Clinch Valley news. [volume] (Jeffersonville, Va.) 18??-2019, 1896-05-01
CURRENCY PRIMER.
What Is Money and Why 1t Ii
Money.
The Function OF Govern mcnt Is ID Certify,
by Its Stamp. to tho Parity and Weight
of Coin-tt Should Not Attempt
TO Make money from Nothing.


One OF the recent publications OF the
sound currency committee OF b2 VIII
linn street. New York, is entitled a
'"Currency Primer" It discusses the
fundamental principles underlying
money in plain lnngunge. We quote the
following:
The whole mntter of money. n meas4
IRE of value, n mems of exchange, cir
culating medium. Is one OF necessity.
convenience, adaptation to the end. Itis
question of the fitness and cffective1
ness of the material substance ofwhich
the instrument Is made.
Munifestly thnt fitness the convent
cnce md effectiveness OF the thing, must
hc determined by the Judgment OF those
who Use the Instrument, those who dor
the buslhess, the labor and exchnnge OF
tho world
Law should attempt to follow thut
Judgment and not attempt to form it,.
force IL or control IT. Experience has
determined several points as to fitncss.s
convenience and efficiency. Silver ID,
found too precious. too concentrated, TO
be conveniently used TO represent very
smnll values. Something more bulky
tint is, Of less value by weight-ls pecd.-
cd. Hence for smallest values copper,
coins, for slightly largcr nickel or some
equivalent, nnd for still larger silver. :
But silver Ia too bullty--that 10, or
too little value by weight-to rcpresent
very large values, Hence gold is used
FOR these. But even gold Ia too heavy
md bulky 10 be used by actual count or,
hy nctunl weighing, md passing from.
hand to lnnd Mt every turn in large
transactions, especially betweeh dealers
Il, :. ;!!s!ahcn. N,
Hence come into uso bnnk notes, mud.
iar more largely Btill checks and bills.
OF cNchnngc. by means OF these II given.
quantity Of money will rapidly. thougis.
only In legal sense, pnss from hand to /,
hand, from owner 10 owner, by nero
cnti'ios on books OF nccount, no money
being actually counted nor even seen
by the banker who keeps II locked up Id
hia vnluts. Checks aud billie of exchango
nrc simply additional facilities, tons
vcnicnccs, multiplying the rapidity OF
clrculntion--moro mpidly changing
ownership. But The MONEY thcy repres
sent must be behind them.
wa now scc the reason why sir6reru:
hcnt cannot make anything money
which II chooses 20 emil pdoncy, nor
ronkc 1t money. "currcntSSiti tho mer.
chant" nor current with the laborei,
by simply calling ita S,gnl tender. Gov,
cinment eau no more do this than it
cnn say what your days wages shall bo
or what shnll he the price OF bushcl OF
wheat Any government assuming td
do these things would soon be reformed,
or II need bc revolutionizcd by force.
Having seen the function OF money. :
nnd the materials OF which IL should bd
composed, and sccing that govefnmerit
cannot make money of iron or leather Of
pastcboard. simply becnuse intelligent;
free people OF great commercial inter-
csts and activities will not use these
Substances as money, the question
ises: Whnt la the function Of govern-
ment in regard to money! Here again
the nnswcr is. simply to increase the
convenience and effectiveness OF tho
substances or materials which the J,eo-
pic hnve already found most conyenicnt
ind effective ns standards Of value. Ins
crease IL how?
Tho old time method OF use wax TO
weigh the metal. That Is glow and
c,imbrous, md ineSnct, unless n pnrbaE
lcnst OF the amount be divided into very
small picces-in cnsc OF gold. too smell
for either safety or convenience. Hcnets
the nrt Of coinage, cnch piece of copper,
silver or gold being composed Of given
weight. But II coinage be left TO indt.
vidnnls fraud will creep In. Alloys;.
mixtures, dcbnsemcnt would be prucE
ticcd. Hence the convehicnce. the cfl
fcctiveness. the fitness of metal coined!
into money are immensely increased by
confidence IN It's purity and In the full
ness OF it's weight Therefore the .opiy;I
duty and province OF government. in rdS
gard to coin is by It's stamp. to certifyS
that a given piecc OF metal Is OF d given
weight and of n given fnencss or purity.
There the interference of governments
should stop, unless to declare what iat
legal tender. and in what sums, as tts2
each metal.
1t is now doubted by some whethef8
government should go further and rnaI.ek
nnythihg legal tender for debts, and1a
whether twould not be better to leave
every mai To mike dis contract to hts'
pdid in the money OF Ills choice. ffthi3
were done. and the fnihts Of the iShoid
world were thrown bpeii for free and
unlimited coinage OF oil metals n6s$
fused lis money. the owners Of The Col -
Would soon find which would clreiilat -
ind which would not Rut pess I'd RI
opinion whether government t6hS,s<k
flne or establish legal tenders.
tyhy Abuse GoIds,
The less courageous OF. the free coz
ngc advocates pretend that they NJ