Bills without any Security, I'll fend them Customers enough. But Mr. Medler thinks I mean that the Banks of Amfterdam, Venice, Genoa, &c. keep every Farthing of Money in Bank that their Bills of Credit amount to. Perhaps I may be better informed in the various Managements of Banks than he is, I know that fome neither receive in nor pay out either Money or Bills; fome receive in Money but pay out none; fome do both receive in and pay out, and alfo give out Bills, as the Bank of England and the London Bankers, but whether these keep every Farthing in Readiness to pay off their Bills, I shall not take upon me to affure him, but refer him to make the Inquiry of themselves; but I am fure they ought always to be provided of the full Value of Money, or what will command it at a fhort Warning, or else they do not deal fairly by those that truft their Money in their Hands; and I can affure him that the Conftitution of the Bank of Amfterdam (and divers others) is fuch as that they can never defraud their Creditors in this Way; that Bank fubfifts upon a Principal Stock of Money and Bullion depofited by the Proprietors at its Establishment, and no Man is permitted to pay in one Penny more to it; and this Capital is only transfer'd from one Proprietor's Account to another in the Bank Books, as they have Occafion to give Order from Time to Time, and this is what is there called paying Money in Bank, but they never pay out any Money in Specie, unless any Proprietor demands out his whole Stock, but this is not to be expected whilft the Money in that Bank is always current for more than the Specie; thus they can never lend out or make Ufe of one Penny of the Money intrafted to their keeping, and know no fuch Thing as the giving out Bills of Credit, and confequently the full Value of all that has been depofited there is believed to remain intire to this Day: I know that it has been furmifed as if the States had made bold with a Part of this Treafure to fupply the publick Occafions, but as there has never been the leaft Proof, or real Ground for fuch a Suggestion, it ill becomes any Man to be the Promoter of so vile an Afperfion upon a Sovereign Magiftracy.

Again, they urge as a pregnant Inftance of the Mischiefs brought upon Trade by the late Staggering of Paper-Credit, 'That the Want of Money immediately appeared to exceffive, that People were forced to give at the Rate of twelve per Cent. per Ann. to discount the beft accepted Bills of Exchange. To this I reply, that though Men who run their Affairs to fuch an Extreme, as to be under a Neceffity of difcounting their Bills before they become due,difcover themselves to be but in bad Circumftances, yet we will admit that fometimes Men of the beft Reputation may have an immediate Occafion to discount their Bills, when they may fee a prefent Opportunity to lay out their ready Money to fome great Advantage, fuch as lately happen'd, to buy Bank Stock at 95 per Cent. in fuch a Cafe then it is no very great Matter for a Man to give fifteen Shillings extraordinary (which is the utmoft of this Difcount, reckoning fix Weeks beforethe Bill is due) for the Loan of an hundred Pounds, which he knows how to difpofe of fo as to gain five Pounds by it. If fudden Frights run People into: Extravagancies for the prefent, yet thefe are not lafting, they will foon come to themselves, and Things will return to their former State; but when through their own Imprudence they have fuffered fuch Enormities to creep into their

Nego.

Negotiations, they must be content to bear with the Disorder that will first attend the reforming of an Evil that was become general, and it will be a fufficient Recompence for a fhort Inconvenience, if the prefent Experience teaches all that are concerned to reduce their Affairs into a better Regulation for the future.

As to the falling of Stocks, there is nothing ftrange nor unreasonable in it, they were run up to an imaginary Value much above their real Worth; and when the Managers themfelves had taken an unaccountable Course to publish to the World a Diffidence of their own Affairs, this muft naturally induce wa ry People to reflect upon what was the real and intrinfic Value, and they fhewed themselves the wifeft Men who were the forwardeft in telling as long as they found they could get much more for it than its true Worth; but when Bank Stock came to fall to ninety-five, they that parted with it (if they were under no Neceffity) fhewed the greatest Imprudence, for I believe I am rightly informed that one hundred Pounds has been actually paid into that Stock, and whofoever will proclaim a Sale of Sterling Plate for under 5s. per Ounce shall never want Buyers; the World will quickly fall into the true Account of Things, and we see how foon it came up to its true Standard Value again; nor is it to be doubted but that as Mens Minds come to be fettled, it will go rifing higher, for there will always be found People of Wealth and Abundance, that will be glad to employ their Money under fo careful and fecure a Management with out Trouble to themselves, though they fhould gain no more than five per Cent. by it; fo that, if it may not be faid that one hundred Pounds Stock is really worth one hundred and twenty, yet it may not be irrational for fuch to give fo much for it, and this (as long as it can divide no more than fix per Cent, per Annum) I should think to be the utmost Advance that it can with any Appearance of Reafon, even in Times of profound Peace, be brought to, confidering withal, that their Parliamentary Privileges are determinable in a few Years, and when that fhall happen, fuch Purchasers will be fure to lofe Twenty Pounds out of the Profits which they fhall have received: But if in Defiance of fuch evident Demonftration, Men fhould again fuffer themselves to be drawn into the Cheats of Stock-Jobbers, and will part with their Money to buy Stocks at an Over-value, when they find themselves bitten again, let them never more lay the Blame upon the Change of Court-Minifters (if ever fuch a Thing fhould happen) but e'en defire the Tatler to build a bigger Bedlam for them than any he has yet projected. The fame may be faid of the other Stocks, People ought never to value them by the Rates they may go at in Exchange-Alley, but to inform themselves truly of the certain Sum that has been paid into the Stock, and of the Dividend that is conftantly made, together with the probable Success of the Management, and then they may make a rational Judgment when to lay out and when to keep their Money: But for the Lofs which the Dealers in this tricking Trade have lately fuffered, it ought not to bear any more Regard than we had for fuch who formerly boughtGuineas at Thirty Shillings,and kept them up in hopes that they would yet rife to a higher Price; it is plain they have loft no more but what they had imprudently given above the real Worth (reckoning according to the prefent Price) for now they continue to be fold for more

than

than the Money paid in: How little then do fuch deferve the Name of honeft Men? Or rather, what Punishment do they merit who have published to the World in an infolent Manner fo vile a Falfhood, as that her Majefty's late Change of her Minifters had occafioned the Lofs of many Millions to the Subjects?

I have been the larger in this Differtation, because I think the Nature and Use of Money, Credit and Stocks,have been treated in too fuperficial a Way by others, and therefore I was willing to publish my Thoughts thereof, for an Inducement to ingenious Men to investigate these Notions with more Attention, and if they will give themselves the Trouble to read a Book entituled A Vindication of the Bank of England, they will find therein Effays upon Banks, upon Credit, and upon the Plenty and Scarcity of Money, which perhaps may give them fome further Satisfaction in thofe Matters, and fhew them alfo that the large Credit that is practifed among us in the buying and felling of Goods, tends not to the Promotion, but to the Detriment of Trade: And I could with, that those who have of late written fo much about these Things would either take the Pains to maintain their different Sentiments with more Reafon (in which Cafe they fhall find no Man more ready than myself to yield to the Conviction) or that they would for the future forbear to disturb People's Minds with needless Fears and Jealoufies, that the national Affairs are in a much worfe Condition than really they are.

I turn me now to the Gentleman who bufies himself in the spying out Errors where none are; not that I would affume the Confidence to fay, that I have committed none (though I am fure none, knowingly) but I mean that I am not convinced that he has detected any: And therefore, pray good Sir, if you think, p. 4. that our Sea Armament was not neglected when we were fo fhamefully beaten, firft at Bantry-Bay, and afterwards off the Coaft of Suffex; that we were fufficiently provided against the Attempts of our Enemies by Sea, when Monfieur Tourville came up our Channel, and we had no Fleet to hinder him from landing an Army upon us, had not Providence faved us by a ftrong Easterly Wind continuing for feveral Weeks till our Ships could be gotten ready; ibid. that it was impoffible for us to do more by Sea than was done; that the French Privateers were fo numerous and powerful as that we should not have been able to protect our Merchant Ships any better than we did, though we had kept out as numerous a Fleet as the Nation was able to maintain: Again, if it be your Opinion that it is better for this Inland to wage War in foreign Parts (and where the Enemy's greatest Strength lies) with great Land Armies, than to keep up a fuperior naval Strength wherewith to infeft our Enemies Coafts, and perplex and divert their Forces by powerful Invafions, which has been usually practifed with good Succefs by all Nations that have found themselves ftrongest by Sea, and if ourselves have mifcarry'd in ill-concerted, ill-provided, and ill-managed Attempts of this Kind in King William's Time, we have yet an ample Specimen (to use his own Word) of what great Things might have been done in that Way if we had heartily fet about it, in that glorious Expedition of the Earl of Peterborough: I fay, Sir, if you hold thefe Opinions, fo contrary to the general Sense of the Nation, I think the Error may with much more Juf

tice

tice be reflected on yourself, for applying your weak Endeavours to excuse, than upon me for blaming a Miniftry that had given into a Courte of Management which has proved fo ruinous to this Kingdom.

P. 5. You next take upon you to become an Advocate for a certain Admiral, but I believe he has more Reafon to thank you for your Good will than for your Performance. Would you have the World believe that if a great Man has Intereft enough with his Party to get himself thank'd by a Hofe of Commons, and to fave him from being cenfured by the House of Lords, that he is therefore fairly acquitted of all that has been charged again him? Have you never known in fuch a Cafe that fome Sufpicion might yet remain? I have refer'd to an authentic Record, and said, that thofe who will examine it will find Reafon to fufpect; I have feen a Copy of thofe Minutes of the House of Lords, but I prefume you have not, how do you know then but all impartial People would be as ready to fufpect as I was? I ftill believe it was no Error in me to think fo. Nor do you mend the Matter when you undertake to vindicate the Article of the Victualling, by perfuading us that a Man bred up in the Navy was fo ignorant in his own Business as not to know that the Offices required proper Vouchers for all Accounts pafs'd with them. You think, ibid. ibis matter bas been fufficiently clear'd by the Examination thereof in the Houfe of Lords, which has been printed, but I know it is not impoffible for the mott venerable Affembly to be impofed upon in Matters wherein they cannot be fuppofed to be experimentally acquainted, and the lefs, at a Time when the Majority shall appear difpofed to favour the Accused: The Way of lumping Accounts at fo much per Head per Diem may be very fallacious; how do you know what Stock of old Provifions might be left when that Account was pretended to commence, what Fraud might be infinuated in Point of Time, or how many thousand Mouths might be charged on the Account, more than were really fed? But ftill I have committed no Error in faying, that an honeft Commiffioner of the Victualling had accufed him of defrauding the Publick in that Account which he got pass'd by Privy-Seal, for this is known Fact; and I fhould have been of Mr. Papillon's Mind, to have perfifted in my Obj &tions to an Account wherein I had feen any Thing charged at double to what I could prove it coft, and this would have fix'd me in an Opinion that the Alitumal Account of 6d. per Man per Diem was trick'd up to deceive; but if you think,ibid, that such a Profit ought to be allow'd him because of the diftant Pay, I doubt not but your own Confcience would permit you to take Part in fuch a Plunder if you could come at it. But, Sir, you know that great Men have long Arms, and are able enough to right themselves if they think they are wrong'd; you fee your meddling with it makes the Matter but the worse, and perhaps I am better provided to maintain any Thing I have faid, than you are aware; but though it was incumbent upon me in my former Undertaking to give fome Inftances of the Faults I was complaining of, yet I still retain as much Refpect as poffible for the Perfons of all those great Men I may be thought to hint at, and had much rather contribute to the healing of old Faults, than to promote further Inquiries into them.

3

Hitherto I think you have difcover'd no Errors of mine, but I have a fwinging one to charge you with, p. 7. for faying that Tallies never bore any

great

great Discount till the latter End of the Year 1696, when all the World knows that they were running up to an exceffive Height, till the Bank of England reduced them to a reasonable Discount. It is true indeed, that they mounted to the highest at the Time you speak of; but what I thought worthy of Blame in the Ministers, was their whole Management in this Way from first to laft: I fay, they should never have paid the People any thing in diftant Tallies, but prudently have thought on fuch Duties and Excifes as would have raised the Supplies within the Year at once, as it is evident they have come to it by Degrees, when they have withal contracted fo great a Debt upon the Nation, that one half of the Taxes goes to pay Interefts to the Subjects. But you tell us that all this is well done, and p. 12. It is but reasonable that great Debts fhould be entail'd upon our Pofterity, that they may be made to bear their Part in the Expence of this long War, as they are like to enjoy the Benefit of the future Peace. How are you fure that they also shall not be engaged in War before the Debt is paid, and what will they then have left to live upon, and to carry it on effectually? Well, Sir, let us put the Cafe; fuppofe you should advise a Gentleman of a plentiful Eftate, but engaged in a Law-Suit, to give his Lawyers double Fees, and mortgage his Estate at high Intereft to carry it on at a moft extravagant Expence, it is not a Farthing Matter what he fpends, fo he makes it laft for his Time, let his Heir take what is left and clear it as well as he can, why fhould not he be made to contribute towards his Father's Excefs and Folly? I am fure no wife Man would take your Advice, and you would gain the Reputation of a pitiful Counfellor by this Sort of Reasoning.

6

P. 9 and 10. You entertain us with a History in what Manner our Deficiencies grew upon us, which to our Sorrow we knew but too well before, and then set us to judge if the Ministry occafion'd it; let me answer you by a Question, Whose Bufinefs was it elfe to take Care to prevent it? The House of Commons were (for the most Part) govern'd by them, and did nothing but what they would have them. You infinuate, P. 11. That one Half of our Money was clip'd ⚫ before King William came here,' but that's another great Error of your's; I remember well, that before that Miniftry the clip'd Money was inconfiderable, and I dare fay not Five per Cent. in Proportion to the Whole, whereas they let it run to above (as I take it) 30 per Cent. and the much greatest Part of the Mischief was done in the last two Years before the recoining, and by the Account you give, it appears that the clip'd Money brought in wanted near one half, which vaft Lofs might eafily have been prevented, if thefe Minifters had at first but obliged thofe who were under their Command to do their Duty: You fhew no Ingenuity in your studying Apologies for thefe grofs Mifcarriages, and your telling us, ibid. that the Miniftry might with as much Juftice be blamed for 'the Dearness of Corn in 1694, and the Sickness in 1693, as for suffering fo great a Damage to fall upon the Publick by the clip'd Money,' will never wipe off the Blot; will not all ferious People cenfure your Prophaneness in making an abfurd Comparison between the irrefiftible Vifitations of God's Providence, and the mere Negligence and Improvidence of Men, for which any other but fuch a managed Parliament as they then had, would have broken their Ministry, or reform'd their Adminiftration? But how can you have the Confidence to fay, P.12. VOL, III, A a a That