The Morristown gazette. [volume] (Morristown, Tenn.) 1867-1920, 1873-11-26
THE MONEY oUESTON.

VI uloSuSSAVilS StDOaGs1 tnOIAcJ iF0l1
three different stand points. These
articles assert pretty nearly the
three following different ideas about
the present. need Of the United
States as to money!
/. (The Labor Reform view. in
the article of "OP o. An ire
dcemable paper eurrency issued
directly by government to each eiti-
zen Will do, withotst any gold at al. E
2. (Mr. WfTliams's view.) We
need simply an imitation of the
present paper currency.
3. (NIr. Hazards view, and the
Manufacturer view.y We want a
paper currency so far redeemable in
specie as shall maintain its useful
ness in business
The editor of Old and Ne,c, in an
editori note accompanying the ar
ticles referred to, says:
Money real money. to-day, within
tbs business world. as n whole) is
gold or silver. Nothing else is real
money ecery,rhere.
PAPER money will serve exactly
the purposes OF specie only on one
condition-that the holder can get
specie for it on demand. This con-
ditien is subject to notifications.
Patriotism has served instead of gold
for time, but has never prevented
paper from becoming worthless in a
little while, if specie could not be
had for it. Mutual confidence is far
less efficient than patriotism. An
agreemen may be imagined by all
the people that there need not be any
gold ut all in the United States but
that scrip like our present paper
small change, and bills like our
''greenbarks," should be used as
they are now, but without anypros-
pect or purpose of gold ever being
asked or given for them. But this
is only an imagination, because no
approach to unanimity, if even a
majority, could. rs things are. be Sc
cured for it. And second V, it is a
melancholy fact, that men hive not
so much faith in each other honesty,
or wisdom either, as would be
necessary to support such a plan.
How much money does q COM
munity need? ARs1rer: Enough to
carry on with ease all the transfers
of value in the community; the
payment Of wages; the daily ex-
penses the sales in the shops; the
transportation of freight the fares
o: passengers the sales of real es-
tate i; in short, the daily life in bust
ness. So far iii civilized history.
the quantity required bears a pro-
POI ton to the number of people
who use it, and to the properly they
own, which has an analogy with the
proportion of oil in the bearings OF
a stean-engine to the engine itsef.
For instance, during the four years
ending june so 1871. It may be
stated as rough approximation
that the currency which oiled the
business bearings of the United
States was rather more than ten dol
lars to each soul of the population.
This includes whatever you happen
cd to have in your wallet in those
years; all your bank account; what
the storekeepcr was using in his
business. aud so on. The o1iag
office Of money, are these; the
whole Of our currency, about four
hundred million dollars the whole of
our property, real and personal, about
fourteen thousand million dollars
our population, towards forty mil
lion. Omit some ciphers ana we
may say. in harder figures, that on
an average. in nation situated Us
Gus is at present, every four souls.
worth fourteen hundred dollars
amongst them, do not need more
than forty dollars in cash. being ten
dollars Il head. to keep their bust
ness straight. This would lie very
likely to fail with any one separate
four; but it holds good of the whole
of the men, women and children
together; and If a larger sum is in
anybody's hands. a lees sum is in
the hand of somebody else.
But we cannot get gold for even
a quarter of our greenbacks, except
at heavy discount, and yet they
serve pretty good purpose so far.
Ought they not to break down on
these principals? AnSacer: Their
gold basis exists but it is two stories
down instead Of one. The United
States, under certain conditions.
gives it's bonds for 6reenbaclls;
this is the first story down. Under
certain other conditions, the United
States gives gold for these bonds.
and meanwhile it pays gold interest
on them. This is the second story
down, where you come to the real
specie foundation. Mutual con-
fdence keeps the greenbacks as
near gold value as they are. Any.
body who wants to see the way in
which changes in mutual confidence
change the value of paper money,
need only follow the gold specula-
tions Of the war period among the
gamblers of New York.
IT tho United States paid gold
directly for greenblcks, instead of in
this indirect way, they would be
worth a gold dollar for each pa
per one, instead of from ten to thir-
teen per cent Of doubt about the
future contingencies Of human life,
between the average citizen and his
in cen sequence Of this
slow way Of paying gold.
It is a curious fact that paper
money was boarded during the pam
ic, instead of specie, which has usu-
ally lcen boarded at such times.
This shows how thoroughly our pa
per money is accepted in lieu of
specie. Why not? it is the nearest
VIC can get to specie. Wackford
Cc.unnrc Liz oihor. sid rs.oc .s,.os-A