Thefactthatthecurrencyofcoinsitselfeffectsaseparationbetweentheirnominalandtheirrealweight，creatingadistinctionbetweenthemasmerepiecesofmetalontheonehand，andascoinswithadefinitefunctionontheother？thisfactimpliesthelatentpossibilityofreplacingmetalliccoinsbytokensofsomeothermaterial，bysymbolsservingthesamepurposesascoins。Thepracticaldifficultiesinthewayofcoiningextremelyminutequantitiesofgoldorsilver，andthecircumstancethatatfirstthelesspreciousmetalisusedasameasureofvalueinsteadofthe—moreprecious，copperinsteadofsilver，silverinsteadofgold，andthatthelesspreciouscirculatesasmoneyuntildethronedbythemoreprecious？allthesefactsexplainthepartshistoricallyplayedbysilverandcoppertokensassubstitutesforgoldcoins。Silverandcoppertokenstaketheplaceofgoldinthoseregionsofthecirculationwherecoinspassfromhandtohandmostrapidly，andaresubjecttothemaximumamountofwearandtear。Thisoccurswheresalesandpurchasesonaverysmallscalearecontinuallyhappening。Inordertopreventthesesatellitesfromestablishingthemselvespermanentlyintheplaceofgold，positiveenactmentsdeterminetheextenttowhichtheymustbecompulsorilyreceivedaspaymentinsteadofgold。Theparticulartrackspursuedbythedifferentspeciesofcoinincurrency，runnaturallyintoeachother。Thetokenskeepcompanywithgold，topayfractionalpartsofthesmallestgoldcoin;
　　goldis，ontheonehand，constantlypouringintoretailcirculation，andontheotherhandisasconstantlybeingthrownoutagainbybeingchangedintotokens。[35]
　　Theweightofmetalinthesilverandcoppertokensisarbitrarilyfixedbylaw。Whenincurrency，theywearawayevenmorerapidlythangoldcoins。
　　Hencetheirfunctionsaretotallyindependentoftheirweight，andconsequentlyofallvalue。Thefunctionofgoldascoinbecomescompletelyindependentofthemetallicvalueofthatgold。Thereforethingsthatarerelativelywithoutvalue，suchaspapernotes，canserveascoinsinitsplace。Thispurelysymboliccharacteristoacertainextentmaskedinmetaltokens。
　　Inpapermoneyitstandsoutplainly。Infact，cen’estquelepremierpasquicoûte。
　　WealludehereonlytoinconvertiblepapermoneyissuedbytheStateandhavingcompulsorycirculation。Ithasitsimmediateorigininthemetalliccurrency。Moneybaseduponcreditimpliesontheotherhandconditions，which，fromourstandpointofthesimplecirculationofcommodities，areasyettotallyunknowntous。Butwemayaffirmthismuch，thatjustastruepapermoneytakesitsriseinthefunctionofmoneyasthecirculatingmedium，somoneybaseduponcredittakesrootspontaneouslyinthefunctionofmoneyasthemeansofpayment。[36]
　　TheStateputsincirculationbitsofpaperonwhichtheirvariousdenominations，say£1，£5，&c。，areprinted。
　　Insofarastheyactuallytaketheplaceofgoldtothesameamount，theirmovementissubjecttothelawsthatregulatethecurrencyofmoneyitself。
　　Alawpeculiartothecirculationofpapermoneycanspringuponlyfromtheproportioninwhichthatpapermoneyrepresentsgold。Suchalawexists;
　　statedsimply，itisasfollows:theissueofpapermoneymustnotexceedinamountthegold（orsilverasthecasemaybe）whichwouldactuallycirculateifnotreplacedbysymbols。Nowthequantityofgoldwhichthecirculationcanabsorb，constantly—fluctuatesaboutagivenlevel。Still，themassofthecirculatingmediuminagivencountryneversinksbelowacertainminimumeasilyascertainedbyactualexperience。Thefactthatthisminimummasscontinuallyundergoeschangesinitsconstituentparts，orthatthepiecesofgoldofwhichitconsistsarebeingconstantlyreplacedbyfreshones，causesofcoursenochangeeitherinitsamountorinthecontinuityofitscirculation。Itcanthereforebereplacedbypapersymbols。
　　If，ontheotherhand，alltheconduitsofcirculationwereto—dayfilledwithpapermoneytothefullextentoftheircapacityforabsorbingmoney，theymightto—morrowbeoverflowinginconsequenceofafluctuationinthecirculationofcommodities。Therewouldnolongerbeanystandard。
　　Ifthepapermoneyexceeditsproperlimit，whichistheamountingoldcoinsofthelikedenominationthatcanactuallybecurrent，itwould，apartfromthedangeroffallingintogeneraldisrepute，representonlythatquantityofgold，which，inaccordancewiththelawsofthecirculationofcommodities，isrequired，andisalonecapableofbeingrepresentedbypaper。Ifthequantityofpapermoneyissuedbedoublewhatitoughttobe，then，asamatteroffact，£1wouldbethemoney—namenotof1/4ofanounce，butof1/8ofanounceofgold。Theeffectwouldbethesameasifanalterationhadtakenplaceinthefunctionofgoldasastandardofprices。Thosevaluesthatwerepreviouslyexpressedbythepriceof£1wouldnowbeexpressedbythepriceof£2。
　　Papermoneyisatokenrepresentinggoldormoney。Therelationbetweenitandthevaluesofcommoditiesisthis，thatthelatterareideallyexpressedinthesamequantitiesofgoldthataresymbolicallyrepresentedbythepaper。Onlyinsofaraspapermoneyrepresentsgold，whichlikeallothercommoditieshasvalue，isitasymbolofvalue。[37]
　　Finally，someonemayaskwhygoldiscapableofbeingreplacedbytokensthathavenovalue？But，aswehavealreadyseen，itiscapableofbeingsoreplacedonlyinso&rasitfunctionsexclusivelyascoin，orasthecirculatingmedium，andasnothingelse。Now，moneyhasotherfunctionsbesidesthisone，andtheisolatedfunctionofservingasthemerecirculatingmediumisnotnecessarilytheonlyoneattachedtogoldcoin，althoughthisisthecasewiththoseabradedcoinsthatcontinuetocirculate。Eachpieceofmoneyisamerecoin，ormeansofcirculation，onlysolongasitactuallycirculates。Butthisisjustthecasewiththatminimummassofgold，whichiscapableofbeingreplacedbypapermoney。Thatmassremainsconstantlywithinthesphereofcirculation，continuallyfunctionsasacirculatingmedium，andexistsexclusivelyforthatpurpose。ItsmovementthereforerepresentsnothingbutthecontinuedalternationoftheinversephasesofthemetamorphosisC？M？p;phasesinwhichcommoditiesconfronttheirvalue—forms，onlytodisappearagainimmediately。
　　Theindependentexistenceoftheexchange—valueofacommodityishereatransientapparition，bymeansofwhichthecommodityisimmediatelyreplacedbyanothercommodity。Hence，inthisprocesswhichcontinuallymakesmoneypassfromhandtohand，themeresymbolicalexistenceofmoneysuffices。Itsfunctionalexistenceabsorbs，sotosay，itsmaterialexistence。
　　Beingatransientandobjectivereflexofthepricesofcommodities，itservesonlyasasymbolofitself，andisthereforecapableofbeingreplacedbyatoken。[38]Onethingis，however，requisite;thistokenmusthaveanobjectivesocialvalidityofitsown，andthisthepapersymbolacquiresbyitsforcedcurrency。ThiscompulsoryactionoftheStatecantakeeffectonlywithinthatinnersphereofcirculationwhichiscoterminouswiththeterritoriesofthecommunity，butitisalsoonlywithinthatspherethatmoneycompletelyrespondstoitsfunctionofbeingthecirculatingmedium，orbecomescoin。
　　SECTION3MONEY
　　Thecommoditythatfunctionsasameasureofvalue，and，eitherinitsownpersonorbyarepresentative，asthemediumofcirculation，ismoney。
　　Gold（orsilver）isthereforemoney。Itfunctionsasmoney，ontheonehand，whenithastobepresentinitsowngoldenperson。Itisthenthemoney—commodity，neithermerelyideal，asinitsfunctionofameasureofvalue，norcapableofbeingrepresented，asinitsfunctionofcirculatingmedium。Ontheotherhand，italsofunctionsasmoney，whenbyvirtueofitsfunction，whetherthatfunctionbeperformedinpersonorbyrepresentative，itcongealsintothesoleformofvalue，theonlyadequateformofexistenceofexchange—value，inoppositiontouse—value，representedbyallothercommodities。
　　A。HoardingThecontinualmovementincircuitsofthetwoantitheticalmetamorphosesofcommodities，ortheneverceasingalternationofsaleandpurchase，isreflectedintherestlesscurrencyofmoney，orinthefunctionthatmoneyperformsofaperpetuummobileofcirculation。Butsosoonastheseriesofmetamorphosesisinterrupted，sosoonassalesarenotsupplementedbysubsequentpurchases，moneyceasestobemobilised;itistransformed，asBoisguillebertsays，from"meuble"into"immouble"，frommovableintoimmovable，fromcoinintomoney。
　　Withtheveryearliestdevelopmentofthecirculationofcommodities，thereisalsodevelopedthenecessity，andthepassionatedesire，toholdfasttheproductofthefirstmetamorphosis。Thisproductisthetransformedshapeofthecommodity，oritsgold—chrysalis。[39]Commoditiesarethussoldnotforthepurposeofbuyingothers，butinordertoreplacetheircommodity—formbytheirmoney—form。Frombeingthemeremeansofeffectingthecirculationofcommodities，thischangeofformbecomestheendandaim。Thechangedformofthecommodityisthuspreventedfromfunctioningasitsunconditionallyalienableform，orasitsmerelytransientmoney—form。Themoneybecomespetrifiedintoahoard，andthesellerbecomesahoarderofmoney。
　　Intheearlystagesofthecirculationofcommodities，itisthesurplususe—valuesalonethatareconvertedintomoney。Goldandsilverthusbecomeofthemselvessocialexpressionsforsuperfluityorwealth。Thisnaiveformofhoardingbecomesperpetuatedinthosecommunitiesinwhichthetraditionalmodeofproductioniscarriedonforthesupplyofafixedandlimitedcircleofhomewants。ItisthuswiththepeopleofAsia，andparticularlyoftheEastIndies。Vanderlint，whofanciesthatthepricesofcommoditiesinacountryaredeterminedbythequantityofgoldandsilvertobefoundinit，askshimselfwhyIndiancommoditiesaresocheap。
　　Answer:BecausetheHindusburytheirmoney。From1602to1734，heremarks，theyburied150millionsofpoundssterlingofsilver，whichoriginallycamefromAmericatoEurope。[40]Inthe10yearsfrom1856to1866，EnglandexportedtoIndiaandChina（120，000，000insilver，whichhadbeenreceivedinexchangeforAustraliangold。MostofthesilverexportedtoChinamakesitswaytoIndia。
　　Astheproductionofcommoditiesfurtherdevelops，everyproducerofcommoditiesiscompelled。tomakesureofthenexusrerumorthesocialpledge。[41]Hiswantsareconstantlymakingthemselvesfelt，andnecessitatethecontinualpurchaseofotherpeople’scommodities，whiletheproductionandsaleofhisowngoodsrequiretime，anddependuponcircumstances。Inorderthentobeabletobuywithoutselling，hemusthavesoldpreviouslywithoutbuying。
　　Thisoperation，conductedonageneralscale，appearstoimplyacontradiction。
　　Butthepreciousmetalsatthesourcesoftheirproductionaredirectlyexchangedforothercommodities。Andherewehavesales（bytheownersofcommodities）withoutpurchases（bytheownersofgoldorsilver）。[42]Andsubsequentsales，byotherproducers，unfollowedbypurchases，merelybringaboutthedistributionofthenewlyproducedpreciousmetalsamongalltheownersofcommodities。Inthisway，allalongthelineofexchange，hoardsofgoldandsilverofvariedextentareaccumulated。Withthepossibilityofholdingandstoringupexchange—valueintheshapeofaparticularcommodity，arisesalsothegreedforgold。Alongwiththeextensionofcirculation，increasesthepowerofmoney，thatabsolutelysocialformofwealtheverreadyforuse。"Goldisawonderfulthing！Whoeverpossessesitislordofallhewants。BymeansofgoldonecanevengetsoulsintoParadise。"（ColumbusinhisletterfromJamaica，1503。）Sincegolddoesnotdisclosewhathasbeentransformedintoit，everything，commodityornot，isconvertibleintogold。Everythingbecomessaleableandbuyable。
　　Thecirculationbecomesthegreatsocialretortintowhicheverythingisthrown，tocomeoutagainasagold—crystal。Notevenarethebonesofsaints，andstilllessaremoredelicateressacrosanctae，extracommerciumhominumabletowithstandthisalchemy。[43]Justaseveryqualitativedifferencebetweencommoditiesisextinguishedinmoney，somoney，onitsside，liketheradicallevellerthatitis，doesawaywithalldistinctions。[43a]Butmoneyitselfisacommodity，anexternalobject，capableofbecomingtheprivatepropertyofanyindividual。Thussocialpowerbecomestheprivatepowerofprivatepersons。Theancientsthereforedenouncedmoneyassubversiveoftheeconomicandmoralorderofthings。[43b]Modernsociety，which，soonafteritsbirth，pulledPlutusbythehairofhisheadfromthebowelsoftheearth，[44]greetsgoldasitsHolyGrail，astheglitteringincarnationoftheveryprincipleofitsownlife。
　　Acommodity，initscapacityofause—value，satisfiesaparticularwant，andisaparticularelementofmaterialwealth。Butthevalueofacommoditymeasuresthedegreeofitsattractionforallotherelementsofmaterialwealth，andthereforemeasuresthesocialwealthofitsowner。
　　Toabarbarianownerofcommodities，andeventoaWest—Europeanpeasant，valueisthesameasvalue—form，andtherefore。tohimtheincreaseinhishoardofgoldandsilverisanincreaseinvalue。Itistruethatthevalueofmoneyvaries，atonetimeinconsequenceofavariationinitsownvalue，atanother，inconsequenceofachangeinthevaluesofcommodities。
　　Butthis，ontheonehand，doesnotprevent200ouncesofgoldfromstillcontainingmorevaluethan100ounces，nor，ontheotherhand，doesithindertheactualmetallicformofthisarticlefromcontinuingtobetheuniversalequivalentformofallothercommodities，andtheimmediatesocialincarnationofallhumanlabour。Thedesireafterhoardingisinitsverynatureunsatiable。Initsqualitativeaspect，orformallyconsidered，moneyhasnoboundstoitsefficacy，i。e。，itistheuniversalrepresentativeofmaterialwealth，becauseitisdirectlyconvertibleintoanyothercommodity。
　　But，atthesametime，everyactualsumofmoneyislimitedinamount，and，therefore，asameansofpurchasing，hasonlyalimitedefficacy。
　　Thisantagonismbetweenthequantitativelimitsofmoneyanditsqualitativeboundlessness，continuallyactsasaspurtothehoarderinhisSisyphus—likelabourofaccumulating。Itiswithhimasitiswithaconquerorwhoseesineverynewcountryannexed，onlyanewboundary。
　　Inorderthatgoldmaybeheldasmoney，andmadetoformahoard，itmustbepreventedfromcirculating，orfromtransformingitselfintoameansofenjoyment。Thehoarder，therefore，makesasacrificeofthelustsofthefleshtohisgoldfetish。HeactsinearnestuptotheGospelofabstention。Ontheotherhand，hecanwithdrawfromcirculationnomorethanwhathehasthrownintoitintheshapeofcommodities。Themoreheproduces，themoreheisabletosell。Hardwork，saving，andavariceare，therefore，histhreecardinalvirtues，andtosellmuchandbuylittlethesumofhispoliticaleconomy。[45]
　　Bythesideofthegrossformofahoard，wefindalsoitsaestheticforminthepossessionofgoldandsilverarticles。Thisgrowswiththewealthofcivilsociety。"Soyonsrichesouparaissonsriches"（Diderot）。
　　Inthiswaythereiscreated，ontheonehand，aconstantlyextendingmarketforgoldandsilver，unconnectedwiththeirfunctionsasmoney，and，ontheotherhand，alatentsourceofsupply，towhichrecourseishadprincipallyintimesofcrisisandsocialdisturbance。
　　Hoardingservesvariouspurposesintheeconomyofthemetalliccirculation。
　　Itsfirstfunctionarisesoutoftheconditionstowhichthecurrencyofgoldandsilvercoinsissubject。Wehaveseenhow，alongwiththecontinualfluctuationsintheextentandrapidityofthecirculationofcommoditiesandintheirprices，thequantityofmoneycurrentunceasinglyebbsandflows。Thismassmust，therefore，becapableofexpansionandcontraction。
　　Atonetimemoneymustbeattractedinordertoactascirculatingcoin，atanother，circulatingcoinmustberepelledinordertoactagainasmoreorlessstagnantmoney。Inorderthatthemassofmoney，actuallycurrent，mayconstantlysaturatetheabsorbingpowerofthecirculation，itisnecessarythatthequantityofgoldandsilverinacountrybegreaterthanthequantityrequiredtofunctionascoin。Thisconditionisfulfilledbymoneytakingtheformofhoards。Thesereservesserveasconduitsforthesupplyorwithdrawalofmoneytoorfromthecirculation，whichinthiswayneveroverflowsitsbanks。[46]
　　B。MeansofPaymentInthesimpleformofthecirculationofcommoditieshithertoconsidered，wefoundagivenvaluealwayspresentedtousinadoubleshape，asacommodityatonepole，asmoneyattheoppositepole。Theownersofcommoditiescamethereforeintocontactastherespectiverepresentativesofwhatwerealreadyequivalents。Butwiththedevelopmentofcirculation，conditionsariseunderwhichthealienationofcommoditiesbecomesseparated，byanintervaloftime，fromtherealisationoftheirprices。Itwillbesufficienttoindicatethemostsimpleoftheseconditions。Onesortofarticlerequiresalonger，anotherashortertimeforitsproduction。
　　Again，theproductionofdifferentcommoditiesdependsondifferentseasonsoftheyear。Onesortofcommoditymaybebornonitsownmarketplace，anotherhastomakealongjourneytomarket。Commodity—ownerNo。1，maythereforebereadytosell，beforeNo。2isreadytobuy。Whenthesametransactionsarecontinuallyrepeatedbetweenthesamepersons，theconditionsofsaleareregulatedinaccordancewiththeconditionsofproduction。
　　Ontheotherhand，theuseofagivencommodity，ofahouse，forinstance，issold（incommonparlance，let）foradefiniteperiod。Here，itisonlyattheendofthetermthatthebuyerhasactuallyreceivedtheuse—valueofthecommodity。Hethereforebuysitbeforehepaysforit。Thevendorsellsanexistingcommodity，thepurchaserbuysasthemererepresentativeofmoney，orratheroffuturemoney。Thevendorbecomesacreditor，thepurchaserbecomesadebtor。Sincethemetamorphosisofcommodities，orthedevelopmentoftheirvalue—form，appearshereunderanewaspect，moneyalsoacquiresafreshfunction;itbecomesthemeansofpayment。
　　Thecharacterofcreditor，orofdebtor，resultsherefromthesimplecirculation。Thechangeintheformofthatcirculationstampsbuyerandsellerwiththisnewdie。Atfirst，therefore，thesenewpartsarejustastransientandalternatingasthoseofsellerandbuyer，andareinturnsplayedbythesameactors。Buttheoppositionisnotnearlysopleasant，andisfarmorecapableofcrystallisation。[47]Thesamecharacterscan，however，beassumedindependentlyofthecirculationofcommodities。Theclass—strugglesoftheancientworldtooktheformchieflyofacontestbetweendebtorsandcreditors，whichinRomeendedintheruinoftheplebeiandebtors。Theyweredisplacedbyslaves。Inthemiddleagesthecontestendedwiththeruinofthefeudaldebtors，wholosttheirpoliticalpowertogetherwiththeeconomicbasisonwhichitwasestablished。Nevertheless，themoneyrelationofdebtorandcreditorthatexistedatthesetwoperiodsreflectedonlythedeeper—lyingantagonismbetweenthegeneraleconomicconditionsofexistenceoftheclassesinquestion。
　　Letusreturntothecirculationofcommodities。Theappearanceofthetwoequivalents，commoditiesandmoney，atthetwopolesoftheprocessofsale，hasceasedtobesimultaneous。Themoneyfunctionsnow，firstasameasureofvalueinthedeterminationofthepriceofthecommoditysold;thepricefixedbythecontractmeasurestheobligationofthedebtor，orthesumofmoneythathehastopayatafixeddate。Secondly，itservesasanidealmeansofpurchase。Althoughexistingonlyinthepromiseofthebuyertopay，itcausesthecommoditytochangehands。Itisnotbeforethedayfixedforpaymentthatthemeansofpaymentactuallystepsintocirculation，leavesthehandofthebuyerforthatoftheseller。Thecirculatingmediumwastransformedintoahoard，becausetheprocessstoppedshortafterthefirstphase，becausetheconvertedshapeofthecommodity，viz。，themoney，waswithdrawnfromcirculation。Themeansofpaymententersthecirculation，butonlyafterthecommodityhasleftit。Themoneyisnolongerthemeansthatbringsabouttheprocess。Itonlybringsittoaclose，bysteppinginastheabsoluteformofexistenceofexchange—value，orastheuniversalcommodity。Thesellerturnedhiscommodityintomoney，inordertherebytosatisfysomewant，thehoarderdidthesameinordertokeephiscommodityinitsmoney—shape，andthedebtorinordertobeabletopay;ifhedonotpay，hisgoodswillbesoldbythesheriff。Thevalue—formofcommodities，money，isthereforenowtheendandaimofasale，andthatowingtoasocialnecessityspringingoutoftheprocessofcirculationitself。
　　Thebuyerconvertsmoneybackintocommoditiesbeforehehasturnedcommoditiesintomoney:inotherwords，heachievesthesecondmetamorphosisofcommoditiesbeforethefirst。Theseller’scommoditycirculates，andrealisesitsprice，butonlyintheshapeofalegalclaimuponmoney。
　　Itisconvertedintoause—valuebeforeithasbeenconvertedintomoney。
　　Thecompletionofitsfirstmetamorphosisfollowsonlyatalaterperiod。[48]
　　Theobligationsfallingduewithinagivenperiod，representthesumofthepricesofthecommodities，thesaleofwhichgaverisetothoseobligations。Thequantityofgoldnecessarytorealisethissum，depends，inthefirstinstance，ontherapidityofcurrencyofthemeansofpayment。
　　Thatquantityisconditionedbytwocircumstances:firsttherelationsbetweendebtorsandcreditorsformasortofchain，insuchawaythatA，whenhereceivesmoneyfromhisdebtorB，straightwayhandsitovertoChiscreditor，andsoon;thesecondcircumstanceisthelengthoftheintervalsbetweenthedifferentdue—daysoftheobligations。Thecontinuouschainofpayments，orretardedfirstmetamorphoses，isessentiallydifferentfromthatinterlacingoftheseriesofmetamorphoseswhichweconsideredonaformerpage。Bythecurrencyofthecirculatingmedium，theconnexionbetweenbuyersandsellers，isnotmerelyexpressed。Thisconnexionisoriginatedby，andexistsin，thecirculationalone。Contrariwise，themovementofthemeansofpaymentexpressesasocialrelationthatwasinexistencelongbefore。
　　Thefactthatanumberofsalestakeplacesimultaneously，andsidebyside，limitstheextenttowhichcoincanbereplacedbytherapidityofcurrency。Ontheotherhand，thisfactisanewleverineconomisingthemeansofpayment。Inproportionaspaymentsareconcentratedatonespot，specialinstitutionsandmethodsaredevelopedfortheirliquidation。
　　SuchinthemiddleageswerethevirementsatLyons。ThedebtsduetoAfromB，toBfromC，toCfromA，andsoon，haveonlytobeconfrontedwitheachother，inordertoannuleachothertoacertainextentlikepositiveandnegativequantities。Therethusremainsonlyasinglebalancetopay。Thegreatertheamountofthepaymentsconcentrated，thelessisthisbalancerelativelytothatamount，andthelessisthemassofthemeansofpaymentincirculation。
　　Thefunctionofmoneyasthemeansofpaymentimpliesacontradictionwithoutaterminusmedius。Insofarasthepaymentsbalanceoneanother，moneyfunctionsonlyideallyasmoneyofaccount，asameasureofvalue。
　　Insofarasactualpaymentshavetobemade，moneydoesnotserveasacirculatingmedium，asameretransientagentintheinterchangeofproducts，butastheindividualincarnationofsociallabour，astheindependentformofexistenceofexchange—value，astheuniversalcommodity。Thiscontradictioncomestoaheadinthosephasesofindustrialandcommercialcriseswhichareknownasmonetarycrises。[49]Suchacrisisoccursonlywheretheever—lengtheningchainofpayments，andanartificialsystemofsettlingthem，hasbeenfullydeveloped。Wheneverthereisageneralandextensivedisturbanceofthismechanism，nomatterwhatitscause，moneybecomessuddenlyandimmediatelytransformed，fromitsmerelyidealshapeofmoneyofaccount，intohardcash。Profanecommoditiescannolongerreplaceit。Theuse—valueofcommoditiesbecomesvalueless，andtheirvaluevanishesinthepresenceofitsownindependentform。Ontheeveofthecrisis，thebourgeois，withtheself—sufficiencythatspringsfromintoxicatingprosperity，declaresmoneytobeavainimagination。Commoditiesalonearemoney。Butnowthecryiseverywhere:moneyaloneisacommodity！Asthehartpantsafterfreshwater，sopantshissoulaftermoney，theonlywealth。[50]Inacrisis，theantithesisbetweencommoditiesandtheirvalue—form，money，becomesheightenedintoanabsolutecontradiction。Hence，insuchevents，theformunderwhichmoneyappearsisofnoimportance。Themoneyfaminecontinues，whetherpaymentshavetobemadeingoldorincreditmoneysuchasbank—notes。[51]
　　Ifwenowconsiderthesumtotalofthemoneycurrentduringagivenperiod，weshallfindthat，giventherapidityofcurrencyofthecirculatingmediumandofthemeansofpayment，itisequaltothesumofthepricestoberealised，plusthesumofthepaymentsfallingdue，minusthepaymentsthatbalanceeachother，minusfinallythenumberofcircuitsinwhichthesamepieceofcoinservesinturnasmeansofcirculationandofpayment。
　　Hence，evenwhenprices，rapidityofcurrency，andtheextentoftheeconomyinpayments，aregiven，thequantityofmoneycurrentandthemassofcommoditiescirculatingduringagivenperiod，suchasaday，nolongercorrespond。
　　Moneythatrepresentscommoditieslongwithdrawnfromcirculation，continuestobecurrent。Commoditiescirculate，whoseequivalentinmoneywillnotappearonthescenetillsomefutureday。Moreover，thedebtscontractedeachday，andthepaymentsfallingdueonthesameday，arequiteincommensurablequantities。[52]
　　Credit—moneyspringsdirectlyoutofthefunctionofmoneyasameansofpayment。Certificatesofthedebtsowingforthepurchasedcommoditiescirculateforthepurposeoftransferringthosedebtstoothers。Ontheotherhand，tothesameextentasthesystemofcreditisextended，soisthefunctionofmoneyasameansofpayment。Inthatcharacterittakesvariousformspeculiartoitselfunderwhichitmakesitselfathomeinthesphereofgreatcommercialtransactions。Goldandsilvercoin，ontheotherhand，aremostlyrelegatedtothesphereofretailtrade。[53]
　　Whentheproductionofcommoditieshassufficientlyextendeditself，moneybeginstoserveasthemeansofpaymentbeyondthesphereofthecirculationofcommodities。Itbecomesthecommoditythatistheuniversalsubject—matterofallcontracts。[54]Rents，taxes，andsuchlikepaymentsaretransformedfrompaymentsinkindintomoneypayments。Towhatextentthistransformationdependsuponthegeneralconditionsofproduction，isshown，totakeoneexample，bythefactthattheRomanEmpiretwicefailedinitsattempttolevyallcontributionsinmoney。TheunspeakablemiseryoftheFrenchagriculturalpopulationunderLouisXIV。，amiserysoeloquentlydenouncedbyBoisguillebert，MarshalVauban，andothers，wasduenotonlytotheweightofthetaxes，butalsototheconversionoftaxesinkindintomoneytaxes。[55]InAsia，ontheotherhand，thefactthatstatetaxesarechieflycomposedofrentspayableinkind，dependsonconditionsofproductionthatarereproducedwiththeregularityofnaturalphenomena。Andthismodeofpaymenttendsinitsturntomaintaintheancientformofproduction。ItisoneofthesecretsoftheconservationoftheOttomanEmpire。Iftheforeigntrade，forceduponJapanbyEuropeans，shouldleadtothesubstitutionofmoneyrentsforrentsinkind，itwillbeallupwiththeexemplaryagricultureofthatcountry。Thenarroweconomicconditionsunderwhichthatagricultureiscarriedon，willbesweptaway。
　　Ineverycountry，certaindaysoftheyearbecomebyhabitrecognisedsettlingdaysforvariouslargeandrecurrentpayments。Thesedatesdepend，apartfromotherrevolutionsinthewheelofreproduction，onconditionscloselyconnectedwiththeseasons。Theyalsoregulatethedatesforpaymentsthathavenodirectconnexionwiththecirculationofcommoditiessuchastaxes，rents，andsoon。Thequantityofmoneyrequisitetomakethe—payments，fallingdueonthosedatesalloverthecountry，causesperiodical，thoughmerelysuperficial，perturbationsintheeconomyofthemediumofpayment。[56]
　　Fromthelawoftherapidityofcurrencyofthemeansofpayment，itfollowsthatthequantityofthemeansofpaymentrequiredforallperiodicalpayments，whatevertheirsource，isininverse[57]proportiontothelengthoftheirperiods。[58]
　　Thedevelopmentofmoneyintoamediumofpaymentmakesitnecessarytoaccumulatemoneyagainstthedatesfixedforthepaymentofthesumsowing。Whilehoarding，asadistinctmodeofacquiringriches，vanisheswiththeprogressofcivilsociety，theformationofreservesofthemeansofpaymentgrowswiththatprogress。
　　C。UniversalMoneyWhenmoneyleavesthehomesphereofcirculation，itstripsoffthelocalgarbswhichitthereassumes，ofastandardofprices，ofcoin，oftokens，andofasymbolofvalue，andreturnstoitsoriginalformofbullion。
　　Inthetradebetweenthemarketsoftheworld，thevalueofcommoditiesisexpressedsoastobeuniversallyrecognised。Hencetheirindependentvalue—formalso，inthesecases，confrontsthemundertheshapeofuniversalmoney。Itisonlyinthemarketsoftheworldthatmoneyacquirestothefullextentthecharacterofthecommoditywhosebodilyformisalsotheimmediatesocialincarnationofhumanlabourintheabstract。Itsrealmodeofexistenceinthissphereadequatelycorrespondstoitsidealconcept。
　　Withinthesphereofhomecirculation，therecanbebutonecommoditywhich，byservingasameasureofvalue，becomesmoney。Inthemarketsoftheworldadoublemeasureofvalueholdssway，goldandsilver。[59]
　　Moneyoftheworldservesastheuniversalmediumofpayment，astheuniversalmeansofpurchasing，andastheuniversallyrecognisedembodimentofallwealth。Itsfunctionasameansofpaymentinthesettlingofinternationalbalancesisitschiefone。Hencethewatchwordofthemercantilists，balanceoftrade。[60]Goldandsilverserveasinternationalmeansofpurchasingchieflyandnecessarilyinthoseperiodswhenthecustomaryequilibriumintheinterchangeofproductsbetweendifferentnationsissuddenlydisturbed。
　　Andlastly，itservesastheuniversallyrecognisedembodimentofsocialwealth，wheneverthequestionisnotofbuyingorpaying，butoftransferringwealthfromonecountrytoanother，andwheneverthistransferenceintheformofcommoditiesisrenderedimpossible，eitherbyspecialconjuncturesinthemarketsorbythepurposeitselfthatisintended。[61]
　　Justaseverycountryneedsareserveofmoneyforitshomecirculationso，too，itrequiresoneforexternalcirculationinthemarketsoftheworld。Thefunctionsofhoards，therefore，ariseinpartoutofthefunctionofmoney，asthemediumofthehomecirculationandhomepayments，andinpartoutofitsfunctionofmoneyoftheworld。[62]Forthislatterfunction，thegenuinemoney—commodity，actualgoldandsilver，isnecessary。Onthataccount，SirJamesSteuart，inordertodistinguishthemfromtheirpurelylocalsubstitutes，callsgoldandsilver"moneyoftheworld。"
　　Thecurrentofthestreamofgoldandsilverisadoubleone。Ontheonehand，itspreadsitselffromitssourcesoverallthemarketsoftheworld，inordertobecomeabsorbed，tovariousextents，intothedifferentnationalspheresofcirculation，tofilltheconduitsofcurrency，toreplaceabradedgoldandsilvercoins，tosupplythematerialofarticlesofluxury，andtopetrifyintohoards。[63]Thisfirstcurrentisstartedbythecountriesthatexchangetheirlabour，realisedincommodities，forthelabourembodiedinthepreciousmetalsbygoldandsilver—producingcountries。Ontheotherhand，thereisacontinualflowingbackwardsandforwardsofgoldandsilverbetweenthedifferentnationalspheresofcirculation，acurrentwhosemotiondependsontheceaselessfluctuationsinthecourseofexchange。[64]
　　Countriesinwhichthebourgeoisformofproductionisdevelopedtoacertainextent，limitthehoardsconcentratedinthestrongroomsofthebankstotheminimumrequiredfortheproperperformanceoftheirpeculiarfunctions。[65]Wheneverthesehoardsarestrikinglyabovetheiraveragelevel，itis，withsomeexceptions，anindicationofstagnationinthecirculationofcommodities，ofaninterruptionintheevenflowoftheirmetamorphoses。[66]