A DISCOURSE OF COIN AND COINAGE

A Discourse of Coin and Coinage
by Rice Vaughan
1675
A Discourse of Coin and Coinage: The first Invention, Use,
Matter, Forms, Proportions and Differences, ancient & modern:
with the Advantages and Disadvantages of the Rise and Fall
thereof, in our own or Neighbouring Nations: and the Reasons.
Together with a short Account of our Common Law therein.
by Rice Vaughan, late of Grayes-Inn, Esq;
London, Printed by Th. Dawks, for Th. Basset, at the George, near
Cliffords-Inn, in Fleet-street. 1675.
To the Right Honourable Henry Earl of Clarendon, Viscount
Cornbury, and Baron Hide of Hindon; Lord Chamberlain to the
Queens most excellent Majesty.
Most Noble Lord,
It being become a thing so usual in this most scribling Age,
(nam scripturire quam parturire mallet hoc soeculum) to crave
shelter under the wings of some renowned Person, from the
severity of Censurers; without which, Learning shall scarcely
have Admittance: and this piece though not my own, yet coming to
my hands amongst other manuscripts of a Gentleman of Grayes Inn,
lately deceased; (and very near related to me) whose Genius, I
may safely say, was not a little curious in the search of other
knowledge than the Law, (to which he served five
Apprenticeships). And humbly conceiving nothing could more
seasonably appear in View for the better instructing our worthy
Countrymen in the Knowledge of a thing whose want is so generally
complained of, yet the Invention, Use, and Species with their
Advantages scarce truly understood; I presumed through that true
knowledge of your Lordships Person, and most zealous Honour of
your greatly to be admired Endowments, with your Love to
Learning, which the most plebeian ears and eyes were not ignorant
of, to recommend unto your Lordships hand this Treatise, in a
more ample and different manner than that lately published out of
the Mss. of the never to be forgotten Earl of Sandwich, shewing
the first Invention, Use, Matter, Forms, Proportions, and
Differences, Ancient and Modern of that Coy Lady Pecunia, with
the Advantages and Disadvantages of the Rise or Fall thereof in
our own and neighbouring Nations; and the Reasons Pro and Con,
with other things in the other piece not contained. And here I
cannot, without great unworthiness, be silent in the due praises
of his most Excellent Majesty that now is, who with abundance of
Royal Care and Wisdom, with no small charge, hath set forth a
Coin in Form, shape, Goodness, and Beauty, not second to any used
in the world, in Common Commerce, and so uneasy to be patterned
or imbellished, a thing of no small consequence in Commonwealths.
Herewith you have a short account of our books of Law; as also
Tables of the value of all sorts of Pearls, Diamonds, Gold,
Silver, and other Metalls.[omitted from this edition]. I shall
not undertake to say, but that n the Tables of values, in these
mutable times, some variation may happen, to the common practice
of Artists, in that nature, whose private unmeasurable Ends are,
to some more their Gods than Justice or Honesty their Practise:
but the Grounds being herein plainly stated; a pregnant wit, with
a little Commerce, may soon rectify those diary Deceits, and for
the other part, whose Theory perhaps in some places, may be
thought too much to reflect on the too often practised Abuses of
the Gold-Smiths in that Nature; I hope all but themselves will
readily grant me Pardon for the Publishing, and they being but a
few, and Justice on our side, the Authors Bones I trust will not
disturb, nor I much suffer by the selfish Censures of a People so
obstinately unreasonable. Mr Lord, I shall now only beg pardon
for this presumption, in hopes of success, till time give
opportunity to testify how much I am
My Lord,
truly devoted to your Lordships service,
and your Admirer,
Henry Vaughan.
Chapter 1
Of the First Invention and Use of Money.
The first invention of Money was for a Pledge and instead of
a surety, for when men did live by Exchange of their Wants and
Superfluities, both parties could not always fit one another at
the present; in which case the Corruptions of Man's Nature did
quickly grow to make it behooful, that the party receiving should
leave somewhat worthy to be esteemed for a Pledge, to supply the
givers want upon the like occasion: Time did easily find out that
this Pledge should be something not too common, not easy to be
consumed with use, or spoiled for want of use, and this was
Money.
The first use of Money was then by it to supply every man's
particular wants. This introduced a second use of Cauponation,
when men did by the Pledge of Money procure not only those things
which they themselves wanted, but which they might sell to others
for more money: and under that kind is all Trades comprehended,
whether it be grose sale, or retale; and this use hath brought in
a third use of Money, for the gain of cauponation did give a
Colour to those that lent Money to such as did encrease it by
Trade, to take usury for it, which is therefore termed the most
unnatural use of Money, because it is most remote from the
natural Institution. Of this there are many kinds of which the
most refined is that of Exchange, which is mix'd with an usury of
place, as that is of time.
Thus did Money grow inseperably necessary to all Exchange, to
make the things exchanged equal in value, for that all exchange
is either by the actual or intellectual valuation of Money; that
is to say, Either the thing is exchanged for Money, or if it be
exchanged for another thing, the measure of that exchange is how
much Money either of the things exchanged is conceived to be
worth; and Practice hath found out that in values, which the
Geometricians have found out in quantities, that two lines which
are equal to a third line, are equal to one another: So is money
a third line, by which all things are made equal in value, and
therefore it is not ill compared to the Meteria Prima, because,
though it serves actually to no use almost, it serves potentially
to all uses. It is not impertinent to examine these things from
their ground in nature, or in use: For intending to treat by what
meanes the course of money may best be governed to the advantage
of the common-wealth, (a matter of so curious and subtil a search
as the most solid understandings are dazled with it) it is
necessary, first to lay down the first and plainest principles of
the Subject, by which the understanding of the Writer and the
Reader may be guided in the Labyrinths ensuing; and this subject
being much obscured, not only by the intricasie of its own
nature, but by the Art and Terms of those who do manage these
affairs, I do intent to lay open all the mysteries to the
comprehension of the attentive Reader. And for that purpose, I
intend first Historically, to set down by what Degrees, and upon
what Reasons the forms of Money and of Coinage, now practised are
given into use, and without any censure or observation upon them:
and I will afterwards treat a part of the inconveniences grown
into this Subject of Money, and of the Remedies that may be
applied thereunto.
Chapter 2
Of the Matter of Money
Of all things whereof Money could be made, there was nothing
so fit as Metalls, as Copper, Silver, but above all Gold; for
they are first useful, which doth increase it; they may be
divided into as little parts as you will, and then returned into
a greater mass: they are susceptible of any form, mark or
impression to be made and fit to conceive it; they are of an
exceeding long indurance against the Injuries of time or
accident, they are hardly subject to any natural corruption,
especially Gold, of the continuitie and incorruptableness whereof
the Alchimists, who have most vexed that body, do write wonders;
so as one affirmeth, That it is harder to destroy Gold than to
make it; and they have sundry other properties accomodating them
for the matter of Money; as the world hath by a general consent,
and from all times received them for that purpose, especially
Gold and Silver, of which chiefly I mean to treat: It is true
that many particular Countries have antiently, and do as this day
use other things in stead of Money: (as to instance in some of
the modern) in AEthiopia they use certain stones of Salt in stead
of Money; in Guinney, Shells; in New Spain, Cacao, Coco in Peru,
one of which is a fruit, the other an herb: but in all these
Countries you shall find that there is a certain value set upon
Gold and Silver, by which chiefly the value of all other things
is raised, and that these other things do but serve as base Money
doth in sundry Countries of Europe, where it is current in
certain limits, by the Law or Custom of the Place; but yet they
cannot be without Gold and Silver Money, unless they will barr
themselves from all commerce with other Nations: And to that
purpose the Invention of Licurgus was admirable, who desiring to
lock up his Citizens from all commerce with other nations, did
upon great penalties banish all Gold and Silver out of the City;
and as long as that Prohibition was observed, the manners and
Customs of the City were preserved entire from the mixture of
other Nations: but when their ambition and voluptuousness had
entangled them in the Commerce of other Nations, then did Gold
and Silver grow into use in despite of all Laws, by this
universal value given unto Gold and Silver. I shall convince
hereafter an important and a popular Error, by which many are
perswaded, that Princes can give what value they list to Gold and
Silver, by enhansing and letting fall their Coins, when as in
truth Gold and Silver will retain the same proportion towards
other things, which are valued by them, which the general consent
of other Nations doth give unto them, if there be a Trade and
Commerce with other Nations: By which intercourse it comes to
pass, that if the price of Gold and Silver be raised, the price
of all Commodities is raised according to the raising of Gold and
Silver; so as let any particular Prince or State raise the price
of Gold and Silver as they list, yet they will still hold the
same proportion towards other things valued by them, which the
general consent of other Nations neer about them doth give unto
them: and this universal value of Gold and Silver, the mint, even
in money, do call Intrinsical, and the local value they call
Extrinsical, as depending upon impression of the mark and
ordinance of the State. Now Money is said to have an Intrinsical
value so much as there is Gold and Silver in it in fineness and
weight, which is computed in France (and was antiently likewise
the Computation in England) first for Gold, it is divided into 24
parts, which are called Carrats, and so when they say, the Gold
is 23 Carrats fine, then it is understood there is a 2th part
base, which is Allay mingled with Gold; or if they say, it is 22
Carrats fine, then there is a 12th part of Allay: or if they say
22 Carrats and one quarter fine, then there is so much Allay as
there wants to make up 24 parts.
Silver is divided into 12 Deniers and every Denier into 25
grains; as if it be said, that Silver is jj Deniers and 12 grains
fine, then there is 12 grains of allay, which is a 24th part; or
if it be said to be jj Deniers and 6 grains fine, there is then
so much allay as it wants in the fineness to make it 12 deniers:
But with us in England, ever since the time of Edward the third,
the Computation hath been dividing the Gold into 24 carrats, and
every carrat into a 4 grains, and every grain into so many parts
as there is occasion offered to divide it; as for Example, The
antient Standard of the sterling Gold was 23 Carrats, 3 grains,
and one half of fine, and half a grain of Allay, which is the 192
part; and the Silver is divided in England into 12 Ounces; every
Ounce into 20 Pence, every Penny into 24 grains; as for Example,
the old sterling standard is jj Ounces fine, and two Penny
weight, then there remains eighteen Penny weight of Allay and, if
there were jj Ounces two Penny weight, and 6 grains fine, then
there would remain 17 Penny weight, and 10 grains of Allay: and
again, when mention is made of a Pound of Silver fine, and Gold
fine, the meaning is so much Gold or Silver pure, is a pound
weight, besides the Allay which is mingled with it,but a pound of
Gold or Silver wrought, is but just a pound weight as it is
wrought either in Money or in Plate. The Allay being mingled with
it according to the ordinance of the State, for the practise is
now, almost in all States, to set a price upon Silver and Gold,
according to the weight and fineness, above which price
Gold-Smiths or others who trade in those metals wrought in Money,
may not sell them; which price is in certain proportion
underneath the value which is given to the same metals wrought in
Money; the over-value allowed to the Money, being so much
advantage given to the State in recompence of the charge of
Coynage, and in Acknowledgement of the Soveraignty, which hath
with it likewise this necessary use, that it makes the Money so
much the less valuable to him that either would transport it into
forrein parts, or melt it, and consequently retaineth the Money
so much the better within its proper limits and natural form.
Chapter 3
Of the Forms of the Money anciently and now in use
It follows in the next place to be Considered, by what
degrees Gold and Silver came into these forms of Money, which are
now in use. And for that purpose it is most manifest that the
most proper measure in nature for mettals is weight; and the
notice of Antiquity doth confirm it that it was so in practice;
for when the use of money hath excited the industry of men to
search for these rich metals and by study and practice to
discover their natures, it was easily found out that there was no
measure so fit to them as weight: But it was speedily found out
and discovered that weight alone was not a sufficient measure for
them, by reason that they are subject to mixture, and therefore
there was an examination made of the pureness of them, and a mark
impressed upon them to shew that they were approved; which was of
no other nature, but as the Assaymaster in the West Indies doth
mark the wedges of Silver to shew that they were approved of such
a fineness, and as the Corporation of Gold smiths in London, and
other Cities, do mark the Bullion which is melted as a Testimony
of fineness, but not to make it Current at any Price, because the
mark hath no relation to the weight but onely the fineness. The
most ancient and most undoubted Testimonies whereof are in
Scripture: as that of Abraham, when he had bought the field of
Ephron for the burial of Sarah, for which it is not said that he
paid, but weighed four hundred shekels of silver, approved among
Merchants; which denoteth the fineness. And it is said that the
sons of Jacob brought back their silver in the same weight that
they carried into Egypt; and Tobit lent unto Gabael the weight of
ten Talents: By which it is manifest they did not count their
Moneys in pieces,as they did in succeeding ages, or by imaginary,
or abstracted sums, as we do make their valuation, but by weight,
the fineness only is approved of by the mark. It were tedious to
search the proofs of Antiquity in this kind, but it is manifest
that almost all the Names of Moneys, both among the Hebrews and
Greeks, were not properly the names of any species of Money, but
of several sorts of weight. As of Sicle, Mina, Talent and
Drachma; so likewise the Original Moneys, both of the Romans, the
Francks, and of the Monarchy of England, were the As, the Livre,
the Pound and the Mark; and amongst the Romans, the ancient
Receivers were not called numeratores, but libripendes; the names
of Moneys being originally only the proportions of weight, and
the mark serving only for a proof of the pureness of the Metal:
There did succeed a form of Money, wherein the impression did not
only signify the fineness, but the weight also. This among the
Romans was moneta, from when our name of Money is derived a
Monedo: it is attributed to Servius Tullius, to have bin the
first in Rome, to have stamped with an Impression a certain piece
of Money which was called As (as being of Copper, and weighing a
pound weight) and that he coyned lesser parts, distinguished by
ounces: it was long after in the Consulat of Quintus Fabius, that
the first Silver coin was made, called Denarius, because it was
valued at ten As, and at the same time were made half and
quarters of the Denarii, called Sestertii, marked LLs, to signifi
duas libras cum semisse. The first Denarii were made of Sextula
or six in the ounce: it was above threescore years after 'ere any
Gold was coined, the first pieces were of such a weight as 40
made a pound: which Example of the Roman Coins, I do not alledge
as the first, for it is manifest, that both the Median, Persian
and Grecian states did use Coins, which by their Impression did
signify both the weight and fineness; but because they were the
first, whereof I have any certain relation, and upon whose ground
all these parts of the World have formed their Coins and made
their divisions of weight. It doth now appear what Allay was
mingled or what Tribute was charged in the first Roman moneys of
Gold and Silver; by which word of Tribute, I do understand
whatever was substracted out of the Intrinsical value of the
Money, and allowed to it as an over-value towards the charge of
Coinage, or right of Soveraignty, rated by the State, or what
remedies were allowed for their weight and fineness; only it
appeareth by their medals that they were cast in a mold. But
after ages did grow to stamp their Coins finding how useful it
was to have lesser coins than could well be cast in a mould, and
also to avoid counterfeiting, which is with more difficulty in
Coins stamped: and because it was hard to observe an exact
proportion of weight, there was a certain remedy of grains,
beyond which, if the pieces of Coin did not fall of their just
weight, they were to be received of Officers appointed, otherwise
they were rejected to be new coyned. There was a remedy of
fineness, for when Allay grew to be mingled in the Coins, the
workmen could not constantly and precisely hit upon the mixture,
and therefore had allowed them a certain proportion for Remedy,
which if they did not exceed, their work was not subject to
censure. This allowance of Remedy hath been of two sorts, for
when States would coin their Money strong and rich in value, they
did not give any allowance to any pieces of Coin under the just
weight and fineness: but if they were of a just weight and
fineness, not exceeding the grains of Remedy, then they were
allowed; so as in this case, the Coins were upon accompt to be
recompence for so much as the over-put in the Money, being within
the remedy permitted, and this they call in French Battre le
fort. But all States rather inclining to make their Moneys weak
than strong, there is in these latter Ages another way practiced,
which is more general; that is, that Coins are not made one jot
above the just proportion of weight and fineness, but
(notwithstanding) the fail of either, so as it be no more than
the grains of remedy, they are allowed as compleat: and by this
means, upon Accompt, the Coiners are to make recompence to the
State of so much as is short in their Coins, of the just weight
and fineness, being within the permission of their remedy, which
in French they call Battre Sur le foible. This is as much as I
hold fit to be spoken of the Antient and Modern forms; Except I
should discourse of the Inscriptions or Characters, or of the
Figures of Money, which in some times and places, have been long,
oval, or square,and are now almost everywhere round, which to the
searchers of Antiquity might prove grateful, but to my purpose
would be of no use.
Chapter 4
Of the Proportion held between Gold and Silver, Antient and
Modern.
Use and Delight, or the opinion of them, are the true causes
why all things have a Value and Price set upon them, but the
Proportion of that value and price is wholly governed by Rarity
and Abundance: And therefore the Proportion of value between Gold
and Silver must needs differ in several Times and Places,
according to the scarcity or abundance of those Mettals. There is
much Variety amongst Authors what Proportions Gold and Silver
held to one another amongst the Hebrews, not out of the
Difference of Times, but out of the Difference of
Interpretations; for Bodine doth alledge the same places to prove
the Proportion was twenty five for one, which other Authors do
alledge to prove it to have been 45 for one; and others 10 for
one. There is a Passage in Thalia, of Herodotus (sect. 95) by
which it appears, that Thirteen Talents of Silver were valued at
one of Gold in the Revenues of Darius. And there is an Opinion
received, That in the time of the flourishing of the Grecian
Common-wealths, those Mettals were in the Proportion of twelve to
one. It is also reported in Pliny, (without mentioning any
certain time) That antiently the Romans did value a scruple of
Gold at twenty Sestertii of Silver, which, if it were when the
Sestertii were at the greatest weight, made the Proportion of
twenty for one: and if it were when they were at their least
weight, it made the Proportion of fifteen for one. But there is a
clear Passage, in the 8th Book (sect. 11) of the 4th Decade of
Livy, of an Accord between the Romans and AEtolians, that the
AEtolians might pay, instead of every Talent of Gold, ten Talents
of Silver; and (in Suetonius) it is said, that Caesar, at his
coming out of Gallia brought such a quantity of Gold, that the
Proportion betwixt Gold and silver abated to seven and one half
of Silver to one of Gold: the abatement had not been credible, if
the Proportion of Pliny had been twenty for one, or fifteen for
one. But to come to later times, and to our Neighbours, which
have therefore a more near Relation to us, both in time and
place.
The proportion in France, in the time of King John, who was
contemporant with Edward the Third, was 11 for one: and in the
time of Charles the Fifth, who succeeded next to him, it was 11
and almost 12 for one. And ever since the Proportion has been
held between 11 and 12 for one. But by the edict of this French
Kind now reigning, December 1614, the mark of Gold fine is valued
at 27 l. 16 s. 7 d. the mark of Silver called Argent le Roy, is
valued at 14 s. 6 d. and almost one half penny. But adding a 24th
part to the two, to make it fine, which the Silver called Argent
le Roy doth want of fineness, the proportion will arise into 13,
wanting about a seventh part to one of Gold. In Germany about the
year 1610, the Proportion held 13 for one, sometimes a little
more, sometimes a little less; though antiently the Proportion
was eleven for one. The Proportion in Spain hath a long time
remained near about twelve for one. The Proportion in the United
Provinces, by the Placcard 1622 (which is yet in force) is about
12 and two thirds fine silver, to one of Gold. But before I come
to set the Proportions that have been held in this Kingdom of
England I shall first set down, How I do inquire and resolve of
the said Proportions, to the end I may satisfy such whose
Curiosity may carry them to examine the truth of the said
Proportions.
I do first examine by the Records of the several times, how
much the Gold, then coined in work, is valued at, then I do
examine what proportion of Allay is mixed in the said Gold coined
in work, and add to the same the said proportion of Allay, as if
it were fine Gold, and so make up a full pound of fine Gold; and
do just in the same manner, value the full pound of fine Silver
and then calculate what proportion is between the value of the
pound of fine Gold and the value of the pound of fine Silver. To
which examination, I cannot conceive what can be objected other
than this, That the remedies which are allowed, being different
in the Gold from the Silver, and different in themselves, in
different times, must needs breed an error in this Calculation.
But to that objection I answer, that the remedies do make so
small a difference that it is not considerable; and besides it
were impossible to consider the remedies in this
Calculation,because they are casual in the work and are supposed
to fall out sometimes as well beyond the just standard as
deficient: And from all Antiquity it is provided in the
Indentures, that the remedies shall be allowed, if the defects
appear to be casual and not voluntary. The Truth is, that they
were an invention by which the Masters of the Mint made their
advantage under colour of Contingency of the work, which appears
to have bin first apprehended by King Henry the VII who in the
first year of his reign made the Masters of the Mint accountable
to himself for so much of the remedie as was found deficient from
the standard. The first clear record that I can find for the
values of our Moneys, is in the eighteenth year of Edward III and
then a full pound of fine silver was valued at 11 l. of fine
Silver, and eight pence over: From that time to the 25th of
Edward III there was some variety in the Money, but not worth the
mention. But in the 25th a full pound of fine Gold was valued at
11 l. of fine Silver, and 3s. 2d. over; and so it remained all
Edward III time, and all Richard II time, and until the 13 of
Henry IV; at which time both Gold and Silver were raised by
advice in Parliament, upon complaint that by reason of the low
prices of Gold and Silver, the Money of the Realm was exhausted.
And by that Ordinance a pound of fine Gold was valued at ten
pounds of fine Silver and almost one half, and so it remained all
his time, and all Henry V time and until the 49 of Henry VI time,
and then the Gold and Silver was again raised, and a pound of
Gold fine was valued at 11 l. of the fine Silver and 6s. over. In
the fourth of Edward IV the Gold was abased in value, and the
Silver left at the same price; by which means a pound of fine
Gold was valued at ten pound of fine Silver, and 6s 7d. over. But
in the 8 of Edward IV the Gold was again raised to the former
price, as it was in the 49 of Hen. VI and so the proportion
remained just the same both all Edward IV time and Henry VII
time, and the beginning of Henry VIII time. In 18 of Henry VIII
there were Letters Patent granted to the Cardinal of York and to
such of the King's Council, as he should call unto him,
authorizing them to give such Directions, as they should think
meet, for the alteration both of the standard and values of the
Kings Moneys, and a Commission was accordingly issued to the
Officers of the Mint to pursue the said Directions; the Colour
whereof was, That the Moneys of the Realm were transported
secretly by reason of the excessive raising of Moneys in France,
and in the Low Countries, and that the King, having sent unto
other Princes, could obtain no redress for the raising of their
Coyns: Upon this Commission did arise great confusions in the
prices and standards of the Moneys; which, with certainly I
cannot trace any further, because the matter passing by private
direction, there are no publick Records extant of them. In the
third of Edward VI a Commision was granted to coin Gold at 22
Carrats fine, of the value of 34 l. the pound: and Silver of 8
ounces fine, of the value of 4 l. 16s. the Pound whereby a pound
of Gold fine was valued at 37 l. and almost 2s. and a pound of
Silver fine was valued at 7 l. 4s. and by that rate, a pound of
fine Gold was as five pound of fine Silver and 22s. over: which
could not so fall out but through the excessive gain which the
King did make upon the Silver more than on the Gold: and it seems
that the proportion was much other between the Merchants in
Bullion, for neer about the same time the King gave Commission to
buy Gold and the Mint of 24 Carrats fine, at 58s. the ounce; and
Silver of 12 ounces fine 5s. 4d. which is almost jj for one.
These confusions did still remain all Kind Edward and Queen
Maries Reigns, but in 14 of Queen Elizabeth the antient sterling
standard both of Gold and Silver was renewed, and a pound of Gold
fine valued at 11 l. of fine Silver, and 7s. 10d. over: In the
24th of Elizabeth the standard of Gold was abased one quarter of
a grain, and of Silver one pennyweight, but the proportion
between two metals near upon the same point: And although in
these times the Crown Gold was coined upon another standard, yet
the proportion in the Intrinsical value was kept the same. In
secundo Jacobi, the proportion was 12 for one; but every 20s.
being afterwards by Proclamation raised to 22s; one pound of fine
Gold of 24 carrats, is valued at 13 l. of fine Silver of 12
ounces fine and one fifth over.
And these are the Antient and Modern proportions of Gold and
Silver to one another in price, as punctually and authentically
as by diligent search I could gather them. There is yet another
proportion between mettals, which is not unnecessary to our
purpose to be understood, which although I have not by mine own
trial examined, yet having taken it from good Authors, I will not
omit; and that is a natural and a constant proportion which
mettals do hold differently to one another in weight in the same
value and superficies: which is, that Gold weighs 48 parts, Quick
Silver 27 parts, Silver 24 parts, Lead 22 parts, Tinn, Iron,
Coper, 15 parts; which different proportion of weight was the
ground of that condition of Archymedes whereby he found out how
much Silver the workmen of Hiero put into his Crown of Gold; and
which is likewise the ground of many other subtil Conclusions,
which have bin found out for the deprehension of mettals, and
other mechanical works; and by this proportion those of China do
examine the fineness of the Gold which is current amongst them,
who by constant Relation, being said to be most subtile and exact
in mechanical trials of mettals, have not the Gold which is
current amongst them coined, but reduced into powder, which they
do pass to one another in their commerce by weight, and do easily
deprehend if there be mixture of Allay amongst it by measuring
the powder, and then tempering the weight and measure together.
Chapter 5
Of the raising of the price of Money both of Silver and Gold
It is to be understood that there are three ways of raising
the price of Moneys either Gold or Silver: The first is without
alteration of the Species of the Money, by encreasing the value
of it, by giving more parts to it than originally it had, as by
ordaining an Angel or a Soveraign to be valued at eleven
shillings, which was coined for ten, or a shilling to be valued
at fourteen pence. The second way is by diminishing the matter,
but leaving the same name and value to the Money which it had
before, as if Shillings or Angels, or Soveraigns were coined by
the same name and value as before, but were diminished so many
grains in weight: or, if new names were given to them and the
same value retained, but the weight diminished; for in this case,
there being really less Gold and Silver in weight in the piece
than there was before and the value remaining the same, the
Silver and Gold which remains hath a higher price set upon it.
The third is when the value remaining the same of the species of
Money, and the weight of the same, the fineness is abased by
putting more Allay into it, for then there is really less Gold
and Silver in fineness.
There are two causes of the raising of Money: the first and
most antient cause of raising Money, was a gain which the state
made of it in their Necessities, which hath not often been
practised in this Kingdom. But the second and most frequent cause
hath been, an Art which States have used to rob one another of
their Money, by setting on higher prices upon it; so that some
States being induced, by an unjust device, to draw to themselves
the Money of their Neighbours, and others by a necessity to keep
their own. All these parts of the world, for some few hundred of
years, have done nothing but vye one upon another who shall raise
their Money highest, which hath brought great Confusion in all
States; and doth threaten much greater, if it be not prevented.
But first to shew the Antiquity of the practice of raising of
Monies we will begin with the Romans. The As, which was
originally coyned of a pound weight, was, during the first Punick
War for help of publick necessities, brought to 2 ounces, and all
the lesser parts of the As, as ounces and others, were abated in
proportion. During the Dictatorship of Fabius Maximus the As was
brought to one ounce weight, and yet reduced again by Papirius to
half an ounce. The Denarii of Silver were at first current for
ten As, and the Sestertii, which were quarters of the Denarii,
for two and a half as. But when the weight of the as was
diminished to one ounce the denarius was made worth sixteen as,
and the sestertius worth four as. They did likewise make sundry
abasements (by means) of the Allay, whereof that of Livius Drusus
was excessive, mixing an 8th part of Copper. And hereby the
confusions grew so great, that Tullie in a passage of his Offices
saith, Jactobatur enim Temporibus illis Nummus, sic ut nemo
posset scire quid haberet (in pecunia); where upon Marius
Gratidianus, who being Triumvir monetae cudendae, brought in an
exact Ordinance for the regulating of this Money, had Statues
erected to him by the people. The first gold pieces were coined
of 40 pieces in the pound, and in the time of Justinian, the same
pieces, called Solidi aurei were 72 in the pound. After the great
inundations of the Barbarous people into the Roman Empire, the
Confusions in this subject of Money grew incredible.
Charles the Great, in whose time the Monarchy of the Francks
grew to the Height, made a new Reglement of Moneys, which is the
same that continues to this day in France, and is the same which
we do now practice in England, for the division of Moneys, though
for the Values of them the difference is grown exceeding great:
For he renewed again the Account by Livres or Pounds, and divided
the Pounds into twenty Solidi, which in France they call Sols,
and we Shillings; the solidus again into 12 Denarii, which in
France they call Deniers, and we pence. But the values are grown
so different as every of our Shillings, our Pounds, our Pence are
valued at ten of theirs: and yet in intrinsical value are more.
Many do hold that by the Institution of Charles the Great, twenty
Sols contained in them a Pound of silver. but it is authentically
to be proved, both by unquestionable Records, and by Pieces
themselves, of which I have some extant, that many hundred of
years after, in the time of St. Lewis, who was contemporary with
our Henry the Third, that the Sols then contained in intrinsical
value near six Sols of this present King, so much hath the Money
since that time been raised in price, and abased in substance,
which is the same. In the Reign of Philip the Second, in the year
1181, the French Mark of fine Gold, which makes almost 8 ounces
of our Pound, was valued in the Moneys then at 44 livres, and the
Mark of the King's Silver was valued at 2 livres, 13 sols, and 4
deniers. And by the Edict of this present King, in the year 1614,
the Mark of the same Gold was valued at 278 Livres, 6 Sols, 6
Deniers. And the Mark of the same silver was valued at 20 livres,
5 Sols; so that in this time, the Gold hath been raised to six
times, and almost the third part of the price which then it did
bear; and the Silver hath been raised much above seven times the
value which then it did bear.
I will not trouble the Reader to set down by what degrees
this Price has grown to so great an height which have been very
various, the Price having been sometimes excessively raised and
sometimes sudainly reduced back again by the French Kings, and
most commonly to make a Levy of Monies upon the People, which
hath bred infinite Confusions, and sometimes Rebellions in that
Kingdom.
But I will now come to the Kingdom of England, where the
raising of the Price hath been with a more constant hand, and,
almost alwayes, out of a kind of Necessity to follow the raising
of other States; yet, from time to time we shall not finde the
Rates of the raising much to differ from those of France. But I
cannot begin from so antient (a date) as in France; The first
Record that I can find for this purpose being in the eighteenth
year of Edward the Third, which was in the year of Grace about
1344. And then a pound of Gold of sterling Standard, which is 23
carrats, 3 grains, and one half fine, was valued at 13 pound 4s
8d. and a pound of Silver of sterling Standard, at 22s. 2d. The
20th of Edward the Third, the pound of Gold of the same Standard
was raised to 14 pound, and the pound of Silver to 22s 6d. In the
27th of Edward the Third, the same gold was raised to 15 pound,
and the same Silver to 25s the pound; the rest of the reign of
Edward the Third, and during all the Reign of Richard the Second,
and until the Thirteenth of Henry the Fourth, the same prices
remained. And then by the Advice of the Parliament, to prevent
Transportation, the same Gold was raised to 16 pound, 15s and the
same Silver to 30s the pound; and this price remained all the
rest of the reign of Henry the Fourth, and during all the Reign
of Henry the Fifth, and until the 49th of Henry the Sixth; and
then the same Gold was raised to 22 l. 10s. and the same Silver
to 37s. 6d. But in the fourth of Edward the Fourth, the price of
the same Gold was brought back to 20 pound 16s. 8d. the Silver
remaining as before. And in the eighth of Edward the Fourth, the
Gold was again raised to the former price of 22 l. 10s. the
Silver still remaining at 37s. 6d. And this price remained all
the rest of the Reign of Edward the Fourth, all the Reign of
Richard the Third, all the Reign of Henry the Seventh, and all
the beginning of Henry the Eight: But in 18th of Henry the Eight,
a Commission issued forth for the Alteration of the Standard, and
of the Prices of Moneys, according to the Direction to be given
by the Cardinal of York, and such other of the King's Council as
he should call unto him: form whence issued so great a Confusion,
both in the prices and Standard of the Moneys, as would prove
very difficult to trace out, and tedious to read, as well for the
Obscurity as for the great Variations, which succeeded: And
therefore I pass over all the rest of his Reign, as also those of
King Edward and Queen Mary, and until the fourteenth of Queen
Elizabeth, when was again coined Gold and Silver of the antient
sterling Standard, the Gold at 36 l. the pound, and the Silver of
the old Standard at 3 l. the pound: and although there were at
the same time and after much crown Gold coined, yet the
intrinsical value of it was governed by (the weight and fineness
of) the Angel of Gold: In the 25th and 26th of the Queen, she
abased the standard of the Gold one quarter of a grain, and the
standard of the Silver one penny weight, whereby the price of
Gold was raised one shilling 10 pence in the pound, and the price
of Silver 3d. in the pound. but in the second year of King James,
the price of the Soveraign, in gold which is but 22 carats fine,
was raised to 27 pound, 4 shill. being almost one eleventh part
more; and by the Proclamation, by which every 20 shilling piece
was made current for 22 shillings, the said Gold was yet raised
another tenth part; so that the increase of the price of Gold has
been such by the Degrees before specified, that every pound
sterling, by reckoning of Gold coin, and every part of a pound,
as Marks, and Shillings, etc. in coin of Gold, did in the
eighteenth of Edward the Third contain in intrinsical value (id
est) in pure Gold, thrice as much and above a third part more
than the same pound sterling in reckoning of Gold-coin, marks,
shillings, etc. does at this day contain. And every pound
sterling in reckoning of Silver-coin, and every part of a pound,
as marks, shillings, etc. in Silver coins did in the 18th year of
Edward the third, contain in intrinsical value, (id est) in pure
Silver, thrice as much, wanting about 1/6th part as the same
pound sterling, in reckoning of Silver coins, marks, shillings,
etc. does at this day contain.
There is yet another Proportion of Gold and Silver to be
inquired into as necessary to be known; and peradventure more
necessary than either of these: And that is to enquire what
Proportion our Gold and Silver holds in Value, being in Bullion,
as it is presented to the Mint by the Merchant, in Comparison of
the near adjoyning Countries: For by this Proportion we shall
discover the Reason why the Merchant Brings Gold into England
rather than Silver, and Silver into Holland rather than Gold, or,
why he carries both, or either of them, into one Country rather
than into another. And for that purpose, I will first begin with
England, and then compare it with some of the nearest
neighbouring Countreys.
In England, where the Merchant for so much Gold fine of 24
carats, as makes a pound, Tower weight, doth receive 43 l. 7s.
1d. according to the rate of the Mint, which is 41 l. 5s. for a
pound weight of sterling gold.
In France, according to the Edict of this King, Anno 1614,
which is yet in force, the Merchant receiveth at this Mint for so
much Gold of 24 Carats, as makes a pound of Tower weight, but 426
livres, and about 7 sols and one half French more at the Mint in
England for the same quantity of Gold, than the Merchant doth
receive at the Mint in France. Of Silver, the Merchant, at the
Mint in England receives for so much fine Silver as makes a
pound, Tower weight, 3 l. 4s. 6d. the Merchant receives at the
Mint in France, for the same quantity of Silver, 2 livres, and 2
sols French, or 4s. and almost 2d. half penny more than the
Merchant receives at the Mint of England. This Account I do make
reckoning the 12 ounces, Tower weight to make, as by tryal it has
been proved, 12 ounces and 6 deniers, Paris weight.
As for the United Provinces, etc.
Chapter 6
Of Base Money
I do not mean by base Money, Money of pure Copper, which in
all States and in all Ages hath almost always been used, at the
first for want of Gold and Silver, and now since, for the
necessity of the poorer sort onely, and not for Commerce and
Trade, as our farthlings have lately bin introduced: But I mean
that mixture of Metals, wherein Silver is incorporated with other
baser Metals, not for Allay but to the extinction of the
denomination of Silver; as Wine, when it is watered beyond a
certain proportion looseth the name of Wine. And in all the
Countries of Europe, as far as I can learn, except England and
Muscovia, is used for Commerce and Trade amongst the people:
which mixtion of mettals however it hath been practised at times
in former Ages, out of the extream Necessities of the Common
wealth, yet I do not find that it hath been constantly embraced
(as now it is in all parts) until about Eightscore years since,
about which time it was introduced into France by Charles the
Seventh. The pretences whereof were these.
First, That there was no Intention thereby to raise the price
or to diminish the weight of Silver, but that this Money should
be as good in intrinsical value, as in the Money of purer Silver,
save only a small charge laid upon it for the coinage: then that
by coining small pieces of a penny, two pence, or three pence,
and thereabouts, the pieces, by the mixtion should have a greater
bulk, and so be preserved from loss, which must needs frequently
happen by reason of the smallness of the pieces, if they were
made of pure Silver, so likewise they should be preserved from
wearing: and again, that the Gold-Smith should by this means be
kept from melting them, and the Stranger from exporting them,
because the charge of refining them and drawing the pure Silver
out of them would far exceed the profit: These are the Pretences
by which base Money was first introduced, but if they be weighed
against the Inconveniences, which have followed upon it, it will
be found one of the most mischievous Inventions that ever was
found in matters of Money. I could hardly resolve with myself to
insert this Chapter in this Discourse, because having mine aim
only a the good of this State, it seemed unnecessary to treat of
this Subject, since we have no base Money in England; but when I
consider, that in some unhappy seasons heretofore we have had
base Money; and that it is not impossible, but that the like
Projects may again be revived, I determin'd not only to treat,
but to go through with it all at once, and not to interrupt this
Discourse any more with that Subject: And therefore to set down
the Inconveniences that have followed it, which in the former
Chapter I did forbear, reserving both the Inconveniences and the
Remedies to be treated of apart. The first Inconvenience then of
the great mixture of Mettals, is the falsifying of them; for both
in reason it is too true, that by this mixture both the Colour,
Sound, Weight, and the other more hidden Qualities of the
different mettals are so confounded as the falsity cannot be
discovered, but with extream difficulty: and by experience it is
verified, that in all those Countries where base Money
hath-course, the greatest part of it is not coyned by the State,
but either counterfeited by the Natives, or brought in by several
Strangers.
Secondly, It is true that the base Money was first coined in
France, of an intrinsical value, almost equal to that of purer
mettals, and so it continues to this day, for so much of it is
coined by ordinance of the State, (the greatest part being
falsifyed:) But in most other Countries (as namely in Spain) the
State in self, to raise a Tribute upon the people, hath extreamly
falsified the intrinsical value, by which means both the State
hath for gain, Coins much more than there is occasion to use, and
there is incomparably more counterfeited by others, so as the
mischief doth hourly multiply.
Thirdly, The values of Money are continually raised from time
to time, which is no new Device (as is already more particularly
declared) the base Money must then in Proportion be likewise
raised, which cannot be done by increasing the value of the
particular pieces for being of so small price, the fractions
would be irreconcilable, so as there is no other way left to
raise the base Money, but by coining new, of a weaker Intrinsical
value. I would then gladly know what becomes of all the old base
Money, either it is melted down by Bullioners, which is the name
in French of those who by culling and trying of Coins make their
profit to melt them; or it is transported by strangers, so as in
effect the use of base Money doth bring that inconvenience, the
avoiding whereof was made one of the chiefest Pretences for
Coinage of it.
Fourthly, It is truly observed, that in all those Countries
where base Money is current, there the price of Gold and Silver
is daily raised by the people, not only without the Ordinance of
the State, but contrary to, and in despight of all Prohibitions
to the contrary, which draws with it extream disorders and
mischiefs, so it is in the Low Countries, so it is in France, so
in Germany, and in Spain; although the Ordinance for the value of
the Gold and Silver may securely be maintained by this help, that
no Forrein Coin is there current; yet when you come to change
base Money for Silver or Gold, you shall find how the people
there raise the price unto you of the purer Money; But in England
and Muscovia, where no base Money is in use, there the people
never raise the price of Gold and Silver (except by Ordinance of
the State it be directed) neither doth Experience only try this
Conclusion, but Reason also; for the people when they see the
Money of base and uncertain mixture, do disesteem it, and in
comparison thereof do esteem the Money of purer Gold and Silver
above the proportion, and so do raise the price of it; and this
esteem is not meerly out of opinion, for that really, that piece
of base Money which hath as much fine Silver as a penny, is
notwithstanding not worth a penny, because the mixture makes that
you cannot extract this penny in pure mettal, without loss and
charge: and if the people do hold this base esteem of this
mixture which hath in it the intrinsical value for which it is
current, how much more base esteem must they hold of that
mixture, which they know hath not neer in it that intrinsical
value for which it is current, and how much more must they needs
raise the Silver. And certainly base Money, when either it is at
first coined much in the intrinsical value under the extrinsical,
or is by degrees brought unto it and long so continued, doth in
the end breed either Insurrections among the People, or
rejections of it; whereof the examples of Insurrections are very
frequent, and therefore I will forbear to instance in them. But I
cannot omit one example of Rejection, because it is so fresh in
Memory, which was in Ireland in the end of the Reign of Queen
Elizabeth; which Country although it was newly vindicated from
Rebellion, and did patently endure all the imperious Directions
which a late fresh Victory did bring with it, yet as soon as the
Exchanges of base Moneys sent thither did cease in England, it
was instantly rejected there, and would not pass current for so
much as in the true intrinsical value it was worth, but was
brought up at under rates by such as made profit by melting it.
Fifthly, The Dishonour that accompanies base Moneys, is of a
more important Inconvenience than all the rest, for what can be
more dishonourable than to have the Image of the Prince, or the
Mark of the Publick Attestation impressed upon false and
counterfeited stuff: according to the saying of an Emperour, Quid
enim erit tutum si in nostra peccetur Effigie? And if there be
gain made of it, it is a manifest breach of the publick Faith,
for that it hath no other course than as it hath publick warrant
to be good. Nay, this point of Honour hath so far prevailed in
the World, that it hath been made an Observation by many, that in
all great Divisions in States and Monarchaies, that partly hath
infallibly the juster cause which doth most warily proceed,
either to the raising of the price, or the abasing of the matter
thereof: which Observations are not without warrant of Experience
nor of Reason also; for that all raising of the price and abasing
of the matter of Money for gain, drawing with it an unjust,
ruinous and unequal burthen upon the people, they that maintain
the better cause, like the true Mother, will choose to loose the
cause than the Child should be destroyed. In which loyal
maintenance of the public Faith in matters of Money our Kings do
incomparably outshine all other Princes and States of Europe: for
if Spain, and some other States do equal them in the pureness of
the mettals, and the low values of their Monies of Gold and
Silver, yet they have made themselves farr inferiour unto them by
filling their Countries with base Money. And if in Muscovy they
have coined no base Money, yet they have raised the Standard of
their Silver so high, by diminishing both the fineness and
weight, that the Silver itself scarcly deserves that name. And
this I have seen and can learn by other means, that there is no
State in the World more excellently tempered than this of
England, or wherein the Prince is more absolute in all things,
wherein it is good for himself and the publick, that he should be
absolute; or where the great men are more honoured without
license of oppressing the People; or where the People do live
more freely or so happily as in England. As for the Remedies of
this Inconvenience of base Money, I do leave those Countries to
struggle with them that are afflicted with it, for us in England
the remedy is plain and easy, which is mainly and constantly to
keep it out. Thus far I have proceeded in the History of Money to
set down, as briefly as I could, by what degrees Money hath grown
into that form and state as now it is governed; but have forborn
to speake of the Inconveniences grown therein, and of the
Remedies thereof, save only in the last Chapter, which I mean to
propound, and debate in the rest of this Discourse, for the
opening of the Readers understanding without making any positive
conclusion, but leave that to every ones private Judgment.
Chapter 7
Of the Inconveniences in general grown in the matter of Money.
The inconveniences which are accident to this Subject of
Money are in general but two, Raritie and Confusion; which
although they do coincide many times in the subject, that is,
that Rarity breeds Confusion, and Confusion breeds Rarity, yet in
their Nature they do differ, and many times likewise in the
Subject; and there is seen Confusion without Rarity, and Rarity
without Confusion: yet this latter branch of Confusion will yield
small matter to our discourse, because in England no forrein
Coins are current, nor base Money; there is no variation in the
Mints, there being but one; and there is very small Varietie in
Allayes; in the Silver Money none at all, and in the Gold, but
two, all which are occasions of confusion in the matter of Money.
As for the other branch of Rarity, the causes thereof, when we
come to handle them, will appear both very various and very
intricate. And, if I were to handle this Subject as part of a
Treatise of the best Form of a Common-wealth, I would first
endeavour to search out what proportion of Money were fittest for
the Common-wealth, for if MOney were invented for the Exchange of
things useful to man's life, there is a certain Proportion for
that use, and there is as well a too much as a too little:
Because that the want of Money makes the life of the Citizens
penurious and barbarous, so the over-great Abundance of Money
makes their lives luxurious and wanton, by reason of the great
Commutability of all things for Money, by which the vain and
vicious Fancies of men are presently supplied with all that they
do affect. But I must apply my Conceit to the Common-wealth as it
is, not as a Philosopher may frame it is to perfect the Horse in
all his natural actions, and to redeem and win him from all
vicious affections; but for the Rider it is enough if he do use
him to the best Advantage such as he finds him.
ow all the Common-wealths of the World are grown to such a
Depravation, that not only the exchange of Necessaries, for which
Money was first invented, but all things else are valued by
Money, the services and duties of the Commonwealth, the virtue
and the lives of the citizens; so that in the common opinions,
that State that abounds in Money, hath Courage, hath Men, and all
other Instruments to defend itself and offend others, if it have
wisdom how to make use of it: and upon this ground it was said,
during the time of the late Wars in France, that that side that
had the last Crown to spend must be infallibly victorious. And it
seems that in the Low Countries, on both sides they are of the
same opinion; for so they may draw Money by it from their
Enemies, they do furnish them with Victuals and other Provisions
to sustain their Armies by Pasport and publick Avowal. Hence it
is that in the modern Forms of Common-wealths there is no
Proportion, no Mediocrity of Money, but all do strive to abound
with it, without any stint. And hence it is that Rarity is almost
the sole Inconvenience in matter of Money; the Rarity of Money
doth grow out of these Four Causes following, viz.
First, Want of means to bring in the Materials of Money.
Secondly, Facility of exporting them.
Thirdly, The wasting of them in the Kingdom.
Fourthly, The great encrease of the proportion between Gold
and Silver, and the things valued by them.
First, the want of means to bring in the Materials of Money,
may be reduced into these heads.
First, The want of Manufactures, for Manufactures do breed
Money, and Money again doth breed Manufactures, which is apparent
in divers States and Cities, that have no natural commodities of
their own, either to exchange for other Commodities or to bring
in Gold and Silver, which do yet notwithstanding abound with both
by reason of their Manufactures, and as the Stocks of their Money
do encrease, so do their Manufactures encrease withall. But the
ways of encreasing and maintaining Manufactures do depend upon
other considerations in civil Government, and in no sort upon the
course of Money except by accident, that the good Government of
the course of Money may breed plenty of money, and plenty of
Money doth help to encrease Manufactures, and therefore to speak
no more of this Subject; I purpose.
A Second cause of want of Means to bring in the Materials of
Money, is the want of Sumptuary Laws to be made and executed, for
as in private Families there is no so easie and certain way to
thrive, as the cutting off superfluous expences, so is it in the
Common-wealth; and that which the Industry and Will of the Master
doth perform in every Private Family, that the Magistrates and
Law ought to perform in the Common-wealth. But this Title
likewise hath not Coherence with my Subject; and therefore I do
omit to speak any further of it.
A Third cause, is the want of Sufficient Search of these
Mettals in the Bowels of the Earth within the Kingdom, and it is
a certain Experiement that there are sundry Mines of Silver in
this Kingdom: and there is ground to believe both that they are
of great Profit and of long continuance, if the working of them
shall be well regulated by the State, and judiciously prosecuted
by the Undertakers: but this also hath no dependance upon my
Subject, and therefore here I leave it.
The fourth cause of the want of means to bring in the
Materials of Money is the impediments of Trade, which are very
many, and of subtile disquistion; but have no dependance upon our
Enquiry, but by accident; and therefore I leave them to be
discussed where it appertaineth.
A fifth Defect, in the bringing in of the Materials of Money,
is the Prohibition of Forrein, especially Spanish, and this Title
hath entirely relation to our Subject, and hereof I purpose
hereafter to examine the Inconvenience apart, together with the
Remedies propounded.
A sixth cause, is the Low price of our Moneys, especially of
our Silver Moneys, which is the cause assigned by many that much
of the Materials that would be brought hither into England, if
the price were higher, is now transported into other parts: And
in this Title I mean first to examine apart the disproportion
between our Money of Silver and Gold. But the low price of our
Money in respect of our Neighbours and the raising of it higher,
or not raising of it, or the reducing of it yet lower, according
to the values of more ancient times, and the Inconveniences that
may grow by the one or the other, and the remedies propounded
will occurr to be considered in every division of the causes of
the Rarity of Money. But to avoid Confusion, I do purpose to
handle them all together in one Chapter.
The Second cause of the rarity of Money and the Materials
thereof, is the facility of exporting them out of the Kingdom
which doth arise out of these Causes;
First, out of raising of prices of Moneys by our Neighbours,
which in effect is the same with the former of the low prices of
our Moneys; for by giving a greater price for our Moneys, than it
is valued here with us, they allure both our own and Forrein
Merchants to carry our Moneys to them.
A second Cause is the unequal Coinage of our Moneys, by which
cometh to pass that those pieces which are over heavy and of
finer Allay, are tried and culled out, and either exported into
Forrein parts, or melted down for other uses. And although it
might be thought that the strict care used by the State in this
behalf should have prevented this mischief, yet daily experience
doth shew that great Quantities of the weightiest and best Moneys
are daily exported, and that the Silver which remaineth amongst
us is so much under the Standard as is hardly credible: which
matter I purpose to handle, being naturally incident to this
subject. The want likewise of Manufactures and Sumptuary Laws,
are two causes of the facility of the exporting the Money and the
Materials thereof our of this Realm, for by the encrease of
Manufactures, the Commodities of the Kingdom are increased, and
by Sumptuary Laws Forrein commodities are made less useful, both
which conduce to the keeping of the Money and Bullion within the
Realm. But these causes are not of our consideration.
A third cause of the Rarity of Money and the Materials
thereof, is the wasting and consuming it within the Kingdom, as
in guildings, gold and silver-thread, and inlayings, all which is
consumed in a manner to nothing; the excessive use likewise of
Plate maketh Money scant, but all these Defects are to be
remedied by Sumptuary Laws. The laying up of Money also in
Treasure, is likewise a Cause of Rarity: But the Interest of
Money is so high and quick in England, as I believe that cause
doth little prejudice.
The fourth cause of the Rarity of Money and Materials
thereof, which is the great Encrease of the Proportion between
Gold and Silver, and things valued by them is entirely of our
Consideration. And this cause doth diminish the quantity or
decrease the weight or fineness of the Gold and Silver, but doth
encrease the use and want of Gold and Silver, and so maketh the
Money and Bullion of the Realm in general, and of every man in
particular, less in effect and value, though the quantity do
increase. As for Example: If a pound of Silver of the sterling
Standard, coined into Money in Edward the Thirds Reign, would
have bought two fat Oxen, or seven quarters of Wheat; and that
now at this day, two pounds of Silver of the sterling Standard
coined into Money, will do no more than buy one fat Ox, or three
quarters and one half of wheat: and if other things are increased
in price according to that value, and that the like proportion
doth hold also in Gold; it doth then follow that although the
Realm in general, and every man in particular should have now
twice as much of Gold and Silver in weight and fineness, as in
King Edward the Thirds Reign; yet in use and effect they should
have but half as much as then, because this double quantity in
weight and fineness would in proportion to things valued by Gold
and Silver, arise but to half so much as then: and so the great
Increase of the Proportion between Gold and Silver, and things
valued by them, doth induce a Rarity and Scarcity of these
Mettals, though the Quantity should increase. But what the just
increase of this Proportion is, and by what means it may be
certainly proved, and how the Raritie may be remedied, I purpose
to treat hereafter.
Thus I have set down in general all the constant and certain
Causes of the Rarity of Money: of so many of which as are
incident to our subject, I purpose to treat in particular: As for
the other Branch, of the Inconveniencies of the matter of Money,
which is Disorder and Confusion, I purpose not to make any title
a part of it, both because, as I have said before, the occasions
of Confusions in England, in this Subject are very few; and that
I shall aptly have cause to speak of it by the way, in the Causes
of Rarity, which I mean to handle, not in the Method set down in
this Chapter, but begin with the plainest and easiest Titles, and
of most certain Proof, first to the end that they may serve both
to the opening and facilitating the Proof of the more difficult
and obscure.
Chapter 8
Of the low Price of our Silver
It hath been declared in the Chapter concerning the
Proportion between Gold and Silver, that now in England Thirteen
pound and one fifth of Silver doth but answer in value to one
Pound in Gold, which Proportion is much above the Practice of
former ages in England, and other Countries about, both
heretofore and at the present, which is principally grown by the
great raising of Gold 2s in the pound, in the 9th year of his
late Majestie's Reign, at which time or at any time since, Silver
hath not been raised: the first Effect whereof hath been, That
great Quantities of Gold have since been coined, but little or no
Silver, except now very lately. And of that Silver which we
before had, the weightiest hath been culled out, and transported
or melted, and that which doth remain amongst us, is so light, as
the lightness only doth preserve it in use, and the scarcity
thereof is so great, that a many may go into a great many shops
in London, of great Trade and Commerce before he shall get a 20s.
piece in Gold to be chang'd into Silver: and far the greatest
part of all paiments is made now in gold, contrary to former
times; whereas the true Rule for the good of the Commonwealth is,
That there should be such a Proportion kept between Gold and
Silver, as that they might equally abound, and of the two Silver
most abound: the Reason whereof is, That the greatest part of the
Commerce, is made in silver, the want whereof doth greatly
rejudice the same. The Remedy of this Inconvenience is plain and
easy in the general, and theory, which is to reduce the Gold and
silver to an equal Proportion, but when you come to the Practick,
there does arise two great Difficulties, the first to find out
what this equal Proportion is, the next how to settle it, whether
by reducing the Gold unto the Silver, or by advancing the Silver
unto the Gold.
I. Concerning the first, Many are of opinion, that the
Proportion should be left as it is; for they say, Although our
Gold be very high priced, yet it answereth the weight of the
King's Ordinance, being continually weighed, and rejected if it
be not weighty. But our Silver is not so, being much lighter than
the King's Ordinance, the Silver be above 13 fine in Silver, for
one fine in Gold; yet in Practice, by reason of the lightness of
the Silver, the Proportion is much short of that. But they that
give this reason do not consider, that in this manner, although
our Silver will remain still in use amongst us, as long as it
lasteth, by reason of the lightness of it, yet of all that is new
coined according to this Ordinance, the weightest and loyallest
will be continually culled out, and transported, or melted: and
therefore since the Experience of the scarcity which we have of
Silver doth sufficiently prove unto us the Inconvenience of the
Proportion, it ought to be altered. Others would have the
Proportion to be eleven or thereabouts, because that was the
ancient Proportion, both amongst us here in England, and amongst
our Neighbours. But since that Proportion is under that of all
our neighbours at this present, it would in time fall out
thereupon that we should suffer as much scarcity of Gold as we do
now of Silver. But the most, and the most Judicious Propositions
that I have seen, both at home and in other parts, do agree upon
twelve for one, as the most equal Proportion; and it agrees with
the Proportion of Spain, upon which in this Subject, we ought
principally to have our eye fixed: and for my part, I do the
rather incline to this Proportion, because 12 of all the numbers
is most proper for Money, being the most clear from fractions and
Confusion of an Accompt, (which ought not to be neglected) by
reason that of all other numbers it is most divisible, being
divisible into unities as all numbers are; into two parts as no
odd number is; three parts as no even number is but six, and the
numbers that consist of sixes; fourths into which six is not
divisible; and into sixths: This Proportion seems like to square
with the Conceipt of the Alchymists, who call Gold Sol, and
Silver Luna, whose Motions do come near upon the point of 12 for
1, and the Conceipt of many men hath run so strongly upon the
proportion of 12 for 1, that they'd have it hold as well in Money
wrought, as in Gold or Silver fine, so as the Pieces of Silver
and Gold should weight one the other; and 12 in Silver should
answer in value one of Gold.
But the Proportion cannot hold both in Money wrought, and
Silver and Gold unwrought, except the Allay should be likewise
made equal, and then it follows that there should be 12 times as
much over-value allowed to the Gold as to the Silver, which were
a rate beyond the present allowance, and would much weak'n the
Money of Gold in intrinsical value; yet that point doth justly
meet with the practice which in ancient time was in France, there
being in an ancient Reglement of Moneys, this following Article,
Que l'on face Monoye d'or a 23 carrats et rendra aux Merchans
d'un Marc d'or fine, un Marc d'or ouvre, et Monoye a ladit loy.
And by the same Reglement the Silver Money was made of 11 deniers
and 12 grains fine, called Argent le Roy; and some others do find
it a very subtile Inconvenience in the want of laying so many
times a greater Charge and Tribute upon the Gold than upon the
Silver, as the Gold doth exceed the Silver in value, proportion
for proportion; alledging that for one main reason, why the Gold
is always raised and esteemed somewhat higher than the publick
Ordinance, because the Gold Money is really so much more in value
than the Silver Money, according to their rates, by how much
there is less Charge and Tribute laid upon the Gold in proportion
than upon the Silver. But admitting the Objection made, that if
there should be 12 times as much charge laid upon the Gold as
upon the Silver, it would be too great a discouragement to the
Merchant to bring his Gold to be coined, it may easily be salved
here in England, according to the custom of our Mint, by making
the price of Gold fine unwrought, somewhat more than 12 for one,
and allowing so unto the Merchant, leaving the charge the same,
which now it is.
For the second point to wit, whether the Proportion should be
settled by raising the Silver in price unto the Gold, or by
reducing the Gold unto the Silver.
First, In speaking thereof, I do not mean to anticipate that
Question, Whether if be beneficial for the Commonwealth, that the
prices should at any time be raised or not? which is the proper
Subject of another Chapter, and is indeed the most Importunate,
and the most difficult Question of any other in matter of Money:
Although it be true, that the raising one of the Materials of
Money doth produce all the inconveniences that are produced by
raising of both the Materials which is not rais'd; yet in the
present Estate and Condition wherein our Silver doth now stand,
we shall find by the subsequent Discussion of this Question, that
by the raising of the Silver to a more equal Proportion to our
Gold, these Inconveniences have no place.
And First, If you shall abase the Gold to hold a proportion
of 12 to 1 with the Silver, besides the general Objection against
all Abasements, which is Exportation, there will this particular
Inconvenience follow, as we now stand, That you cannot abase it
to the just Proportion without new coyning of all the Gold, which
will produce both an extream trouble and Confusion, and exceeding
loss unto the Kingdom, and is by the Prescripts of many excellent
Roman Emperors condemned, as savoring of Injustice and Envy
towards the memorie of precedent Princes to deface their Coins.
And besides the scarcity of the Silver will still remain, for
their continuing still so great a disproportion between the new
Silver which shall be coyned according to the antient standard
weighty and good, and the old Silver grown so much over-light,
partly by the wearing, but especially by that culling out and
exporting that which was coined either over-heavie, or of just
weight; and that which coyned over-light only remaining; how will
it be possible, but that so much of the new Silver which shall be
coined either of over-heavie, or of a just weight, will still be
culled out, either to be transported, or to be melted down for
other uses? If on the other side the Silver shall be coyned
hereafter of a new standard answering to a proportion of 12 for
one of the Gold, as now it stands; the Merchant will be
encouraged to bring more in, the reminting of the antient Money
shall be avoided; and if that supposition be true, that the
antient Silver be exported upon the raising of the new, neither
will the price of the things be raised, since the new Money
(although in standard it differs) yet in truth of weight will
hold so near a Proportion with the antient: and here it will be
necessary to observe the Examination which we have made in
several places of this Treatise.
First, In what Proportion, for the values of our Gold and
Silver, it is most useful for this Kingdom to stand, in respect
of our Neighbours neerest about us, and then examine how indeed
we do stand with them? Where I do find an exceeding great abuse,
because those who do manage the affairs of the Mint do make their
Computation of the Standard of Forrein Coins, meerly as the
Gold-Smiths do by melting of them: the error of which Computation
will easily be apprehended, if any man shall go about to discover
the sterling standard by melting of sterling money, the pieces
whereof being so unequally coyned, as they are the difference
between a piece that is over-light, and again of a piece of the
absolute fineness of the standard, and another deficient the full
extent of the Remedy allowed, will be so great, as whosoever
shall compute the standard by the one or by the other, must needs
run into extream Error.
Chapter 9
Of the Prohibition of Forrein Moneys, especially Spanish
It is the Opinion of wise men and intelligent in this Subject
of Money, that the Prohibition of forrein Moneys especially
Spanish is a great hindrance to the coming in of Gold and Silver:
and they do ground themselves upon two Arguments: --
The first, in reason, that Spain being the Cistern and
Receptacle of almost all the gold and silver, which is thence
dispersed into the rest of Europe, to forbid Spanish Money to be
current, is, in effect, to forbid the coming in of Gold and
Silver, and that rather we ought to draw it in by setting an high
price upon it. The other Argument is out of the Example of other
Nations, which do abound with Moneys, where Spanish Money is not
only current, but it is current at higher rates then their own
Money, value for value, who have therefore more Spanish Money to
be made current. But before it be fit to resolve of that, it
should be first maturely considered, What reasons did induce the
Prohibition of all Forrein Coins, and how they may be satisfied,
least in seeking to salve one mischief we do introduce a greater,
and do fall into the complaints of those Countries, which do crie
out against the Inconveniences which they do feel by forrein
Moneys, and know not how to remedie themselves. If you make
forrein Moneys current but just at the rate of the intrinsical
value you gain nothing, for they will as well be now brought in
for Bullion as then for Money; only this disadvantage you shall
have, that whereas that which is now brought in for Bullion, is
good and weighty, you shall instead thereof have the same
quantity brought in for Money abased and light; which was one of
the many reasons why it was made not current. If you make forrein
Money current above the intrinsical value, allowing them an
over-rate for charge of coyning and tribute to the Prince that
coined them; Observe then the inconveniences which follow upon
it;
First, The dishonour, in that you do communicate a principal
point of Soveraignty unto a Stranger, and you do pay a Tribute to
a forrein Prince out of your own Country, and you shall never
have any material Coin to be coined in your own Mint.
Secondly, You shall fill the Country with light Money of
Silver, which is hardly ever weighed, and with counterfeit and
base Money of Gold; the punishment whereof lieth not in your
hands, the act being done in forrein parts and is so much clear
loss to the Country.
Thirdly, You shall give the people occasion to raise it to a
higher rate than the publick Ordinance, which is an effect that
follows forrein Moneys in all those Countries where it is
permitted; or if the people do not raise, yet strangers will
raise it higher, and then it will go out faster than it came in,
and you have gained this Inconvenience, to have it higher rais'd:
the mischief whereof I shall have more occasion to declare
hereafter. But if forrein Money shall come to be current at an
over-rate, to the intrinsical value, greater than your own, value
for value, as Spanish Money is both in France and in the Low
Countries, and as English was in both, till it was discried and
value only as Bullion; but daily varies the value in those parts,
then shall you give occasion to have the weightiest of your Money
culled out and transported into forrein parts to be coined for
Advantage, to be brought back in forrein coin: but above all,
your materials in bullion of silver and Gold will be transported
to that purpose, and the Common-wealth shall cheerly loose so
much in substance of Gold and Silver, as the Transporter doth
get; as for Example, In the years 1607 and 1608, our Jacobus
pieces were ordinarily current in Paris after the rate of 22s.
when as three French Crowns, were current but after the rate of
21s sterling: The Jacobus weighs 7 deniers and 20 grains, and is
22 carrats fine. The French Crown sol, is 23 carrats fine bating
the Remedy, and weighs by the ordinance 2 deniers, 15 grains, so
as three French Crowns full weight, weigh one grain more than a
Jacobus, and are worth one 24th part more in fineness, and yet
were current in France for 12d less than a Jacobus. The Jacobus
was worth in Holland after the rate of 15s sterling, in the years
1621, and 1622; then was the Ryder there current, but after the
rate of 22s sterling or little more, and yet the Ryder in
intrinsical value is not two pence worse than the Jacobus. In the
year 1622, at the Mart at Francfort n Autumn, English shillings
were current at a higher rate, fineness for fineness, and weight
for weight, than their own Dollars coyned in that Town, so as in
these times there were great profit by transporting Dollars out
of Francfort, Ryders out of Holland, and French Crowns out of
France, and carrying them back again coined in English Coins; and
there is no doubt to be made, but that great Numbers were
accordingly transported, the subtilty of the Bancquers not
omitting any opportunity to make their Advantage of the popular
Errors, which daily do exceed in this Subject of Money. But if
the Permission may be so qualified as the Usefullness may be
retained, and yet the Dangers may be avoided therein. Now that
the Dangers may be avoided therein. Now that the Dangers are
exposed, I do exhort all the furtherers of the Common good to
exercise their Invention, as in all other Inconveniences
propounded in this Subject. The most probable Proposition that I
can find, is that Spanish Money should be made current, but not
that any Realls of Silver or Pistolets of Gold should be current
at any rate according to the price. But that the Spanish Money of
Gold and Silver should be made current according to a certain
Rate by the Ounce, which rate should be so proportioned, as that
the Spanish Money should have allowed unto it at one value, as
great as may answer the charge of coinage, without allowing any
thing for the King's Tribute, to draw it the easiest into the
Kingdom. By this means the Dishonour would be avoided for,
although it would be frequently current amongst Merchants, and in
all great payments, yet in Fairs and Markets and the Commerce
within the Kingdom, it would have no place being not current by
the piece. And this defect of the Currencie of the pieces would
make a great part of them piece by piece drop into his Majesties
Mint. Especially if the Officers of the Mint use their endeavour
to buy them for the use of the Mint: than it would necessarily
keep out all light Money, or if any were brought in, it would be
without disadvantage to us. For,
First, Upon our occasion of raising it, strangers could not
raise it higher; both because it would be most concealed from
them, and they should not be able to proportion their raising to
ours, except they should take the same course, which is almost
impossible for them to do, who have Spanish Money in so great
abundance already current by the piece.
And lastly, not allowing to it a greater over-value than to
your own Money, it will be impossible to transports your own
Money for profit to bring it back coyned in Spanish Money. Others
have propounded that the Spanish Money both of Gold and Silver
should be made current by the piece, allowing an over-value unto
it both for the Coinage and the King's Tribute equal unto our
own, but that being of a weight allowable, it should receive the
addition of a new stamp at the King's Mint, for which the King
should receive upon the pound, so much as his own clear Profit
amounts unto upon his own coin; and the Merchants in the currency
of the pieces should have allowance of so much as the charge of
the Coinage amounts unto. But this inconvenience would probably
happen in this Proposition, that if the pieces that should have
the Addition of the stamp unto them, were made current at a
price, the people would likewise receive those that had not the
said Addition at the same price.
Chapter 10
Of the unequal Coinage of our Moneys
This Title doth wholly depend upon the Mechanical part of
making Money, which because I am unskilful in, I do handle with
much scruple and retention, being forced to apply my self to what
I read in others; and peradventure may in some points
misunderstand, yet because this is a very main and principal
cause of the exportation of Money I cannot omit it: And the first
cause of the unequality of the coinage, is the greatness of the
Remedies both of the weight and fineness: and I do find that some
men of great experience and understanding even in this Mechanical
part do hold, that the Money both of Gold and Silver may be made
without any Remedy to be allowed either for weight or fineness.
This I am sure that it doth appear by the Records of former
times, that the Remedies allowed have been many times less than
now they are, and have been heretofore very variable according to
the favour or the skill which the Masters of the Mint did use to
make their own Advantage: since Henry VIIths time, the Mint
Masters have bin tied to account to the King for half the Profits
of the Remedies allowed, by which means it is manifest that half
the Remedies allowed might be cut off, and the Kings profits
might be better recompenced upon the price of the Coinage. By the
Indentures of the Second of King James, the Officers of the Mint
are tied to account to the King for the whole profit of the
Remedies; but then there is a clause that the King shall give
them allowance for so much as they shall over-put above the
standard, which clause seemeth to me very captious: But if all
the inequality of the Moneys coined did consist in the Remedies,
the matter were not so much; but the great profit which hath been
made by culling of the Coins by Goldsmiths and Cashiers to
Merchants and others, through whose hands great Sums of Money do
pass, doth manifestly prove that the inequality of the Moneys is
much greater than the allowance of the Remedies can make it; yet
when I consider upon what great Penalties the Mint Master is
tied, how exact a Course is set down by his Indenture, and
observ'd for the Examination and Trial of his work, I cannot
imagine much less find out, where the Error lieth, but that there
is an Error, and such an one as deserveth strict Enquiry and
Redress by the State, I am verily perswaded. The Mint Master
knoweth exactly how many pieces he is to sheer out of every pound
weight, but whether these pieces are shorn so equal to one
another in weight, as there shall be no advantage in culling out
the heaviest from the lightest, that is the Scruple: The course
is this, out of every proportion of Silver and Gold coined, there
is a piece taken at adventure, by certain Officers trusted, and
put into a Pix under their several Keys, and then at the years
end, this Pix is opened in the Star Chamber, and telling out so
many pieces as are to make a pound, they melt them and examine
whether they hold the weight and fineness, within the Remedies
required; which Course for the examination of the Fineness
seemeth exact enough, but for the weight it may fall out that the
pieces taken out of the several Proportions of Money coined,
being melted together may hold the weight required within the
Remedies, and yet the pieces of those several Proportions may
differ in weight from one another, more than the Remedy allowed.
The Remedies that are propounded for this inequality are divers:
Some think that it may be redressed by a strict and severe
Course to be held with all those, through whose hands the work
doth pass for the perfection of their works.
Others are much pleased with belief of some invented Engines,
which have been by some work-men offered for a more perfect and
exact coining of Moneys, than can be performed by the stamp, and
the ways that are now practised.
Others find no so good way as by the Mill, whereof divers
experiments have been made both in this Kingdom and in other
parts. Of which, because I dare in my self deliver no Opinion, I
will only translate what I find written by a French Author, a man
of great practice and experience in these Mysteries, but because
in some places he hath words of Art which admit of no
translation, I must be fain use the original Terms: He saith,
That against the Establishment of the Mill it is objected, that
after the Invention of it, by reason of the great clipping that
belongs to it; the Conductor of it was of Necessity to have an
Augmentation for the Workmanship.
2. That the Ressorts, and Wheels, and Squares and Pieces, by
which it is governed, are very subject to break and bruise one
another.
3. That it wants Expedition, and dispatches but a little
work.
4. That makers of false Money will easily counterfeit it.
5. That no man will undertake to make Money with the Mill,
but at the same price which is paid for the marks for Silver
Counters made with a Mill.
To which fie objections I answer.
1. That the quantity of Clipping Mill Money, is no loss to
the Farmer nor to the Workman, and is done without pain, charge
or travel; besides the Charge of the wasting is taken away, which
is both an expence to the Master and to the Farmer: That the
augmentation for the workmanship was not allowed for the new
melting of the Clippings, but because there was no reason that
the Masters of the Mill should without recompence give those
several fashions to the work, which the work-man is paid for, and
hath 3 sols allowed him upon the mark, and besides furnish great
Cizers, three sorts of Hammers, Anvil and other Instruments. Now
the Money being made in the Mill by the industry of the Master
who doth give other like fashions to the work, as the Minters now
do, it was but reason to attribute the same right unto him. And
in those places where Mill-Money hath remained in use, as at Pau
and at Bearne, the fee of the work-man is attributed to the
Master of the Mill, as likewise of the Carver and Graver, and
that very justly.
2. For the Second Objection, that the Ressorts, Wheels,
Squares, etc. are subject to breaking; It may be answered that at
the new setting up of the first Mills, the Artisans were not so
perfect and expert as they have shewed themselves since by
Practice, since the Mills are grown common as now they are: There
is nothing harder than to invent, nor more easie than to adde to
things invented. There are Mills set up not only at Paris, but at
Lyons, Tholouse, Aix, Amiens, Nants, Bordeaux, Poitiers, so that
the use of them is now universal, for the Coinage doubles base
and abject Money.
3. For the third Objection, That there is no Expedition in
Mills, and that the work is not so soon dispatched as with the
Hammer: It shall suffice to answer, That it proceeds from a Man
that hath no experience in this Subject of Money, because that
four Men bred and used to the making of Money in a Mill will do
more work than twelve work-men or Moneyers with the Hammer.
4. For the fourth Objection, That the Counterfeiter of Money
will imitate the Money made in a Mill: this objection were
credible if the author could produce one piece of Silver or Gold
made in the Mill counterfeited since the Introduction thereof
brought into France; and there is nothing that the counterfeiters
of Money and their foster Fathers the Alchymists, do more fear
and apprehend, knowing that they cannot suborn base and abject
mettals, as Copper, Lead, Tinn, (the materials of Counterfeiters)
for Gold and Silver, but that the piece will instantly be
discovered, because the Moneys made in the Mill will always be
equal and of like volume, greatness and thickness, because it all
passeth by the same Coupier which cutteth equally, which cannot
be the case with the Moneys made with the Hammer, (the Hammer not
being governed with an equal force and measure, as in the Mill.)
Neither can they be clipped, but that the exposer thereof will be
discovered, taken and punished. And it may be avowed that the
Teston made in the Mill hath not been seen clipped in France, the
perfect representation of the King's Image seeming to have been
retained, and terrified the Clippers.
5. As for the last Objection, That no man will undertake to
make Money in the Mill, but at the rate which is paid for the
mark of the Silver Counters: This objection proceeds out of
Ignorance, because, the matter of Silver Counters is Argent le
Roy, and therefore of greater fineness than the Money, and
requires a greater charge to refine it to that title and degree.
Besides the maker of Silver Counters must have a great diversity
of Chisels, and Prints of a different sort from those of Moneys,
and almost as many as there be different Noble men, Corporations,
and Townhouses, that take pleasure to have their Arms or Devises
engraven in Silver or Copper Counters; whereof sometimes the very
square will cost 20 Livres, which shall serve only for one purse
of two marks of Counters; and for proof thereof let the Masters
of the Mills for coining of Doubles be called, and he will
undertake for the same wages and fees that the Moniers have, to
make the Moneys in the Mill. Thus far this Author: but as I said
before, I undertook this Discourse of the Mechanical part of
Money with Scruple, so I do leave it with Alacritie.
Chapter 11
Of the great increase of the Proportion between Gold and Silver,
and the things valued by them; by which there is grown a greater
want of Money in England than was in Antient times, and of the
Causes thereof, and of the Remedies which may be applied.
Because this Title is of a very curious and perplexed Search,
I am inforced contrary to a Logical Method, to set down my
Conclusion first, and to explain by the cleerest Expressions I
can think of, what it is I intend to prove, and by what ways, and
then to prove that the price of all things, which is the
Proportion between Money and the things, which is the Proportion
between Money and the things valued by Money, at this present is
much encreased from what it was in antient times: and because I
will set down a time certain of Antiquity, I will take the 25th
year of Edward the Third, when a pound of Gold of sterling
standard made 15 l. sterling, and a pound of Silver of the same,
made 25s. sterling. I intend to prove that this increase of price
and Proportion is not meerly according to the raising of the
Money, which hath bin since that, and is about the rate of three
for one, as the Money hath been raised, for then the price and
proportion should be only nominally, and not really encreased,
for that if we pay now 3s. for that which in the 25th year of
Edward the Third cost but 1s. and if we pay now 3 Crowns for that
which cost then but one; yet if then there was as much fine Gold
in one Crown as now there is in 3, the price should only be
increased in name; but the proportion between gold and silver,
and the things valued by them, would remain the same. But I
intend to prove that this increase of Proportion hath bin real,
and that the price of things in general is now grown six times as
much or eight times as much as then they cost, in name of
Shillings, Crowns and Pounds and in reality of fine Gold and
Silver, to double, and almost treble the Proportion of all
things, valued by Gold and Silver, in respect of what it was in
the 25th year of Edward the Third. Then I intend to prove that
this real increase of Proportion, by which all things valued by
Money, are valued at more than double, almost treble, the
quantity of fine Silver and Gold, than then they were, is grown
principally, and in a manner solely, out of the great quantities
of Gold and Silver come into the Kingdom of Spain out of the West
and East-Indies, within this Hundred years or thereabouts, and
thence dispersed into other parts of the World, whereby it is
come to pass that the value of Gold and Silver is become more
vile and cheap; and generally all things valued by them, are
rated higher, at double and almost treble as much Gold and silver
as they were rated at in the 25th year of Edward III or
thereabouts; as one Scale pres't down doth necessarily make the
other rise higher: From those Proportions it will necessarily
follow that if the Kingdom of England should have at this day as
much Gold and Silver in fineness and weight, or peradventure half
as much more, as it had in the 25th year of Edward the Third; yet
because the increase of the Proportion between Gold and Silver
and the things valued by them is so much greater than it was
then, to wit, above double and almost treble; that the Kingdom of
England is so much poorer and more disabled than it was then, by
how much it wants of that quantity of Gold and Silver, which may,
in Proportion to things valued by them, countervail the quantity
which then was in England, and this great Mischief and Disability
doth not only hold in the present Stock, but in the Fruit and
growing Wealth of the Kingdom.
Lastly, Having discovered this great Evil, the Danger whereof
is not apprehended as it deserves, together with the Causes of
it, I intend to set down what Remedies are propounded unto it.
Now when I shall compare the Prices of things at this day
with those of antient times, if I should go to set down all
things particularly the Labour and Search were beyond measure,
and the variety of the Proportions of prices would not be very
great between several things, but the same things in several
seasons would exceedingly differ in price, and the proofs, would
be very disputable so as no certain conclusion would be drawn
from them: as for Example, of Corn, Cattel, and Fish, the
Proportions of price would not hold the same, and every of these
would differ in several seasons for several causes; as Corn
through unseasonable weather, Cattle through murraign, Fish
through Warr; and every one of these through many other accidents
are able to raise or draw down the price again: Cloth, Linnen,
Leather, and such like, would have the like variety of prices
through the same, and through other causes, as through
Impositions laid upon them, new Inventions, whereby the
Manufactures may be the more easily and speedily made, engrossing
of them, false making of them, want of work-men.
And if these things, which are most necessary for man's life,
are subject to so many varieties of Prices through several
causes; how much more uncertain would those Materials prove,
which serve only to delights and magnificence, as precious
Stones, Pearls, Hangings, Pictures, Embroideries, and such like;
which are subject to so many causes of varieties of price, as
things necessarie, and are moreover subject to the Humours and
Fancies of the Times, by which their price is raised or abased.
But there is only one thing, from whence we may certainly
track out the prices, and which carries with it a constant
resultance of the Prices of all other things which are necessary
for a Mans life; and that is the price of Labourers and Servants
Wages, especially those of the meaner sort. And as there is to be
found no other certain and constant Cause of the raising of the
Prices of all things, but two; viz. the one the raising of the
values of Moneys, the other the great abundance of Gold and
silver coming into these parts, in this latter age, out of the
Indies: And although the hire of Labourers did continually rise
(when Money was raised), yet it did rise so much and no more, as
its value was raised; but after the Discoverie of the Indies, you
shall finde the price of the Labourers wages raised in Proportion
far exceeding the raising of Moneys, and therefore, for my part,
I am certainly perswaded that as long as the values of Moneys are
raised, and the Indies do yield that abundance of Gold and Silver
which they do, that both the hire of Labourers, and generally the
price of all things, especially of things necessary for life,
will rise, although for a year, two or three, through uncertain
Accidents, sundry particulars may stand at a stay or abate: But
that the hire of Labourers and Servants carrieth with it a
resultance of the prices of all things generally necessary for a
mans life: Besides, that Reason doth convince that there must be
a convenient Proportion between their Wages and their Food and
Raiment, the Wisdom of the Statute doth confirm it, which doth
always direct the Rate of Labourers and Servants to be made with
a regard of Prices of Victuals, Apparel, and other things
necessary to their use. In the 25th year of Edward the Third, it
was provided that in time of Hay-making, none should pay above
our penny in the day; that for threshing of one quarter of Wheat
or Rye, none should pay above 2 1/2 d., and for threshing of a
quarter of Oats, Barly, Beans and Pease, above one penny half
penny; that a Master Carpenter shall have 3 pence, another
Carpenter but 2d. a day; a Master free-Mason but 4 pence, a Tyler
3 pence; but either of their servants, a penny half penny: all
this is in the summer time, for in the Winter wages lessened, and
without meat or drink, or any other courtesie, and that in the
Country, where Wheat was wont to be given, they shall take for
the Bushel ten pence, or Wheat at the will of the Giver.
In the Twelvth year of Richard the Second these Rates did
still continue (so likewise the Money did still continue the same
in goodness) but there was further added like wise a yearly rate
for Servants wages; and there was allowed by the year for a
Bailiff 13s. 4 pence, with a Livery: a Master Hind was rated at
10s. a Carter at 10s. a Shepheard at 10s. an Ox-heard or
Cow-heard at 6s. 8d. a Driver of a Plough at 7s. at the most: and
all these but the Bailiff, without cloathing or other courtesie.
In the Thirteenth of Richard the Second, It was provided that the
Justices of the Peace might rate the Day-labourers according to
the dearth of Victuals, which seemed to have growth through some
accidental Dearth, which then happened: in the Thirteenth of
Henry the Fourth there was raising of Moneys to about the 6th
part more, by Advice in Parliament, but there was no new Rate for
Servants Wages, until the sixth of Henry the Sixth,the price of
things growing higher by reason of the raising of Moneys: It was
provided by Statute that the Justices of the Peace might rate as
well the Hire of day labourers as the Wages of Servants,as they
should find fit in the Sessions, notwithstanding the former
Statute of the 25th of Edward the Third, and 12th of Richard the
Second, and notwithstanding the Money had not been raised above a
sixth part, which I attribute to the great want of Servants and
Labourers, the Kingdom being then exceedingly exhausted by the
long continuance of the Wars in France: but in the 49th of Henry
the Sixth Money was exceedingly raised, so as a pound of Sterling
Gold made 22l. 10s. and a pound of Sterling Silver together was
half as much more as they were valued, in the 25th of Edward the
Third.
In the 11th of Henry the Seventh (c. 22) there was a new
Statute for the rating of Servants wages and the hire of
day-laborers, which in a manner doth agree with the 23rd of Henry
the Sixth: but I find this almost only difference between them,
that by the 23rd of Henry the Sixth, the Meat and Drink of the
Day-labourer is valued but three halfpence, but by the 11th of
Henry the Sixth, the Pound of sterling Gold being (then brought
from 16l. 13s. 4d. to 22 l. 10s. 0d. and the silver from 30s to
37 s 6d.: From the 11th of Henry the Seventh until the 6th of
Henry the Eight, there was no new Rate upon hire of Labourers or
Servants wages: but that year there was a new Statute, which
notwithstanding was little or nothing different in the Rates from
the former, except in some Particulars which are not pertinent to
this Inquiry.
So likewise hitherto did the value of the King's Money remain
the same, and so continued until the 18th of Henry the Eight,
when the Commission was given for the Alteration of the Coins to
Cardinal Wolsey, which brought in great Confusions among the
values of Money, which together with the excessive quantities of
Gold and Silver, which about those times began to be brought into
Christendom out of the West Indies, were the occasion that the
Statutes for Labourers and Servants were no further observed
because the prices of all things being much inhansed, Labourers
and Servants could not live upon their Hire and Wages ordained by
the Statute: and this is acknowledged in the Preamble of the
Statute of the 5th of Q. Elizabeth (which is the next Statute for
the rating of Servants and Labourers wages, after the 6th of
Henry the Eighth) by which Statute all former Statutes for
Labourers and Servants are repealed, and an exact Course set down
how the Rates for the Wages of Servants, and Hire of Labourers
shall hereafter be set down by the Justices of Peace, in
Sessions, having regard to the price of victuals, and other
things for maintenance: so having thus deduced the Rates of
Servants and Labourers from time to time. It remaineth now only
that I examine some of the late Rates set down in the Counties
Adjacent, and compare them with those of the 25th of Edward the
Third, and 12th of Richard the Second, and that I do calculate
how much these later Rates do exceed the Ancient: and deducted
from the later Rates do exceed the Ancient: and deducting from
the later Rates so much as the values of the Moneys of Gold and
Silver hath been raised, which induceth rather a nominal than a
real Increase of the price, it will follow, That whatsoever
increase hath been more of the Rates, that it hath grown from the
great quantities of Gold and Silver brought into Spain out of the
Indies, within these Hundred years.
In the Statute of 25th of Edward the Third, the threshing of
a Quarter of Wheat or Rye, is rated at ijd. ob. By the Rate, in
Middlesex, of the 17th of King James, which is the last Rate made
there, the Threshing of a quarter of Wheat is eighteen pence,
which is above seven times as much as in the old Statute; the
stone, either of Wheat or Rye in Essex by the rate now in force
is 16d which is above six for one, wherein it is to be observed
that in that they shall give more: and yet we know that the
Bushel, and consequently the Quarter in many of the remoter
sheirs containeth half as much more as in these Counties near
unto London. The threshing of a quarter of Barley, Oats, Pease,
or Beans, by the Statute of 25th of Edw. the Third, is rated at 1
1/2 d. ob; but by the said Rate in Middlesex the quarter of
Barley is rated at 10d and Beans and Peas at nine pence, which,
by a medium comes to be between six and seven times as much. And
by the said rate in Essex they are rated at ten pence and eight
pence which by a medium, comes to six times as much; and in this
likewise the aforesaid Observation of the difference of the
measure doth hold.
By the said Statute of 25th Edward III it is provided that in
time of Hay making none shall pay above a penny for hay making,
but by the said rate in Middlesex, the hire of a man a day for
hay-making is 10 pence, for a woman viii pence, and by the same
rate in Essex, the hire of a man is rated at xii pence, and the
hire of a woman at ix pence, which, by the medium, is ten times
as much as the old rate. By the said Statute of 25th Edward III
the work of a master Carpenter is rated at iii pence a day, a
second Carpenter ii pence, a Tyler iii pence, and the Servant of
either of them one penny half penny, in the Summer time, without
meat or drink or any other courtesie. By the said rate of
Middlesex (17th James I) master Carpenters and Tylers are rated
at xx pence a day, which accounteth to near seven times the old
rate. The second sort of the said work men at 16 pence a day,
which amounteth unto 8 times the old; and Labourers of the best
sort at 12 pence a day, of the second sort at ten pence a day,
which, by medium, is neer eight times the old rate. By the said
rate in Essex, Master Carpenters and Tylers are rate at 16 pence
a day, which is not six times the old rate, their Servants 12
pence, which is eight times the old rate.
It is said in the said Statute of 25th of Edward III that in
those Counties where wheat was wont to be given for work, they
should take ten pence for the bushel or Wheat at the will of the
Giver, by which clause it appeareth that 10 pence was then a
large price, even in those Counties where the Bushel was bigger,
or else it had been a great Rigour to leave it to the will of the
Giver.
By the Statute of the 12th Richard the Second, the yearly
wages of a Bayliff was rated at thirteen shillings and four
pence, and by the aforesaid rate in Essex the wages of a Bayliff
is rated at three pounds three shillings and eight pence, which
is (near) five times the old Rate. By the said Statute of 12 R. a
master Hind is rated at ten shillings, a Carter at ten shillings,
a Shepheard at ten shillings, an Ox-heard at six shillings and
eight pence, a Cowheard at six shillings and eight pence. By the
said Rate in Middlesex Carters are rated five pound wages, which
is ten times the old rate. By the said rate in Middlesex the best
sort of Plough-men, Carters, or Shepheards are rated at three
pound. The second sort of Hinds and all Servants in Husbandry at
two pound six shillings and eight pence, which amounteth in the
first, to six times the old rate, and in the second to seven
times the old rate; a woman labourer or Dairy woman by the said
Statute at Six shillings. By the said rate in Middlesex, the best
women servants are rated at forty shillings a year, the second
sort at thirty three shillings and fourpence, which by medium
amounts to six times the old rate, and somewhat more; and by the
said rate in Essex, the best women are rated at thirty three
shillings and four pence, the second sort at one pound six
shillings and eight pence, which by a medium amounts to five
times the old Rate.
And if any many shall object, That the present rates will
not, generally through the whole Kingdome, hold thus high, though
they are thus rated in the parts near adjoyning to London:
It may be answered. That by the old Statutes it was provided,
that in no place any higher rates than these should be given; but
they might give less, where less in former times had been used to
be given.
But on the other side it may be much more probably objected,
That the rates are now greater than they are here set down,
because it is not so strictly observed as it should be; whereas
when the old Statutes were first made it is probable that that
the Rates were with the largest, and were more strictly observed
than they now are: and although this computation of the wages and
hire of Servants and Labourers be (as I conceive) the most
certain way of comparison of the prices of all things between
that time of King Edward the third and this present; yet for
Confirmation I will add unto it another Observation, wherein we
shall find the same Proportion to hold in a Subject much more
general, and therefore so exactly calculated. But therein I must
appeal to the well grounded Judgment of my Reader, and that is
that I will set down the entire receipts as I find them by
undoubted Records of divers years of Edward the Third; and then I
will briefly represent the actions of War in the said years,
besides the ordinary expence and the said actions of War could be
now maintained, but by a Proportion so much larger as the rates
of wages are now encreased, which I compute between six and eight
times as much a they were in the 19th year of Edward the third.
The whole receipts of the Kingdom, as appeareth by the Pell
of the Introitus amounted to 72,826 pound 11 shillings 5 pence;
in that year the King sent over six hundred men of Arms, and six
hundred Archers into Gascoign, under the Conduct of the Earl of
Derby, and divers other great Lords, who gathering unto them the
other Garrisons, did not only maintain a body of an Army in the
field a great part of that year, but recovered divers Towns by
Siege: all that year the King did likewise maintain some
auxiliary forces of good importance, the Number is not set down,
for the aid of the Duke of Brittany under the Command of Sir
Thomas Dayworth. And that Year the King likewise made a voyage in
great magnificence into Flanders, and continued there long in
Treaty with Jacques van Arteveld and the Flemings, to withdraw
them from the Homage of their Earl unto his Allegience. The 20th
year of Edward the Third, the whole Revenues of the Kingdom in
the Pell, amounted to 154,139 pound, 17 shillings 5 pence. This
year the same forces were maintain'd in Gascoign, which did
freely ransack and spoil all Xaintong and Poitou, by the favour
of the Kings great Victories elsewhere.
And in July the King went over in person, and landed in
Normandy, and wasted a great part of that Province, and ransacked
many of the principal Towns: his forces transported thereto, are
by Hollingshead reckoned 4,000 men at Arms, and 10,000 Archers,
besides a great Number of Footmen, but not defined. In the end of
Summer he fought that famous Battel of Cressey; and in the
beginning of Winter did set his Siege before Calais. This Year
likewise was the King of Scots taken prisoner at the Battel of
Durham, by the Queen: The 21st year of his Reign his Receipts
amounted unto 226,113 pound, five shillings and five pence;
almost all this year the King continued his Siege before Calais,
having reinforced his Army, both out of England and Gascoign, and
kept the Sea by his own Shipping and the Easterlings; and in the
end of the year, notwithstanding that the King of France having
assembled all his Puissance, sought to rescue it, the Town was
yielded, and an English Colony transported thither, and Victuals
besides; all this year the King continued his auxiliary forces in
Brittany with great success.
Now if King Edward the Third had with his Revenue furnished
out Money for these great actions of War, besides the
Magnificence of his own house and other necessary expences of his
Kingdom, I do appeal to the Judgment of the Reader whether the
ordinary expences of the King's house, and other necessary things
within his Kingdom, and the like actions of War could be
maintained (not speaking of the success) at this day with any
frugality without any other increase of comings in, equal in
Proportion to the increase of the hire of Labourers and Servants
wages; which I compute at six times or rather at 8 times as much
as then it was. And I am sure that whosoever shall exactly weigh
all Circumstances, shall find that of the two, this latter
comparison will exceed the former.
Having thus, with as much exactness as possible I can, and I
conceive is incident to this subject, made proof of the
Proportion between Gold and Silver and the things valued by them,
as it now stands compared with what it antiently was; and namely
in the 25th year of Edward the Third; the next that I have
undertaken to prove, is, that the different Proportion which is
really grown between Gold and Silver, and the things valued by
them, doth principally and indeed solely arise of the grat
quantities of the said Mettals, which in these hundred years was
brought out of the East and West-Indies. Now although there be
many other causes which may produced this effect, as Scarcity or
Abundance of the things valued by Money, War, Depopulation, and
all other Accidents, by which, either these Mettals are
exhausted, or the things valued by them are consumed or made less
useful; yet, as before is shewed, all those are temporary and
subject to continual variety up and down, and therefore cannot be
the causes of a constant effect as this is. And, as for the
continual variety up and down, and therefore cannot be the causes
of a constant effect as this is. And, as for the continual
raising of the values of Moneys, it is formerly shewed, that
really that breeds no disproportion between Gold and Silver and
the things valued by them; but only it breeds an alteration in
the Proportion between the species of Money, so named, as Pounds,
Crowns, Shillings, etc. and the things valued by them; and
accordingly in the Examination of the Rates of the hire of
Servants and Labourers, it might be observed that it punctually
arises according to the raising of the value of Moneys, until the
discovery of the West Indies, and the navigation of the
East-Indies, which have brought in so great a glut of these
mettals. There is no other constant cause to produce the real
disproportion, but only the abundance of Gold and Silver, by
which of necessity they must grow cheaper and abased in their
value. A certain Author who wrote about the year 1620, doth
calculate, that in the space of 100 per year there was at that
time brought into Spain and Portugal 900 Milions of Pezoes, worth
six shillings and sixpence sterling a piece in Gold and Silver;
which calculation doth seem to be excessive amounting to nine
millions every year of Gold and Silver out of the Indies, of all
which infinite Summ, not one jot did come into these parts in
former times out of the West Indies, and very little or nothing
out of the East: how is it then possible but that it must abase
the value of the Mettals?
And if it be said that we waste this excessive supply in our
excesses of Luxurie, as in Guildings, Embroideries, Inlayings,
and the like, so as the mass of the said Mettals increaseth not;
it is answered, That neither were former times exempt from those
vanities; neither are they now sufficient to consume the greatest
Proportion of this stock.
And if it be objected that the greatest part of the Stock is
drayned away every year to the Eastern Countries:
It is answered, That this is only true of Silver; and yet the
Silver cannot be so drained away, but that a great part doth
remain in Europe. Now if the Rate of things valued by Money be
six times as great as it was in 25th of Edward the Third,allowing
the values of Moneys to be raised to treble what they then were
by the same names, yet there will be a real Increase of a double
Proportion, yet there will be a real Increase of a double
Proportion, to what then was of gold and Silver in weight and
fineness, to things valued by them; and if the rate be raised to
eight times what it then was, the real increase of the Proportion
will be almost treble to what it then was.
To understand the whether this Kingdom be now of the same
Wealth and Ability which then it was: We must find out whether
there be now double or treble the quantity of Gold and silver in
weight and fineness in this Kingdom which then was, and whether
the fruits and growing wealth of the Kingdom will produce double
and almost treble the quantity of Gold, in weight and fineness,
to what it then did. I am absolutely perswaded that we shall fail
of it very much, of which the most certain and assured proof were
to calculate for so many years together the quantity of Gold and
Silver coined in those days; and then by a medium to compare it
with so many years in these times; though this proof were not
demonstrative, but probable.
But in those days the Mint was kept at Calais, as well as in
the Tower, and much more of the Money of this Kingdom was coined
there than here, the Records whereof are all lost and dissipated.
But that our Wealth doth not answer that increase of
Proportion at this day, I will endeavour to satisfie the Reader
by two Arguments; the one drawn from the Abundance or Scarcity of
Gold and silver; the other from an Effect of it.
For the first it is this, I have alwayes understood it to be
observed by all men intelligent and practised in matters of
Trade, that although all Commodities in general are raised in
price, in comparison of what they antiently were, yet in general
that our domestick Commodities are not raised answerable in
proportion to Forrein. Now we have a very small quantity of
Silver produced within our own Countrey, and of Gold none at all,
so that the Stock of these Mettals is in a manner raised wholly
out of the over-ballance of our domestick Commodities with
forrein: it then ours do not rise in price from what antiently
they did bear proportionable unto Forrein, it is a strong
Argument to prove that our Stock of these Mettals does not
increase in a Proportion answerable to the increase of the Price
of other things valued by Money.
The second Argument is from the Effect; now one of the
greatest Effects of the abundance of Gold and Silver, is, the
Ability which the Kingdom hath to set forth and maintain great
actions of War in forrein parts: then let us set forth before our
eyes the many and great Armies which Edward the Third did raise
and maintain both of Strangers and his own Subjects in the first
year of his Warrs against France, and withal let us take into our
consideration the Calculation made, in Anno by expert
Commissioners, of the charge of one Army to be raised,
transported, and maintained for one year, in Forrein Countries,
25,000 Foot and Horse, and proportionable Artillery, which doth
account unto and then I doubt not but that every mans own
Conscience will convince him that at this day the Kingdom is not
able to maintain the like actions in forrein parts which then it
did: and yet at that time there were forces maintained against
Scotland; a great part of the Realm was imployed upon Monks and
Friers improfitable members; besides the substance of a great
part of the Wealth of the Kingdom (drawn of) by the See of Rome:
and the trade of the Kingdom was in no comparison so great as it
is now, and this is an undoubted Effect of this truth, That the
increase of our stock of gold and Silver is not in a Proportion
answerable to the increase of the price of other things valued by
Money; neither can there be any other analogical reason given of
the present disability but this, That although that we do draw
some drops of this Indian spring, whereof Spain is the Cistern,
yet we do draw them at the second hand, we draw them upon hard
terms and conditions, and we do not draw them neer in that
Proportion as the prices of all things do arise upon our hands,
by the great increase of those Mettals; and the consequence of
this hath more advanced the affairs of Spain in these times than
can be imagined, for that hereby all the other States of Europe
have bin abated half in half. I will propound France for Example,
which Kingdom notwithstanding draweth much more Money out of
Spain than we do, by reason that the French consume little of the
Spanish commodities, make the return of their own for a great
part in Gold and Silver.
The Author of the Denier Royal undertaketh to prove that St.
Lewis in France, who was contemporary with Henry the Third of
England, whose whole Revenues in those days amounted not unto
300,000 French livres, did notwithstanding in Proportion to all
things valued by Money, raise more out his Kingdom than Lewis the
thirteenth who now reignth, and whose Revenue amounteth, unto
3,600,000 pound sterling.
And although he bringeth such Arguments and Authorities for
his assertions, as for my part, I cannot see how they can be
answered: yet the difference is so great that I could hardly
assent to his Conclusion, were it not for this reason. In the
time of St. Lewis, Provence, Dauphiny, Gascoign, Brittany and
other parts were distracted from the Crown of France, and yet did
he transport such Armies and maintain them so long in the Holy
Land, Egypt and Affrick, besides the payment of an excessive
Ransom to the Mammalukes for his Liberty, as this present King
was not able to do the like, though his Revenue were three times
as much as it is, of which there can be no other cause answerable
to the effect, but the excessive increase of the price of all
things, more than the increase of Gold and Silver in the Kingdom.
And if these Kingdoms of England and France are so much impaired
in ability by this Means, how much more must those Kingdoms be
disabled which are more remote, and draw these Mettals from Spain
but at a second or third hand: I am perswaded that the
consequence of this hath more advanced the affairs of Spain in
these later times than the success of their Armys: neither can
any other Remedy be propounded to this Mischief but one, which is
to fetch these materials of Money from the fountain it self. And
for my part I do confidently believe that future times will find
no part of the Story of this Age so strange, as that all the
other States of Europe have endured this ruinous Inconvenience
with so great Indifference, or rather Stupidity, so long, and
that they have not combined together to enforce a liberty of
Trade in the West Indies; the restraint whereof is against all
Justice, Trade being de Communi Jure an appendant of Peace, and
against the Example of former Ages.
It is true, that the Romans who of all other Nations were
most advantageous in their publick Contracts, did enjoyn the
Carthaginians, that they should not sail beyond certain
Promontaries with their vessels of War, but never debarred
Commerce and Trade into any parts.
And the Muscovites and those of China, who forbid all Access
unto Strangers in their Dominions, do notwithstanding permit all
Fairs and Markets in their parts and entries of their Countries
for commerce with other Nations, with whom they have no
Capitualations of Peace.
But the Spaniards and Portugals do not only forbid all access
and commerce to the West and East Indies within their Dominions,
but do define and bound their Dominions, in a manner unheard of
to all former Ages, and with an arrogancy more than humane; for
whereas all other Nations, since the World began, have claimed
and denominated their Dominions either from their own possession
or the possession of their Ancestors, the Spaniards and
Portugals, in a contrary way, draw certain imaginary Mathematical
lines through Heaven and Earth, and claim for theirs all that
lieth within the compass of these lines, as if they would
incroach upon God in Heaven, as well as upon Men on Earth.
Chapter 12
Of the raising of the Price of Moneys by our Neighbours, and the
defect of our not raising of our Moneys accordingly.
Both these Causes are assigned of the Rarity of Money, and
are indeed the same, and do both stand and fall together, and
both are assigned for causes of Exportation of our Gold and
Silver, and for Impediments of the importation of these Materials
unto us: For if it be true that our Neighbours by the raising of
the price of the Moneys of Gold and Silver, do the more abound in
Gold and Silver, it is true likewise, that if we do not raise
ours in the same Proportion, we shall much less abound in the
same Materials: And if it be true, that they by raising theirs do
draw a greater quantity of Gold and Silver into their States, it
is likewise true, that they do not only thereby withdraw from us
that quantity of Gold and Silver, which would otherwise be
imported unto us, but they do facilitate the exportation from us,
of that whereof we are already possessed: But, on the contrary,
if these Positions be not true, then all the Consequences
inferred upon them are not true likewise; Now because almost all
the deliberations in matters of Money do resort to the one or the
other side of this main Question, Whether the raising of the
price of Moneys doth really and stably increase the abundance of
Money in any State, or if it do increase the quantity, whether
that increase be not more prejudicial than beneficial to the
Commonwealth? I intend to handle this Question, and all the
incidents pertaining to it, as exactly as I can. And
First I purpose to set down the benefits that do grow to the
State by the raising of the Moneys, and the Prejudices that do
grow by the not raising of Moneys: And then I intend to set down
the Benefits that do grow by the not raising of Money, and the
Prejudices that do grow by the raising of Money: The I purpose to
examine, and to answer, or allow the Reasons made on both sides.
And lastly, I intend to set down what Remedies have been
propounded for the avoiding of all Inconveniences which may grow
to the State either by the raising or not raising of Moneys, or
both of them, and to examine the same: And here I must again
require an extraordinary Patience and Attention in the Reader,
because that upon the hinges of this Question, the whole Mystery
of the Government and ordering of Moneys in the Commonwealth is
moved, and the question it self is very intricate and perplexed,
and the Reasons alledged on both sides are full of Subtilty.
Chapter 13
Of the Benefits which do grow unto the State by the raising of
Moneys, and the Prejudices which do by not raising of it.
They which propound to have our Moneys of Gold and Silver
raised to a parity at the least with other Nations in general,
have their aim and scope but upon one only Benefit to redound
thereby to the Common-wealth, which is, the encrease of Money and
the Materials thereof; but with that there are many other
important Benefits concurring; as
First, The encrease of Trade and Manufactures, which are
always best managed, where Money doth most abound. The venting of
domestical Commodities, for that if our own Moneys be as high in
value, as those of other Nations, our own Commodities must be
vented with them whether we have need of their Commodities, or
they have need of ours; because there will be no Profit to fetch
their Commodities with our Moneys: and again, the raising of our
Moneys doth make Commodities vented in other parts at an higher
price; because, when our Neighbours do raise their Moneys, they
do still hold in common estimation that Proportion in value to
our Moneys, which they held before they were raised, though in
Intrinsical value they want so much thereof as they are raised,
by which means our Commodities being sold for the same Rates
which they were sold for before, are sold for so much less as the
Intrinsical value is impaired: But if our Moneys were likewise
raised, then our Merchants must of necessity sell our Commodities
at higher Rates in name than they did before, or else they should
not make their Reckonings. The abundance likewise of Money doth
enable Tenants the better to pay their Rents, and all men in
general to keep up and maintain their Credits, and to pay all
publick Charges and Contributions; and these Benefits may suffice
in general without specifying many others, which have concurrency
with these or consequently from them.
And for the Prejudices, which do grow by the not raising of
our Moneys in a parity to other Nations, they are easily
expressed by these, for admitting these Benefits to grow by the
raising of Money, the Prejudices which will grow by the not
raising of them, will be the contrary to these.
But the main knot of the business is to prove, that the
raising of Moneys doth really encrease the quantity of Money in
any State, or doth preserve it from diminution. For that they do
alledge these reasons:
First, The Practice of all antiquity, in all States
whatsoever, which could not possibly fall out except there were
found an inevitable necessity to raise themselves to a parity
with their Neighbours, of which the Examples are laid down in the
former part of this Treatise; but specially that of the
thirteenth of Henry the Fourth is very pregnant, where, by advice
of Parliament, Money was raised, the reason being alledged, That
for want of raising it, the Realm was improvished and exhausted
of Money.
A second Reason which they alledge is the general and
constant observation, that when Moneys are raised they grow
plentiful, whereof we do see with our eyes an evident
demonstration in this Kingdom, for that Gold having been raised
in price of late years is grown much more plentiful than it was
in the days of Queen Elizabeth: but the Silver having not been
raised in Proportion, is grown very scant and rare in respect of
the abundance which was then seen.
But these are rather Authorities and Observations than
Reasons: but the main Reason whereon the maintainers of this side
do stand is this, When your Money is richer in substance and
lower in price than that of your Neighbour Nations, as our Silver
is than the Silver in the Low Countries, how can you expect that
the Merchant, who only seeketh his profit, will ever bring hither
any Silver, when he can sell it in the Low Countries at a higher
Rate, and make more money of it here by returning of it from then
hither, or by Exchange, or by Commodities? or, if any Merchant do
bring Silver hither, it is to sell it to such who will give a
higher rate for it, than can be produced at the Mint, as the
price of our Silver Coins now stands; in which manner although
there be much brought over, yet being sold in that sort, it is
not only direct against the Law but turns to no use of the
Common-wealth.
And again, whatsoever laws are made against Transportation of
our Moneys, if our Silver be so rich as the Merchant by
transporting it into the Low Countries, or elsewhere, can make
profit by returning it in Commodities, or by Exchange; or that,
which is yet more clear and evident, by returning it in Gold,
must not our Silver be inevitably exhausted? And certainly these
Reasons seem to me so evident to sence and apprehension, that
instead of propounding the Arguments I should resolve the
Question, if the reasons on the other side did not appear at the
least as cleer and strong as these, to which I will now proceed.
Chapter 14
The benefits which do grow to the State by the not raising of
Money, and the Prejudices which do grow by the raising of it.
The Benefit which groweth to the State by the not raising of
money, is only this, To avoid alteration: But the Prejudices
which are alledged to grow by the raising of it, are many;
First, by the Injustice and Oppression which all they undergo
who contract for Money current, at the time of the Contract, and
are after paid with extream Disadvantage in other Money really
less in value, though in Name the same: and although to this it
be said, The Creditor is not interested herein, because he paieth
away the Money which he receiveth at the same rate he received
it; yet that answer is not satisfactory, because admitting this
Position for true, That when the Intrinsical value is diminished,
the Price of things bought with Money doth rise in Proportion,
the Creditor when he paieth out his Money at the same rate, at
which he received it cannot notwithstanding with it buy the same
Commodities, which he might have bought with the Money, for which
he contracted, and consequently is diminished so much thereby, as
the price of things is raised.
And although I did in a former Chapter shew, That the price
of things doth rise by experience, as the value of Money is
raised, yet because the Truth or Falsehood of this Position doth
mainly import all the Deliberations incident to this subject of
Money, as I have formerly observed in some Experiments where it
did so fall out; so I will now set down the Reasons, why of
necessity it must be so, as One reason is this:
When the Merchant stranger brings his Commodities, whether he
intends to make his return in Moneys or in Commodities, he maketh
his own sale by the measure of the Money here, and then examines
how much this Money will amount to in the Moneys of his own
Countrey, where he bought his Commodities; and if he find the
Money here diminished in intrinsical value, he must then demand
so much the higher price, or else he cannot make his Accompt.
One other Reason is this, when the extrinsical value of the
Money is raised, by which the intrinsical is abased, there is
then so much the more profit to return Money into the Kingdom,
instead of Forrein Commodities; and by daily experience it is
seen that more is returned when the price of Money is raised. Now
it is manifest that the less importation you have of forrein
Commodities the price of them is so much the more: and both these
Reasons do shew; and Experience it self doth confirm, that when
Money is raised, the price of forrein Commodities doth first
rise: And the price of forrein being once raised, the price of
Domestick Commodities will of necessitie be raised also; for the
price of forrein Commodities will make great plenty of them to be
imported, and the high price of Money will inforce that they must
be returned in domestick Commodities: by which means domestick
Commodities being much sought for, will of necessity be raised in
price, and the price of both these being raised, it follows that
the rate of all mens sallaries and hire of Labourers and
Endeavorers must rise in Proportion, or else men shall be forced
to defer their Trades and Endeavours, and then the scarcity will
encrease the price. by these means it comes to pass, by the
raising of Money, that all those who have contracted for antient
Rights and Rents are prejudiced, and such as have Rights and
Rents settled in perpetuity, can never receive help in this case;
and therefore in divers other Countries, there have been very
many famous Judgments giv'n in this case, and great volumes
written by the Civilians, to prove that the Rents which they call
feodats and fanniers, penalties and amercements, which are set
down uncertain, ought to be paied according to the value of the
Moneys then Current when the said Rents and Penalties were
established; and if we do examine it, we shall find it, that much
the greatest part of the Common-wealth is prejudiced whensoever
Money is raised.
First, all those who have let Leases of their lands. Then all
such as live upon Pensions and Wages.
All those that live by their professions either Civil or
Military.
All those that live by Trade or Handy crafts, or Labourers.
And although it be true when the Leases do come out, the Lords
may recompence themselves, and that when the hire and salaries of
several professions and endeavorers shall be raised, (as I have
showed) that of necessity in time it must come to pass, that
Prejudice doth cease unto them, yet in mean time they suffer: But
the King who is head of the Common-wealth, and whose Revenue is
only truly publick, doth of all suffer most, and most
irreparably: Colledges are helped by the Stat. of Corn, and other
Corporations do in some sort repair themselves by the fines they
take. But the King's Revenue, which of necessity is managed by
multitude of Officers, doth perpetually diminish, as much as the
price of Money is raised, so as the same lands yield, in name the
same Revenue to the King which they did in Edward the Thirds
time, but in truth not the third part: and besides much of his
Revenue is assessed by the Parliament by prescription to a
certain Summ, all which doth continually diminish so much as the
price of Money riseth.
One other Mischief that groweth by the raising of Money is
this, When do you raise your Money, as that you do give a greater
price than before unto the Merchant, you do conceive that he is
thereby the rather allured to bring the Materials of Money to
your Mint, and so withdraw them from other Nations. but if other
nations find that, they will raise the price of their Money
likewise, and then what shall you get by raising of yours? or if
you raise upon them again, there will be no period to rest in,
but you shall continually sow confusion, until you be constrained
to abolish your coins and invent new species, and new measures of
weight and fineness, or else with infinite loss to the people, to
bring the price back again to an ancient standard.
One other Mischief that groweth by the raising of Money is
this, a very great part of the Gold which cometh into Europe, and
almost all the Silver doth first aboard in Spain: so that when
you raise the price of these mettals, you raise the proper
commodities of Spain, and by that means you encrease the
greatness and power of that King, of whose greatness and power,
of all others, you have cause to be most jealous and
apprehensive: And again, in a Kingdom as this is, which hath more
Commodities to vent into Forrein Commodities, and which hath no
materials of Money, as this hath not in any considerable
quantity, but must have all their Gold and Silver supplied by the
return of their Commodities, as ours is, it is most expedient to
keep the price of Money as low as may be, to the end your
Commodities may return you the greater quantity of these
materials in fineness and weight.
As for Example, If you should raise the ounce of sterling
standard to six shillings; then the Real of eight would be worth
near hand six shillings likewise; would it not then follow of
Necessity, that you should have by so much the fewer of them in
number, for the return of your Commodities? And the like may be
said of Gold.
Lastly, when you raise your Money, it bringeth a great
confusion.
First, by giving stop and hindrance to Trade and Commerce,
all men being fearful and doubtful how to make their Contracts
and Exchanges, until there be a settlement by time.
And again, if you coin new species of less intrinsical value
than the old either in weight or fineness, or both, there is
danger of melting or exporting the old; if you raise the price of
the old species, you introduce Fractions and Confusions in
reckoning, and do many times inforce him that pays to give more
than he intends, especially in reward and gratifications and
fees, which are more exactly defined.
Chapter 15
Examinations of the Reasons for the raising of Money.
The first Reason for the raising of Money, is the practise of
Antiquity: it is true, as I have shewed before, that the Grecians
and the Romans did successively raise the values of their Moneys,
but it was not to draw thereby the materials of Money from other
States unto theirs; but to supply the State, by that means on
great and desperate Necessities, of the Wages thereof; and of the
advantage, or disadvantage growing thereby to the Common wealth,
I intend to speak hereafter.
But this invention of raising of Money to draw a quantity of
gold and silver from your Neighbours, or to preserve our own from
being exhausted, is a conceit unknown to the ancient world, and
introduced long since the decay of the Roman Empire; when as
those Monarchies that are now settled in Europe, by succession
from those Northern Nations, which did over-throw the antient
Roman Empire, having together with many other necesary Arts, lost
the knowledge and orders of the Mint, were fain to use the
Subtilty and Industry of the Jews, and those of Genoa and Lucca
(who did succeed the Jews in this Trade) for the coining of their
Moneys, who for their own Advantage did (by subtil and specious
Reasons many times by a seeming and not considerable Profit as
Projectors use to do) allure Princes to make unnecessary
alterations in their Moneys, from whence this Art of robbing Gold
and Silver from one state to another is grown.
And therefore I will speak no more concerning the practise of
Antiquity, but will examine the other Reasons: as for the second
Reason, which is the Observation, that since King James raised
the Gold so much as he did, Gold is grown much more plentiful in
the Kingdom that it was before, but Silver having not been raised
in Proportion is grown much more scant and rare: --
It is confessed that the Observation is true in this, that
whensoever you raise the Material of (one sort of) Money, that
material will encrease, and the other will grow scanty in
Proportion. And what doth the Commonwealth gain by that, if there
be more Gold now than heretofore, if there be less Silver in
Proportion? But it is denied, That if you raise equally both the
materials of Money, that then either of them will ever a whit the
more abound; and this reason is given for it, Whatsoever the
value of Money be in other Countreys, they will spend no more of
your Commodities than they have use for: if so, the over-value of
your (exported) Commodities must of necessity be returned to you
either in Gold or Silver, whatsoever the value of them be, high
or low: or suppose that, by reason of the low value of Gold and
Silver in respect of their price in other parts, the Merchants do
forbear the return of the over-values of your Commodities in
those Materials, and do choose rather to return Forrein
Commodities more than you can vent; this may fall out thus for
one year, but two or three or more years, it is impossible it can
hold, for that the Merchant should have these Forrein Commodities
which are not consumed perish in his hands. And this Reason doth
likewise answer.
The third Argument made for the raising of Money which is,
That if you do not raise your Money to a parity with your
Neighbours, the Merchant, who always seeks his profit, wil carry
his materials of Gold and Silver, where he may have most for
them; for if this reason stand good, the Merchant shall be
constrained to bring his Gold and Silver hither, what price
soever they bear.
But because this reason seems so evident and unanswerable in
the Judgment of many, and that if it stand good, it doth
absolutely confute the practise of all the States of Europe, who
have continued many years raising of the values of their Moneys,
upon this ground, to attract thereby greater quantities of Gold
and Silver.
I intend to make a more strict Examination of this Reason.
And first for a most clear understanding of the Case, Let us
suppose that al the commodities, any way exported out of this
Kingdom in one year, be worth one Million of pounds sterling, and
that the Commodities imported, be worth but 900,000 pound, and
that this Proportion, or near thereabouts, be constant; then of
necessity, it follows, That an hundred thousand pounds must be
brought in in gold and silver, what price soever Money bear.
But if it shall appear that the Low values of our Money doth
cause the Kingdom to vent more forrein Commodities than otherwise
it would vent; and, that where otherwise it would vent 900,000
pound, the Low values of Money cause it to vent a Million or
more: then is the force of this argument lost; and it follows,
That the low values are the cause why the Materials of Gold and
Silver, or less of them than otherwise would do, come not in.
Now when this may come to pass several ways, First, If the
value of your Moneys be so low as the Merchant shall lose by
bringing you gold and silver, he will rather return you forrein
Commodities, though he sell them as cheap as he bought them, and
so gain nothing by them, than bring you Gold and Silver by which
he shall loose.
As for Example, the Merchant trading into Muscovia, will
rather return his Cloth in Furr, or in Silk of Persia, though he
sell them as cheap as he bought them there, than in Silver and
Gold, by which he shall loose the fourth part. Now the cheapness
of forrein Commodities makes the greater quantity of them to be
spent, as we see of Calico's, of which few or none were
heretofore vented in this Kingdom, the cheapness of them making
greater Quantities of them to be spent.
And again, the Lowness of the values of Money may cause a
greater Proportion of Forrein Commodities to be consumed, though
not in quantity, yet in value.
As for Example, Though the Lowness of the value of Money
should not make a greater quantity of Silver to be spent in
England, than otherwise would be, yet it would make a greater
Proportion in value to be spent, by reason that the Merchant, who
in the return of his Commodities brings such a quantity of Silk
as he judgeth may be vented here, if he find an over value of his
Commodities exported, to those he doth import, he will rather,
instead of raw Silks, return Silks by which he shall loose. As if
our Gold were as our Silver in prices, by which the Turkey
Merchant shall loose as much by bringing Gold from thence, as he
should if he brought Silver, is it not manifest, that instead of
Gold, which he now brings with his raw Silk, in return of his
Commodities, he would carry both Gold and Silk into Italy, and
imploy them in manufactured Silks, though he should sell them
here almost as cheap as he bought them, rather than return the
overvalue in Gold, by which he should loose? And so though the
same Proportion in quantity were vented here in Silk, yet a
greater Proportion in value would be vented.
At the same time may be said of divers other Commodities: and
for confirmation of this, it is to be observed, That from Italy,
France and the Low Countries, and the East Indies, in all which
places the values of Money are as high or higher than with us, we
draw hardly any Commodities but fully manufactured, and they
receive none of our Commodities but either not manufactured at
all, or, but so much manufactured as the Severity and Penalty of
the Laws do otherwise prohibit to be exported: But in Spain where
the Moneys are yet of a lower value than with us, it is clean
contrary.
And although it may be Objected that this Observation doth
not hold in Turkey and Muscovie, though in Turky the Silver, and
in Muscovie both Gold and Silver be much higher valued than here
in England;
To that it may be answered, That these barbarous Countries
receive our Manufactures by Necessity, because they afford none
of their own.
Chapter 16
Examinations of the Reasons for the not raising of Money.
The first and main Reason against the raising of Money, is,
The INJUSTICE and OPPRESSION done to all those, who ar in place
of Creditors to receive, all which are forced to receive less in
Intrinsical value than is due unto them, and less in faculty and
extent to supply their own uses. To which reason I never
understood any answer made that could have examination but only
this: That however the Creditors do receive less in intrinsical
value, and less in faculty and extent, to supplie their use by
reason that as the Extrinsical value of the Money is raised, the
price of the things do likewise rise with it, yet that price doth
not rise but by degrees and time, in which time all these
Creditors by renewing their Contracts do repair themselves, some
sooner, some later, according to the state of their Contracts.
But then it is manifest that all those who have any Rents or
other Rights which are defined to a certain sum in perpetuity,
and the King for the best part of his Revenue are extreamly
damnified by the raising of Moneys without Repair, except there
should a Law be mae that all those kind of payments should be
payable according to the values of Money current when they were
first created, which, though it were an innovation full of Danger
and Confusion,and Impracticable in this State, yet it seemeth to
have a foundation in Justice.
A second Reason, made against the raising of Money, is this,
If you do raise your Moneys out of the Misconceipt to draw you
more Gold and Silver, the other Nations out of the same
Misconceipt will raise the Money likewise; and so deprive you of
your end: but to this reason it may be answered, That we ought
not to raise our Moneys above our Neighbours, but only to a
parity with them, and then if they be obstinate to out raise us,
we must rather undergo the Prejudice of a continual raising to a
parity, thereby to keep our own, than to suffer other Nations by
imparity to rob us of what we have: so as this Argument in
effect, doth resort to that, which was formerly disputed, whether
truly and constantly more Gold and Silver be brought in by the
raising of Money.
The two Arguments that follow against the raising of Money
will both receive one clear answer.
The First, That in raising of Money you raise the King of
Spain's Commodities, and consequently enrich him.
The Second, That by raising of Money, you have less Silver
and Gold out of Spain in Intrinsical value for your Commodities,
the answer thereunto is very plain and clear, which is this, That
if the Position formerly laid down be true, which is, That as the
value of Money is raised, so the price of Commodities riseth with
it, Then it follows that neither the King of Spain shall be
enriched by the raising of Money, because the Commodities for
which he parts with his Money unto us, shall rise likewise in
price, nor shall we receive less of his Money in Intrinsical
value for our Commodities, because the Extrinsical value is
raised, that our Commodities will rise likewise so much the more
in Extrinsical value.
To the last Argument, of the Confusion which the raising of
Money doth bring both by the stopp of Commerce at the present,
and the fractions of Reckonings, it is answered, That no
alteration in this Subject of Money is without Inconvenience; But
if the position be true, that raising of Money is necessary to
preserve that which we have, and to bring in more; then are those
petty Inconveniences little considerable: and thus I have
examined as strictly as I can the Reasons alledged on both sides
for the raising and not raising of Moneys; but leave the Reader
to his own Conclusion.
I do now come to the Remedies, that by curious search I could
ever learn to have been propounded either in this Estate or any
forrein Estates, for the Inconveniences that may grow either by
raising of Money, or not raising, or both of them, which I do
mean likewise to examine, and shew as near as I can, the
Difficulties that may grow in settling of the several Remedies
propounded, and the evil Consequences that might grow of them, if
they were settled, and that so the Reader may more clearly judge
which is the best: for which purpose I intend to begin with the
Plainest and most easie, to the end that the more intricate may
afterwards be better comprehended.
Chapter 17
Of Contracting with forrein Nations by Ambassadors to keep their
Moneys at a certain standard.
Amongst all the Remedies propounded against the Alterations
of Moneys there is none more specious than this, nor more
frequent in mention, both in provisionall Edicts, which are made
for the Reformation of Moneys, and in Considerations held for the
purpose, for it is said to advance it: That if we contract with
other Nations for a certain and stable standard of Moneys which
may be equal, than we shall avoid all the Inconveniences that do
grow by the raising of Moneys, because we shall never raise them;
and we shall avoid all the Inconveniences that do grow by the not
raising of Moneys, because other Nations shall not raise theirs.
Besides for this Remedy there is alledged the example of former
Ages, wherein it appears that in many Treaties with forrein
Nations our Kings did contract for the mutual standard of their
Moneys.
But however the Proposition be specious and frequent, yet, of
all other Remedies, if it be throughly examined, it will appear
the most difficult, or rather impossible, to be effected; and if
it were effected, it would turn to no use, for thus stands the
state of this business, Almost all the Silver which is now drawn
out of the Earth, cometh from the West Indies, all which intirely
aboardeth first in Spain, whence it is dispersed into other
Countries Eastward; which do draw it unto them by setting an
higher price upon it: for, as if there were no Cloth in all the
World but in England, no other country could have cloth except
they did pay dearer for it than in England; and by so much dearer
by how much it were more remote from England, because to the
original price, there must of necessitie be added an increase in
regard of the time, the charge, and hazard of transporting it: so
fares it with Silver, that all Countries which will draw from
Spain, do necessarily set a greater price upon it, by how much
they are more remote from thence, and this is the Reason why the
sphear of Silver seemeth to roll from the West to the East, until
it come unto him, where it seemeth to fall into a Gulph. But of
Gold it is not so, because that comes in as great abundance from
the East as from the West.
Now then it were a great Prejudice for England and France to
contract with Spain for a certain standard of Silver, except they
could likewise contract for the same standard with the Low
Countries, and Italy, who draw part of their Silver from them, as
they draw theirs from Spain; for otherwise, they should give a
stop to the coming in of their Silver, and should leave the issue
of it open. Nor would Turkey contract, unless they could also
contract with Persia for the same, where Silver is yet higher
than in Turkey, and so forward into China; neither would the Low
Countrie men contract, except they could contract for the same
with Hanse Towns, where Silver is higher than in the Low
Countries; neither would the Hanse Towns contract, except they
could contract with Muscovie; neither would Muscovie contract,
except they could contract with Persia; and so forward in all
such places Silver is still at an higher and higher rate.
but suppose it was possible to draw all those Countries to a
certain contract, what would be the use of it? I did in a former
Chapter observe that most Countries, and particularly France and
the Low Countries do seldome or never raise their Moneys: But
when People by Custom and general Use have raised the Money
before hand beyond the Publick Declaration, and the State is
forced to follow the People who in this Case they do not master,
to what end is it then to contract with those Nations for that
which is not in their Power to observe? And that which is
alledged for the course of contracting, with forrein Nations, out
of the example of former times, doth clearly convince the vanity
of this Proposition, for it is manifest, as I have shewed in the
former Chapters that notwithstanding these Contracts, the Money
was continually from time to time raised.
Chapter 18
Of the Ordaining of solid Payments
Solid payments are meant where Contracts are made for payment
of so many solid species of Money, or of so many double Pistoles,
or so many French Crowns, or so many English Angels, or
Soveraigns or Shillings, and therefore termed solid payments,
because they are restrained to those solid species which are
contracted for, and to never alter in payment although the value
of the species should alter; as however the value of Angels or
Soveraigns which were coined for ten shillings, be raised to
eleven shillings, yet he which hath contracted to pay so many
Angels or Soveraigns shall pay never awhit the less in number,
because their value is raised, and so in the other species of
French Crowns and Pistoles: But he that made a contract when
Angels and Soveraigns were valued at ten shillings, to be paid,
at such a day to come, one hundred pounds, before which day the
value of Angels or Soveraigns was raised to eleven shillings;
whereas he should be paid at the time of his contract for one
hundred pounds sterling, two hundred Angels or Soveraigns, he
shall now be paid but one hundred fourscore and one Angels or
Soveraigns and nine shillings, because the sum of a pound
sterling is not restrained to any solid species, but is rather
imaginary and abstracted from the matter guided according to the
uncertain valuation of the species of Money, wherein the payment
is made.
This proposition of ordaining all contracts for payments to
be restrained to solid species of Money, hath bin often agitated
in France, as a soveraign Remedy against the main inconveniences
which do arise in this subject of Money, for the discussing of
the truth and efficacie of which proposition, it will be
necessarie to relate the success thereof in that Kingdom, in the
years 1575 and 1576.
The people in France, contrary to the King's Ordinance, and
in despight of all Remedies which could be thought of to prevent
it, had raised both the Gold and Silver so excessively, as a
French Crown in Gold was valued at seven livres and an half, and
at eight livres, a Livre in France being the tenth art of a pound
sterling, and is an abstracted sum consisting of twenty sols, as
our pound sterling doth consist of twenty shillings, there being
no certain species of Money called a Livre, and according to the
value of Gold, their Silver likewise was overvalued, and the
species of forreign Coins both of Gold and Silver were current
likewise at the like value in proportion; by means whereof it is
hardly credible what quantities of Gold and Silver, both of
Forrein and Domestick Coins that Countrie did then abound with.
But their Base money which was not raised in proportion to the
Gold and Silver, and did really contain in Intrinsical value much
more than the Gold and Silver Coins, in proportion to the value
at which they were current, was for the most part either
transported or secretly melted down to extract the Silver
thereout.
And if this had been all the Inconvenience, they would never
have complained; but in consequence of this, the prices of all
things did rise so excessively, that all such who lived upon
Pensions, or Wages, or Fees, or antient Rents did manifestly see
themselves unable to subsist: but above all, the King was most
heavily prejudiced, so it was like to grow to some great
Confusion in that State.
Hereupon in the year 1577, there was a new Ordinance made,
treated and published with the greatest deliberation and
solemnity that every any Edict was of this kind in France. And
first the French Crown, weighing 2 deniers and 15 grains, after
the French weight, and 23 Carrats fine, from eight livres was
reduced to the value of sixty Sols, which is equal to three
livres; and all the pieces of Silver of French coins, were
reduced to a value answerable to that, the sols likewise, and
other base Money coined proportionable thereunto, and to the end
they might never be again raised by the People to an higher
value.
First, All forrein coins both Gold and Silver, except
Pistollets and Doublons of Spain were upon great penalties
forbidden to be brought in otherwise then as Bullion, and made
incurrent. Then there were very severe Prohibitions made that no
man should afterwards make Contracts of payment in livres or any
other abstracted sums, but only in the solid species of Crowns:
And to the end that payment might be made as well in Silver as
Gold, there were in Silver coined quarter-Crowns, and half
quarter-Crowns, and the other species of Silver already extant
were valued proportionable to them, only sixty sols were made
equal to a Crown, which held no proportion with a Crown either in
name or in intrinsical value, by reason, that in the sols and
other base Money, the Copper with which they are allayed is
valued, and there is a much greater charge laid on the coinage of
them than of other Moneys: yet notwithstanding it is very
strange, how well this Edict did keep the people of France in
order for three or four and twenty years, so as in all that time,
the value of the Gold nor Silver was never raised.
But by degrees they did find that the Kingdom grew drained of
that great quantity of gold and silver with which it formerly
abounded, and their commerce and Trade did visibly decay; they
found themselves full of forrein Manufactures, but their own
Manufactures had ill vent, and at length the people,
notwithstanding the Prohibition, began to take Forrein coins as
current, and received both them and their coins, at a higher
value than the King's edict did admit, so as in the year 1602
their complaint grew as loud and as sharp as in the year 1577,
though of a cleer contrary condition, and there grew new
consultations and enquiries into the Remedies of these
Inconveniences.
Many who were very much taken with the former Edict of 1577,
did advise that the same Edict should be more rigidly maintained,
and that all forrein coins should be absolutely banished, and
that the former Edict might be now reformed in that only point,
which was deficient (viz.) That the Sols might either be coined
of purer Silver, or if they did remain of the former Allay, that
the King would so dispose of the charge of the Allay and coinage
as they might answer in their Intrinsical value to the gold and
the Silver; and that for the remedy of the Penury of Money,
strict sumptuary Laws might be put in practice against Forrein
Manufactures, and superfluous Commodities.
But against this it was objected, That now they found by
experience the effect of the former Edict of 1577, and this
addition of sumptuary Laws would give little help, because the
licence of the times and difficulties in the thing it self were
such as they would never be put in execution.,
In conclusion a new Edict was set forth in Anno 1602 by which
the Contracts in the solid species in Crowns were abolished and
the Contracts in Livres again authorised. The Crown in Gold was
value at three Livres again authorised. The Crown in gold was
valued at three Libres and four sols, and all forrein coins were
made current in a proportionable rate: and upon it ensued that
the people did every day raise the price of all Gold both forrein
and domestick higher and higher by degrees, so as in the year
1614, the King by his Edict was enforced to make good the raising
of the people, and to set a value upon the French Crown, of 3
Livres and 15 sols, which is seven shillings and six pence
sterling, and yet still the people raised it higher, and all
other Gold in proportion, which hath yet this further
Inconvenience with it, That being raised by degrees, they cannot
raise the Silver together with it, so as in time it will breed so
great a Disproportion between the Silver and the Gold as they
will have little Silver left; and that such as through the
exceeding lightness cannot with profit be made away.
I shall not now need to speak any more of the Inconveniences
which may grow by ordaining of solid payments because they have
been sufficiently expressed in the relation of these proceedings
in France. But I will only add this, that there is not true
soliditie in payments, but to contract for so much in weight and
so much in fineness, for if you should ordain all payments to be
made in such or such species of Money, it is true that the
raising of those species of Money could breed no alteration in
your payments: but suppose the Prince should coin these species,
either baser in Allay or lighter in weight, then should your
payment be subject to the same alteration as if you had
contracted for abstracted sums.
Chapter 19
Of equalizing the Exchange.
The Author of Lex Mercatoriae doth hold, That in those
countries where great great Banks are kept, the Bankers do by
their Arts and Subtilties by the inequalite of the Exchange, draw
away the Gold and Silver out of other Countries: as for Example;
In Holland, suppose a man were by Exchange to make over 100 pound
sterling thither out of England, The Exchange, saiths he, is such
when it is at most advantage for England, by the practise and
subtilties of the Banker, as you shall receive for your hundred
pound there, less in intrinsical value than you gave; and if you
make over a hundred pound out of Holland into England by Exchange
you shall receive more in Intrinsical value than you gave. And if
this Position absolutely be true, as that the contrary doth
rarely or seldom happen, it necessarily follows, That it is more
advantage to carry over your Money thither in specie, than to
make it over by exchange, and it is more advantage to make over
your Money thence by exchange than to bring it over in specie.
But (saith he) if it be effectually ordained, That no man
shall give his Money here, to receive less in intrinsical value
there by Exchange; and that no man shall give his Money there, to
receive more in intrinsical value here by Exchange: it is plain,
That no man shall have his Advantage to carry his Money thither
in specie, nor no man shall have his Disadvantage to bring his
Money thence in specie: and if the same course be observed in all
places and at all times, let other nations use what they please
to raise or abase the values of their Money, they shall never
prejudice the Kingdom by it.
I have abstracted this Proportion in the plainest manner I
could, and purposely omitted to name the sums of the Exchange, to
avoid all Question about more or less, and all obscurity: and
certainly it carrieth with it a great appearance of Reason;
neither do I find any strength in that Objection which is most
pressed against it, That this equallity cannot be made with other
countries, by Reason that a great part of the Payments is made in
Base money: for, if Base money be so current, as for it you may
have so much purer Money as will answer the intrinsical value
required for the Sum to be paid by Exchange, that Objection will
fall: if it be not so current, you may except against the
Payment.
But yet this Proposition, if it be narrowly examined will be
found subject to great Exceptions.
And first, The Difficulty, I may say almost, the
Impossibility of putting it in Execution is apparent, for
although the intrinsical value be the principal Rule by which
Exchanges are squared, yet there are many other Circumstances
which do vary and alter the Exchange, and this is for a main one;
That when there is much Money to be returned to one place by an
Accident unlookt for, you shall (not) find Takers in Proportion,
except what they make by the price of Exchange do invite them: if
then you will force men alwayes to give and take by Exchange at
one rate, when through accident there shall want Takers, you will
force the Giver to supply his Necessity, to send his Money in
specie, and so that which is propounded for a Remedy of
Exportation shall turn to a greater Exportation.
But suppose this Difficulty could be overcome, yet would it
not suffice to hinder Exportation; for, if in other Countries,
they should value your Money higher than their own, as in this
Discourse there are formerly Instances set down, of English Money
higher valued than their own, in France, in the Low-Countries,
and at Francford Mart: he then which at these times would have
made over Money by exchange into those Parts, by this
Proposition, should have had but the intrinsical value in Money
over in specie, would have had more than the intrinsical value.
Lastly, It is to be considered, That all Countries that do
raise little or no Materials with themselves, (which is our Case
in England) must not be so careful to hinder Exportation of the
Materials, as to provide for Importation for them; What Fruit
then shall we receive by this Equality of Exchange, (admitting
that it might be made, and that it would hinder the Exportation)
if it should be recompenced by the same Degree of Impediment,
which it would give to the Importation, which would necessarily
follow upon it; as for instance, If the Equality of Exchange will
give impediment to transport Silver out of England into Holland,
will not the same equality of Exchange give the same degree of
Impediment to import Silver out of Spain into England? Certainly
in all appearance it must.
Chapter 20
Of Reducing Moneys to the Lowness of Ancient Values.
Some are of Opinion, that the best course to remedy all
Inconveniences in Matters of Money, were to reduce it to the
ancient Value:
As for example, A pound weight of Silver of the sterling
standard to make but twenty shillings in Silver; and a pound
weight of crown Gold to make 12 l. sterling; and so Angel-Gold to
be coined in Proportion, for (say they,) since that was the first
and original settlement of the sterling standard, and that by the
raising of other Nations whom we thought it necessary to follow,
we are grown to that excessive diminution of the Intrinsical
value of our Money as is manifest, and that the Mischiefs do so
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
to a like Proportion, and that all contracts and payments, from
such a day to come, should be made and paid in new Money or in
old Money, valuing it only at the third part of the new Money;
But if the Proposition were simply thus, it were insupportable,
for then he that sits now at a rent of 10 l. a year, and is
hardly able to pay it should in effect, after the day when the
new money is to be current, pay thirty pounds a year; and he that
borrowed ten pounds before that day, after that day shall pay
thirty, and so it would be of all other payments. And it is no
satisfaction to say, That would be no Injustice, because he that
pays Money, either for Debt or Rent, or any other waies, must
receive it from others, be it either in Debt, Rent, or for the
price of any thing to be sold, and so he shall pay no more in
Proportion than he shall receive: for it if be true, which is the
mainest Benefit propounded by this Reduction, that as the price
of Money shall be abased so the price of all things will abate in
Proportion, then he that is to raise his payments out of the
price of other things shall raise no more in intrinsical value
than he should have done before, yet he shall pay in intrinsical
value thrice as much as he did before.
To solve this Objection, there are two ways propounded, but
either of them have their Inconveniences;
The first is, that this payment in new Money shall only
extend to future contracts and that all former contracts shall
either be paid in old Money or in new Money valued at three times
the old Money: but if you admit of this, you shall by this
Reduction only raise a great rumour and confusion among the
people, and all the benefits propounded are quite blown away.
Besides the Injustice, as it was very apparent to all that
were to pay Money in the former way, so it is as apparent in this
way to all that are to receive Money, for that they shall receive
in extrinsical value but two pence for six pence, and one
shilling for 3 shillings, but above all others, the King would be
most prejudiced.
The second way of solving the former Objection is this, That
all payments, for the future, should be made in new Money or in
old, valuing the old a third part, and that in like manner all
antient Contracts, Rents, and Rights reserved should be acquitted
in new Money, or in old Money valued at the third part of the
new, and that his wold of antient Contracts and Rights, should be
defined from such a time as since which the prices of things have
encreased, as the value of Money is by this Reduction to be
abated; As for Example,
Since the year of the eighteenth of Henry the Eighth, when he
began to coin Base money, since which time generally the price of
things is trebled at the least, in some more, in some less. And
that all Contracts and payments reserved, since the eighteenth
year of Henry the Eighth, until the day when the new Money is
made current, should be acquitted in old Money, or in new Money
valued three times as much as the old: By this means the
Injustice of the former ways seemeth to be equally parted, in
that some Receivers by this way should gain and some Receivers
should loose, and some Payers should gain and some should loose.
But this Proposition brings with it a new Inconvenience,
which is, That this time of the eighteenth of Henry the Eighth,
being so antient, it would breed many Controversies, as to what
payments were contracted for or reserved before that time or not.
But suppose that this Reduction were effected, and that our
Moneys were both by reputed valuation and by exchange compared
with Forrein Moneys, according to their true intrinsical value,
yet do I not see that this Reformation, for all this, would be
stable and permanent; for if afterwards other Nations shall by
degrees again diminish the Intrinsical value of their Moneys,
either we must resolve to stand firm to this Reduction, and so to
take the hazard of all losses and Inconveniences which the not
raising of our Moneys when our Neighbours raise theirs do bring
with it; or if we shall raise again as they shall raise theirs,
then all the benefit of this troublesome Reduction will be, That
we shall yet be three hundred years longer ere we do grow to so
great a diminution in the Intrinsical value of our Moneys, as we
do at this present undergo.
Chapter 21
Of raising our Moneys according to the raising of our Neighbours
Others do propound a clean contrary course to this Reduction
of the Moneys to the antient values; For they would have us to
observe precisely the raising of the price of Money by our
Neighbours, and if not to preceed them, at the least to follow
them immediately. And for this purpose they insist upon two main
Arguments. The one drawn from Example, the other from Reason: for
say they, If we do observe those States, which do soonest and
most raise their Money, we shall find that they do most abound
with Money; and that Trades and Manufacturers do most flourish
there.
As for Example, the United Provinces, and the Arch-Dukes
Country, and the Hanns Towns; and they do confirm their instance
by this reason, Forrein Nations when they raise their Moneys, do
thereby make them of less Intrinsical value, than they are
reputed.
As for Example, Three pounds two shillings sterling, is
reputed equal with five pounds six shillings Flemish; and
peradventure when the pound sterling was first cut into 62s they
were equal in intrinsical value, but now by the raising of
Moneys, this five pounds six shillings Flemish, say they,
contains in intrinsical value no more than two pounds sixteen
shillings.
And again, say they, The Ryall of eight and the Rix Dollar
are both of them reputed equal to five shillings sterling, but
hold in intrinsical value less by ten in the hundred. Hence, (say
they,) it follows, That he that bestoweth here three pounds two
shillings in English Cloth, and sells it beyond Sea for five
pounds six shillings Flemish, or for twelve Ryalls of eight, or
twelve Rix-Dollars, with two shillings, maketh his accompt that
he hath sold it as dear as he bought it, and whatsoever he can
get more is gain towards his hazard, his time, and his charge;
and by this means he doth undervalue the English commodity to the
loss of the Realm, six shillings in three pound two shillings:
But on the other side, if he bestow his five pound six shillings
Flemish, or his twelve Ryalls of eight, or Rix-Dollars, and two
shillings in Forrein Commodities, he makes his Accompt that he
sells them not here for as much as they cost him, except he have
for them three pound two shillings sterling, by which he
overvalues to us the forrein Commodities by six shillings in
three pound two shillings, by which means the Realm in general is
impoverished, but the Merchant in his particular saves himself,
for what is lost to him by the undervalue of the English
Commodities is again made good unto him by the over-value of the
forrein Commodities. And hence it follows that our Money wasts,
our Manufactures decay, and their Money and Manufactures do
increase.
As for the objections made against raising of Moneys; they
say, They are not considerable in comparison of the benefits, for
so as Trade and Manufactures may flourish and Money abound, what
imports it though the price of things do rise, when as every man
as he pays more, so he shall receive more: as for the King's
loss, he shall be otherwise recompenced by the Riches of the
Subjects.
But to come to the Examination of this Proposition and the
Reasons made for it.
First, these valuations laid down of our Money in comparison
with Flemish Money and Ryalls and Dollars, for a foundation of
this Proposition is very uncertain; for as it is true, that as I
have heard in publick conference upon thee occasions, divers
Merchants of great worth and experience to affirm these
valuations, so I have heard others of as great worth and
experience to deny them, affirming that they knew none other
valuation of our Money with forrein, but according to the
Intrinsical value of either of them. And by the last Placcard of
the Low Countries, the English shilling is made current for one
shilling nine pence Flemish, by which accompt three pound two
shillings English will make five pound eight shillings and six
pence Flemish.
But admitting the valuations as they are set down in the
Proposition, yet it will appear, but a meer Sophism; for the
truth is, as it is set down in a former Chapter, That silver is
higher valued in France and England, than in Spain, and in the
Low Countries than in either of them; and in the Hanns Towns than
in the Low Countries; and so still higher, the further Eastward:
But of gold it is not so: and upon an exact computation it will
be found, That Gold is higher valued in England than in the Low
Countries, and that a pound of fine gold reduced into the Riders
of the Low Countries, makes but forty five Guilders, and seven
Stivers, and allowing ten Stivers and a half for twelve pence
English, as it is made current by the last Placcard, there the
said sum amounts in sterling Money but to forty three pound
thirteen shillings and a penny; but a pound of Gold fine makes in
twenty two shilling pieces, forty four pound, eight shillings
four pence sterling, which reduced into Guilders after the former
accompt makes 446 and a half, so as the pound in fine Gold is
valued in Jacobus pieces, at 8 Guilders two Stivers and one half
more than in Riders, and in English Money is valued at fifteen
shillings three pence more in Jacobus's than in Riders; so then
it follows, that if England do loose any thing in the true price
of her Commodities because Silver is higher valued in the Low
Countries than in England, England gains again in the price of
her Commodities, because Gold is higher valued in England than in
the Low Countries. Besides all which none of the Objections made
against this Proposition are answered, but only elevated, and it
is manifest, that all those who are to receive Money shall be
continually oppressed with this continual raising of Money, and
if we shall still vie one upon another who shall raise highest,
in the End the Matter must necessarily come to a Confusion.
Chapter 22
Of introducing two different Species of Money
The Difficulties and Debate of the former Proposition have
produced this, set down in the title of this Chapter: For if to
let our Money stand still in the same condition, when our
Neighbours do raise theirs, be a means to drain away our own
Money from us, and to divert that increase of Stock which
otherwise should come unto us, and consequently occasion the
decay of our own Trades and Manufactures, and the increase of
Forrein, as in the former Propositions hath been disputed, Then
it were good to raise our Moneys when our Neighbours raise
theirs. But if this raising of our Moneys do introduced an unjust
Oppression to all those, who do live upon the Rents of their
Lands, upon Pensions, upon Fees, upon Wages, or otherwise upon
any other Reward of their Industry, if it most of all disables
the King, and in the end doth threaten an extream Confusion and
Disorder, then is this good of Raising so allayed with the evil
that followeth it, that we were as good if not better to be
without it: From these Considerations hath this Proposition
risen, by which, the Authors thereof do presume, that we may both
raise our Moneys as we find occasion and yet not raise; though
they seem contradictory: and we receive all the Benefits, which
the raising of Money doth bring with it, and yet avoid all the
Inconveniences which are alledged to follow it. Now the
Propositions which have been made in this kind, both here and in
other parts are very many, and differing one from another in
their Proportions, and in some other subtile and by
considerations, which if they should be set down in particular,
would much perplex the Subject. I will therefore by supposition
set down a Proposition in a plain and easie Proportion for the
more ready apprehension of the Reader.
As for Example, Suppose the King should coin new twenty
shilling pieces, which should hold in intrinsical value but
eighteen shillings and four pence in Proportion to the present
Gold; and new shillings, which should hold but eleven pence in
Proportion to the shillings of the present standard, and then it
should be ordain'd, that all former Contracts already past,
should be acquitted in old Money, or else in new Money, valuing
every 20s but at 18s 4d and so in Proportion of lesser sums; but
that all new contracts should be paid afterwards in new Money, or
else in old, valuing every 18s 4d of the old Money at 20s of the
new. By this means, say the Authors of this proposition, we shall
bring back our own Money at 20s and drain away the Money of our
Neighbours, and trades and Manufactures shall flourish in
consequence; yet our Moneys are raised, and yet no man shall
receive any injustice by it, for both the King and all other
Lords of Lands or contracted upon former Wages, shall be paid in
Money formerly current, or else in new proportionable to the old.
And all those which are to pay Money, either out of their own
Industry or Labours, or out of the fruits of the earth, or by any
other means, when they do see that they must contract for new
Money, apparently, according to the Proportion set down, worse
than the old, they will help themselves by raising their price in
Proportion unto it. There may likewise be alledged Examples for
this Proposition, as in Ireland when sterling Money and Irish
Money are both current, the one a fourth worse than the other
without any Inconvenience. And it seemeth that anciently before
the time of Edward the first in England, there were Moneys
current of several standards; for although there be a few Records
left of Mint matters, more antient than Edward the Third, yet
Anno sexto Reg. Johannis membrana sptima Dorso, certain old Money
of baser standard was made current; But so, as no Jew or Merchant
stranger might buy Merchandize, or pay debts with it, or any
thing else, (but only victum et vestitum with that old Money,)
but in grossa et forti Moneta. And in France, until the time of
Philip le Bell (who was contemporant with Edward the Second) it
seemeth that there were used several species of Money, And
Eddicts were made what Contracts should be acquitted in one
species and what in another.
But I will come now, as in the former, to the examination of
this Proposition. first, the extreme Confusion is to be
considered which it will bring among the People by raising
Questions what is to be paid in old Money and what is to be paid
in new Money.
As for example, a man who lent Money before the time
appointed for the currency of this Money, after the day,
receiveth interest for it, and so lets it run on, Whether shall
this be interpreted an old contract or a new? and divers other
Questions of like nature will arise. But suppose that such
Prudence were used before hand as all such Questions might be
prevented, yet certainly the intricasie of the accounts between
the old Money and the new, by Reason of the confused Fractions
which are in it, would be a great molestation to the People: But
there lurketh a much greater Inconvenience which would not be
discovered but by length of time; which is when you have thus
raised the price of your Money, when other Nations shall raise
theirs again beyond your new Money, you must then be enforced to
make a second new Money of less intrinsical value than the first,
and then again, all Contracts between the first and the second
new Money, are to be acquitted in the first new Money, or in the
second new Money, valued in Proportion to the first, and so in
consequence of time, a third new Money would be coined, and a
fourth, and a fifth, and so forward; that by degrees both the
multiplicity of the Moneys, and the variety of the times of the
contracts would pass all humane comprehension.
As for Examples alledged, they make more against the
Proposition than for it; for I doubt not, but in the time of King
John, and afore and after that, there were great Varieties and
confusions in the Moneys current, and the Histories of those
Times are full of Complaints upon that subject. And therefore
they do most highly magnify the Wisdom of King Edward the First,
who settled a uniformity in that Subject, by introducing one
certain species of sterling Coin.
And for the Example of France, the Histories of that Country
do not only justifie that there were great Confusions in this
Subject in those times, but by great Insurrections of the People
and Rebellions upon that occasion, insomuch, as the reputed
Authors of those Inventions were sacrificed to appease the
popular Rage.
Chapter 23
Of Coining of Moneys without Distinction of Weights
The Proposition, intended under this Title, is this, That the
Money, hereafter, both of Gold and Silver should be coined of the
same fineness, that the Silver and crown Gold now are, but that
there should be coined no pieces of a certain weight either of
gold or silver, but that the Allay being certain, the weight
should remain uncertain; that all Money now current should be
valued by a certain weight.
As for Example, That every ounce weight of Silver should be
valued at 5s. and every ounce weight of Gold at twelve times as
much, or thirteen times so much, or such a Proportion as should
be thought most equal; and that all former Contracts should be
acquitted in weight, by reducing every 100 l. sterling, into 400
ounces of Silver, or a proportionable weight of Gold, but that
all future Contracts should be directly made in weight, as in
pounds, ounces, and the Sections of the ounce, either in Silver
or proportionable weight in Gold: That there should be only
coined a certain Proportion of small Moneys in Silver, not in
value above a penny, or two pence sterling, of a certain weight
for the accommodation of small ordinary payments. But that all
the main mass of Money, both of Silver and Gold, should have no
certain weight imposed on it, but should be current according to
the weight it had, as it should fall out. The Authors of this
Proposition maintain.
That the first Institution of Money was in this manner. That
this Addition of certainty of weight to the Allay, by making the
stamp to serve as a publick Testimony that the piece so stamped
or coined is not only of such a fineness but of such weight also,
have given occasion to all the Inconveniences that have since
grown in this Subject of Money, and that there is no other way to
reform these Inconveniences stablely and permanently but by
reducing the Money to this original Institution.
And therefore they say, That the imposing of certain weight
to the piece by the stamp hath given the Opportunity to the Kings
and Common-wealths to help themselves in their necessities,
diminishing the Intrinsical value, and marking the piece of such
a weight, when as really it weigheth not so much; and thus much
may be observed in the first part of this Discourse of the
Historie of the Moneys of the Grecians and the Romans and other
modern States.
They say likewise, That this diminution of the intrinsical
value by subtracting from the true weight of which the several
pieces of Money were first marked, hath introduced that practice
of draining of Money from other Nations, by raising the price of
it, which is the Mischief now grown into this Subject.
They say, That it hath given occasion to the culling of the
heavier Money from the lighter, which is one of the greatest
Instruments of Exportation, that it hath also given the occasion
of washing, scaling, and clipping of Money, mischiefs that are
now grown very frequent.
Lastly, It hath given occasion by the use and wearing of the
old Money to raise the price of the new and weighty Money in the
Estimation of the People, and consequently to melt the old.
But although it should be acknowledged that these
Inconveniences have been introduced by these forms of Coinage now
in use, yet it remains to be considered how they would be
reformed by this new form of Coining. And first it is true, if
the form were used, it were not possible for any King or State to
make any advantage either by the raising of the price of Money or
diminishing the weight: neither could they indeed make any
Advantage by addition of Allay, if the Proposition be truly
observed. As for the raising of Money by other Nations, It is
plain that the Observation of this Proposition, here in England,
would not hinder them to raise still, as now they do; but then it
is to be considered, whether their raising would turn to our
Disadvantage as now it doth.
And first, if other Nations raise their Money, they can
neither by that raising make their Moneys valuable to us, nor
make our Money more valuable to them; when as before their
raising or after their raising, they can give it no other value
than by weight, because the pieces are uncertain.
But it may be objected, That when our Neighbours raise their
Money, then will our Money (being al by weight) go further to be
coined into theirs, than it would have done before and
consequently for that profit will be transported until the price
of their commodities do grow up unto their Money.
To which it may be answered, That they cannot set an higher
price upon the pieces of our Money as now they use to do, because
the piece hath no certain weight, then they cannot cull out the
pieces as (now they do) which over-weight, and so by converting
them into their own Money, make benefit of them, so as there is
no way left unto them to make profit of our Money when it is
transported, but to deliver it into the Mint to be here coined
into their Money; in which case the Transporter must of necessity
loose all the charge of the coinage here, together with the Kings
Tribute, and he must also loose the like charge in the place
where he coins it a new. Both which put together would make so
great a Proportion, as no raising for the drawing of Silver or
Gold, into any State at one time hath hath ever equalled it.
But yet this Scruple remains unsatisfied, That at least the
Bullion, which otherwise would have come unto you, will be in the
mean time diverted until the price of Commodities be grown up to
the value of their Money as it is raised. But it is manifest,
that all other mischiefs set down before would be taken away by
this Proposition, as culling, washing, scaling and clipping of
Money, for that no benefit could possibly be made by them, and
that equality of Exchange formerly propounded would by this means
be brought the nearest to perfection of any other; for that the
Merchant, first shall understand the true value of his own Money,
and cannot make the account of Exchange in a forrein place, but
by comparing their Moneys in true weight and fineness with his
own; so as he cannot be deceived either by a false reputed value
of his own Money, or of the Money which he is to receive by
Exchange, and therefore will not make his Exchange to loss,
except he be induced thereunto by some other circumstances which
have no relation to the Subject of Money.
But having thus far debated of the Commodities and Benefits
of this Proposition and prevention of former Inconveniences; It
now remains to be inquired what new Inconveniences this
Proposition would bring with it.
And first, The alteration would be very strange, and with
great difficulty would be received by the People in a matter that
is of most general and continual use of all others, in stead of
accounting by a pound sterling, angels, shillings, and groats, to
come now to accompt by Pound weights, Marks, Ounces, Scruples,
and Drachmas; to which the only answer to be made is,
That although the Trouble and Difficultie would be very
great, yet being once settled, it would be settled for ever,
whereas now the Trouble and Inconvenience which the People endure
in this matter of Money is often renewed, but never amended.
A second Objection is, The Extream molestation which the
People should receive in the practice of it, when as every man
should be bound to carry scales in his pocket (as they say they
do in China) and upon every little payment be bound to weigh
their Money.
To which it may be answered, That there have been antiently
Proclamations in England, and very lately in France, to avoid the
frequency of washing, clipping and scaling, to oblige the People
to weigh their pieces of Silver as well as of Gold, but for the
Silver, the People could never be brought unto it; whereas by
this Proposition, of Necessity, every man receives Money must be
tied to weigh the Silver as well as the Gold, and all these
Inconveniences of scaling, washing, culling, and wearing, would
be avoided with a small part of that trouble to the People,which
the weighing of the several pieces of Silver would put them unto,
partly because the least and most ordinary payments would be
accommodated by the small pieces coined of a certain weight, and
partly because the trouble of smaller payments would be
recompenced by the ease of the greater; for by this course a
thousand pounds will be as soon weighed as twenty shillings can
now be reckoned.
A third Objection may be made against it, That by this
Proposition Princes and States would be deprived of the means to
make secret benefit of their Moneys, which hath been continually
practised, and especially in times of eminent necessity, even to
the preservation of Kingdomes.
To this is answered, That the Objection though it be true is
yet of no weight, because that profit so made, is first made
unjustly, and by the breach of publick Faith, and then it is but
a false seeming profit, and always mischievous to the People, and
really not good for the receivers of it. And (as it was formerly
touched) it may be observed, That after the decay of the Roman
Empire, the Reglements of the Mint of that great Monarchy being
lost, through the Inundations of barbarous People (as many other
excellent Institutions were) the Jews (who by God's Curse were
dispers'd into all Nations, and being suffered to acquire no
natural possessions, betook themselves to artificial possessions;
especially gave themselves to the Study of the nature of this
matter of Money as their Patrimony) in most Countries were
imployed in the affairs of the Mint: and to them succeeded the
Italians, as it may be observed here in England, where for some
Ages, after the expulsion of the Jews, there were no Masters of
the Mint but Italians of Lucca or Genoa: Now these People being
subtil Masters of their Art, and having no natural affection to
these Countries where they were imployed, but aiming only to keep
their own Mills grinding, did by projects of colourable profit,
abuse those States where they were trusted, and keep them in
continual alteration of their Coin, which always in the end
turned to diminution of the intrinsical value; and therefore,
finally this Proposition seemeth to me most strange and remote
from common apprehension of all the rest; but, being duly
weighed, the least Inconvenient and most likely to produce good
effect of any of the others. And thus I have set down all the
Remedies, that by enquiry I could learn, to have bin propounded
either in England, or in other parts for the Inconveniences grown
into this Subject of Money, wherein all the particular Projects
that have made the same projects, varied only in form, or in some
by circumstances, yet I do believe, that hardly (one) can be
quoted, whereof the ground and essence is not here set down and
debated.
And, if the Reader, that with attention and care shall
have made his way through this intricate Discourse, shall in the
end complain that after all his pains, he finds himself as little
resolved what is fit to be done in this subject as before,
considering the variety and contrariety of the consideration
incident unto it, I must apeal whether I did not from the
beginning profess to set down nothing but problematically, and
that my Scope was not to render the Reader able to find out the
fittest course to govern this matter of Money and coin, but able
to judge of what should be propounded by others: a point of so
great Importance, that for want of that ability the wisest States
and the greatest Councils of Christendom, for many Ages, have
been abused by misterious names, and perplexed subtities of Mint
men, gold smiths, and Exchangers; who, as they had the whole
knowledge of this subject in themselves, so they had their
several Interests, and I conceive that I have performed all the
points that I have undertaken in this discourse; save on, which
is that speaking of the several means of raising of Money, I said
that the Occasions thereof had been two,
The one for the drawing of Money from the neighbouring
Countries, or preserving of their own.
The other, when the States without any such pretence, but
forced only by the violence of Necessity to raise means of
Subsistence for themselves, have doubled and trebled, nay
sometimes sextupled the values of their Moneys, of which I
promised to speak further: and for this purpose, I intend to set
down, --
The history of the most memorable Raisings that have been in
this kind, both in our Age and heretofore, of what nature they
were, and how these States did draw their Benefit and Subsistence
out of them.
Secondly, What other Extremities and Confusions, those
Raisings did draw the said States, and the People thereof.
Thirdly, What Remedies these States have applyed to reduce
and settle those Extremities and Confusions whereinto they were
fallen, in which History I shall come to touch some Examples very
modern, as that which of late years was made by the Emperour
which now reigns, especially in the higher parts of Germany, a
raising so high and excessive as it equals any of the antient
Examples, even of those mentioned by Pliny, to be practised by
the Romans in their great extremities in the Punick Wars, whether
you respect the excess of the Multiplication, or the Strangeness
of the effects which it produced; the most famous Occasions,
which I purpose to examine were,
First, Those Raisings, mentioned by Pliny to be, by the
Romans in the first Punick Wars, which was to make every piece of
Coin current at six times the value of what it was before, since
which time, although there were sundry raisings made by the
Romans, yet none of them was neer this Proportion.
In the Kingdom of France, I cannot find any extraordinary
raisings made of the Money, until the time of Phillip le Bell and
Charles le Bell, and then the Kings of France, did raise an
ordinary tribute by coining Moneys of a base value, and when they
were dispersed in the Peoples hands, suddenly calling them back
again, and making them uncurrent, by which they got extreamly
both by the coinage and recalling them; for that none might
exchange or melt these Moneys so recalled, but the Officers
appointed by the King, which was a Gain of a most unjust and
grievous condition that ever was practised in any Kingdom, and
did accordingly produce great Tumults and Seditions there; yet
his practice did remain until the time of Charles the fifth,
otherwise called the wise, whereof (besides the Records of the
Mint in that Kingdom which do shew the perpetual alterations of
the Moneys in these times) I do remember two memorable Evidences
out of Histories, of which one is,
That at what time the State of France, during the desolation
of that Countrey by the English Wars, did grant unto the King the
Gabel of Salt, and the Impost upon Wine, they did particularly
Covenant, That for such a space the King should not alter the
standards of his Coin.
One other is, that Hollingshead in his Chronicle making
mention of a voyage made by the black Prince from Burdeaux into
Languedock doth cite the Letter of one Sir John Wingfield, a
principal Servant to the Prince, wherein he saith, That the
Countries and good Towns, which were wasted at this Journey,
found to the King of France every year more to the maintenance of
his War than half his Realm besides, except the Exchanges of his
Money which he maketh every year, and his Customes of Poitou. But
the standard of his Moneys was stabely kept from Charles the
Fifths time till the first year of Charles the Seventh, at which
time the English being in possession of the greatest part of
France, Charles the Seventh having no other means to maintain the
Wars, did from the year one thousand four hundred seventeen, to
the year one thousand hundred twenty three, raise the silver by
several degrees from eight livres nine sols the mark to 360
livres the mark, so as the Money was raised in six years above
forty times the value of what it was before; of all which neither
our Chronicles nor those of France do make but ???nder mention,
in respect of what they speak of the Pucelle d'Orleans: And yet
the Truth of it is evident by the Records of the Mint: and all
those who have written of the affairs of the Mint, in that
Kingdom, do unanimously agree that this was the Principal mean by
which is as strange as all the rest, is, that at one instant the
Money was reduced again to seven livres, ten sols the mark; and
from that time there have not been any raising of Money in France
of this nature, although the Moneys there have been continually
raised ever since, either to follow the People, who did first
raise their Moneys by their estimation, or to follow the raisings
of other Nations, or to raise above other Nations, to draw their
Money into that Kingdom.
In England there is but one Example of raising in this kind,
which was begun in the eighteenth year of Henry the Eighth, and
continued in divers Princes Reigns after, and was not absolutely
reduced, until the fourteenth year of Queen Elizabeth; and this
raising, although it were far short in Proportion to those
formerly recited, it was much more inexcusable than they were,
for that this Action though it be never justifiable, yet in a
case of extream and unresistable Necessitie, it may be excused,
which was not the case of Henry the Eight, for although he wanted
Money, yet there were much more justifiable wayes to supply it;
and it was not imployed to avoid his own ruin, but in ambitious
Enterprises.
The next in time was that raising Money by the overmixture of
ally made in Ireland, in the three and fortieth year of Queen
Elizabeth's Reign, which although it were not excessive in
Proportion, and lasted but a small time, yet had very many
memorable Circumstances to be observed in it.
The last which I will mention is that which was made by the
Emperor (which now lives) in the year --- who being reduced
within the Walls of Vienna, and having almost nothing else left
him, but the Soverain title of the Empire, did by coining of the
lesser and baser kind of Money five times baser than formerly it
was, extend five times further in use, for the present, than
otherwise he could have done, all those Moneys which he drew by
way of assistance from the King of Spain, or from the Pope, or
from other Princes of Italy; and besides, having a part of the
profit of the Mint in divers other parts of Germany, he did
exceedingly support his Affairs at the present by that means; and
it was a principal occasion by which he prevailed against the
King of Bohemia, who although for his part also, he raised his
Moneys three times in value to what they were before (yet as he
was always a strict observer of the contributions of the Empire)
he coined no other small Moneys, but those of his own stamp, and
they were only current within his own Countries.
Now all these several Raisings which I have mentioned, were
not all by one way, but indeed they were by all ways differing
from one another; and as the Ways of making profit by the Raising
did differ, so the Inconveniences which follow did differ
likewise, and as the Inconveniences did differ, so the ways of
Reduction did differ also, all which will require a long and
curious Disquisition but I do leave it to a second breathing.
Lord Coke's Account of Coin and Coining
Coin in 6 E. 1 was but 20d the ounce, but now it is above thrice
so much: Stat. de Glocestr. c. S.
Ch 2. Instit. f. 311
The pound of Gold and Silver containeth 12 ounces: 12 graines
of fine Gold make a Carrat. 24 Carrats of fine Gold make an
ounce, 12 ounces make a Pound of fine Gold of the touch of Paris:
but by the Statute of 18 Eliz. cap. 15. 22 Carrats fine make an
ounce.
Ch. 2. Instit. 575.
Polidore Virgil f. 304 etc. saith, That Sterling Money comes
ab effigie Sturni (Anglice Sterling) aviculae in altera parte
nummi impressa, etc. vol quod nummum haberet notum stellae, quod
Angli Star voccant: Of this Opinion is Linwood the Civilian, tit.
De Testamentis, cap. Item quia verbo centum solid.
Ch. 2. Instit. 575
But the Esterling or Sterling penny took its name from the
workmen, who were Esterlings, that both coined it, and gave it
the Allay. Hoveden parte poster. Annalium fol. 377 b. vet. Mag.
Charta 167. The Esterlings penny was first coined in Hen. the II
time: and 20d of Silver made the ounce. Dyer 7 Eliz. f. 82, 83
and 12 ounces made a pound of fine Silver, and 11 ounces fine
Silver, and an ounce of Allay maketh a pound weight of sterling
Silver, intended within the Act.
Ch. 2. Instit. 575
By 18 Eliz. cap. 15. plate of Silver ought to be of the
fineness of xi ounces 2d weight.
Ch. 2. Instit. 575
Allay is the mixture of Baser Mettal than Silver or Gold,
called in our Books, Fulse Mettal, 9 H. 5 Stat. 2 cap. 4 & 6. 3
H. 7, 10, a, b.
Ch. 2. Instit. 575
No more Allay must be put into Money than is limited in the
Indentures between the King and the Moniers, upon Pain of
Treason, Britton. f. 10 b. Fleta lib. i. cap. 22
Ch. 2. Instit. 575
Finis