The Iowa plain dealer. [volume] (New Oregon, Howard County, Iowa) 1867-1895, 1882-09-14
y that II il only to be callal into exer-

nation whiell may make it expe,lient
md imperative to exercise il. But Of
The occasions when, and Of the time how
long It shall be- exercised and in force,
i il for the Legislative department Of
The Government to Judge.
Another ground Of the power to
issue treasury notes or bills il the mr.
rcssity Of providing proper currency
for the country, and especially of pro-
viding for the failure and disappearance
pf the ordinary currency III time Of
financial pressure and threatened col
lapse of commercial credit Currency
is national necessity. See II Wallace,
pages 662-569.
EFFECT or VOLUME or MONEY ON PRICES.
During tho great panic that began in
1873. and lasted till 1879, Con-
grcss, by Joint resolution, appointed
what is known as the Silver Commits
sion, to inquire into the causes Of the
commercial depression.
This commission was to consist Of
three Senators, appointed by tho Sem
ate; three members Of the House, ap-
pointed by the Speaker, and three ex-
perts to I've selected by and associated
with them.
The commission, rs organized. con.
sisted Of Senator'S John p. Jones. Lewis
Y. Bogy and George s. Boutwell,; also
Representatives Randall =. Gibson.
George L. Willard and Richard =.
Bland.
The three experts were Hon. William
5. Groesbeck, of Ohio: Prof. Francis
Bowen, Of Massachusetts,: George NJ.
Weston, of Maine, Secretary.
These nine gentlemen were members
Of the Republican and Democratic par
ties; but with singular fidelity made a
thorough investigation, and submitted
report, which evidences the highest
ability.
Their statements make ID clearly evi-
dent that the doctrines and teachings Of
the Greenback party are essential to the
welfare Of the whole people.
On page 81 to 53 We read Ms follows
in the report Of this eminent committee:
sTEADlNEss OF INCREASING voLuME-rTs
EFFECTS.
1T is in volume of money keeping
even pace with advancing population
and commerce, and in resulting steadi-
ness Of prices. that the wholesome nu-
triment Of healthy vitality il to be
found, The highest moral. intellectual
and material development Of nations is
promoted by the use Of money un-
changed in its value.
That kind of money. instead Of be-
ing the opprcssor. is one of the instru-
mentalitics Of commerce and indus
tries"
Page 81.
"Stca.liness in prices insures labor to
all. and exacts labor from all.
1t gives security to credit, and sta
bility aud prosperity to business.
1t encourages large enterprises, re-
lniring time for their development. and
crowns with success well-matured and
carefully executed plans.
1T disconragcs purely speculative
ventures, and especially those based up
ON disaster.
1t encourages actual transactions
rather than gambling on future prices.
1t metes out justice to both debtor
and creditor. and secures credit to those
who deserve it.
1t prevents capital from depressing
labor aud labor from expressing capi-
tai, and secures to each it, Just share of
the fruits Of industry and enterprise.
1t secures responsible interest for
its use to the lenders of money, and a
just share in the profits Of production to
the borrower.
1t keeps up the distinction between
a mortgage and deed.
1t insnres moderate competence to
the many rather than colossal fortunes
to the few at the expense of the many"
ErFEcTs oF DECREASING vuLuME.
"While the volume of money is de-
creasing, even although very slowly. the
value Of each unit of money il increas-
ing in corresponding ratio, and property
is falling in price.
"Those who have contracted to nav
money find that it il constantly becom-
ing more difficult to meet their en-.
gagements. The margins Of securities
melt rapidly away, and the confiscatiop
by the creditor Of the property on which
they are based becomes only question
Of time.
~All productive enterprises are dis
couraged and stagnate because the cost
IF producing commodities to-day will not
he covered hy the prices obtainable for
them tomorrow. Exchanges become
sluggish. because those who have money
will not part with il for either property
or services, beyond the requirements ot
actual current nesessities, for the oh.
vions reason that money alone is increas.
ing in value, while everything else i
declining in price.
".rhis result il the withdrawal Of
money from the channels Of circula'
ton and its deposit in great boards
where il can exert no influence on
prices. This boarding of money, from
the nature If things. must continue an,
Increase not only until the shrinking ol
its volume has actually ceased, but un
til capitalists are entirely satisfied tina,
money lying on special deposit will II,
longer afford them revenue. and tha,
the lowest level of prices has beer
reached.
1T is this boarding Of money. whel
its volume shrinks. which causes a fal
in prices greater than would be caused
lN the direct effect of decrease in tn,
stock of money.
"Meney. in shrinking volume. he
comes the paramount object Of com
merce instead Of its heneticent instrn
ment.
Instead Of mobilixing industry. i
poisous and dries up the currents.
II foments strife between labor an.
other forms of capital. while itself, hid
den away in security. gazes on both. L
rewards closc-iisted lenders and hank
rnpts enterprising borrowers. 1t ha.
been in all ages the worst enemy witt
which mankind has had to contend.
The following formula, kindly fur
nish,d the committee by Hon. l.. H
Weller. will demonstrate the effect o
the volume Of money on wages an,
labor. The value of labor. like every
thing else. is controlled 10y the yolunl,
4 r