wever men may
differ about causes and processes, all will admit that within a few
years a great disturbance has taken place in the relative values of gold
and silver, and that silver is worth less or gold is worth more in
the money markets of the world in 1878 than in 1873, when the further
coinage of silver dollars was prohibited in this country. To remonetize
it now as though the facts and circumstances of that day were
surrounding us, is to wilfully and blindly deceive ourselves. If our
demonetization were the only cause for the decline in the value of
silver, then remonetization would be its proper and effectual cure. But
other causes, quite beyond our control, have been far more potentially
operative than the simple fact of Congress prohibiting its further
coinage; and as legislators we are bound to take cognizance of these
causes. The demonetization of silver in the great German Empire and the
consequent partial, or well-nigh complete, suspension of coinage in the
governments of the Latin Union, have been the leading dominant causes
for the rapid decline in the value of silver. I do not think the
over-supply of silver has had, in comparison with these other causes,
an appreciable influence in the decline of its value, because its
over-supply with respect to gold in these later years, has not been
nearly so great as was the over-supply of gold with respect to silver
for many years after the mines of California and Australia were opened;
and the over-supply of gold from those rich sources did not effect the
relative positions and uses of the two metals in any European country.

I believe then if Germany were to remonetize silver and the kingdoms and
states of the Latin Union were to reopen their mints, silver would at
once resume its former relation with gold. The European countries when
driven to full re-monetization, as I believe they will be, must of
necessity adopt their old ratio of fifteen and a half of silver to one
of gold, and we shall then be compelled to adopt the same ratio instead
of our former sixteen to one. For if we fail to do this we shall, as
before, lose our silver, which like all things else seeks the highest
market; and if fifteen and a half pounds of silver will buy as much gold
in Europe as sixteen pounds will buy in America, the silver, of course,
will go to Europe. But our line of policy in a joint movement with other
nations to remonetize is very simple and very direct. The difficult
probl