The Liverpool Standard and General Commercial Advertiser.
Liverpool, Merseyside, England, 1847-08-10 00:00:00

Lt 10s. each

commodity, gold with
its. of gold, in

here
d of 71

dwts., for these cotes will express taxation as well as
intrinsic value. Estimated in silver, each of these
notes would only be worth 6s. Bd., although in our do-
mestic money they would circulate at the nominal value
of 10s. each, because out of every 10s., 3s. 4d. would be
due to taxation. (Cheers.) Let me put' the subject in
.another form. Suppose that under the system which now

y of wheat

exists, the intrinsic value of a given quan
equal to one ounce of gold, or nearly £4 of our currency,
and that through indirect taxation, or monopoly, or any

other act of our government or our own society, that given
quantity of wheat should rise in our markets to £6, let us
see how the foreigner would gain at our expense. He
would get six paper pounds, for each of which the Bank
of England would be compelled to give five dwts. of gold;
if, therefore, he exchanged the whole of his notes for gold
he would receive 30 dwts.,_ or one ounce and a half of gold
for that given quantity of corn, which by the hypothesis
Was only worth one ounce ; it is clear, then, that by such
a trade

this we should be giving to the foreigner six,
while we only received from him four ; so that, by such a
system of trade we are losing 50 per cent by all our foreign
transactions, and the more we extend that commerce the

;rester is our loss. (Loud cheers.) I will now point out
he causes of those panics and stagnations which are of pe
iodical recurrence, and which will continue to return in
.egular cycles until our monetary system is reformed.
Me Bank of England, and all other banks of issue, being

!ompelled to redeem their notes in gold at a fixed price,
ire compelled to retract their issue of paper whenever the
rabic of gold rises abroad above our mint price, and be-

3mes a lucrative commodity for export. When t

ierchants and manufacturers, they being compelled to
1 their

:e up their outst

;oods into the marke
ceding the demand,

acceptances
Ind the supply suddenly ex-

Al prices fall,
-Loud (

,elow the ley el of r

thei

!oarse aggravates pauperism. Under such circumstances
listrust and suspicion universally prevail: all confidence
:etween man and man is lost, so that the effects of the
)stein are not less disastrous than thepecuniary. (Cheers.)
Che sun shines as brightly as ever—our sinews have not
ost their vigour—our brains can still exercise their wonted
ntelligence—in fact, nothing has happened but the ab-
traction of a few tons of a foreign metal, of which we
7e made ourselves the slaves, instead of being its
(Applause.) But this abstraction deranges all
and spreads ruin and dismay among all
'erce, and thus we are made to feel the
"Atuation. We have parted with the
4e can distribute commodities and
) We must get it back at any

ruin and disma
it marts of commerce, and thus we are -
II extent of our infatuation. We I-

astrument by NO

to restc

this being done, trade tenipo-

;erves tl

of revival which

c value ; but

the
value,

begin. to rise above intrii

as to embody a share of taxation, the foreign(
repeats his operation, and takes away our gold, mad
and kept cheap by act of parliament, having on of

those commodities which are struggling to rise
in price up to the level of taxation, so that the producer
may recover from the consumer those customs and excise
which he has already advanced to the government. Thus
we are perpetually exposed to cycles of industrial prostra-
tion and commercial embarrassment, because we fabricate
our legal tender out of a commodity ever liable to be ab-
stracted by foreigners as an article of merchandize, in
which we not• simply lose a commodity, but lose our
money. We have in ,eircariat•ion about 220 millions of
provisionary notes and bills of exchange ; these repose on
the narrow basis of au inverted pyramid of gold ; shake
the basis, the whole superstructure tumbles to the ground.
(Cheers.) In 1797, Mr. Pitt released the Bank of Eng-
land from its liability to redeem its notes in gold, and
those notes were now declared to be a legal tender. To sub-
idize our foreign alies and pay our armies in the Peninsula
a compelled to purchase gold ; Napoleon also was
aser ; hence this commodity rose in price, so that
it required a pound note and eight shillin

,s to purchase
guinea. This was the appreciation. of gold, not
the depreciation of the bank note, for gold, measured in
paper, merely obeyed the_law of supply and demand and

mild only purchase 13-;

that rate the fund
but in 1819, the

to 14s

debt, and ha

'e ever

I that we

),0110, of will(
r, was convert

income

the legiziature was to aholish the property and
tax, tlwn yielding A 14,000,000, under pretence