But i maintain that the money market is as concrete and real as anything else; that

Even supposing trade to have remained stationary, a greater capital would be required to carry it on after such a rise of prices as has been described than was necessary before that rise. ] Acceptances have been omitted in the above, the amount of bills payable is supposed to be deducted from cash, and various minor items are omitted. If it is known that the Bank of England is freely advancing on what in ordinary times is reckoned a good security–on what is then commonly pledged and easily convertible–the alarm of the solvent merchants and bankers will be stayed. But under the head ‘Public Deposits’ in the accounts of the Bank, are contained also other accounts, and particularly that of the Secretary for India in Council, the laws of which must be different and are quite unknown. ) Cash, etc. Now, the only source from which large sums of cash can be withdrawn in countries where banking is at all developed, is a ‘bank reserve. One-third of the deposits in joint stock banks, not to speak of the private banks, would be 30,000,000 L.