River Falls journal. [volume] (River Falls, Pierce County, Wis.) 1872-2019, 1895-07-25

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ROSWELL @. HoRR.
This they proceeded to do Mr. Horr stated that
the discussion was 20 be along the lines Of
COINS Financial School" He said he would
rot oppose bimetallism, but would oppose free
coinage at 10 to l. Mr. Harvey briefly sketched
the main points to be brought up, and then an
nounced himself ready to proceed according TO
rules.
Mr. Horr wanted to know why the names of
prominent citizens had been used in Mr. Har-
vey's book, and words put into their mouths
that they had never used, to which Mr.. Har-
vey replied his book was simply an allegory,
and the fact that little boy was put In as
teacher ought to be enough to prove to any
sensible person that this so
Mr. Harvey was asked to explain what he
meant by primary money in TIE sentence
found in the book 'all money is a medium OF
exchange but primary money only Is the
measure OF values " 1t is not defined any
where In the book.
Mr.. Harvey said that the question asked was
part OF the mJin argument in the book and II
would be out of place for him to answer the
question now and would disturb the logical
arrangement Of The argument
Mr.. Horr then said that unless he had mis-
understood Mr.. Harvey he had used in the
course OF his remarks in which he laid down
the position he was going to occupy. the term
primary or redemption money" He there
fore thought he was right in assuming that 1t
was redemption money to which Mr.
Harvey referred II that is what he
means, then the statement quoted Is not
true. Primary money only or redemption
money only is not always the measure OF
values The measure OF value from 1852 TO
1879 in the United States was the greenback
dola.. That was not a dollar OF primary
money. II was paper dollar, a promise to
sometime pay real dollar, and it appreciated
In value as the contest went on Mr.. Horr
continued:
Now the error in that statement is vital
one. What is money: Every writer that 1
am familiar with admits that originally money
was always some substance that possessed
value: it must of necessity be so. Almost
every article in the world has, from
time to time, been used as money, been used
as the measure of values. Gold and silver were
not the first money Originally copper was
more universally used money than either
of these metals, and l shall here
after show you how we have been going from
money that is cumberous. difficult to handle.
money that is not stabss, money that per-
ishes, TO a better quality Of money since the
foundation of the globe"
In reply Mr. Harvey said money was
medium OF exchange and a measure of values.
As a measure Of values 1t thing repre-
seutng value When we express price We
have reference to the unit of value its
equivalent. With gold and silver in existence
as primary money there is double the quantity
of money, real money as there is when
gold only Is in existence as primary money.
Money is also medium of exchange.
We exchange property for money and
then exchange the money for the property or
for services To understand the importance
OF money we must consider the conditions that
would exist If we had no money. IL would
then be matter OF barter and exchanse-of
one kind of property for another.
Ilafx tfnffa araanr rf to- a.y
do not understand money and its relation to
property and to society; If they did we would
not be engaged in this discussion. Under this
last head comes the question whether all
money should be issued by the government,
or all or part OF it should be ISSUED 0y private
parties or corporations. The necessity for
money. the fact that 1t is the organic 1uid OF
society. should make il solelv a creation of the
government We regulate intersta1 e com
merce by laws. becsuse It Is a matter affecting
society. Nothing is so intimately connected
with the organization of society money,
and yet we have a school OF fnaneeers who adj
vocate that IL should be the creation OF private
parties and corporations and he regulated by
them. IL should become fixed principle with
us that the issuing of money is an act of
sovereignty Our monet ry system should be
fixed upon scientific principles by which evefy
dollar Is good as every other dollar. All
money should be legal tender in the pay
ment OF all debts and no act of discrimination
nullifcatlOn OF or ueDaSement OF the cur
rency by any one should be permitted.
Mr. Horr said that there was more truth In
Mr. Harvey statement Just made than could
be found in the whole OF Coins School" II
was true that money was the blood of COM
merce and business but it was not true that
money could exist only when created by
law. Money used and well understood
before there we're any laws on the subject 1t
does not have to be made legal tender to
make II good money As rule legal tender
laws are not needed except to make
somebody take money that Is poor.
Except In times OF national calamity
legal tender laws are not needed to enforce
the circulation Of good money Our national
bank notes ard our silver certificates are not
legal tender for debts anything,
and yet they are taken as readily as
any Of our money, because the peo-
pie have confidence In them and know
they are good He would not dispute the fact
that the government should regulate money.
The first Law ever passed In the United States
the subject OF money was when
congress on July 6, IT'S. objected
that the money unit should be one
dollar. and that smallest coin should be of
copper. of which 200 pieces should pass for one
dollar That congress did not state at all
what the dollar should consist of except that
200 copper half cents should be dollar, and
that was the first unit OF measure that CON
gress establshed-200 half cent coppers That
is all the law there has ever been on the sub
iect and all that has ever been said about it
anywhere. So we had first the money OF
the daddies' of copper
Mir Harvey in reply said that what Mr.
Horr had said about copper being used as
money during the continental days preceding
the adoption of the constitutions is too trivial
to be used in this argument He quoted the
action OF the constitutional conventions at the
end Of the colonial days in the adoption OF sec
tion 10 which SAYS. No state shall coin mon
px- Or ANYTHING MI gold and silver coin
tender in payment OF debts" It says gold
and silver, not gold or silver This is
the constitution. 1t took away from the
states the power TO coin money or
to make anything a tender in payment Of debts
except those two metals. II is reserved to con-
greSs the exclusive right TO coin money. The
states were to have these two metals for legal
tender money, but congress would cola 1t for
them Copper or other metals could be
coined into money by congress. bpt the states
could not make them legal tender. Congress
in good faith with the states has no more rs-ht
to demonetize one Of these metals than il has
to demonetize both of them without the consent
of the states. There was no discrimination
made in the use OF the two metals except that
the unit OF value was 10 reside in the silver
dollar and that gold coins we're to be Of the
value of so many silver dollars. This is the
exact language OF the statute, OF the men no
framed the constitution and knew the con-
~structioa that it was intended that it should
have"
Both gentlemen discussed at great length
the organization OF monetary system, estab-
hshment OF minis, etc. by the Statesmen Of
early days, and finally Mr. Harvey after quot
ing extensively from the ideas set forth BY
Alexander Hamilton and Thomas Jefferson
cisimed that Jefcrsons recommendation that
tire unit dollar should contain S7l 4-i6 grains
CT pure sis grains OF standard silver
was adopted. the statute reads and the gold
coins are valued in that silver unit, and Ham
ilton's suggestion for two units a gold unit
and a silver unit. was not accepted BY congress
and only silver unit was provided for II the
act OF I79a
Mr.. Hort conceded that there was no doubt
but that congress in i792 established unit of
value and fixed it in silver at S5it4 grains pure
silver. but what they also did was to attempt
TO establish bimet8ilism- They aimei TO fix
Ii so that We would use both me sures OF value
and both coins money. He then read a letter
from jefferson TO Hamilton. in which the for
mer said ne thought tue unit should stand on
both metals. and the two statesmen finally
agreed that the exact ratio betweea the two
metals thould be IS to We d. have the sil-
yer Standsryi ia this country up TO 1854 In ISIS