International trade

Bibliographic data

Monograph

Identifikator:: 1758394757

URN:: urn:nbn:de:zbw-retromon-136209

Document type:: Monograph

Author:: Taussig, Frank William http://d-nb.info/gnd/120199459

Title:: International trade

Place of publication:: New York, NY

Publisher:: Macmillan

Year of publication:: 1927

Scope:: XXI, 425 Seiten; graph. Darst.

Digitisation:: 2021

Collection:: Economics Books

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

Chapter

Document type:: Monograph

Structure type:: Chapter

Title:: Part III. International trade under inconvertible paper

Collection:: Economics Books

102 INTERNATIONAL TRADE iy geal And the relation between imports and exports obviously was quite in accord with theoretical expectation, and with the experience of other countries under similar circumstances. The loans to Argentina were effected by an inflow of goods, not by an inflow of money ; and similarly, when the reversal came in 1890 — when loans were no longer forthcoming and interest payments had to be made on the loans of the past — the payments thus due to other countries (Great Britain almost solely) were effected by enlarged exports of goods. The substantive course of trade, in Argentina no less than in the United States, was such as one must expect. Argentina, to repeat, was on a paper basis, just as the United States had been. There were, it is true, differences between the paper régimes of the two countries; but none that were of con- sequence for the present purpose. Argentine money was issued by banks, under a system imitating the United States National Banking system of the same time. The Argentine law and its execution were so lax as to make convertibility into gold a mere pretense. Specie hence could not enter or leave Argentina in such way as to affect directly its monetary system or its monetary conditions. Gold, to be sure, was on hand in the country and did move in and out, sometimes in substantial quantities. But the movements did not impinge on the country’s currency supply. [t is not necessary to consider some aspects of the technique of foreign exchange dealings, which again present differences from those of the United States. Exchange was bought and sold in terms of gold pesos; hence the quoted rates of exchange showed stability. But the actual payments for exchange (sterling) were made in Argentine paper pesos. It was thus gold, not sterling exchange, which was directly the object of trading in terms of paper. The only thing that was quoted was a premium on gold in terms of paper. But the gold premium was in effect the rate of exchange; it was this to which an importer or exporter turned his attention when buying goods or arranging for remittances. The important respect in which the Argentine case differs from the American is, as has already been said, that the Argentine paper

Access restriction

Copyright

fullscreen: International trade

Monograph

Chapter

Table of contents

Download

Monograph

Chapter

This page

Image fragment

Citation links

Citation recommendation