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currency, banking may be made free, under a few simple rules. Then bankers may be allowed to govern their charge of interest for loans, by the demand for money. If this much justice were granted them, investments in banks would be increased, and both lenders and borrowers would be benefitted.
Essential principles of money.
Value or demand is the motive power of persons.
The motive power of the population is the sum of value.
The motive power of the unit of population is the unit of value.
The unit of value may, by proper authority, be represented.
The representative of the unit of value is the money unit.
The money unit may be called the dollar.
The dollar may represent the unit of value in whole or in part.
The value of the dollar is given when the rate of its representation is given.
The dollar is true when its rate is fixed.
Circumstances may increase demand.
Increase of demand increases industry.
Increase of industry requires increase of the means of exchange.
The means of exchange are the representatives of demand.
The representatives of demand are true dollars.
The demand or value which the true dollar represents is as the state of industry.
A currency consisting of true dollars is therefore equal to any possible demand.
Debts consist of dollars.
Debts may lay over through several states of industry.
The value of the true dollar corresponds to the state of industry.
If a given industry be equal to a true dollar in one state of industry it is so in any other.
With true dollars therefore, debts that lay over will be as easily paid in one state of industry, as in another.
