The Louisiana populist. [volume] (Natchitoches, Natchitoches Parish, La.) 1894-1898, 1894-12-28
PRIMARY ECONOMICS.
The Nature, Attributes and Functions OF
Money Clearly Discussed and EIabor-
afpd.

The Nature. Attributes and Functions, of
Money Clearly Discussed and Eiabor-
ated.
Money is not metal and metal is not
money. Money is what the govern
ment says shall be received in full sat
isfaction of debt. Strike piece of gold
money a heavy blow with hammer
and it is no longer money. The money
has vanished. You can no longer COM
pei creditor to receive it. Why? Be-
cause the edict or fat of the govern
ment has been obliterated. The metal
may be sold like so much lead or iron
and it possesses a known commercial
price, but is not money.
Money on paper usually contains
promise TO pay. 1t is an awkward and
useless expression. All real money is
legal tender, and legal tender needs nc
redeemer in money. When presented
for redemption it can be redeemed in
any legal tender money, hence it can
have no real redeemer. National bank
notes and silver certificates are not
real money, because a creditor is not
compelled to receive them.
1t is odd, how easily unthinking peo-
pie can be stampeded away from the
truth. The hirelings of Wall street
sent up the cry. some years ago. of
''fiat money" The cry was echoed by
an unthinlIing press till the people
were scared into the belief that fiat
money" was poison. They have finally
regained their senses We no longer
see fiat money held up to ridicule.
People have learned that there can be
no money but fiat money. The fiat is
what is the money. The substance
bearing the fiat has nothing to do with
the money. That substance may. or
may not, possess a commercial value,
but if it possesses a commercial value,
like gold. it is an evidence Of the de-
struction of wealth. So long as that
substance bears the fat of money the
commodity is valueless. When you use
the commodity you destroy the money.
1t is, therefore, unwise to stamp money
on any valuable commodity.
1t is ridiculous TO suppose that we
need a metal money to trade with for
eign countries. Money (the fat never
passes beyond the jurisdiction of the
nation issuing it. We believe it un-
wise to import goods that can be made
in this country, but wise or otherwise,
if we wish to prohibit importation,
our money should never be placed on a
metal that Is liable to be exported. If
that metal must be exported, let it be
In discs, such as are now used, with
simply the weight and fineness
stamped thereon.
Statistics, however, show that our
metal is never sent abroad to settle
balances. For twenty years past there
has been no considerable length of
time when we imported more than we
exported, so that there could be any
balance to settle. During that time
we have exported hundreds of millions
of dollars worth of products more
than all our importations. This shows
that the vast expectations of the money
metals has been to pay the interest on
foreign capital invested in the bonds,
factories, lands, railroads, etc, in this
country.
II those foreign leecheS want any
particular product of ours and will pay
for it. let them have it. Let us pro-
duce all we can and sell it to them, but
do not let us issue bonds to buy it back
1t would be the part of wisdom to keep
our gold mining at its best and pro-
duce enough gold to satisfy the greed
of Shylocks. While they are so anx-
ious to buy that metal, it is good busi-
ness policy to sell them all we can pro-
duce. instead of issuing bonds to enter
the scramble for that metal While
the wild scramble for gold is on. we
cannot be injured by it if we will stamp
our money on something else. As it
now stands, when those Shylocks grab
for the gold they destroy our money.
Money should never be placed on any
substance that is 50 liable to be COB
bled. However much we may advocate
the unlimited coinage of silver and
gold IS to 1, it is our firm belief that
metal should not be extensively used
to bear our money fiat. Paper is ham
dier and is not so cowardly in time of
trouble.-Meadville PA Sledge Ham,
mer.