The Science of Wealth: a Manual of Political Economy

Cover The Science of Wealth: a Manual of Political Economy
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They could not be paid in coin, but are sufficiently certain to be cancelled in the way just indicated.
A credit currency never has been regulated in such a manner as to keep it on a par with specie, and probably never will be. The necessities of government are so press- ing that the temptation to increase the amount becomes too great for resistance. As prices rise in consequence, the currency becomes of less and less value, that is, has a decreasing power in exchange, so that the inducement to
... issue becomes continually stronger as the volume expands.
Unless this course can be arrested, final bankruptcy is sure.
But the issue of a legal-tender credit currency is, under any circumstances, a great wrong, and can never be justi- fied except in the most extreme cases of national peril; 136 EXCHANGE. [BOOK- III.
and, even in those instances where it has been defended as an indispensable measure, events have generally proved it to have been a mistaken and short-sighted policj.
CREDIT CURRENCY A FORCED LOAN.


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