for peons is from
sixty to seventy-five cents a day. Ma
sons $1.50 to $2.00, carpenters $3.00 to
$5.00, machinists $3.00 to $5.00, boiler
makers $5.00 to $8.00. All work 10
hours per day and no strikes. In tho
southern part of the republic lower
wages aro paid as labor is more plenti
ful, except to foreign mechanics who
command about the same rate in all
tho states. There Is a fair demand for
labor at theso prices. It Is proper to
Bay that not all the men coming from
tho states can secure employment at
these wages until they havo been here
some time, as they "must first learn
the language before they can make
themselves useful. They muat also be
prepared to llVe differently and work
moro hours."
I must emphasize Mr. Clayton's sug
gestions as to our workmen coming
hero for employment All persons bo
fore coming horo for a prolonged stay,
should tako up tho study of tho lan
guage. You will learn tho languago
moro rapidly when among tho natives,
but tho rudiments should bo mastered
at homo, as well ns tho names of things
in common use.
This suggestion applies to all who
would visit tho republic for pleasure.
There aro so many Americans hero
that one can get along vory comfort
ably In tho cities, by exercising their
Ingenuity and patiently pcrsovering
with those who speak broken English.
Do not come hero with tho Idea that
our wayB aro superior, and thereforo
should bo adopted. These people
chango very slowly, nnd you will bo
moro successful if you fall In with
their ways as rapidly as possible, and
leavo changes to be made when you
better understand tho situation. Then
you will probably decido it is hotter for
things to go on tholr way.
EDW. B. LIGHT.
DnmonetUInc Silver.
I will take it on myself to answer
Mr. Edward Hellhvell, who inquires
about what is meant when it Is assert
ed that silver has been "demonetized."
His letter, published In tho Record
Aug. 6, refers to two objections often
stated, as ho sayB, which ho gives aB
follows: 1. "Wo were not using any
silver In 1873, and thereforo silver
could not havo been demonetized." 2.
"Wo are using more sliver money than
ever before in our history."
It is a technical word. One might
say the silver coin now has no Inde
pendent purchasing power, whereas
once with us all the silver coin of tho
United States did have such independ
ent purchasing power, and from 1853
to 1873 tho silver dollar possessed It,
while tho fractional silver coin did not.
Tho Independent purchasing power of
the fractional silver coin was taken
away in 1853 and that of tho silver dol
lar In changes that occurred from 1873
to 1878. That is "deiuuueliiilnB." Tho
taking away of tho independent pur
chasing power of any of tho precious
metal coinage by law Is tho "demone
tizing" of such coin. Whllo we did not
actually use the silver or gold coin as u
part of the volume of tho circulating
medium In 1873 tho law permitted the
gold coin and tho sliver dollar to bo
carried on Independent purchasing
power, and after that this prlvllego was
taken from tho silver dollar. While
the silver coin now has the same pur
chasing power as gold coin it is so be
cause they aro in tho voluino of the
circulating medium as tho solvent rep
resentation of tho gold coin. The sil
ver coin changes purchasing power
with tho change of tho gold coin, nnd
not with the chango of silver bullion.
It may then bo true that In 1873 wo wero
not using tho silver coin In our vol
ume of the circulating medium, and yet
the silver dollar was privileged to be
coined and used on its own purchasing
power, but after 1878 it could only be
uced as tho solvent or Insolvent repre
sentation of gold coin. Tho sliver dol
lar was restored In everything but its
independent purchasing power in 1878.
Tho silver dollar thereforo remained
"demonetized."
Nor does It make any difference about
the volume of silver coin, for be the
Issue few or many, the question lnvv
lng tho "demonetizing" of precious
metal coinage Is whether or not
it is Issued on independent cr
dependent purchasing power. Pur
chasing power alone Is "standard of
prices," and any money to perform the
office of a "standard of prices" must
have sufficient independence of pur
chasing power to fill this office. Sol
vent representative money never baa
any purchasing power of its own, and
therefore can only be subordinate
money and Is "demonetized." Ehe.uh
zer Wftkeley In Chicago Rjfordv
AN EASY METHOD OF CONVERT.
INC MISLED VOTERS.
OnO They Unileratnntl That Thin Ii a
Ilattle for Universal Hupremoy He
ttvoen Undo Sum ami Joint Hull
They'll Vote fur Free BIWer.
QuestionWhat Issue outwolghs all
others In this yenr's campaign?
Answer" Tho question of the restora
tion of the principle of bimetallism In
our monetary system.
Q. Why la so much earnestness felt
on tho Bubjcct7
A. Becauso tno voto noxt Novombor
will probably determine tho question
finally ono way or tho other.
Q. Is not tho tariff equally an Issue
in tho campnlgn?
A. No, there Is no npprcclablo oppo
sition to a protectlvo tariff, and all oth
er Issucb aro lost In tho great ono of
gold or bimetallism.
Q. Explain tho position of tho gold
advocates?
A. They Insist that 2322 grains of
gold shall constitute tho mcasuro of tho
dollar, no mntter to what point gold
may advanco.
Q. Why aro they so wedded to tho
gold standard?
A. Bocauso it Is tho English stand
ard, and England Is looked upon ns tho
most enlightened nation of tho world.
Q. Ib there any reason why wo
ihould havo tho samo standard as Euro
pean countries?
A. Nono whatever. Tho monotary
system of a country is purely a matter
of Its own Internal concern.
Q. What Influence has precipitated
tho lssuo at this time?
A. Tho Bpecudve monoy influonco.
Q. What do you moan by Bpoculatlvo
monoy Influence?
A. Capital legitimately employed
has llttlo to mako or loso by tho ques
tion of tho stnndards. A piece of prop
erty is worth just as much whether ex
pressed In English pounds or in French
francs or in Amorlcnn dollars. So in
vested capital represents tho samo in
trinsic vnlue whether It bo measured
by gold dollars or silver dollars. Only
large Investors In monoy havo any very
real Interest in maintaining forovcr tho
gold stnndnrd.
Q. But would not a chango of stand
ard bo an Injustice to them?
A. The Ibbuo had hotter not havo
been raised nt this tlnio, but as It has
boon raised somo Injustlco must bo ex
perienced on one sido or tho other.
Q. Who raised tho lssuo?
A. Tho advocates of tho gold Btand
nrd. Q. What are their chief arguments?
A. Denouncing tho advocates of bi
metallism ns populists, anarchists, fa
natics and cranks.
Q. Aro theso denunciations Justi
fied? A. No; many nblo political econom
ists and statesmen advocate bimetal
lism. Q. Does freo silver carry with It tho
destruction of tho national banking
system, tho restriction of tho powers
of tho government to prcscrvo tho
peace In times of riot and Insurrection,
and other so-called popuilstlc meas
ures? A. By no mean6. The remonetlza
tlon of silver la a legitimate question
of statesmanship with a solid basis of
scientific truth underlying It
Q. Just what do the bimetalllsts con
tend for?
A. For the freo colnago both of gold
and silver.
Q. What do you mean by freo coin
age? A. Tho prlvllego on the part of any
holder of tho precious metals of taking
them to tho mint and having them
coined into money without limitation.
Q. Then tho term "free" simply
means unrestricted as to amount?
A. Exactly. If every coin contdlns
tho full weight of pure metal and passes
at what It is worth, there can bo no
object in limiting the colnago. The
moro money we have tho better.
Q. But how about the expense of
running the mints?
A.-rAt present gold la coined at tho
rxpenso of tho government. In some
countries the cost of coining fe charged
to the person getting his metal convert
ed Into coin. That would be a matter
for congress to settle. Thero can be no
objection to a charge for coinage. There
may bo advantages In It
q. Then free silver simply means
putting silver on an equality with gold
In throwing open the mints to us coin
age? A. It does.
q What do you mean by 16 to 1?
A. Tho present sliver dollar has 16
times the weight of tho gold dollar. Tho
expression 10 to 1 means the contin
uance of the coinage of the silver dol
lar at the present weight, or at 16 times
tho weight of tho gold dollar.
Q. But tho present silver dollar has
but half the bullion value of the gold
dollar, has it not?
A. True, but its depreciation results
very largely from Its demonetization.
Restore Its functions as real money and
it will certainly advance.
q. -Will It return to a parity with
gold at tho 16 to 1 ratio?
A. Many good thinkers believe It
will. In any case the disparity would
be but very small compared with what
it is to-day.
q What advantages are claimed for
free colnago?
A. It would break the existing cor
ner in gold and cause the dollar to re
turn to Its old value.
Q. What would bo the effect of that?
A. Prices for all products of labor
would advance, business would revive,
debts would be more easily paid, labor
would be In greater demand, and
strikes and riots would cease. Pros-
1 nerlty would be restored to tho country.
Q. Thon tho support of free silver
docB not mean anarchy and repudia
tion? A. Far from it; tho Intelligent and
cotiBclontlous frco-sllverndvocntes havo
solely in vlow tho prosperity of th
nation.
TO OPPRESS LABOR.
AldrlchV Commit ton Mlarrnrnaent
the
rrtc.
Now York Journal: What aro thoso
statistics In which such constant ap
peals aro madte, and for which men aro
nsked to distrust their common sonso
nnd common observation? Fortunnto
ly, this queallon may bo briefly nnBwer
ed, bocaiiRo nil theso labor sympathi
zers refer to tho samo Bet of statistics
tho only sot in tho world that would
answer their purpose It Is tho report
mndo by Senator Aldrlch of Rhode Is
land to thoonnto finance committee In
18D3.
Thoso who know nothing about tho
wages accepted tho committee's Bum
mnry, but others looked to boo In whnt
Industries this astonishing rlso In
wages had takon place They found
that upon "books nnd nowspapors"
wnges had fallen since 1873; In tho
"building trades" they had fallon; In
"city public works" they had fallen; In
"cotton goods" thoy had fallen, but that
in "dry goodB," where tho greatest fall
was expected, wages wero reported to
havo risen over 40 per centl
Turning to tho omploycrs' reports In
another volumo to learn whero tho
wagea of clerks had been rising at such
a phenomenal rnte, It was found thnt
but n Blnglo dry goods store, up in Nov
Hampshlro, had mado a return. Less
than twenty clerks wero employed by
It, and yet the Aldrlch commlttco as
sumed that all clerks throughout tho
country had had a similar advanco in
wages. As clorks aro moro numerous
than cotton opcrativo, for example, a
rlso of 40-odd per cent In tho wages of
a ncoro of clerks was mado to offset a
fall of about ono-Blxth In tho wnges of
over a thousand cotton operatives nnd
lenvo a handsomo balance to bo applied
to othor Industries as needed, Othor
methods llkowlso extraordinary woro
used by tho committee, such as tho
separation of tho foremen from tho
hands, nnd tho making n rlso in a fore
man's wngos offsot a fall in tho wages
cf a Bcoro of men under him. By theso
means tho desired results woro secured.
What tho employers' returns really
showed was something very different,
nccordlng to an Independent investi
gator, who went ovor tho returns a few
months ago. The summary for all tho
porsons employed In all tho industries
covorcd was as follows:
Average Avenge
Aggregate dally dally
T'rrxon wagca wagea wage
Date RtnpolriMl. (dally.) currency. ((Told.)
January, lSOO.,o,fini MO.KGfl B1.18 BUS
.January. 1H73 . ,0,1B3 l2,T.OO 2.04 1.81
January, 1801 ,.7,7(13 18,123 1.09 1.09
In other words, between 18G0 and
1873, under bimetallism, gold wages
roso 53 por cent In thirteen years; be
tween 1873 and 1891, under tho incom
plete monometallism, gold wages in tho
most favored establishments fell 7 per
cent.
Since 1893, under complete monomet
allism, the decline in wages has been
at a much moro rapid rato. In Massa
chusetts the labor report for 1894 show
ed that In two years tho nominal rato
of wages in tho factories of the etato
had fallen 7 per cent and that oven thlB
lower rate was received by fewer hands,
working fewer days. Wage-earners who
do not know tho statistics know tho
facts from hard experience, and thoso
who depend upon statistics to persuado
tho wage-earners to tako tho side of
money lenders and tighten their grip
upon tho industry of tho country hav
a difficult task before them.
"Fool Lotto."
St. Louis Republic: In tho same col
umn a republican organ tells tho work
lngman that If ho votes for Bryan ho
will voto 47 per cent of his wages into
tho pockets of mino owners, and that
ho will vote to depreciate not only the
silver dollar, but all tho currency to 53
cents on the dollar. How in the name
of Hnnna can freo silver coinage put
47 por cent of each dollar colnod into
the pocket of tho silver miner and at
tho same tlmo reduce the value of the
silver dollar and all the currency de
pendent upon it to tho value of 53
cents? Any schoolboy can figure out
that If the value of the silver dollar
depreciates to 53 cents, or anything less
than Us face value tho miner can not
mako 47 conts by its free coinage at tho
mints. Or, to put It tho other way, if
the miner makes 47 cents, the value
of the silver dollar will have to bo
raised to tho value of the present gold
dollar, In which case thero will be no
depreciation of the currency. Tho gold
standard advocate can take his choice
of alternatives, but not both. This is
n fair sample of the kind of logic with
which Hanna's agents are flooding tho
country. It-proceeds on the asaump
tlon that the worklngmen are fools.
Fata Ita Foot lu It Kvery Day.
Chicago Tribune, today: This sliver
agitation Is all in the interests of the
silver miners. They want to make fifty
cents' worth of silver worth a dollar..
Chicago Tribune, yesterday: Tho
value of silver cannot be increased: by
unlimited coinage.
Query If the value of silver cannot
bo increased by free coinage, how is
free silver going to benefit tho silver
miners?
More Money Wanted.
It Ib more money that the people want
and making all the silver bullion Into
money gives them a larger supply, but
oven when this Is 3ono there Is yet a
short supply. Nothing less than $50
per head for every man, woman and
child Is sufficient to make the people
prosperouB and happy, and put them
out of the reach of the goldbuga.
Times, Longmont, Colo.
