The Abbeville press and banner. [volume] (Abbeville, S.C.) 1869-1924, 1895-02-13
OUR FINANCIAL SlSTEM,
COL. YOUMANS DELvEe DEEPER INTO
THESu5JECT.

Single Metal S.amIar,l--WcaiihT Ec"-
bers.
To the Editor of The State-ln my
last article it was MY purpose toShoW
that the divergence in the bullion val
ue Of the silver and the gold unit was
not (as YOU saw due to \ drop Ill sal
yer but to rise in gold. BY cnmNar-
inr the two metals directly, one with
the other, we cannot tell which metal
ischangiug in >'aluc: the situation may
be compared to depot. where there
are two trains, cne Of winch Is III mo-
tion: q passenger may be sitting III
one of these trains looking directly at
the other, he cannot tell which tram
is moving: but by withdrawing his
gaze from the other train and obsery-
fng the surrounding objects. he can
very readily ascertain which OF the two
is in motion-so with gold and silver,
we have to compare them with other
values. and in doing so, we find that
silver has maintained q uniform ratio
of value and general parity OF meas
urement in property values: While
gold has more than doubled It's pur-
chasing power, measuring more than
twice as much in property values now
as it did in 1873. In 1873 they were
both considered 100 cents dollars III
bullion value; the silver dollar meas
ured by property is worth the same IN
bullion value now that it was III 1878;
while the gold dollar is more than
twice as valuable Therefore, meas
ured by property the silver is the lO0
cent dollar. and the gold dollar, which
is twice as valuable, is two hundred
cent dollar.
The gold unit, as the standard Of val
ue is unreliable and dishonest, con-
stantly anticipating in value and III
creasing in its measurement OF prop
erty, it violates the equity of every
contract, where payment IS deferred,
and enhancing the value OF all money
and money obligations, it proportion,
atelv increases the burdens Of all
debts, taxes and fixed charges, de.
presses the price of all the products OF
labor and depricates the value of every
species of property-to such an extent
has it disturbed property values, as Ill
many instances to amount almost TO
virtual con iscation. The question one
is now asked on every hand, not by the
idle, the thriftless ana incompetent,
but by energetic, sagacious and NTH
erto successful men of business, Is not
what shall l do to make money, or &C,
cumulate more property, but how shall
I manage under existing circumstances
(under the propitious influences of the
bankers ''honest gold dollar, sound
gold dollar" full value money Of the
world') to hold what | have already
acquired9 -.
As stated in my last article, it is my
purpose in this, to discuss the propriety
of maintaining in this country Il sys-
tenn of finance based on the European
standard, a policy which can noS COM
mand single sound argument IN its
favor; but against which can be read
ily presented the most serious and
weighty objections. The disengenu..
Gus argument, that any variation or
the standard between this country and
the gold standard nations Of Europe,
would unsettle our exchanges and
prove a great disaster, SO persistentiy
advanced by the leaders Of the mono.
metallic system, are directly rcfuted
by the experience from 1865 to 1879, a
period of fourteen years, when we had
neither q gold nor a silver dollar, but
a variable, inconvertible paper dollar;
a dollar which ranged in specie value
from AZ cents up to par. During that
period our exchanges were conducted
with the same facility as now, ana SO
far from being disastrous, we were
much more prosperous than now, and
were importing gold instead of export
ing it. 1t is frequently claimed that
an inconvertable legal tender paper
money is superior fordomestic clrcula-
ton to metallic currency.
Says Prof. Walker: Limited cir
culation, non exportaDility-then may
be regarded as Of the essence of this
money" Let it be remembered, "
said the Continental Congress in their
address to the people, September 18th,
1779, "that paper money is the only
kind of money which cannot make
wings unto itself and fly away 1t re-
mains with us; it is ever ready and at
hand for the purpose OF commerce OF
taxes, and every industrious man can
find it."
Mr.. Duncani in speaking ofh!s school
of political economy, says: 1T af-
firms that every independent State is
entitled to issue legal tender for its
own internal purposes, in discharge
of private debts and public taxes,
within it's own realm; such legal tender
not possessing intrinsic value, but only
o conventional value derived from the
authority of the State which calls II
into existence. ''Thus secure of being
always kept within the realm of the
State which created it, this legal ten
der would be the special monetary i'll
strument by which all fiscal obliga-
gationsandmercantile liabilities would
br discharged at home.
On Currency, p. %, Mr.. Wells IN
his tract Robinson Crusoes Money,
makes the following citations to the
same effect: Beyond the sea, in for
eign lands, it (the greenback) is fortu-
nately not money; but when have we
had such long and unbrolIen career
of prosperity in business as since we
adopted the non-exportable curren-
cy2' Comparing the arguments OF
the leaders of the monometallic sys-
tenn when speaking in favor of heavy
tariffs to restrict our commerce with
the gold standard nations of Europe,
with those used when advocating the
Of thnr oil I'll