Wood County reporter. [volume] (Grand Rapids [i.e. Wisconsin Rapids], Wis.) 1857-1923, 1896-07-30
THE FREE COINAGE CATECHISM.

FrOm the New York Evening Post)

medium of exchange which is accepted
as payment in itself.
q. What is representative money?
A. Any common medium of exchange
which promises TO pay money.
q. What is meant by primary
money? A. This is new phase in
troduced to confuse people by suggest
ing that there is also secondary money.
q. What is money of final redemp-
ton? A. This is another late addition
to the American language implying
that there are several different kinds of
money. Th re is only one kind of
money in this country. There are sew
eral different kinds Of representative
money.
Q. Give examples of each. A. Gold
coin is money. Everything else that
circulates, whether of metal or of paper,
is representative money.
Q. Is silver coin representative
money? A. 1t is.
q. In what way does the govern
ment promise to redeem its silver coins?
A. BY the act of congress of June 8,
1879, it promises to redeem all coins
smaller than one dollar when presented
IN sums not less than $50. By the act
of February %, 1878, the government
promises to receive silver dollars at
par III all payments to itself BY the
act of July 10, 1890, it declares it to be
the policy of the government to keep
the two metals at a parity with each
other. By two different acts the secre-
tary of the treasury is authorized to
purchase coin and to issue the obliga-
tons of the United States therefor.
Q. What is the indispensable quality
and first requisite of money? A. That
it should be universally acceptable.
q. Is there any kind of money uni
versally acceptable but gold? A. There
is not.
e. Would not silver be equally ac-
ceptable if it were equally legal tender?
A. Silver dollars are legal tender.
GIVE any man the option of taking one
hundred of these pieces or ten gold
pieces of $40 each and he will choose
the latter. Therefore they are not
equally acceptable.
Z. is the difference in weight the
only reason why gold is more accept
able than silver? A. That is not the
only eason now, but it was the main if
DOT the only reason when civilized
nations made their choice between the
two.
q. What reasons exist now that did
not exist then? A. A variation of 50
per cent. has taken place in the value
OF the two metals. In addition to be-
ing sixteen times as heavy, silver has
lost one-half of its value during the
interval.
q. Are there any other reasons why
silver is not equally acceptable with
gold? A. Yes; although limited
amount of silver land also of nickel and
copper is used as a medium of ex-
change, It is now a commodity in the
markets OF the world subj ect to the
same fluctuations as other commodities.
People do not like to use fiuctuating
commodity as money, and will not if
they can get anyt hing better.
q. Have you mentioned all the
reasons why gold is acceptable as money
and silver is not? A. The most deci-
slve reason is that the civilized world
has adjusted itself to the gold standard
during long period of time. All bust
ness is bottomed on it. 1t is an
accomplished fact co-extensive with the
commercial world. To change to an
other standard would be literally turning
the commercial world upside down.
Q. Can such a change be produced?
A. Absolutely impossible In a con-
ceivable case one country may turn
itself upside down, but that feat would
not make gold less acceptable or silver
more so, even in that country. Accept
ableness is a state of the human mind
which laws cannot change.
Q. Is the preference for gold univer-
sal? A. 1t is universal among
civilized men. Even the silver advo-
Gates in tue United States prefer gold in
their business affairs, that is, every
where except on the stump. Senator
Stewart of Nevada makes his MORTGAGES
payable in gold. When he was reproved
tor this bad example, he said that he
merely followed the universal custom
on the Pacific coast, where he lives.
So we have his authority for the state
ment that in the section of the Union
where the demand for silver is most
vociferous everybody prefers gold in
his private business.
! Q. Can you give any other examples?
\. The territory of Arizona brought
bill before congress two or three years
ago, asking authority to issue bonds
payable specifically in gold, on the
ground that the money would be bor-
rowed at a considerable lower rate of
Interest than if they were payable in