American union. [volume] (Morgantown, Va. [W. Va.]) 1855-1859, 1857-12-25

laws must depend maiuly, ifnot entire.
! ~ up"ntwo questions:
lst. Supposing the parties to stand
on equal terms. and the bargains which
they make to he general, perfectly fair
as between themselves, is il. OF is it not,
for the interes, of the public To allow
money TO be counted as metchandiss,
and bought aud sold at any price the
parties may choose TO stipulate1
2d. Do the parties in general meet
on equal terms, and are the bargains in
the absence of the usury laws, as fair
as bargains usually are in relation to
merchandise ....
The answers tn these qnestoins de
pend upon the distinction:
lst. That money is the creation of gov.
ernment; merchandise Of indisiGusl in.
dustry. Its origin is. sheiefo,s different
Cd. That the object of government,
in creating money, was rs currency for
the convenience OF all whereas, The ob-
iect of tho product Of individual indus.
try is the advantage Of The individual
alone. .......
Sd. That the title of an individual to
m erchaadise is aGsolxte; but that his
title to portion of the currency is qual-
fed, he having no legal, at least no
moral right To perrert the Object of lis
creation. .
4th That money differs from al! mer-
chandise in the po,osr which is insepara-
BILE from it; tha, this power was con,
ferred upon il by government. and that
it is the right aud duty of the govern.
ment to see that power impaired for
the general good shall no. be perverted
to she injury of the public.
5,b. That this power is he necessa-
ry consequence of The character impor
sed upon it by government money be-
ing the only instrument of exchange.
and therefore indispensable to The busi-
ness of all. .."
9th. That money being generally in
the hands of the few, the facilities for
creating an artificial scarcity are much
greater Than for creating an artificial
scarcity o! merchandise.
The abolition of these laws will raise
! the rate of interest. This is proved.
not only by experience fairly stated, bot
by the fact that usureIs do not now AXE
less than the legal rate, but are con.
stan,ly trying to rise above them
They say this is to pay for the rlsk.-
But if SO, 10 what height would they
go, iftherc were no risk ? Free krGde
IN m0ney does not lower interest, but
will utterly destroy free trade in mer-
chandise. Only by usury laws can reg
| nlnr 4, do ha ,,rn,n.t,l S,n,,,l.,.,,
toW pay rates that regular traders can.
not afford. When the Insurer says his
money is worth to-day twice what it vas
yesterday, the answer is that, if this be
so Of tho principal. it is so also of the
interest; therefore the rate need not
be raised. II does not follow, because
the value Of the principa! is, say, doab-
led, that therefore the rate Of interest
should be doubled because the value
of lhe interest being doubled at the
same time with that of the principal,
Ia double also the rate would be, in fac;
qnadrupling interest This proves the
necessity of fixed standard for the
pricc Of money to which other prices
must relate. If the price of merchan-
disc aud the price Of money be both
allowed to fluctuate, relative worth can
not be ascerlained. Money is the yard.
stick to merchandise, aud its price like
Tho length of the yard.stick ought to be
fixed. Nor does il follow because III e
price of merchandies fuctuates above
and below its true value, only within
certain limits, that such would be the
esse with money. Such an idea would
be fallacious, because the demand far
nancy is dlways continuously, diSproPor-
Honately greater than anything else.
| Whether in tight or easy times, the de.
maud for it is always beyond that for,
ever ything else, and thus it's worth is
not equalized by alternate cou,ractions
and expansions.
Again, if there is to bo free trade in
money, it mus, be free for all-fpr
banks along " ith the rest. Bot if banks
are TO take whatever interest they can
get, can the people bear it?
England with all her vast debt con.
solidated at fixed rate and controlling
the limit Of invesiments-- with sll her
vast competition Of capital with her
policy now to raise rather than lower
the rnte ofinterest, directly the reverse
of ours--witb al! tue money fayoiing
institutions, also directly the reverse of
ours--snd with the aid Of her vast Ma.
tional Bank, controlling osurers more
eHrctually than statutes can---stil holds
To her usury Jaws. Shall wo then re-.
peal ours
The experience Of ccDtutics having
proved that the use Of money, like ev.
erytbing else, has an acreage, though
fiuctuaing, value, that average should
be the measure Of its value. Let this
be done in order to ix normal rea
lion Of things. IL may bc done by law,
since money, as the creature oC law, not
IL. -. IL ( =. IL