It does not appear to have occasioned any.The law which enacted it was, like all other laws relating to the coin, introduced and carried through the assembly of the people by a tribune, and was probably a very popular law.In Rome, as in all the other ancient republics, the poor people were constantly in debt to the rich and the great, who in order to secure their votes at the annual elections, used to lend them money at exorbitant interest, which, being never paid, soon accumulated into a sum too great either for the debtor to pay, or for anybody else to pay for him.The debtor, for fear of a very severe execution, was obliged, without any further gratuity, to vote for the candidate whom the creditor recommended.In spite of all the laws against bribery and corruption, the bounty of the candidates, together with the occasional distributions of corn which were ordered by the senate, were the principal funds from which, during the latter times of the Roman republic, the poorer citizens derived their subsistence.To deliver themselves from this subjection to their creditors, the poorer citizens were continually calling out either for an entire abolition of debts, or for what they called New Tables; that is, for a law which should entitle them to a complete acquittance upon paying only a certain proportion of their accumulated debts.The law which reduced the coin of all denominations to a sixth part of its former value, as it enabled them to pay their debts with a sixth part of what they really owed, was equivalent to the most advantageous New Tables.In order to satisfy the people, the rich and the great were, upon several different occasions, obliged to consent to laws both for abolishing debts, and for introducing New Tables; and they probably were induced to consent to this law partly for the same reason, and partly that, by liberating the public revenue, they might restore vigour to that government of which they themselves had the principal direction.An operation of this kind would at once reduce a debt of a hundred and twenty-eight millions to twenty-one millions three hundred and thirty-three thousand three hundred and thirty-three pounds six shillings and eightpence.In the course of the second Punic war the As was still further reduced, first, from two ounces of copper to one ounce, and afterwards from one ounce to half an ounce; that is, to the twenty-fourth part of its original value.By combining the three Roman operations into one, a debt of a hundred and twenty-eight millions of our present money might in this manner be reduced all at once to a debt of five millions three hundred and thirty-three thousand three hundred and thirty-three pounds six shillings and eightpence.Even the enormous debts of Great Britain might in this manner soon be paid.
By means of such expedients the coin of, I believe, all nations has been gradually reduced more and more below its original value, and the same nominal sum has been gradually brought to contain a smaller and a smaller quantity of silver.
Nations have sometimes, for the same purpose, *****erated the standard of their coin; that is, have mixed a greater quantity of alloy in it.If in the pound weight of our silver coin, for example, instead of eighteen pennyweight, according to the present standard, there was mixed eight ounces of alloy, a pound sterling, or twenty shillings of such coin, would be worth little more than six shillings and eightpence of our present money.The quantity of silver contained in six shillings and eightpence of our present money would thus be raised very nearly to the denomination of a pound sterling.The *****eration of the standard has exactly the same effect with what the French call an augmentation, or a direct raising of the denomination of the coin.
An augmentation, or a direct raising of the coin, always is, and from its nature must be, an open and avowed operation.By means of it pieces of a smaller weight and bulk are called by the same name which had before been given to pieces of a greater weight and bulk.The *****eration of the standard, on the contrary, has generally been a concealed operation.By means of it pieces were issued from the mint of the same denominations, and, as nearly as could be contrived, of the same weight, bulk, and appearance with pieces which had been current before of much greater value.When King John of France, in order to pay his debts, *****erated his coin, all the officers of his mint were sworn to secrecy.Both operations are unjust.But a ****** augmentation is an injustice of open violence, whereas the *****eration is an injustice of treacherous fraud.This latter operation, therefore, as soon as it has been discovered, and it could never be concealed very long, has always excited much greater indignation than the former.The coin after any considerable augmentation has very seldom been brought back to its former weight; but after the greater *****erations it has almost always been brought back to its former fineness.It has scarce ever happened that the fury and indignation of the people could otherwise be appeased.
In the end of the reign of Henry VIII and in the beginning of that of Edward VI the English coin was not only raised in its denomination, but *****erated in its standard.The like frauds were practised in Scotland during the minority of James VI.They have occasionally been practised in most other countries.
That the public revenue of Great Britain can never be completely liberated, or even that any considerable progress can ever be made towards that liberation, while the surplus of that revenue, or what is over and above defraying the annual expense of the peace establishment, is so very small, it seems altogether in vain to expect.That liberation, it is evident, can never be brought about without either some very considerable augmentation of the public revenue, or some equally considerable reduction of the public expense.
