Evening star., 1896-09-19
SIXTEEN TO ONE, FREE and UNLIMITED

for q long time add anything to the per
capita value Of circulation precedent to
higher prices or cheaper money. Should
this. however, be the result, 1t is very far
from being certain that higher prices and
cheaper money will in any measure help
to make times better or to ameliorate the
condttion OF the common people-the great
object for which 1t is proposed. No silver
sun appearing above the horizon will usher
IN that brighter and happier day for which
al are watching and waiting: 10 create
demand for labor, to provide work for
the great army of the unemployed, to make
II possible for the wage Garner to earn
wages. to employ our own rather than for
eign workmen in producing what we con-
sumo. to make the nation a busy hive of
industry. creating wealth. and laying up
IN store for future use-this Is what is re-
qhired II brighter day is to dawn. Till
our statesmen can show a more sure and
excellent way to accomplish this than by
Tree silver. and adopt a policy that will
approve itself to the moral convictions of
the people. We must continue TO watch and
wait.
saiSer's etizntion by England.
In relation to the demonetization Of Sill
yer by England the following extract from
McLeods Elements of Banking will be
found of interest:
The original measure of value in France,
England and Scotland was the pound
weight of silver bullion. No coin however
OF this actual weight was ever struck
But the pound weight of silver bullion
was cut into 24O pieces. called pence.
Twelve OF these pence were called a shiIl-
ing or solidus: and. therefore, twenty
shilllngs or silidi made a pound These
no pence actually weighed pound of
bullion. Now. let US denote the pound
we weight .h, Of metal in the form Of bullion
by the symbol. pound, and the pound
weight OF metal in the form Of coin by the
symbol Then we have-240 pence equals
~ shiiiinss equals II equals l lb.
pound weight Of bullion were divided into
greater number of pieces than 24O that
greater number would still be equal to the
pound weight: and If we denoted by the
of their weight. we should have the one
above 24O.
Now. this is what has been done in the
coinaees or all the three countries above
mentioned. The sOvereigns of these coun-
tries were frequently in want of money to
pursue their various extravagances: and
as tney could not make more money, they
ADOPTED the fraudulent and surreptit.ous
plan OF cutting the pound weight of bullion
INTO a greater number OF pieces but they
sun called them by the same name Nv
tnis means they gained iIusory aug
mentation OF wealth. AS they could not
multiply the quantity of the metal they
at various times falsihed the certifica te.
while they still called their coins by the
same name. they diminished the hullion in
them: and so coined more than the original
number OF pence out Of a pound weight Of
| bullion. e' u
The consequence OF this was very mani
| fest AS 2U pence were still called a
| pound. or {. in money. whatever their
| weight was, and as more than 24O pence
were coined out of a pound weight of bull
non. the t. or pound of money in coin
began to vary from the h., or pound
weight OF bullion. Edward l began this
| evil practice in 1900 when he coined aIs
pence out OF the pound weight of bullion
SUBSEQUENT sovereigns followed the same
| evh example and this Justification of the
| certifieate increased till in the time OF
Elizabeth no less than 744 pence, or g.
shillings. were coined out of the pound
| weight OF bullion. Then we have manifest
IA pence equals 81 shillings equals f3 IS
| equals lb
As there are IL ounces in the pound
weight OF bullion 1T is seen that each ounce
was coined into 62 pence and hence as
! the value Of bullion Is measured by the
ounce. the mint price of silver was said tc
4 be JS. I'd the ounce
Afterward gold was coined as none,
concurrently with silver. and gold piece:
were struck and made to pass current as
| nearly as could be done at the value cor.
responding to the market value of goid
siderable time a double standard. In thu
! reign of Charles II the African com
pany brought home a large quantity OF
gold from the Guinea coast. He had Il
I
| were intended to represent the {, or twent,
| shiil1ngs In silver. But the mint rating
did not agree with the relative value o.
| gold and silly er in the market OF the world
ana consequently the value Of the guinea:
| in the market never corresponded will
| their value as rated by the mint In III
| Sir Isaac Newton. the master of the mint
! reported to parliament that the true valu,
OF the guinea. according to the relativ,
] market value of gold and silver at tha
time. was 2Os. Sd. A royal proclama ton
| however. Vas issued declaring them t,
be current at 2ls.. and then in the Ian
| gu.ge Of the mint the price OF gold wa.
| fixed at e. lis. 10 IL an ounce
Cold and silver coin were then mad
unlimited legal tender for debts of an,
amount: But as gold was overrated by 4d
In the {. and silver was underrated by 4d
In the {. Greshams law acted and in tn
course of the century, merchants univer
sally adopted the custom Of paying thei
! debts In gold as the cheapest medium
and the silver coinage was exported, a
| being depressed below its true value II
this country. Gold. therefore. began t
| be considered as the measure of value II
| England.
and gold was declared to be the only lega
measure of value: and the pound the lega
| tender. or measure of value, became tn
equivalent in gold to 2Ds in silver
In former times gold and silver none,
were equally legal tender to any amount
and their relative values were fixed by Law
but gold and silver vary in their value witt
respect to each other in the market of tn
world. and consequently, even though the
may be rated truly at one time by tn
mint, yet in course of time their value ac
cording to the mint regulations. Is sur
to get out of adjustment with their valu
in the open market: and. by Gresham
law. the one that is underrated with re
spect to the other. disappears from cir
culation. and gives rise to great incon
| venience. Locke, therefore, IN 1894, pointe
out that a nation should adopt only on
metal as the legal measure of value, an
| make any other that may be used sub
sidiary. This principle was adopted as la,
in 1916; gold was declared the only lega
tender to an unlimited amount and tn
silver and copper coins were intended onl
| as small change for the gold coin. Th
coinage Of gold is free to the public, bu
| the coinage of silver and bronze Is re
tained by the government. In order t
prevent the effect OF Gresham's law, tn
value of the silver coin is artificially raised
Instead Of 62 shillings being coined out g
the pound weight of silver. as before 1871
68 shillings are now coined out of 1t, bu
four of these are kept back for the ex
| penses of coinage. The sovereign, how
, | ever. Is declared to be Of the value of 9
; of these shilings. which are thus artificial
ly increased in value about 6 per cent.
| order to prevent injustice being DONE si