Further Considerations [8]
with Commodities, there Money must be sent, or else the Debt cannot be paid. I have spoke of Silver Coin alone, because that makes the Money of Account, and measure of Trade, all through the World. For all Contracts are, I think, every where made, and Accounts kept in Silver Coin. I am sure they are so in England, and the neighbouring Countries. Silver therefore, and Silver alone, is the Measure of Commerce. Two Metals, as Gold and Silver, cannot be the Measure of Commerce both together, in any Country: Because the Measure of Commerce must be perpetually the same, invariable, and keeping the same proportion of value in all its parts. But so only one Metal does, or can do to it self: So Silver is to Silver, and Gold to Gold. An Ounce of Silver is always of equal value to an Ounce of Silver, and an Ounce of Gold to an Ounce of Gold; and two Ounces of the one, or the other, of double the value to an Ounce of the same. But Gold and Silver change their value one to another: For supposing them to be in value as sixteen to one now; perhaps the next Month they may be as fifteen and three quarters, or 15 and seven eighths to one. And one may as well make a measure, v.g. a Yard, whose parts lengthen and shrink, as a Measure ofTrade of Materials, that have not always a setled unvariable value to one another. One Metal therefore alone can be the Money of Account and Contract, and the Measure of Commerce in any Country. The fittest for this use, of all other, is Silver, for many reasons, which need not here be mention'd. It is enough that the World has agreed in it, and made it their common Money; and as the Indians rightly call it, Measure. All other Metals, Gold, as well as Lead, are but Commodities. Commodities are Moveables, valuable by Money, the common measure. Gold, tho' not the Money of the World, and the Measure of Commerce, nor fit to be so, yet may, and ought to be coined, to ascertain its Weight and Fineness; And such Coin may safely have a Price as well as a Stamp set upon it by publick Authority; so the value set be under the Market price. For then such pieces Coin'd, will be a Commodity as passable as Silver Money, very little varying in their price: As Guineas which were Coin'd at the value of 20 s. but passed usually for between 21 or 22 shillings, according to the current rate; But not having so high a value put upon them by the Law, no body could be forced to take them to their Loss at 21s. 6d. if the price of Gold should happen at any time to be cheaper. From what has been said, I think it appears: 1. That Silver is that which mankind have agreed on to take, and give in Exchange for all other Commodities, as an Equivalent. 2. That 'tis by the quantity of Silver they give or take, or contract for, that they estimate the value of other things, and satisfie for them; and thus by its quantity Silver becomes the Measure of Commerce. 3. Hence it necessarily follows, that a greater quantity of Silver has a greater value; a less quantity of Silver has a less value; and an equal quantity an equal value. 4. That Money differs from uncoin'd Silver only in this, that the quantity of Silver in each piece of Money, is ascertain'd by the Stamp it bears; which is set there to be a publick Voucher of its weight and fineness. 5. That Gold is Treasure as well as Silver, because it decays not in keeping, and never sinks much in its value. 6. That Gold is fit to be Coin'd as well as Silver, to ascertain its quantity to those who have a mind to Traffick in it; but not fit to be joyn'd with Silver, as a Measure of Commerce. 7. That Jewels too are Treasure, because they keep without decay; and have constantly a great value, in proportion to their Bulk: But cannot be used for Money, because their value is not measur'd by their quantity; nor can they, as Gold and Silver, be divided, and keep their value. 8. The other Metals are not Treasure, because they decay in keeping, and because of their plenty; which makes their value little in a great bulk; and so unfit for Money, Commerce,