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Currency, Self-Regulating and Elastic; Explained in a Letter to His Grace the Duke of Argyll with Introductory Chapters on the Nature of Capital, and of Money, and an Historical Sketch of British Currency Systems

Currency, Self-Regulating and Elastic; Explained in a Letter to His Grace the Duke of Argyll with Introductory Chapters on the Nature of Capital, and of Money, and an Historical Sketch of British Currency Systems


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About the Book

This historic book may have numerous typos or missing text. Not indexed. Purchasers can download a free scanned copy of the original book (without typos) from the publisher. 1855. Not illustrated. Excerpt: ... more easily to trace to their origin those periodical convulsions to which our mercantile career has been so long subject. If the foregoing sketch gives a true representation of the effects which would flow from an increase in the amount of currency under circumstances such as those detailed, the following inferences may be deduced from it. First. It was laid down by Hume as an axiom--and in this he has been very generally followed by subsequent writers--that, under all circumstances, an increase in the quantity of money circulating in any country will be followed by a rise in prices exactly in accordance with the proportion which the increase in the quantity may bear to the amount previously circulating; that is, that if the whole money circulating be doubled, prices will rise one hundred per cent.; that if it be increased one-half, then prices will advance fifty per cent., and so on. But from what we have seen in the foregoing sketch, it would appear that this holds good only in countries where the lending of money at interest is not practised; and that where the custom of taking interest for the loan of money prevails, the only way in which an increase in the quantity of money will come to have any effect on prices will be by causing the borrowing of money to be more easy, and that at lower rates of interest, --thereby giving an impetus to speculation, from which advanced prices will naturally follow; so that, if the increase in the quantity of money fails to excite a spirit of speculation, prices of commodities will continue exactly as they would have been had no increase taken taken place. And it would also appear that, under such circumstances, the advance of prices would not be (as it would be in a country where lending at interest was unknown, and a..


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Product Details
  • ISBN-13: 9781150435997
  • Publisher: General Books
  • Publisher Imprint: General Books
  • Height: 246 mm
  • No of Pages: 98
  • Spine Width: 5 mm
  • Width: 189 mm
  • ISBN-10: 1150435992
  • Publisher Date: 01 Jan 2012
  • Binding: Paperback
  • Language: English
  • Returnable: N
  • Weight: 191 gr


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Currency, Self-Regulating and Elastic; Explained in a Letter to His Grace the Duke of Argyll with Introductory Chapters on the Nature of Capital, and of Money, and an Historical Sketch of British Currency Systems
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