The times. [volume] (Richmond, Va.) 1890-1903, 1896-03-24


ator Pugh IN last Wednesdays Record. We
were incauiiously drawn into reading H.
and we have had to pay tho penalty OF
having an the foliics CT Coin Bland'
Weaver and every other dcluded man
OF the persuasion inflicted upon US. Sen
ator Pugh has very cleverly managed 10
condensc all the errors OF his school INTO
the following passage. lie says
'eIhe remarkable discussion OF the cur
rcncv ouostion has been fruitful OF sur
priscs; and not the least among them Is
the contention OF the gold advocates that
the quantity of money OF cur
rency I'm existence or cIcuid-
zion Is not an important or iniiuen-
tlaI factor in the trade and commerce Of
no country. aud takes 10 part, or DIT
an irrnaterial part. N I'xing or regulating
The prices OF properly. labor, ana COM
mobiles
This passage really contains the germs
Of all their errors. but It is Just as wen
20 make it complete by adding the FOL
lowing.
"r; must be understood and kept con-
etantiy in view that the primary ara
paramount question is as TO what snall
constitute the coin standard anu lt-ai
tender redemption money or the uhiled
States"
Now. Senator Pugh and his school TO-
tally misapprchend what the single goid
standard people really contend for. Ihey
10 NOT. as ne says. contend that The guam
tity Of currency is an immateral factor
I, trade. They insist, on the contrary,
that it is an all-important factor in trade.
II ie very true that they deny that it
hag anything to do with the prices Of
property. unless It should become a de-
based currency. IL the money ana
currency OF a country are
ken. sound and good, they in
sist that prices are regulated by the laws
Of supply and demand. But they are
also advocates Of as much currency as
Senator Pugh could ask for. The differ
cncc between them Is this: The single
standard men insist that there can be
but one standard of value, as there can
he but one yard-stick. They insist. next,
that human experience has Shown that
no great quantity Of this standard, which
IS the only money that a country can
havo f. necessary to It's business. I'ut,
say they, great quantities If paper cur
roncv are necessary to a country's bust
,ess. They draw a wide .iistia 'io1 ne
tween money-the standard Of value--and
currency. commences substitute Tor
monev-the instrument by which 1t ef-
focts its exchanges. This currency the
s.uele-standard men say. must be just
rs abundant as the people desire 10 make
fl. But 1T MUST BE ALWAYS CON
vERTIBLE INTO THE MONEY on DE
NfAND. That is the all-important thing
Their case. then, is that there can be but
one money. which must be always kept
at exactly the same thing, but that the
people must be permitted to create
inst as much currency as they please at
all times: provided. however, that 1t. is
always convertible on demand into the
money.
II would not be altogether frank % leave
the case at this point. When Senator
Pneh talks of currency, he refers to
the currency notes Of the Government or
Of the banks. But when the single-stan-
dard man speaks Of currency, he includes
the checks. drafts, notes, and bills of ex-
change of commerce. These are just as
much currency as the notes that ma
tional bank issues And these constitute
The real currency Of a people who have
the advantages of railroads, banks, mails,
telegranhs. and telephones.
The single-standard man says, then, that
if all Of this currency is always converti-
BILE at the will Of the holder into the
standard of value-the money Of the
cou,try-very little of that money is nec-
cesarv TO the affairs Of that country, be-
cause when currency can be Immediately
converted into money, nobody wants the
money. and all prefer to have their means
I'm the form Of currency or bank deposits
which are an paid in currency unless
special demand is made for money. He
cites in support of this the case or Eng
land. which, with a commerce as great as
that Of all the rest Of the world, has only
| 500. 100000 of money and bank currency
| though we have 81, SOO0C0,o0O.
Senator Pugh should understand, there
fore. that there is 10 difference between
what he calls primary redemption
money" and money. There can be but
one money, which is the standard OF
value. and that is to be supplemented by
all the currency any one chooses to put
out. but that currency must be always
convertible on demand into the money.
/ There is all the mystery OF finance.