\"PhilipI，KingofFrance，\"saysM。Proudhon，\"mixeswithCharlemagne’sgoldpoundathirdofalloy，imaginingthat，havingthemonopolyofthemanufactureofmoney，hecoulddowhatisdonebyeverymanufactureofmoney，hecoulddowhatisdonebyeverytradesmanwhohasthethemonopolyofaproduct。WhatwasactuallythisdebasementofthecurrencyfromwhichPhilipandhissuccessorshavebeensomuchblamed？Itwasperfectlysoundreasoningfromthepointofviewofcommercialpractice，butveryunsoundeconomicscience，viz。，tosupposethat，assupplyanddemandregulatevalue，itispossible，eitherbyproducinganartificialscarcityorbymonopolizingmanufacture，toincreasetheestimationandconsequentlythevalueofthings;andthatthisistrueofgoldandsilverasofcorn，wine，oilortobacco。ButPhilip’sfraudwasnosoonersuspectedthanhismoneywasreducedtoitstruevalue，andhehimselflostwhathehadthoughttogainfromhissubjects。Thesamethinghashappenedasaresultofeverysimilarattempt。\"
[I70—71]
Ithasbeenprobedtimeswithoutnumberthat，ifaprincetakesintohisheadtodebasethecurrency，itishewholoses。Whathegainsonceatthefirstissueheloseseverytimethefalsifiedcoinagereturnstohimintheformoftaxes，etc。ButPhilipandhissuccessorswereabletoprotectthemselvesmoreorlessagainstthisloss，for，oncethedebasedcoinagewasputintocirculation，theyhastenedtoorderageneralre—mintingofmoneyontheoldfooting。
Andbesides，ifPhilipIhadreallyreasonedlikeM。Proudhon，hewouldnothavereasonedwell\"fromthecommercialpointofview\"。NeitherPhilipInorM。Proudhondisplaysanymercantilegeniusinimaginingthatitispossibletoalterthevalueofgoldaswellasthatofeveryothercommoditymerelybecausetheirvalueisdeterminedbytherelationbetweensupplyanddemand。
IfKingPhiliphaddecreedthatonequarterofwheatwasinfuturetobecalledtwoquartersofwheat，hewouldhavebeenaswindler。Hewouldhavedeceivedalltherentiers，allthepeoplewhowereentitledtoreceive100quartersofwheat。Hewouldhavebeenthecauseofallthesepeoplereceivingonly50quartersofwheat;hewouldhavehadtopayonly50。