The spirit of democracy. [volume] (Woodsfield, Ohio) 1844-1994, 1854-02-22
For the Spirit of Democracy.
Money and Currency"
NUMBER III,

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Mr.. EDIToR-In my last number, / trie
to show the effect that a return 10 an excl,
sive metallic currency would have on o,
State interests, and on our public improve
ments, generally, if my deductions wer
correct, and think they were fairly drawr
from the materials under consideration
The subject is only begun. The grea, evi
is scarcely commenced to be told.
However much ssOhio,'' or any one else
may hate Banks Of circulation; it will n
doubt be conceded, that they are general
owned and controlled by men OF wealth
who have their means mostly in money
ne same may be said Of banks of dis
count and deposite-private banks an,
fbrokers. Strike out of existence, then
every paper dollar, and return TO an ex
elusive gold and silver currency, and
would ask, who will be benefited so ,mucl
as these much hated banks, and bankers
Would their capital. be diminished in III.
operation? Not a farthing. Their dollar.
and cents would remain the same, with thi.
simple, yet important difference only
their value would be doubled. This would
be a splendid operation for the capitals,
who has his means in money and good
bonds, such as bankers generally take.
But alas! at.whose expense? s"Lettoilino
millions answer
"Amongst many doubtful and uncertain
propositions, one truth is plain and GER
tain:"a Thatis, as you increase the value
Of sle capitalists money, aby making
money .ssarce.,'' in the same proportion
you reduce the value Of the poor man s
apd labor. Let us then, in dem
onstration. Of this very plain proposition,
suppose very plain case. Mr.. A, wishes
to purchase a farm which is held at $4,000;
he has but one thousand Of his own, so he
applies to Mr.. B. or to "Ohio," as the
cssse might be, who We will suppose 10 be
a capitalist, for loan Of $1,000, which he
gets agreeing 10 pay. in one, two, or three
years, with interest-'.Ohio" taking in the
mean time a lien on AS land, to secure
the payment of the money. A. purchases
The farm. H. the. mean lime =, :,
theory is introduced-the circulation cur
tailed one-half, "money made scarce y
and consequently its relative value in
creased one-half; but the price Of labor
falls. produce falls. and the price of. AS
farm falls to $1,000; everything falls in
price, except money and claims. A. has
been thus baffied and disappointed, by this
iepreciation in the price OF his labor, and
and the $1,000 borrowed. falls
iue, with lille or nothing paid on it,
Ohio then steps in and closes up the
taking the land for the last pay
nent, or the $1,000. which is then lis true
'elative value in cash. Thus A loses his
$1,000 in the operation; but the capitals,
makes $1,000. Here we have fair prac.
ical illustration Of the doctrine of increas.
ng the relative value OF money and cred.
Is, by making money scarce. No one viii
TO say that the above case is over.
lrawn. Nine out of ten of all the farms
purchased in the county, are bought upon
his principle, but mostly, the seller Of
he farm is the creditor; which does no,
II all alter the case. VS..
How much do you suppose the citizens
II Center township. embracing few 9TH
RS who do their regular dealing in Woods
ield, are indebted to the merchants, me.
lawyers and physicians Of the
own Of Woodsfeld? Ask any Of your
'hrewdest business men, and see if their
estimate is under City thousand dollars
most likely over that amount; and it must
'e recollected that the weal,hiest portion
# the township, owe but little OF this
lmount. do not refer to Center as an
solatea case, by any means, for it cannot
'e supposed, that it would in the slightest
iegree suffer, by comparison with any
'ther portion of the county. How then is
his debt TO be paida Would the attentive
md sharp.sighted studento OF poIiticalecon,
my reply, by reducing the price of the
'oor mans property and labor? Such
eply, from a lawyer. physician, or mer.
'hant, might subject him 10 the imputation
# selfish motives, which would be increas.
ID possibly at the present time, by the high
'rice Of breadstuffs, however unjust such
IN imputation might be, Then, us writer's
m Political Economy, who are generally,
and no. ,producefs, should be
'ery careful, that we be not only innocent;
n our designs and intentions, but thar we
maintain position entirely above sus.
,ieion, s & 49,.
II the above indebtedness, TO the citi-
'ens Of the town Of WoodsGeld, be in the
lelghporhood Of correct. the indebtedness
II the producing classes in the county,
nay be SET down at, not farsfrom $3.50, 900,
distributed perhaps amongst three-fourths,
- NrxarR y