The times. [volume] (Richmond, Va.) 1890-1903, 1895-01-20
SOMETHING ON THE STANDARD VI
VALUE.

a correspondent VIM "'N''0
sends us the following.
Gold &c about as universally dstrlpu'eu
throughout the crust OF the earth a. "'
other metal. and it would be very ui'"0 W.
IN ind q whole formation entirely barren
of It, But yet, somehow. we can Hiiu ~
very little of II in any one place 'hdI
we value il at three hundred dollars per
\ avoirdupois pound. and we don't seem 10
ne able 10 get along without IT. II mas pc
culiarities which render 1t a nttlhS stan
dard of measurement for everything elSe
I'm this world of finance, In that IL com
hines more of the factors when produce
unchangeableness in value than any other
substance known TO us. These Factors
are:
I Greatest resistance to loss by chem
teal changes. in that 1t does not oXldlZe
or tarnish. and 1t alloys most periectiy
with other harder metals, when project
ii from loss by abrasion
. Most unmstakable physical charac-
teristics TO guard against counterfeitips'
~ 1t Is the only yellow native metal other
yellow metals can he made by man by al
lowing red and white metals, but they
::rnot be made so heavy az gold, and
they can all be touched and eaten by
simple acids whereas gold can only be
touched by compound acids. such as aqua
rogia mitro-hydrochloric acid.
3. Sufficient and reliable, but not eXces-
sive, supplies of the metal.
4. Excessive cost of production TO
secure the locking up of large amounts
OF labor value in small coin packages,
thus insuring high intrinsic value.
As regards this latter qualification, II
seems that its intrinsic value very large
ly exceeds its nominal value, for.it is now
quite well determined that all the gold
produced in this country in any one year
amounts, In face value, TO only about
one-hfth of the value of the labor anu
supplies of all kinds expended in the
gold industry that same year. The prizes
are few. but they are big. very big. and
the losses are so many. but so small and
well distributed among a class of men
who don't care a continental anyhow,
that we adventurous humans 90 on care
lessly putting down five dollars and
taking up one: having four dollars worth
of fun for change. and hoping that our
turn will come next.
We work for our food and clothing in
this world, although some of us do have
tcrrapm and canvas-backs for food and
clothe ourselves in brown stone front
houses. In temperate climates we are apt
to overwork ourselves and produce a sur
plus. which some of us eXpend in fat
tening kings. lords politicians star-route
contractors, big standing armies ana
the surplus up in various forms OF wealth,
more or less subject to destruction. taxes
and changes in value. This wealth or
capital is always changing in value. up
or down, and i'm order TO measure these
changes we must have a substance as
nearly free from change as possible. to
use as recognized standard. This dcSid-
eratum we find in gold. and as we must
have 1t. we pay In labor and supplies Uhe
product OF other labor five times as
much for the gold as the gold will buy
back again. thus locking up irrecoverabIy
1--WE values In one.
This may be OF service in strengthening
your arguments in regard to gold as the
standard of value. g.
We don't know what writer our oorro
spondent quotes this from, but II ia fun
OF the soundest sense and the truest no.
htical economy. The author Of il has
an exact, precise and distinct idea of
what constitutes money. and the uses that
we have for il.
IL is very remarkable. but none the less
fact that what is popularity believed to
De the great function of money is one
wfich money has. under modern condi-
tions, almost entirely discarded. Ninety
nine men out of every hundred think that
moneys great work is acting as a medi-
UNI for exchanging commodities. But
this is an ordinary, everyday affair that
money scorns now 10 have ANYTHING 10
do with. Business and commerce con-
sist of an exchange of commodities. and
lot of purchases and sales, and these
ere effected more satisfactorily thar In
ally other way by a transfer Of credits.
many OF which are granted upon the COM
modites themselves as collateral Sc
curity. Money. therefore. has with
drawn from this field. and left It almost
entirely to credits. Money, under our
modern conditions Of fast travelling for
freight and man. confines itself almost
exclusively now TO its regal function of
measuring values. L. is little more TO
business than a dictionary Is TO lam
guage. II is referred TO for a rule by
which corn can be snapped for bacon
but II takes little or no part In the swap |
when II Is made. This Is very simple |
and . very elementary truth. but II IL
one Of which ninety.nine men in every |
hundred are profoundly ignorant. so that |
the great body OF them stumble along In !