The Iowa plain dealer. [volume] (New Oregon, Howard County, Iowa) 1867-1895, 1888-04-26
PLAIN DEALRRS
EVERYTHING IN TEE LINE o.
JOB WORK,
Bin-Heeds, Cards, Posters, Cir.
CularS.
Siildaeue1 h neainess, .Prnpiness i1d
Price Guaranteed.
ar0IYU % A TRIAL BEFOR1 0RDEne
ING 0ELSEWHEKKEa
crop say one-half would be the same as

crop say one-half would be the same as
practically destroying one-half of it as
far as paying debts or procuring sup
plies is concerned. The great ques-
tions are. does an inadequate supply of
money do this2 And is the present sup
ply Inadequate?
1t is 4 financial axiom that prices OF
products bear certain relation to the
volume Of money IN circulation. Ii
money was a product Of labor, its sup
ply would bear q just relation to the
amount Of labor available for produc-
ton, stimulated by the natural demand
for it. like any other product.
But money being a creation Of law,
designed for \ medium to exchange
products, and its volume not controlled
by labor. its value bears certain rela-
ton TO the products TO be exchanged,
determined at all times by the relative
quantities.
Understand, il is the relative quanti-
ties that determine this relative value.
An increase in the quantity of pro-
ducts to be exchanged would have pre-
cisely the same effect a. decrease OF
the medium of exchange. 1t would
diminish prices.
An increase in the quantity of the
medium Of exchange would have pre-
ciscly the same effect as 4 decrease Of
the products to be exchanged. 1t
would increase prices.
This law holds good without any
reference to the kind Of money used,
provided it is the kind furnished by
law, and accepted as the legal cur
rency.
Now have any processes been going
on for the past ten years which tended
to continually change these relative
quantities Of products and money, and
with the universal depression of the
agricultural interest? l think both
questions may be answered in the allir
| native.
First, throughout all the countries
which have adopted England ) system of
finance. the effort has been and is being
made, to make gold the only standard
of value and the basis of all paper
money. Consequently the tendency
has been to diminish the volume OF
currency to correspond with the volume
of gold available to redeem it.
Second, throughout these same coun-
tries there has been a great increase
through the invention of improved MT
chinery and the application of steam
and electricity. in the power of produc-
ton. These two causes have produced
a relative decrease of money and in
/ crease of products--a continual distur-
bance of relative quantities all the time
against the producer.
Third, this disturbance-this rela-
! tive decrease of money and increase of
| products resulting in the depression of
| agricultural interests, has taken place
i universally in those countries which
| have already adopted, or are making
strenuous efforts to adopt the single
gold standard.
The two great causes named are ex-
actly alike in their effects in these
countries, though their systems Of gov
ernment, land tenure and taxation
radically differ from each other. In
part Of them we have free trade, in
part high protection, in part tariff for
revenue only.
! In some we have almost despotic
empire, in some constitutional monar-
chy, in some free republic. Some OF
them maintain great standing armies.
some have no army TO speak of. In
some the land is monopolized by an
aristocracy. in some it is free to all
alike.
But in all the lands where coin is the
basis of money, and where the gold
bugs have been laying their eggs, the
products of the farm and all labor are
depressed, and the laborers are ground
to the earth.
| | will pursue this subject in another
article. j. BURROWS.