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was repaid in guineas of twenty shillings.[1] SIR JAMES STEUART sums up the entire transaction as follows: ". . . the state gained considerably upon the score of taxes, as well as the creditors upon their capitals and interest; and the nation, which was the principal loser, was pleased; because their standard (The standard of
- ↑ Locke says among other things: ". . . call that a Crown now, which before . . . was but a part of a Crown . . . An equal quantity of Silver is always the same Value with an equal quantity of Silver. . . . For if the abating 1-20 of the quantity of Silver of any Coin does not lessen its Value, the abating 19-20 of the quantity of the Silver of any Coin will not abate its Value. And so a single Penny, being called a Crown, will buy as much Spice, or Silk, or any other Commodity, as a Crown-Piece, which contains 20 times as much Silver. . . . Now [all that may be done] is giving a less quantity of Silver the Stamp and Denomination of a greater. . . . But 'tis Silver and not Names that pay Debts and purchase Commodities" (l. c, p. 135–145 passim). If to raise the value of money means nothing but to give any desired name to an aliquot part of a silver coin, e.g., to call an eighth part of an ounce of silver a penny, then money may really be rated as high as you please. At the same time, Locke answered Lowndes that the rise of the market price above the mint price was due not to the rise of the value of silver, but to the lighter silver coins. Seventy-seven clipped shillings do not weigh a particle more than 62 full-weighted ones. Finally he pointed out with perfect right that, aside from the loss of weight in the circulating coin, the market price of silver bullion in England could rise to some extent above its mint price, since the export of silver bullion was allowed while that of silver coin was prohibited (l. c, p. 54–116 passim). Locke was exceedingly careful not to touch upon the burning question of public debts, and no less carefully avoided the discussion of
