OF

POLITICAL ECONOMY

WITII

SOME OF THEIR APPLICATIONS TO SOCIAL PHILOSOPHY

BY

JOHN STUART MILL.

IN TWO VOLUMES.

VOL. II.

SRON THE FIFTH LONDON EDITION

NEW YORK:
D. APPLETON AND COMPANY,

1896.

M58
1888
4.2

CONTENTS

OF THE SECOND VOLUME.

BOOK III.

EXCHANGE.- (Continued.)

CHAPTER VII. Of Money.

§ 1. Purposes of a Circulating Medium,

2. Gold and Silver, why fitted for those purposes,

3. Money a ere contrivance for facilitating exchanges, which

does not affect the laws of Value,

PAGE

17

19

22

.

CHAPTER VIII. Of the Value of Money, as dependent on

Demand and Supply.

§ 1. Value of Money, an ambiguous expression, .

25

2. The Value of Money depends, cæteris paribus, on its quantity, 26

3. together with the rapidity of circulation,

31

4. Explanations and limitations of this principle,

33

CHAPTER IX. Of the Value of Money, as dependent on

Cost of Production.

1. The Value of money, in a state of freedom, conforms to the

value of the bullion contained in it, .

37

2. – which is determined by the cost of production,

40

3. This law, how related to the principle laid down in the pre-

ceding chapter,

42

618