The Sumter banner. [volume] (Sumterville, S.C.) 1846-1855, 1852-08-03

WINE III hperlCd II WIS neTely lraC.
iional. When the Californian sup.
plies came forward the difference
soon disappeared, and silver would
have become relatively much the
dearest but for the displacement
which tlen, of course, occurred
When one hundred francs in gold,
instead of being worth one hundred
and two francs in silver, fell in value
to fraction below one hundred
francs in the latter metal. it became
forthwith more profitable to make
payments il, gold, and to sell silver
at the market price for expectation.
In this way a large infusion of gold
took place III France. while in the
United States it absolutely became
the most c"mmon circulating medium.
Thus the effect Of the new supplies
If gold has not been limited to that
metal. but has been ditflsed over
soli and silver, and hence, instead
OF being equal to twenty per cent,
which would have been the case if
'hc G1o0,O00,000 Of gold had alone
been i'll question, it has bccn only
seven and u half pvr cent. from be-
spread over the entire. 940O,O O,OOO,-
coo of gold and silver.
D, q rcco, nitinn Of this fact all
surprise at the absence OF any very
striking disturbances up to the pres.
cnt lime is removed there is quite
enough 70 warrant the assumption
that Influence operating on "ne side
I" the extent OF seven and a half per
cent has been partially ly rendered i'm.
crcrllihle hJ the force of circum-
stances III al "ll"site direction. In
he frs: Place there have b, en- the
fleets of increased production from
free trade and ilce navigation the
latter Of which, combined with rail.
roads, have caused large amount
Of goods that would otherwise have
been i'll store on IN trausitu to find
it's way to mar ktt. Next, it is i'm.
,ossihlc to estimate What may have
been the extent Of boarding IN 1er:
many ard Italy; and lastly, there re-
mains to be taken into account the
uniform tendency to a fall in prices
consequent upon the march of invcn-
iion ami The SIM l.fcation uf lator.
We have now, huwever to consider
the futnre. So long as their is any
silver, TO b snrpIanlcd in countries
Ah"re, o~ius to the existence OF
i"ub!c standard, it is optional for the
debtor to pay either in gold or in sill
yer, the effects Of Tie increased pro
due ion viii continue TO be extcnded'
20 both metals, aud Consequently, ii
the surplus oi gold this year sh.,,li
be, rs has hccn estimated, L25. COO
600, its influence upon prices cou,i
be but siX ~ seven i,cr c ut. Iu.
'he period must rapidly arrr"aci,
when the Ills Iaccmcnt Of silver will
have entch, an when the chanscs
brought about will be upon gold
alone. In France, the existing
amount of silver is still doubtless very
large, hut ,hiS is not the case in the
Umtrd States, au'l the proposed law
ny which the CONS below a dollar are
TO be drterI"ratcl G.91 per cent.
viii prevent t"r the prcsel. any ac,
ION UPON that portion Of the stock.
In Germany, the debased State of
The silver cinage will likewisr for a
long time preserve it from disrlacc-
mcnt. III Holland silver has been al
really established as the standard,
and ca,lno; therefore bc driven out.
With regard to eastern nations, il is
difficult to form any estimate. On
the Whole, however, We may infer the
possibility Of the displacement pro-
cess still occupying three or four
years, ami thar during that time.
therefore, the effects to be produced
viii bc Spread, as they have thus far
been, over both lucta,s.
AT the end Of tlat period the con.
sequences will be felt by gold alone,
aud the relations Of property meas
urcd by a gold standard will proper
tlpnahIy exhibit more rapid distur-
hancc. At the same time, it must
Eot be overlooked that the increase
OF gold each year will have mean
while diminished the per centagc Of
alteration which would otherwise take
place. For instance, the total amount
Of gold i'll the world, which is now
assumed at G150,0O0,00O, and
production which, operating upon the
first sum, would, under those circum-
stances, cause only an additional
rise of six per cent. Ills is fca-
ture OF great Importance in the whole
question, because it will constantly
tend to counteract that increasing
ratio Of disturbance which might BE-
anticipated if the supply Of each sue
cccling year should prove larger and
y