Free Silver Movement

Late-19th-century U.S. political movement that advocated unlimited coinage of silver.

Proponents included owners of western silver mines, farmers who wanted higher crop prices, and debtors who believed an expanded currency would allow them easier payment. A depression in the mid-1870s led to an 1878 law requiring the U.S. Treasury to purchase millions of dollars in silver and coin it. After farm prices rose briefly, farm and land prices collapsed in 1887, reviving the demand of farmers for free silver. In 1890 Congress again increased silver purchases, and free silver was an objective of the Populist Movement in the 1892 election. In 1893 the amount of gold in the treasury dropped sharply, precipitating a panic. Congress repealed the act of 1890, angering farmers. In 1896 the Democrats nominated William Jennings Bryan for president and backed free silver. The Republican William McKinley narrowly won. In 1900 a Republican Congress enacted the Gold Standard Act.

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▪ United States history

      in late 19th-century American history, advocacy of unlimited coinage of silver. The movement was precipitated by an act of Congress in 1873 that omitted the silver dollar from the list of authorized coins (the “Crime of '73”). Supporters of free silver included owners of silver mines in the West, farmers who believed that an expanded currency would increase the price of their crops, and debtors who hoped it would enable them to pay their debts more easily. For true believers, silver became the symbol of economic justice for the mass of the American people.

      The Free Silver Movement gained added political strength at the outset because of the sharp economic depression of the mid-1870s. Its first significant success was the enactment of the Bland-Allison Act in 1878, which restored the silver dollar as legal tender and required the U.S. Treasury to purchase each month between $2,000,000 and $4,000,000 worth of silver and coin it into dollars. When farm prices improved in the early 1880s, pressure for new monetary legislation declined, but the collapse of land and farm prices beginning in 1887 revived the demand by farmers for the unlimited coinage of silver. Congress responded in 1890 by enactment of the Sherman Silver Purchase Act, which increased the government's monthly silver purchases by 50 percent.

      In the years immediately after 1890, a combination of pressures sharply reduced the amount of gold in the U.S. Treasury, precipitating a panic in the spring of 1893. Conservatives charged that the Sherman Act was the cause of the panic, and in the summer of 1893 Congress repealed that act. Farmers in the South and West condemned this action, blamed the greed of eastern bankers for the depressed state of the economy, and resumed their demand for the unlimited coinage of silver. This had been an important objective of the Populist Party in the election of 1892, and in 1896 the Democrats, despite strong opposition from President Grover Cleveland, made unlimited coinage of silver the principal plank in their platform. They then nominated William Jennings Bryan (Bryan, William Jennings), the most effective champion of free silver (see Cross of Gold speech), as their candidate for president. The Republicans won the election, and in 1900 a Republican majority in Congress enacted the Gold Standard Act, which made gold the sole standard for all currency.

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