The spirit of democracy. [volume] (Woodsfield, Ohio) 1844-1994, 1876-08-29
[From the Boston (Mass.) Index, 10th inst
The Moral Side Of the Financial
Question. % li9 9tfts7ss'

us rata d Hs-.' s-f w
lFrom the Boston (Mass.) Index, 10th inst !
The Moral Side Of the Financial
Questi0n. q" ~ .''t fis''
To the Editor Of the Index:
The Index, ! believe, has ever been
ready to defend right in every field OF
human action. and to give reason for,
the faith it upholds; but in occasional
outgivings on the great financial ques-,
ton Of the day, the tone seems to be
more the reflection of Boston than rea-
son.
The terms '.soft" and "hard money"
have little Significance in expressing the
practical financial question before the
country. l9iii ya's is25 te1 sr'4i7d q
Atthis time there is a difference of
about twelve hundredths between the
value, or purchasing power, of gold
dollar and greenback dollar. This diff
ference the government stands pledged
to add to the greenback dollar in little
more than two years, meanwhile hold.
ing the greenback dollar free from taxa
ton. (sail 1eit7zri jae,isia ti' III
But tits perfectly plain that this in
crease OF purchasing power cannot be
given to the greenback dollar without a
corresponding decline taking place in
everything else. n favardstick is length
ened, il takes more cloth to measure tile
same number Of yards. II the size of
the bushel is increased, it takes more
grain to filliit; and when government,l by
mere legislation, increases thei value 9of
money, it deureases BY the same act the
value Of everythihg'else.s The effect ID
preciselyithe same as if more gold were
added to- a given coin. That is, currcH
cy; IF kept idle, is guaranteed growth, as
1t we're, in the hands Of the holder; but,
II invested as capital in production, it is
certain, under the same law, to lose
through the decline lof that which is
produced. Hence, money is necessarily
withdrawn from use as capital, and there
Is everywhere forced eidleness Of labo.
and stoppage Of production. 80 snq bed
siiB But thissis not all, nor the worst, ,oi
the evilthat followsthis policy. 1T
s5 Tue withdrawal of money from use.
under the influence of9theo existing Re.
sumption law, reacts in a more than ge-
ometrical ratio on prices generally, and
that In two ways. First, It is only mon.
ey. slJohn Stuart Mill has shown, thai
is offered in the market against goods,
that actsion prices and hence the with.
drawal Of money from theropen market
amounts in effect to q cont traction of the
currency far greater than the Treasury
Reports show and, secondly, the cou-
slant declineIin prices decreed by the
Resumption act necessarily destroys
confidence in the success Of enterprise
and industry, and with confidence goal
instruments Of credit that in ordinar,
times play so important part in the al
fairs of trade and business. a,c4aiaes
Under these influences prices declin
till to-day the great staples, wool, cotton
iron, steel, and, in fact, products gene
rally are lower in currency than the,
were in gold,I onathe aversge, for the tel
years preceding the war q Debtors ar
ruined because the government has a
tered the value of >money so that ofte
twiceI the property Isl required to dis
charge the same debt that would hav.
been necessary, if prices had remaine'
asl they were when the debt was created
Laborers who, by industry and econc
my. have applied their earnings to
home finds that the smallest balanc
takes all to satisfy il now, Industr
finds no profit idle money alone bring
gain. ,egt A,pi go :! = '.,,.', ~,
think fbe above are facts which i
one, looking over the field can deny, o
what principle, then, of equity Or
right is q course that brings these result
in it's train to be justified? 1t is mis-
take to suppose it is sanctioned by an
sound principle Of political economy
for il there Is any one thing clearF
taught, it is that the value Of none
cannot be arbitrarily altered in any cour
try 81 any time without working tb
greatest injustice, either TO debtors {
! We have heard from the stump an
from the press continually Of the wicl
edness Of altering the value OF none
by depreciating it,whereby creditors Or
cheated; but newer, word as to tn
wrong Of alsering it by Appreciation
whereby debtors are robbed. - 81
The moral side Of the press (,he In
sAof 81 ri =El z.-iL-.-------- e