I affect Truth and Plainness, and a sincere Love to my Country.
Whatsoever I have read or heard on this Subject, hath brought the Matters to this Dilemma, that either Coin must want of its intrinsic Value, so as to disatisfie most of the King’s loving Subjects, and endanger a fatal stop to Trade; or if it is to be made of near an intrinsic Value, according to the Rate Silver shall go at in the time of Coining, then upon every little Rise of Silver higher than that Price, we are in danger of having it exported and melted down; and so every Parliament may meet with the same Difficulties we at present labour under in the badness and scarcity of Silver Coin.
That which I pretend to, is, to obviate both these Dangers, or otherwise I confess I might have spar’d my Pains; for he who hath provided for one and not the other, hath at the best but done half the Work.
There are three Terms of Value, upon the right Understanding of which, much depends, viz. Extrinsic, Intrinsic, Real.
DEFINITIONS.
Extrinsic Value of Money is the Denomination and Power, that is given it by Authority.
Intrinsic Value is the necessary and Natural Value, always and every where inherent in the Species.
Real Value is a Certain Value more or less than Extrinsic, or Intrinsic, adherent to the Species, with respect to time and place.
TWO things are now under Consideration. 1. The Badness of our Silver Coin.
2. The Scarcity of it.