258
them than the Mexican, and the Public will not pay two per cent for the conversion of the latter into the former, nor will it purpose to have their Sycee answer their Silver so coined into British Dollars unless these two forms of Bullion should happen to be ruling much below their intrinsic value as compared with defaced or "chopped" currency, or clean coin happen to be bearing premium. The former of these two events is not likely (although it has been known) and should it recur, it could not last, because the very demand which conversion into Coin would create would at once restore Bar-Silver to its true value.
A recurrence of the latter contingency, not overlooking the fact that two coins would now divide its benefit, it must be remembered that the premium borne in 1862 and 1863 by undefaced Mexican Dollars over disfigured ones, was entirely due to exceptional circumstances, at that time prevailing in North China and Japan, which for the past twelve months have altogether ceased to exist.
Foreign trade with Japan first commenced in 1860 and speedily led to a vast demand for Mexican Dollars, because the Japanese, ignorant then of the suitability to their wants of Western Manufactures, would accept