The Beaver herald. [volume] (Beaver, O.T. [Okla.]) 1895-1923, 1895-09-12

hensiou o. oYr monetary system as a
science can be had without it.
Actual money was too cumbersome to
handle in al the transactions Of busi,
ness, aud this gave rise 20 issuing credit
money representing it, Like wheat in
Your wheat elevators certificates are is,
sued to those who pu, their wheat there.
Such certificates are traded 10. Each
time one Of them is Transferred. it is
/ equivalent to Transferring the wheat il.
self Wheat is behind the certificates.
\ man duts not carry briek house n.
round in his pocket. but he can larry
the deed to it,
When you have credit money in your
/ pocket, you are carrying around with
yon the title to property or that com,
mcrcid value
Ia issuing dollar for dollar Of credit
money to redemption money, it is not
necessary that the government should
keep the latter a; all times in its treasury
in full amount ready to redeem oil the
credit money
Experience teaches that 80 long as
sufficient redemption money is in the
country, the credit Of the goveroment
can be depended upon tc get it. But il
cannot strain the proportion beyond
such amount without making the danger
Imminent, aud the lack Of confidence
gieat.
If there is one thousand million dol
lars of Redemption nopey in the United
States-in its treasury, its banks, and
among its pc, ple-then one thousand
millions Of CT edit money can be safely
used and not more.
{ you want to Increase the currency,
you must in safety do it by adding to
the redemption money, and for each
dollar so added oAe dollar Of credit
money may be added,
II il is wished to vitiato the currency,
increase the credit nouey beyond It's
normal quantity, or dig out the iopud-
atioL from under it by lessening the sup.
ply Of redemption money.
The decentralization of silver de
stroyed oue-half of the redemption mon.
ey cf the United States 1t did it in
this way: By making gold the unit aud
closing the mints to SILVER, it lessened
the demand for silver, and its commercial
value at once began to depreciate, as
measured in gold
Where before silver and gold had
been tied together as one mass Of com
modify money and all property had
measured its value in it, ,iow gold be.
came the only measure of value, and
silver became credit money--token
money.
The moment new standard of mons
ey was set up--only ouc>half in quantity
90 what had previously exisle l-silver
began to auctua,e. l. was then meas~
ured for its value in this new standard
for measuring values and bobbed up
aud down in the market, no longer pos
sessing that liked value which free
coinage had given it. 1t was like kite
without tail aud ta course was down
ward. It had changed its position from
redemption money TO token money
a forced parity between gold and
silver has since been strained; namely,
by sustaining silver with gold It is
the same kind Of parity the government
maintains between gold ond paper mon,
ey. What this means il, gold is our
present redemption money aud our
credit money consists OF silver aud all
forms OF paper money
Each succeeding secretary Of the
treasury points to the law declaring it
to be the intention of our financial syS~
ten to maintain all our money ut pa
Gold is the most valuable of all our
money, and Therefore to maintain it all