In the same year he published Banks, Banking, and Paper Currencies, a work which helped to promote the growth of the free banking system in America.
They might even own foreign currencies the same way.
And Abd-ul-Mejid, and the second in the reign of Mahmud only, were not included in the reform; these were debased currencies bearing a nominal value, the altilik of 6, 3 and 12 piastres, the beshlik of 5 and 22 piastres, the metallik of 1, 2 and 4 piastres; they represented the last degree of an agelong monetary depreciation, the original piastre having had a value of about 5s.
These debased currencies are usually at a premium over gold owing to the extreme scarcity of fractional coinage.
- The monetary system, which has been greatly complicated by the use of two depreciated currencies, silver and paper, has been undergoing a radical reform since 1905, the government proposing to redeem the depreciated paper and establish a new uniform currency on a gold basis.
The fact that small nations can adopt standard treaties, laws, currencies, and international practices of larger countries means that a small economic unit can be viable.
The heavy depreciation in silver causing large losses to the government, free coinage was suspended in 1880, and the nominal value of the mejidie was reduced by decree to 19 piastres (105.26 piastres thus = £T1), while in the same year the debased currencies were reduced, altilik, the 6-piastre piece to 5 piastres, the 3-piastre piece to 22 piastres, the 12-piastre piece to 14 piastre; beshlik, the 5-piastre piece to 22 piastres, the 22-piastre piece to 1;-piastre; metallik, the 1-piastre piece to 2 piastre, the 2-piastre piece to 4 piastre, the *-piastre piece to a piastre - these values representing approximately the intrinsic value of the silver, at mejidie standard, contained in the debased coins.
A simple class of cases is that which deals with equivalence of sums of money in different currencies; these cases really come under § 120.
The altilik, beshlik and metallik currencies struck, the first and last in the reign of Mahmud II.