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British Currency School
The British Currency School was a group of British economists, active in the 1840s and 1850s, who argued that the excessive issuing of banknotes was a major cause of price inflation. They believed that, in order to restrict circulation, issuers of new banknotes should be required to hold an equivalent value of gold as a reserve. This concept was also known as convertibility and the currency principle. They argued that prices were mostly based on quantity of currency in circulation, but did acknowledge that prices were also affected by deposits. Therefore, by controlling prices banks could limit outflow of gold. Bullionism controversy The Currency School emerged from the beliefs of the Bullionist group, which was prevalent in the early 1800s. When the French landed on English soil in 1797, financial panic arose in Britain. Due to the 18th century banking system, there was high concern of banking panic, a financial crisis that occurs when many bank runs occur at the same time and pe ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Banknote
A banknote—also called a bill (North American English), paper money, or simply a note—is a type of negotiable instrument, negotiable promissory note, made by a bank or other licensed authority, payable to the bearer on demand. Banknotes were originally issued by commercial banks, which were legally required to Redemption value, redeem the notes for legal tender (usually gold or silver coin) when presented to the chief cashier of the originating bank. These commercial banknotes only traded at face value in the market served by the issuing bank. Commercial banknotes have primarily been replaced by national banknotes issued by central banks or monetary authority, monetary authorities. National banknotes are often – but not always – legal tender, meaning that courts of law are required to recognize them as satisfactory payment of money debts. Historically, banks sought to ensure that they could always pay customers in coins when they presented banknotes for payment. This p ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Robert Torrens (economist)
Robert Torrens (1780 – 27 May 1864) was a Royal Marines officer, political economist, part-owner of the influential ''Globe'' newspaper, and a prolific writer. He also chaired the board of the London-based South Australian Colonisation Commission created by the ''South Australia Act 1834'' to oversee the new colony of South Australia, before the colony went bankrupt and he was sacked in 1841. He was chiefly known for championing the cause for emigration to the new colony, and his name lives on in Adelaide's main river, the Torrens, the suburb of Torrensville and a few other places. He is sometimes referred to as Colonel Robert Torrens, but his final army rank is disputed in various sources. His son, Sir Robert Richard Torrens, spent many years in South Australia, even serving for a short time as the state Premier, and became known for his land reform. Early life and family Torrens was born in Hervey Hill, Derry, Ireland, the son of Robert Torrens of Hervey Hill and his ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Schools Of Economic Thought
In the history of economic thought, a school of economic thought is a group of economics, economic thinkers who share or shared a common perspective on the way economy, economies work. While economists do not always fit into particular schools, particularly in modern times, classifying economists into schools of thought is common. Economic thought may be roughly divided into three phases: premodern (Greco-Roman, History of India, Indian, Persian Empire, Persian, Caliphate, Islamic, and Imperial era of Chinese history, Imperial Chinese), early modern (mercantilist, physiocrats) and modern (beginning with Adam Smith and classical economics in the late 18th century, and Karl Marx and Friedrich Engels, Friedrich Engels' Marxian economics in the mid 19th century). Systematic economic theory has been developed mainly since the beginning of what is termed the modern era. Currently, the great majority of economists follow an approach referred to as mainstream economics (sometimes called 'o ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Classical Economics
Classical economics, classical political economy, or Smithian economics is a school of thought in political economy that flourished, primarily in Britain, in the late 18th and early-to-mid 19th century. Its main thinkers are held to be Adam Smith, Jean-Baptiste Say, David Ricardo, Thomas Robert Malthus, and John Stuart Mill. These economists produced a theory of market economies as largely self-regulating systems, governed by natural laws of production and exchange (famously captured by Adam Smith's metaphor of the invisible hand). Adam Smith's ''The Wealth of Nations'' in 1776 is usually considered to mark the beginning of classical economics.Smith, Adam (1776) An Inquiry into the Nature and Causes of The Wealth of Nations. (accessible by table of contents chapter titles) AdamSmith.org The fundamental message in Smith's book was that the wealth of any nation was determined not by the gold in the monarch's coffers, but by its national income. This income was in turn based on the ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
British Banking School
The British Banking School was a group of 19th century economists from the United Kingdom who wrote on monetary and banking issues. The school arose in opposition to the British Currency School; they argued that currency issue could be naturally restricted by the desire of bank depositors to redeem their notes for gold. According to Jacob Viner the main members of the Banking School were Thomas Tooke, John Fullarton, James Wilson, and J. W. Gilbart. They believed "The amount of paper notes in circulation was adequately controlled by the ordinary processes of competitive banking, and if the requirement of convertibility was maintained, could not exceed the needs of business for any appreciable length of time". Thus they opposed the requirement in the Bank Act of 1844 for a reserve requirement on banknotes. Creation of Banking School versus Currency School During the early and mid 19th century Britain had been plagued economically due to the conversion of currency from gold to a p ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Henry Meulen
Henry Meulen (1882–1978) was a British individualist anarchist, economist, and proponent of free banking. See also *Friedrich Hayek, also supported free banking References * Meulen, Henry. ''Banking and the Social Problem''. 1909 * Meulen, Henry. ''Free banking''. 1934. * Meulen, Henry. ''Free Banking. An outline of a policy of individualism''. 1934 * Meulen, Henry. ''Individualist Anarchism'' (Reprinted from "The Word," November 1949. With a portrait.) 1949 * Meulen, Henry. ''Industrial Justice through Banking Reform. An outline of a policy of individualism''. 1917 * Dowd, Kevin. ''The monetary economics of Henry Meulen''. 1988. * ''The price of gold''. By T. Goeritz and H. Meulen. 3rd ed. 1972 External links Part I of ''Instead of a Magazine'' Correspondence between Beckerath and Muelen [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Samuel Jones-Loyd, Baron Overstone
Samuel Jones-Loyd, 1st Baron Overstone (25 September 1796 – 17 November 1883) was a British banker and politician. Background and education Loyd was the only son of the Rev. Lewis Loyd and Sarah, daughter of John Jones, a Manchester banker. He was educated at Eton and Trinity College, Cambridge. Banking Loyd's father had given up the ministry to take a partnership in his father-in-law's bank and became the founder of the London branch of Jones, Loyd & Co. Loyd joined his father's bank, and took control of the bank after his father retired in 1844. On his father's death in 1858 Loyd inherited an estate worth £ 2 million. In 1864 the bank became incorporated with the London and Westminster Bank. Political career Loyd sat in parliament as Whig member for Hythe from 1819 to 1826, and unsuccessfully contested Manchester in 1832. As early as 1832 he was recognized as one of the foremost authorities on banking, and he enjoyed much influence with successive ministries and chancell ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Robert Peel
Sir Robert Peel, 2nd Baronet, (5 February 1788 – 2 July 1850) was a British Conservative statesman who served twice as Prime Minister of the United Kingdom (1834–1835 and 1841–1846) simultaneously serving as Chancellor of the Exchequer (1834–1835) and twice as Home Secretary (1822–1827 and 1828–1830). He is regarded as the father of modern British policing, owing to his founding of the Metropolitan Police Service. Peel was one of the founders of the modern Conservative Party. The son of a wealthy textile manufacturer and politician, Peel was the first prime minister from an industrial business background. He earned a double first in classics and mathematics from Christ Church, Oxford. He entered the House of Commons in 1809, and became a rising star in the Tory Party. Peel entered the Cabinet as Home Secretary (1822–1827), where he reformed and liberalised the criminal law and created the modern police force, leading to a new type of officer known in tribute to ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Conservative Party (UK)
The Conservative Party, officially the Conservative and Unionist Party and also known colloquially as the Tories, is one of the Two-party system, two main political parties in the United Kingdom, along with the Labour Party (UK), Labour Party. It is the current Government of the United Kingdom, governing party, having won the 2019 United Kingdom general election, 2019 general election. It has been the primary governing party in Britain since 2010. The party is on the Centre-right politics, centre-right of the political spectrum, and encompasses various ideological #Party factions, factions including One-nation conservatism, one-nation conservatives, Thatcherism, Thatcherites, and traditionalist conservatism, traditionalist conservatives. The party currently has 356 Member of Parliament (United Kingdom), Members of Parliament, 264 members of the House of Lords, 9 members of the London Assembly, 31 members of the Scottish Parliament, 16 members of the Senedd, Welsh Parliament, 2 D ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Bank Charter Act 1844
The Bank Charter Act 1844 (7 & 8 Vict. c. 32), sometimes referred to as the Peel Banking Act of 1844, was an Act of Parliament, Act of the Parliament of the United Kingdom, passed under the government of Robert Peel, which restricted the powers of British banks and gave exclusive note-issuing powers to the central Bank of England. It is one of the Bank of England Acts 1694 to 1892. Purpose Until the mid-nineteenth century, commercial banks in Britain and Ireland were able to issue their own banknotes, and notes issued by provincial banking companies were commonly in circulation. Under the 1844 Act, bullionism was institutionalized in Britain, creating a ratio between the gold reserves held by the Bank of England and the notes that the Bank could issue, and limited the issuance by English and Welsh banks of non-gold-backed Bank of England notes to up to £14 million. The Act also placed strict curbs on the issuance of notes by the country banks, barring any new "banks of issue" ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Real Bills Doctrine
The real bills doctrine says that as long as bankers lend to businessmen only against the security (collateral) of short-term 30-, 60-, or 90-day commercial paper representing claims to real goods in the process of production, the loans will be just sufficient to finance the production of goods. The doctrine seeks to have real output determine its own means of purchase without affecting prices. Under the real bills doctrine, there is only one policy role for the central bank: lending commercial banks the necessary reserves against real customer bills, which the banks offer as collateral. The term "real bills doctrine" was coined by Lloyd Mints in his 1945 book, ''A History of Banking Theory''. The doctrine was previously known as "the commercial loan theory of banking". Moreover, as bank loans are granted to businessmen in the form either of new bank notes or of additions to their checking deposits, which deposits constitute the main component of the money stock, the doctrine assur ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Price Inflation
In economics, inflation is an increase in the general price level of goods and services in an economy. When the general price level rises, each unit of currency buys fewer goods and services; consequently, inflation corresponds to a reduction in the purchasing power of money. The opposite of inflation is deflation, a sustained decrease in the general price level of goods and services. The common measure of inflation is the inflation rate, the annualized percentage change in a general price index. As prices do not all increase at the same rate, the consumer price index (CPI) is often used for this purpose. The employment cost index is also used for wages in the United States. Most economists agree that high levels of inflation as well as hyperinflation—which have severely disruptive effects on the real economy—are caused by persistent excessive growth in the money supply. Views on low to moderate rates of inflation are more varied. Low or moderate inflation may be attri ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
