Year: 1873

| 1t; aud Ii there is specie enough within
reach at any time to serve the purposes OF
those who will not take promises to pay
specie, that maintains the credit of the
rest of the promises 1t turns out that in
practice, and on large scale, it will do
if there is about quarter as much specie
always ready as the whole of the paper
money that is going. This is pretty sure
to meet the wants Of all who insist on
real money. That is, mutual confidence
will uphold three quarters of our cur
rency; We might almost say Christian
civilization is at present at business dis
count of twenty five per cent.


But we cannot get gold for even quar-
ter of our greenbacks, except at heavy
discount, and yet they serve pretty good
purpose SO far Ought they not to break
down on these principles Answer ::
Their gold basis exists, but is is two stories
down instead of one The United States
under certain conditions, gives its bonds
| for greenbacks this is the first story
down. Under certain other conditions.
bonds, and meanwhile it pays gold inter
est on them. This is the second story
down. where you come to the real specie
foundation Mutual confidence keeps the
| greenbacks as near gold value as they are
Anybody who wants to see the way in
which changes in mutual confidence
change the value of paper money, need
only follow the gold speculations of the
war period among the respectable gam
6 a.
paid gold for greenbacks, instead of in
this indirect way, they would be worth
gold dollar for each paper one, instead Of
from ten to thirteen per cent. less. Prac
tically. there is from ten to thirteen per
cent. Of doubt about the future contingen.
cies of human life, between the average
citizen aud his Government. in conse-
queuce of this slow way of paying gold.


Some conclusions about the recent
panic, on the basis of these doctrines, are
these


1t is curious fact that paper money
was boarded during The panic. instead Of
specie. which has usually been boarded at
such times This shows how thoroughly
our paper money is accepted in lien of
specie. Why not? 1t is tho nearest we
can get to specie. Wackford Squeers.
his father said, was "next door but one to
a cherubim.' Greenbacks are nert door
but one 10 gold.


There is not far from money enough
for all the honest business in the country.
Those men who wish not to give value for
value in an honest business manner, but
only to get away other people. money for
nothing, that is, the stock gamblers and
corner makers, and others who trade in
what they do not own-those and such
others want more paper money afoat.
Naturally enough to put out more paper
money is to make change in value. 1t
is by taking advantage of changes in val
ues that these men live. If no changes
happen, they start lie to make one.


There are also. as the reader sees men
of incorruptible honor. who want more
paper money. But their demands are
limited to the claim that the currency
shall keep exact pace with the business
of the country. That is, every additional
soul wants his ten dollars The increase
of ease aud quickness of communication.





currency to do our exchanging that is,
it tends to diminish somewhat the average
Of ten dollars how much, is not known


The panic Of September was caused
more by loss of confidence than by any
real business misfortune. What real
business misfortune there was Cat irst)
befcll enterprises and persons entirely too


-. Il Al
genuine business interests of the country
are too closely mixed with the stock
gambling and speculating interests, they
suffered also.


The real preventive against other such
panics will be fonnd-so far as humanity
can furnish tin an elevation Of the av-
crage tone of business honor and honesty


1t is theft to get value from another
man without rendering value for it.


1t is gambling to bet on the future val
ues of other peoples property.


1t is conspiracy and lying to set aaoat
false stories and get up operations for the
purpose of diminishing the value of other
peoples property.


Let these plain truths be felt; let theft.
gambling conspiracy and lying be turned
out of public places like the New York
Stock Exchange aud the Chicago gra
market, and drived into even such an i'm
perfect secrecy as that Of area thefts, faro
gambling. black mailing conspiraces and
legally tangible lies, and business panics
will be greatly lessened in number and
severity But in New York. such thefts
and gambling, if perpetrated in the Stock
Exchange, are actually affirmed to be
honest by law.


American extravagance in Europe has
frequently been made subject of ad-
verse criticism. But the value OF es
,.bl;ebing a reputation for .suood pau'