A new channel of demand is required to take off the new money, or that new money will not raise prices.

It will lie idle in the banks, as we have often seen it.

We should still see the frequent, the common phenomenon of dull trade and cheap money existing side by side.
'The demand in this case arose in the most effective of all ways.

In 1867 and the first half of 1868 corn was dear, as the following figures show: GAZETTE AVERAGE PRICE OF WHEAT.
s.

d.
December, 1866 60 3 January, 1867 61 4 February 60 10 March 59 9 April 61 6 May 64 8 June 65 8 July 65 0 August 67 8 September 62 8 October 1867 66 6 November 69 5 December 67 4 January, 1868 70 3 February 73 0 March 73 0 April 73 3 May 73 9 June 67 11 July 65 5 From that time it fell, and it was very cheap during the whole of 1869 and 1870.