Position of Silver after the Pittman Act

THE American producers of silver are keenly alive to the importance of the silver problem and its vital effect on the mining industry in Montana and other States where precious-metal mining constitutes a basic industry. There are so many ramifications to the subject that one is tempted, no matter from what angle an approach is made, to digress along lines that inevitably lead into a maze of social, economic and financial problems, through which no clear pathway is marked, and regard¬ing which no definite opinion can be expressed, as the ultimate solution is dependent upon the policies adopted and carried out by the more important Governments with reference to their fiscal requirements and currency systems. The situation may be summarized in two questions First, what, if any, plan have the silver producers, as being the most directly interested, to offer in meeting the situation which will confront the industry upon the termination of purchases of domestic silver under the Pittman Act? Second, what, if any, assistance can be extended by the Government in connection with the problem? In answer to the first inquiry, while the matter has been the subject of discussion among the principal producers, they have been unable to formulate a defi-nite plan, principally because they have been and are dealing with a subject embracing many unknown fac-tors; and second, it has been felt that before any plan is adopted there should be indicated the extent to which cooperation on the part of the Government may be depended upon to enable a proper study of the situation to be made. In order to explain these rather cryptic statements, a general review of the situation may aid. Whatever differences of opinion there may have been in the past upon the subject of bi-metallism or the establishment of a fixed ratio between the coinage value of gold and silver, it will probably be conceded that it would be neither wise nor expedient to attempt a revival of this discussion, nor to undertake to solve the question by the adoption of such a remedy. Issues of contro-versial economics must be avoided, if possible-political economics will destroy rather than assist constructive effort.