Perrysburg journal. (Perrysburg, Wood Co., O. [Ohio]) 186?-1965, 1876-05-05
The Evils of Imitation.

PRESIDENT A. d. WHITE, of Cornell
University, read paper before the Union
League Club last evening, entitled: "Pa.
per Currency Initiation in France: How It
Began" The Club theater was filled with
members, all of whom listened attentively
to the strong hard money document, not
withstanding many of them were, or had
previously been, paper money men. Pc
ter Cooper was among those who went
upon the stage to congratulate President
White as soon as the lecture was over.
After reviewing briefly the events which
occurred toward the end of 1889, which
created the financial embarrassments in
France and led to new issue of paper
currency, the lecturer said:
Within few months after the first is
sue another issue of $400, 900, 600 was
made, making the total issue $500, ,000, 600,
but with a solemn pledge that the total
amount put in circulation should not ex-
coed 81, 200, 900, 900. But very soon this
pledge was violated under the popular
pressure, and $100,O00,0 COO more of small
currency was issued. In few mouths
more, under like pressure, it was again
violated, and $500, ,000, 900 more were is
sued but with solemn promise that the
circulation should never exceed 81 400,
100000. This, too, was violated, and the
issues went on in rapidly-increaSing
ratio. These issues gave great stiInu-
lus temporarily to speculation, gamb-
ling and stock -jobbing throughout the
country There arose and was rapidly
developed great debtor class, partly Of
those who had bought the National real
estate, paying a small part down, and in
tending to pay the remainder in small in
ta1l TO. 1otf
and gamblers in values who had bought
for a rise in nominal values. Commerce
and manufactures, though at first stimu-
lated, were soon paralyzed, and finally
almost universally destroyed. The mer-
camille interest, which supposed that it
was aided by this initiation, since the
| prices of goods on the shelves of the mer-
chants were raised, soon found that
IL injured, iUss than ~,l-s- intnp-
ests. Since the merchants had to attach
to their goods prices not only to cover the
increase in nominal value, but the risks
from fluctuation, the number of buyers di-
minished and payments grew less certain.
| Initiation brought the worst evils OF all
uponthe masses of the nation-upOn the
| people of small fortunes and upon the
working class. The uncertainty in values
having paralyZed manufactures, vast num-
bers Of workmen throughout the Nation
were thrown out of employ, so that after
prices were inflated 200 or 300 per cent,
the wages of labor remained the same rs
before the initiation. AT the great centers
a reckless gambling in values, which
spread into the country at large, arose
which led men to look on steady labor and
moderate gains with contempt, The idea
of thrift was obliterated among the French
people, though they are naturally one Of
the most thrifty of nations. Corruption
of public men followed. Nlirabeau, Cha
bot, Fabre D. Byzantine and others who
two or three years before risked their live:
from patriotic motives, had now become
so involved in the specializing mania anC
luxurious living, that Mirabeau received
brides from the Court. and the others re-
ceivcd bribes for their votes In the Ma
tional Legislature At lasta franc in gol
was worth 2SS francs in paper Th
measures of the Directory were the
sketched together with the issue OF tn
Territorial Mandats," which came
be as good as gold. These mandats wer
issued with every guarantee for their 81
curity in the best of the National real e.
tate, yet they deprecated to thirty an
even fifteen per cent. before they were Il
sued from the press, and at last fell to tiy
per cent. The collapse was then d6
scribed and the ruinous state in whic
,, France was left. After this vast amour
, of paper money, 36,000,0 900 " ASST
I mats" and 2,4O0, 900, 900 "mandats" ha
, been repudiated, coin began to come
| easily and naturally, and, trade havin
been put on a solid basis, prosperity WI
1 gradually restored.-N. Y. World.