Abridgment of the Debates of Congress, from 1789 to 1856.

514 ABRIDGMENT OF THE a. OF R.I Gold Coin Bill. [JuE, 1834. if considerable, place silver exactly in the con- higher than most of the European regulations, dition in which gold now was, and make it an and fall a little below the ancient Spanish article of trade instead of currency. In the end, ratio, which is still the regulator in most counwe might have to change the relative value of tries where there are no controlling laws. But, the two metals to keep silver here, as we now sir, I willingly surrender all my speculations on proposed to do to keep the gold. It had not, this subject; it is much more safe to establish indeed, occurred to him that it was as important a valuation of gold too high than too low; by as some had thought to raise gold even to what adopting a higher ratio, we shall be more cerhe admitted to be its true proportional value. tain of accomplishing our object, which is to The real value had always been obtained, and secure for our own country the permanent cirwould continued to be obtained, by the Ameri- culation of gold coins. can holder, in the shape of a premium in the Some objections have been stated which I market, and this without any law for the pur- do not believe well founded. We are alarmed pose, except the law of commercial exchanges. at a mere fractional variation. Of the imporIndeed, it was from this very premium that its tance of this objection we may judge by the true value, when compared with silver, was fact stated in this debate. We are told that obtained. It would facilitate the gain of this the mint valuation in France is fifteen and a premium by the holder of gold, to raise the half, while the current value is fifteen and sevenlegal value of gold to the same extent or there- tenths; that in England, fifteen and a fifth, or abouts, and to this extent he was willing to go, less by another calculation; while the actual but not beyond it. ratio is about fifteen and eighty-three hunMr. CAMBRELENG said: There has been, Mr. dredths. Sir, the current ratio between gold Speaker, too much refinement and speculation and silver bullion may, as it does, fluctuate on this question of the relative value of gold with the increased or diminished demand for and silver and of currency. I am persuaded that either for temporary use. But, with a just the currency of every country would have been ratio, your currency will not be affected by such infinitely more sound, if less speculation and fluctuations. Great fears have been expressed, refinement had been introduced into legislation too, about driving silver out of the country. through the agency of mint directors and bank- I cannot believe, sir, that the trifling advantage ers. We are now endeavoring to adjust this given to gold, an advantage not equal to one question permanently, to aid in reforming the per cent., will produce any such effect. Neither currency of the country, and what do we find? of them would go out, unless to pay temporary Why, sir, after all this legislative wisdom, balances, and under the proposed regulations after altering and realtering the ratio, after for our coin. If the Mexican and Peruvian alternately adopting gold or silver as a currency, dollars were exported, the fractions of the we find the most enlightened nations of Europe dollars of every kind, and the gold, would rewith debased currencies, for the purpose of main; I cannot perceive how this result would keeping at home that which should be the injure the country. Another apprehension is medium of the world; and that, after all their indulged, as I think, equally unfounded. Calinquiries and refinements, no two of them agree culating erroneously upon the existing relative in establishing the relative value of gold and value of gold and silver in this country as the silver. Now, sir, with great deference to these true and proper value, and forgetting that it is authorities in establishing a permanent ratio, I altogether the artificial work of our own laws, prefer following a less fluctuating example. I we are gravely told of the danger of authorizing prefer looking to the South-to our own neigh- the circulation of both metals together, and parbors, where the same unvarying ratio has con- ticularly when you value gold two or three tinued for generations-to those mining coun- per cent. higher than it ought to be. The error tries where the ratio is established which will is in assuming that fifteen and five-eighths is the influence and control the relative value of gold just average ratio of gold and silver in the and silver, notwithstanding all our laws and markets of the world, while that average is the temporary fluctuations at different times within a fraction of one per cent. of that proand in particular countries. We all, sir, have posed by my colleague, (Mr. WHEITE.) Pass the our particular speculations upon this subject. bill, and gold would immediately assume its One gentleman proposes fifteen and five-eighths; just relative value, and whatever small differthegentleman from Massachusetts (Mr. GonHAM) ence might exist, would be immediately conwould go as high as fifteen and three-quarters; trolled by law and custom. The opinion that and, sir, I have my own speculations about it; the two metals cannot circulate together, and the just average, according to the best caleula- both be made a lawful tender, is, I know, gention I can make, is fifteen, eighty-six and a eral; but it is rather speculative than sound. half. The ratio proposed by my colleague (Mr. It may be logically proved in theory; but, like WHITE) is a fraction less than one per cent. many other theories, it is contradicted by higher than the result of my calculations. In- experience. It is extraordinary that we should dependent of these calculations, I have always indulge these alarms in the face of the exthought that, in establishing a ratio for our amples of France and of all the nations south coins (situated as we are, intermediately between of us, where both metals circulate and are the mining countries and Europe) we should go received in the payment of debts, without

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Title: Abridgment of the Debates of Congress, from 1789 to 1856.
Author: United States. Congress.
Canvas: Page 514
Publication: New York, [etc.]: D. Appleton and company [etc.]; 1857-61.
Subject terms: United States -- Politics and government

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Abridgment of the Debates of Congress, from 1789 to 1856.

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