The weekly register. [volume] (Point Pleasant, Va. [W. Va.]) 1862-1909, 1898-05-25
LESSONS IN THE
BIMETALHG SCHOOL.
Expansions and COntractions Ex-
pIained-Can be No Prosperity
Under the Single Gold Stand
ard.

plained-Can be No Prosperity
Under the Single Gold Stand
ard.
A writer in the Knight
Watchman thus illustrates tho
evils of the contraction of the cur
rency as now being practiced by
the administration at the dictation
of the worlds pawnbrokers:
A constantly increasing volume
of money is necessary to supply
the increased demand, arising from
the growth of population and bust
ness. A decreasing volume of mon
ey, as compared with the demand,
is disastrous. 1t compels the debt
or to pay in dearer money than he
undertook to pay when he entered
into the contract. II discourages
enterprise, because property pro-
duced or acquired by the invest
ment of money declines in price.
and thus the probability of profit
upon any venture is diminished
When money is advancing in value,
or, what is the same thing, is in
creasing in purchasing power, the
human instinct of gain induces in
vestments in money. Such in
vestments are made by exchanging
property for money, with pur-
pose to hoard it, or for bonds and
other credits, which are invest
ments in money futures. Invest
ments of this character do not Gre
ate wealth, but absorb wealth,
already produced.
When prices are rising the same
instinct leads to the acquisition of
property. Property is acquired
by purchase, and by production
which results from the employ
ment of labor. The employment
of labor in production is the source
of all wealth and prosperity
Spectators of every description.
including dealers in money, in the
language of Wall street, go long"
on those things, whether property
or money, which are rising in price
or value, and ''go short" on those
things which they believe to be on
the decline Since the demoneti-
cation of silver, money has been
approaching in value, and the com
petition to acquire reliable money
futures has been SO great as to in
duce people to accept very low in
terest, in view of the prospect of
an increase in the purchasing
power of money invested. The
decline of prices has been so
serious as to induce prudent men
to go short on property by declin-
ing to engage in new enterprises
and by converting their property
into money futures. Enforced
idleness, produced by the en-
hancement of the value of gold, or,
what is the same thing, the fall of
prices, has withdrawn the pro-
gressive and ambitious from pro-
ductive undertakings and has led
them to seek wealth by investment
in money futures.
An infinite variety of causes
affect progress and prosperity.
Wars, pestilence, famine and bad
government are common Affections
of the human race. But, in the
absence of a known and great
calamity, contraction of the circu-
lating medium is the only instru-
ment of universal misery. No
form of civilization or government
has been able to withstand its
blighting influence, or to survive
its long continuance The unlim-
tied use of gold and silver under
present conditions would rescue
the country from pending disas-
ter, and, if the mines should con-
tinue productive, would secure a
prosperous future. If, ignoring
well-known facts, such as that the
quantity of gold coin in existence
is constantly being reduced,
through abrasion and loss, and
that there is no reasonable pros
Pect of future production of gold
more than sufficient to supply the
arts, the money powers shall con
tinue to resist the restoration of
the automatic system and to in
lsist that the volume of money of