The evening telegraph. [volume] (Philadelphia [Pa.]) 1864-1918, 1866-03-13

of these values by changing the nominal value
of the metallic currency, it does an iniquitous
and absurd thing as Law himself clearly de-
monstrates in q memorial of l7l5 When the
State creates paper money, 1t creates the sign
of real estate, or other values which the paper
represents; 1t does not create new value. The
idea that the State creates value is a allacy OF
the iegists of the Middle Ages: it is by this So
phism that they justified the royal corners,
Philippe the Fair and his imitators.
"Paper being unable to be the equivalent OF
specie, its compulsory currency is therefore q
violation OF economic laws; II this violation may
be saUtary in certain cases, IL is ike all those
measures of public safety which violate certain
laws in the name of higher laws; 1t is economy
yielding to policy; 1t IS obsidional currency; 1t
is the OSSi0nOt imposed as sign OF solidarity on
all the children OF the country in danger. There
are heroic remedies, which we renounce as soon
as we return TO normal state, ana Whicn are
weapons OF war, and not instruments OF reform.
"The compulsory currency OF paper would not
have been necessary II the project OF the bank
and the general company mad been completely
realized. In an association OF this kind, every
member must receive the paper emitted by the
society," Now, the whole nation, tn whole state,
being associated, the paper would naturally have
been current everywhere. This idea of nation
working gs a single man iasclDate9 the imagina-
ton, but appals the reason. Suppose that indi-
ydual liberty, the principle Of all progress, could
preserve its play in such mechanism, what hands
could ever be strong enough and wise enough
to regulate all the movements OF the colossal
machine? The first part OF the sytem-the State
a banker-ap1als US less than the system COM
plete.'
Hero, too is a striking picture Of the mania
which possessed the people of France at the time
when Laws scheme was most POPULAR
RESULTS OF uFLAT1oN.
''Who does not know by tradition that narrow
and dingy Rue Quincampoix, the centre oil stock
iobbing, with its thousand offices, whittier, tor
six months, rushed and thrOnged all Paris, all
France, and all Europe; where ranks, sexes, the
different orders of state great lords and prelates,
military men, members OF the bar, officials, mer-
chants and clerks, masters and Wallets, court
ladies, and women of the town, mingled to-
gether in one long saturnalia 1t was the
equality of cupidity, the equality of play.
And what play Unheard-of fortunes were
made there in few days; in few hours.
Lackeys, enriched by a turn of the hand pur-
chased the carriages behind which they had
mounted the day before. There were men VINO
carried in their pocket-books sixty or eighty
millions worth OF shares at the market rate
Two classes OF persons had the principal part IN
this wealth, improvsed as II by talry's wand
the great lords and the farmers OF the revenue.
The cupidity Of the princes and higher nobility,
the baseness OF the couliers before the Scotch
Plutus who showered down stocks and bank
notes from his hands, were equalled only by
the display and prodlgalitY of the pdTUeRus in
tOXicated by their fantastic elevation. But the
public, wholly carried away by the irressti-
Die Impulse, scarcely stopped 10 lnOrdllHC, EHCn
day witnessed the arrival at Paris Of streams
of holders of renteS and officials, whose offices
had been redeemed, fastening to invest their
funds IN shares; merchants who came to watch
the fiuctuaton, TO profit by it for their trade, or
TO plunge INTO 1t on their own account; foreign
spectators, imitators curious spectators, adven-
turers, and intriguers. Luxury and the Ghrong
increased at once III an incredible ratio; tabu
lous sums were expended almost soon as
gained; travel was Interrupted by the immune.
rable multitude of carriages; gold and silver
elttered everywhere on apparel of silk and
velvet; the delights of LUcullus and Apicius
were equaped by tn e nliLiORGtTeS (it was then
that the word was created) of the Rue Quincam-
polk; iTcnZied and disorderly but nrodigiously
powerful impulse had been given to the commerce
and manufactures OF Paris. The concentration
of tie population was such from 1913 to 1920,
thai an historian does not hesitate to estimate it
at one million four hundred thousand souls
The impulse of Paris reacted on all France; the
amount Of manufactures increased three-hfths;
interest fell to one and quarter per cent"
There is something akin to this spectacle now
visible in our great cities; not so exavagant GER
tainly but of the same general character, and
arising IN great measure from similar cause.
Here is the story OF what happened afterwards
in France -
THE COLLAPSE.
July 10, Law obtained authority to establish
at the bank, and in all cities where there were
branch banks, books OF accounts current and
transfers 10 the aggregate capital OF six hundred
millions. This institution, so useful 70 com
merCe, came too late. The bank was ~ the last
| extremity; it was forced to suspend payment,
except OF the ten-ranc notes. The constesna'
| ton was profound. The people trembling lest
| the ten-franc notes should cease to be redeemed
IN turn, rushed to the bank with trenZied an
guish. StCC6-iobblng descended into the lowest
strata OF society. The pOrteTs OF the markets
turned speculatoTs, bought up the notes at dis
| count, and forced their way through the crowd
by main strength to the offices of the cashiers.
| They fought; they were stlilet at the doors;
| many peIlshed. Three cOrpses were carried 10y
| the people before the windows Of the Regent
| The carriage oC Law was tom 70 pieces ia the
| very courtyard OF the Palais Royal Gully ~.
| The shares, meanwhile, had fallen 70 five thou
| sand francs in notes, which was no longer equal
| TO TWENTY-FIVE hundred francs in specie. Every
| one strove TO rid himself of the notes in any
manner possible; merchandise seXtupled IN
| price"
| The political events of a remarkable period o
| French history are narrated by NJ. Martin witt
| singular clearncss and force, and with few ex
ceptions the American translator has preserved
| the spirit of the authors conclusion; but th,
| charm of these volumes lies in their vivid pic
| tures of the intellectual lie OF the time OF Vol
tare, Montesquieu, Diderot and Rousseau, anC
the influences exer.ed Wv the writings of mel
who stirred Europe to a sense of tn e value 0
| IDEAS.
Walker, Fuller q Co. are placing Martini
| work before the American readers in an attrac
tive form and at reasonable cost. Their edition
is published with q careful regard to the propri