Page:Stabilizing the dollar, Fisher, 1920.djvu/322

268 heard of by millions of the younger generation. In 1896 when this "free silver" contest was going on, the interest in money and prices was at fever heat. But, by the following presidential campaign, that interest had grown cold, though the very same presidential candidates, expressing the very same opinions and standing on much the same platforms as in 1896, were in the field. In another four years the question was practically forgotten. There was a fundamental economic cause of this rapid petering out of popular interest; namely, the cessation of the fall of prices complained of and the beginning of a rise.

It appears, then, that public interest in, and understanding of, money usually gathers strength as a price movement proceeds, reaches a maximum at the end of the swing, and remains intense and excited only a few years thereafter.

As prices have now been rising 23 years, we may reasonably expect public interest, as soon as the Peace Treaty excitement has subsided, to grow intense and remain so for a few years at least. If, as I expect, prices continue high, the popular idea that the high prices were due to war-scarcity will have no leg to stand on, and the quest for a satisfactory explanation will go on with the greatest eagerness. A member of the Federal Reserve Board says the price level problem is the after-the-war problem. Moreover, as the problem is acute throughout the world, the noise of the discussion will be reënforced by reverberations from one country to another.

Unfortunately, the discussion still shows great bewilderment and confusion of thought. We may say, very solemnly, that seldom was there more need of correct thinking. Without it a misguided public may attempt the impossible; or, like an infuriated mob of lynchers, hang the wrong victim to the lamppost.

But, in spite of the confusion and the great capacity to forget old lessons which the public always exhibits,