The Goodland republic. [volume] (Goodland, Kan.) 1891-1907, 1895-06-07
CARLIsLE's sOPRIs8I.


CARLIsLE's sOPHIsa.
In his speech Of late date Secretary
Carlisle made the following statement:
But suppose the change be made and
that the business affairs Of the country
have been fully adjusted to the new
standard, tdouble what viii be the
effect on cur domestic trade? The
prices of all things viii be nominally
increased is to say, it will require
a greater number of dollars to pur-
chase a given amount Of any commodity
than it required before. If prices are
increased solely on account Of an in
crease in the volume Of circulation, OF
on account Of the depreciation Of cur
rency, without any change in the rela-
ton between the supply and demand
of the commodities to be exchanged
the increase in price will necessarily
effect all things alike. If, therefore
the farmer or planter received a great
er number of dollars for his crops OF
cotton OF wheat, ne viii be compelled
to pay a correspOndingly greater mum
Der of dollars for his agricultural i'm.
plements, for his clothing and, in
short, for everything he purchases
Consequently his profit, if he has any
will bear about the same relation to his
expenditures that it bears nOW-that is
to say, if he now makes a profit Of IL
per cent, he viii make a profit of nc
more than 10 per cent then. Now it is
out of clear profit of his business that
he must pay his debts. and it therefore
remains to be seen how much benefit
he would ultimately derive from the
nominal increase in prices of COmmO
dities.
That argument has been so compile
tely exploded that a man of as much
intelligence as Carlisle should be
ashamed to have used it. 1t is a time
worn sophistry that a schoolboy could
easily cOntravene.
A farmer selling 200 bushels of wheat
under contraction for 500, and getting
anet profit of 10 per cent will have $40
But if under expansion he sells his 2OC
bushels of wheat for 500 and realizing
a net profit of 10 per cent he will have
$50. Now admitting that $40 will not
buy any more groceries or clothing
under expansion than SO under con.
traction, it would certainly pay more
taxes, more interest, more railroad
fares, freights, etc., for although prices
Of commodities have fallen so per cent
or more under contraction the above
mentioned things are at the same price
they were before commodities declined
The laboringman would of course be
compelled to pay half more for his
necessities and living expenses should
his wages be doubled, but here again
he would be better off. Suppossing be
now received 81 per day for his labor
and had to pay $3.50 per week for his
board, at the end of the week he
would have $3.50 to cali his own Under
expansion he would receive So for his
weeks work and paying s. for board
would have 81 to call his own OF 81
more than his entire weeks wages IN
der the old system. Now he could buy
more railroad fares, more postage
stamps, more everything that has a
fixed value for ST than he could with
$3.50.
The trouble is that contraction has
deprecated only produce, land values
and wages. Taxes, official salaries, in
terest, railroad fares, fees and every
thine Of like manner have remained at
the same old standard in price for
which the producer is compelled to
pay double the value he did before the
currency was contracted.
The main advantage of an expanded
currency and the double standard,
however, lies in the fact that it is not
so easily cornered; that the bankers
could not control it, and that the pow
er to inaugurate a panic or force values
down OF up would pass away from those
who now have it. Silver is the peo-
pies money in all countries, gold the
bankers.