the widest sense to represent even such things as a journey, a lecture or theatrical entertainment, housing, medical advice, and so forth.) When everyone in a community is assured of this, and assured that the money will not deteriorate in purchasing power, then currency—and the distribution of goods by trade—is in a healthy and satisfactory state. Then men will work cheerfully, and only then. The imperative need for that steadfastness and security of currency is the fixed datum from which the scientific study and control of currency must begin. But under the most stable conditions there will always be fluctuations in currency value. The sum total of saleable consumable goods in the world and in various countries varies from year to year and from season to season; autumn is probably a time of plenty in comparison with spring; with an increase the purchasing power of currency will increase, unless there is also an increase in the amount of currency. On the other hand, if there is a diminution in the production of consumable goods or a great and unprofitable destruction of consumable goods, such as occurs in a war, the share of the total of consumable goods represented by a sum of money will diminish and prices and wages will rise. In modern war the explosion of a single big shell, even if it hits nothing, destroys labour and material roughly equivalent to a comfortable cottage or a year's holiday for a man. If the shell hits anything, then that further destruction has to be added to the diminution of consumable goods. Every shell that burst in the recent war diminished by a little fraction the purchasing value of every coin in the whole world. If there is also an increase of currency during a period when consumable goods are being used up and not fully replaced—and the necessities of revolutionary and war-making governments almost always require this—then the enhancement of prices and the fall in the value of the currency paid in wages is still greater. Usually also governments under these stresses borrow money, that is to say, they issue interest-bearing paper, secured on the willingness and ability of the general community to endure taxation. Such operations would be difficult enough if they were carried out frankly by perfectly honest men, in the full light of publicity and scientific knowledge. But hitherto this has never been the case; at every point the clever egotist, the bad rich man,
