The Hawaiian gazette., 1880-02-25

LEGAL TENDER here is in United States
silver and gold coins at their full value, and
other coins at their value as fixed by the King
in Privy Council and published by the Minis
ter of Finance. These silver coins are legal
tender for debts of $50, for debts from SlOO to
$1,000, one fourth silver and the rest in U. S.
gold, and fifteen per cent. silver for debts
above $1,000. Custom duties are payable only
in o. S. gold or its equivalent Under this
law the following coins which are common
here have received official values, viz:
English Sovereigns. 10 U. S. half-dollars.
French Five Franc pieces. 2 "
Mexican Dollar, (old die 2 Z"
&" :" new die 20 cents.
Chilean Peso.
Peruvian Sol.
There are several unfortunate features in
the present legal tender law, and the law is
rendered still more injurious by the fact that
it is allowed to become dead letter by the
influence of those who control the money mar
ket. The old axioms of political economy,
that cheap money always drives and keeps
money of full value out of a country, and that
people send away from a country all the
money they wish and can afford to send,
whatever the currency may be, have been ap-
pealed to in vain by those who have fought
against the present system. Their argument
is not met by argument, but merely by asser-
tions that these are theoretical views, that this
country is exceptionable in having no coinage
and mint of its own, and that q. S. gold coin
is so attractive to Chinese that if they could
get 1t at par they would drain the country of
gold. 1t is high time that we return to U.
S. gold basis. Most creditors, and as rule
the bank, require notes to be made payable
Sin q. S. gold coin or its equivalent" And
II "A. I H., Al.
cent. premium. The bank and others who
wish to do so, import and pass off for dollars
of one hundred cents each, French five franc
pieces intrinsically worth only about SO cents
each, Mexican dollars, worth by the United
States valuation 909-l0 cents, U. S. Trade
Dollars worth about SO cents each, q. S. half
dollars, two of which are worth 96 cents.
1t is good paying business for those who
have occasion to import coin to buy at the &C
tual values and pass it for these unreal values.
The wrong we suffer is all the greater when
we consider, that our sugars are all payable in
U. S. gold, but that the planters never get the
benefit of dollar of gold. Who does get the
benefit of it? Certainly our banking men and
money changers do not lose it, nor do they
pay for the silver coin brought here any more
than it is worth in San Francisco, Why in
the name of common sense do we keep on
receiving debased silver CONS instead OF
coins at their intrinsic value? Who are the
gamers by this course? The losers we
know are those who have to use or pay
out gold. If sill yer coins were properly
valued, at their intrinsic value as estimated in
the United States each gear, we should be bet
ter off if the law were enforced, for the less
bulky gold would soon be brought here in
their place. We should then see the fallacy of
supposing that coin can be kept here to the
advantage of the public, by debasing its value
or in other words, by passing it for more than
it is worth. But those who perhaps correctly
imagine themselves to be the gamers by the
present method, would not continue to make
such gains. AS long however as men control
this business who are gaining or think they
are gaining by it, we shall continue thus to
stultify ourselves.
The difficulty of mint could be overcome
by the government causing coins of its own to