Manawatu Herald. TUESDAY, NOV. 8, 1898. A Commercial Exchange.

Manawatu Herald, 8 November 1898, Page 2

Manawatu Herald. TUESDAY, NOV. 8, 1898. A Commercial Exchange.

At the present day the metal, gold, is the universal commercial exchange though many persona have endeavoured to substitute some other from time to time. In 1888 one Robert Owen started his Labour Exchange. Peop^ brought their goods to hi« Exchange and obtained for their value paper promises called Labour Exchange notes. These notes passed from hand to hand as money until some person went with them to a Labour Exchange, and exchanged them for whatever he wanted of the goods stored there. On the same principle, De Bernardi established, in 1893, the American Labour Exchanges, of which about 300 branches, with something like 16,000 membprs. are now flourishing in the United States. A man named Bonnard in 1849 founded the French Exchange Bank, which is still existing under the name of Comptoir da Credit Central. This institution leaves the gooda in the possession of their owners, take 9 their engagements to deliver a certain amount of these goods on demand, and gives them in payment similar engagements made by others, whose goods they want to bay. The adjustment of these prices is left to the bargaining between buyer and seller, a3 with purchases in ordinary money. We have now in Wellington a Mr Michael Flurs cheiin who is establishing a Commercial Exchange between Wellington and Christohuroh, and the scheme having received the approval of a large number of subscribers in both places will soon be in working order, and will thus afford an object lesson upon a principle which ap pears on the face to be reasonable and practical. Mr Flurscheim in a paper he has published puts the case very ably from his point of view He says—" Distribution and consequently production must cease if there is no medium of exchange, or not enough of it to carry them on. That our gold money exists in by far too small a quantity to supply our ourrenoy-needs, and that this was not much better when silver helped in the work, is best proved by the money substitutes in use. It has been calculated that over 99 per cent of the world's business is done by means of these substitutes in the shape of notes, cheques, bills of exchange and other money promises. This would not matter much if the promised money really existed, if the promises were simply warrants for which the real article ia always kept in stock, but such is far from being the case. We have made the calculation that the aggregate of money promises, of debts payable in our legal tender money, exceeds over-thirty-fold the money stock, and twenty fold, even if we eliminate all those promises which balance each otheY id the end, as a bill of exchange, for instance, which is issued by A to B may be finally balanced by a bill of exchange signed by B to C, though even here the real money may be called for if one bill becomes due\before another, add if they are not cleared through the same banking institutions. The banking in stitutions of New Zealand do not possess half as much legal tender j money as they owe deposits on call I alone. If only one half of these take it into their minds they can bring j about a stoppage of the. banks, and"j of business in general, from one day | to another. It is only because we

cannot get this gold when many of us suddenly take it into our heads to call for it that we find our whole circulation, based on' this one thing, suddenly stopped. Busiuess men are ruined, factories close, working m<!n are out of work, want and misery creep in everywhere. Is it not a high time to put a stop to this tiMZi?" The explanation of the o^w order of things is given thusly, 1 Oar Exchange is to be really nutual, really co-operative. Anyone who takes a single pound share becomes a member with full powers, and those who take more shares only have the right of collecting a maximum dividend of five per cent ; they possess no more vote 3 than the holder of one share. Members as such will be under no further charge?, and those of them who do business with the society are only liable to a certain percentage on their turnover necessary to pay expenses and losses, and to keep up a sufficient reserve fund for all eventualities, provided these expenses are not covered by interest charges on debts. The ex change paper will take the form of the bank note and the cheque. The cheque will only call upon the Company to debit the account of th? drawer and to credit the party holding the cheque with a certain amount for goods or services supplied. Just at first a member will be able to make only a limited number of hi* purchases with the new money, and ( so will be able to sell only a limited amount of his own goods or services for this money, demanding cash for the vest. But this proportion will increase from day to day as the circle widens," We express no opinion a* to the ultimate result of this rxperiment and we have only given but short extracts from a very fall explanation furnished by the promot >r, but those who desire further infor mation should apply to him. The scheme appears right up to a certain point. The lad William Currie, charged with the theft of a pair ot boots, was brought before Messrs Thynne and Fraser, J's.P., on Saturday afternoon, and having pleaded guilty was fined 5s and costs 3s, and to pay for the value of the boots, 8s 6d, or in default three days' imprisonment. He was given a day to get the money in. All extra leave on H.M.S. Royalist at Auckland for officers and men at present in port is cancelled, and she has taken in several months' stores, and is ready to proceed to sea at any time. The work in connection with the launching of the Mapourika is going on satisfactorily. A large crowd of men are employed at her. A most unfortunate occurrence was reported from Newtown on Saturday night, when a young girl named Maude Rasmussen met her death. It appears that the deceased and her sister were playing il see-saw " on a vacant section at the corner of Rintoul street, where a quantity of timber is stacked. Both girls fell off the plank, one end of which struck Maude Rasmussen on the head, fracturing her skull. Assistance was immediately sought, and Dr Perkins sent for, but the girl was dead before he arrived, death being due to concussion of the brain. Deceased was a daughter of Mr Rasmussen, baker, of Newtown. An inquest was to be held yesterday morning at the Newtown Hotel.—" Times." Mr Ross, city editor of the " London Daily Mail," has resigned, owing to Mr Hooley's insinuations against himself and the paper. He makes a strong self-defence to the statements. Sir William Marriott and others assailed deny Mr E. Hooley's allegations. The following regulations in reference to whitebait fishing are gazetted : — No person shall take whitebait by the use of nets in paddocks which are formed by constructing groins from the banks of rivers and streams, and making holes for the fish between the groins and the banks. Any person committing a breach of the above regulations will be liable to a penalty of not less that £ 1 and not exceeding £"20. A . Dannevirke charcoal burner named Fredsburg has, since he started in the industry, sent away somewhere about 60,000 sacks of crushed and lump charcoal, chiefly in demand for insulating purposes in connection with freezing works. It is owing to the prevalence of great heat that the Emperor of Germany is curtailing his tour. He will visit Syra, the most important, though not the largest, of that group of islands in the Mgean Sea, known as the Cyclades. "The road to fortune is through printers' ink. Frequent and constant advertising brought me all I own." — John Wanamaker, Philadelphia's merchant prince. The Old Age Pensions Bill has received the Governor's assent. The Powers have nominated Prince George of Greece as Governor of Crete. According to an Auckland telegram f ■ there is tremendous excitement among' the Taurangi natives owing to the reported resurrection of a Maori girl named Marata by Ehau, the Maori King's tohunga. The girl is stated to have died on Monday, and Ehau went to the place where the tangi was proceedings over the body. He told the mourners to cease crying, as Marata, would be restored to life. He then placed his hand on the girl's forhead, and told her to rise, which she did to the utter astonishment of all present. The Maoris are frantic with joy, and are showering presents on Ehau. The girl is well and is walking about. Two good scutchers are wanted. Nine shillings a day will be paid to good men. Apply to Mr A. C. Stansell. The Nile runs an excursion to the beach to-morrow.

A wonan named Margaret Wickham or Wak »ham was charged before the Justices this morning with having been illegally on the premises of Mrs O'Brieu last night at 9.30. The accused pleaded guilty saying she was under the influence of liquor. She was sen ' enced to 24 hours imprisonment and s!>3 agreed to leave the town at the expiration of her sentence. She appear ..-d to be an old offender.

The representatives of the St. Georgia Meat Preserving works have secure:] a residence in town and intend to start at once tinning the whiteb lit, having secured a site on the river bank close to Mr G. Coley's mill.

The sociai to the Rev. R. Young and family takes place to-night at the Church of England School-room at 8 o'clock. Though the weather is bad it is hoped that a large number will take this opportunity of wishing Godspeed to a well-beloved pastor.

On Thursday the Court Pride of Foxton lodge of the Ancient Order of Foresters will be opened. All those intending to become members are requested to attend. Th 6 time and place will be advertised in our next issue.