Northern tribune. [volume] (Cheboygan, Mich.) 1875-1885, 1878-08-10
GreeRback Labor Fallacies.

The voters i'm this country who incline
to support the greenback labor party do
so on these grounds They see that in
dustrv and trade are not prosperous; they
would like to see the country once more
on the high wave of prosperity; they
have been told that severe and pinch
ing contraction of the currency caused
the collapse OF 1873 and the prostration
which followed; and they believed that,
in some way. they know not how, a new
and great imitation of the CURRENCY would
give us new period of good times,
Now, II they We're right in their con-
illusions and belief, we should agree with
them and support the greenback labor
party. LII they are wrong, however, they
are in the position of Il physician who,
when ealltd ii w treat a very serious
case of disease should mistake IFS nature
and give the wrong remedies. He would
injure the patient and not help him.
Where the sick man is a big country like
this it becomes a grave matter. to offer
prescriptions. and we have at least a
right to require that the doctor who
presses his medicine upon us shall unde.-
stand the disease.
L. Now, iG is a greenback-labo fallacy
to assert that great contraction of the
currency has caused the collapse and
hard times. There has been, in fact. no
such great contraction. Official statistics
show that the amount: IF paper money
out exclusive of interest bearing notes.
which cannot properly be counted, be-
Cause they very rapidly disappeared from
circulation, was greatest in 1874, after
the panic and collapse OF 1873; that there
fore. the greatest amount ofpaper money
in circulation did not prevent or cure a
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, $GSS.000,000; i'm 1871,
7l6.000.000; in 1872, $4,000, 900; in 1873.
in the year when the panic and depres-
sion began, $749,O0O,OCO; in 1874,
$7S3.000,O00; in 1875, $773.000.OG0. In
1878, the present year, when for the first
time there are real signs of an industri
Gus revival-slOw. but apparently sure
and on a sound basis, the circulation is
within few millions of the year 1870
$6SS, 900, 0G0-and when the honest
greenbacklabOr mall looks back with a
sigh to the good times of 1870, lie should
understand that the country has. now
substantially the same amount of circu-
lating medium as tn en-; and when he is
told by some quack like Ewing or Cary
that what is needed is more currency. he
ought to reply by pointing to the fact
that it was precisely when the greenbacks
We're most abundant that the big panic
broke. But he ought to add for the in
formation of the quacks who are mislead.
ing him, that while the currency is now
nearly at the same volume as in the pros
porous year 1870, its value, reckoned in
gold, has greatly appreciated, and if we
count in gold there was but $500, 100000
worth of paper in circulation i'm 1870.
against 1854 100000 worth in the pres
ent year.
III. Iii is another greenback fallacy that
the country is poor. Ii it were really
poor, that printing a great quantity OF
paper promises could make it rich. Il. is
not the amount of notes a farmer or
merchant has out which makes him a
rich man. but the amount of grain or
cattle or merchandise he owns, and the
country in this respect is like an individ-
tfal, In fact, however, the country is rot
poor. 1t has had succession of great
| crops; it produces. as official statistics
show, more cotton and wOllen goods.
more iron, more coal, more products of
all kinds this year than in 1870, which
was the year of model prosperity to
which the greenback-labor man always
refers. In fact the American people are
so ingenious and industrious that. i'm
many and perhaps most branches of in
dustry, they produce more than they can
themselves use. But prices are low is the
general complaint /; and so they are, to
the great comfort of everybody who con-
Sumes,
Ill. 1t is greenback-labo fallacy that
irredeemable paper and plenty of it is
good fer the workingmen, On this head
the history Of the years 1868 to 1875
ought to be enough to warn the work
ingmen. Citizen Schwab summed up
that experience so well the other day
that we cannot do better than TO repeat
what he said A new imitation of the
currency would give the Spectators a
new chance, perhaps; it would make the
| fortunes of merchants with stocks OF
goods OH hand, but it would raise prices
taster than it would raise wages. and
thus impoverish and not benefit the
workingmen. Mr Schwab said :-"The