The Government is necessarily at times possessed of large sums in cash. If the losses by mistake in banking and the losses by fraud were put side by side, those by mistake would be incomparably the greater. The ‘reserves’ of London bankers are not such store; they are used cash, not unused; they are part of the Bank deposits, and lent as such. We can deal with both these occasions in a continuous narrative. The effects at the lower limit differ in this important respect, that the Government are under no legal obligation to prevent the depreciation of the rupee, and have not undertaken to give sovereigns for rupees in the way that they have undertaken to give rupees for sovereigns. │ £m. ) Current Accounts │ (xi. _, the imports and the production less the exports) approximately is—although the amount of the steady leakage across the land frontiers is usually neglected.
It is essential to the decisions of most business, and not least of the banking business, that they should be made constantly by the same persons; the chain of transactions must pass through the same minds.