CHAP. VIII.Of Regulating our Silver Coyn.
To give an exact Estimate of what Silver Coyn is necessary for the carrying on our Trade in its full Vigor, is a task I am not at present willing to undertake, but the least I can guess at is 5000000l.considering that great Sums will always remain in the Exchequer, and Banks; for I look upon the Banks not as Chanels only, but as great Receptacles likewise, wherein money must rest and wait for opportunities of disposing it.
None of Hypotheses depend upon definite or determinate Sums, and I shall beg nothing essentially necessary to the carrying on of my design, but I desire for the present working only of myProposition, that a fewPostulatabe a while granted me.
It matters not much whether any of ’em be true for they may easily be variedMutatis Mutandis.
POSTULATA.
Now theAxiomsI shall build upon are chiefly these.
That a way to induce the Subject to a voluntary compliance with the necessities of State, is preferable to any manner of Compulsion.
And by this I intend to obviate two Projects,viz.
1.That the Clipt Money be all called in without giving full satisfaction to the Proprietors; and this I take to be a piece of Injustice, because this Money was at firstgiven out to us by the Government, as a sufficient pledge and unalterable Security of our Properties, and it was at first issued out of the Mint in such various and undesigned Shapes, in respect of the Peripherie or Circumference in which it hath been debased, and so various withall in the thickness and weight of each respective piece, that ’twas almost impossible for the Subject to distinguish the diminutions, which atfirst were so Curious, so Subtil, and small as was not to be easily suspected; and it hath been by gradual and sensible approaches that the present abasements are so considerable.
But this cannot be so well urged in behalf of Counterfeit Money, it is not any thing we have received of the State, it never was given to us, as a Pledge and Security;and so never was Money properly so called, but a False, and Counterfeit sort of Ware which every man Bartered for at his own Peril, and to suchCaveat Emptormight properly have been said.
But if the wisdom ofParliamentthings fit to make Compensation for all the Counterfeit Money, I have nothing to say against it: They are the proper Judges.
Or if they shall not think fit to give a full Compensation for the Clipt Money, I have nothing to say, it would be great presumption in a private man to dictate.
In the method I shall tender, I shall make provision for a full Compensation for all the clipt and diminished money of the Royal Standard; at the small expenceof 250.000l.which is vastly less than I have heard yet proposed, I reckon three quarters of the money may be paid back in good Milled Coyn forthwith, as fast as it can be coyned.
The second Project I designed by the former Axiom to obviate is,
The compelling of people to supply a present exigence by bringing in their Plate into the Mint:
Which would be an attempt I doubt of pernicious Consequence, and instead of that I have made a provision; whereby questionless as much Plate will be crouded into the Mint with all the speed imaginable, as shall make up in tale the two millions of Pounds Sterling of clipt money which when melted down produced but one; and then I presumethe extraordinariness of the encouragement may, and ought to Cease.
That our coyn cannot be secured against Exportation, Melting down, and Hoarding up, unless it have either a real, orextrinsickvalue above theintrinsick.
That arealvalue to make up the want ofintrinsickgiven to Money, will be more satisfactory to all His Majesties good Subjects than amereextrinsickvalue above theintrinsick.
That therealvalue of Money ought to be more than theintrinsick,and equal to theextrinsick.
That Money cannot have arealvalue over and above theintrinsick,unless that over and above value be settled by an unquestionable Security applicable to every particular persons Use.
PROPOSITION.
Now I humbly propose to the Consideration of better judgments the doing of these things.
1. The speedy calling in all the clipt and diminished Money of the old Standard, and intirely satisfying every Proprietor, by paying them 75l.per Cent.backin Specie, and ascertaining to ’em the remainder by Parliament Security.
2. The leaving as small an interstice of time as is possible between the calling in the old Money and issuing out of New.
3. That therefore vast Encouragement be given for the speedy bringing in three or four Millions of ounces of Plate to the Mint, to answer the present Necessities of the King and People.
4. That the Exportation of Silver Money beyond the Permission of theKingandParliament, be effectually hinder’d.
5. That a Provision be made as shall leave no Temptation for the melting that down which shall be Coin’d.
6. Nor for hoarding it up.
7. That the Importation of Silver from all parts be encouraged, and the Current Silver-Coin ofEnglandencreased to Five millions of Pounds Sterling.
8. That the Standard, in respect of Allay, be kept to its old Purity.
9. That the Denomination of the new Money be equal to the old.
10. That every one of the aforesaid Articles be accomplish’d at no more expence to the Publick than Two hundred and fifty thousand Pounds at present, and a Land-Tax of a Penny in the Pound during the War, or, at the most, Two Pence in the Pound.
For the effecting all the aforesaid Articles,
Let a Competent Authority immediately Call in and Cry down all Clipt Money under such a weight, supposing it to be allthat Money which hath lost full half the original weight.
This may conveniently and safely enough be done before any new Money be coin’d.
When this is new Coin’d, let it be re-deliver’d to the respective Proprietors in proportion, by Tale, to what every one brought into the Mint by Tale.
Then let all the rest of the Clipt Money be Called in by such a Day, and Cry’d down.
Postulat. 6, 7.
And supposing in all2000000 l.Sterling so melted down, and the Product, after Melting, be half as much, or about3500000Ounces of Silver, there may out of this be Coin’d1250000 l.of New Money, of the same extrinsick value it now hath, and of such an intrinsick value, as that a Crown Piece shall weigh (now that Silver is6 s. 6 d.an Ounce, or3 l. 18 s.the Pound Troy) Twelve-pennyweight, and about three grains, and have in it the intrinsick value of4 s.So that the Government hath already saved Two hundred and fifty thousand Pound.
Then will it be known in how short time 1000000l.can be Coined.
According to that time, supposing it (many Mints being set up at once) to be Two Months, let a Proclamation be issued out, encouraging the bringing in4000000Ounces of Plate into the Mint, at Four respective Days or Weeks.
For the first Million, till the end of the first fortnight, shall be paid7 s. 4 d. perOunce, which amounts to366666 l. 13 s. 4 d.till the end of the second fortnight, shall be paid7 s. 2 d.an ounce, which comes to358333 l. 6 s. 8 d.till the end of the third fortnight, shall be paid7 s.an ounce, amounting to350000 l.And for the last Million6 s. 10 d.anounce, amounting to341666 l. 13 s. 4 d.in all1416666 l. 13 s. 4 d.So that for one ounce with another, the Government has paid7 s. 1 d.an ounce.
It may be thought, that a great deal of this may be saved, and perhaps Six-pence in an ounce, which amounts to One hundred thousand Pounds, and that Six shillings and seven pence would be Temptation enough, when the Price of Silver is like to Fall.
But I am now providing for the worst Contingences, and the severest Suppositions that may be.
Yet the Frugalest way, I presume, would be, to leave the Management of this Article wholly to theLordsof theTreasury, who, by publick notice, may varypro re natâ, thePræmiumfor bringing in Plate, and perhaps may think it expedient nevertheless to begin high, and to abate thePræmiumaccording to the quantity brought in; and after one or two Abatements, People may perhaps bring it in the faster, fearing a greater Fall: Whereas if theLordsof theTreasuryshould begin low, and afterwards be forced to raise thePræmiumhigher, Peoples Hopes of their still advancing of it more, would restrain ’em from making so much haste as the necessities of State require.
We suppose then this Silver to be Coining every Day as fast as possible, and that the250000 l.saved by the Government out of the first Million, shall begin to pay for the Plate, as it comes in.
Then three ounces of Silver at6 s. 8 d.an ounce, Coins20 s.of the new Standard, allowing 2, 3, or 4 d.perounce for Coinage; seeing the setting up so many several Mints more than ordinary must be very chargeable.
And here must be noted, That letSilverRise or Fall as much as it will, it Alters very little the process of theTheorem, for it need have no other effects than making theMoneybigger or less, unless the 3dCorolaryfollowing be admitted.
At this Rate then when 3500000 Ounces of this Plate is Coin’d into MONEY it will produce after the aforesaid rate1166666 l. 13 s. 4 d.to which add the250000 l.paid before hand for it, and now there is paid in all for the 4000000 of Ounces of Plate1416666 l.what it Cost; and the King hath 500000 Ounces of Plate by Him, which at7 s. 1 d.an Ounce stands the Government in177088 l. 6 s. 8 d.
But because it cost the King dear for his present Necessities, theLordsof theTreasurycannot allow more for it than it will produce when Coin’d.
And if the necessities of State require that this Silver should be sent and Coin’d inFlanders, that it may go farther there than it can here for the immediate use of the Souldiers, then the Commissioners of the Accounts will probably account for it, according to its Value beyond Sea; and then the Government shall still be a greater Loser by it; so theLordsof theTreasurycannot allow for it more perhaps than 150000 l. what ever it be more or less, the case will stand thus at the least.
There is now of New Money Coin’d, 2416666 l. 13 s. 4 d.and this last150000 l.being advanced to the King for his present Necessities abroad, either to Coin inFlanders,or to send over in Bills, will go towards the payment of the Million of Clipt money. But if it be probable as Mr.Loundsseems to intimate, That People may Voluntarily bring in a great deal of Plate at6s. 6d.an Ounce; then it is much more probable, that they will be quicker in bringing it in at6 s. 7 d.anounce; and if so, the Government Saves out of my Proposals6 d.an Ounce, which in4000000Ounces comes to100000 l.And then there will be250000 l.paid in recompence of the Clipt Money, and there is but750000 l.Remaining.
Or put the case Shorter and Plainer, the Government wants 1000000 l. worth of Silver, and is willing to give 25per Cent.more for it than the common price.
If that vast Allowance be made for fear of a sudden and fatal stop to all manner of Trade for want of Money, yet the 250000 l. Saved out of the Clipt Money, will make good the Bargain.
And then Four parts in Five will Coin a Million of Money, and still there will be another 250000 l. worth left towards the paying of the Clipt Million, and but 750000 l. remains Unpaid.
And upon this Easier supposition we will proceed; because it is likewise cheaper to the Nation than the Buying of full 4000000 ounces of Silver.
Then if the Parliament Orders ’em to be paid250000 l.more, which is all that the Nation is Burdened in the Bargain: The Proprietors of the Clipt Money are Reimbursed75 l. per Cent.of what they Brought to the Mint, which is more by25 l. per Cent.than the intrinsick value of it was; and the other25 l. per Cent.is coming towards ’em apace. For now the present Necessity and the Dangers of it are obviated, the price of Silver begins to Fall and Settle, as the prospect of a Plenty draws nearer; tho’ we can never suppose it will fall lower than in other Countries, or much lower at all, during the War betweenFranceandSpain.And be it at what price it will, the Merchant will from all Parts bring his Silver to theTower,because the Market is here Quick and he is sure of Ready-Money for what he Sells; the King can affordnow to Coin, which he could not do of late Years; And therefore a Third and Fourth Million will be soon bought and Coined, and the government out of every Million bought will save a Fourth part.
For the New-Coin’d Money must bear a proportion to the price of Silver, as four to five, and800000 l.worth of Silver is to be in1000000 l.of New Coin no more nor less, and out of the four Million-worth of Silver, besides the Million of Plate the King will have Saved a fifth Million; by which gain’d Millions, the Clipt Money will be entirely Satisfied for at no more than250000 l.present Cost to the Government, q. e. d.
For the case will stand thus: There will be 5000000l.of New Coin,viz.out of the Clipt Money 1250000l.out of the Plate 1250000l.(or if the last 250000l.be not Coin’d, but Exported, then there will be out of the Plate but 1000000 l.) and out of the last Two Million worth ofSILVERCoin’d 2500000 l. So that there will be in theNation at least Four Millions, Seven Hundred, and Fifty Thousand Pounds New Money.
The King, after all this, buys 750000 Ounces ofBullion, and coins it, without Profit, into 250000l.This makes up 5000000l.compleat, and then the Royal Mints is to be at a stand (as at present) until the Parliament shall have resolved what more is to be done; our present Necessities are supply’d, and this, which we shall have, will not be diminished.
These Five Millions now want a fifth part of theIntrinsick Valueof the Coin; and unless aReal Valuebe given it to make amends for the want of theIntrinsick, and to Equal theExtrinsick, I have, after all, I confess, done nothing, according to my FourthAxiom.
I humbly therefore Propose, That a Land-Tax may make it good, if it do not exceed Two-pence in the Pound.
But after what manner it is to be made good, is the great Question.
If they, into whose Hands the newcoin’d Silver shall first come, should be allowed for the Intrinsick Want of it, then, in the paying it out again they must transmit the Allowance the State gives; or else the First Receivers would be Savers, and the rest Losers: But if the State must immediately give the Full Allowance, then it might as well have Coin’d to thefull Intrinsick Value. But theIntrinsick Valueis lessen’d, and theRealgiven, because the Government is better qualified at present to payInterestthanPrincipal.
Therefore anInterestis to be paid equivalent to the Extrinsick Value, and fullysatisfactory for the Want of Intrinsick; that so the Subject may be no Loser, and the Government put to no Difficulties.
Beside, that Money would return to its Intrinsick Value, if aShillingwere always to be tack’d to aCrownorFour-ShillingPiece; which is One of the chief things we are to avoid.
Let this Interest be5per Cent.and let it be look’d upon as a sufficient Interest, as it better will appear to be, when I come to answer the Objections, which may be made to this Method.
The Interest of a Million of Pounds Sterling, which is wanting to make up the Real Value of the New Coin at5 per Cent.amounts to Fifty thousand Poundsper Annum.
But, to Ease the Nation of half this Charge, let it be duly and carefully considered,
That if the present Possessor of an entire100 l.be entitled to this Interest, and not of a less Sum, every less Sum will have such a Value Real, as the Possessor of an entire100 l.can make of it, and will allow for it.
And there will be no occasion for the Government to pay Interest for lesser Sums, because the valuation of lesser Sums will always bear that proportion which Merchants, Goldsmiths, and Bankers will receive ’em at, from the least Sum to the greatest.
If I pay in, for instance, to a Goldsmith Fifty pounds to day, and Fifty pounds to morrow, he will no more scruple to give me a Note for One hundred pounds, than if I had paid it in at once: And, if I pay my Brewer Five pounds a week, as he brings in my Drink, for twenty weeks together, he will look upon it as good Pay as if I paid him at the twentyweeks end One hundred pounds together; and if Five pounds will pass from me as thefifth partof anHundred, why not, by the same Rule of Proportion 20 Shillings for thehundredth part? That which hath the Value of Five poundLumbard-street, hath the same inPater-Noster-Row, and the same likewise atBrentford, or elsewhere: And there can be no Instance or Reason given, why Money of the like weight; Intrinsick and Extrinsick Value, should not be as passable in little Sums as in great, since there is an easie Resort, and at hand always; in which, without any distinction, they daily determine.
Where an Hundred pound will be Received, there will Ninety nine, and Ninety eight, and so downwards (for, where can you stop?) to the single Penny.
And of the Running Cash ofEnglandwe may reasonably suppose, that one half is not in Sums exceeding Twenty Pounds, and they who have less Sums than that, will have no great Encouragement to look after Interest.
The Fifth Part which Twenty Pound wants of its Intrinsick Value, is but Four Pounds, and that, at 5per Cent.is but Four Shillings a Year; from which the trouble of Receiving by entering into Combination with others, will for the most part take off, and not make it worth the while.
So that the wholeMoneyofEngland,that is New Coin’d, not amounting to above5000000l. and but half that to be paid Interest for, viz. 2500000 l.and there wanting but a Fifth Part of that, viz. 500000 l.the Interest of500000 l.at5 per Cent.amounts to just25000 l. per Annum.
But then, supposing that Interest be demanded for⅗of the New-coin’d Money, and that by an unexpected Combination every Sum of Five Pounds should be brought in, yet then the whole Interest amounts to no more than30000l.per Annum.
And the Case stands thus:
The Parliament hath Borrow’d of the whole People ofEnglanda Million of Pounds Sterling, and no more, to be repay’d at the end of the War; and in the mean time, till it be repay’d, they give Five Poundsper Cent.Interest upon a Land-Tax.
Thusthe Clipp’d Money is all Call’d in, and Satisfied for; there hath been little time between Calling back of the Old, and Paying back the New, by bringing in1000000l. worth of Plate speedily and voluntarily into theMint,an effectual Stop is put to the Exportation,melting down, and hoarding up of Coin’d Money; Importation of Silver from all Parts Encourag’d, the Current Coin ofENGLANDEncreas’d; the Purity and Denomination of the Coin Continued; and all at the present Expence of Two hundred and fifty thousand Pounds, and a Yearly Land-Tax of One Penny in the Pound during the War, q. e. d.
The only Difficulty that remains, is, After what manner the Interest shall be paid.
But, if there is no more thanDifficultyin it, I desire it may be Consider’d, What Great Difficulties the People ofENGLANDat present undergo, in the Want of such a Regulation: What Difficulties are in every Market-Shop, and House of Trade; and what Great Disorders are Daily like to ensue: Let Bankers, Goldsmiths, Merchants, and Cash-keepers, consider the Difficultiesthey lye under at present, and the much greater Disadvantages they must be subject to, if the Coin ofEnglandshould not have aRealValue.
But, to make the Difficulty seem much less than may at First be imagin’d, I humbly propose this following Method.
Let the Days of its Payment be fix’d byPARLIAMENT,either Quarterly, Annually, or Triennially. If the Establish’d Interest be Five Poundsper Cent.then, perhaps, Annually will be thought most expedient, in some Month when the Days are long. If the Wisdom ofParliamentshall think fit to give more Interest than Five Poundsper Cent.then there is Visible Reason, why it should be Quarterly. If less than Five Poundsper Cent.a Triennial Payment may suffice. But suppose it Yearly.
Let Three hundred Commissioners be named byParliament,One hundred of which forLondon, Westminster,andSouthwark,the Two hundred for the Country, to be not above Twenty Miles distant from one another, so that no body can live farther off than Ten Miles from one Commissioner or other.
Let these Commissioners be the most Substantial Gentlemen or Citizens in the most Popular Towns and Cities inEngland,giving in sufficient Security to the Government for Performance of Their Trust.
At the Day appointed let the Money be brought to the Commissioners Houses in Hundred-pound Baggs, and there open’d and weigh’d, and then seal’d up with the Proprietor’s Seal, in the presence of the said Commissioner, Entering down in a Register every man’s Name in one Column, the Weight of the Money in anotherColumn, and the Interest it amounts to in a third.
Let none be Receiv’d after Twelve of the Clock at Noon, and none Re-delivered till One of the Clock, to prevent Frauds in bringing the same Money twice for the same Interest.
Then, in the Afternoon, let every man’s proper and individualMoney,Seal’d up as aforesaid, and Weighed again in the sight of the Proprietor, be deliver’d, with theInterestdue for it.
For which One Days Trouble in a Year, I do suppose, the Government may allow the Commissioners Twenty Pound a man; which amounting to Six thousand Poundsper Annum,for all the Commissioners ofENGLAND,and suppose Three of the Five millions, whereas I supposed at first2500000l. only to demand Interest, it will amount to but Thirty thousand Poundsper Annum,and this Six thousand Poundsper Annumfor the Commissionersadded, makes but Six and thirty thousand Poundsper Annum.
Now, whereas a Land-Tax of Four Shillings in the Pound amounts to2000000l. a Tax of a Penny in the Pound amounts to41666l.13s.4d.so that5666l.13s.4d.per AnnumRemains.
Allow the Commissioners then Thirty Pounds apiece, and there remains2666l.13s.4d.for a Superintendant, Auditors, Registers, Register-Books, and other incident Charges; and the whole matter is brought within a Tax of a Penny in the Pound, q. e. d.
Now, as to the Hoarded Money, the Mill’d and Hammered Money of Full Weight, I humbly am of the Opinion, That no Notice at all be taken of it by the Government; and my Reasons are: That it will have an uncertain Value, according to PeoplesOpinion; and, that Uncertainty of Estimation, as well as the Intrinsick Value, will cause it, without any Edict or Precept, to be melted down.
For, a great deal of it is now kept up, only to see what things will come to; and what Advantage can be made of it: But when People see the Parliament has Conquer’d the Difficulty, and that there is a great Plenty of Money stirring about again, they will be baulk’d of their Expectations, and take Advantage of the First of the Market; this will conduce to the Cheapness of Bullion, and cause a Plenty: And if any continue still hoarded, it will be by People only who have an irremediable Humour that way; and ’tis better they should hoard that for which the Government pays no Interest, than to keep Unemploy’d Money by ’em at the expence of the Publick.
And as to the Paying of our Armies Abroad, I humbly propose, That theParliamentmay always give His Majesty such an Allowance for that Use, as His Majesty may be enabled to Export so much Uncoin’d Silver as is necessary to the carrying on of so Glorious a War.
Which Uncoin’d Silver will for the most part find its way back again, because the carrying over so much every Year will glut that place to which ’tis carryed; so that Silver will become Cheap there, and they must disgorge at the best Market; whichEngland, in all probability, will be. And the effect of that Over-ballance which Forreigners must, as cases now stand, get by us; cannot be carryed out of the Nation, but in other Commodities besides Silver.
For Silver Uncoin’d they Sell, and Silver Coin’d they cannot afford to carry away; So that our own Commodities are like to be bartered for Silver, and that conduces to bring the ballance of Trade even.
And here I go no farther, but leave the Question to better Understandings.
Quest.Whether Silver bearing an higher Price here than elsewhere, and coming to a Quicker Market, will not naturally and easily force an Exportation of our own Commodities, when it shall become altogether impracticable to Export our Coin?
Corol. I.
Note, That the Price of Silver Bullion being subject to Vary, the difference between theIntrinsick, and theRealValue, ought to be Considerable; Because, if they should be too near one another, the Additional Value would be so Small, that when Silver Rises, the Goldsmiths would be Tempted to Melt down the New Coin, when they can get almost as Much by that Practice, as they can do by receiving Interest, or by passing it away for Principal.
Nor must the Two several Values be too far Different one from the other, lest Foreigners be Tempted to Counterfeit our Coin.
I don’t mean by sending Us over such a Counterfeit as shall be of Less intrinsick Value than our Own; but they can Afford all the Charge of Curious Coinage, and Pure Silver, and Full Weight, and Hazard of Importing it contrary to all Laws that We can Make; If any more considerable Sum, than Twentyper Cent.could be Gain’d by such Importation: But no body can afford all the Charge and Hazard, if the Profit be no Greater, and the Punishment Capital.
Nevertheless, provision may be Made, that allCounterfeit Moneyshall be Confiscated by a Summary Process, to be Tryed by a Jury ofMoneyers, for every Sum aboveFive Pounds; and for Less Sums, able and substantialGoldsmithsshall be Commissioned and Authorised to end Disputes,Cutting it Asunder before the Owners Face; and Charging themselves in a Book kept for that purpose, as Debters to the King for the same individual pieces, which at the General Quarter Sessions they shall deliver for theKING’s Use.
Some such Method as This, would make people more Cautious in taking Counterfeit Money; whereas now they Take what they themselves Know to be so, which hath given great Encouragement to Counterfeiters.
And if I may be Well Heard, I don’t at all Question, but to shew a Way; how all Counterfeit Money may be easily Known; let it be Wash’d, Plated; of mixt Metal, or pure Silver; Which is the next piece of Service of this Nature, that I designe my Country,GODcontinuing my Life and Health.
Corol. III.
I humbly Propound to the Disquisition of Better Judgments; Whether the New Coin ought not alwayes to be of the same continued Weight, notwithstanding any Variations in the Price of Bullion; and that not the Weight of Coin, but the Aforementioned Interest be Varied from Year to Year according to the Price of Bullion.
The Advantages and Conveniences of what I have Proposed, is, I hope, by this time, somewhat Evident; but before I Reckon ’em up, it may perhaps be Expected that I should Faithfully and Candidly let down all thoseObjectionswhich have Occurr’d to me whilst I have been Writing these Papers.
The most Material I will: And they are These.
Now, if it be Objected, that Five Poundsper Cent.for want ofSilver,in an Hundred Pound is too little, seeing an Hundred Pound Bagg-full is entitled to no more than Twenty Shillings a Year:
I Answer,
That if a Man be contented to put in his Money into any of the New Banks, at 3l. per Cent.’tis better worth to lend it at 5per Cent.per Annum, upon as good Security.
If it be reply’d, That a Man may take it out of a Bank when he will, and his Money is always at Command: I answer, It is much more so when he has it in his own Custody; For, he who shall have Four hundred Crown-pieces by him, can make as much use of it to all Intents and Purposes, but of Melting or Exporting, as if it were of an Intrinsick Value; and then sure he who having Four hundred Pieces of Money by him of a Real Worth, and applicable to any Lawful Use, can make Twenty Shillings a Year Advantage by Keeping ’em; hath much the better of him who hath Four hundred Pieces of other Money by him, of no moreRealValue, nor more transferable, and hath no Profit by ’em, whilst they are in his Hands.
And whereas it may be said,No Man can be entitled to the Interest of that20 l.due to him from the Government, unless he keeps80more dead by him, as a Vehicle to convey the Interest of the20 l.to him. I answer the Government doth not intend to give Encouragement that Men should keep more Money by ’em than they have, or may have Occasion for.
That is a sort of hoarding which we are to prevent.
And therefore this 5l. per Cent.is not given as an Interest for dead and unemploy’d Money, but to ascertain universally the real Value of it, and to take off all the Objections that are made against a mere extrinsick Value.
But if the Wisdom of theParliamentthinks fit to give 10l. per Cent.Interest, whereby every 100l.of new Coin’d Money will be entitled to 40s.per AnnumInterest; then the whole Interestof 500000l.which the 2500000l.half of the 5000000l.wants of intrinsick Value, amounts at 10l. per Cent.but to 50000l. per Annum.
Or suppose by Combination ⅗ of the 5000000l.demand Interest, then will the whole Interest amount to but 60000l. per Annum, which with all the incident Charges, will be defrayed for little more than a Three-half-penny in the Pound Land-Tax; and for much less than 2d.in the Pound.
And I am not at all against an Interest of 10l. per Cent.because beside the present Advantage it gives, it doth ascertain to the People ofEngland, not only a Promise that theParliamentwill; but that there is a reason of good Husbandry likewise, why the Parliament should as soon as possible save the Nation that Annual Charge, by the paying of the principal Million that is wanting.
Object.II.
These Ends may as well be pursued by transferable Notes or Bills with Interest.
I answer that they cannot in the least, because here is 4l.in 5l.better secur’d than any Notes in the World can pretend to: for every Man hath so much of his Money in his Pocket; and that, for which the Security is given, is divisible into the5th.part of a Six-pence, which transferable Bills cannot be.
That if this Method will hold, the intrinsick Value of Money may be but half as little as I propose, and the Subject will be always in fear of farther Alterations.
Answ.This I confess would be a very material Objection against Mr.Lound’s Method, but hath no force in ours, because the Government saves nothing by lessening the intrinsick Value; for what it saves at present, it must pay Interest for, and Principal too at the long run; besides, the Government aims at nothing but to rectifie the Coin, and keep it from being imbezil’d.
The Money ofEnglandwill be too much for300Men to receive in one Day.
Answ.It is but 10000l.a Man one with another;i. e.but 100 hundred Pound-bags, which may very well be weighed and seal’d up, and entered in a Book in 5 hours time;viz.20 in an hour; and as for the great Banks and Cashes ofEngland, such as theRoyal Bank,East-India Company, and the like, they need not removetheir Money at all; but Commissioners may be sworn and sent to their respective Treasuries, taking sufficient Security of the said Treasurers and Cashiers, that none of the said Money shall be remov’d or touch’d in 24 hours.
It will be a great Trouble to carry100 l. 10Miles for20s.
Answ.It may not be 100 Men’s Case in all the Nation, and no Man is forc’d to carry it; and he who don’t carry it, hath lost nothing but what he might have gained.
For this is all clear Gains to every Man, who as soon as he has received his 20s.can keep the 20s.and pay a Debt with the 100l.
Object.VI.
The want of a less Intrinsick Value, than20l.per Cent.will answer all the aforesaid Ends.
Answ.Less will not secure it against Exportation.
Foreigners have a knack at raising the price of Silver to draw over our Money to ’em; and I hear they can afford what they now daily do,viz.To Export, rather than fail, Clipt Money; and the only way to keep our Money at Home,Is to fix, during the War, one considerable part of its Value to the Kingdom; and when those Foreigners who must deal with us, cannot Export our Money, but with great disadvantage, they will be forced to take our Commodities in lieu of it, and be as industrious to make ’em valuable abroad as we are. And as to that Notion that we must not glut the Marketsabroad with our Commodities, it is a Vulgar Errour unless we make this distinction, That ’tis dangerous when ourEnglishFactories glut the Market; for when Foreigners see the Market full, they combine together to keep down the Price, knowing that we must Sell; but then Foreigners who are better acquainted with their own Markets and Fairs than we are, and can spread a Trade much farther than our Factories can do, when they Export our Commodities and cannot Trade at all with us without exporting ’em; they can shift from one place to another, and open secret Passages of Commerce, not yet found out.
If thePortuguesesfor instance could not have Money for their Wine, would they (I desire to know) rather leave of Trading with us, than take our Cloth for their Wine. Or if heretofore we had drank noFrenchWine, but what we had paid for in Tin, would they have found a Vent for our Tin,or ploughed up their own Vineyards?
This will be forcing Foreigners then, to Export our Commodities.
Answ.Not at all: For if the Ballance of Trade shall continue after all, to our disadvantage, here’s nothing in all this matter that hinders our exporting Bullion.
But if ’tis absolutely necessary to export Bullion to make good the Ballance of Trade, then we should take the more care, not to export more than is absolutely necessary; and whilst we carry on our Trade abroad, not to let this at home be at a stand, but secure Money enough for the Nations In-land Trade, and to pay the Taxes without pretence of impossibility.