INCREASE OF COIN AND

CIIAP. XXI.

1 31'

must suppose the value of them to be a poundweight of silver, or sixty-two shillings. If thesame quantity of silver remained, and the corn wasincreased to two hundred thousand quarters andthe cloth to the same number of pieces, their ex-changeable value with each other, the demandcontinuing in equal proportion, would be the sameas before. But when exchanged for silver theywould obtain a less quantity of that metal. Incommon language they would fall in price. Ifthe silver Were doubled in quantity, the cloth andthe corn, with the same value to each other, wouldbe the same with respect to silver, and the pricewould be said to be stationary. If one-half thesilver was annihilated, the cloth and the cornwould both be equally affected by it, and, withoutchanging their position relative to each other,would become of less value in exchange for silver,or would be said to have fallen in price. Thoughthis mode of stating a case may serve to illustratethe effect of the rise or fall of prices, yet it cannotbe made applicable universally.

Whilst from the years 1600 to 1700 the aug-mentation of the stock of gold and silver was inprogress, the general stock of commodities in likemanner, but at what proportional pace it is diffi-cult to determine, was also advancing. The goldand silver in a country, contrary to the opinionsof the vulgar, are the least part of its wealth. Theycan scarcely, under any of the changes of metallic