CO129-316 - Governor Sir Blake - 1903 [1-4] — Page 573

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new coinage, but in any case the sum cannot

fail to be a large one.

•

In the beginning of this memorandum refer-

-ence was made to two systems, one of which

would presumably have to be adopted should any

change in our currency taken place. In the

first case if a gold standard is established

immediately a heavy additional fall will take

place in the value of the demonetized dollar.Thus

those who on a certain date find themselves in

possession of these coins will suffer severely and in view of such an impending change great

difficulty will doubtless be experienced as all

will be very shy of receiving an already doomed

dollar. The result cannot but seriously hinder

trade, and all business, for a considerable

period. This is part of the price we would have

to pay for conversion..It is true the loss thus

occasioned would be a passing one but it would be

heavy and is not to be overlooked. On the other

hand most of those who advocate a change of

currency do so apparently more with the hope of

regaining in part, what they have already lost

through the depreciation of silver.

While some speak of keeping the dollar at

its present price (say 1/74) others talk of 12

to the pound (1s/84) or even 10 to the pound

(2/-).

Suppose a fixed ratio is agreed upon, what

will be the result? In the first place the