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the liberty of offering some comments as well as answers to Mr. Fisher's questions.

(1) I know of no friend of liberty who regards it as a panacea for every ill, or claims that it will make fools successful, or believes that it will make all men equal, rich, and perfectly happy. The Anarchists, it is true, believe that under liberty the laborer's wages will buy back his product, and that this will make men more nearly equal, will insure the industrious and the prudent against poverty, and will add to human happiness. But between the fictitious claims which Mr. Fisher scouts and the real claims which the Anarchists assert it is easy to see the vast difference.

(2) I do not understand how "the unvarying failure of unsound currency enactments" makes the interference of government with finance seem less pernicious. In fact, it drives me to precisely the opposite conclusion. In the phrase, "concomitant dwindling of monetary law into a mere specification of truisms," Mr. Fisher repeats his attempt, of which I complained in the last issue of Liberty, to belittle the restrictions placed upon the issue of paper money. When he has answered the question which I have asked him regarding the English banking laws, we can discuss the matter more intelligently. Meanwhile it is futile to try to make a monopoly seem less than a monopoly by resorting to such a circumlocution as "system of licensing individuals to carry on certain kinds of trades," or to claim that the monopoly of a tool not only common but indispensable to all trades is not more injurious than the monopoly of a tool used by only one trade or a few trades.

(3) It is true that if the mass of capital competing for investment were increased, the rate of interest would fall. But it is not true that scarcity of capital is the only factor that keeps up the rate of interest? If I were free to use my capital directly as a basis of credit or currency, the relief from the necessity of borrowing additional capital from others would decrease the borrowing demand, and therefore the rate of interest. And if, as the Anarchists claim, this freedom to use capital as a basis of credit should give an immense impetus to business, and consequently cause an immense demand for labor, and consequently increase productive power, and consequently augment the amount of capital, here another force would be exercised to lower the rate of interest and cause it to gradually vanish. Free trade in banking does not mean only unlimited liberty to create debt; it means also vastly increased

ability to meet debt: and, so accompanied, the liberty to