The Goodland republic. [volume] (Goodland, Kan.) 1891-1907, 1894-02-23
NE GOLD srANDARD.


pared with the demand, is disastrous.
It compels the debtor to pay in dearer
money than he undertook to pay when
he entered into the contract. 1t dis
courages enterprise, because property
produced or acquired by the invest
ment of money declines in price and
thus the probability of profit upon any
venture is diminished. When money
is advancing in value, or, what is the
same thing, is increasing in purchasing
power, the human instinct of gain in
duces investments in money. Such in
vestments are made by exchanging
property for money, with a purpose to
hoard it, or for bonds and other credits
which are investments in money fu-
lures. Investments of this character do
not create wealth, but absorb wealth
already produced.
When prices are rising, the same in
stinct leads to the acquisition of prop
erty. Property is acquired by purchase.
and by production which results from
the employment of labor. The employ
ment of labor in production is the
source of all wealth and prosperity.
Spectators of every description, in
Guiding dealers in money, in the Ian
guage of Wall street, 'tgo long, on those
things, whether property Or money,
which are rising in%price or value, and
go short on those things which they
believe to be on the decline Since the
demonetization of silver, money has
been approaching in value, and the
competition to acquire reliable money
futures has been so great as to induce
people to accept very low interest, in
view of the prospect OF an increase in
the purchasing power of money invest
ed. The decline of prices has been so
serious to induce prudent men to go
short on property, by declining to en-
gage in new enterprises, and by covert
ing their property into money future.
Enforced idleness, produced by the en-
hancement of the value of gold, or
what is the same thing, the fall of
prices, has withdrawn. the progressive
and the ambitious from productive I'M
dertakings, and has led them to seek
wealth by investment in money futures.
An infinite variety of causes affect
progress and prosperity. Wars, pesti
lence, famine and bad government are
common Affections of the human race.
But, in the absence of a known and
great calamity, contraction Of the cir
culating medium is the only instru-
ment of universal misery. No form of
civilization or gov eminent has been
able to withstand it's bIightning influ-
ence, or to survive its long continu
ance. The unlimited use Of gold and
silver, under present conditions, would
rescue the country from pending dis
aster, and if the mines should continue
productive would secure prosperous
future. If ignoring well known facts,
such as that the quality of gold coin in
existence is constantly being reduced,
through abration and loss, and, that
there is not any reasonable prospect of
a future production of gold more than
sufficient to supply the arts, the money
powers shall continue to resist the res
toration of the automatic system, and
to insist that the volume of money OF
ultimate payment shall be reduced to
the narrow basis Of existing gold, an
effort must be made to secure more
scientific money system, which would
dispense with the use of the precious
metals altogether. .r,
=
vented, whether government. or bank
currency, redeemable in goId,e6r priva-
tie checks, bills of exchange or other
promises to pay, the volume Of the cir
culating medium must ultimately do
pend upon the volume Of money cloth
ed with every money functions Money
redeemable in other money is simply.a
form of credit. Credit is limited by the
means OF payment or redemption.
Since prehistoric times and up to the
year 1873, the fabric of credit, includ-
ing currency redeemable in com, rested
on both gold and silver The part of
the foundation which consisted on sill
yer has been removed and the silver
coin, which formed at least one half OF
the base, has been converted Iato cred
it money to be redeemable in.gold. In
round numbers, the gold e5in, silver
coin and paper money of the. world are
about equal to each other. The pyra-
mid was firm and substantial While gold
and silver were the base and constitu-
ted two-thirds of the fabric and while
paper, the apex, represented p8sly about
one-third. It now stands yG9ld coin,
one-third for the apex; aud silver and
paper two-thirds, for the bases but the
sy-assiss