The Breckenridge news. (Cloverport, Ky.) 1876-1955, 1895-02-20

product, but creation of the law of a
sovereign authority and hence all money
is fat money.
Second-That money has no "intrinsic
value"
Third-That money derives its value
from the limitation of its quantity.
have established my position by the
testimony of the ablest thinkers and
writers on political economy by the decis-
ions of the highest courts, by the author
ity Of able constitutional lawyers and by
the exercise of pure reason, which, in
its proper sphere is infallible.
The only authority quoted on the other
side has been simply the dictum of Prof.
Shacklett and the personal judgment
merely OF writer or two of note and the
purchased opinion Of a newspaper writer.
Now want to quote some historical
testimony.
On the 18th OF September 1887, press
ing the issue ofgovernment paper money
to relieve the government and the peo-
pie then houndering in a general bank
suspension, John @. Calhoun said:
at is my impression that, in the present con-
dition of the world, paper currency is almost
| indispensable in financial and commercial orera-
tions of civilized and extensive communities
| In many respects 1t has vast superiority over
metallic currency, by its greater cheapness,
| Iightness and the facility OF determining the
| amount, especially in great and extended trans
| actions.
"It may throw some light the subject to
state that North Carolina, just after the Revolu-
| ton, issued large amount OF paper, which was
made receivable in dues to her; it also
| made legal tender. A large amount say be-
tween four and five hundred thousand dollars
| remained in circulation after that period, and
continued to circulate for more than twenty
years, at par with gold and silver during the
| whole time"
Here was money issued by the author
ity of the state OF North Carolina which
circulated among the people Of that
state as general medium of exchange
and as legal tender for the payments.
1t always stood at par with gold, but it
was not based on gold.
That money was as honest as the state
issuing it. 1t possessed no intrinsic value
whatever.
Yet Prof. Shacklett says gold only is
honest money, money must have "in-
trinsic value !" Bah!
Thomas Jefferson speaking OF the notes
issued by the colony of Virginia in 1855,
to sustain the war OF that period said
1--WE then issued bills bottomed on a redeem.
| ing tax, but bearing no interest These were
received and never deprecated a single farth-
| ing"
These bills receivable in the revenues
of the state and payable for demands
against the state stood always at par. with
gold.
Where was their "intrnsic value p
They had none. But the Professor says
money must have "intrinsic value" to
be good,
The colony of Massachusetts in 1859,
six years before the great Shylock's rank
of England came into existence Issued
seven thousand pounds, in notes from
Ave shillings to five pounds, redeemable
in taxes-that is, in the inevtaGls tebrs
of those who held the psp'r, and OF all
citizens who owned property These
notes, though not absolutely pr iect
money such as is advocated by the Peo-
Plies party, yet they were money to the
extent that the law made them money
viz. receivable for taxes in the public
revenues. In 1892, the colony ordered
that these notes should be received by
the treasury at five per cent over coin
This "fiat" brought them at once to pal
with gold, and they stayed there fol
twenty years, until taken up in the rev
enues of the colony.
Let the doughty Professor point ou
where the intrinsic value of this money
came in.
David Hume speaking of the ,apic
growth OF the colonies and cause of theil
prosperity said;
ain our colony of Pennsylvania, the lard il
| sell, which is the Cnlet COnmOultys Is gomez
passed into circulation. A planter, immediatel.
he purchases any land, can go to a public oflie'
and receive notes to the amount of half the vau
of his land, which notes he employees in pay
ments, and they circulate through the colony b,
convention. The notes issued to any one plant
err were not to exceed certain sum, whatever
might be the value of the land; secondly, ever.
planter is obliged to pay back into the publ
Office every year one-tenth Of his notes. Tn
whole is, of course, annihilated in ten years
after which It is again allowed him to take GU
new notes to half the value OF the land"
Rev. John T. Twells, of London, al
able English writer, speaking OF thu
American colonial finances referring Il
Pennsylvania said
"Nothing In the history of the world Is lik
their progress Il was wise and beneficial sys
TEN and its effects were most conducive to tn
happiness of the people. Halt the value Of hi
land was advanced to the head Of the family I
notes, which circulated as money. With thes
notes he could hire labor and purchase imple
! ments Of husbandry and cattle, and thus, whers
without these notes one acre could be cleared
cultivated aud stocked in ayear, wouldby IN
assistance OF the paper money advanced, be re
claimed from the forest and rendered product
| tsa