apeil — sept. 1859.] Ancient and Modern times. 69 



mously augmented by importations from California and Australia, 

 and increased quantities from Northern Asia, it was feared that 

 much commercial distress would ensue. Hitherto, so far as I am 

 aware, the ill effects so naturally expected have not resulted. The 

 immense extension of commerce and increased demand for gold 

 for ornamental purposes, have most probably hitherto absorbed the 

 extra supply. 



The very serious expense attending upon the maintenance of a 

 medium of exchange consisting principally of the precious metals, 

 though perhaps a less obvious disadvantage, is not less real than 

 the other, and scarcely less important. This will be evident from 

 the following calculations taken from a Note by Mr. McCulloch. 



The French currency was estimated by Necker at 2,200,000,000f; 

 by Penchet somewhat lower at l,850,000,000f. Taking the mean 

 of these two estimates, and allowing six per cent, as the ordinary 

 rate of profit, the expense of maintaining as coin 2,025,000,000f. 

 will be 121,000,000f. To this must be added the loss by wear 

 and tear, by fires, shipwrecks, &c, which must of course all be 

 made good by the public, and which cannot be estimated at less 

 than one-hundredth of the whole, or 20,000,000f. These two sums 

 make up 141,000,000f. or £5,640,000. 



Or, supposing fifty millions of sovereigns to be in circulation in 

 England, (£57,000,000 of gold was coined in the reign of George 

 III), and allowing five per cent, as the rate of profit, the expense 

 of maintaining in circulation these alone would amount to 

 £2,500,000 annually ; and I think we may with McCulloch fairly 

 estimate losses at £500,000, raising the cost to £3,000,000 per 

 annum. 



The materials which have been employed for metallic cur- 

 rency are — gold, generally if not invariably alloyed — naturally 

 with silver and copper, intentionally with copper ; silver, pure, 

 or containing a little gold, or alloyed with copper ; ms or bronze, 

 commonly translated " brass" or " copper ;" copper ; aurichal- 

 chttm or 03Richalchum: ; iron ; platinum ; and zinc. Some 

 other materials will be mentioned when I come to speak of Depre- 

 ciation of Currency. 



The last three materials may be dismissed in a few words. 



