CHAPTER XVII.

BY SENATOR FRED. T. DUBOIS, OF IDAHO.

It is very evident to the most easual and indifferent observer that the cause of silver is gaining ground every hour. This is apparent in Germany, England and all the gold-standard countries of Europe, as well as in the United States. The most rapid progress and the crystalization of sentiment is more marked in the United States, to be sure. The reasons for the change of sentiment are easily understood. Distress and hard times are general throughout the world. There is a prevailing opinion among producers and wage earners that the era of falling prices and consequent depres sion in all lines of trade has been brought about by the adoption of the gold standard by the leading nations of the world. Nothing is of stable value now save good gold mines and gold money. There are not many of the former, and the owners of gold money as a rule do not live in the United States.

The great majority of the people of this country understand, I think, that with gold as the sole standard of money that metal is appreciated and all things which it measures in value are depreciated. It is boyish and unworthy of men who undertake to direct public sentiment to say that silver has not been demonetized. To say that silver is still in use and in large quantities in the United States and that it is maintained on a parity with gold is a begging of the entire mone

tary question which is entirely unworthy of some dis tinguished gentlemen who have lately expressed themselves. There must be basic money. On this other moneys rest. There must be a money of ultimate redemption in order to insure absolutely safe currency. It is a serious question whether there is or can be enough of both gold and silver to supply this basic money. When both were used, prior to 1873, they seemed to answer the purpose and remained at a ratio of about 15 ounces of silver to 1 of gold. The prices of labor, of wheat, cotton, corn and other products were maintained.

When silver (which comprised one-half of the basic money) was demonetized, when it was no longer recognized as the equal of gold at the mints, but was made a commodity the same as coffee, it fell in value as compared with gold, until now it is as about thirty-two ounces of silver to one ounce of gold. The significant fact, however, that wheat and corn and cotton and the value of all other products, as well as the price of labor, has fallen with silver is what creates the great demand for the restoration of silver as basic money.

I have the greatest respect for many of the able silver advocates in the United States who do not see their way clear to unlimited coinage by our country acting alone. I myself cannot see how we are to secure bimetallism unless the United States takes the initiative. England is a creditor nation. The gold standard makes money scarce and dear. This is to the advantage of England and she will not consent to the addition of silver as redemption money unless she is compelled to. I have no hopes of any international agreement until after this government adopts free coinage. England

anu the other great nations of Europe will then be compelled to join us or lose their commercial supremacy.

The minute the United States adopts free coinage at the ratio 15 or 16 to 1 the price of silver will be regulated throughout the world. No one who has given the subject serious thought or who has any regard for his reputation as a student of finance attempts to argue any longer that the restoration of silver by the United. States acting independently would cause the country to be flooded with silver from foreign nations. This country could not be a "dumping ground" for silver for the simple reason that there is no nation which does not absolutely need all the silver which it has. There is no loose silver anywhere to come here. There will be no object in foreign countries sending silver here, even if they had it to spare, because it would be worth as much in each of the foreign countries as here and they would lose by sending it here what the cost of transportation would amount to.

Some claim that with free coinage all the gold will leave this country. What if it does? Where will it go to? Admit for the sake of argument that it will go. to England. The volume of the money in England will increase to that extent, with the result that the price of our products which we sell in England will be enhanced and England will find it impossible to retain the gold.

It has been demonstrated clearly that gold cannot be retained in this country under the present condition. of affairs. The government is absolutely at the mercy of any syndicate of rich bankers who desire to take it out of the treasury. All they have to do is to present