Gold Hill daily news. [volume] (Gold Hill, N.T. [Nev.]) 1863-1882, 1864-08-22
Eastern Capitalists and Our Cur

rency. "a
The following article from the AZ Is
an excellent answer to those persone nd
papers who, in this Territory and Cali
fornia, talk about "millions of capital
living at our doors ready to come in the
moment the greenback currency is adopt
ed: -.r-s ...r-. rT ttF~ 20
The decision of the Supreme Court OF this
State declaring the Specific Contract Act 70
be constitutional and consistent with the
Legislative Act, has not changed the desire
ON the part of certain persons to have tnat
law repealed at an extra session OF the Legs
lature, although it may have weakened thelr
hope. While all the presumptions are
against them, still to make assurance douoiy
sure, and if possible to throw addihonai
light upon questions which it is always wei
that the people should understand, we s1all
discuss the effect which the repeal OF the law
would have upon the financial affairs OF the
State.
Many persons have asserted and not few
misled by repeated assertions, sincerely nave
believed that the introduction Of paper
currency would be followed by vast innuS
of capital from the Eastern States Elk
Governor Stanford, in his last message 70
the Legislature, conveyed this idea. he
said:
LET us while faithfully meeting obligations
already incurred provide that in thu future the
State shall receive into and pay out q the Treas
ury, without distinction the Legal currency Oh
the country."-p. 81
That was very nice piece ofkdyice to be
given by retiring Governor VIII signed the
Specific Contract Act, and VIII refused 70
accept any of the greenbacks the state
Treasury in payment OF his salary, though
he thought they would be excellent for his
successor. The following is aHther extract
from his message:
"H.re In California the enterprise that would
develop our unbounded resources is checked and
repressed for the want of capital while the nee
essarv amount TO supply the deficiency is wanting
at our doors to have its entrance invited and us
standard of value adopted. "-p. p
1t is not strange when Governor makes
an assertion of this kind that somebody be-
lieyes, He says that millions of capital are
waiting at our doors ready TO come IN the
moment that the greenbaek currency Is
adopted. The facts in this matter are not
known to him exclusively, or by him better
than BY any one else. Official position gives
no new knowledge to Governor about the
general financial condition of the people.
Every intelligent merchant has an opporta-
nity to know as much about the point IN
question as Mr.. Stanford.
Claiming to know more about 1t than ne,
we assert that there are no millions waiting
When capital comes to this State, it will come
either to buy property or to be loaned out. II
is entirely plain to any man OF common IN
formation, that capitalist with $lOO,OOO IN
greenbacks can buy just as much properly
or can get Just as much interest here now as
If the currency were changed. 1t is the Iela-
tive cheapness Of the property or the dear
ness of the interest that induces purchases
and loans. If it were true that the green
back capitalist would bring his money after
the repeal of our Specific Contract Law
though refusing to come now-it Is clear
that the greater advantages secured TO MN
by the change must be at our expense. We
must sell our property cheaper, or We must
nav higher interest. II the foreign capitalist
gains we must lose. II his money is worth
more relatively, our land and labor must be
worth less. In this light the proposed
change becomes scheme to reduce the value
of our property. =,
The Ex-Governor proposes that we should
adopt the greenback standard OF value:
Does this mean ANYTHING? II it does, it
means that we should change our currency,
and then sell for dollar in paper the COM
modify for which we now receive dollar in
gold. If we could and would reduce the
value of our property sixty per cent, OF
course vast quantities Of money, whether gold
or ereenbacks, would come in to buy us out ;
but we should not be the gamers. We are
los;rnus oF HAVING lave IN benefit and not to