ON VAEIATIONS IN THE VALUE OB' THE MONETARY STANDARD. 195 



Sivp L stv -1 siv 



"Whence, as the Modulus of the error to which the computed index-number is 

 liable, we have — putting/)' for the loeighted mean of the price-returns, and remem- 

 bering that c and k are the Moduli of "the errors e and € respectively — 



— ^ySw,\2/-PryK- + SwvVc' 



Sivp 



The w's are given in Mr. Palgrave's column headed ' Relative Importance,' 

 (table 27, year 1885). The ^'s are to be extracted from his table 26. The 

 weighted mean /)' is, according to him, 76. And Sirp is the sura of his column (for 

 the year 1885), headed ' Comparative,' &c., imtUiplied by 100 ; that is 166,900. 

 The rest of the expression above written is evaluated in the following table ; of 

 which the materials are taken from the sources named. The third column is 

 formed by subtracting from each of the entries for 1885 in Mr. Palgrave's table 

 2Q—e.g., 38 the price of cotton (comparative with 1865-9) — the weighted mean 

 76. The last three columns in Mr. Palgrave's table 26, relating to Cotton Wool, 

 Cotton Yarn, and Cotto7i Cloth, are omitted, as they do not figure in this table 27, 

 and, it may be added, cannot be supposed independent of the price of cotton. 

 The last column in our table is formed by squaring each entry in Mr. Palgrave's 

 •column headed ' Comparative,' &c. (table 27, year 1885), and omitting the last 

 digit :— 



o 2 



