Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1878-04-01
"Scarcity" of Money.

"The Journal says there is not scarcity OF
money, but scarcity Of salabe products No
body thinks money is plenty except bankers
Heretofore the hard money papers have said that
the trouble was 'overproduction. "-Camden
Herald.
In reply TO the above flimsy paragraph,
the Lewiston Journal takes the ground we
assumed several days ago, viz that one
cause for the "hard times" is the deser-
ton of the farms and overcrowding OF
population in the cities. The Herald can
not see how there may be over-production
in certain directiOns-manufactu goods
for example,-in consequence of which
they became unstable; while at the same
time there may be under-production in
other Neutrality-suspicious. produce for
example. This is the present condition of
things which we now see in this country
The balance of production has been des-
troyed by transfer Of population from
the country to the city and village. When
ever such a disturbance of production
arises, it injuriously affects all kinds OF
business.
The Herald's suggestion that nobody
thinks money is plenty except bankers and
other men of means, put into the painesl
English, is simply this Those who have
money or the means or credit to obtain it g,
may think it is plenty; but those who
have neither, think il is scarce. A.
money is only one form OF property, and
men who have property that any one
wants to buy, 1. e. saleable products, have
no more difficulty in obtaining greenbacks
than they have in obtaining anything else
valuable and saleable-the complaint mus
simply be that money is not plenty with
men who have not the credit to hire it, or
property that anybody else wants to ex-
change for it. We should like to find
country where money is "plenty" with
this class. When we do we shall find IA
place where man can get something for
nothing. How could it help such men for
government to issue more money! Gov
eminent would not give away greenbacks
1t does not have any war purchases to
make. 1t could dispose of them only To
those who have an equivalent value to
give for them. just as capitalists are ready
to do all over the country. The poor man
would be no better off.
None of our products are now made
unsaleable by scarcity OF money, for
there is so per cent. proportionately more
currency now than before the war; and
there is more surplus money offered on
call and at lower rates OF interest, than
ever before. Why so many of our pro-
ducts are unsaleable, Is partly because OF
over-production in certain departments !;
partly because OF the diminution of con
sumption caused by the fear of the future
stimulated by the threats OF mischievous
men and other causes; partly by the
disturbance of business and industries.
caused by war, fluctuations of the curren-
cy and of prices, and by distrust.
What the country wants is not more
currency-it has large surplus now
but better demand for and circulation of
what we have. This can come only through
such a revival of confidence as will en-
courage capital to start up new industries
that will open new and enlarge old ave
nues of employment, stimulate production
in directions where it is insufficient, and
consumption In productive directions.