INDEX.

Aldrich Report, the, 83.

Bagehot, Walter, quoted, 54, 122, 197.

Bank-notes, national, proposal for increasing issue of, 146.

Bi-metallism, 46, 67.

Böhm-Bawerk, von, quoted, 4, 7.

Capital and money, distinction between, 104.

Coin. See Money.

Coin and paper money, 22.

Cost of production, 10.

Credit, money forms of, 92.

Currency, an elastic. See Money.

Decline in prices, 90, 101.

Definition of money, 21.

Definition of value, 1.

Demand and supply. See Supply and Demand.

Dollar, gold and silver, 125.

Economist, London, on foreign prices, 83, 84, 86.

Ely, Prof. R. T., quoted, 32, 47.

Employers of labour, 102, 199.

Encyclopædia Britannica on money, 35.

Exchange, money as a medium of. See Money.

Existing monetary systems, 51.

Foreign commerce, 112–124;

balance of trade, from an economic standpoint, a misnomer, 114;

international trade, ib.

France, monetary system of, changed to a gold basis, 70.

Functions and requirements of money, 25.

Germany, monetary system of, changed to a gold basis, 70.

Gold. See Money and Monetary Systems.

Gold production between the years 1850–57 in Australia and California, 90.

Gold-standard arguments criticised, 98;

Mr. D. A. Wells' fallacy of deeming labour a test of value, 100;

threefold division of the community into labourers, employers of labour, and money loaners, 102;

distinction between capital and money, 107.

See Stability of Gold and Silver Values.

Gold standard, the, 54.

Greenbacks, 126, 129, 146.

Gresham's law, 57, 59, 65, 67, 149.

Inconvertible paper, 22, 76.

India, English commission on the depression of trade in, 119;

silver currency in, 96.

Invariable money value, necessity for, 28, 40.

Jevons, Professor, quoted, 25, 27, 154.

Labour, productive and unproductive, 14;

three kinds of, as factors in making for the value of a commodity, 15;

labour not a standard of value, 18.

Laughlin, Prof. J. L., quoted, 46.

Medium of exchange, the, 164.

Mexican exchange, 120.

Mill, John Stuart, quoted, 6, 14, 18, 31, 36, 76.

Money loaners, 103, 200.

Money, definition of, 21;

F. A. Walker's comprehensive definition, ib.;

paper money and coin, 22 sqq.;

functions and requirements of, 25;

money as 'a medium of exchange,' 'a measure of value,' and 'a standard of deferred payments,' ib.;

Professor Walker's substitution for the term 'measure of value,' 'common denominator of value,' 26;

money as 'a store of value,' ib.;

qualities necessary to a money material, 27;

invariable value, 28;

fluctuations in money value, 30;

J. S. Mill on the purchasing power of money, 32;

the Encyclopædia Britannica quoted, 35;

money demand and supply, 36;

money actual and money in forms of credit, 38;

an invariable money value, 40;

a change of money value, a robbery, 42;

F. A. Walker, on decreasing money value, 44;

a flexible or elastic currency, need of, 45;

money in all countries a creature of the law, 53.

Money in the United States, 125;

greenbacks, national bank-notes, silver and gold certificates, treasury notes, currency certificates, 126;

gold coin, silver coin, 128;

national bank-notes wrong in principle, 129;

no means to-day of meeting either the increasing demand for money expanding population and commerce bring, or the sudden demand that a failure of credit may bring, 133;

results, ib.;

some proposed changes in our monetary system, 137;

free coinage of silver, 138;

erroneous views confuted, 139;

'greenback' or fiat money proposals, 146;

increase of the issue of national bank-notes a mere makeshift, 147;

divorce of our money from that of other countries only mode of controlling it and making it honest, 150;

a new monetary system, 151;

standard of value, 158;

medium of exchange, 164;

the national banks as a distributing agency, 167;

complete control of the money volume, 177;

merits of plan considered, 181;

an invariable standard of value, ib.;

a cheap, convenient, and elastic medium of exchange, ib.;

prevention of panics, ib.;

repression of excessive speculation and its reaction, 183, 184;

plan wholly American, 186;

objections answered, 187;

conclusion, 196.

Money system, our, some proposed changes in, 137.

Money value, 29.

Monetary systems, existing, 51;

the gold standard, 54;

Gresham's law, 57;

the silver standard, 65;

bi-metallism, 67;

paper money, 71;

J. S. Mill on inconvertible paper, 76.

New monetary system, a, 151–180.

Panics and hard times, causes of, 45;

panic of 1857, collapse of credit in, 90;

panic of 1873, 91.

Paper money, 71, 78;

Prof. F. A. Walker on, 77.

See Money.

Patten, Prof. Simon N., quoted, 7.

Prices, declining, evils of, 101;

Professor Sherwood on stability of, 48.

Production, cost of, 10.

Purchasing power, 5.

Ricardo, David, quoted, 14, 17, 34, 46.

Sauerbeck, Mr., quoted, 83, 84, 87.

Sherwood, Sidney, quoted, 48.

Silver, see Money;

the silver standard, see Monetary system.

Silver, free coinage of, 138, 139.

Silver famine of the Middle Ages, 82.

Silver production in Nevada, 91.

Silver standard, the, 65.

Silver-standard prices, 94.

Smith, Adam, referred to, 14.

Soetbeer, Dr. quoted, 83, 84, 87.

Stability of gold and silver values, 81–97;

gold standard prices, 81;

European economists on prices, 83;

decline in prices, 90;

silver-standard prices, 94.

Standard of value, the, 12, 158.

Supply and demand, 8;

the immediate determiner of value the relation between supply and demand, ib.;

the demand for a commodity determined by its subjective or exchange value, 9, 10;

close connection between value and the ratio between demand and supply, 10.

Tauschkraft, 5.

United States, the, stops free coinage of silver, 70.

United States Senate Finance Committee Report on 'Wholesale Prices, Wages, and Transportations,' 83.

Value and the standard of value, 1–20;

definition of value, 1;

the two classifications—'Value in use,' and 'Value in exchange,' 3;

Böhm-Bawerk on 'Value in the subjective sense,' 4;

John Stuart Mill's aphorism—'every rise of value supposes a fall, and every fall a rise,' 7;

Simon N. Patten on 'objective values,' ib.;

standard of exchange value, 12;

exchange value, what determines its constancy or variability, 19;

only one real standard of value, 20.

Walker, Prof. F. A., quoted, 21, 24, 25, 77, 78, 82, 156.

Wells, David A., quoted, 50 sqq., 94, 95, 98, 100, 101, 105–111, 119, 120.

(Larger)

---- Value or Purchasing Power of Gold .... Value or Purchasing Power of Silver

in per-centages on Values of 1860; assuming that the list of 223 commodities in report of Finance Com. U. S. Senate No. 1394, weighted according to importance, fairly represents all commodities, and that their average is therefore of constant value.

(Larger)

Diagram of Price Variations

Showing average per-centage of change, from prices of 1860, of each of four lists of commodities, Gold prices.

Platted from tables in Senate Report No. 1394 Finance Com. 2nd Session, 52nd Con.

=== U. S. Senate Finance Com. List 223 Commodities --- Mr Sauerbeck's List. English prices. 56 Commodities ... Economist List. English prices. 22 Commodities ,,, Mr Soetbeer's List. Hamburg and Eng. prices 114 Commodities.