Silver, not sterling: A reply to Prof. Miskimin.

This article presents response of the author to an article by Harry A. Miskimin on sixteenth century monetary matters, published in the May 1, 1996 issue of the journal "Economic History Review." Where Miskimin deals in constant pounds of silver, the author prefers to look at the rising price of bullion, reflected in the reduced silver weight of the pound sterling. Indeed, in England government action reducing the silver weight of the pound was following the changing value of silver on the open market, rather than leading it. Since the value of silver was changing, prices expressed in silver should not be compared uncritically over the long term, any more than should nominal prices. The author's approach has the additional advantage of setting the medieval experience of falling velocity in the same context as the similar trend extending from century 1600 to the twentieth century. Nonetheless, even using his approach the author confirm Miskimin's observation of rising velocity in the sixteenth century.