The relative Scarcity of Gold and Silver

by Montesquieu

BESIDES the positive plenty and scarcity of gold and silver, there is still a relative abundance and a relative scarcity of one of these metals compared to the other.

The avaricious hoard up their gold and silver.

They do not care to spend. They are fond of signs that are not subject to decay. They prefer gold to silver, because as they are always afraid of losing, they can best conceal that which takes up the least room. Gold therefore disappears when there is plenty of silver, by reason that every one has some to conceal. It appears again when silver is scarce, because they are obliged to draw it from its confinement.

It is then a rule= that gold is common when silver is scarce, and gold is scarce when silver is common.

This lets us see the difference between their relative and their real abundance and scarcity= of which I shall presently speak more at large.