- gafonotna
Trafod of CHIRO
After the unification of the Currency has beon 30
accomplished, the next step will be to restrict or contract
the amount in circulation until the value in exchange of
the Standard Dollar is forced up to the point at which it
is desired to fix tue Gold Standard unit.
Coinage will of course remain a Government monopoly
and free coinage in the sense in which it at present exists
in China will cease. Bar Silver will no doubt continue to
be imported as in India, but it will no longer legally be
available as in the past for conversion into sycee, since
that has been demonetized, or for coinage, since that is a
Government monopoly. It is probable that China will con-
tinue to absorb silver, as India does, but in future it
will be as a commodity only
-
always assuming that the
Chinese Currency Scheme is made effective.
The point is that sycee having been demonetized, no
one can be forced to accept it as currency but it is doubt-
ful, I think, if the Chinese Covernment will be ablo, at
least at first, to prevent merchants accepting it by
arrangement if they wish. The Government might then, with
the consent of the Powers, take steps to restrict the
importation