Weekly national intelligencer., 1851-05-03

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ria without the intrinsic value there is not and there
any money for monetary value is nothing else than
value OF the material Of which il is formed The auho
answers according % the principle of supply and demant
not the intrinsic, that to say the metallic value of h,
pieces that confers upon them their monetary value III.
two values, although united in the same piece distinct
since the which determine them are also distinct
Gold and silver metal aiy other wants than gold and slve
money 40 nus the metallic value OF the coined pieces hav
ing another source than their monetary vaue one Of thes
two values can be superior inferior TO the other In fact
takes place in regard to copper con and even in
gold and silver when the causes that maintain these tw.
values at the same level are removed. The English silve
shilling Is worth more than the bit Of metal Of which il i
formed, because the British Government coins shipgs on,
| in the quantity called for.
On the other hand gold sovereisns are worth as much
the metal which they contain, because every one free
coin ngos into money, melt down and convert the mo-
ney into ngots that say that as soon as the
value Of the pieces raised lowered relatively to the value
OF the metal which they contain, private interest," which
watches over these variations in order draw profit from
them re- establishes Immediately the equilibrium by buying
the ngots to convert them into pieces money or by melt
ing down the money to convert it into ngots By the frs
Of these two operations augmen and by the second il d
mnishes the amount Of money circulation and thus brings
back by making the cause OF its variation disappear the
value OF The money to the level Of The value of the meta
contained.
is this almost constant equality of level in the two value,
existing conounded in the pieces which deceives
minds and makes them believe the monetary value of the
PcCco eHecuOu OF the value oil the
tai they contain and add that this cause Of deception
is to be added another, abstract and difficult
seize hold Of which lends the Just noticed greater
appearance Of truth Il this The utility Of products is
independent Of their value. Money d the ony exception to
this maxim its value, the contrary, b the principal eIe-
ment Of It's utility wheat given by Providence as
air without and without labor, 1t would have no
value, but nevertheless would preserve it's utyhe pro-
perty OF furnishing us with smen if money should lose
It's value it would lose the time all it's uility that s
10 say il would be money. From thence il is con-
cuded that value should preext in the thing they wish to
employ as money and in other terms. that objects which
have no value cannvt fulfil the functions of money serve
in its fabrication.
The author thus answers to this specious objection In
state OF civilization but little advanced where social ideas are
but little developed where the need of money commences
scarcely to make itself e when exchanges take place only
for small number Of products, each family making for isa
the greater part of the things demanded by wants. in such
state Of civilization would be perhaps difficult to employ
as an intermedum of exchange any other thing than pro-
ducts having value For when society in it's infancy there
exists no political institution which be charged with the
general interests OF the community, which be commits
soned to act in the of ALL and things needu
to ALL and whose creation of the power of each one in
dlviduay Not only material things as roads, public edi-
hces harbors &c. but things Of moral usefulness the sd
mnlsfaon OF justice the public force, worship, &C., belong
to q civilization more advanced.
The money is also Of these creations which have de-
voved upon the power which represents society and if it be
recognised that certain material which has no value posses
ses meanwhile to eminent degree other qualities which
render proper for the composition of money more perfect
than that fabricated from material having value it not
dlhcut to give it the lacking quality, value, the indspen-
sable element Of all money To monopoze the fabrication
OF money 10 make the exclusive attribute of the Govern
nen is sufficient 1t is certain that Government, having the
sole fabrication of money it issue only in the quantity
called for by necessity, and the money which fabrcaes
all the other qualities which render proper to serve
ntermedium Of exchange, of necessity shall be in
demand, and consequently have value, In the actual
state OF civilization societies one can renounce the
Of money order exchange things which he
against those which be needs
One proofs they that The value
OF money is nothing but the value Of the metal Of which
formed the poweessness Of Government maintain
the same height the value of pieces after having altered
their weight Of their standard is not the author
Of Crises the alteration in weight in standard which has
lowered the monetary value Of the pieces but the increase Of
the number in circulation II this number has been main-
aued and the other economical circumstances Of the coun-
try had remained the same, the altered money would have
preserved its primitive value. In every country the
Of exchanges requires the employment of certain quantity
OF monetary value just the transport of an inert in
given time requires the employment Of given quantity Of
force Suppose that in order to effect all the payments
which the pecunay transactions give se there be
sary in all monetary value equivalent the value of ten
millions Of hectores Of wheat, it is evident that if this
value be divided into hundred hundred millions Of
units the value OF each unit shall equal in the FIRST case the
onetenth, and in the second the onetwentieh of hecore
ary units thrown into circulation the greater shall be the de-
in value Of The monetary unit although the total value
remains always the This truth is confirmed by e1pe-
ience.
In 1910, according to Jacob, the amount Of currency in
England high orty-eight millions Of pounds
ling in 1914 high sixty millions and in 1929 it was
reduced to forty millions Well, the forty eight millions in
sl0 the sixty millions in 1914, and the forty millions in
1929 represented at these different epochs the value
value about equal to that Of ten millions of ounces Of gold
the accomplishment of the transactions of the country de-
manded the employment of this monetary value and if the
Of money in circulation had been reduced twenty
millions, it also should have value equal millions of
Of gold. Now, if be a.ked what the value Of
the monetary unit the three above mentioned epochs
propooned to the number found to be in circulation. In
lSl0 Al pounds sterling must be given to buy of
gold in 1914, 81; and in s29 and $40 are sufficient
Thus the author concludes that Governments which have
altered the weight and standard of money have not increased
the number of monetary units which in circulation their
value would remain the in spite of the alteration But
those Governments which have had to this means
only procure extraordinary in times of poverty,
have put again into circulation the quantity Of metal
divided into greater number Of coined pieces by which the
value of each piece must necessarily be diminished.
Third objection. How State, adopting money Of paper,
would be able to regulate It's accounts resulting from its
nercal Tela ions with other nations.
Always observes the sutho by Of gold and silver,
which be regarded international money, and in the
that they regulated now, when these metals
the monetary material Of every nation
draw Paris for TO- 600 francs is worth in London,
par fifty kiogrammes of silver 9l0 fine hee cphers in
dcae the weight and standard Of the silver contained in
pieces Of franc. Then il would have the value
600 francs Of this money bought equally in the market Of
Paris fifty kos Of silver Of 10 ne Seeing that the
value of the money paper Stree from variations which the
value Of the money of metal exposed the exchanges of the