International bimetallism at the contemplated ratio of 16 to 1, and bimetallism by independent action at the same ratio, although opposing issues in the late campaign, are founded upon the same errors and misconceptions.
A popular system of bimetallism is simply bimetallism--neither more nor less.
The article on "Bimetallism Simplified" by Mr. George H.
The great desideratum is to make our vast stores of silver available for ultimate redemptions, and this, natural bimetallism effectually accomplishes.
Mr. Lepper very properly says that internationalbimetallism and independent bimetallism "are founded upon the same errors and misconceptions.
I did not wish to subject the writer of "Bimetallism Simplified" to this castigation, but he would have it so.
As a matter of fact, a sound system of bimetallism is simply bimetallism.
The writer of "Bimetallism Simplified" next goes on to say that whatever value may be created by monetization is not a commercial value.
If under the system of natural bimetallismit does this best, the question as to its money or commodity character is vain.
In any event, natural bimetallism is much less open to criticism on this score than the existing system, or than that of the fixed ratio.
It was created to prevent bimetallism by treacherously pretending to be in favor of it.
If we have an international agreement for bimetallism we can not have it all our own way--the foreigner would be entitled to a voice.
Then the Englishman would reply, "Would not international bimetallism mean international repudiation?
Higher prices in America will follow either of two causes--foreign famine and war or bimetallism and an increased volume of money.
Mr. Wolcott, did not you saybimetallism in the United States meant repudiation?
My friends, the most ridiculous proceeding I ever heard of was the Republican party sending commissioners abroad to procure international bimetallism with that plank staring them in the face.
Oh, no, he would not do that; he would use his influence to have a law passed in favor of bimetallism in his own country.
The financial men of England would then say to Mr. Wolcott, did you say that bimetallism in the United States meant 50-cent dollars?
As these measures were opposed to bimetallism in that they restricted the use of silver, and were followed by a lower price for that metal than had ever been known, the agitation in the United States and Europe continued.
We find first the upholders of a national double standard, as in France and the United States, and these are followed by the advocates of bimetallism set up by a combination of countries.
Regarded from the historical point of view it appears that the failure of separate countries to maintain the two metals in circulation was the cause which produced the idea of bimetallism as an international system.
After the American election of 1900, bimetallism as a popular cause disappeared from view.
International bimetallism is at all events the form which has attracted attention in recent times, and it is certainly the most important.
A further attempt at securing international bimetallism was made by Senator Wolcott's commission in 1897.
By the joint action of France and the United States a fresh monetary conference was held in Paris in 1881, where the advocates of bimetallism were very strongly represented.
The theoretical considerations which underlie the controversy between the supporters and the opponents of bimetallism find their appropriate place in the article MONEY, as does also the earlier history of the double standard.
A Committee was thereupon appointed by John Sherman, President of the Caucus, to devise proper means for keeping the pledge of the National platform and establishing international bimetallism in concurrence with other nations.
If he is candid enough to admit that bimetallism would fail there, it is taken for granted that the whole question is disposed of.
Hence it is said bimetallism really means the use of but one metal in a country at a time.
Bimetallism is a political institution for practical ends, and is entitled to be judged with reference to reasonable probabilities.
Not only is no catastrophe involved in the failure of bimetallism through the exhaustion of the dearer metal, but it is always in the power of the Government to arrest the drain at any point without shock.
A general or universal system of bimetallism would involve no machinery, no international accounts, no detail whatever.
Laurence Laughlin The History of Bimetallismin the United States.
But, whatever the explanation, the fact cuts the ground from under the argument that bimetallism would have saved England from the bank restriction.
Footnote 20: See the case more fully established in Laughlin's Bimetallism in the United States, pp.
The modern theory of bimetallism is almost the only instance in history of a theory growing not out of practice, but of the failure of practice; resting not on data verified, but on data falsified and censure-marked.
The following of bimetallism would not be what it is were it not for the despair of any other remedy for the situation at the moment.
In addition to this--and quite as demonstrably--there was no conception of a theory of bimetallism in 1803, nor any conception of a bimetallic function to be performed for the good of the human race by bimetallic France.
As long as the gold coins remained in circulation, and they were of great use while the recoinage was going on, there was thus a bimetallism with a ratio of 1:15.
The Roumanian Government did not considerbimetallism a practical possibility, and Turkey and Portugal expressed no opinion.
This is not in keeping with the theory of bimetallism as developed to-day, according to which the transition from one coin to the other would only be made at the point of equation, and the substituted metal would equalise that displaced.
Here, then, are the points demonstrated by France's official figures: During seventy years of bimetallism she gained steadily and rapidly in wealth, her exports increasing much faster than her population.
Monometallists tell us that not only is bimetallism impossible, but that the attempt to maintain it is in every way hurtful, in fact, disastrous.
A highly suggestive fact is that, as experience develops the enormous evils of the monometallic system, the number of conversions among prominent men to bimetallism steadily increases, and they become more outspoken and radical in their views.
Let us turn for a moment and trace the effects of monometallism in England as compared with bimetallism in France during the same period.
Bimetallism and a rigid adherence to a specie basis were two of the means adopted by Bonaparte to restore France, and during all his wars, with their terrible expenses, he never once departed from the specie standard.
The truth of Gresham's Law was believed by most economists, who doubted whether the commercial ratio was ever sufficiently permanent to make bimetallism possible.
Laughlin, History of Bimetallism in the United States (1886, etc.
Bimetallists had progressed in their education until most of them saw that bimetallism must be international if it could be at all.
The pledge of the Republicans for international bimetallism created a need for a financial Secretary of State, and John Sherman, though old and infirm, was persuaded to undertake the office.
Bimetallism was a cry of many who disliked free silver, yet feared that a demand for the gold standard would wreck the party.
He had favored bimetallism and free coinage in so many debates that the East, where lay the strongholds of the party, distrusted his soundness on the currency question.
I saw inbimetallism a part of the remedy, and I supported bimetallism not as a partisan of free coinage but as an advocate of monetary reform.
While "the producers of silver are entitled to just consideration," it should be remembered that "bimetallism is the desired end, and the true friends of silver will be careful not to overrun the goal.
The theory of bimetallism is that the government can act on the value of the two metals through the principle of substitution.
When all hope of international bimetallism failed, the efforts of many of its advocates were turned to the plan of legalizing national bimetallism in the United States at a ratio of 16 to 1.
This situation is called limping bimetallism (or the halting double standard), tho this is a contradiction of terms.
International bimetallism is that resulting from an agreement among several nations to use two metals on the same terms.
Bimetallism may be legally authorized, but not actually working, for, if the market-value long continues to vary appreciably from the legal ratio, only one of the metals may in fact be left in circulation.
The movement for national bimetallism in America#.
Bimetallism is legally authorized when both metals are admitted to the mints for free coinage at an established ratio of weight.
In such a case there is bimetallism de jure, but monometallism de facto.
National bimetallism is confined to a single country, as was the case in the United States before the Civil War, or in France before 1867.
My impression of bimetallismis the advisability of obtaining silver, if you cannot get gold.
Bimetallism is a subject that is frequently discussed by amateur financiers, after a good dinner, on the near approach of the coffee.
In such a case there is bimetallism de jure, but monometallism de facto.
Some of the advocates of bimetallism argued that the fall of prices was due not alone to economic forces, but also to a money conspiracy which had influenced legislation to introduce and continue the gold standard.
The discussion of international bimetallism in recent years has been on the proposal to make a much larger league of states than the Latin Union, embracing all the leading countries.
Bimetallism may be legally authorized, but not actually working.
International bimetallism is an agreement among several nations to use two metals on the same terms, the only case in history being that of the Latin Union, which included France, Italy, Switzerland, and other countries.
Sidenote: Its theory] The theory of bimetallism is that the government can act on the value of the two metals through the principle of substitution.
The plan of the free-silver advocates was to legalize national bimetallism in the United States at a ratio between gold and silver very different from the market ratio.
The main object of international bimetallism is to prevent the fluctuations of the standard of deferred payments.
The economic theory of bimetallism was recognized by a majority of economists to be abstractly sound, but the political difficulties in the way of international agreements are great, and have proved to be insurmountable.
National bimetallism is confined to a single country, as that in the United States before the Civil War, or in France before 1867.
Bimetallism is legally complete when both metals are admitted to the mints for free coinage at an established ratio of weight; it is halting or limping when one of the metals is not freely coined.
We are told how, when the dreadful subject of bimetallism cropped up, he turned to Sir Arthur Godley and said: 'I forget.
On one occasion the Finance Committee were to deal with the question, then so vital to India, between bimetallism on the one hand, and a gold standard on the other.
Like olives and claret, Bimetallism quite an acquired taste; ordinary Member will have none of it; flees House when subject announced.
It was reasonably thought in advance that Bimetallism would prove too much even for the charm of his oratory.
Something similar may be said of his treatment of bimetallism in his book on political economy.
When currency questions became prominent, Mr. Godkin was a strong opponent of bimetallism and of "silverism" in all its forms, and a not less strenuous opponent of all socialistic theories and movements.
He declared in favor of bimetallism and devoted most of his speech to the monetary question and to repeated declarations of financial independence in behalf of the United States.
He disposed of international bimetallism by questioning the good faith of those who advocated it and declaring that there was an impassable gulf between a universal gold standard and bimetallism, whether independent or international.
Laughlin, History of Bimetallismin the United States (1897); W.
Both parties, however, could safely pronounce for bimetallism under international agreement, since there was little real prospect of procuring such an agreement.
There were, moreover, many other voters who, while regarding Greenbackism as an economic heresy, were convinced that bimetallism offered a safe and sound solution of the currency problem.
Bimetallism could only exist where the market value of the two metals approached the coinage value, or where a strong government, with a good credit, received and paid out coins of each metal at parity with each other.
But Bimetallism was a craze with no chance of even distant success, while Railway Rates were at that very moment urgently calling for redress from hundreds of threatened industries.
The other day I heard of a bimetallist who was so fond of discussing bimetallism that the railway carriage, in which he went to town every morning, was always left vacant for him; nobody could stand him any longer.
What arguments advanced in favor of bimetallism in 1896 are inapplicable to-day?
