delivery, it is available as a financing instrument to its
holder.

‘c) BUSINESS ON PAPER

Business on paper may be distinguished from the other
methods, in that no bean stocks come in as an actual factor
of the bargain. Both price and quantity are gareed upon

between the parties concerned in advance as in the other

cases, but when the time of delivery arrives, what margin
there is left from the current standard quotation is paid by
the party who owes is. Practically, the transactions
strongly smuck of speculative nature.

The Chinese authorities have good reason to have
prohibited the questionable practice, and few deals are
nowadays carried on openly on the lines indicated.

hs