New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1874-08-06
KEEPING ALIIy TIE CURRENCY Q UEST7ON

THE PEOPLE LOSING INTEREST IN THE PROBLEM
THouGHTFULNEss THE RESULT ONLY OF IMME-
pIArE DANGER-LooKING TOWARD RESUMPTION.
70 tho Editor Of The Tribune.
SIR: 1t is q lamentable fact that while our
currency problem is still unsolved the people seem to be
losing interest in it, our paper money is chronic dis
ease that may he cured by the knife. but having little
nerve we hope TO outgrow trouble When the fever
was on we listened to doctor and believed our crcu-
laon was really Detective now that we have cooled
Off forget that are passing through ohy ano'her
stage OF the disease and hope that we are
without having taken one step toward perfect hean'
When we we're suffering last FAN we were uhao'e W
study our malady at present strong enough ou'
refuse TO consider IT, We stand the lance, but dare
not In PLAN English there has been no time wheh tue
Iruea states could have cut off the surplus paper SO
easlly as il can to-day. Before the panic trade was
brisk and all of the circulating medium was neeuo" ~
effect the exchanges. During the panic the ereeuo"'
were NOT 70 he had on any terms. All will admit that
the Government could sell any necessary amount
of five per bonds and destroy the greenpacKS re-
ceved good Congress were In session. long s'rluc
could no made toward specie payments We shonld rehect
upon this golden opportunity and If still exist FORCE
the next Congress to take advantage OF IT, Iherc seems
10 be great danger that the "growng-up" theory VIII
be generally adopted. This theory is the more danger
Gus because it possible 10 grow up to specie payments
although it has never been done.
Il
traction and of growth of business TO the present amount
of paper Gold being accepted standard OF value its
own worth being determined by cost OF production az
the worth OF commodities is determined Dy thcr Cost
Of production there must be ouch an adjustment or
gold prices as VIII enable the quantity OF gold IN the
world TO perform the exchanges of the worlds cOnou-
tiles More simply there is enough gold to do the work
that it actually does OF this conld have been
said lust as truly in any age notwithstanding that
me Ouapty OF gold has been continually increasing
From the above, and from the fact that golh Is easily
Transported it follows thar, other things being equal,
each country has sufficient gold perform its exchanges
But what OF every succeeding years podu1Qn
1t is not destroyed and yet there Is no accumuahg
heap tit. continual abrasion OF coins ana wearing
out OF ewelry explains part OF the en- me
Just much gold as is needed 10 carry on l"c T
ing business of the world absorbed in TINS way Inc
volume OF gold ana ,ne TOue Ci 'f s"e times plc
thora of money at others scarcity ana pane, naNo
volume OF business had grown 700 last AS thcse tMo
conditions react upon each other ltte ou3le mas oe
felt excepting from accompanying arun la causes. ~
is true that there IL enough god 10 90 tne business
that done with H. ana that nothing but nations own
action can prevent Its having fair proportion but
what seems Importance 10 Us Is To hnd Just now
many dollars we neeI at the present moment 70 trans
act our own business. The amount OF money whlch
country should have depends upon the amount OF work
to be done by that money; depends upon Lhe Noiuhc
business done. | think that the premium on gold, OF
properly the discount reenbacks Is the true oass
for calculating the amount OF circulation required Here
VIC may start with certain foundations our paper
money is excessive. Because the discount upon paper
|
the conclusion have just ten per cent too much
paper for the discount huctuates without any changes
In the amount OF paper money. But all prices OF III
ported and exporlabe articles governed by this DIS
count. and may therefore say that we nave about
ten DER money than ought 10 nave az ths
moment reduction of about ten per cent, all circum-
stances remaining unchanged would propapy equai1e
gold and paper values. During the process such
changes banking facilities ana IN volume OF BUSINESS
could possibly take place would make the necessary
reduction III amount OF paper much greater or much
less After touching specie payments the process cOuld
-.ldu ro in fIS
strOyed Now, how may the United states grow up 10
specie paymentsl BY fixing lrreyocably the amount OF
paper money and waiting for the volume OF business to
augment that all OF the paper would be needed upon
a specie basis. Many years would probably De consumer
in such an experiment. while score Of forces would be
continually at work 10 defeat the plan.
But some persons may ask What Is The need or 60
ing back TO specie payments at all e. As the currency
problem loses prominence, fancy that more ana more
persons arc putting this question 20 themselves panic
necessary SO make business men consider me SUD
is allowed TO SINK INTO lnsignucahce Men snoud Keep
the disadvantages they labor under IN using IL
convertible paper and try 10 keep alive the desire 10 get
rid OF II at the earliest praecaole date FIRST there are
the fluctuations, hour ny hOuf, OF the g0id premium
which, by altering the standard Of value affect all trans
actions, making each man take OF pay IN Reality more vi
less he agreed TO. how INDUSTRIOUS IL would seem
for "a Government 10 change every day all yard-stlchs
or bushel measures used In us domain 9ddhg OF lakns
away ncn or gil as fancy dictated snch changes
the community aud would never be tOlerated;
but people not only tolerate the same tax essen
TALLY, bur refuse 10 try ~ ret rld or IT, The time gwen
TO numberlesS calculations Of me Gold premium Is IN IL
self considerable tax upon business The great OuJec
ton 10 10 It's
year through larger volume OF money is needed
In Fail than IN the spring and also at some patlcu
lar that cannot De iOreseen than at some Otner
times. This well shown by the rate OF interest, which
has varied New York CITY from TWO per cent year
to the OF one-half per cent a day. vi
course OF this variation cIargeaDe TO the silly
usury law Dut great portion IL due TO the hxity, the
tagatiUu OF the currency Upon specie basis there
would he a continuous eDD and flow OF money, az our
OF interest happened TO DE greater or less than That
OF other countries. The natural laws regulating the
natural circulating medium w0uid always work toward
eQullIDTiuu. Let get back sound CON
dliOu and shall nave 40 more dliicultY with our
money than healthy man has with the circulation OF
his blood. hADIA.
NetC-l Ori, July 80, 1874.