The Anderson intelligencer. [volume] (Anderson Court House, S.C.) 1860-1914, 1877-05-24
UsURy 4AWs.

eesenSe 70 the propriety aud right to enact
~ Ehias i9 Known as usury law, but would
rathsr, give the views of distinguished
Authors on political economy, all Of
Fhom, fFom Adam Smith down to the
present, condemn usnry laws as unjust,
nnwise and inexpedient,, The opinions
ef such naenw-!men who, sought truth
Eithout regard to whether this or that
Xew -of . question would he popular or
nnpopplar-are certainly entitled to our
consideration.
y Mr.. Wayla9d says: II believe all en-.
ectments establishing legal rate of in.
sefest Saro injurious and unwise. The
only enactment Of any value would bs
one which should define the usual rate
when nothing was said about it in the
contract. The use oflthis would bs 20
prevent Disputes. Some Of the reasons
ioF, ,E this opinion ate the folioWiug: !sit 'ii
H1es;l Such laws violate the tight, Of
property. nri 1;s.ria' Mt - is3p -
j: 7qd. Tue reaFp4iee'6f capital cannot
be- :ffixsd BIZ Ian any more than the real
price of flour, or iron; orapy other COM
modify. . There 10; therefore, no more
Eeas6it fof assigning it a fixed value than
thlssf|ss iiSi for assigning d, sfixed value to
any other commodity, d 55-af, I'5,'.i'. III Is
.io"3ha:. Tho price of money is really
snots variable than .1tnat of any, other
coiHihoaity., e Most, other, q commodities
have but ono source of variation, viz. !:
'ase ospfofit.i But capital in the form of
money is liable to two sources OF varia-
tion: rlak, and use. These vary at differ
ent times in different Investments and
|aiithi different indiViduals.5d There 10,
therefore, less sessscc: Why the prizes OF
money should be' fixed ~ law than Why
The, price Of anything else should be SO
Ish2ed!iS sc ~ Ia hGsiahi s,,s i'c y.
I, "Ath: These IaHs instead preventing
give nee t s;ssaa. sa;:ssaa. aalRa, 5aas.r9gs, fiuctua-
tons in the price of, ,money. brs ..,,,ilus {,
"Sdppess thEta to-day money ia wossl,..
in the ordinary, operations III baisfnes5
YEN per cent, auditi worth fsi9 pei Cent
.in lean, nan Will % sapaa loan as epa- en-
Passs: - bss=iEssA s=;ssAA e ;E lie t4===s ;E4==s
shan lfa pibheBto ltise.t Thefs' viii then
be- q hSif supply = pr Il money n;ths a%lal-kst.
But let the prpsitg Of .capitaak rise so that
in the ordinary operations of. business
Ecapital' isaWottAr twenty 'peF eghE. If!
nov, the fHaits wa ihtetest rGse WitjTt4id
ipGEsassd rate OF profit, the same ) lndi1
4sidual would be as willing to loan as be-
fore haud' eAus, thssuppiy' following the
deHplAtJ1i there would arise ho aecuiias
scaroitya Tha high rate Of interest would S1tMtli
also attract capital fromabroaa, and thns
Eina vefS short time it would in this panr-
fticnlaf ptacs b5 SbFonght to the genera general
leysl. Bit suppose shat six per cen cent
were the highest~Fate of interest, and
shathb VITO lloaned 1t o. higher Fate oi
interest was liable to ilcso both his priu-
cipaland interest, and also his mercan.
I tile character. In tliis ,case as soon as
the profit of capital IN business rose I'd
fifteen OF twenty per cent, no one who
Sopid'thha! employ IL would lcsn sti ct six
llpef cent Hehce; fas soon it thus rose
ths supply would be, Immediately dimin.
ishea, and this would, Of coprse cause d
gnaater siss of interest gheas who iron;
| HONOR or conscience; obsysd the iaws
would WitkdtaW from The ID minaisket an and
eFnploy their capital in someiotherlRay
iThb real value bf money may, be ten OF