, 1869-12-09

lNt LNWVF " tFt kalCVYo 4TVVTHfs !
il there not sone m,sconespuon prevailing ~ 1,
the 4dvanttge Of what il called "tacreasiog |
q purchasing power OF the Currency -. Con. l y
actiop Of the circulation Is not usually res ardel =
. favorable condition OF atTstfs, but We ire. =
.crtIJ rrtet with lamentations over the snall :
,rchaslng rowcr OF our national c1ttc1cy, aud
1sett!ots whereby that power may be lncreaeed :
It us endeavor to ETC What this really means | !
the EIkt Place the phrase "rutchaslng power" /
ltablc to he nnundesstood. ~ E1caapge" or ] ,
transt9 powe1" would mnch more t1u5
escr.bc the true function and use OF money. To 1
seet exchanges Of values and 10 pay dtatt, which
only rhe pcrfectrg OF exchanges not already |
omp1ete, u y hat money w2s made fos, aud all |
hat, a. aoneE. Il has capacity TO perform. Alu1n
ho has yoke Of oxen and wanta four cows Id
lead, usually stlA hts oxen 4. e, exchanges OF
Auerz them for moneJ, and PURCHASES the cows
[ Z, bsrten OF avoEs hlz money for them}. The
pterpoairou OF money in such a transaction
conont Ees time and labor, but An cxchangc Of a
oke Of oxen for four coHa ia what has really
aEcn place.
No matter what kind OF : currency We
FAY haye, It's purchasing OF exchange power
iepend3 On the quanttty IN circulation |
rnta ia u true OF . currency exclusively |
u coin 4s OF one OF ereenaasks and Ea
aotal Bank notes. In tho exsct proportion
OF the lumber Of dolla1s In circulation 10 the
4LQEQQt VI EAEAA4&E4 " LIZ GA(AhpA NJ hOAf |
lars win be the purrhasing po1sr or exchange
ralce Of every oue Of them. The currency Of tbs
United s,ates uust be regarded uow asa ersdn
one exc1ussveaJ. Practically ,gold aud Elvef form
60 palt OF It, but are quoted on Change like nouF
or cotton We do not talk now Of "paI1Rg"
but Of "de1lscrtng gold. and what ID sometimes
called the STANDARD ot value ID itsell boRghi \
AID SOLD, and rcaponds 10 The mantpulatlors Of |
rpcculators with II much a!AcntY As laucy stocka
T,v$ MI at1veF adt
UNI exclusively, We shauld hear nothing abont In. !
creas.r its purchasing power, because everybody |
In such , ca4a would at once sec that tncreaHng
the l+sreho4in3 otetr OF coin would be tantaroutt
TO decreasing the ssgin5 portT OF everything cl4e
CompalI.ons dlsadyahtlgeous 10 CUR credit money
are ihAitlted by allowing that It II less valuable
than gold, but, when this Is suggested, 1t sho7!u
not be forgotten that the st'n9 pesssr OF al COIL
mc4Iaies is precisely NJ much greater with oar eI
.sllng currency Al the purehastng poKtv Of that
currtrcy Is 1eas than that OF gold.
The only possible Hay Of Increasing the puf+
chasing power OF any Kind Of currency Ia In some
way TO decrease the Eelliug power Of everything
else But ceiling power and purchasing power
are resily convertible terms We
buy money with wheat. lltt a.
much ~ We buy wheat with money. And We
have Just as much right to talk OF The purchasing
porer OF everything We have TO sell % o;sse pur-
N4eAAibA &''-N- a. -
bought.
But certain commodity, 81 70 row the Gaze
with wheat, may dccl,le IN selling power IN con-
aeouepce OF it, great real or supposed h5lpdanc
IL the relation Of the currency remainB the same
IN regard to other commodities, We ray safely
SAY that The selling power Of wheat has declined
1nIher Than thst the general purchasing power Of
the currency has increased. but. tho acsua!
| nrrcbase power of money ta Increased It viii be
SHOWN by a general decline OF prtce over the
vhoIe l,tt Of exchaueeab,c ysIues. THIS eau only
h. affected liz a tttmInu,,op in The PROPORTION OF
thc currency to other v1lues. whether It be
cau-eo by contraction OF money OF an Increase
| n me 1nlure Of The etchao1es TIC mere *.
change roxer Of Eoney, whether greater or }ess,
IL Q. vc1y little consequence from thes.mple teason
tha, hat Is lost In buying Is exactly nnadc up IN
selllrg. Asler credit: currency has been Ia nse
| long enough {lIke ours ct this time, Il
| have axepu ed weY-elsablIshed relations 70 the
things IL hsS TO exchange 10 great practical evil
results from ,ts yalue bciog less snan tha. Of eol
Eyrr7upe makes the proper allowance, When
he sc.1s he knows he dsis upuuaI,y more and
! WHEN he nu9s thst he 1aet uon.ps11y mort
thau If the currency were gold and silver coir
but The net result Is about Inc same. lie gets tnt
same amount Of what be desires to consume out
of the su1p,us he bn4 produced under the Ont
crrteney Is the otner and that Is all he desires,
very important modification OF the purchas
frr mower Of money Il IL deb, passing power 1
| hss heeu a uooted question auuuR polIpcs
| econom,sts whelher money could he considered
the ..rneaaurt of yaluc." There eau oo pou,
at all af,ou. its being the e.ae. ,seasuye o. debt
nrhta m. ns,ap,e In The last resort on,y In ID
iecai-sen6er OF The couptrs. and The evl, Of tan
nrrlce with The amount Of crt7epcs, whe,ne, b
ernnn.,on ar contraction. ls the interference
cansca with existing coutrac:s or Gehe. Ne
rsho Brc out nf dcbt sre yery little lroub,cl VII
. | cnr1ency dtfncu,t.c1 They can A,wars rtotee
thrrn.e,, es hy not selling their sul pus mill the
: are ready to boy what they need, In other word
| thcx NEED ereo nm money o. hand 10 b. n1ecte
{ ,y nuctua,,ons.
,t, ~, .,~ ..-u.,h.,e ,.x+s,e
~ ~ u U9 " w. ssn $3.50 .
i soa.' nousa ~ pu.sna.ae ~ su"I 80. s ss.s..
!. ~ hs aeos p"s ~ lo"ss - ~ ss- an ~
aeu ns1: so,u u's 10Y ~, ~ ~. ~, -. ~ =.
nouAl .e.a - ~. 80. 49, r.,
i nols .ss. ,.s,nc ,,snos.r,n.s. =, :, -,
.sa,r r,,rsn.y ~. IN ,he,v rrodnrf. AMI tne
:. ~. , ,.saa,, ,,,,.ar 1o,,ous ~. s,ms,.v Al
u .eoat's f f.,. -, ,no,r 1,.n,.cx,s,
,..s,t, ,ns,s s,I1,,v - nav J.,,. II fh,rrfo,
,ra.aas', ~ rr,rssst.r nos.r in ~. cn,ten
!! ~ ~....e1 ea,a noxa, n ccr,r,n nH,t4,
|" es. -. ~ ~" ~ a., .,n.r,no n,wsr, IN n
" n.e.as.+o ~ NO ,nod,csr ~ Hose ~,
saI,,.as u-h.n tAs,s Ia a ,tin,n,.hcd ac,,,
'. 81 , -. .,aS.s., ~ ,f no nTtr,,r,,,r,
~ 49,. -. ,..,r. +en-. l. .on,a co7,nentat,on I
:. ~. =, ra,.s h~ ,nc4cn.. ~ nnantI,y A.
ss,,z ,n.ss "a M -.,,eov.r II ~ ror.,dere,
~ m,sfo,tnne Rrt hefore men voluntarily surrt
der uar1 OF tte,s poYe, 10 pay their debts, Ct
h.. t,netfd In al, honor and fscod faith. under
ne | speciou1 pretsxt Of Increasing TIC porchas
at mower Of The currepcv. 1t Is well for them 70
.D ! asrstsnd nret.sejy xlIas ther art about II ,
" certainly a srsaS wrong when debts coutrac
re nnt+r a spccle. has,s currency were allowed 70
cn na,d az IN prcenbacts. without regard 10 TIE
~ ian, NJ ,hair drn- -scntiou. Do, xonc people :,
m " eeem 10 imagine tha, reversing the procasa
~ rn,one;,,re atbI, contracted under an expaut
m currency 10 be paid with contracted one
.e- cure the evil then done. II is just a. likely,
II ever, that those xho we're Injured oy the exp
sion Ena5, from the ser3 ehange oI c'rcu+nstan
causcd by the losses sustained. be Tue o3ea
rppy be utterly ruined By coltlactloa- Their
,sv no tonb. shst sny d esp!ta!lSs now YEA Al
most hopeless debtor before the suspension,
,,,,. thot uAny now in deb. were brought into
.rh condition By the effects Of having been pstd
rim | our dep1ec,a-cd currency IN eves3 xach
contraction would only complete the rntn r
~. expau,ton began But, without going 10
= - back, We MAY safely eouclude that nore I
49,. ntuetcnths Of exciting in,Icbiedn hBs !:
s. CONTRACTED under the rrcsent system Of cure,
|AA and tta, no ta1u.ttce can hAppe2 Il II be aei
of IN the esuae, While severe ossea ~oala oc ents
~ Il. by contraction, m attempt were mad
~ bring the purchasing powe. OF cur currency
~ mar v itn thai OF cola.
~ 7, s,rma 10 nne Mr. Editor. taat uo.h,pR l
WI rrtrea rg,t = 1it,le raueuoe unless II ca
.norn 1th,ns II cannot tnas orr cutreu
- | ,h.sre.ra nr ,nntetfnr 1nasra on ot1f trxde
n,n. nrnduc,,nu 40 sertons A to csll fnr 4 reuaes
~. @ ~ nny.nt,' VI can ve1, a1ord to wa.s TO
e ~, 60. =, c.,e.. rnr IN onsrannn IN rne A
~, - vneh a,,,,.a ~ ,nn nv.t n,.re