By William M. Gouge
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Additional info for A Short History of Paper-Money and Banking in the United States: Including an Account of Provincial and Continental Paper-Money. to Which Is Prefixed, an Inquiry Into the Principles of the System
Our UnIOn; but they may all be embraced in one view, inasmuch as they all substilute paper for specie, and credit for cash, and are all endowed with privileges which individuals do not possess. By their various operations, immediate and remote, they must affect, for good or for evil, every individual in the country. Banking is not a local, temporary, or occasional cause. It is general and permanent. Like the atmosphere, it presses every where. Its effects are felt alike in the palace and the hovel.
1'he high estimatron in which the precious metals have been held, in nearly all ages and all regions, is evidence that they must possess something more than merely ideal value. It is not from the mere vagaries of fancy, that they are equally prized by the Laplander and the Siamese. It was not from compliance with any preconceived theories of philosophers or statesmen, that they were, for many thousand years) in all commercial countries, the exclusive cir- 10 OF REAL MONEY. culating medium. Men chose gold and silver for the material for money, for reasons similar to those which induced them to choose wool, flax, silk, and cotton, for materials for clothing, and'stone, brick, and timber, for materials for building.
As the value of silver has underg;one hardly any variation in the last two centuries, and probably will not undergo any great variation for a hundred years to come, a man may, in solid money countries, enter into a contract to pay a sum of money, ten, twenty, or thirty years hence, and rest assured that more wealth will not be exacted from him than he intends to give. In such countries, contracts can be complied with in equity. A3 the standard of value in most countries is the same, the coins differing only in weight, purity, stamp, and denomination, the value of different articles in different countries at the same time, can be ascertained with sufficient accuracy for each country to determine what articles it is expedient to export and what to import.
A Short History of Paper-Money and Banking in the United States: Including an Account of Provincial and Continental Paper-Money. to Which Is Prefixed, an Inquiry Into the Principles of the System by William M. Gouge