The Sun.
London, England, 1848-02-03 00:00:00

TO THE EDITOR OF THE SUN.

SIR,—" The Anti-Gold-law League repudiates a
silver standard as well as a gold standard," so sa)s
the editor of Douglas Jerrold's Weekly Newspaper—
this is an admission that the League are ignorant of
the effect of carrying out their own propositions.
One proposition is, to abolish the present gold
standard ; another is, that the present silver coin shall
be allowed to circulate as the small change of com-
merce. What is this but substituting a silver
standard for the gold standard ? The instant the
gold standard was abolished, and the silver coin
allowed to circulate as small change, the silver coin,
to all intents and purposes, as a natural consequence,
without any Legislative enactment whatsoever, would
become the standard measure of value, not only of
gold and silver bullion, but also of all our transactions
of trade and commerce at home and abroad—our
shillings would as effectually become measures of
value as the franc pieces of France. Thus, as long
as the silver coin should be maintained at the legal
current weight, should we have a silver standard at
the fixed price of ss. Gd. per ounce.—l am, Sir, your
obedient servant, R. W. DICKINSON.
Ilfraeombe, Feb. 2, 1848.

THE CURRENCY.
TO THE EDITOR OF THE SUN.

Sia,—ln Francis's " History of the Bank " (page
237) I find the following passage:—
" Wherever there is a deficient capital at home for
the purchase of silver, the Bank may, with advantage
to the country, preserve the gold by the exportation
of silver, and by purchasing with it the excess of
bills upon England in the foreign market; the opera-
tion is conducted with secrecy, but with the full con-
currence of the whole court of directors, and in
making such a use of their silver, their sole object is
to protect the gold, which in times of an unfavourable
exchange has a tendency to leave the country."
The London bankers usually receive a much larger
quantity of silver than they find employment for, and
the surplus of that, as well as of their gold, is paid
over to the Bank of England; that establishment has,
however (no new thing by the way), thought proper
to refuse reception to the silver .:or the last week
or more, and, in consequence, the accumulation
iu the bankers' hands has reached an extent that
compels them to curtail the usual accommodation to
their customers, a restriction that seriously affects
the smaller tradesman, and presses heavily upon the
salesmen, especially of Billingsgate and other mar-
kets, a great proportion of whose receipts are in the
rejected coinage. It is true the Bank profess to
receive any amount above 201. from private indivi-
duals, but as any operation of that sort consumes the
entire morning of the unhappy money-changer, the
reluctance to pryit by the proffered facility renders
it almost nugatory. Could not the Directors have
recourse to some modes operandi, similar to that
detailed by their talented historian, and by so doing
advance their own interests and minister to the con-
venience of their best friends, the public ?
I remain, your obedient servant,
A BANKER'S CLERK.
TO THE EDITOR OF THE SUN.

SIR,—As the time is drawing near for a renewal of
debate upon our currency, it would be well if the
disputants upon this subject were first to agree upon
certain postulates ; for in the recent discussions it is
quite evident that different definitions are given to
the same term, or, at any rate, are understood in a
different sense.

Now, with respect to the term " fixed price of
gold," and its concomitants " convertibility" and
" inconvertibility," the common sense meaning of a
" fixed price of gold" appears to be, that the Bank of
England is by Act of Parliament bound to redeem
its notes at the rate of 5 dwts. 3 grs. per .£ ; that is,
it is in exchange to give '2.5 dwts. 15 grs. of standard
gold for every one of its tit notes presented for such
payment, and proportional quantities of that metal for
notes of larger amount—this is convertibility.
No great inconvenience may arise by men being
compelled to promise the performance of a physical
impossibility, if such promise is never expected to be
fulfilled, by reason of those who have promised never
being called upon to perform their promises. But to
convert the whole or greater part of our paper cur-
rency into gold is impossible; the promise of conver-
tibility, according to Act of Parliament, is therefore
a delusion.

There has of late been much talk of a French in-
vasion; it is presumed the French have lost their
wits. But just now they could, however, assist us
in settling cur currency disputes by making a grand
show of a hostile visit. An alarm of invasion would
stir up a money panic; everybody would like to pos•
seas gold ; "flimsies" would be pushed into the banks
to be exchanged for the precious metal ; a general
shut-up of banks would come to pass ; and a pretty
considerable fix, as Jonathan would say, we should
be in—this would be inconvertibility.
The advocates of a paper currency wish to have
the use of such a currency as is suited to the artificial
condition and wants of such a people as we have
become. A paper currency, based upon ample
securities and ?:mited in its amount, so as, upon au
average of years, to maintain the prices of the
necessaries of life, the support of labour, at the figure
they were at the period of the tithe commutation,
appears to be the thing. The issue of the paper
currency to be regulated by Parliament; its exchange
for gold or silver to be at the market price, the bank
note or paper value of those metals ; " flimsies "
would then be as good as title deeds. An universal
demand for gold would necessarily raise its price, as
would a great demand for pork raise the value of
pigs. If any person really wants, or has a great
fancy for gold, let him buy it as he would butter or
cheese.
The stamped note of England to be the legal
tender, and the medium of exchange—this served our
purpose during a long and trying period, and would
well serve our purpose now, and, in all probability,
for ever, if plaeed under the control its numerous
advocates have proposed.
Feb. 1. J. 11.