The progressive farmer. [volume] (Winston, N.C.) 1886-1904, 1896-08-11
STABILITY OF PRICES.
Essay Read Bead Before BERTHE Alliance
by Mrs Sarah e. Mitchell.

1t is generally conceded thaG hucGu
ating prices, or falling prices, are anc
have been, one of the great causes o.
the present ~deplorable conditions o.
this once proud and prosperous ma
ton.
Now, there are many and quite va
rious reasons, why prices f~1ctuate.
rise and fall. 1t is not my purpose,
however, to discuss these reasons at this
time. But l want to call your atten,
ton to the one main a given fol-
the low prices which obtain, and also
to point out how prices may be made
stable.
We are told that nothing is stable in
value but gold; that gold has that in
trinsic value necessary to enable 1t to
remain at n valuation, Of rather that
prevents it from diminishing in value,
though the heavens themselves should
fall. But silver cannot be kept on a
parity with gold at any ratio, be
cause it is liable to fuctuate; that it
has not enought intrinsic value to hold
itself steady in the markets Of the
world at one price. Likewise all other
commodities are controlled by the
same law.
Now this is, in part, true, and l be
lieve we are all agreed that this same
stability in gold is the real cause of all
other commodities being depressed in
value. Why's Because if anything is
fixed at a certain valuation, and can
not fall below that price, and the de
mand for the same be increased, it
must, of necessity, rise above thai
price. Now this is the exact case with
gold. And as gold is the standard Of
valuation, then it follows, that every
other commodity must invariably fall
in price as the demand for gold in
creases, which is nothing more nor
less than appreciation in value of this
very stable commodity, gold. Observe
that the demand for gold is increas
ing every day. Consequently, gold
being stable, every other commodity,
all property, all wages and every
thing measured in gold must sink as
gold rises.
Now, from where does all this in
trinsic value in gold come7 1t Ger
tainly is not within itself, for we all
know that a pound of iron is far more
useful to mankind than a pound of
gold is now, ever was, or ever will be.
We could make out to live if we new
should see any more gold. We do
make out without seeing very little OF
it, and using much less. But we must
have plows, hoes and axes, to say moth
ing of machinery of all kinds, all Of
which are made Of iron.
Equally rue is the fact that a bushel
of grain or fruit is of more practical
benefit to this furnishing world than a
bushel of gold could possibly be.
This proves that this wonderful in
trinsic value is a goldbug song, used to
deceive the dear people, and ls as false
as the hearts of those that sing it.
Listen, and you shall hear how gold
is made stable. Mr.. G. H. Matthews,
in Sound Money, says:
"GoId's value, as money, was fixed
by law, July 10, 1914, in the British
Parliament, at $18 80 an ounce, and
this is what the Bank of England is
obliged by law to pay for 1t, and if
only one ounce is paid for a part is
necessarily paid in silver. See Cham
bers Encyclopedia, 1869, Vol. 1, page
667; or Encyclopedia BRITANNICA, 1883.
Vol. IL, page 49,"
This being true, it is utterly impos
sibIe for gold to fall below this set price,
but may 90 on enhancing in value as
often as the demand may be enhanced.
Now, I think, if intrinsic value can
be given to GOLD, by legislation in Eng
land, it can be gwen to any other com
modify on whi n a great nation may
set a certain price. Say, for instance,
that the American Congress should
pass a law, that for every ounce of
silver Cff9red at the minis, the govern
ment should pay one sixteenth the
price set for gold, 81 Is. Any n can
see that silver would have that much
talked of intrinsic value, and would be
on a parity with gold at the ratio of 16
to /, and would so remain as long as
the government of the United Safes
and the Bank of England shall stand,
and these laws remain on the statute
books. In the same way any other
commodity can be made stable. Cot,
ton is very subject to fuctuation.