The Emmett index. [volume] (Emmett, Idaho) 1893-1925, 1894-10-13

Fourth-Thst when It appreciates,
prices fall; when II deprecistes, prices
rise
Fifth-That the value Of money itself
Is fixed BY It's exchangeable or purchasing
power over other commodities; and this
purchasing power Of money is deter
mined wholly and solely by the proper
tion that the quantity Of money IN circu-
lation bears TO other commodities. In
other words, when the supply Of money
In circulation is small, relatively tO other
commodities. its purchasing power is
increased; when IL is great, its purchas-
ing power is diminished. That is. the
value or purchasing power Of money Is
governed by the supply Of money and the
demand for money.
The demand for money Is incessant: .
the supply is the creation Of the govern
ment Before the demonstration of sill
Yer In 1873, the worlds supply Of gold
and silver amounted 10 81 800 600. 900,
very nearly equally divided Gold is the
money OF redemption now. The supply
has been cut in two, causing fall In
prices.
The continued decline In prices IL going
on and therefore we can say that. when "A
one article or class Of articles alone. but
on the products Of all industries: when
found not to be- confined TO any one elm
ate, country or race OF people but 10 DIFF
fuse itself over all gold standard COIN
tries; when II Is found not 10 be
characteristic Of any one year. but 10 90
on progressively for a series Of years, IL
becomes manifest that il does not and
cannot arise from local. temporary or
subordinate causes, but must have It's
origin and development IN some principle
Of universal application
Ovcrproduction cannot account for II.
Tor production means the creation OF
wealth Wealth can be created In no
other way, therefore II ovcrpropuction is
the cause, you can create too much wealth,
which is the same thing as 10 say that
wealth Is not wealth.
Neither can IL be- attributed 10 i'm.
proved mechanical devices, progress in
manufactures. improved transportation,
inventions, banking. etc, because all OF
these increased relatively ms rapidly prior
10 1873 AS they have done since; and foI
20 years prior 10 1873 there was no such
fall In prices as there has been since. but
on the contrary. there was continual
rise. Besides. II is very strange that this
fan began setting In at the exact moment
when the link was broken between golt
and silver.
Again. Il Is absurd that n revolution oil
this character could have affected gold $,
seriously, and should have left silvei
prices unaffected Silver is the standard
Of value OF more than half of the world
and where Il Is the standard prices re
main the same. while in all gold standar,
countries prices have fallen 40 to 80 pc
cent.
II this fall Is due 10 improved machin
cry. thereby causing ovcrproductiOn, how
are we 10 account for the fall In the valu'
" land Certainly there has been M
OvcrprOduction OF land.
What, then Is II that has caused thi
general decline in priccsy 1t has beer
brought about simply by shrinkage in thu
volume II money relatively to population
and business II the volume OF money II
circulation be made TO bear "A direct AM
steady ratio TO population and business
prices will be maintained at stead
level; and, what is of supreme import
ance. money will change little In value