Ottumwa weekly courier. (Ottumwa, Wapello County, Iowa) 1872-1899, 1878-08-14

the present time. A large part of the
paper currency, such as the one, two
and three year notes, and the COM
pound-interest notes, were temporary
in their character, were mere eNpedi-
ents to meet pressing wants, and real
ly never intended to form part of the
currency. In 1862 the total paper
money was S333, 452, 079, and was
equivalent to S2sS, 769, 800 in coin; two
years later the paper had increased to
$3.50, 1884, but would then purchase
only 1922 GAO ,246-the increase of$500,-
100000 in paper dollars having added
only S34, 100000 to the whole sum of
paper dollars. While the amount of
paper dollars had been increased $50
per cent. within the two years, the
aggregate value of the increased
sum Of paper had been increased only
10 per cent. To add S5OO,OOO,O 900 to
the paper currency at this time, and
have the same irredeemable in coin,
would not add one per cent. to the
coin value of the aggregate increased
issue of paper.
In 1875 the outstanding paper mon
ey was $73S, SIC, 535, and had coin
value of $500, SAG, 999, while year la
ter, the fractional currency having
been withdrawn, the amount ofpaper
was less by SAC, 900, 900, land the value of
the reduced sum of paper money was
$500, 900 greater than that the whole
one year before. So in 1878, while
the amount of paper dollars is less by
Sl0,000,0 900 than in 1877, the value of
the reduced amount is $4,000. 900
greater than the largeramount OILS
Never was the lesson more plainly
shown that the greater the sum of ir-
redeemable paper the less value of
each nominal dollar. AS the sum in
circulation is reduced, and the prom
Use Of redeemability increased, the
value Of the money increases.
Money has no value save that which
it may possess as an exchange for
commodities. The dollar which will
purchase one bushel of wheat is of ne
cessity worth twice as much as the
dollar which will purchase only half a
bushel of wheat. In 1865, the $685.
3lS, 6S5 paper dollars would purchase
, only as much as 692, 256,354 coin dol
lars, and only ss,OO0,O0O more than
the 1858, 597 AIS paper dollars in July rs
The reduction of 2S5, 100000 of paper
dollars had only contracted the pur.
chasing power or value of the paper
money SS,000,O0O. The contraction in
the number of paper dollars was e
per cent; the contraction in the value
of the money in the purchase of Oh
exchange for commodities was a frac
ton over per cent. only.
, But the value of the currency of The
!. country has not suffered the slightes
contraction. Its value now exceeds
lanything in the past history of thu
, nation. The total amount of curren
: cy in circulation at this time may BIZ
, put down as follows:
Total bark notes ..................s3 1924 9i0. IS
Total legal tenders OBSERVATION-DISCLOSURES. 246,6Sl ,Gl
bther paper. ACKNOWLEDGEMENTS l6, sI5, 4.
Total paper...........,......... SOS, 597 q
silver coinage. ..,...... 52,0e0,ou
Hold coin. Observation-Disclosures. SO C0.00
q Grand Total ......... ....... $3.50 ,597 81
5 This does not include the gold coli
\ held in reserve in the Treasury.
!, When, therefore, Voorhees,, or Cary
0 or Butler, or Ewing, talk about thu
J, contraction of the currency, and tina
r business is dull because there is a fam
. inc of currency to make the exchang
5 es, let the facts we have given refut
n the assertion. Let every man cut GU
e the following comparison, and serv
J, it on the demagogues who talk abou
H. ,a%. 80