uthorized when both
metals are admitted to the mints for free coinage at an established
ratio of weight. Bimetallism may be legally authorized, but not
actually working, for, if the market-value long continues to vary
appreciably from the legal ratio, only one of the metals may in fact
be left in circulation. This situation is called _limping_ bimetallism
(or the halting double standard), tho this is a contradiction of
terms. National bimetallism is confined to a single country, as was
the case in the United States before the Civil War, or in France
before 1867. International bimetallism is that resulting from an
agreement among several nations to use two metals on the same terms.

The theory of bimetallism is that the government can act on the value
of the two metals through the principle of substitution. The metal
tending to become dearer will not be coined, the other will be coined
in greater quantities. The degree of influence that can thus be
exerted on the value of the two metals depends on the size of the
reservoir of the metal that is rising in value. When it all leaves
circulation, the law on the statute book permitting it to be coined
becomes a mere phrase. In such a case there is bimetallism _de jure,_
but monometallism _de facto._ The greater the league of states the
greater is the likelihood that the plan will continue to work. The
only notable historical instance of international bimetallism is
that of the Latin Union, which united France, Belgium, Italy, and
Switzerland in an agreement remaining actually in force from 1866 to
1874. A strong movement developed between 1878 and 1892 in favor of
forming a great international bimetallic union of states.

One object of the movement was to put an end to the great fluctuations
in the rates of exchange of money between the silver-using and
gold-using countries, fluctuations which occasioned much uncertainty
and loss to individuals engaged in foreign trade. The rise in the
price of gold-exchange in the silver-using countries (notably India)
meant also an increase in their burden of taxation. These countries
collected their revenues in silver, but they had to pay their debts,
principal and interest, in gold. Another object of this movement was
to prevent the burden of individual debts from increasing by reason
of the rise in the value of the single standard, gold. It was, indeed,
hoped that by bringing silver much more into use, the value of gold
would be reduced