(3) We may ask the question, why did the Euboeans if they were taking over a ready-made standard which had no relation to any standard which they themselves already possessed, adopt the gold standard of 130 grs. instead of the electrum and silver standard which was in use among all the Greek cities with which they traded?
We can now conveniently revert to the theory that the Aeginetan silver standard was a reduced Phoenician. Much has been written about degradation of coin weights and reduced standards. It may be therefore well to clear our notions on the subject by asking ourselves what do we mean by such terms. Both the terms and the process are equally familiar to those at all acquainted with the history of mediaeval coinage. The king then controlled, as for instance in England, the mintage. If the sovereign thought fit to reduce the amount of silver in the groat from 80 to 72 grains his subjects had no alternative but to take the new and lighter pieces as equivalent to four pennies sterling. The sovereign thus was able to relieve an exhausted treasury, making a considerable profit off every groat and penny put into circulation. Again, the impecunious monarch might resort to another method of making a profit, by debasing the coinage, and might issue one such as the fourth of Henry VIII., of exceeding base silver, and again his subjects could simply grumble and take the new money. These groats and pennies passed as such within the realm, but when the question of foreign exchange came, the matter assumed an entirely new complexion. Would a shrewd Flemish merchant from Antwerp accept a base or a reduced English groat at the same rate for which it passed current in England? Of course he did no such thing, and the scales were at once called into use, and the silver changed hands not by tale, but by weight. Now the condition under which such a degradation or debasing of the coinage as we have described can take place is that a state or country shall be of such considerable magnitude that it has room within its own borders to employ a large amount of coin in internal trade without much necessity of external commerce. Did such conditions exist among the Greek states of antiquity? There is another condition, namely,