Readings in Money and Banking: Selected and Adapted — John Shaqi
Readings in Money and Banking: Selected and AdaptedPhillips, Chester Arthur
General
Readings in Money and Banking: Selected and Adapted
Phillips, Chester Arthur
Banks and banking; Banks and banking -- United States; Money
It must be evident, however, that the mere introduction of a particular
mode of exchanging things for one another, by first exchanging a thing
for money, and then exchanging the money for something else, makes no
difference in the essential character of transactions. It is not with
money that things are really purchased. Nobody's income (except that of
the gold or silver miner) is derived from the precious metals. The
pounds or shillings which a person receives weekly or yearly, are not
what constitutes his income; they are a sort of tickets or orders which
he can present for payment at any shop he pleases, and which entitle him
to receive a certain value of any commodity that he makes choice of. The
farmer pays his laborers and his landlord in these tickets, as the most
convenient plan for himself and them; but their real income is their
share of his corn, cattle, and hay, and it makes no essential difference
whether he distributes it to them directly or sells it for them and
gives them the price; but as they would have to sell it for money if he
did not, and he is a seller at any rate, it best suits the purposes of
all, that he should sell their share along with his own, and leave the
laborers more leisure for work and the landlord for being idle. The
capitalists, except those who are producers of the precious metals,
derive no part of their income from those metals, since they only get
them by buying them with their own produce: while all other persons have
their incomes paid to them by the capitalists, or by those who have
received payment from the capitalists, and as the capitalists have
nothing, from the first, except their produce, it is that and nothing
else which supplies all incomes furnished by them. There cannot, in
short, be intrinsically a more insignificant thing, in the economy of
society, than money; except in the character of a contrivance for
sparing time and labor. It is a machine for doing quickly and
commodiously, what would be done, though less quickly and commodiously,
without it: and like many other kinds of machinery, it only exerts a
distinct and independent influence of its own when it gets out of order.
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