FOREST FINAHCE 17 



ize or use different units of measure, and within the same country, time 



causes the unit to vary (cattle in the United States; platinum in Russia; 



silver in some of the Latin countries; glass pearls with the Indians; courie 



shells with the Siamese). 



Money, in other words, is nothing but a unit of measuring, having func- 

 tions like those of the yard, the bushel, the pound (all being subject to fluc- 

 tuations) to wit, the functions of measuring. 

 C. — All production originates with nature, and all capital consists, in part, of 



natural creations or natural objects, namely: 



1. Natural gifts (soil and soil products) ; 



2. Natural forces (wind, water, fire, gravity, electricity, heat, rainfall). 

 D. — Accumulated human labor forms, usually, a part of a capital actually 



producing (field, wind mills or water mills). 

 E. — Merely natural capitals to which no human labor (accumulated) is at- 

 tached, are usually unproductive; although their earning power might be 

 at hand (most of our waterfalls; the prairies a century ago). 

 Mines and fields, without the addition of accumulated labor, cannot prove 

 their earning power. The forest and the pasture — under certain conditions 

 at least and for limited periods — may create new commodities without requir- 

 ing labor to be previously performed. 



F- — As long as the population increases, the individual's share in the "gifts" 

 and in the "forces" of nature — especially in the gifts — DECREASES and 

 the units of such gifts and forces increase in value. 

 On the other hand, capital consisting largely of accumulated human labor 

 depreciates under the same circumstances. 



The more a capital consists of — | ^^f^j- [ — components, the better 



are its chances to gradually — | J^^ > — in (exchange) value. 



Rule a. As long as capital, labor, population and money in circulation re- 

 main the same, values remain the same. 



Rule b. If capital alone decreases (population, labor and money stagnating) 

 less products are available and $1.00 can buy less products or less 

 capital than heretofore. (This rule holds good, especially, in the 

 case of the necessities of life.) 



Rule c. If population alone grows (capital and money stagnating), Sl.OO 

 can buy less natural products or capital than heretofore and can 

 buy more man-made capital or products than heretofore (since 

 labor is cheapened). 



Rule d. If money alone increases (population and capital stagnating), $1.00 

 can buy less products, labor or capital than heretofore. 

 As a matter of fact, population and circulating money are on the increase 



in the United States, whilst capital consisting of natural gifts is decreasing 



and whilst capital consisting of natural forces remains the same. 



H. — All economic factors combine as a consequence to continuously lessen 

 the purchasing power of the dollar in the United States. The legalized 



