Sessional_Paper_1887-1888 — Page 134

22. It follows that, before subsidiary coin can become worn, it must have passed from hand to hand at a constantly decreasing value. The last holder would lose nothing by the refusal of the Government to redeem a doubtful coin at par; even a speculator would lose nothing, for he would have bought up the coin at its current value,

23. Money, as money, has no existence in China. At home a baker sells a sixpenny loaf for sixpence, and only asks that the coin, however old, shall be genuine. In China, however, there are two elements to every bargain, (i) the price of the goods, (ii) the price of the currency.

24. Bronze cash are the only coined money of China. They all appear to date from the reigns of the earlier Emperors of the present dynasty, and they are naturally much worn and broken, as they get much knocked about. Nominally 1,000 go to the Tael, but nobody ever thinks of accepting them at anything but the market price, which varies from day to day, and according to the condition of the coin. That there should be a government department anywhere which would give a tael of pure silver for any thousand cash tendered to it would strike a Chinese trader as an altogether amazing state of things. The Chinese Government would certainly not redeem these coins, nor accept them in payment of dues.

25. It will be seen therefore that Chinese on the mainland of China do not expect or count upon the redemption of subsidiary coins at their par value. They take them, as they do other coins, for what they will fetch in the open market. Japanese coins, inferior in intrinsic value to our own, circulate freely in the north of China, where the people who take them cannot be supposed to rely on any means of getting them redeemed in Japan.

I have the honour to be,

Sir,

Your most obedient Servant,

The Honourable F. STEWART,

Acting Colonial Secretary, &c.,

&c.,

&c.

(13)

ALFRED LISTer,

Treasurer.

No. 17.

SIR,

TREASURY,

HONGKONG, 17th May, 1887.

I have the honour to request that the Crown Agents may be directed to obtain and forward to this Colony $150,000 worth of Subsidiary Silver Coin in the following proportions:-

20 Cent pieces,.....

10

9)

5

""

27

10 per cent. 60

30

27

Nil.

Copper,

These coins are needed in addition to the supply of $150,000 worth indented for on February 17th, and, as they will be due here about the time of the Chinese New Year, I trust nothing will be allowed to stand in the way of their being sent out.

I have the honour to be,

Sir,

Your most obedient Servant,

A. LISTER, Treasurer.

The Honourable F. STEWART, LL.D.,

Acting Colonial Secretary,

&c.,

&C.,

&e.

**It is right to state that the Coins referred to above arrived in November last, and, the Treasury having been entirely depleted by the Jubilee demand, they were very quickly absorbed. The Invoice of $150,000 now expected was ordered on August 17th, 1887.

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