Oxford Democrat. [volume] (Paris, Me.) 1833-1933, 1878-05-07


some people nowadays, attribute the hard times
under which this country has been suffering 90
lack OF abundance Ia the circulating medium. How
do they account for the situation IN Bueucs Ayyes,
q large country which produces vast quantities Of
cattle, horses, sheep, hides, wool and many other
things Tor expectation and which has suffered and
10 suffering tAr harder things than this country r
Buenos Ayres b. bicssCd-trom the Greenback
stanlpoint-with government notes To- such abund
ancc that dollar note b. only worth four cents ~
the money Of the world. and yet thcy are not hap
Portland AaiHe Sfafs Press.
The editor Of The PRESS shows his ignorance Of
the money OF Buenos Ayres, by coniouaiiug their
regular four cent dollar with the dollar OF leo
cents. as viii be seen by the following coiDmuni.
cation IRON a wcl-known sea captain 10 Camden,
who has douc business In al, The three ports in
thai Republic.
To fse EDITOR o. ne Caus.is. Herald
DEAR SIR. Enclosed please dnd reference on
Grccnbacks which uouced Ia the Maine state
PKEss. by the editor, Judge.
think Do should DC noticed BY some of the Nat
iOnal party a. such things might niurc Tie cause.
Thought / woult Slvt YOU The true value oi the
money, a. have been 40 three ports 10 the Argcn-
tine Eepuoiic a. master OF a ycs.elau done some
business with them and handled their money in
several ways.
Now a. TO the Grceubacks this person refer, 90.
They are issued ~ enc dollar . cents. and pass
~ par,and % distinguish them from dollar OF loU
cents 10 talking trade Che word PGfigosiG is mCu-
toned. Then We understand 10 90 o. tuc dollar ot
To- cents gold or silver. but in talking dollar,
We understand the cent dollar.
The Press said that the Government
dollar.notes OF Buenos Ayres are worth
only four cents in the money otthe world,
q statement which the Herald and its
correspondent DO not dispute These
dollar-notes represented at the time Of
their first issue one hundred cents In the
money of the world, and their deprecia-
ton to four cents Is owing 10 the imitation
Of the currency and the neglect to redeem
il Bueuos Ayres did what the Green
hackers want Us 70 DO Il issued national
notes purporting to be worth a dollar or
some multiple OF dollar each. Ii con-
tinued the issues 10 "meet the wants Of
trade" and refused to redeem them, until
the dollar-note, or dollar as our Green
hackers would call it, came to be worth
but tour cents. OF course a. the value
Of the notes fell the demand increased for
as prices doubled or trcbled or quad
rupled, the amount Of money needed 20
make a purchase doubled, trebied and
quadrup,ed. At last 1t came about that
where once one piece Of paper pur-
porting 10 be q dollar would buy al
article i, took twenty-five Of these pieces
There was no end to the call for more
money. This Is exactly the course that
the Greenbackers would have Us en-
ter upon. and the result must be the
same. Tac Bueuos Ayres currency was
biased upon the faith and resources ofthe
country" a country exceptionally rich IN
the things that 20 to make wealth. The
basis Is the same that the Greenbaekers
want 1t did not prevent depreciation
IN the case Of the South American State.
Ii Will not prevent depreciation IN our
case. The statements Of the Herald aud
It's correspondent merely serve 10 strength
en- the illustration and emphasize the
argument which the Press used in show
ing the results Of deprecated and IT,
dundant currency.
Let Us look At the history OF this
BuenOs AyreS currency Is given IN that
excellent manual the Handbook Of the
River Plate, published at Buenos Ayres
in 1863; the price Of the volume,
book tina, would sell for two dollars, per-
haps, in this country, Is sixty dollars
In 1876 the government be-
gan 10 issue paper money In that year
the issues amounted 10 S2.694. 500. and
were easily maintained at par with gold
But the amount was greatly increased
thereafter. and in 1899 the paper dollar
fell 70 - cents In 1886 the circulation
amounted TO Sl5,0O0,0OO In the three
years following S24,0O0OO0 more were
emitted, and the value Of the paper dollar
came 10 be but 6ye-and-a-half cents. The
subsequent depreciation was rapid aud
ruinOus so violent were the fluctuations
that large fortunes were lost in a single
day. In lS4O, Sl2,O 900 600 were issued
and the paper dollar fell to twO-anda-halt
cents. Then the Government ceased To
issue paper money, and began TO husband
its resources IL order to pay It's debts, and
by ls46 the paper dollar had risen to
eight cents But a change Of policy
took place In that year, $4,000 900
were issued. and the paper dollar fell TO
three cents. From that me to 1913 S9l,-
900, 900 we're issued, the currency steadily
falling in value The Government once
more took 4 wise course aud IN o53 with
drew and burned S7,25O,OO0 OF these pa
per dollars The value at once went Up to
five cents, and there remained until 1859,
when . fresh Issue Of So 100000 sent IL
down TO four cents \ further issue Of
100000, 600 in lS6l continued the de-
probation 80 great was the loss and
distress from this fuctuation Of the cur
rency that contraction was again reSorted
TO and $50 100000 Of the notes burned.
Contraction "hurt as 1t always does aud
q great outcry was made against 1t Jas
great cutlery Is made in the United States
to-day and law passed IN 1868 TO stop
contraction as the United States House
Of Representatives mas passed a resolve
orbidding the further withdrawal of our
paper money. In 1864 the paper eireu-
alton amounted to S34O,0000O0 A
long and painful crisis in the money
market followed like our panic Of 1873.
The fluctuations were ruinous to trades
men, and the prices of all staple articles
OF produce were affected. Various schemes
Tor regulating the curren ey were proposed.
In 1866 the Government resolved to
scale" the debt, to partially repudiate.
IL virtually went into bankruptcy, and