The Jasper weekly courier. [volume] (Jasper, Ind.) 1858-1922, 1899-10-20
NOT ON A GOLD STANDARD.
Present Status of the Question Re-
garding standards In the
United states.

gold standard by law. One of the
regular correspondents of the Inter
Ocean, Mr.. Thomas Hitchcock, who
writes over the name of Mathew
Marshall, SAYS in q recent letter: THE
gold standard is now established by
law and cam be overthrow only by
new law. but its permanence rests on
the public opinion" We understand
that Mr.. Hitchcock is one Of the mil
lionaires of New York and is an able
and interesting correspondent, yet he
is constantly making assertions just as
erroneous as the one just quoted He
is not an advocate for the destruction
Of the paper money issued by the gov
eminent, but wants it redeemable in
gold only.
The standard is an important matter,
SO let us examine and stand by the facts
in the case. In 1873 it was enacted by
the United States law that the gold
dollar OF 25.s grains Of standard gold
shall be the unit Of value The
quoted words are as the law stands in,
an official copy. That law has never
been repealed, but in 1873 we partial
lv rcmonetized our silver dollar and
made provision for It's future coin
age. That law of 1875, in speaking of
our standard silver dollar, says
(which coins together with all silver
dollars heretofore coined by the United
States. of like weight and iineness,
shall be legal tender at their nominal
values. for all debts and dues, public
and private. except where otherwise eN-
pressiy stipulated in the contract.
This part Of the law Of / SIS still stands
unrepealed. Up 10 june 80. 1899, we
have coined 4s0.G51.23l silver dollars
under this law OF ISIS. and we are
compelled by later enactment 10 con-
tinue coming them at the rate Of SIS
coo. 600 per year. We have all OF these
silver dollars at the command OF the
government Of our people as fun legal
tender money, "eNcept where otherwise
expressly stipulated in the contract.
As the fun legal tender OF the silver
dollar was restored in ISIS. tainted,
| however, with the exceptional clause
/ Just quoted. vet perfectly regardless
Of the gold dollar being named as "thc
unit of value" This law Of 1878 vir-
tually annulled this unit of value
phrase. The legal tender function OF
money is the special attribute that
makes selected commodity money.
after il is coined. We believe in hold
ing firmly to the doctrine that gold and
silver money. at our existing coinage
ratio Of sixteen TO one, is wise and
equitable. This position is not antag-
onistic to the wisdom Of the govern
ment issuing large amount of paper
money. all rcdeemabie in gold or sill
YER money ut the demand Of the holder
but at the option Of the government as
TO whichever metal may be most con
vcnient to the government for its re-
demption.
Many of Us see danger lurking under
the issue OF unredeemable paper money
bv the government. but we think II
would be very far preferable to the is.
sue Of paper money under the auspices
OF our national banks secured by their
assets and controlled 10y their human
selfishness or whims. There is no me-
cessity of adopting either one OF the
methods. as the government can sal !.
and wisely should issue much larger
amount of paper money than II now
does. made rcdeemable in gold or sill
yer MS long as the government holds
the option MS to the kind of meta
il should use for its redemption.
There Is a fallacy lurking under tn,
phrase "unit of value" or STANDARD OF
value" which is very mischievous. Thi.
word fallacy has often been pointed ou'
in a very clear way by some OF the mos
scholarly and acute financial thinkers
A standard for measuring either weigh
or distance must have from its yer,
name something precisely fixed asto III
own weight or dimensions. Thus w
have our legal yard. 1t j. not the length
Of a certain metallic yardstick AT nj
temperatures. but AT one temperature
only. which temperature is preciscl'
named by statute law. \ standard var,
then is not a piece Of metal Of certain
length at all temperatures. but is TIT
distance between two points measured
. bv a piece of metal at a given tempera
! the exchangeablc value Of certain
quantity of gold or silver will always b
subject to the rigid economic law o
, supply and demand, and their eN
, changcable value will alter in obcdi
encc to this natural law. As these com
. modi,ics are subject TO constan
change in exchangeable value. strictl
: speaking, neither can be fixed stand
ard of exchangeable value. We have n
quality like temperature that can be ar
piled TO them and make them perma
nent or fixed as standards of exchange
able value. | most decidedly prefer I
use the phrase "agents of valuation,
rather than standards Of value a
more precise or scientific.
standards Of value" is n convene n
, phrase for us to use. like the phras
currents of electricity" Every ele'
trician speaks of currents Of electricit,
: yet in the same breath they will tell 70
electricity is not thing, like water Q