The Donaldsonville chief. [volume] (Donaldsonville, La.) 1871-current, 1878-08-24
NUMBER so.
Greenbaek Fallacies.
N. Y. Herald.

N. j. Herald.
The voters in this country who in
cline to support the greenhaek-
party do SO on these grounds: they
see that industry and trade are pros
trate they would ike to see the
country once more on the high wave
of prosperity; they have been told
that q severe and pinching contrae-
ton of the currency caased tho col
lapse of 1878 and the prostration
which followed and they believe that,
in some way, they know not how, a.
new and great Initiation of the curren-
cy would give US new period of good
times.
Now, if they are right in their con-
clusions and belief, we should agree
with them and support the green
baek- tailoring party If they are
wrong, however, they are in the po-
sition of physician who, when called
in to treat q very serious case of dis
ease, should mistake its nature and
give the wrong remedies. He would
iniure the patient and not help him.
Where the sick man is big country
like this it becomes grave matter to.
offer prescriptions, and VIC have at
least right to require that the doc
tor who presses his medicine upon us
shall understand The disease.
Now, it is a greenhaek- labor f,lllacy
to assert that a great contraction of
the currency has caused the collapse
and hard times. There has been, in
fact, no such great contraction. Of
fetal statistics show that the amount
OF paper money out, exclusive of in
terest-heaTing notes, which can not
properly be counted, because they
very rapidly disappeared from circn-
lation, was greateet in 1874, after tho
panic and collapse of 1873 that,
therefore, the greatest amount of
paper money in circulation did not
prevent or cure q collapse or panic,
but, as we hold, was one Of its main
causes. The total paper circulation,
exclusive of interest bearing notes
was in 1870, S698, 900. 600 in 1871.
10000, 600; in 1879, S737 ,000, 600;
in 1873, the year when the panic and
depression began. S749, 900 900; in
1874, 1888, ,0OO,00o; in 1875, S773,-
000,0oo. In 1878, the present year,
when for the first time there arc real
signs of an industrial revival slow,
bat apparently re-and on a sound
basis, the circulation is within a few
millions Of the year 1870 f&688, ,000.-
000l, and when the honest greenback-
labor man looks back with 4 sigh to
the good times of 1870, he should un-
derstaRd that the country has now
substantially the same amount of cir
cuiating medium as then and when
he IS told by some dnack like Ewing
or Cary that what is needed is moro
currency, he onght to reply by point
ing to tie fact that it was precisely
wsien the greenbacks were most
abundant that the big panic broke.
But he ought to add, for the informa-
tion of the 1nacks who are misleading
him, that while the currency is now
nearly at the Same volume MS in the
prosperous year 1870, its value, reck-
oned in gold, has greatly appreciated,
and if we count in gold there was but
S599, ,00O, 600 worth of paper in circu-
lation in 1870, against 1854 ,0OO, 900
worth IN the present year.
1t is another greenback fallacy that
the country is poor. If it were really
poor, surely no one is SO absard as to
say that the printing of great qnanti-
ties of paper promises could make it
rich. It is not the amount Of notes n
farmer or merchant has out which
makes him rich man. but the amount
of grain or cattle or merchandise he
owns, and the country is in this re-
speet like the individual. In fact,
however, the country is not poor. 1t
has had Il succession of great crops;
it produces, as official statistics show,
more cotton and woolen goods. more
iron, more coal, more products of all
kinds this year than in 1870 which
was the year of model prosperity to
which tile greenback- -lfh1r man al
ways refers. In fact tic American
people are so ingenious and industri,
ons that in many and perhaps most
branches Of industry. they produce
more than they can themselves use.
But prices are low is the general
complaint; ; and 50 they are, to file
great comfort Of every body who con
sunes.