The Roanoke times. [volume] (Roanoke, Va.) 1890-1895, 1895-07-09

OF dollars to be competed for. other
things being unchanged, must determine
the value of each dollar
Standards OF Value.
Wo are informed by so called "finan-
ciers" and statisticians, and by an army
of ready made political economists
among the gold standard press-gentle-
mon who have not taken the trouble to
carefully study the subject-that the
value of gold is unchanging, and that to
attempt to depart from what is called
the gold standard" would be to set at
naught all the principles of justice and
even to defy the very laws of nature.
This is an argument used only since the
demonetiZation of silver Up to that
time 1t was we'll recognized by all who
gave any attention to the subject Of
money, and is still we'll recognized BY
all the authorities on political economy,
that both silver and gold arc variable in
value So serious indeed have from time
TO time been the variations In tho value
Of money that thoughtful men-some of
them distinguished economists y have
long observed and commented on the
gross injustice which such variations in
volve, and various suggestions have been
made OF methods for securing stability
of value in the monetary unit.
UP to the period when the creditors
discovered the ingenious plan of surrep
titiously increasing by an appeal to the
Legislative arm of all governments the
value of all debts due, and to become
DUE to them, by depriving debtors OF
the inmemorial right to pay In either
OF the two metals, it was acl1nowle lodged
by the most eminent economists that the
adoption of single metal rs so called
standard" of money did not secure so
great u degree OF uniformity in value as
tho adoption of both metals This NAV
seem paradox to those who have not
reflected on the essential nature of mon
ey and upon the method by which it Oh
tains what is termed its value, " which
Il does through the medium of the prices
of commodities. They ask How can
there he standard composed of two
things! Must not standard be one?
Can 1t he two OF more?
Material. Quantity md Credit.
The seeming paradox involved IN the
idea that what is called "a STANDARD of
value" may be composed of moro than
one material il made plain when 1t is
borne i'll mind that 1t is not the ma
terial, but the quantity, Of money which
constitutes tho standard. The quality TO
which III the case Of value the word
standard" Is applied is not quality
mhering in the material Of the money.
Value, MS l have shown, does not reside
III any article or in the substance of any
article. When the consideration to be
kept III Wow is not an object, hut serv-
icc-not material, but IL function-the
Instrument by which that service or
function IL performed need not neces-
sarlly be limited to one material. Inas
much as the purpose to bc served il the
attainment Of correct result, whatever
the mnterial by which it may he accom-
plished, such number Of materials MS
may be Indispensable to that end should
without hesitation he employed If we
wish To obtain clock which shall in
dlcate the correct time. we do not insist
that 1t shall he made of one mutcrial
The material of which money is made
IL no more II standard of value than the
material of clock is the standard Of
time
The ynrdsticll which by statute Is de
clarcd 70 he tho model for MI other
yardsticks Is made Of bronze but bronze
IL not, therefore, "A standard of length.
a bushcl measure may be composed of
any material or of any number Of ma
tcrials combined. but this makes no diff
ference so long us the precise purpose
sought Is attained-namcly. the strur-
ing of perfect accuracy of measurement.
"a fl,. 81
bushcl measure TO be composed of brass.
II Is not the brass that is the standard
OF measure Assuming that all lrushel
measures were made of brass, then this
particular piece of brass comprising the
model constitutes standard by which
TO test the metal Of which all future
bushcl measures may he made, but this
does not constitute brass per Sc Il stand
ard IF cnbical content
Credits aid in the establishment and
maintenance of prices, but credits are
themselves based OH the quantity of
money available for liquidation. They
can be safely extended only to the de
gree 70 which money payments can in
tho ordinary course Of business be made.
No one will pretend 70 say that credits
can be wisely extended beyond that
point.
Hence gold standard means the main
tenance of level Of prices consistent
with the quantity In use us money.
which means n level of prices ON the
average the same as those prevailing in
gold using countries This must be clear
from the consideration that if from
country which possessed no gold mines
all the gold had been sent ont il conld