New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1875-09-06

| powerful
nations, we should havomoney In the same Proportioh
for without money the laws cannot give employ
ment labor increase production. nor e4tend COM
merce and manufactures-Chap ", opening paragraph
He begins his first Mtmoire to the Duke of
Orleans on the subject of his bank with the
following sentence: Commerce and popula-
"tion, which are the riches and power OF
Estate, depend on the quantity and manage
"ment of money" lie goes on to suppose
two countries, precisely similar in size, soil,
climate, population, situation, and govern
ment, the one with five hundred millions in
specie and the other with only one-half as
much. The people Of the first, he con-
cludes, would be employed, the lands
cultivated, and its manufactures and trade
nourishing, while the state of the other
country would be just the opposite. This is a
capital error, yet the same opinion was he'd
by Mr.. Carey, as appears in more places than
one in his published works. What would hap
pen in the case supposed by Law is that the
first country would have high prices and the
second low ones, and that specie would be
transferred from the country where 1t was
abundant to that in which it was deficient
No such example could occur in the CONNER
cial world, as is transparency shown in flume's
Essay on Money"
We now turn to Mr.. Carcys earlier opinions
on gold and silver, q!oting from the Princi-
"ples of Social Science" published in 1859:
| Tho precious metals to the social bocy what
atmospheric air is TO the physical one Both supply the
machinery Of circulation. and the resolution ol Tue
physical body s elements when deprived OF the one
Is not more certain than is the resolution OF the socia
body when deprived Of the othcr-Vel H., p. 800
OF all the commodities used by man. the precious metals
are those that render the largest amount OF service ID
proportion to their cost.-vol. H.. p. 325.
The views thus In reference to the clrciIn
stances that influence prices may row be embodied Ia Tue
! following propositions:
Man seeks association with his felow-men IL Is i's
| fret and greatest need
That he may associate there must be that Development
of individuality which results from diversity OF employ
mcnsthc artisan taking his place by the side OF inc
planter and the farmer, and exchanging services Will
| them.
That such exchanges may readily be made, there Is
needed AN instrument which shall small In bulk. easily
preserved capable almost infinite division and sub
DIVISION readily convertible into various commodities re-
CURED for the purposes OK man, an tor all these resos
| UNIVERSALLY ACCEPTABLE.
That that instrument is Furnished by Providence IN he
ro Metals GOLD AND SILVER, each Of them possessing
aNe qualities Tia. are a1,re described H., p. 30j
The reader will find nothing in the work we
quote from in advocacy of ga nOn-expOrtablc
circulation" With Mr.. Carey then it was
plain, downright, gold and silver-old-fash-
toned precious metals things which have
cost of production. No shadow thrown upon a
fog-bank, no 800 nOstrum, had captivated
him in those days. But mark the effect OF our
paper money debauch on the intellect and con-
science Of one who was certainly respected,
whether his doctrines were received as tue
| tl.ouf p,1u n Inf
ter to ex-COngressman Moses w. Field, the
manager at Congressman Kclley's recent per-
| Torrance before a thin house ut Detroit:
DEAR SIR: Wholly unable to present myself in person
at your Convention put paper my views in Teia
ton to the important questions which will be there
dscilss d. follows: Does does not our drty to our
selves and the world at Large demand that we main
tain permanently nOi-6Iporfdbe cTcntGtohf such IL
tho question which ataies the nation, and Which,
cspitc all eff ,rs to prevent It, must mt no distant day
absorb all others. Thus far il has been examined with
but little to the lessons OF experience else
where to the teachings OF science. such having been
| the case propose now to show
FIRST That not only is the affirmative Of the question
in perfect harmony with the practice aud the experience
OF leading nations o: Continental Europe, but also In
harmony with the teachings Of sound economic science
! and.
Second: That II Is by moving in that direction and by
that alone hope to arrive at such in
dusrla and financial independence will enable lie 70
emerge from the dsgrace;u position In which we now
stand regards the of the world at larce-
that puryeyors and tiansportcr5 for the manu-
| featuring nations OF Europe.
| I'm 1859 the objects of Mr.. Carcy's alteration
were gold and silver, because tEey were things
of value and universally acceptable; now he wor-
| ships grecnbacks and 3.G5s, because they are
legal tender, and non -erpOrtaJie! But Law is
| 15J years ahead of him in the discovery that 4
non-exportable circulation is necessary to
enable enterprising individuals to stimulate
trade and commerce by spending other peoples
savings, and mortgaging the future to support
the designations of the present. In his later
years Law transformed himself from q maker
of books into writer of letters, and the fol-
! lowing sentences arc translated from one which
he published in the Mercure de France in May,
1920, when his System was already tottering:
But this scarcity of specie g morally from the
lghtcned cupidy OF ncighboring tons and the blind
dstrust OF countrymen. The foreigner
amateur also OF gold AMI silver, has infinite variety Of
resources drawing specie away from us such
brbing our subjects by Illicit and criminal gains
and the subjects, without engaging In these mis-
deeds, up these SIGNS OF TRANsMssI asthOugh
they real treasure, being induced thereto by fear
or dislrust, which CALI in every case. blind and il
rational because 1t tho circulation and throws
difficulties the way Of the State, and is likely
than any thing else to plunge the eopc into the poverty
which they dread.
Bat here Ia the sovereign remedy for this H. 1t Is
| give the people II SIGN or TRANSMISSION. Of whch
he material shan be Of aaiirc gIoth, the volume of which
| the Prince may augment and diminish IN ACCORDANCE
| WITH THE WANTS OF THE STATE AND OF COM-
| MERGE, and above all. WHICH SHALL HAVE NO IN
TRINsIC VALUL!-LtireS Sur ie AoureGu Sys!elne des
Finances, Economistes Fiuanciers du XVIlIme Steele
| L. Ga. Paris 1913. Gnllinnmn.