The Middlebury register. [volume] (Middlebury, Vt.) 1850-1882, 1879-11-28

~Lack of space has prevented us
from giving earlier attention to long
review of recent editorial in the
Register on the Cfiat money ques-
ton, by the Vermont National. To
canvass the whole of the Nationals ar
ticle would occupy too much ground,
nor is it needed if the discussion be
confined strictly to the question wheth-
er government fiat gives value to
money. The rehearsal by the National
of the various values assumed by the
gold and silver issues of the govern
ment may be interesting reading, but it
seems to have little bearing upon the
question at issue. Unless indeed it
be taken rs sufficient proof of the in
correctness of the Nationals views.
When the National recalls that at one
time the gold dollar was worth only 95
cents in "money of account" and the
silver dollar at another time was worth
1O4 cents in the same "money of ac-
count" and that now the gold dollar
is worth 100 cents, while the silver dol
lar is worth IS, 81, 80, or whatever
number of cents it may be in the
present fuctuatingI value of silver,
1t clearly shows that the government
fiat does not have the effect claimed for
1t, and that some other law than that of
Congress governs the value OF gold and
silver, and this is the fact. With re-
spect to each other, gold and silver
huctuate greatly, and the various coin
age acts have been simply SO many at
tempts by legislation to regulate the
amounts of the metals in the dollar so
as to bring their intrinsic values to an
equality. But the government fiat has
been powerless to do this. The values
of the metals are governed by natural
laws of commerce, and when the coin
age laws of the government, its "fiat, )"
conflict with these commercial laws,
the Stat, proves powerIess. The
fiat" can say that 100, 200 or 800
grains of silver shall make a legal ten
der for dollar in payment of debts; it
can say that piece of paper of certain
size and with certain inscription shall
be legal tender, aud for that purpose
1t may temporarily have value, but such
unjust values can never be maintained.
aud the attempt to maintain them has
always resulted in disturbance and in
jury to trade.
In the Register editorial referred to
a statement is made as follows:
"2o.S grains Of gold in the form of a
bullet or rough mass with no Gov
eminent stamp whatever upon il. is n
dollar and would by any one be accent
ed as dollar, because the material has
value in itself, which no government
nat can give to it or take from it."
To this the National replies:
"This is an utter absurdity, SO absurd
tnat no argument is needed to refute il.
II IS true that many people would re-
ceive the rough mass of gold, weighing
700 grains for one dollar, but the law
says that the dollar shall have a certain
form and inscription as well as weight,
ana only under such conditions will il |
be made a legal tender"
The National does not show anv ah-
surdity in our statements. We did not
say THAI such a rough mass of gold
wosld be legal tender, but no man
would refuse to take it as payment for
2 dollar If no was satisfied that it was
really and truly gold, and that 1t had
been correctly weighed. This is the
advantage of the government inscrip-
ton. 1t does not give one cent of
value to the material, but 1t satisfies