[55] Old–fashioned treatises on the foreign exchanges often leave the student with the impression that the gold import point is a known and stable thing given for good in books of reference. How far this is from the truth, the example of India well illustrates.
[56] It is worth his while to do this, because the cost of sending gold from Australia to London in one transaction is less than the cost of sending it first from Australia to India and then from India to London in two separate transactions.
[57] I make this assumption, which is not exactly accurate, for purposes of illustration only.
[58] Or less, if paid at the time of shipment and in advance of the time of delivery.
[59] See p. 37 (footnote).
[60] The designation of the reserve was changed from “Gold Reserve” to “Gold Standard Reserve” in 1906, when it was decided to hold a part in silver; but the change of title has not really made the position much clearer.
[61] At the end of March 1913, £1,620,000 in gold stood to the credit of the Gold Standard Reserve in London.
[62] See also pp. 190, 191, below.
[63] Reckoning uncoined silver at its coined value.
[64] A further loan of £2,500,000 for “general purposes” was incurred in December 1908.