EDITOR'S TABLE. 



6i5 



EDITOR'S TABLE. 



FRENCH EXPERIENCES WITH PAPER- 

 MONEY. 



IN" his pamphlet entitled " Paper- 

 Money Inflation in France : How 

 it came, What it Drought, and How it 

 ended," President "White tells a very 

 plain and direct, hut a very exciting 

 story of national folly and infatuation. 

 It sounds like romance, and but for 

 the constant citations we should almost 

 suspect that the writer is treating us to 

 a satire on American finance. Yet he 

 only gives us a cool, matter-of-fact de- 

 lineation of a great national experi- 

 ment in the substitution of irredeem- 

 able paper for coin as a circulating 

 medium. The lesson brought out by 

 this impressive narration is, that there 

 are natural laws which govern the busi- 

 ness operations of society just as inex- 

 orable as the physical laws that main- 

 tain the harmonies of the solar system 

 or the physiological laws that control 

 the life-processes of the human body. 

 But in the realm of social operations 

 this truth is not recognized. In con- 

 sequence of public ignorance upon this 

 point, and the stupid superstitions of the 

 people regarding the potency of legis- 

 lation, this great field of human effort 

 is the intrenchment of imposture in a 

 hundred shapes, where designing quacks 

 and credulous dupes, calculating dema- 

 gogues, purblind reformers, and hum- 

 bugs of every stripe, have free course 

 and unrestrained revel. This is a 

 sphere in which it is believed that 

 Nature can be cheated, and the conse- 

 quences of human actions escaped. The 

 laws that connect human well-being 

 with self-restraint, that require present 

 sacrifice for future good, and make 

 comfort and competence dependent 

 upon industry and frugality, are held 

 to be the mere hard conditions of hu- 

 man lot, which, being evaded by many, 



may be avoided by all through cunning 

 political schemes and proper legislative 

 ingenuity. There are still millions in 

 this country who have a kind of vague 

 faith that irredeemable paper-money 

 such as a government can print and 

 scatter without limit is a means of na- 

 tional prosperity, a fountain of public 

 wealth, an equalizer of fortunes, a 

 blessing to the poorer classes, and a 

 grand defense of society against the 

 evils of poverty and privation. That it 

 is an illusion and a snare, full of dan- 

 ger, and offering transient benefits at 

 the expense of final disaster, it is diffi- 

 cult to make them understand. 



Let people in this state of mind ac- 

 quaint themselves with the experience 

 of the French upon the subject by read- 

 ing President White's statement. We 

 give its leading points, quoting his own 

 words freely: The year 1789 was one 

 of stagnation and financial embarrass- 

 ment in France. The nation had a 

 heavy debt and a serious deficit, and 

 there was scarcity of money and a 

 want of confidence. This was a time 

 of trial and a test of statesmanship. 

 There were those who saw that the 

 evil could only be remedied by pa- 

 tience, careful management, and the 

 strict adherence to established financial 

 principles. But others, as Dr. White 

 says, were " looking about for some 

 short road to prosperity, and ere long 

 the idea was set afloat that the great 

 want of the country was more of 

 the circulating medium ; and this was 

 speedily followed by calls for an is- 

 sue of paper - money." There was 

 then a struggle. The dangers of such 

 a course were vividly depicted on the 

 one hand, and on the other it was 

 maintained that it would be the salva- 

 tion of France. On the 19th of April, 

 1790. the finance committee of the 



