A Discourse of Coin and Coinage [42]
threaten us, by the daily raising of our Neighbours, as at length
(to bring on) inevitable Confusion; it will be best to reform the
Mischief before it be grown to extremity; and the best
Reformation will be to reduce it to the first and original
settlement: The Commodities whereof are many:
First, The prices of things will be reduced to some antient
moderation, then those who live upon antient Rents, and Fees, and
Rights, and Tenures of their Lands and Offices, who have received
extream injustice by the diminution of the Intrinsical value of
Money, shall by this Reduction be recompenced in justice again.
But above all, the King, whose Revenue is only publick, shall
receive a great and a just enlargement therein: This Diminution
of the intrinsical value of Money being not the least cause of
the visible wants wherewith the Crown is this day oppressed, and
this Reduction being so great and important as it is, all other
Nations and all Merchants in their exchanges, must of necessity
come to a new valuation of their Moneys in comparison of ours:
and that cannot be, but by a true calculation of the intrinsical
value of either of them, by which means if we do now sustain any
wrong by the reputed valuation of our Moneys, or exchange of
them, we shall then receive right. And England being a Countrie
able to send out more Commodities than it hath need to receive,
we shall of necessity return the overplus in Bullion.
But to examine the solid Truth of these Alligations, it will
be necessary to consider by what means this Reduction may be
effected.
First, Therefore if you will reduce Moneys to the antient
values, either you must do it by several degrees, (this being the
way by which the mischief grew) or you must do it all at once.
As for example of a Reduction by degrees, Silver is now
coined at five shillings and two pence an ounce, and Crown Gold
at three pound eight shillings and four pence the ounce; begin
then, first to reduce by coining Silver at fourteen groats the
Ounce, and Crown Gold at three pound one shilling and six pence
the Ounce; and when it is thus settled, then some time after
reduce them both, yet to a lower price, and so until you come to
the Original settlement. But is it not then manifest that if
these coins be so much heavier than the former, as this
Proportion doth make them, and yet go at the same price as the
other did, yet as fast as they are coined, they will be melted or
transported for advantage?
Besides our Merchants will (not) bring this Silver and gold
unto you to so great a loss: on the other side, if you make all
the old Money uncurrent, and you do make it so many times
uncurrent as you do reduce it towards the antient values, by
degrees the confusions will be so great as the Kingdom cannot
bear them, and the continual new coining of your Money will
consume all the value of your Money in that charge: there is then
no other way left but to leave the old Money still current, but
abased so much in price as it is worse than the new Money in
intrinsical value. But this is hardly possible, considering that
the fractions in the old Money will be so confused as no man
shall know how to pay or receive it; besides all men of what
condition soever that are to pay Money, in what nature soever,
shall pay ten in the Hundred more than they should otherwise have
done.
But suppose this Inconvenience might be sufferable for once,
yet when they must return again, as often as by degrees you do
reduce your Money towards the antient values, I do see no
possibility to conquer them; it is then best to consider what
will follow of it, if this Reduction to the antient values be
made all at once, which is thus propounded.
That new Money should be coined at twenty pence an ounce,
Silver; and that the old Money should be still left current at
the third part of the value for which now it goeth, as six pence
to be current for two pence, and twelve pence for a groat, so as
all Fractions should be avoided: and the gold should be reduced