360 THE QUESTIONS OF THE DAY. 



then happened. Any notion that there were then living 

 bankers with shrewdness enough to foresee what has happened 

 as the result of the demonetization of silver, and faith enough 

 to act on their belief, is a popular myth. Those who employ 

 such a statement in argument, hurt their cause. There was 

 no "crime of 1873." There may have been a misfortune. 

 The standard was changed for greater certainty and con- 

 venience in dealing with large sums of money, with no reason 

 to su))pose that it would have any important effect on small 

 transactions. But it did. 



At the time when we were revising our coinage systems, 

 other nations, partly for the same reasons which determined 

 us, and partly for local reasons, were doing the same thing. 

 Germany first, and then other countries, wholly or partially 

 demonetized silver. The result has been a full in silver as 

 compared with gold, unprecedented in the history of mankind. 

 In 1870 fifteen and six-tenths ounces of silver would buy one 

 ounce of gold. Now it requires thirty-four and seven-tenths 

 ounces of silver to buy an ounce of gold. This did not happen 

 all at once. For the first ten years the depreciation was 

 gradual. In 1883 eighteen and six-tenths ounces of silver 

 could still buy an ounce of gold, an increase of tire ratio by 

 only three in ten years. 



The importance of keeping the two metals at a uniform ratio 

 has always been recognized, although, until recent years, the 

 object was merely to prevent the niinor fluctuations, which were 

 embarrassing in large transactions, no one apparently fearing 

 any such depreciation as would actually affect prices of com- 

 modities. With this object in view, France, Belgium, Switzer- 

 land, Italy, and Greece formed, about 18GG, what is known as 

 the "Latin Union," which was an agreement between the coun- 

 tries that their coinage of gold and silver should be at the ratio 

 of fifteen and one-half to one, both being legal tender. Within 

 a few years after 1873, public attention in this country began 

 to be directed to the effect of the disuse of silver upon prices, 

 largely, at that time, owing to the exertions of our mine own- 

 ers, who by the disuse of silver for coinage began to find 

 increasing difficulty in marketing their bullion. The arts 



