An objection to the silver standard which seems almost insurmountable to some is the constant variation in the value of silver. It is well known that every transaction in the trade of China to-day means not only the fixing of the value of the commodity, but also of the money or the medium of exchange. This double transaction naturally restricts the volume of business which might otherwise be possible. It does not follow, however, that the result of the transaction is more favourable to one party or the other, than would be the case, if the fixing the value of the money is eliminated by the adoption of a proper standard of value. As prices are more or less regulated by the interplay of economic forces, the factor that really counts in the way of restricting business is the inconvenience of maintaining a variable standard. But would the adoption of the silver standard mean invariably a large fluctuation of silver in terms of gold - provided that the local exchanges in the country are all done away with? So long as China is a political entity, the inconvenience and the futility of maintaining the several different exchanges cannot be sufficiently emphasized. Once steps are taken to bring about the uniformity of currency for the whole country, then, of course, will come the proper time to enquire whether gold or silver would prove advantageous as a standard. Until the unification is complete, therefore, it is essential that the measure of value should continue to be what it has been so far; i.e., it should continue to be silver. Whatever variation might take place in the value of silver during the interval, such would only affect the Chinese in the matter of the payment of interest and amortization on loans; so far as foreign trade is concerned the experience would be nothing new to her. But I believe that the definite adoption of silver by China would help to steady the value of silver and thus reduce the range of fluctuation of the value of silver in terms of gold.