COIN 



sent'mg fractions of the smallest gold 

 coin ; and that the creditor or seller 

 should have the option to refuse all pay- 

 ments in these last metals, of any sum ex- 

 ceeding 1 the smallest unity of the gold 

 coin. 



By this distribution, though the coins 

 of silver and copper would, in strictness, 

 be subject to some fluctuations, arising 

 from the state of the market with regard 

 to ihose metals, yet the difference would 

 be disregarded in the discharge of ac- 

 counts, because it would never amount 

 to a sum of any importance. The only 

 inconvenience which offers itself under 

 such an arrangement is, that these sub- 

 ordinate coins would also be melted and 

 sold when the metal was dear, and they 

 would be fabricated, if the metal ever 

 happened to be so cheap as to afford an 

 adequate motive of profit to the illegal 

 coiner. The state, in its deliberations 

 on this subject, might determine that 

 the coins of silver and copper should 

 pass either for more or for less than the 

 medium market price of the metal, or 

 for that value precisely. It is evident 

 that the first of these dispositions would 

 afford coin, which would continually 

 vanish into the melting-pot, and is there- 

 fore altogether unadvisable. The me- 

 dium rate of intrinsic value would pro- 

 duce a similar effect, whenever the mar- 

 ket price was low. Whence it follows, 

 that the metal contained in such auxiliary 

 money ought to be of less value than the 

 gold it represents ; and, to prevent the 

 introduction of a similar coinage from 

 private manufacturers, it would be neces- 

 sary that the difference between the 

 value of the metal and that represented 

 by the coin should be somewhat less than 

 the cost of workmanship. Under these 

 circumstances, the public would be sup- 

 plied with an useful implement or ticket 

 of exchange, which would operate as a 

 pledge of value, very nearly to the 

 amount of its denomination, and would 

 be afforded cheaper from the e'xtensive 

 manufactories of government, than it 

 could possibly be made by private work- 

 men. 



Coin, like every other utensil or tool, 

 is subject to wear, and will, in process of 

 time, be snore or less deprived of its dis- 

 tinctive figure, and rendered less valua- 

 ble by the loss of weight. When new, 

 it is the real pledge of measure it pre- 

 tends to be; but, if it be suffered to cir- 

 culate after its weight is considerably 

 diminished, it may become a desirable 

 object to the coiner to fabricate new 



pieces apparently in the worn state, or 

 otherwise he may exercise his industry 

 in speedily reducing the new coin to 

 that state, for the sake of the precious 

 metal he may thus acquire. 



If, on the contrary, the legislature 

 should forbid the currency of pieces 

 worn beyond a certain.small or moderate 

 loss, the consequence will be, that all 

 such pieces will return to the mint to 

 be coined ; and the charge of coinage 

 may become so heavy, as to absorb a con- 

 siderable part of the value of the whole 

 circulating medium in the course of a 

 few years. 



To diminish this last inconvenience as 

 much as possible, it becomes necessary 

 to attend to the nature of the metal, as 

 well as the figure of the piece. Whether 

 the Dutch ducat, of fine gold, or the Eng- 

 lish guinea of 22 carats, may, under 

 like circumstances, be most disposed to 

 lose by wear, has not, we believe, been 

 determined ; but it seems to be general- 

 ly understood, that our standard gold, in 

 watch cases and other trinkets, is less 

 durable than the coarser and harder gold 

 allowed to be wrought in France and 

 Geneva. If this be true, it should seem 

 that there exists no motive for raising 

 the standard of our gold: and perhaps 

 the same argument may apply still more 

 to our silver ; and the advantage, if any, 

 in lowering the standard, \vithotit di- 

 minishing the intrinsic value, has not ye' 

 been shewn, with sufficient evidence to 

 justify the offence against established 

 use and public prejudice, which such t> 

 proceeding might afford. Admitting the 

 observations to be conclusive against al- 

 tering the standard, it would follow, that 

 the greater durability of coin must be 

 sought for in its figure. 



Let us imagine a coin to possess the 

 figure of an equilateral triangle ; let it 

 be thin, in order that it may present a 

 large surface ; let its edges have the fi- 

 gure of a saw, and its faces that of a file. 

 Under these conditions, we should fabri- 

 cate one of the worst or least durable 

 coins that could be chosen : for the an- 

 gles would be easily broken and worn, 

 and the edges and faces would mutually 

 operate on each other with a degree of 

 rapidity, which, it may be concluded, 

 would very soon take away all the sharp 

 prominences, and greatly diminish the 

 weight ; on the other hand, let us sup- 

 pose the least possible surface, and we 

 shall obtain the spherical figure. The 

 pagoda and fanam of India are the only 

 coins, which we recollect, that approach 



