New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1875-07-27
JfONEl Y.
An ERRONEOUS VIEW OF IT-MONEY HELD TO BE



To the EdttOr Of The Tribune.
SIR: Men must exchange their labor and its
products doing they encounter several difficulties
articles lie nterchan ged not equal in value nor
do the respective parties always desire articles IN the pos
session of each other; would it, IN many cases, he
possible to equale the values given and received II
becomes necessary then TO adopt standard OF value
with which all labor and products can De compared 10
invest symbol the vauc parted with, which he who
buys may give 90 the seller; and 10 confer on
this symbol the power of satisfying tho claim
OF the holder. by the consent OF The Whole so
cicty to receive it, and 10 give for ii its value
in articles in their possession employed in exchange
This symbol is money. sells 90 pair OF boots He
values them at so. piece of gold with II impressed
II is given 10 him by b. This is memorial that II Is
entitled TO that amount Of value, and accepts II because
c. d. T. I, etc. have agreed to pant with coats wheat
coal, iron on the presentation OF such coin There j.
nothing in the ,Sin itself for which desires il. He
would not part with his boots for the gold If he was
Obliged to retain it,. Eat wanting sugar and coffee and
coal he knows that he presentation of tins COIN
get certain amounts Of these articles. The dealers
in these articles viii take The coin because they know
they can part with it in turn to others, who viii give
them other articles that they require.
Coin then is employed such. not because it has value
equivalent in tlt MIND of The aker TO that with which he
parts but because IL will represent the yaue with which
ho until he chooses to designate precise form
and quality Of the article which he will demand
omensc, and because such demand Will he honored hy
thoso who have article for sale. The intrinsic
costiness OF The coin il condition to TINS of it
The cost Of machine affects its capacity 10 discharge
The work for which il was intended. The same machine
cAeaply made would do much work If dearly made
The chcapness DEAFNESS Of a machine does not affect
its eniciency. Now, money is instrument to
represent value in the interval between the part
ing with the commodity by tho seller and his
selection of another in rccompcnse, and TO assure him.
through the general convention Of mcn of the obtaining
OF that rccompcnse If piece of paper contains III il
so, and import, that the holder has parted with that
amount OF property, ana that any and every one in
trade whom that paper is given will give for ii the
equivalent OF the property parted with ii Is money 10 all
ntcut~. These circumstances make II money. 1t j. use
f SUCH because OF the belief that men have that it
viii he received Is representative OF value ana as
valid claim Tor comYtusatiDg value 1t is uscill a. such
for the very that piece OF gold is useful
they both derive their utility money from the public
intention and understanding.
il true that gold coin Las value collateral 90 that
which il las as coin. II is gold which answers human
desires, apart from the business OF exchange Hence
while should II cease 10 u" generally current as ln s.
~ value ANA certificate which Old yaiuca could
De COMPENSATED il would he very much Gcpr' ciat' Il ;
Still II womb nave son" Ndilt' on account Oh lhc dt>
70 woud continue to satisfy ~ mao people. Who would
br willing 10 give olhcr commodities m exchange for H.
tbs au gives security Tor its c0nuuius 10 circulate
that paper does not possess Nevertheless, VIM, want
ltou. II is o.Nabc that sufficient nee 10 satisfy
all PERSONS may hc otAcrWi-c ODalnc. VI The rt4acneo5
mat representative OF value themselves destitute of
intrinsic value may circulate, Illustrate hy Lc history
platc aud vhich are rd,.sed many -ucces,I,c
h"lj"i" \ Prcr Z" paper money Sunlth" 10 sold
would differ from such mote only ~ the fact thai The
former would De accepted o. the belief that any one
would receive II U.c' G'h+l" 'ltn9, Nnh' inc idr!
ever an me ',T o, in ~ ''".ic Lmd
L & .