The Helena independent. [volume] (Helena, Mont.) 1875-1943, 1893-02-06
MONEY FOR THE STATE.
Mr.. Kinman, Of Woodville. Replies
to an Objection to His
Argument
He Shows How tho Silver Dollars
Would Not Depreciate
in Value.
No Chance to Lose and the Legislature
Should Not he Dsreiict In
Its Duty.

To The INDEPENDENTS: In a previous ar
Iicle l have demonstrated that. notwith-
standing the probationary clauses or the
constitution of the United States. Montana
or any other state has Il perfect right to es-
tablish a mint and coin money, and that
the Ia without resource to pre-
vent such coinage. But | am met with the
objection tina this monoy would depreciate
in value, 1t is to meet this objection that
l ask space in your always courteous and
truly independent columns. In the fl st
place l would have these silver coins re-
ceivable at their fnce value for all public
debts. such as state and county expenses,
the salaries of ali state. county and town.
ship officials. all taxes and Judicial ex-
penses. for all appropriations for public
buildings, bridgcs, reservoirs, etc. These
amounts may safely be placed at 81, 000. 900
annually, SO that we can coin this amount
without fear of Its depreciation.
II IL certain that If an issue OF money is
as abundant ns the leaves Of autumn, it
will be of Is little value. But there is u just
and proper limit to the volume of the cir
c~ulating medium. Money is not value. it
only represents value, and 80 long as there
Is a single dollars worth Of property which
ia not represented by n dollar in money,
there ia not a sufficient volume of money.
The value of the property in the state is the
proper limit for the volume of the eli culat-
ing medium. Up 70 that point all money
that has ever been issued by n stable gov
eminent. or state, made receivable for all
public dues. has circulated at par. and no
one can show to the contrary. But if we
issue money in excess of the value of the
property in the state it is certain to depre-
ciate in value in just that proportion of the
over issue.
But it ia urged if we coin all Of our silver
product it will bring our per capita cir
c@ulation up to $50, which is a larger
amount than osn be safely issued. Statistics
demonstrate that fully 30 per cent of the
business of the country Is done on Il credit
basis. When credit takes the place of
money, 1t is money to just the extent Of
its usurpation. Then how much money is
there in circulation? Let us place tho
aggregate of national money at $1,000, 00O.-
600. 1t is more. but to avoid a possible
over estimate we will place the amount az
that figure. One billion represents ten one
hundreths, or one tenth of the money in
actual circulation. which makes the circu-
lation of the whole country aggregate
$40, 600. 600, 900. which amounts to $l69 per
capita.
Again, the report of the controller of the
currency for 1890 shows that the banks Of
the United States had on deposit subject to
check $415. 0OO. 600, actual money. and on
this they built up a credit OF "a 1913, 600, 01O.
which ia also subject to check, which When
added to tho volume Of our national mono.
give ca a per capita circulation Of 1873. This
amount falls much short of the calculation
above, which showed the volume of money
to be $3.50 per capita, but then this latter
only includes the transactions OF tn,
banks, while the former includes all classes
of creditors. and is the correct bnsis upoI
which to make the computation. But lesl
some one should dispute the fact tina,
credit is money, l will quote two of the
most renowned economic writers that Law
lived in any age. John Stuart Mill saws;
Credit. which is used to purchase CON
modities affects prices in tn same manner
as money. Money and oredlt are thus on n
par in their effect on urlces."
Mcleod says: Credit is the name of /,
species of incorporeai property, which Is OF
the same nature as but inferior in degree t,
money, and it fultllls exactly the sam
functions us money a. a medium of ex
change or circulation" History clearl,
proves that just in proportion as nctuhI
money is increased i'll volume credit none
decreases ant vice versa-as tho volume 81
actual money ia cont acted the volume Q.
credit money expands.
Now this colossal volume of credit none,
is created and controlled by TIE credito :
and in their own interest, which 10 again,
the interest of every one else. Now II W.
make the volume OF actual money equal ip
the volume of actual and credit money,
now in circulation, and estimate the popn
lation of the state at s. 900, COO souls, we caA
issue 80, 600, 600 silver dollars without intlai.
ing the currency and the only etIect on til.
business and Industries of the state vii! u,
that credit is displaced by cash.
Credit money Is nlggardly, close listed,
gtinRv. eXactipg and costly money, Will
cash is life, happiness and JOY. to all who
possess 1t; 1t causes no aching head, OF
anxious thought. 1t brings in its train ~
hor,id dreams of foreclosure, destitution
and want.
The continental money Deprecated be-
cause 1t was issued by q loose confedera-
ton.
The old state bank currency depreoiatca
because they issued three collars in name
based on one dollar in CON-.
The c%reenbaok deprecated because they
were not receivable for custom dues, an
would not pay interest on the public debt.
Bus all money ever was. Issued by an OF
gsnized state, receivable for ali purpose by
the state. at its face value, has OF culuteu
at par.
Moth Carolina at the close of the revo,u-
tion issued $500. 900 in currency, receivable,
in the revenues of the state, and John C..
Calhoun is authority for the statement tina,
they remained in circulation at par, wit
gold and silver for moro than twenty yeats
However, we need have no fear of our
silver coins falling below their bullion
value. and we can derive only benefit from
the fact that increased consumption o
silver Will enhance the value OF our silver
product and in that alone we car but be
the gninere. There is no chance to loose.
The legislative assembly will be derelict in
their duties should they adjourn without,
providing for the coinage of Montana silver
dollars. G. j.. kINMAN.
Woodville. Mont. Feb. ., 1893.