Upon grounds click here which we have often stated, we believe that the anomaly of one bank keeping the sole banking reserve is so fixed in our system that we cannot change it if we would. , namely, that a temporary premium of website ¾ per cent on gold in those European countries where gold is not always freely obtainable, is as this article effective as a very great this article increase in the Bank Rate in preventing the remittance of funds abroad and even in attracting an inward flow of funds. If the bankers gratify the merchants, they must lend largely just when they like it least; see more if they do not gratify them, there is a panic. Save in rare cases, a director must serve his time as Governor and Deputy Governor nearly when his turn comes, and he will not be asked to serve this website much before his turn. The amount of bad business in commercial countries is an infinitesimally small fraction of the whole business. The present administration of the Bank is an attempt to manage a great, a growing, and a permanently continuous business without an adequate permanent element, and a competent click here connecting link. This last item is probably considerable and is not adequately accounted for in the trade returns. After a commercial crisis, 1866 for example, two things happen: first, we call in the debts which are owing to us in foreign countries; and we require these debts to be paid this link to this article us, not in commodities, but in money. (b) In one or two of the earlier years deduction is made on account of an appreciable sum in rupees paid out to native states. Before the Act was broken In 1847, the Banking Department was reduced to L 1,994,000 1857 L 1,462,000 1866 L 3,000,000 In fact, in none of those years could the Banking Department of the Bank here of England this website here have survived if the law had not been broken. For deposits fixed for a year the rate offered varies, as a rule, from 4½ to 5 per cent, the newer creations generally favouring the higher rate. But error is far more formidable than fraud: the mistakes of a sanguine manager are, far more to be dreaded than the theft of a dishonest manager.