The Emmett index. [volume] (Emmett, Idaho) 1893-1925, 1897-02-20

a horse, and agreed. we will suppose,
with the owner OF the horse on $50 as
the price OF the horse; that would mean
fifty bushels OF wheat or fifty wheat
dollars. II would mean that the ex-
changeable value OF the horse and the
wheat was as the value OF the horse
was to fifty bushels OF wheat. The one
would say he had sold his horse for $50
and the other would say he had bought
horse. But commercially. II was an
exchange-with fifty bushels OF wheat
regarded as Of the same value as the
horse. Now suppose the law Is changed
10 make tons OF wheat dollars. And
you went into the market to buy the
same horse You would offer to buy
the horse with money representing tons
OF wheat. You would be offering to ex-
change wheat money-each dollar OF
which was n ton OF wheat or represent
ed ton Of wheat, for the horse Under
these circumstances child would I'M
derstand me when / say that the man
with the money would buy the horse
for about Sl.3O."
He now stepped forward among them
and took from his vest pocket a gold
dollar melted into little lump or speck
OF gold which he placed in the palm OF
his right hand. And then continued:
And so now, this little globule OF
gold that hold In my hand is by law
coinable Into a dollar and takes the
place OF the wheat In my Illustration.
And when you exchange property for
10 rI 10
means that the quantity OF money you
receive for your property Is controlled
by the exchangeable value of property
with gold; each one OF these little glob-
ules meaning a dollar You may say
that the representative money In cir
culation assists the quantity Of gold
and 10 that extent relieves the strain
on gold; but you will admit that the
quantity OF gold limits the quantity or
representative money, and. therefore, 1t
Is the quantity OF gold that regulates
the sea level Of prices.
Under bimetallism." he said. contin-
uing, there was double the quantity OF
primary money that we have now under
recommendation; and twice the quantity
of representative money could be main
tanned under bimetallism as can be kept
in circulation under gold monometal-
lism. With double the quantity of pri-
mary and representative money prices
OF property would be higher than when
there was only half thJt quantity OF
money With the demand for money
that formerly rested on both metals |
shifted to gold alone. II resulted In dou- |
bling the demand for gold, and that
has naturally increased the price OF
gold. We must now give up twice as
much property to buy a dollar. the prop
erty OF the money changer. we for
merly gave up to buy dollar when
silver was In competition with gold
% supply the demand for money. Gold
s worth more than Ii was when the
demand for 1t was not so great by one
half. And now l want to impress a les
son of lessons"
He stepped back to the desk and
again placed in each of their hands the
electro glasses. What they now saw
when explained to them was drop OF
gold suspended In the air by n thread !
and bale of cotton and n bushel of |
wheat (the latter In "A sacl). likewise
suspended, but by ropes. Behind each
appeared alternately flashes of blue and
red lights.
John explained as they all looked.
himself included. what they were look
ing at and that the alternating flashes
of blue and red lights indicated the sup
ply and demand for each; the blue
flashes of light indicating the supply OF
each. gold. cotton and wheat and the
red lights the demand for each; and
that the supply and demand for each.
as shown by the lights. would vary
with the paleness or density OF the
lights behind each. Next there ap-
peared over each the year 1880 and also
the price for that year of each. The
gold price was per ounce. the cotton
per pound and wheat the price per
bushel And then the year began
changing: 1850 disappeared and 1881
took its place and then 1882. and so on,
the years changing down till 1896 was
reached. And with each change In the
years, the average price for the year
indicated appeared But each time II
was noticed that the price of cotton
and wheat changed. and that the price
of gold did not change. but the other
two commodities always changed. and
on the average got lower and lower il
price. The blue and red lights behind
the cotton and wheat remained about
the same with slight variations, but tn,
red light behind the gold had increased
in density very much.
you will notice" said John. "tha
the gold does not change In price. TIT
reason is that 10y law the drop of gol,
can 20 to the mint and be coined into
dollar-therefor is being measured il
itself. No matter how scarce or pre-
c0us II becomes-that much Is a dolla
and II you are expressing Its price II
? money. you are expressing II in itself
A horse Is a horse. and no matter HOY
p valuable It becomes by added qualities
r you will call II a horse: and so It {
. with the drop of gold. no matter hoy
r valuable 1t becomes. II you express 1t
r price. IL is in itself that you are es
p pressing it-you still call 1t a dollar
p Now watch the gold dollar while Illus
A trate what mean"
I Never did astronomers watch a plar
n ct more closely through telescopes tina
n Johns audience gazed at the gold do
O lar through their glasses. They wei
l. looking at a small drop OF gold su
2. pended by thread from a beam {
Il wood with only the sky beyond. sa,
< the red light Immediately behind II
e globule Of gold. AS they locke