trol value of gold, since it represents a very well-sustained assault upon the outposts of this ancient stronghold of arbitrary power. But we are apt to grow over-bold. After suffering with great dignity, for months at a time, there was a sharp call to arms, and we were routed with appalling losses. To realize this we must look more closely at the course of events.
If we set aside the pleasant record of our annual advance against the intrenchments of the owners of title to gold and gold itself, and take the details of a year such as 1919, where
Figure 3
our total gain was 8% (and flattens out very nicely in the general curve), we get a much more chastening record.
This diagram means that we lost disastrously in two very successful raids upon our complacency. Between January and February, and between August and September, we suffered sudden reverses.
In financial terms what happened was that confidence outran discretion: credit (which is disastrously measured in terms of gold) was suddenly checked. The indemnity, in corn and lard and beef, was duly paid by the owner of goods to the owner of money. It is shown in the record.[1]
- ↑ See page 132.
