Social Comptabilism / The Cheque and Clearing Service in the Austrian Postal Savings Bank. Proposed Law laid before the Chamber of Representatives of Belgium

1896 (Extract from the Annals of the Institute of Social Sciences )
BRUSSELS AT THE INSTITUTE 11, RUE RAVENSTEIN, 11
1897
Bruxelles.—Imp. écon., N. Vandersypen, rue de Trèves, 38.
Table of Contents provided by Transcriber

By Ernest SOLVAY
Would it be possible, in a society constituted as ours is, to replace the agency of money by another agency which would have its advantages without its inconveniences, and which could be considered as theoretically perfect,—in other words would it be possible to replace the agency of money by a system which would be the final expression of possible improvement in this matter and the definitive point to which social economics ought necessarily to tend? This is the subject which we propose to consider.
In the first place let us examine into the use of money in society, and to whom it is of use; we will next consider if it is indispensable.
Money presents itself to us as being an indispensable instrument for effecting transactions which are not mere acts of barter, and it presents itself also as having rendered possible,—and this is of capital importance as the sequel will show,—the registering, the writing down or account-keeping of the transactions, if one may so say, which barter did not permit.
Money is exclusively of use to those who enter into commercial transactions. Thus a man who could sufficiently provide for himself in everything without any such transactions, would not have to make any use of money; a landed proprietor may have a considerable fortune and have only a small monetary need, whilst a merchant whose fortune may be much less will find himself in a very different situation: for the greater part of his fortune consisting of merchandise, continually renewed, and consequently engaged in circulation, his monetary need will be considerable. It may therefore be said that the need of money is proportional to the need for commercial transactions.
Beyond what we have just pointed out, has money fulfilled, or does it fulfil any other purpose? We shall see.