The sun. [volume] (New York [N.Y.]) 1833-1916, 1877-04-15

Client TO alarm tho ordinary political economist.
and Mr.. Cernuschis reasoning does not dispel
the unfavorable impression thus created. For
example, he begs permission. before proceed
ing with his testimony, to cnunciate as the
basis Of his answers. his definition Of money,
and he does it in these words: Money is a
rdh,e created by lo,C to be scale OF valuation
and valid tender for payments" This denni-
ton he informs us, embodies the reason why
he calls his book Nomisma." from the Crock
word nomos" law. He COOS ON for little
whilc arguing in loose and rambling way that
If the law should cease to mako gold and silver
a legal tender. their value would disappear. be-
ing seemingly ignorant that they had "a value
and wero used ~ money centuries before roin-
ing was invented or any legislation Whatever
had respecting Thorn. He quotes Aristotle In
support Of his notion, indeed. but Aristotle has
long conscd 10 have my weight as authority.
He also quotes the pauders, but his citation Is
dead againsthim. 1t rcads thus:
the origin OF hayin2 ant ..lits hosan, Tiih eS
i.ti no term. a. i.if.r,ntt, n,r.hanli.c ani ,tco,
hIt nvoI1 ou,, acrur iin- a. thr wrns U Chg time nnl
tniu-- winch wore useful Jon haprcus frequently that
81, dom coin ici dial whai one ro,-...cd DO ohtr
wanted. nnh .'n',r,cl, mnr.r1I N", c,,Ud Mu.,
Co., dlnie ultO.ui barter THIS material being officially
coucl circulate. .,il hold.li. power. NOT omugh nom
its -l .unc i.nom i-qnmu,, sncc t,en. ,agl o. thc
called iuaflIli...
bur uny one. tie utlcr iscallcd Itice.
Here Is as plainly declared us it can be de-
clurcd that the precious metals were elected"
or chosen. 10 serve M money, beaause Of their
value. and not that their value was created 10y
law. Mr.. Ccrnusshi himself IA little further on
asserts the sumo thing in his answers to some
questions hy the Commission:
-p. understand you correctly a. saving that in
your orinio 'e 'aii' Ny wlnch mean iii purchasing
Specialized h' tfir QUANTITY H- .iu'ci nH mu9rrf
mont adopts uormr, UNITY Tor n,tlnec-a ioiar.
Wien w., a.c t6D i.rn "ioiar ", mean To- saw certain
la4u, Cd %, %. "l,q j. i,',f.1 ~ ", Si,1,n ~ 'ne
pf fe. so ,jss d" 'saia'ny NJ ptis'"y pnee' " he
On, SOU make II difference between "vaue aud
l , H. 'n is w, a.. -. ',.
' ga".'r " ''''''' = ''''''" '''' '''' " w
II tho "Goyernmont gives no value to the
money! and does MT interfere in determine
ingt purchasing power or value Of the dol
lar" if is impossible that money should be
value created by law
A little further on Mr. Cernusehl makes the
astounding assertion that while tho price OF
silver has fallen at London and the price of
gold has risen at Calcutta. the pri'" of CONF
moltics remain tho same in India and in
Europe. H. mol.-tiy adds: " l know that in
regard TO that mntt'r | am not in accord with
the council at India" He might also say that
hcis not in accord with anybody who knows
anything Of human nature Tho merchants Of
midland the merchants of Europe are certainly
keen enough To- buy in the cheapest and sell in
the dearest market. and IL aman can buy as
much merchandise in India for fifteen and
half ounces Of silver as he can sell for sevcn-
teen ounces in Europe the outl w Of merrhan-
disc from India 10 Europe must speedily raise
prices in India if it has not done SO already.