The Winslow mail., 1900-02-15
A "STABLE" CURRENCY.
The New Supply of Gold and Its Enect
In Bringing PrOsperity-Gcld-
ties Fooled.

From the remarks of correspond
ent of the Springfield Republican, we
judge that the people are opening their
eyes to the true reason of our present
prosperity, and to the real relations
which the money question bears to the
next campaign.
The democrats demanded more money
and higher commodity ana labor prices;
the republicans said, not more money, put
one-hundred cent dollar; not higher
prices, but stable prices But what has
happened? God, to defeat Satan's pet
proposition. a cornered dollar, has direct
ed men to the bowels Of the earth, where
gold was on deposit, and they have brought
forth more yellow dirt in the last three
years than the democrats have hopeo 10
see come of both gold and silver, so that
in spite of Shylock's wish and design, we
have had more money, and, as was fore
told, we have had rising prices (not alto
gether due to the increase OF the Solo out
put, it is true, but largely so), LABOR Is
more fully employed and better pald, ana
| the republican politicians are hoWnng:
Behold our promised prosperity" BUT
THEY FAIL TO ADD, MADE MAINLY
! ON THE DEMOCRATIC FORMULA or
! THREE YEARS AGO.
This is pretty straight talk, and it
means something. 1t cuts right down
into the bowels of the situation, as
you may say. If the correspondent
had felt inclined to go into particulars,
! he might have added to his remarks
about the new supply of gold, the fact
that the war with Spain has put into
active and actual circulation vast
sum of money that has been boarded
in the banks or in the treasury, that
the increase in the price of wheat as
the result Of European demand has
made large additions to the actual cir.
culation, and that the gradual rise IN
prices has added to the volume. thus,
while the money supply has not been
| largely increased, the volume OF clrcu-
lation has grown larger and larger,
the money coming out of the bank
vaults as the result of the demand for
! it. This increase in the actual cir
culation has not only enhanced prices,
but the increase in prices has added
to the circulation, the movement be-
ing one in which cause and effect are
interchangeable and alternating.
No doubt our readers will remember
the ponderous essays devised and put
in circulation by our gold standard
friends in which they solemnly predict
ed that in the changed relations and
conditions of business we had seen the
last of high prices. Such a conclusion
was inevitable from their contention
that the gold standard would give us
"sound and stable currency" This
phrase meant, if it means anything,
that the purchasing power of the Gol-
lar was to remain fixed and stable, an
invariable quality in its measurement
of the value of commodities. A dol
lar, to be a sound dollar, must have
fixed relations to the commodities for
which it is exchanged; these relations
must be. invariable, otherwise the dol
lar is not ''sound" dollar, and the
currency which it stands for is not
stable currency. If not soundness
and stability were mere meaningless
phrases when applied by the writing
contingent of our gold standard
friends.
We think, however, that these writ
ers will admit, if they are pushed
closely, that they did mean that the
gold standard would result in fixed and
stable values and prices, and that the
purchasing power of money would
cease to fuctuate as compared with
the value of commodities. Some of
them will no doubt take refuge in the
. superficial statement that while prices
have risen, the value of the gold
dollar has remained the same. But
the only real value that the gold dol
lar can have as a piece of money, is
it's purchasing power. One man buys
these gold dollars with cotton, because
he wants to buy iron; another buys
them with iron, because he wants to
secure cotton, or cotton cloths; the
wage-earner buys them with his labor
because he wants to purchase food
and clothing, and comforts for him
self and his family; and so on through
the long and multifarious lists of hui
man wants, desires and ambitions.
When prices rise from any cause
whatever, the value of the dollar de-
creases in proportion. Three years ago
the owner of money could purchase a
| ton OF IRON LOT elSHC uOlldIs' HAS he
not lost some advantage, has not his
money shrunk on his hands when he
finds that he must now give $23 or $24
for a ton? Under such circumstances,
we think we would be glad to have the
5O-cent dollar, which he protested so
loudly against in 1896, for then he would
have to pay only SIG ton.
We are truly glad TO see our gold
standard friends so enthusiastic over
the present conditions of prosperity.
This enthusiasm we car enter into and
enjoy most heartily, and the mora so
because prosperity has come as the
result of a more active circulation of
money and higher prices. This re-
suit was predicted by the democrats as
the outcome of just ouch conditions
as have recently prevailed. More money
in circulation, cheaper money, higher
prices and prosperity. These things
90 together. Under all the circum-
stances, do our gold standard friends
persist in claiming that we have a
| "stab1e" currency ATLANTA Cons+i4u.