Vermont farmer. [volume] (Newport, Orleans County, Vt.) 1870-1877, 1876-07-28

winch every dollar OF the paper issue is but
the representative Of an equal amount Of
specie exchangeable on demand, or if that is
impossible, the amount ought to be large
enough to cover such contingencies as a
large export Of specie to foreign countries.
1t isn't enough to be just safe under ordi.
nary circumstances, there must be factor
of safety a. we'll.
Again infationists urge that the amount
Of money in circulation should DO increased
in proportion to the increase Of population
and trade. But the history of Great Brit.
ain furnishes us with abundant proof that
the bost interests of people do not require
an increase Of the amount Of paper in cir.
culation. That country has no larger paper
currency now than 10 1926, though the pop.
ulation has doubled and the trade increased
6ve'fold. John Stuart Mill says on this
point, 1.-THE uses Of money are in no respect
promoted by increasing tho quantity which
exists and circulation in country the ser.
vice it performs being as we'll rendered by a
small as by large amount. Two million
quarters Of corn will not feed as many per.
sons as four millions but two million pounds
sterling will carry on as much traffic, will
buy and sell as many commodities, as four
millions, though at lower prices"
luaationists also claim that prices do not
vary in proportion to the amount of money
in circulation. This doubtless would be
true were the currency as stable as gold,
but the circulating medium, in which prices
are fixed, is not stable and consequently as
that medium increases or decreases in amount
so do prices rise or fall. This can be proved
by we'll authenticated statistics taken in
time Of peace and covering period of TWEEN.
ty-six years. This results from the fact
that an increase of the quantity Of paper is
almost sure to depreciate its value This is
we'll illustrated by an event that took place
during the war. The secretary Of tho treas.
ury thought to float" his bonds by large
issue of paper money, and he succeeded in
"Aoating" not only his bonds but all the mer-
chandise of the country as we'll, and at
time when the government was paying out
large amounts daily for war supplies.
The ease and comparative cheapness with
which paper currency can be issued render
the system exceedingly liable to abuse, and
an over-issue certainty. John Stuart Mill
says, ITO the increase Of an inconvertible
currency, if permitted by law, there is no
check. The issuers may add to it inde6-
nitely, lowering its value and raising prices
in proportion; they may, in other words,
depreciate the currency without limit"
1t may be that there are inHationists who
arU thoroughly acquainted with the princi.
pies which must underlie sound currency,
who are yet honest in their opinions, but it
is extremely doubtful. That there are hon.
est inhationists we would not presume to
question, but they are honest because their
training and associations have kept them
ignorant; a sort of honest ignorance of
which we have altogether too much and
which is just as liable to injure the true
interests of the country as if it were not
honest. There is but one way to avert the
evil and that is to remove the ignorance and
if the men are honest they will show it by
adopting the hard money platform. Iu-
stance Ohio at the last state election when
hard money carried the state in spite of the
utmost efforts of the ipdationists to nam.
tain their foothod.
Some rabid inhationists endeavor to
strengthen their cause by appealing to the
prejudices which the poorer classes too often
cherish against the rich by calling the paper
dollar "the poor mans money" "the la
bOr-rewarding dollar" They appeal not to
reason but to the worst side Of human nature.
They do not seek to state the facts fairly,
but bend their utmost energies to tho fur.
therance Of their pet idea, be the means
what they may. Such demagogucs deserve
not only the hearty contempt Of every hon.
est citizen they ought to DO regarded as
enemies Of the best interests Of our country.
This truth should be impressed upon the
minds of the poorer classes, that imitation is
their worst enemy and that of all other
classes Of society they suffer the most from
deprecated currency.
1t must be acknowledged by all that the
currency question is not understood or APP
preciated by the mass of American people
as it deserves to be. II is subject too i'm
portant to be left to the fluctuations of poll
tics. Glass or party feeling of whatever
kind should have no weight in the decision
of this question. But as citizens Of one
country and interested in its universal pros
perity, it is the duty Of all men to let party
and class sink into oblivion and heartily
join hands and efforts with any who are
striving to place our currency upon sound
basis and to speed the day when the paper
dollar shall be worth 100 cents.
Q. ii. SAMSON.