The times. [volume] (Richmond, Va.) 1890-1903, 1895-09-25

has little practical value. It's uses are
almost entirely for ornamentatioh' !"
value. then arises out of mans passion
for ornamentation and the labor heceS-
sary to dig II out OF the earth. we A"o"
the passion to be perennial. and We may
therefore, deal with the labor SIDE OF INC
case only
We will assume that II requires a DAY :
labor 10 dig p $40 grains OF goiu
nine-tenths fine (Which Is what we
have named dollar out Vi |
the ground and the same labor 10 r"ise
bushel Of wheat, and the same 10
raise two bushels OF corn. The desire
for all three of these things being au-
mitted. we will then be certain 10 say
that a bushel Of wheat is worth a DOLLAR
a dollar is worth two bushels Oh CUT"
and that any one of the three IS worm
an,, ono of the others That is because j
reouires the same labor TO produce one
ne IN nroduce the other. The function
of the dollar. then, is to esiaDiish d paS'9
upon which wheat may be eXchahseu
for corn. II sizes itself up against
nile Of hundred bushels OF wheat anu
finds that one hundred times as much
labor has been employed to produce that
wheat as to produce itself and 1t there
fore. declares that the pile is worth one
hundred dollars. IT sizes itself up agains
a pile Of two hundred bushels OF corn
and finds that one hundred times as
much labor is involved in the production
Ia, no 4.
and IT therefore declares that the pile OF
corn is worth one hundred dollars. II
has in this way determined that one hun
dred bushels Of wheat are TO be eN-
changed for two hundred bushels Of corn
Now. business consists Of exchange OF
commodities against each other. We put
these exchanges through the forms OF
sales for money. but they are not sales
for money. The substance of business
when il is analysed and brought down
TO its resduum. is that the blanks grant
credits on the commodities as coilate-
raj security for the credits, and the ac-
tual swaps are made by transferring the
representatives Of the commodities that
is. the credits which have been granted
values Of the commodities stated in dol
lars. A Richmond dry goods merchant
buys a car load Of dry goods in New
York for 5000 A Richmond tobacco
manufacturer sells a car load Of tobacco
i'm New York city for $1,000 The dry
goods merchants sells dry goods to the
tobacco manufacturer for $1,000, and gets
an order from him on the New YORK
purchaser Of tobacco. which he turns
over TO the New York seller Of dry goods
both transactions are closed, and the
substance of the business is that some
tobacco has been swapped for some dry
goods. This is all business at bottom.
Nov. the indispensable condition OF
these transactions is that the word dol
lar shall mean. under every and all mu'
tations. fixed and certain amount Of
labor performed If all men know that
il means that, the whole commerce OF
the world may he done in its name ana
not y dollar be used The important
thing TO be known. then, is that money
is coin. and coin only, valued according
to the labor involved in producing 1t, an1
that business is the exchange OF com
modities effected through the transfers
of credits. those credits being stated in
the terms Of the money of the coun-
try. the labor involved in which IS
the standard Of the value Of all COM
modnles for purposes Of exchange.
II this be really the true definition of
Y
ernment cannot possibly have anything
TO do with the money or the circulating
credits which we call currency, except
to fashion the money metal into shapes
and stamp on each shape the weight
and nneness-the labor value-of thai
shape. any more than with the notes or
bills Of lading customary i'm commerce
business is then done by trans
fers of credit. and 1t is Of no sort OF
consequence to business whether those
credits are issued by one man or set OF
men. or by another man or set Of men.
provided they are solvent on presentation
There cannot possibly be any occasion
for government to put out the credits to
he used They should naturally be the
credits that each case calls for. What
business needs. then. for its most perfect
development. is absolute freedom in the
creation and transfer Of credits. When IL
is said as Senator Mills says, that the
government shall be the only agency 10
put our credits, the person saying IL
has a vague idea in his mind that the
function of the credit is in some way
connected with the function Of govern
ment when one has no sort Of connec'
ton With or relation 10 the other. II IS
an absolute msconception Of the case.
The utility of the credit depends upor
the private resources at its back. with
which government has nothing TO do.
Instead, then, of credits OF any kline
being limited. as Senator Mills thinks
they should be. TO government issues,
government should have nothing what
ever to do with the subject, and restric-
tons of all kinds should be removed
from men creating credits and trans.
ferring them as they please. in this way
business SECURES the advantage Of every
agency that can prohtably used by it,
while It is cramped and cut off from its
resources when the right of creating and
transferring credits is in anywise abridg'