People's Pilot, Volume 3, Number 46, Rensselaer, Jasper County, 4 May 1894 — THE MEXICAN DOLLAR. [ARTICLE]

THE MEXICAN DOLLAR.

Why It I« Desirable That It Should Be Coined for Use In China. In China the Mexican dollar is the unit of value. When China first opened her ports to foreign trade the Mexican dollar was the first money introduced into that country. No other coin has since been able to replace it. Our trade dollar was coined with a view to supplanting the Mexican dollar in China. England and France each adopted a coin for the same purpose but they have all proved failures. China still holds to its Mexican standard. The old Mexican dollar was stamped with a cactus, the eagle and a snake. A fir years ago the Mexican govern-

ment improved its design, omitting the cactus and snake, bat the Chinese repudiated the use of the new design and Mexico was forced to resume its original design. English, German, French and American merchants have to procure Mexican dollars for use in their trade with China. Gold will not do the work, and frequently the “snake” dollar is at a small premium in London because of its exclusive Value as the standard in China. The mints of Mexico are not able to coin over 25,000,000 of these dollars annually. It is believed that China can and will absorb many millions of these coins if they can be supplied. With this idea in view a proposition has been submitted in the nature of a treaty to permit the United States mints to coin Mexican dollars. Mexico favors the plan, and many American merchants foresee increased trade with China as a result of this plan. As China is not much of an importing country, but is a perfect sample of a nation apart from the rest of the earth, the only product we can exchange with them for tea, opium and other of their productions is silver. It is thought that this movement on the part of Mexico will force European countries into recognizing silver more liberally. Mexico is sadly embarrassed in meeting its interest liabilities in gold. If England should be forced into accepting silver coins for the Mexican debt, it would be of great commercial value to Mexico The Chinese wall, which excludes everything foreign, enables that country to sell its surplus for money. If it produced exclusively many of the necessities of life, in a few decades it would have all the Mexican coins on earth, unless American and Mexican mines produce and coin silver as fast aSjChina could produce its surplus necessities. China has no currency of her own except subsidiary punched coins. She coins neither gold nor silver, and the Mexican coins sent there are not recoined into Chinese monev. nut are retained. The balance of trade is always with that nation, so she never has to send out money. It is believed that China will absorb annually all the Mexican dollars our mints, with their present capacity, can produce. Mexico has consented to the plan, and it only remains for this country to ratify the agreement.—Topeka Press.