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About Omaha daily bee. (Omaha [Neb.]) 187?-1922 | View Entire Issue (May 6, 1895)
OTVrATTA HATTY" T18Jh ( TU'O'NrHA V. MAY H. A SOUND , STABLE CURRENCY Charles Emory Smith's Masterly Address Before the PcunBjlrania Legislature , TANDS FIRMLY FOR HONEST MONtY Tlic Only 1'rnctlcnl Menu * for Ilcntorntlon of bll > cr to Hi 1'nll I'tinctloii In the .Hnnetnry Hjstcni nf the World , Hon Charles Emory Smith , editor of the Philadelphia Tress and cx-Unlteil States min ister to Husala , was recently Invited to ad- Orcss the legislature of Pennsylvania upon the subject of "Sound Money. " The distinguished editor delivered the following aJdreas before the legislature In llarrlsburg : THK ADURCSS. The question of the hour which TVO have coino to consider Is one of transcendent 1m- l > orlaneo The ma'.ntenanco of a sound and atablo rurrency lies at the foundation of na tion credit , iiilbllo confidence , business se curity nt > d progressive civilization. Money Is the measure of value and the medium of ex- chanse. It Is the tool of trade , the foot-rule of pilco and wage , the basis of credit which ] ) lay8 so great n part In the modern commer cial system. Any \arlatlon of the unit of value affects all values Any debasement of the standard vitiates und disturbs the whole ilpanilc ; fabric of national and International xchanKos. lliero Is no danger In the poltl- cal and commercial life of nations so In sidious , no subtle and so hurtful as the cor ruption of the currency. The vital necessity of preserving the Integrity and the stability of that which provides the measure of values and expresses the ratio of exchange of all commodities and all labor Is axiomatic. From early days gold and silver have been tha two ircrlous money metals. They have remalnnd In Joint use , and have been kept side by sldo by being exchangeable at their relatlvo value or by limited volume anl legal tend r Standard Implies unity , and there has l > cen much confusion In many minds became the two metals have both been described as standard money. How two standards and two units of valua ? This confusion will vanish If we think of gold and silver , when linked together , as constituting a jnlnt standard ono standard of two equiv alents , dupl .x In Its substance but slngle'ln Its purpoio , dual In IU composition but one as to all other things. Civilized nations with banking systems have also employed paper representatives of coin , redeemable In coin. and thus gold , silver and redeemable paper have in ids up the monetary system During our recent history v.o have bcn forced to face and light repeated anil p raUt- enl attempts to drift our countiy upon a boundless nea of unlimited and Irredeemable pa par Happily these dangerous efforts have all thus far been defeated. Now ws are called to meet the no less baneful scheme to plunge tha country Into the depth * * of unlimited and unexchangeable sllv r. Th9 t\vo movements arc alike In character , alike In purpose and alike In peril. We have successfully battled and beaten the llrst : and , In the Interest of public Integrity , financial security and busi ness probperlty. It Is no less \ltal to combat and conquer the second. Lot mo at the beglnnlnR clear away any possible mlsund rstandlng and define the bound ) of the discussion This Is not an Is sue between gold and slhcr I am not here as a gold monometalllst On the contrary , I nm hero to advocate with earnest conviction and by the only practical means the restora tion of sliver to Its full function In the mone tary system of the world Those who assume to be the special champions of Hllver have a measure of right on their fide , which ought to bs freely and fairly recognized They are right In deploring the events which dispos sessed silver of Its position as the part ner of gold and In seeking to re habilitate It and reinvest It with Its equality They are wrong In assuming that this misfortune came through any un friendly legislation of our government or that It can bo remedied by any Independent action of our country. They are right In deprecating a constriction of values and lu urging a broadening of the monetary basis. They are wrong , woftilly and unutterably wrong. In proposing a practical method , which , Instead of broadening , would Inevitably narrow and degrade It and destroy all slnblllly The Issue Is between Independent , Isolited free coinage \\ltlilu our own limits , on the one hand , and International bimetallism on the other. The fair demand Is for bimetal lism. Who are then the bimetallisms ? Not the advocates of free coinage , ' for their policy would expel gold and put the country upon the silver basis , and thus they are In reality monometalllsts. The real blmetalllsts are we who would restore silver and link It with Raid , as It used to bo , through the concurrent action of the commercial nations. Who are the true friends of silver ? Not the advocates of free colnnge , for their proposition would restrict Its enlarged use to this country , which ulono could never accomplish Its re habilitation. Its true friends are vto who aim at Its full reinstatement by the sldo of gold In the monetary use of the world from which It has been dethroned. Tlioy may be the friends of the few thousand silver miners who nro eager for quick returns , though even their selfish Interests would bo better served In the long run by a broader and more enduring policy Wo , on the other hand , are Uio friends of the 70,000,000 silver users , \vhcao Interest lies not In degrading our country to the single and debased standard of Mexico , but In elevating silver to legal equality with gold In the world's commercial arena , and so re-establishing the broad bimetallic busls which would assure stability , quicken con fidence , stimulate enterprise and promote prosperity. AMERICAN TIIEATMKNT OF SILVEH. With these preliminary observations I proceed to n more detailed consideration of the facts and issues Involved In this discussion. At the outset I affirm that the premise of the free coinage ad vocates , except , so far as I have ilready Indicated , Is false , their supporting itatements Incorrect , their arguments Illu- ilve and their conclusion wholly erroneous. What Is their promise and what Is their ar- tument ? They denounce the law of 1873 , ivhlch they charge with demonetizing sliver , 11 a crime against the American people ; they assert that this alleged proscription of lllver has been followed by an era of fall- IIR prices , shriveling' enterprise , agrlcul- ural hardship and . widespread depression ; ? , hey contend that these two alleged facts ) ear to each other the relation of enuse and , jffect , and they conclude that the remedy lies through the unlimited coinage or purchase ) f silver , without regard to other natlont. Now , first of all , Is It true that we have luffered such Incalculable woes since 1S73T ( leave out of this discussion the past two rears. So far as our own country Is con- : ernod these two years , with a now admin- Istratlon and a changed economic policy , In- rolve different conditions and questions Hut Is It true that prior to that change we were lu auch an unhappy state ? How was It errs twenty jears before 1S73 and twenty years ftor ? rrom 1S50 to 1S70 we advanced In national wealth from $7.000.000,000 to $30.- ) 800,000.000. an Increasa of $23,000.000,000. From 1870 to 1890 ws advanced from $30- 000,000,000 to $65.000,000,000. an Increase of 135,000,000,000. Was that growth of more ' than double eo great a hardship ? Protec tionists hava constantly asserted that the | twenty years preceding 1893 constituted the most prosperous period In the history of the country. Are some of them prepared to re cant and deny that truth for the sake eof bolstering up a misdirected argument for free ami unlimited silver' It Is not to be disputed that there has been a decllno lu prices slnco 1873 Nor can we resist the conclusion that the world's re stricted use of silver has operated to reduce the world's general range of price ; . The Just and rational view Is that the fall Is due In part to the International limitation of the monetary basts and In part to cheapened cost ' of production and cheapened Interchange. It has bft > n partly beneficent and partly bane , ful. The- producer baa seen falling values , the laborer has seen rising wages. The pur chasing power of wages Is 50 per cent greater than It was In 1S70. If the proJuctlve force of the country has suffered come astrln- goncy or failed of Us full development hoof if * . rewards of labor measured In the cent of living have never seen so high. The farmer has seen the prices of hla wheat dropping and dropping. Hut in Pennsylvania It Is the competition of Dakota , and In Dakota It Is thd competition of India and Argentina. rwenty years ago It cost 23 cents a , buahul to transport wheat from Chicago to New York , Today It cost 10 cents to carry It from Chicago to Liverpool. Twenty years ago the wheat crop of Minnesota , Kansas and the Dakotas was only 20,000,000 bushels , and India and Argentina were not factors In the world's markets. Today the average crop of these four western states , to say nothing of others , has Increased eight fold , and India and Argentina are supplying from halt to two-thirds as much wheat to the markets of the world as we are. It Is cheap land , cheap transportation and cheap labor In competition which have brought down the farmer's prices , and he would find no remedy In the free coinage of silver which would enhance the cost of everything he buys and leave him exposed to tha same deadly competition In the markets of the world. His Interest lies not In golnR down to the silver level , but In lifting sliver up to the normal level. Granting for the sake of the argument tint we have suffered alt the Ills so darkly pictured by the free coinage advocate , Is It true that they are due to our proscription of silver ? Is It true that slnco 1873 we have outlawed and rejected silver , as we did not do before' This Is the starting point In the ar gument of the free coinace advocate. He passionately denounces the act of 1873. He luridly describes It as the createst crime In our financial history , and arraigns It as hay- Iho United States from the organization of the mint In 1792 down to 1873 was only 8,043,838 , and for moro than tvvonty-flvo years procodlns 1873 ihcy had not been In circula tion at all. I do not stop to give the ex planation , which Is well understood by all students of the subject Hut between 1878 and 1890 , under tlio Illand-Alllson act , we coined 421,776,403 silver dollars , and under tha Sherman net of 1S90 we purchased 1CS- 071(382 ( ounces of silver bullion , represented by $163931002 In silver certlflcales. making altogether $577,707,410 of silver coinage or purchase. In fifteen years. In olher words. In a single year since 1873 Ihe government of the United States has done six times ns much for the silver dollar as In all the eighty odd years before that dividing line , and altogether within this period , dur ing which silver Is represented as proscribed the Government has coined or provided for scvcnty-lvvo limes as many silver dollars as In Us entire previous history' ' And yet the fros coinage advocates first draw on their Imagination for evils which are largely spectral and then draw on their misinformation for an explanation by charging them to an alleged demone tization of silver under which silver has been nurse ! and coddled so Immeasurably be- jond what It experienced when they thom- sulvcs declare Iho law treated U as full legal lender money ! They conjure up fanciful ills and explain Ihcm by fictitious conditions They are much In the position of Hood's character , who Seemed washing his hands with Invisible Heap In Imperceptible water ! Their argument breaks down right here at the foundation They ascribe the changeJ conditions lo the act of 1S73 which Is said to have demonetised stiver. Grant that there were rising prices before and falling prices after , the change clearly cannot be attributed to our alleged outlawry of bllver , when for a quarter of a century before the change wo had no silver dollars In circulation , and when shortly afterward we entered upon the coin age of over 400,000,000. The silver dollar existed In law before 1873 , but It did not exist In fact , and a law which was not operative had no Influence whatever upon prices. 1 shall have occasion further along to deal vvllh broader causes and Influences ; but If the ar gument 03 applied by the free coinage advo cates lo our country alone had any force , U would be against silver , for It has been during the period of falling prices that wo have done most for the white metal. Never has any Interest been so well treated as the silver Interest has been by our government during the past twenty years. No measure of pro tection or fostering care extended to any other Interest has begun to approach the ex traordinary degree o favor vouchsafed to silver or the tremendous effort to support and uphold it Since 1S7S the price of sliver has fallen from $1.20 to CO cenls an ounce The bullion value of a silver dollar has fallen from 93 lo less than CO cents. Yet during this llmo wo have purchased and coined nearly $600,000,000. $ Wo have Given It a mal-- kot In the tteasury , when evury door of Ku- rope was closed agalaU It Wo have gone on buying It , though the bullion \aluu of the silver we hold Is worth at least $150.000,000 less then wo paid for it. Wo have not only bought this enormous quantity of depreciated silver , but have given It to Ihe people In circulation and for circulation purposes have held It at par with gold , notwith standing Its commercial decline. Wo have pledged the public creJit ; wo have maintained redemption and exchangeability , wo have risked the gravest dangers to main tain Its parity , so thai every dollar of Ihe people should be as good as every other del lar. And yet we are told that we have done nothing for silver ! KHKU COINAGE SILVER STANDARD. All this Is made to count for nothing , and wo are now again confronted with the de- ' maud for Independent free and unlimited coinage , without regard to other nations. To this demand , having thus cleared the way , I 1 now address myself. What la free coinage' The standard sliver dollar Is now worth about 50 coats. Fre3 coinage means that tlm government shall receive all the silver which may be presented , and upon every 50 cents' worth put the stamp of one dollar As nobody , however , expects It to be coined. It really means that the government shall Issue Its note for $1 In exchange for 50 cents worth of bullion , und that this note , which the favored bullion owner gets for 50 cents' worth of his commodity , shall be made a legal tender for $1 In current circulation. Now , what would ba the result. It would bo the forced circulation of a dollar worth one- half Its face. It would be the debasement of the unit of value , and so the violent de struction of all values. It would be the de- measure would raise sliver to the standard of gold , or perhaps they would prefer to put It , reduce gold to the standard of sliver lhat , in a word , it would establish parity. They point to the fact that the silver or silver cer tificate ] already In circulation have been kept at par at the ratio of 16 to 1 , notwithstand ing a far different market ratio. This Is true , because wo have limited Ihe coinage or purchase , because we have maintained the gold reserve , because wo have pledged the whole credit and power of the government to sustain parity. Hut when we enter upon unlimited coinage under present condK tlons we embark upon a new and dangerous - gerous sea. The free silver champions conlend lhat our silver policy has failed becaus ? we haven't gone far enough , and they Insist that free coinage would bridge the divergence and remove the disparity of Ihe Ivvo uutals. There Is no other pretence upon which It can be > defended for a single instant. If It does not establish the equivalence of gold and silver at the determined ratio It Is rank repudiation and dishonor. It Is the willful adoption of a debased standard and the compulsory circulation of a depreciated dollar , with Its robbery of labor. Its unsettle- mcnt of all values , Ua derangement of all finance and trad ? , and Its Incalculable wrong and dangers tn every direction. llut what possible hope can there be. In the light of the facts already before us , that free coinage will re-establish parity ? It was claimed just as confidently that the purchase act of 1890 wculd do It What was the fact * Its first temporary effect was to raise silver so that the bullion value of a dollar , which was 74 cents In 1890 , advanced for a short tlmo to 84 cents ; but It soon dropped back to 72 cents , and has been falling ever since. Wo were then buying pretty nearly the entire sliver product of this country. It must be remembered , too , that InJIa , the great , sink | of silver in the east , was still under free conlage. While we were coining or purchas ing nearly $600.000,000 of silver , India was coining1 over $600,000,000 $ , and during all this time and In spite of this great market silver kept on filling. India has since- stopped her free coinage , and how , then , can we hope to do alcuo what tha two together could not do ! Do you reilUo what free coinage by the United states alone Involves ? It Involves one of two things , either the lifting up of the entire volume of silver in th world to the standard of gold , or elsa the dragging down . of tha United States to tha single standard 1 sliver. There U no possible escape from one I horn or the other of thla dilemma. The vlil- bla clock of silver In the "World Is about $1,000.000,000. Kuropo his over $1,000.000- 000. Th product of th United Staf In 1S93 was 60,000,000 ounces. The annual product of the world haw grown from an average ctOf | 40,000,000 ounces between 18CO and 1870 to an aggregate of 160,000,000 ounces. For the United States alone to enter upon free coinage means that we must stand ready to buy all of this vast stock that may be atlractcd by our open hand and open mint , and that , while It Is now at a ratio of 32 to 1 , wo must undertake the stupendous and Im possible task of lifting It to equivalence with gold at the ratio of 16 to 1. It means not only that we shall stimulate d"ml Innate our own product , but that Europe wilt dump Its surplus silver on us. I know the silver ex tremists deny this truth. I know they allege that Ihe silver of Europe Is In use as coin , and lhat It could not be sent here without a loss Hut this answer will not bear examina tion , as a moment's consideration will show Ever since bimetallism was abandoned Europe has been struggling for gold With the adoption of Independent free coinage In this country that struRglo would gain new force because It would be noticed that the re-establishment of bimetallism had been indefinitely postponed. The Hank of Prance has $250.000,000 of silver , not In circulation , but locked up In Its vaults The Dank of Germany has over $150,000.000. The Hank of Spain hai about $50.000,000 , the Hank of The Netherlands $35,000,000 , and others varying amounts. There are over $450 000,000 slored In nine banking houses This silver Is worth nothing lo them beyond Its bullion value It serves ns a part of the nielnlllc reserve for Ihelr paper money , but they could boiler sustain more paper on gold , and If they could make the substitution by sending this silver to the United Stales and exchanging II for gold , why wouldn't they do II ? Let mo give you commanding authority. Henry Cernuschl Is the ablest champion In Europe of the restoration of silver and the recog nized leader of the blmetalllsls. In his pam phlet on "Tho Great Metallic Towers" ho says "As soon as the coinage of sliver by the United States was free , Europe would act toward Iho United Stales Just as Ger many acted toward Prance , so long ns Prance coined silver Europe would demon etize larre masses of silver and send them to 1'hUadelphla to get them made Into del lars , with which dollars she would get gold dollars dispatched lo her " And again "Why Is not the coinage of silver free In Prance' Because , were the coinage free , all the world would emigrate , and France , deprived of sold , would no 'onger have a monetary me dium cither with England , or with Ger many or with the United States. Very venluresomo * would be those who should recommend the United States of Amer ica to undertake single-handed what France will undertake only triple-handed. " Wise counsel and admonition from the greatest of the friends of silver' ' Lot me add another Impressive warning And In order to make It specific will you pardon a personal allusion and a statement which I have never publicly made before , nnd In making which at the pre.-ent time I hope I am not altogelher Indiscreet' In 1890 when Ihe bill for Ihe free coinage of silver was pending In the United States senate , I had the honor of being the American minis ter nt St Petersburg. Tha Russian minis ter of finance was Mr. VIshnegradsKI , who died only last Saturday a statesman of ex traordinary capacity and perhaps the ablest finance minister In Europe at the time. I had occasion one day lo call upon him , nnd I found him wllh a copy of Iho American free coinage of sliver bill , then under de- bite In the senate , lying open on the table before him. Ills first expressions revealed his profound Interest In the subject He had studied the details of the bill to the minutest particular. He did not hesitate to pronounce It a most remarkable measure Involving a most disastrous policy which , as a friend of the United States and of safe finance , he hoped she would not undertake. He Inquired carefully after Its prospects , and then In earnest words cam" the pregnant climax , which , as others were Involved , I shall not In this public declarallon venture to repeat in as specific a form as he gave It In thai moro confidential talk. Hut he said In sub stance "If this bill becomes a law the United States will expose herself to dan gers of which she has perhaps little Idea ; there Is a great deal of silver In Europe , we have some In Russia ; already the proposition has been made to me lo Join In a movement. In the event of the American adoption of free coinage , to unload a part of Europe's silver on the United States , but I believe this measure and this action would bring calamity and I hope the United Stales will make no such mistake" It was the clear vision and the | weighty rcmonstianca of a statesman looking on wllh Iho Iruer perspctlvc of dis tance and speaking with direct personal knowledge of dangers which the silver ex tremists profess to scout and deride. With free coinage the surplus silver of the world would flow toward our shores as Infallibly ns the dropping apple seeks ihe ground II would flow here , because Ihls would bo Us one greil market , at a price not offered anywhere else. Realizing Ihe danger of Ihls deluge , some of Iho silver radicals have proposed lo limit free coinage to the American product. Hut none of ttm free coinage bills has ever embraced lhat limita tion. And If you tried It , how could you do It' With a lemporary artificial and exag gerated price here how could you prevent foreign silver from finding Its way across our borders , as It lm done In the past7 He- sides , suppose It were possible lo succeed In such a restriction ; that would not be free coinage at all It would not lift silver In the markets of the world , It would not re move the disparity between the two metals , It would not , therefore , carry the only con- dlllon upon which free coinage could pos sibly be justified ; It would simply enable any body who had GO cents' worth of silver bul I- lion to take It to the mint and have It stamped 100 cents , or take It to the treasury , which would Issue Its nolo for It and force you and me to receive It for a dollar. Are the American people ready for that amazing folly ? Free coinage , I repeat , means that e must ba prepared to buy the silver of Ihe world. What would be the effect ? Gold coinage would Immediately stop Who would bring gold to bo coined when It was undervalued ' * ' one-half ? We should pay for the great In flux of domestic and foreign silver In notes ; ; redeemable In coin. The notes would ho pre sented and gold demanded. If gold were paid by the treasury , how long under Ihls demand would Ihe reserve last' If gold were refused we should be Instantly on the silver basis , and Iho Ireasury notes and the whole circulation of the Untied States would fall to the silver level , Under such conditions gold and silver would not circulate side > isy side. Gold would go to a premium. Every dollar would be locked up or exported. The government , stripped of Us gold , would be forced lo pay Us credllors In sliver , and lhat payment would reduce us at once to the ' silver slandard. There Is thus under free coinage no escape from one of the two al- 1 lernalhes , ellher lhat wo must by our action alone ralie the silver of the world to the gold standard , which Is manifest ly Impossible , or wo must drop to the silver standard EFFECT OF THE SILVER STANDARD. This then being clear , we come to the next question , what docs the sllvnr standard mean and what would bo Its effect' This question Involves such broad considerations and such Irtmendous consequencw Dial lime will per mit me lo louch on only a few of Ihem. The sliver dollar Is now Inlrliulcally worth 50 cents. It passes for a dollar because , by lim ited coinage and full exchangeability , the government has kept It at par wllh golJ. Under frco coinage It would bo worth what ever the world should rate the silver In It itas worth. It might bo 50 cents ; it might be more , it might bo loss. U would follow all the fluctuations of a varying commodity , goIng ; - Ing up wllh the demand and going down after the deluge. It would still be called vna dollar but only because the real dollar unit of value had been expelled ; and It would be a dollar tn fact just as much as If we were to lock up all the present yard sticks and were to make a new unit of length consisting of a foot and a half , and were to assume that calling It a yard would make It a yard. If it takes ten yards of cloth now lo make a robe , ten yards under the new unit would leave heel costume decidedly decollete. Wage earners might receive as many nominal dollars as before , but the purchasing power of the del lar would measurably be cut In two. olhu Mexican dollar contains moro silver than the American dollar. Vet the American silver dollar will buy twice as much In Mexico as thu Mexican silver dollar. The American sliver dollar Is quoted In London at 100 cents and the Mexican dollar at about 50 cents. Why ? Uecauso Mexico has free silver coin age and we have not ; because Mexico Is Inon the silver basis and wo are not. llut the free coinage advocates would put ua there , and eo put our dollar down to the level re.of the Mexican dollar The serious menace of such a change would bring on a great financial convulsion , and Its accomplishment would Involve a He economic revolution. It was the re hension of going to the fer standard that largely caused the monetary panic of 1893 , and ny ; heal Impending danger of men a catastrophe would produc * a financial catacljsm that Is appalling to contemplate. It would excite alarm at home and abroad ; It would tumble our American sccuHHei back , upon us ; It would dry up the sprfofra of credit , restrict loans , paralyze enterprise , cripple trade and Industry , halt Investments , and repeal on a larger ecale the blttfcf experience of that disastrous crisis of twoiBummers ago. Even If the silver standard presented the ad vantages which some extremists profess to think the pathwayto ) it would be strewn with too many wrecks , and darkened with too much sorrow and sadness to be prudently undertaken , ' llut suppose , running ( these risks and mak ing these sacrifices , we had plunged to the sliver standard , w Hat'then ? Practical ob ject lessons are more rlvld and convincing than theoretical ditcustlons Lat us take a few object lessons. . The amount of de posits In the ( savln'fts"banks of the United States Is $1,747.961.261 and the number of depositors 4,777,687 , The average to each deposllor . Is $365.SC. The silver standard means _ that on an average every one of these nearly 5.000,000 people deposited $365 , each dollar worth 100 cents In gold , and would draw out $365 In silver , each worth 50 cents. The savings of the working people of Penn sylvania go largely Into building and loan associations. Nevertheless , there are In this state 2-13,211 savings bank depositors , with an aggregate deposit of $66,025,821 and an average Individual deposit of $205.97. The silver standard means that every one of these 218,244 Pennsylvanlans put In 263 hard- earned 100 cent dollars , and would draw out 65 50 cent dollars. Pennsylvania has 1.239 building associa tions , with awels amounting to $103,913,361 and a total membership of 272.5SO. All of these members are In their organized ca pacity lenders and each In turn a borrower. Each Is a capitalist and belongs to the much- denounced "creditor class" to the extent of J3S1 These associations received list year $4I,432,6S6 and divided $12,933,970 The whole system depends on the value of the assets In the shape of mortgages , and col lapses unless that Is sustained On the sil ver bisls these 272.KSO perrons , all wage- earners , would find their $103,943,364 cut In two , and the only persons who would get any compensation would be the fraction of borrowers at that particular time. Take another illustration The aggregate pension disbursements last last year were $140,772,103 78 and th ? n am ber of pensioners 969,544 , of whom 754,382 are the gallant Invalid veteran defenders of their country , and 215,162 are the widows or orphans of union soldiers. The payment to each pensioner thus averaged $111 The num ber of pensioners on the roll of the pension office at Philadelphia Is 57,749 , and at Pitts- burg 45,774 , a total of 103 523 , n-arly a ninth of the whole number In the union. Under . the silver standard the $144 , going on an | average to each of these neirly a million pensioners would b 50 cent dollars , worth seventy-two real dollars. Take still another and Impressive Illustra tion. On January 1 , 1894 , the life Insurance policies In this country numbered 7 505,817 , representing Insurance of $5,291,824 900 , and assets of $919.310,131. Considering wealth and population together , at leist an eighth of this Insurance Is held In Pennsjlvanla , or say 1.000.000 policies sometimes more than one for the same person repr.sentlng $650- 000,000 of Insurance and $120,000,000 of as sets. The average amount cf a policy Is $700 , and so the great amount of a policy holders are persons of moderate means The security for the payment of this vast Insurance Is two-fold First , existing assets as , either mortgages or shares and bonds , and their value or Income would be cut In two by going to the silver basis ; second , fixed annual preiilum payments , and their purchasing power In Investments would be halvd , since the amount was fixed on the gold basis and would be paid on thtf silver basis Of life Insurance assets 7o psr cent arc mortgages or shares and bondsand ( , , this colossal contract for the futur ? . Involving In Pennsylvania alone nearly 1,000,000 policies and $059,000.- 000 of Insurance , wouUl by the silver stand ard be depreciated one-half In value. There Is > et another and momentous dan ger Tha amounb of American securities owned abroad Is "jjene.cally placed at about $2,000,000,000. Speaking In the House of Commons in 1893 ,0 , ! the volume of Hrltlsh Investments outside of the United Kingdom , . Mr. Gladstone said1 "One thousand million pounds would probably be an extremely low and Inadequate ' estimate. Two thou sand millions that Is , In round num bers , ten thousand million dollars or somethlnu even ihore than that , is very likely to be nearer the mark " Burden's Olflctal Intelligencer for 1894 places the ag gregate of foreign securities held by Ilrltlsh Investors based on the Income tax returns , at $3,819.033,000 The United States has one half the railroads and telegraphs of the world , and it has a fifth of the Urltlsh for eign trade It Is therefore a reasonable pre sumption that some fraction between a fifth and a half of the Ilrltlsh foreign holdings are American some figure bstween $800,000,000 and $1,900,000,000. And other European holdings and the aggregate will reach $2,000.- 000.000 or over , on which from $60,000,000 to $100,000,000 are annually paid In dividends and Intercut This amount Is now paid In i dollars worth In London 100 cents On the silver basis it would be paid In dollars worth In London CO cents Under such circum stances , how long would It be before these securities would be precipitated upon our markets with all the consequences of such a movement' How can such a situation fall to bring a crash' These are a few- illustrations of what Isolated fr c coinage and the silver I standard Involve. Uuf It Is claimed that t If we were on tha sliver basis we should enjoy great advantages In foreign commerce and command the trade of the silver coun tries. We bliould , Indeed , put ourselves financially upon the level of Mexico and China and India , but with what result' The imports of the _ _ gold standard countries amount - - - - - to over $8,000.000,000 a year , and those of the silver standard countries to less than $1,000- | 000,000. The exportsof the gold standard countries reach annually $7.000,000,000 , and I those of the silver standard countries omy $1,000,000,000. Why should we abandon the advantages of the former In n struggle for the latter ? During the last fiscal year our " [ exports to Europe "amounted to $690,000,000 $ and our Imports" $274,600,000. Hero was a balance In our favor of $415,000,000 , which was paid or credited to us In gold value. During the same time our exports to the silver countries amounted to $42,000,000 and our Imports to $170,000,000 Hero was a | balance against us of $128,000,000 Wo should continue to pay this sum In silver , or Its equivalent , as we do now , but why should wo 1 be so Idiotic as to put ourcslves on the silver I * > ? ? ' ? [ n order that Europe may pay us $415- 000,000 a year In silver values Instead of gold values ? Why should we upset our monetary medium with the great commercial nations , and subject our commerce to the Incalculable tax and burden and depression of a constantly uncertain and fluotuatlng exchange' Wo hear men talk Icosely of the debtor class and the creditor class , and flippantly reason that so-called "cheap money" would help debtors at the expense of creditors Who are the debtors and who are the creditors' The creditors are every depositor In a savings bank , every member of a build ing association , every pensioner , every holder of an Insurance policy , every worklngman who has saved anything out of his earnings and put It Into Institutions or Investments dependent on public security and honesty Harrowing requires credit. It Is the well off , not the poor , ' who borrow most The borrowers will bi < / found moro on the stock market than on .lliei farm or In the work shop. If a maniBc-tjki loans for legitimate enterprise or needed development , he Is most Interested In maintaining the public credit and confluence which makes easy terms and low ratqi What he wants lau not cheap money , but cheap loans Repu diation Is most i costly to borrowers. uIt multiplies the risks ami hardens the condi tions. Depreciate' th'e unit of valua and you cheat every memberjflf the Industrial classes. The great body ofc w.grklngmcn would ba the worst sufferers. Prices on a silver basis ' ' . would advance , boci'nso they would bo paid ' In debased money , but the last thing to rlso ' would ba the wages'of labor , and the sons of toll to whom the falio appeal Is most cun ningly made should be the most determined to resist and reject It. The depreciated currency which Is called "cheap money , " but which In reality Is the dearest , Is the most Insidious and deadly of all public perils. It deceives and deludes the unwary. It comes In attractive guise It is , as has been told , like the cub of the Honest , described by the Greek poet , which was rashly taken by the hunter Into his house. When It was young It was fondled by the children , but when It grew and felt Us strength it deluged the house with blood. Thera are those who unthinkingly fondle this young financial folly , but let It develop and It will nil the country with sorrow and ruin. The dangers of the silver deluilon are so clear that some of the extremists recoil from the abyss. They tell u they have not advocated Independent free coinage. I do not wonder that they shrink from their own conclusion. llut their record confronts thorn. They hava voted for free coinage. They have sustained and upheld those \vhovotcd for It. They have denounced those who did not ac cept It , Their argument means free silver coinage , or It means nothing , If they re nounce the conclusion , let them renounce the contention. It they hesitate to plunge Into the chasm , let them not lead up to the brink. INTERNATIONAL H1METALL1SM. What , then , is the true remedy ? To flnd the remedy we must flnd the cause. The frea coinage extremists mistake the one and so misapply the other. They begin wrong , argue wrong and end wrong. They charge the fall of silver to the act of 1ST3 , which Is said to have demonetized It , and they say It has not been restored to Its position because we have not done enough for It. Hut the act of 1S73 had no moro to do with the fall of silver than the last eclipse of the moon. We hadn't any silver to demonetize Wo had coined only 8,000,000 silver dollars from the foundation of the government , and for a quarter of a century before 1873 there hadn't been a dollar In circulation. As to our subsequent treatment of silver , I have shown that since 1873 we have done peventy- two times as much for the silver dollar ns we did In all our previous history , and , In spite of this , silver kept on falling. What , then , has caused the great monetary dislocation of the past twenty jears ? It ua ? not the demonetization of silver In tha United States , but the overthrow of bimetal lism In Europe. We had practically no sil ver coinage , and our act had no effect. Europe had $1,000,000,000 of silver coinage and her proscription of silver and the stoppage of her demand brought the derangement Per nearly 200 years gold and silver had main tained a practically steady ratio. The pro duction of the two metals had fluctuated In the most remarkable degree During the llrst forty-five years of this century the out put of silver enormously exceeded that of gold. During the next twenty-live years the conditions were reversed , and the output of gold enormously exceeded that of silver. Within the quarter of a century following 1850 the mines of the world poured forth as much gold as during the entire preceding three centuries and a half from the dis covery of America by Columbus. Yet through these extraordinary changes In the relative quantity of gold and sliver there was substantially no change In their relative value. The steadying Intluenrp was the bimetallic system. Nat all of the na tions , lnde ° d , had bimetallism. England had the gold standard , Germany and Austria had the silver standard , France and her asso ciates of the Latin union had the bimetallic standard , and with Germany's silver balanc ing England's gold , France nnd the nations of the Latin union served as what Walter Hagehot called "equalizing machines , " nnd upheld the monetary equilibrium. In 1S71 , two years before our much-abused and unim portant act of 1873 , Germany abandoned the silver and adopted the gold standard , and began to accumulate gold and sell her silver coin. Within s ° ven scars she sold $150,000,000 worth which Mowed across the borders of Prunco and Belgium. Prance and the L-Uln union be came alarmed and closed their mints to sil ver Holland a'ld other nations followed The European outlet for silver wab cut off At the name time the Imports of silver Into India foil from 100,000,000 rupees a jear to 30,000,000. While the demand was thus largely reduced the supply was largely In creased. The annual production of silver was moro than doubled Just as this restric tion of Its use began , and It kept on until it was more than quadrupled. Here , then , Is the cause of the monetary disturbance , nnd here lies the remedy. The uniformity In the relatlvoaluo of gold and silver prior to 1S73 was maintained by the bimetallic system ; It was broken by the gen eral abandonment of that policy , and It can only be reinstated by a general return The restoration of silver must come through the concurrent action of the commercial nations The enlightened opinion of the world recog- nl7es those truths The entire twelve mem bers of the Urltlsh Gold and Silver commis sion agreed that It was the bimetallic sys tem which preserved the stable ratio between gold nnd silver down to 1873 The six gold mouoinetalllst members agreed that bimet allism Is practicable and desirable for other nations , though they hesitated to recom mend It for England. The remaining ri\ members declared themselves unreservedly for bimetallism by International agreement Qerman > , perceiving the great mistake she made In 1S71 , has declared for an Interna tional conference. England , impelled by the distress among her producing classes Is ad vancing toward this policy Franco has been for It from the beginning. The depression of Europe urges It. The palpable advantage * of bimetallism me gaining ground /for It ever > da > . II broadens the monetary basis of credit and enlarges the stock of available sound mone > It establishes monetary unity It makes an approximately fixed par of exchange between gold nnd silver countries. It promotes fcta- bllity ofalues. . It minimizes the evils of an appreciating metal on the one hand or of a depreciating metal on the other. The restoration of this system Is tin restoration of silver , and as Its collapse was International so Its rehabilitation must be International. And now what Is our true American policy ? Wo do not want to rest upon goll alone or upon silver alone. We want the Joint use of the two metals upun conditions which will make every dollar as gooj a * every other dollar In the pockets of the pee pie 1 , and In the narkets of the world. We vvint the re-establishment on a broader scale of that bimetallic system , which for seventy years , through the sever st strain' through periods when the silver output vva * three limes as great In value as the gold , nnd through periods when the gold output was nearly ftv = > times as great as the silver , still kept them at a stable ratio and maintained the monetary equilibrium of the nations. To accomplish this result It Is our duty to set our faces like adamant against the Independ ent free coinage which would Indefinitely postpone bimetallism and simply plunge us upon the silver basis. We ought to leirn from our own experience. Wo have done more to promote tha growth In Kurop ; of a demand for International bimetallism since we stopped the purchase of bllver In 1893 than we did during all the years when we were buying $600,000,000 of silver. So long as we alone were carrying the burden Europe si lied and remained rasslve. When we had s use enough to stop Europe bagan to be aroiibocl to the necessity of action. Let us emphasize that lesson Let us say to Europe by our acts as well 03 by our words "We desire international bimetallism , wa believe the business of the world will ba better for the broadest use of both metals , but the Initiative new rests with you Had as the present situation Is , we CJM stand It as long as you can. We know the German agriculturists are crying out for relief We know the Lancashire cotton t pinners are In distress and all the Indian exchanges are In confusion. Wo are ready to Join you In an International agreement for the. re-storation of bimetallism ; but If yen are not ready , and If It Is to be a struggle for gold , we are going to meet you on that ground. Your London market was shaken when Mr Vlsh- negradskl boldly went In and bought $70.- 000,000 of gold to build up Russian credit. You were watchful and solicitous when Aus- trU began to buy gold to rehabilitate h r finances You replaced that treasure by drawing on us. We know that France has wisely acquired $200,000,000 of gold while wo have foolishly parted with that amount. Hut wo are richer and stronger , more self-sustaining and more powerful In resources than the greatest of your nations ; and If you are not prepared for bimetallism and If It Is to be a contest for the accumula tion of gold , then wo give notice that we are going Into the markets of the world to buy $100.000,000 or $500.000.000 If necessary. In order to take care of ourselves. " Such a no tice would settle the question Inside of alx months. Europe would seek a conference and International agreement would follow That Is the solution 'of the question. Inde- pendent free coinage la the pathway to the single Bllver basis and to untold calamity The restoration of bimetallism through In ternational agreement Is the pathway to honor , safety and prosperity I am not hero to raise any personal Issue Hut I am hero from a profound sense of pub lic duty to resist a false and dangerous pol icy , and to sound a solemn warning against any attmept to commit our noble common wealth of Pennsylvania to a course of dis honor and disaster. It Is not the first time there has been a proposal that Pennsylvania should falter In her devotion to honest mono ) and true public faith There was an hour when the delusion of Inflated and depreciated paper seized upon some minds , as the do- lusloii of 'Inflated and depreciated silver seizes upon them now. It was kindred In motive and inspiration and peril. There wore men then as now , who were disposed to puller with it. Uut a distinguished leader of republicanism , with tha sancllou and sup port of the then chairman of the state com mittee , boldly met the heresy or. the plat * "orm , and the Integrity and rcctltudo of i'flunsylvnnla were preserved. Lot us con- 'rent ' and confound the present heresy and danger with the same determination and fidelity. Let us stand Inflexibly for the honest money which lies at the foundation of all business security , nnd In which every dollar , whether of gold or silver or paper , shall have full oxhangeablo equality with ovcry other dollar. MUNICIPAL FOLLY. rrnnclilrs of Ora.it Value ( liven Airny In Sc > T York , The city of Now York Ins wisely retained ho ultimate control of Its water front , ca > s a writer In the Century , and by a readjust ment every jear of rentals for Its docks and piers , and at longer Intervals of Its ferry privileges , It Is deriving the bcnofH of municipal growth nnd expansion from these sources. The result Is gratlfvlng , even though million ! may have been lost by offi cial negligence or corruption. The utmost advantage can at any time be obtained by the elty by greater economy and watchfulness on the part of Its public olHclals These figures of Increased revenue will carry conviction of the valueof public fran chises In New York City. The- Dock depart ment was organized In 1870 , and since then Its gross annual revenues have shown an Increase from $315,524 In 1871 to $ t.S39,6' > 8 for the year 1894 , and Its net j early reve nues , which In 1S71 amounted to $143.000 , had Increased twenty-three years later to $1500,000. The ferry rents , which In the year 1S79 were only $61,141 , ha\o been In creased to $354,2 < iO Wo need only record the earnings of th Hrooklyn bridge to realize what has been gained to present and future generations by retaining In public hands the control and ownership of this great highway. The gross earnings have steadily Increased from $62J- 6S031 In 1885 to $1 3J6.51S 85 tn 1S94. The profits from public enterprises nro so well assured that the publle should b1 con tinually on guard Only n few years ago practically an exclusive contract for undor- Biound subwnjs was authorized by the legis lature , without substantial consideration to the city , which will ninko It almost Impos sible ever to Interfere with the monopoly of the Metropolitan Telephone , the Western Union and the Edison Illuminating com panies , the virtual owners of Ihls new cor poration controlling the subways. * * * Taken together , these figures show that the gross earnings of corporations supplying gas and electricity nnd having street car privileges In New York City exceed $35,000- 000 per annum Their not earnings nro In excess of $11,000,000 The amounts paid by them Into the treasury of the city are only nominal. The earnings Increase from year to jear bocausa of the growth of the city Competition among them Is Impossible , because - cause street railroads cannot be paralleled , and It would be unwise and Impracticable to attempt to charter new- gas companies con tinually. The streets would bo constantly torn open , and the health of the citizens CM dangered , and then no fcooner would they ba closed up than the two competing companies would enter Into an alliance , either for main tenance of rates or for consolidation. This has been the experience of New York , and , In fact , of all great cities Private compstltlon being Impossible , some kind of public control seems desirable tint would either keep the charges down , so tint the returns v.ould bo reasonable , or that would secure ic the treasury of the city tin profits beyond fair Interest on the capllnl The figures given above show ihe overwhelm ing importune ? of contiol by the city of Its valuable franchises Captain Sweeney , U. S A. , San Dlep-o Cat , bays"Shlloh's Catarrh Remedy Is the first medicine I have ever found that wculd do me any good " Price 50c CONTROL OF'THIS SENATE , ItcpuUllc.ili Rulni from the Six rst-u > mtl- wcstorn Stntt'fl. The admission of six : new states In th early jears of Pres'dont llanison's adminis tration was intended by the republicans to strengthen the republican party In the noilhwest for the contest of 1892 , and to make certain the conlrol of the United States senate by the republicans. As Is oft ° n the case In politics , s-i > s the New York Sun , t'ne ' plans arranged by the re publicans for strengthening themselves failed Idaho , ono of the new states , was catrled by the populists North Dikota scattered its electoral votn amonjr the three candidates The admission of the north western states gave an Impetus to the free silver movement which cost the republicans the electoral votes of Kansas , Colorado and Nevada , and the changes In the United Stales senate consequent upon this free sil ver defection put the democrats In control of It. Hut In the last two years the political pendulum has swung back again and the re publicans are now about to get , tardily II Is Iruo , some of Ihe benefits of their legis lation of six yoais ngj. The rext United States senate will con- lain twelve members from the newly ad mitted northwestern stales. Of Ihese , Ion are slraighlout republicans , ono a populist and one , Roach of North Dakota , a democrat This gives the republicans a lead of eight over the democrats and populists com bined Without the representatives of the six now northvvextern states , the next United Stales soiato would cons'st ' of Ihlrly- seven democrats , thirty-four republicans and four populists , with Delaware nol Included In the count The republicans would have only thirty-four senators In a total of sev enty-six , and Mr Cleveland would have for the next two years a democratic Instead of a republican satiate on his hands to con firm or reject his nominations. KEEP THE FIRES GOING A Simple Wity to 1'ret rut Mirvll l'\\\\ \ from tlroirlnff to .Mitlurlty. Don't let the fire go out. Winter Is Bone , to bo sure , but tlmo are many dn > s In gpiliig' when tha winds arc raw nnd chill , anil the homo vvoitM be \erltnblo tomb without n fire. Keep up the \ltal fire In your body. Ix > o ) < out for your digestion nml tnlce prompt liocd of any depirluro from n state of health. A vagabond current of ulr may cnny ths seeds of pneumonia nnd bionchltls , but II has no lerrois for a s > stem Unit lias been foitlfled with Duffy's Pure Mall Whiskey. This incdlrlmil stimulant prevents HUH colds from beoomlnij biff enc It Isn toiild nnd appetiser , vvnunliiR the body through nml through , niul promoting a healthy se ct etlon of the fjiiKtrlo fluids. It Keeps ou ( cold because It clircKs undue waste , unit li n Kcneinl tttrenglhcncv. Lonp experience li.is taught the doctor ! tltat thf > colds so KNiernl in the uncertain spring time are brsl oveicome by n rcllabU stimulant. IMiffj's Pure Malt \NhlsUey U In cverv thrifty housekeeper's mcalcln * chest. With nil the vigilance In the world } II Is noxl to Impossible to keep clear oj cold-pioduclng agencies Uuffj's Pure Mall uvorls .ill dnngor. lie sure , however , that no drtipfflst or riocer gives > ou something called "just ns good " Insist upon hnvlnfl the bc t , the genuine , Ihe only medicinal whiskey In the market. CURES RHEUMATISM. NEURALGIA * Coughs , Colds , Lumbago , Sore Throat , Inflammation , Influenza , Frostbites , Bronchitis , Headache , Piicumoiiia , Toothache , Asthma. Intci unlly ns well as Jxtcrnally , A hulf to a tfAipoonful In hull ft tmitMcr nf water euros htonindi trouble * , Cold 1 litlla , MularlM Fetera , \Vlnil in the UowcK and till Interual pnlns 2'itty Cents a nottle. .Sold b IIAUWAY & CO. , New York j | "Could I have another t Glass of that Give the chilihcii ns much [ gj Hires' Uootbccr us they vvnut. tg Tnkc as much ns you \v nut , yourS - S | self. There's no harm iu it | | nothing but good. A Z cent psckig * ntkei ( gtlloni. g § ThcChas. E. HltesCo. , Phllada. f TIIIMIlIllllllllllllllllllllllllllllllllllllllllllllllllll lllllllllll Cut Your Wisdon ? p i h < tor * 1 | the best Chewing Tobncco iu the tJiiiiiiuiiiiiiiiiiiiuuuuiniuuiiiiiiiiiiiumuuuiuiiiuuiu ] for Infants and Children. iOTHERS , Do You Know * Bateman's Drops , Oodfrey'a Conllal , many so-calltd Soothing Syrups , and most remedies for children are composed of opium or morphine ? Po You Knox ? that opium and morphine are Btuiwfylng narcotic poisons ! Po Yon Know that In most countries druggists ore not pcrmltlcd to Bell narcotics without labeling them poisons f Po Yon Know that you should not permit any modlclco to bo given your child unless jou or your physician know of what It Is composed Do Yon Know that Casloria is n purely vegetable preparation , and that a list of IU Ingredients Is published with every bottle f Po Yon Know that Cactoria Is the prescription of the famous Dr. Samuel PlUher. That It has been in ueu for nearly thirty years , and that more Ca&torla is now sold than of all other remedies for children combined f Po Yon Know that the Patent OfJlce Department of Uio United States , and of other countries , have issued exclusive right to Dr , Pitcher and his assigns to use the r.-ord " Oastorla " and Its formula , and that to Imitate them is a state prison offense t Po Yon Know lhat ono of the reasons for granting this government protecllon was bccauw Casloria bad been proven to ba absolutely liarmlesk ? Po Yon Know that 35 over a HO dosc < j of Castoria are furnished for 35 cents , or ono cent a dose ? Do You Know that when possessed of Ihls perfect preparation , your children may be kept well , and lhat you may have unbroken rest 1 "Well , thcao tiling- * , are worth knowing , They are facts. The fno-nimllo " ii on every iirimtnro of wrapper. Children Cry for Pitcher's Castoria.
