Weekly national intelligencer. [volume] (Washington [D.C.]) 1841-1869, 1852-01-03
COMMUNICATION.
Some Observations on tie Coinage and Peculiari-
ties Of Gold and ,Sloer.

DIicsj ana not Dy the uepoSltOrS OF " DulllOn,
whose gold and silver are manufactured into coins
without expense to them, for the general conye-
nience, the public may be benefited by some brief
explanations upon subject which interests all.
| Gold and silver, called "precious metals, being
the least subject to injury by rust wastage, APP
pear very freely distributed upon our earth, and
have been employed as means of exchange from the
earliest periods of which we possess any records
1t is well for to know that the intrinsic value
of gold and silver does not depend upon its coinage but
upon the relative weight and purity of these metals.
Each depositor of gold silver bullion minis is
entitled by law to receive coins exactly the amount
of perfectly pure fine gold fine silver" which is
ascertaned by assay exist in the metal he for
coinage.
Modern minis thus prepare gold and silver for
tensye diffusion by division into quantities. of
curately ascertained quality, and thus give title" to
their relative and proportionate values
| BY knowledge of the exact /" fneness" from assay
and the weight after melting the absolute value of
bullion Of any kind be ascertained readily before as
after coinage.
The manufacture of the precious metals into pieces
of proper fneness, weight and value is great public
convenience if dscreety regulated otherwise it may be-
very great public burden attended with much I'M
necessary expense
When large erportaons Of specie deemed essential
to commercial transactions the continued coinage of gold is
worse than useless The whole expense of it is lost
coins are RENTED abroad, and estimated simply as
bullion" by their quality and weight!
The extent of our coinage is sometimes noticed with
complacency when in truth minis needessly expend
ing their appropriations, and sometimes repeating the
processes with the same metals, in different po
| sitions
large portion of the French indemnity was paid in
nia IF d.fa
lcan France and Italy These were remeed re-assayed
and recoined into national currency and as we are
now shipping specie" abroad the very same pieces may
undergo the processes again in the French or Eng
lsh mints
The manufacture of gold and silver into coins does not
then as general rule of commerce. add to their value
When the coins of the United States are exported in con-
sequence of the balance of trade being against ustat
is ,rhen hare bought than pay form other pro-
dueewe waste all the expense incurred by this manufac-
tre and pieces Of money remeted and reconed
| according to the standards of other nations.
Our coinage like ewery or ornaments which have lost
their fashion, estimated sold metal abroad that
is, solely metals without reference to previous cost of
fabrication design.
At the present this subject is one of interest
1t may be well to present it in manner as gsneraay in
tegbe possible And the explanation of few pecu-
to render expressions referring to their different forms
more easy of appreciation by the reader
Gold and silver readily unite with all other metals
Gold in its native condition is always combined with
some alloy, and probably exists in any natural
combination without silver alloy" This term
alloy desgnates baser inferior metal mixed with
finer or more valuable Thus silver becomes an
alloy OF gold, as copper is an alloy of silver Silver
in union with gold in their native state is found COM
bned in very different proportions and these proportions
are known TO vary in the same ''vein" No per
fecy pure" fine gold has been discovered in a ma
tural state Fine gold artificial product and results
from the curious and delicate operations of the assayer
rehner whose processes discover the exact amount
perfectly fine gold' " fine silver contained in any
given weight of well melted mixed" metals
Gold well melted combines with its various allows er
ct atn0 in equal proportions so that small piece Ia
ken for assay trial from bar ngo represents the
combination of all the metals throughout the ssbul-
lion, uncoined The art of assay" or proof
Of the amount Of fine gold fine silver contained in any
weighed of well melted metals gives the basis for the
valuation of bullion and of moneys the adjustment of
standard coinage and for the relation proportonate
values Of these two precious metals towards each other
| and to every description Of commodities
The average equality of all the gold bullion presented
at our minis contains much silver that it believed
require by existing laws the expensive operations of the
refinery to separate the silver from the gold before
either metal be formed into coins of legal standard
value" standard in coinage being The proportion OF
pegh cfFSE metal and ALLOY established "by authority"
The standard of these United States consists of nine
hundred parts of fine gold fine silver and of one hun
bred parts Of aloyn the thousand parts In the gold
coins besides copper portion of silver is retained as al
10y. In the silver coins the alloy is copper
The standard varies in different countries like other
weights and measures Of values Modern Governments
having assumed the exclusive right Of coinage" as
protection for individuals and to ax certain value to
weight of certain neness purity subject them
selves to supply suitable descriptions Of coins adapted to
the emergencies and necessities Of the community accord
ing to modern ideas.
Gold and silver originally considered and ancieny
called merchandise" We regard this as Just term
All the laws Of and of trade affect their value
metals and must treat of them merchandise to
comprehend the changes which sometimes take place in the
relative values of these metals If gold and silver were
only merchandise they would strictly obey all the
laws of trade They have been taken somewhat from this
ordinary service to act he rsprcsentatir Of the
value Of all other products They do not change their
peculiar characters that account but thus become LA
BILE to allowances, and involved in terms which
sometimes occasion confusion in attempting to follow out
abstract arguments rather diusey employed by some
" economists"
The relative values Of the metals of gold and silver
fired by law lately have changed their proper
tons consequent upon increased supply Of gold with
corresponding deficiency Of silver and Also probably
from an padeouat, coiaoge Of the smallest srer pieces which