MR. GOSCHEN'S CURRENCY SCHEME.
iTo THE EDITOR OF VIE " SPECTATOR."
SIR,—So far as I can yet see, I think the outlines of Mr. Goschen's currency proposal are altogether right and wise. You suggest the danger of a run for gold in exchange for the one-pound notes as a possible aggravation of the evils of a panic. In Ireland and Scotland, we have been using one- pound notes during the past seventy years, during which time they have been unknown in England ; yet our financial state has been as sound as yours ; and though panic has not been unknown, it has not been more acute than in England, and has not had the aggravation which you fear. It is quite true that, in the event of an invasion, notes would be exchanged for gold in order to hoard ; but it would be right to meet this by a temporary suspension of the convertibility of the notes, at the same time prohibiting any extension of their issue. If we should ever have to suffer such a calamity, it would be much better for the gold to be in the Bank of England, under public control, than in private hoards.—I am, Sir, &c.,
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