Money: Speech of Hon. John P. Jones, of Nevada, on the Free Coinage of Silver; in the United States Senate, May 12 and 13, 1890Jones, John P. (John Percival)
History
Money: Speech of Hon. John P. Jones, of Nevada, on the Free Coinage of Silver; in the United States Senate, May 12 and 13, 1890
Jones, John P. (John Percival)
Silver question -- Speeches in Congress
Those who deride silver as a money-metal indulge in feeble attempts at
sarcasm by inquiring why we do not advocate the use of tin and brass as
money. They speak and write as though the idea of using silver as money
were a recent discovery or invention of people engaged in silver mining.
They also ignore the fact that the standard silver dollar of the United
States, which, with much satisfaction, they stigmatize as a 72-cent
dollar, requires a gold dollar to obtain it. It is worth a gold dollar
in London, in Berlin, in Vienna, in Saint Petersburg, in Madrid, in
Havana, and in all countries having commercial relations with the United
States. It can at once be exchanged into the money of any country with
only the slight deduction of cost of shipment to this country--as is the
case in the United States with notes of the Bank of England, which are
redeemable in gold.
Our silver dollar is not money in foreign countries--and it is to our
advantage that it is not--for were it money anywhere else than in this
country, we could not rely on its remaining here to maintain that
steadiness of prices indispensable to prosperity. But if any of our
silver dollars are found abroad, let no one suppose he can get them by
tendering 412-1/2 grains of silver bullion for each dollar. He will find
it will cost him precisely as much gold as it passes for in the United
States.
SOME EFFECTS OF THE RISE OF GOLD.
If a cotton planter in 1873 owed $10,000 he could then have paid it with
60,975 pounds of cotton. To-day, by reason of the increased command
which gold has over commodities, it would take 101,010 pounds of cotton
to pay that $10,000; not withstanding that the money in which the debtor
has paid the interest has each year become more valuable than it was at
the time he contracted to pay it.
The cotton manufacturer of the East who in 1873 owed $10,000 could then
have paid it with 70,422 yards of uncolored cotton cloth; to-day owing
to the rise in the value of gold it would require 147,059 yards to pay
that debt, without taking into account the amount lost by the debtor in
the greater sacrifice he had year by year to make to pay the interest.
The farmer of the North and West who in 1873 owed $10,000 could then
have paid it with 8,733 bushels of wheat; to-day it would require 11,446
bushels of wheat to liquidate that debt, though he, too, has year by
year been "cinched" through the progressive increase in the value of the
money in which the interest has been paid. Or he could, in 1873, have
paid his debt with 1,514 barrels of flour; to-day it would take 2,126
barrels of flour to pay the same debt.
The property of the country is fast passing into the hands of the
creditors, and if the iniquitous system is not reversed the condition
of our American farmers will be that of the farmers of gold-standard
countries. Instead of owning their farms they will be tenants and
rent-payers--a condition but little in advance of that which prevailed
in feudal days.
Public-domain text, read in full here on John Shaqi.
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