Denkschrift betreffend die Neuregelung der handelspolitischen Beziehungen Deutschlands zu den Vereinigten Staaten von Amerika

Bibliographic data

Monograph

Identifikator:: 1031936459

URN:: urn:nbn:de:zbw-retromon-64150

Document type:: Monograph

Title:: Denkschrift betreffend die Neuregelung der handelspolitischen Beziehungen Deutschlands zu den Vereinigten Staaten von Amerika

Place of publication:: Berlin

Publisher:: [Mitteleuropäischer Wirtschaftsverein in Deutschland]

Year of publication:: 1905

Scope:: 1 Online-Ressource (89 Seiten 4"(8"))

Digitisation:: 2018

Collection:: Economics Books

Usage license:: Get license information via the feedback formular.

Chapter

Document type:: Monograph

Structure type:: Chapter

Title:: XIV.

Collection:: Economics Books

INTERNATIONAL PAYMENTS 201 The link of connection, it is hardly necessary to say, is in the bank rate of discount. The rate of discount tends to rise as bank reserves become less, to fall as they become greater. It is specie which is the variable and shifting constituent in the money available for bank reserves — the money that can always be used for payments by the bank. The other forms of money which may be permissible for such payments, such as government notes, are usually fixed in volume once for all. Hence it is the inflow or out- flow of specie which primarily affects the discount policy of the banks. Their discount policy in turn affects the volume of accom- modation which they offer to the borrowing public, and this in turn affects the volume of notes and deposits outstanding. In such fashion the international movement of specie may impinge promptly and effectively on the actual circulating medium of a country, on the general spirit and trend of its mercantile and trading operations, on the ups and downs of its price level. Next, as regards domination — the ultimate consequences, not the immediate. Notes and deposits, so the usual reasoning goes, are in the last resort dependent for their volume on the specie into which they are convertible and on which they rest as on a foundation. The relation between foundation and super- structure may not be precise; a given basis of specie will not always support the same volume of bank money ; but in the end an increase in the specie basis will lead to a roughly corresponding addition to the amount of active notes and deposits. As regards notes, the details of the legislation of the several countries neces- sarily affect the degree of correspondence. As regards deposits, legislation played its part, and still plays it, in the case of the United States, the one country where the law has specifically regulated the amount of the reserves which banks must hold against deposits. Elsewhere, in the absence of legislation, it is custom and the very necessities of the case which compel the banks to hold in their vault some legal-tender money and to keep their volume of deposit obligations in some relation to these holdings. [n all the deposit-using countries the general tendency among competing banks is for each one to swell its business (1.e. 1ts

Access restriction

Copyright

fullscreen: Denkschrift betreffend die Neuregelung der handelspolitischen Beziehungen Deutschlands zu den Vereinigten Staaten von Amerika

Monograph

Chapter

Table of contents

Download

Monograph

Chapter

This page

Image fragment

Citation links

Citation recommendation