The workingman's advocate. [volume] (Chicago [Ill.]) 1864-1877, 1870-09-03

Icasss is-robbed che rich chiefly instead
&C d. SsaseeA Ia Sil7l paper money
was first issued by, authority OF an
European ,Governnent The RepobEc
of Venice being atiwaf made q forced
lean stf AL its citisens, inscribing the
anrou4rt taken from eacff in Bank call
ed the C1@mbsr Of Loans, and sgreeing
to pay four per cent interest perpetual
ly. The lenders received irredeemable
certificates TO seearer in sums to suit,
which we're found TO be so much better
and more convenient as money, than the
diverse and debased coinages of the
nations with which she traded, ~ at they
becane the chieflegsl tender money Of
Venice, and remained 30 for six hun
dred years, until the conquest of Italy
by Napoleon, when the bank persisted
by act of war. Aa.4 1a.l .
Colwell Up. $50 in speaking Of this
Bank says, e The facility Of payment
furnished by the Bank, which made il
the admiration of Europe, honorable at
once TO the Government and merchants
of Venice and support to the pride
and power Of its people, consisted in
substituting as a medium of payment
the debt Of the Republic for current
COIN" Like Venice, we were forced to
make part of the debt of the Republic
into current com, and our experience,
like hers, shows that the best money
people can have is a paper money sup
piled ny itself, and whish depends for
its volume and permanent character, az
legal tender, on the interest and faith
of the people From the date of the
established success of the Bank OF
Teni9e, coin has gradually ceased TO
be the actual money Of the commercial
nations, who use generally paper cur
rency ISSUED or authorized by Govern
ment. Coin being used chiefly rs mere
adjuster of balances of trade between
different nations and then only as bah
lion, because ofthe diversity Of Nation
al coinages. aiE8l -.l- 41 H
1t Will be argned that these Bonds
and currency. will not answer these
purposes, because neither redeemable
nor drawing interest in coin. Is not
the present currency the best We ever
had, though not in fact redeemable in
coin ? In two-th:rds Of the civilized
world paper money not releemable IN
coin is nov legal tender, and in effect
the sole currency of domestic business,
TO with the United States, France,
Austria, Italy, Greece and Russia. II
our Government were to adopt the pol
icy Of always keeping out unredeemed
the present circulation as legal tender,
it would not impair its value. That
value depends, not on any expectation
Of getting coin for it, but on the faith
that the Government, while 1t retains
outstanding, will always keep it legal
Fmcrey, thatit can pay all private debts
and nearly all public dues, and be ex-
changed for anything for sale through
ont the country, and ifa new currency,
with cOmploter money powers, were
put in it's place, with the pledged faith
of the Government that it should al
ways have these powers, would it not
be worth, at least, as much as the pre-
sent currency But it will be replied.
it's volume will be 50 great that it will
not bring as much gold IS other pro
perry, dollar for dollar as the present
currency Perhaps so any large in
crease of the currency will raise for a
time the money value Of gold, and Of
other property, ana by that increase,
without reference TO its effect in reduc-
.ng interest, creditors will suffer as
class and debtors be benefited. That
is all the injury TO any body from the
change. The reduction Of the rate Of
interest will be brought about largely,
however, not by the increase OF the
currency bat BY the fact OF the adoption
Of a settled financial policy, giving
stability to business and greater activ-
ity and effect TO the circulation, which
now is drained from the country o.
WalI-street TO speculate on the fluctnAs
tons which its scarcity elsewhere pro-
duces, and with this greater activity Of
the circulation, its increase under the
plan proposed would probably stop at
about our per capita circulation in
1865, and prices generally go up TO
about the figures Of that year. But it
will make no difference to any body
what may be the amount Of currency
which will be preferred to the three per
cent. bonds, and therefore kept out
standing, except this, that the more
currency afoAt the less bonds, and con
sequenty less taxes. The volume viii
never be so large that it will not pro-
Y 1roa thrna nHaRoolf ~ inf
| by conversion into permanent bonds,
and much more than that in ordinary
investment. Every bond will yield
three per cent. Of that legal tender cur
rency which will be the sole measurer
and exchanger Of all the values Of the
land, and may be conve ted into it at
par whenever the holder WISHES. Ii is
\ impossible for any man to show in
what respect this currency and these
bonds will fail to perform their respec-
| tive Offices, at least as well, in every
particular, as the coin and consols Of
Great Britain.
The adoption of this system will
awaken and develop every productive
energy aud resource of the land. Taxa
ton will be reduced by the reduction Of
the interest of the public debt, produc-
ton and exchanges Of all kinds in
which credit enters will flourish, be-
cause of the reduction of interest and
taxes, and the increased stability of
credits; and though as q result Of the
Improvement in production and trade
some men may make more rash ventures
than usual, yet we shall not suffer rs a
people from ovsr production and Deer
trading" until all the wants of the
people are supplied. which will be
when their tastes and ambitions are re-
allied or perish. The new States and
fTerritories, which cannot now attract
capital from ~ to Is per cent. invest--
ments in the east TO make their needed