The times. [volume] (Richmond, Va.) 1890-1903, 1895-06-21

they promptly rejected II. and adopteo
resolutions which put the EXCHANGE
souarely in line with the cause OF sound
money.
The New York Journal Of Commerce
makes the following most sensible re-
marks upon the report which this COM
mittee made:
This committee was created 10 inquire
into the fan Of prices. but II never az
ludes TO the distinction between fali OF
prices caused by industrial progress ana
a fall OF prices caused by industrlat
disaster. BY not the fsintest ailusion ooss
II indicate that II has given moments
consideration 10 the question wnetner the
country has or has not prospered during
the past twenty or twenty-five years Il
pays no more attention TO the sailent TEA
lures Of the worlds Industrial history
during the last quarter OF century tnan
II does TO the exhumation OF Egyptian
mummies and the discovery OF traces OF
Hittlte civilization. Have the spread or
agriculture over our Northwest, the oe-
velopment Of Argentina, the doubling or
trebling OF our cotton crop. the enormous
expansion of railroads here and In lndia,
the doubling or quadrupling or the
worlds marine tonnage the vast increase
and Improvement In every sort or macnin-
cry, the substitution of large for small
furnaces In Pennsylvania. the reduction
OF 60 per cent. in the freight rates OF the
Pennsylvania railroad, the quadrupllng
OF the worlds wool clip, the vast multi
plication of the per capita production or
iron in the United States-haye such
events as these such Industrial reyolu-
tons as these. no significance whatever
to committee of Philadelphia merchants
who are inquiring into the decline or
prices? And is not the increase OF wages
alone enough TO disprove 10 "A committee
Of seven business men in the second or
third city Of the United States that the
change I'm prices Is due 10 a change IN
the money unit? And is not the pros
perity of the United States from the re-
sumption Of gold payments in 1873 till
the continuance OF the gold standard was
seriously threatened in 1893 and the re.
vival of prosperity since adequate meas
ures were taken last February 10 protect
tho gold standard from further attack for
the present at least, enough TO shake the
faith even OF packed silver committee
in its nOstrum?
Instead of looking at the commercial
AID industrial facts Of the last twenty
five years this committee admits that il
sought light from the soothsayers aud the
clairoyants ana the mediums. "Our at
tention beng called to the axioms OF pO-
lH.cal q onomy." says this committee.
we began TO see the light on this sub
joct:
Double the volume Of money and you
double the value Of products.
divide the volume of money and you
There are several other "axioms" OF the
same kind.
This is a fair sample OF what is ordi-
narily put forward as argument by people
who are always prat.ng about the ne
cessity of increasing the amount OF
money of final redemption" These peo-
pie do not know. and " seems impossible
to teach them that actual money plays
the smallest possible part in business and
commerce. The part OF money is TO
measures the exchsngeable value OF one
community against the exchangeable
value OF another commodity. and their
business consists in exchanging those
commodities on that basis by transferring
the credits granted on the books OF mer-
chants and banks upon the faith Of those
commodities.
A recent article in the New York Sun,
giving an account Of the settlements At
the New York Clearing House, gave some
interesting statements bearing upon this
On one occasion in 1891 the Natiopal Park
Bank was debited at the clearing house
with 50, s9s. 2i7lO but it was credited that
morning with 50 1896, 1865. so that 10 cents
settled the difference.
Now there were these immense trans
actions that had been operated with this
bank as the depository agent. and only
Is cents Of money had been used. II the
Popullsts and free coiners would only
study this one case until they understood
il. they would stop talking about dollars
that would only be half dollars, and turn
all their attention TO getting the tax OF
10 per cent. on the issues OF State banks
repealed so that they might have their
local banks. where transfers Of credits
could be made for them also Then they
would find that they would have all tho
money they needed. and 1t would be
money OF fun value instead Of dollars
worth only 80 cents or less.