National Republican. (Washington City (D.C.)) 1872-1888, 1874-02-05
MORE CURRENCY.

N6uSdClOu VI TIC DuSiutSS VI tuc CouAtiy
This opinion seems to be founded upon an
apparent scarcity of money. And the i'm
preston gains ground that an addition to
the volume of the circulating medium
would necessarily make money more plen-
fiful in the hands Of all. The fact appears
to be lost sight of that money must either
be earned by service, in order to be pos
sessed, or must be borrowed. Earning
money and receiving it as the wages of Ia
Dor. and Immediately expending it for sub
sistence, or investing it for accumulation, is
what is called the ''cash system. Borrow
Ing money upon promise to pay it on
some future day, together with percent
age for its use, is termed the credit system.
The former is living within ones means.
The latter is making draft upon the un-
known future The former implies the ar-
olication of the labor of the hands and
Drains to the production of wealth; sure
present subsistence and constant addition
% the aggregated wealth of the country.
The latter signifies speculation. risk, gam
bling upon the possibilities of the future.
The loan will be paid at maturity if the an
;icipations of the borrower are realized; if
1ot, the sum borrowed is a waste of the
fruits of labor. or remains an encumbrance,
! drag upon the borrower until he is able
20 repay it from hard earnings or by sue
sessful turn in the wheel of fortune.
As industry and economy are the indi-
:ators of the road to individual wealth, 50
IRE applied industry and cash system, with
economy in the public expenditures, the
highways to national wealth and greatness
It is truism that all the losses involved in
the transaction of credit business devolve
upon those who are able to pay. The mer-
chant who gives credits and keeps accounts
Is obliged to exact suficient profits upon
bis sales to cover the bad debts which he
may find upon his books at the end Of the
year. The result is that those who
honestly and promptly pay their bills
either pay the first cost of the defaulting
debtors goods or the merchant suffers the
deduction of that amount from his profits
1t is obvious, therefore, that true economy
mperatively demands strict adherence to
she cash system. Unnecessary articles are
frequently purchased because they can be
obtained on credit, which would never be
soveted sufficiently to be taken in exchange
Sor ready money.
As the cash system has SO many virtues,
should it not be the aim of Congress to
set an example by paying the people cash,
instead of promises, and paying them every
week instead ofevery month"; This would
enable Government employees to buy their
supplies for cash at least twenty per cent.
cheaper than they pay for them upon a
months credit. Greater frequency of pay
ments would also enable the country and
Government to make their exchanges with
much greater facility and with decreased
amount of currency. Monthly, quarterly,
and semi-annual payments require large &C
FOUNDATIONS of money to meet them, and.
much of this money lies idle great portion
Of the period of its accumulation. when 1t
ought to be in circulation effecting the ex-
changes of the country. In short, let it be
repeated, that currency is only valuable for
he liquidation of debts or the purchase of
supplies. Its capacity in this respect de-
sends entirely upon the rapidity with which
/ is kept in motion. Lying in the Treas
ary, in the bank, in the till, IN an old stock
ng or in ones pocket 1t 10 valueless as
medium. In passing from hand TO hand
with constant activity, efecting exchanges
If commodities, it represents labor, and
little Of it goes great way. More money
fcurrency) means more credit, more specu-
:ation. more effort to get rich without
,abor, greater enhancement Of values
purely fictitious, an ascent to ti1at dizzy
financial height from which Q sudden pre-
sipitation to . specie basis ID commercial
ruin by corresponding shrinkage ofvalues.
4 gradual descent by safe and gentle incline
s-contraction. II is wen known that not
only is the Government largely In debt but
)hst individuals and corporations have ex-
tended their transactions far beyond their
means To increase our Indebtedness M
sional and individual, would b an inssne
procedure. The only safe road 70 perna-
nent and sure success Is by the practics Of .
rigid economy in expenses and the careful
employment of the labor of the country In
productive industry. This course win in
crease actual wealth, and enable gradual
reduction of the national, corporate, and In
hvidual Indebtedness until we finally reach
aspecie basis and strictly cash business
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s4I r0NaPEas YEsrERDAY