Front Page Titles (by Subject) Proportion of Cash Payments. - Money and the Mechanism of Exchange
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Proportion of Cash Payments. - William Stanley Jevons, Money and the Mechanism of Exchange 
Money and the Mechanism of Exchange (New York: D. Appleton and Co. 1876).
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Proportion of Cash Payments.
It is surprising to find to what an extent paper documents have replaced coin as a medium of exchange in some of the principal centres of business. In the Statistical Journal for September, 1805, Sir J. Lubbock published some particulars concerning the business of his bank during the last few days of 1864. Transactions to the amount of £23,000,000 were effected by the use of coin and documents, as shown in the following statement:—
The sums of money paid in by town customers amounted to £19,000,000, and when analysed gave the following results:—
It is not for a moment to be supposed that these figures represent the average use of coin in banking transactions. The proportional amounts of different kinds of money and commercial documents used in different parts of the country, in different trades, or in banks of different size and character vary widely. It is much to be desired that bankers and others who have the facts before them should publish more copious information on the subject. In Manchester the use of Bank of England notes appears to be much more extensive than in London. Mr. R. H. Inglis Palgrave gave in the Statistical Journal for March, 1873 (p. 86), an estimate prepared for him by Mr. Langton, the Managing Director of the Manchester and Salford Bank, of the proportion of cash payments made in that bank. It appears that coin and notes formed 53 per cent. of the total turn-over in 1859, 42 per cent. in 1864, and only 32 per cent. in 1872, so that a rapid decrease has been going on. But we find that in 1872 the amount of notes was still large, the turn-over of customers' accounts being thus composed:—
I have endeavoured to form some notion of the comparative amounts of cheques and bills which are cleared off at successive points in the organization of the banking system. It is very desirable that we should learn what proportion the transactions of the Clearing House bear to the whole transactions of the banks of the kingdom. There would not be much difficulty in forming a fair estimate if we had from one or more banks in each of the principal towns a statement of the comparative amounts of cheques dealt with in various manners. According to information kindly furnished to me by the authorities of one of the principal banks of Manchester, I find that, during the months July to October, 1874, the cheques and bills on demand presented on or through the bank were disposed of as follows:—
Although considerable trouble has been spent in the preparation of this account, it seems doubtful whether the items are complete and correct, and I give it more as a specimen of the kind of information which is much wanted than as a reliable statement.