The advocate., 1891-10-21

have always resulted from every attempt
to establish or maintain metallic basis.
Now a few words upon the abstract
subject of money. What is money? You
make many assertions upon this subject,
but submit that you offer no proof Of q
single proposition. Judge Tiffany in his
constitutional Law" says:
There ID legally no such thing as gold or silver
money, or paper money. Money Is the sovereign
authority impressed on that which is capable Of
taking and retaining the impression. That
upon which the stamp is placed Is called coin;
the coin may he metal parchment or paper.
The UDlUs Is in the stamp, and not IN the metal
or material.
Henry Cernuchi, a French writer upon
political economy of wide celebrity and
great repute, and the French representa-
tive in the international monetary con-
gress Of 1878 says:
Money is q Udlue created by lGU. Its basis is
legal and not material. 1t Is perhaps not easy
to convince one that the value of metallic money
is created by law. It is, however, q fact.
The American cyclopedia has sum-
married. the accepted authorities upon
this subject in the following brief
synopsis:
Money, the currency of the realm or country
the standard Of payment, whether coins, circu-
lating notes or any other commodity. Anything
which freely clrculateS from hand to hand as a
common, acceptable medium Of exchange in any
cOuntry,i money, even though It cease to be Such
or to possess any value, In passing into another
country. In aword, an article is determined to
be money by reason Of the performance by It Of
certain functions, without regard to It's form or
substance. Money has been termed by Henry
@. Carey ''the instrument Of association" and
the same writer has said OF 1t that 1t is a saving
fund fOr labor, because 1t facilitates association
and combination, giving utility TO billions Of mil
lions Of minutes that would be wasted did not a
demand exist for them at the moment the power
OF labor had been produced" Aristotle
says OF It that ut exists not by nature, but by
law" How true is this doctrine or at least how
potent is the law under civilized government
in lmparting the quality Of acceptability for the
payment Of debts and the purchase Of commOdi-
ties to that which it recognizes as money, is
clearly proved by the operations Of the bank Of
Venice during several centuries, throughout
which time its deposits were NEVER PAYABLE,
but only transferable on the books OF the bank,
were AT A PREMIUM OVER COINS, because
they ICeTC the standard Of pOUnlent furnished by
the state, and used for all large transactions.
Indeed this bank money was that which estab-
llShed the money Of account, and In which the
value Of all coins was expressed. Further, on
the testimony Of Thomas Barring, we are assured
that 1t was found impossible during the crisis OF
1897 In London to raise any amount Of money
whatever on sum OF $4,000. of silver. During
similar crisis In Calcutta In 1864 It was equally
impossible to raise single rupee on 100000 of
gold. The former was not legal tender above
40 ShillingS, while the latter was not so for any
sum whatever.
In view of the fact that you offered
nothing but your own unsupported
averments upon this subject, I think l
can afford to dismiss it at this point; and |
/ think further, that can safely say
that the entire basis of your labored Of |
fort is completely swept from under you.
The fallacy that gold and silver are
money by natural right or by any other
right except as they are made 30 by law
and by the stamp of sovereignty, is too
prepOsterous TO gain any great credence
in this enlightened age and country.
Your claim that greenbacks, upon
which that stamp has been impressed are |
not money, is equally absurd; and equal
ly unsupported by evidence. The United |