cause of decline in prices was due to the increasing improvements in 

 steam, ehemittry, and labour-saving machinery. He concluded by 

 quoting the author of " Recent Economic Changes" (Mr. David A. 

 Welis) in saying that " to suppose now that a change in the relative 

 value of the two precious metals (gold and silver), a change which 

 has not in any degree restricted their natural supply or diminished 

 their monetary or industrial use, has exercised a concurrent, superior, 

 and predominatory iufluence in respect to the prices of all other 

 commodities or services, would seem to be almost incompatible with 

 the clear exercise of one's reasoning faculties." 



The address was illustrated by a number of cleverly-prepared 

 diagrams. 



Mr. Fysh characterised the paper as a most able and elaborate 

 dissertation, and one which would be classified and appreciated among 

 scientific papers of the kind throughout the world. If, however, chey 

 found that the primary law of value or price was the economic cost 

 of production, many of them would have to turn themselves inside out 

 in regard to their settled theories. 



Mr. Woollnough felt doubtful as to the results Mr. Johnston had 

 arrived at, whilst still having great confidence in his talent in such 

 matters. 



Dr. Benjafield wanted to know whether to day it was taking 

 double as much labour to produce a ton of gold that it did 20 yeara 

 ago? 



Mr. Johnston: No; it's just stationary. It's the cost of producing 

 silver that has reduced. 



Dr. Benjafield insisted that gold was produced to-day cheaper 

 than ever, and in larger quantities. 



Mr. Johnston : The quantity does not settle its cost. 



Mr. Fysh thought that there Mr. Johnston's difficulty came in. 



Dr. Benjafield remarked that the purchasing power of gold was 

 higher to-day than it had been known to be for many years. 



Mr. Johnston dissented. 



Further discussion on the paper was adjourned. 



It was desired by several that the paper should be printed, and Mr. 

 Morton appealed to the Treasurer to have it printed in the Govern, 

 ment Printing Office. 



A vote of thanks to Mr. Johnston was then passed, and the 

 Chairman, in moving it, expressed regret on behalf of the Society 

 for the cause which had led to the absence of the Governor. He also 

 referred to the wcent visit of Mr. Wragge, and the marvellously 

 accurate forecasts of the weather which that gentleman had recently 

 given. 



