The Republican. [volume] (Oakland, Md.) 1877-current, 1896-10-29

W 10 NOV DtlleNe American working
men have reached such a depth either
of stupidity or of bad feeling. If
there is anything in the world upon
which the interests OF wage-earners
are at one with those of the great
business men of the country, it is in
the preservation of an honest system
Of currency.
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The Price of Money is the Rate of Interest.
Like most of the assertions of Mr.
Bryan and his deluded followers, their
babble about the scarcity and conse-
quent dearness of money under tn
gold standard is consequently Ineeu-
ing with the most emphatic disproval
Money is found to be abundant and
cheap whenever there is an induce
ment to loan it upon good security.
Confidence has very much to do with
the price of money. The other day a
leading railroad president said that
his company had, Immediately after
the adjournment of the Republican
National Convention, effected a large
loan, payable in gold, at per cent.
interest. He said that the same loan
could not have been negotiated i'm
mediately after the Chicago platform
was promulgated at less than per
cent. interest. There is no question
that this platform of Deprecated
Money and Reputation has affected
many another business transaction.
In every European country which
enjoys the gold standard the rate of
interest is constantly sinking; and
this is a matter of great concern to
investors Of money. 1t should be
borne in mind that the Government
of the United States could long ago
have negotiated loans at less than 3
per cent. interest, and thereby have
saved a large sum of money, had not
Congress refused to make the bonds
payable in gold.
Not only the Governments Of gold
standard countries but private Dor
rowers in such countries can obtain
money at very low rates of interest,
the rate depending, of course, upon
the value Of the security. The Gov
eminent has no further concern in the
matter than to protect the lender
from deprecated currency, and in all
events to make sound money circu-
late freely by means of a good bank
system. When these conditions shall
have become established in the United
States money will be as cheap and
abundant for public as well as for
private objects in this country as any
where else, instead of taking alarm
and hiding itself at the threat of re-
pudiation in the Free Silver crusade.
The rate of interest is the point
cheapness or dearness of money in the
markets. This is quite different from
the notion Of money prOpagated by
Bryan, Altgeld and other political
economists of Coin" Harvey's school.
When the prices OF commodities are
low these philosophers assert that
money is scarce and dear because
much can be purchased by it. When
prices are high they insist that money
is cheap and plentiful because little
can be purchased by il. They have
simply inverted lin their minds the
natural order Of things. To the utter
confusion of their doctrines, the prices
of wheat and some other cOmmodi-
ties have gone up, while the prices of
some other commodities Including
silver have declined without any
change in the volume or the price of
money.
A part Of the Silverite theory of
dear money is the assertion that pro
ducers receive less for their commo-
dities because money has become
more scarce since the establishment
of the gold standard. The gold stand
ard was practically established in this
country some sixty years ago, and in
England still earlier; and since then
prices have undergone many a
change. But it is wholly untrue that
under the gold standard money has
become more scarce and dear. Apart
from the fact that the per capita vol
ume of currency has increased in this
country and in many others, it has re-
peatedly been shown that the EN-
ployment of checks, bills, drafts and
other evidences of credit has largely
superseded the use of money in the
exchange Of commodities and securi-
ties All this the champions of cheap
money, and plenty of it, persistently
ignore; but it is none the less true be-
cause they shut their eyes to it.
OF course, for the vast superstruct-
ure of credit (for want of better
term to designate the means by which
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