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Show MONEY .MONEY -MONEY . - PROBLEMS OF LONG LUNG AGORomans AGO AGORomans Romans Had Their Tiouhles Tloubles Tioubles , as Did Other Othr Oth r Nations , in theAdjustment the theAdjustment theAdjustment Adjustment of Currencies Currencif's Currencifs ' to tlie the Ie Demandsof Demands Demands- - of ofTradc ofTrade ofTrade Tradc Trade and amI Public 'Welfare Welfare WcIfarc W ' cIfarc . The Romins nomns Romgns nom\ nom ' \ ns ' \ were ere : ; slow Ilow to get 'l l 't t ' 'lcoinage 'tcoinage ' icoinage coinage s system stem Tlircc Three Tiiree bundred hundred bundredyears hundredyears hundredyears years city.far cityfar after nfter the foundln founding of or the city clty , . , far advanced nd\'ance1 nd 'ance1 ance1 \ ' ! in nnny nl'lny nllny many ' rccp respects : ; .ctc ctc < . ; , Romans no Ro nomans Romans mans were trading 111 lii e a tribe of of'lborlgmec of'aborigines ofiborlgines 'lborlgmec lborlgmec 'aborigines aborigines ' ' ; . , Reuben neuben Cihn C'lhn Clhn Cahn ' writes , 1D in 1Dthe inthe inthe the Chicago Chlcaco hlcao ! : Trl Tribune tme Thewme Thev The\ The They \ ' wme weae weaequoting wmefuotll1 wciequoting fuotll1 quoting ) prices In sheep slleep and nnl ! O\CTl O CTl oxen OCTlThe oxenThe oxenThe ' \ The two t\\O t O \ were rclilod rel\lccl rel lccl rel'iled reliled ' \ In i ' \ i decimilsystem10 declm\l declm l decimil declnnlsystem ' \ ystem-O ystem O system-10 system 10 < ; - ] 10 sheep equilcd equ\lecl equ lecl equaled ' \ 1 1 ox 0\ 0 of ofIn 0In oxIn ' \ In Etrurii Btrurh Etruria \ " which ' } lIch 1'1northwect 1'i 1i ' liv 1'1\ 1'1 11 ' \ northwest northwect : ; of ofthe ofthe ofthe the Tiber TIher Tlher river rl\'cr rl 'cr cr \ ' , \ were ere copper mints mines mintsnnd minesand minesand nnd and at an nn earldte carlv earl\ earl early \ ' dite d\te d te date ' \ copperas copper \\as as was wasbrought ' \ wasbrought asbrought brought to Rome nome It cime c\me c me canoe ' \ to he use used usedIn usedin ! ] In shields sll1c1ds hirness h'lrness hlrness harness ' w \ wigons igons , gone ; ships h Ipe : anl and anlfor andfor andfor ! for miny m'lny mlny many ' other purposes Thus ishid is isJl'1d islaid Jl'1d Jl1d laid ' a n m'lrZet'nlue roirkct m'lrZet mlrZet market ' , \ ' value \'nlue 'nlue nlue nnd and It bec'lme beclme became becamethe bec'lmethe bccimethe ' the custom to u use e lumps of it in III an m\l\ m l mak mlIng makIng roiking ' \ \ Ing payments The government overnment p'lld plld wild p'lldno wildno pildno ' no attention to this inno [ innovition nno'lUon nno\ nno \ 'lUon lUon 'ition ition ' , , how howI however however however I ever , . for some " vcirs "e'lrs elrs years ' At a time when whenpieces whenpieces , pieces of copper w " \ were ere being helng u used cased < : ; ed intrade In Intrade ' trade a souse drh drli driving m ing his charlot chariot chariotrecklessly chariotrecklessly I Irecklesslv recklesslv recklessly along the Appian boule houlo bouleyard houloyard houlcvard yard might hive h'l\'e h'l hl 'e e have ' ' \ to settle with Ith th the thejudge thejudge ( " jUdge by drIvIn driving up a 11oelor nock 11oel\ 11oel flock \ : of or sheepSince sheep heep sheepSince heepSince heepI I Since copper coppcr wis W'lS WlS was ' sold bv by wClght weight weightIt , , , It became convenient ccmvenlent ccmvenient to Imp h'lH hlH hone ' > poun pound poundlumps pounAlumps ' lumps called caned an "is is " 'le le 1s ' ; " There Th're Thre ( ' were werea1 werealso werealso a1 also 0 t\\ t two t0 ' \ 0 and three pound pieces piecesThus piecesThus piecesThus Thus copper ser\ ser serf served sered \ ed ' ' is 'is money before beforethe beforethe beforethe the stite st\te st te state ' \ stirted t'lrted tlrted started ' Issuln issuing . : ! pieces of ofmet'll ofmetal ofmetil met'll metll metal ' stamved stam stamped ed \ with Ith picture of the thegodq thegods thegods godq gods , , mythical mvthfcal mvthlcal heroes , and nnd contem contemporarv contemporarv contcmporarv porarv polltlchnsWhen pollticignsWhen pollticlins polltlchns pollticigns pollticlinsWhen contemI I When after 3CG 3Gj 366 ( B C the Rom'lns Romlns Romans Romansbecame Rominsbecame ' , became commercially commercI3l1y ' imbitlous 'lmblt1ous lmblt1ous ambitious and andfounded andfounded andfounded founded a mintime m\rltlme m rltlme maritime ' \ colony colonv they tookup tool took tookup andI , I up coInln coining The money was blon7P bion7e bionzelead , Jead lead , and tin tm , being bemg combinedlth combined \\lth lth with withraw \ withraw lthraw raw copper The unit ofnlue of valueweighed \ value \nlue nlue nlueweIghed weighed an as and w \ ' . is 1.S 1S cilled c'111ed c111ed ' by th'lt thlt that th'ltname thatname thitname thitnameSilver ' name nameSih nameSllti Sih Sllti Silver er , which the Romin Rom'ln Romln Roman ' generals generalsoun generalsfound generalsfound found ( oun desinble deslr\ble deslr ble desirable ' \ 10 LO io ha\ ha hati have hae \ e on hind h'lnd hlnd ' to tobuy tobuy tobuy ' buy army nrmv equipment cqUlpment is 'lS lS ' is they went on onconquests onconquests conquests and nnd which was as alreadywIdely alreadywidely already onI I widely used elsewhere thinks th'lnhs thlnhs ' to , Greek Greeh ' ind 'lnd lnd and Alexan Alexandrlin Alexandrian ri'ln riln ' Influence InOuE-nce InOuE nce - , h he hecame hocame ( ' camp came official OffiCHII money In Rome after after2G9 269 G ! ) R n B C Thereupon the douhle double douhlestandar doublestandard doublestandard standar standard " was "as as adopted silver'tnd silvertnd silver sllvcr ' ' ind 'lnd lnd cop copper copper copper per both being coined comed ind 'lnd lnd and ' a mInt mIntrtlo mintritio mintntio r\tlo r tlo ritio ' \ of 1 120 0 to 1 was established Al Althou Although Although thou though h slh sll\cr sll cr sDter \ er wis W'lS WlS w'is ' used I1led : ; c\clnsi\'ely c clnsi 'ely ely exclusively exclusivelyin cclnsi'elyin ' \ \ ' in the foreign trade , copper con contlDued continueol continned tlDued tinueol to constitute the principal principalmoney principalmoney I money at nt homeow homeiou home \ow ow i\ou i ou ! \ \ o\v o v \ ' silver Iher sller % greitlj gre'lt1J grelt1J greatly ' Jncr Increised increased ( > 1ced ' : In Ini Inquantlt inquantit3 Inquantity i quantlt quantit3 For ror I'or Ior ' one thing , Ale Alo\indcrdisco\cred Alo indcrdisco cred \ 'lm1cr lm1cr 'indcr indcr 'lm1crdlSCO 'indcrdascoterecl ' dlSCO\ dlSCO dlSCOereel dascoterecl \ ereel enormous tre'l trel treisures treasures ' 'ures ures < : ' of ofboth ofboth ofboth both gold and 51h sihcr slier er in the U1e OrIent OrIent'lnd Orientand Orientind 'lnd lnd and 'lndset andset ' set them In circulation And Andthere Andthere Andthere there was "as as " the greit gre'lt grelt great ' silver bll'fer bllfer ' mine 1nSpain InSpain In 1n InSpain Spain which wZllch ' it 'It one time emploved employed employed-10000 employed 10000 40000 90000 - roipers mipere mipers ; This TIlls hid h'1d h1d ' the effcct effect effcctof effectof effectof of cheapening chpnpenlng sl1\ sl1 sil\er sil er sl1er sillier \ \ er boosting prices pricesIn In terms of silver sliver At the time when whenwars whenwars wars ' \ ars had cut oft off the supplies upplle'3 upplle3 ' of ofHome's ofRome's ofRome's ofRomes Home's Homes Rome's Romes ' copper coppu , the value of th'lt thlt that th'ltmetal thatmetal thitmetal ' metal in relation to silver slher rose roce : morE morethan morethan ' than did the generil gener'll generll general ' commodity commolhty In Inde indeg Inde\ Inde Indenumber de deg \ . number And furthermore , cop copper copper copper per v \ wis " \ 'lS lS is ' a commodity useful to ha\ ha hae hate haaround hatearound haiearound \ e around while warring wnrrlDg wnrrlDgnom'ln warringRoman warringRomin Romin nom'ln nomln Roman ' stitesmon bt\tesmen bt tesmen st'ttesmen stttesmen ' \ ' well understood understoodGresh'lm's understoodGresh'im's understoodGreshim's understoodGreshims Gresh'lm's Greshlms Gresh'im's Greshims ' ' h ' liw l'lw llw v 18 13 centuries before beforeGl beforeGaesham beforeGi Gaesham Gl esham esbam with w ' \ ith lth a double 1I0uble standird stanhrd standard ( nn an nnlDCre'lSe anincrease anincreise lDCre'lSe lDCrelSe increase ' . in .In tlie the supply of silver slIver salver , beIng beIngcomcIdent beingcoincident beingcoincident comcIdent coincident with a reduction in the thesupply thesupply thesupply supply of and ' in 'ln ln to Increise Incre'lse Increlse ' in the de demand dewand demand mand wand for copper , would have led to tothe tothe tothe the hoirding 11O'lrlIng 11OlrlIng lioarcling ' ! of copper ' is 'lS lS 1s money If Ifthe Ifthe Ifthe the double standard was wns to work wor1 . 1twas It 1t It"as It\\as It as \ "as as was " \ ncccssiry necesS'lry necesSlry necessary ' to reduce the mlOt mint mlOtr'ltlo mintratio mintntio r'ltlo rltlo ratio ' from 120 1:0 10 I : O to 1 And so the . . size sizeof sizeof sizeof of the coin 'is is ' 'lC lC ' ; ' wis W'lS WlS was ' chinged ch'lnged chlnged changed ' from from12 12 ounces of bronze to 10 8 6 and ande'entual1y andeventually nndeventually e\'entual1y e 'entual1y entual1y eventually \ ' to 2 ? ounces Thus Thue ; the re- re rehtlon re- re relition re-litlon re litlon - - - htlon lition of sl1\ sl1 slher sl1er silier \ er to copper fell as lo\\ lo low loa'5 lowas lowas \ \ ' a'5 a5 as ' 20 to 1 I while whale the non-nil non nil norm'll normll normal - ' cources sources courcesof sourcesof ; sourcesof of metal \ were ere unn\ unn una\nliblc una nliblc unn'llhble unarvlible \ 'llhble llhble ' When tlJ the thepeke tliepeice ( pe'lce pelce peke ' time 110of flow 110\\ 110 \ of new copper W'lS WlS was W'lSre wasre wisre ' re established , and the war time demand de- de dem'lnd de-mind de mind - - m'lnd mlnd mand ' " wis was 'lS lS ' cut off , the 01 old 1 < ratio of of120 1 120 0 to 1 was restored Copper and nnd silver sliver performed e'mllarly emllarly s'mtlarly smtlarly s'mllarly smllarly ' In 1n the theWorJd theWorld theWorld WorJd World war The nnrLet m\rhet m rhet market ' \ ratio t \ as as30to1in as30 80 30to1in to 1 in 1017-now 1017 now 1917-now 1917 1917 - now Is 76to1 76to1Delnluition 70 7G to 1Dealu'ltlon 1 1Dcvniuition Dcvniuition De\alu'ltlon De alu'ltlon alultlon Delnluition " \ ' of copper was not un undertnlen undertaken undertaken dertnlen dertaken , by the Roman republic repubUc at atany atany atany any time for ( or proGt profit nor to rellee relietie relietiethe relle\ relle rellethe rcllc\etlie rcllc etlie \ e the burden of debtors , the end coda codasought cndasought sought by gold devaluators devaiuators today It Itwas Itwis was \ 'lS lS ' done clone to maintain mamtaln the douhle double douhlestandard doublestandard doublestandard standard It \ was a < . the earllC earliest t e estm estmpie es.impie esimpie : < . . 'lm lm 'lmpie ' pie of a successfully managed cur currency currency currency rency On the ides fdes of March , 41 91 41Be 91B 41B Be B U C , the grcit grc\t grc t great ' \ Cacsir CaeC'lr CaeClr Caee'tr Caeetr : ' ' , wis w1s ' \ . , slain After him cime C'lme Clme c'tme ctme ' ' emperors who usel used uselthe usedthe usedthe ! the rcpubllcin republlt'ln republltln republican ' precedent to debase debaseth debasethe debasetlie th the turren currenci currency ( . ' as a rncl racket et , until Ita its Itaalue itstalue its\alue its alue \alue alue talue \ " was "as as but one fiftieth ofbat of \ what \\bat bat It itw Itwis w " 'lS lS is ' before . . , 1 ' Ihe the he history of money In the Ro Ro- Romn Romin - min m\n m n m'tn mtn ' ' \ 1 i lepubllc epubllc " VMS w'ts wts 'lS lS ' ' a succession buccelon % of re relIjustments readjustments reidjustments \lIjustments lIjustments adjustments ' \ to mike D1\he D1 he ' \ a double doub1e stand stand- standf standtrd standird . - \f f ' \ ird trd forl ( ] \ work \\orl orl < Tint Th'lt Thlt Tlvit ' tlie the republic sup suppUed supplied supplied pUed plied its cltl7enslth cithens cltl7ens citizens ' \ with \\lth lth a soum sounl sounr * ' and nnd an anhonest anhonest anhonest honest medium median of exchange e'tchange etchange ' is testi test tcstimony [ - mony inony botli both to their ability and anlI their theircllracter theircliracter theircinracter cll\racter cll racter cliracter ' \ . |