estion whether there has been such an
increase in the production as would normally cheapen it. On this point we
have evidence to convince any unbiased mind, for the relative production
of silver and gold has in former ages varied very much more than in the
last twenty-three years, and the variation has extended over much longer
periods, without causing more than the most trifling divergences in value.
And the explanation is simple: the two metals received equal recognition
at the mint and in legal tender laws; the greatly increased use of the
cheaper maintained its value in coinage, while disuse of the dearer tended
equally to check its appreciation. In this sense government can "create
value" by creating a use.

From 1660 to 1700, for instance, the production of silver averaged in
value much more than twice that of gold, and in quantity some thirty-three
times as much; yet all those years, the highest mint ratio was 15.20 to 1
and the lowest 14.81--a variation in money value of but .39 or 2.6 per
cent. From 1701 to 1760 inclusive, the proportion of gold produced
gradually rose from a little over a third to 40 per cent. in values, yet
the money ratio remained remarkably constant, the highest being 15.52 of
silver to 1 of gold and the lowest 14.14. In other words, for sixty years
there were produced on an average about 28 ounces of silver to 1 of gold,
yet the widest variation of their money values in all those years was less
than 9 per cent. In the face of such facts as these, we are asked to
believe that while an average of over 30 ounces to 1 created an average
variation of less than 6 per cent., and a greatest variation of less than
9 per cent., a production of some 20 ounces to 1 since 1882 has created a
variation of 100 per cent. And that the variation began nine years before
the value production of silver exceeded that of gold! It is an affront to
our common sense.

[Illustration: The above diagram shows the relative annual production of
gold and silver from 1493 to 1870, and also average ratio of values of the
two metals.]

I should say, at this point, that my figures are taken from the latest,
and in my opinion the most scholarly work in favor of monometallism, "The
History of Currency," by Prof. W. A. Shaw, Fellow of the Royal Historical
and Royal Statistical Societies. As the ratio between silver and gold
varied considerably in the different marts of Europe, I follow his plan
(which is Soetbeer's) of taking