important part in the machinery of governments. Its rise during the years of Napoleonic tyranny on the continent of Europe, and its continuance during the factitious calm of the First Restoration in France, were due to circumstances that never existed before and are little likely to occur again.

[Pg xiv]

The accumulation of a fund of gold coin, reserved against sudden contingency, was one of Bonaparte's imperial ideas. In a modified and more modern form, this notion of a "war-chest," untouched and unproductive in peace-time, is still adhered to by the Germans: they have kept to heart many of their former conqueror's lessons, lessons forgotten by the French themselves—and the enormous treasure of gold bags guarded at Spandau is a matter of common knowledge. Napoleon, however, in his triumphant days never, and for obvious reasons, lacked money. It was less an actual treasure that he required and valued so highly for political and military purposes, than an ever ready reserve of wealth easily portable, of paramount value at all times; "concentrated," so to speak. And nothing could come nearer to that description than rolls of English guineas. Indeed the vast numbers of these coins which fitfully appeared in circulation throughout Europe justified the many weird legends concerning the power of "British Gold"—l'or Anglais!

There is every reason to believe that, in days when the national currency consisted chiefly of lumbering silver écus, the Bourbon government also appreciated to the full the value of a private gold reserve. At any rate it was at the time of the first Restoration that the golden guinea of England found in France its highest premium.

[Pg xv]

[Pg xv]

Without going into the vexed and dreary question of single or double standard, it will suffice to say that during the early years of the century now about to close, gold coin was leaving England at a rate which not only appeared phenomenal but was held to be injurious to the community.

As a matter of fact most of it was finding its way to France, whilst Great Britain was flooded with silver. It was then made illegal to export gold coin or bullion. The prohibition was stringently, indeed at one time, ruthlessly, enforced. In this manner the new and highly profitable traffic in English guineas entered the province of the "free-trader"; the difference introduced in his practice being merely one of degree. Whereas, in the case of prohibited imports, the chief task 

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