Bradford reporter. [volume] (Towanda, Pa.) 1844-1884, 1865-02-23
8radford geporter.
Towanda, Thursday, February %, 1865.
GOVERNMENT MONEY.

in the catalogue of blunders, that have
misled the money critics ofthe newspapers,
sets forth that the present difference be-
tween specie and commodities generally, is
wholly attributable to the depreciation of
our circulating medium This is the blind
est misconception of all, and the least ex-
cusable For there is no better settled law
of trade, than that the value of a commod-
ity is regulated by the demand and supply,
and this is entirely ignored in this assump-
ton. Take, for instance, that of labor, and of
cotton. Wilt be contended that the absorb
ton of labor by the armies, would not have
advanced the price of that article without
any addition to the volume of currency? Or,
would cotton remain at eight and ten cents
per pound, and its fabrics bear the same
proportion in price, in the present scarcity
of that material Do these interrogations
not make manifest the inexcusable blind
ness of those who are writing against our
government currency, urging that its de-
probation has caused the whole advance
on commodities.
Mr. Brooks, of the New York Erpress,
who has been one of the leaders in this
TRADE against the financial policy of the
government, in some remarks made in the
Lower House of Congress recently, assert
ed that there was no demand for specie in
England during her memorable suspension
of specie payments The object of this as
sertion was, first, to make a point against
our government for requiring the customs
to be paid in coin; second, to show that
the law prohibiting spectators in coin was
imperative !; and third, to avoid the infer
ence, that as England would do without
specie payments, and at the same time not
advance the price of commodities, so could
ours But Mr. Brooks statement is far
from the truth. Coin was scarce in Eng
land at the time referred to, and it was this
scarcity which caused the suspension, and
caused also the flow of this article to that
point. The government required immense
toms absorb, and more than her customs
produced-to keep up WELMNGToN's army
III Spain, and to pay the enormous subsi-
dies to Austria, Prussia, and other king
doms in Europe where the Bank of Eng
land notes would not pass and she employ
ed the ROTHsCHILDs, and other bankers, to
procure for her by purchase, in all portions
of the continent, Spanish milled dollars
the principal coin of Europe at the time
in order to meet her engagements These
are outstanding facts ofhstory, yet editors
and congressman, will boldly declare that
during these trying times i'll England, there
was no demand for specie. The reason why
coin, and other commodities, did not ad-
vance to two and three times their ordinary
price, although they did rise to fifteen and
twenty per cent, was owing to three reas-
ons chiefly. The first of these was, that
there were no banks in England outside of
the authority of the government, that could
food the country with irredeemable paper.
The next was, that the law of Parliament
prohibiting speculation in coin, was strict
ly respected, the assertions of the uninform-
ed, to the contrary notwithstanding and
the last, and the most important reason
was, the absence of a heavy monied pow
er which opposed the governments opera
tlons, and the war she was waging against |
France There all were united against the !
common enemy, and all supported the gov
ernment, in word and deed. Herein lie the !
points of difference between our condition, |
and that of England at the beginning of the |
present century, and not as Mr.. Brooks
tries to make out. We make free to assert
too, without fear Of successful refutation,
the country with irredeemable paper, and
no enemies to thwart the financial opera
tlons of government, commodities general
ly would have had no advance beyond that
incident to the supply, and the demand.
But Mr.. Brooks alleges further, "that |
the Bank Of England Notes were received !
every where throughout England, creating
no demand for gold" and in the next SEN
tence he says, gold rushed into England
to pay for exports" So there was no de-
mand for gold, yet it was needed to pay ex-
ports with. How comes this ? If there
was no demand for gold, how did it come
to rush into England Will gold go where
it is not wanted? What a clear idea of
the laws oftrade this gentleman must have?
But he goes on to say, that England, at
the commencement of the war with France, |
had the carrying trade Of the world" The |
object of this statement is, to magnify the |
specie income of England The statement
however, in only partially true but con-
ceding the fact in full, England did not, at
the time referred to, receive as large sum
In coin from customs, as does the United |
States at present, from the same source
and this fact materially blunts the point
Mr.. Books would make. He says, also, |
chat on the first of January last, our i'm
ports were as two to one, against our ex-
ports in gold and silver" We suppose that
by this is meant, that we buy more than /
we sell, and have the difference to paw in |