NETHERLANDS.                          777

Sumatra, has been the question of changing the money system of the
country.
  In October, 1872, a commission was appointed to consider the change
that was taking place in neighboring states by substituting gold for
silver as currency, and to suggest such remedies as might seem expe-
dient to counteract any influence prejudicial to the'Netherlands likely to
arise therefrom.
  The commission reported in January of that year, recommending sub-
stantially the system in use previous to 1847; i. e., one standard of sil-
ver and one of gold, with a relative value of 15.5 to 1.. But in October,
when the policy of Germany had become more apparent, the committee
made a second report, in which they strongly urged the adoption of the
gold standard only.
  On the basis of the committee's second report the government, through
the minister of finance, submitted to the Second Chamber a bill making
gold alone the standard, and the gulden, or florin, the unit of account,
0.60561 grammes fine, valued, as against silver, at the rate of I to 15.604.
  In supporting the bill the minister urged that silver was likely to
depreciate in consequence of -the amount being offered in the market,
Germany was selling largely, and Belgium was preparing to do so,
with an evident intention to discontinue its use as a standard of cur-
rency; that being denmon tis8 in neighboring states, it would naturally
accumulate where it was legally recognized as the circulating medium,
and that the Netherlands, already financially isolated, by adhering to
their present system would experience a growing inconvenience from
which relief would become more and more difficult.
  On the other hand, objection was made that the bill did not apply to
the colonies; that the old standard for them and a new and different
one for the mother-country was equally unnecessary and unwise, and
that it would be better to defer action until an expression from the col-
onies could be obtained.
  The widest difference prevailed, however, in regard to the fineness of
the contemplated issue. That proposed bythe government corresponded
neither with the Anglo-German standard nor the so-called Latin league,
being above the one and below the other. Some of the members had
weighty reasons forjoining the first named, others were equally strenuous
for conforming to the last, while not a few clung to the standard named
in the bill, mainly, it would seem, because it was identical with or came
nearest to one used by their fathers at some former period.
  Having repeatedly discussed the project, and lastly for a number of
days in succession, it was finally resolved to divide article 1 so thatthe
sense of the chamber might be taken on the proposition to introduce a
gold standard and on the rate of alloy separately, and that the second
should be the first tried.
  Accordingly, after several amendments had been offered and rejected,
the question of alloy was put to the test; 29 voted for it and 40 against
it. On learning ihe result, the minister immediately withdrew the bill,
observing that 'further discussion would be of no avail.  There is
therefore little probability of an immediate change in the monetary sys,
tem of the :Netherlands.
       I am, &c.,
                                         CHARLES T. CORHAM.