And their natural tendency is to cause a general rise in price, and what is the same thing, a diffused diminution in the purchasing power of money.
'Up to this point there is nothing special in the recent history of the money market.

Similar events happened both after the panic of 1847, and after that of 1857.

But there is another cause of the same kind, and acting in the same direction, which is peculiar to the present time; this cause is the amount of the foreign money, and especially of the money of foreign Governments, now in London.

No Government probably ever had nearly as much at its command as the German Government now has.

Speaking broadly, two things happened: during the war England was the best place of shelter for foreign money, and this made money more cheap here than it would otherwise have been; after the war England became the most convenient paying place, and the most convenient resting place for money, and this again has made money cheaper.