The Scranton tribune. [volume] (Scranton, Pa.) 1891-1910, 1896-10-10

80 -
the crown as to smack of veritable trea-
son. ANY alteration in the legal standard
or value which has the effect to depre-
ciate the mint valuation of the coin OF
the realm, Is, on the part OF the crown, the
equivalent of clipping by private per-
sons. Against this folly Locke inveighs
with IA restrained power of logic almost
amounting TO Intellectual passion. Near
~ all that he says about Ii Is susceptible
OF direct application to existing condi-
tons IN the United states and to the finan-
c!al controversy which Will decide the
presidentiai election next month.
o
Locke was not Il bimetallist, nor be-
lever In so-called double standard" as
appears from his remark that silver. and
SILVER alone, is the measure OF commerce.
(lhere was then little gold in the world
and silver was far less plentiful than
now). Two metals, rs gold and silver.
cannot be the measure OF commerce both
tcSether In any country; because the meas
ure OF commerce must be perpetualiy the
same, invariable, and keeping the same
proportion In all its parts. i!ut so only one
metal does or can do, to itself, SO silver is
to silver, and gold to gold. An ounce of
silver Is always of equal value to an ounce
OF silver and an ounce of gold to an ounce
OF gold. and TWO ounces OF the one or the
other, of double the value to an ounce of
the same. But gold and silver change
their value one to another; and one may
as well make measure e. <. Il yard,
whose parts lengthen and shrink, as a
measure of trade of materials that have
not always 4 settled, invariabe value TO
one another, lie therefore desired that
silver might alone be recognized as the
legal standard of valuation. and gold be
treated as Il commodity. But he eau
toned his readers that 'the value of sill
yer. considered as money and the meas
ure or commerce, is nothing but its qlan-
tity.''
n hn CO
less as to imagine that 10 grains or ounces
OF silver shall at the same time exchange
Tor, or buy. as much corn. oil. or wine as
~, which Is to raise it to the value of 90
The Just effect, he tells us, of raising"
silver by onc-twenticth-not one-half, as
Is proposed In the Chicago platform-will
be to rob all creditors of onc-twenticth
OF their debts, and all landlords of one
twentieth of their qut-rents forever"
The second will he that men will present
~ raise their commodities per cent. SO
that ii yesterday 20 crowns would eX-
change for 20 bushels of wheat, or 20
yards of certain sort of cloth. If you
VIII today coin current crowns one-twen-
tieth lighter, and make them the stand
ard. you will find 20 crowns will exchange
for but 10 bushels of wheat, or 10 yards of
that cloth, which will be just as much sill
yer for bushel as yesterday. Silver will
be 'of no more real value by your giving
the same denomination to "a less quantity
of it, 1t Is impossible to state this prin-
ciple more clearly than Locke states 1t.
in the words: so much as YOU lessen
your coin. so much you must pay in tale.
as will make the quantity of silver the
merchant expects for his commodity; un-
der what denomination soever he receives
IL; and again, IF you make your money
less IN weight. 1t must be made up in tale,''
that Is, In the number of pieces paid out.
The raising" of money "is in effect moth
ing but giving a denomination of more
pence to the same quantity of silver.
Whether you call the piece coined twelve
pence, or fifteen pence, or sixty pence, or
seventy-tive, a crown or a sceptre, 1t will
buy no more silk, salt or bread than il
would before" ut is silver by its guam
tity. and not denomination, that is the
price of things
Locke meets the familiar objection to
this self-evident truth. that clipped coin
is accepted, in many transactions, at its
face valuation, by observing that "clipped
and unclipped money will always buy an
equal quantity of anything else. as long as
they will without scruple change one 70!
another" 1t is "all one to the seller,
whether he receives his money in clipped
money or no. so 1t be but current" But
once grown so great, that the foreign mer-
chant cannot Gf he has mind to iO easily
get weight money for it, he will, IN selling
his goods, either contract to be paid in
weight money, or else raise the price of his
commodity. according to the diminished
quantity of silver in your current con.''
The application of this remark to silver
dollar not worth its face in gold Is OBJ
vious. The government can float Il linz
tied, but not an unlimited, number of such
dollars.
Locke moreover distinctly pcrceives and
emphasizes the difference between past
and future contracts. ''ln contracts al
ready made, If your species" (coins or
specie) 'be by law coined nth part light
er, under the same denomination. the cred
itor must take a hundred such light shill-
inSs, or twenty such light crown pieces for
. [. If the law calls them so. but ne loses
one-iifth in the intrinsic value of his debt.
But. in bargains to be made and things
will have. its value from the quantity Of
silver IN IT, and not from the stamp ana
denomination
Finally. upon the great question of the
morality of raising the nominal value G
coin, this honest and independent thinker
remarks: 1T will rob all creditors of
one-twentieth (or ) per cent? of their
debts, and all landlords of one-twentieth
of their quit-rents forever; and in all
other rents, as far as their former con-
tracts read, of per cent. of their yearly
income; and this without any advantage
to the debtor. or farmer. For he. receiv-
ing no more pounds sterling for his land
or commodities, in this new lighter coin,
than he should have done of your old and
weightier money, gets nothing by it. If
you say, yes, he Will receive more crowns,
half-crowns. and shilling pieces, for what
he now sells for new money, than he
should have done, If the money of the old
standard had continued; you confess your
money is not raised in value but in de-
nomination: since what your new pieces
want in weight must now be made up in
number. This is ut first sight Wis
ible. That in all payments to be received
upon precedent contracts, If your money
be in effect raised, the receiver will lose )
per cent Elsewhere he observes: "Mr.
Lowndes was the English Bryan of
two hundred years ago. and who made the
same complaint of the rising silver shill-
ing that Mr.. Bryan now makes of the rls-
ing gold dollar-"says that silver in Eng
land is grown scarce, and consequently
dearer, and so is of higher price. This,
IL 1t were so, ought not to annul any man.
bargain nor make him receive less in
quantity than he lent. He was to re-
ceive again the same sum, and the public
authority was guarantee that the same
sum should have the same quantity Of
silver under the same denomination And
the reason is plain, why in justice he ought
TO have the same quantity of silver again,
Notwithstanding any pretended rise of lis
value. For If silver had grown more
plentiful, and by consequence (by our a,l-
thor's rule) cheaper. his debtor would not
have been compelled, by the public author
ity, to have paid him, in consideration Of
its cheapness. IA greater quantity of silver
than they contracted for. Coccanuts were
the money of Il part of America, when we
first came here. Suppose then you had
lent me last year 900, or fifteen score CO.
coanuts, to be repaid this year, would
you be satisfied. and think yourself paid
your due. if should tell you. cocoanuts
were scarce this year. and that four score
We're of as much value this year as n
hundred last: ana that therefore you were
well and fully paid. if restored to you
only $40 for the 500 ] borrowed? Would you
not think yourself defrauded of two thirds
tone-fifthl 'of your right by such pay
for this to justice. or reparation to you,
that the public had (aftcr your contract,
which was made for fifteen score) altered
the denomination of a score, and declared
it to be sixteen instead of twenty"
Locke's reputation as a philosopher is
too prpat and has bnpn tnn an1,,rip,, to ~,