EXCHANGE

New Zealand Herald, Volume LXXI, Issue 21912, 22 September 1934, Page 15

EXCHANGE

. Sir, —Many readers of the daily papers must have noted the futility of discussions 011 such subjects as "exchange," " credit," " interest," " money," etc. The laws of finance, being man made, are complex and changeable, and all the terms used in connection therewith are likewise complex and changeable, or variable in meaning or interpretation. For example: (1) The word " interest " is variously defined as a payment for rent of use, rent of ability, rent of risk, rent of opportunity, and even rent of time itself. (2) That word " credit " has nine different definitions in my three dictionaries, varying from just "reputation or goodwill," up to "hard cash," (3) The word " money " is defined as a token used as a substitute for barter, or payment in kind —it is also, or should be, a stable measure of the reJative values of commodities and services—and it is also (provided it is not frozen) a means of facilitating the rapid exchange of commodities and services, and finally it is just " lucre," used to propagate itself by speculation, exploitation, usury, etc. As shown bv the newspaper discussions, even highly educated, intelligent people by reason of the above facts, will hold diametrically opposite views on apparently simple, but in reality very complex problems, connected with finance. It is just as if " money," the root of all evils, is every now and then broadcasting the message, as follows, Nemo Me Impune Lacf.ssit.