Iowa County democrat. [volume] (Mineral Point, Wis.) 1877-1938, 1896-04-23

4ut "a Is W SCEeliSb
by Its stamp, to the Purity and Weight
of a CONT Should Not Attempt to
Make Money From Nothing.
One Of the recent publications of the
sound Currency Committee of 90 Will
liam street, New York, is entitled a
Currency Primer" 1t discusses the
fundamental principles underlying mon
ey in plain language. We quote the fol-
lowing:
The whole matter of money, a meas
ure of value, a means Of exchange, a cir
culating medium, is one Of necessity,
convenience, adaptation to the end. 1t is
question Of the fitness and effective
ness of the material substance of which
the instrument is made.
Manifestly that fitness, the conven
fence and effectiveness Of the thing, must
be determined by the Judgment of those
who use the instrument, those who do
the business, the labor and exchange CT
the world.
Law should attempt to follow that
judgment and not attempt to form 1T,
force it Or control it. Experience has
determined several points as to fitness,
convenience and efficiency. Silver is
found too precious, too concentrated, to
be conveniently used to represent very
small values Something more bulky
that is, of less value by Weights need
ed. Hence for smallest values copper
coins, for slightly larger nickel or some
equivalent, and for still larger silver.
But silver is TOO bulky-that is, Of
too little valuo Ivy weight-to represent
very largo values. Hence gold is used
for these, But even gold is too heavy
and bulky to be used by actual count Or
by actual weighing, and passing from
hand TO hand ut every turn i'll large
transactions, especially between dealers
ut a distance.
Hence como into uso bank notes, and
far moro largely still checks and bills
of exchange. By means Of these a given
quantity Of money Will rapidly, though
only i'll legal sense, pass from hand to
hand, from owner to owner, by nero
entries on books Of account, 10 money
boing actually counted nor even seen
by the banker who keeps it locked up i'll
his vaults Checks and bills Of exchange
are simply additional facilities, con-
venicnccs, multiplying the rapidity of
circulation--moro rapidly changing
ownership But the money they repre-
sent must be behind them.
We now SEQ the reason why govern
ment cannot mako anything money
which it chooses to call money, nor
make it money, current with the mer-
chant, nor current with tho laborer
| by simply calling it a legal tender.
| Government can 10 moro do this than it
can say what your days wages shall be-
Or what shall be the prico of u bushel of
wheat Any government assuming to
do these things would soon he reformed,
or if need be revolutioni2ed by force.
Having seen the function of money,
and the materials of which it should be
composed, and seeing that government
cannot mako money of iron or leather or
pasteboard, simply because Intelligent,
FREQ people Of great commercial inter
ests and activities will not use these
substances as money, tho question arises,
| What is tho function of government Ill
regard to money? Here again the answer
is, simply to iucrcaso the convenience
and effectiveness Of the substances or
materials which tho people have already
found NEST convenient and effective as
standards of value. Increase it how?
Tho old timo method Of uS0 VAS to
weigh tho metal That is slow and