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 Replies: 11 / Views: 1,334 |
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Valued Member
92 Posts |
Good evening folks, I am wondering why did the RCM change the silver composition of the Five (5) cents in 1920 from 92.5 % to 80 %, just two years before changing the "format" to match the size of the U.S. five (5) cents and pure nickel? I have found plenty of references "listing" the change but no explanation. I can fill in the blanks by reasoning the "why", but I would appreciate your opinion and perhaps a source for the information. |
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Pillar of the Community
 Canada
9865 Posts |
They changed all the silver denominations that year to 80% due to the rising price of silver.
"Dipping" is not considered cleaning...
-from PCGS website
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Moderator
 Australia
16849 Posts |
They changed all of the silver coinage finenesses in 1920 from sterling to .800 fine. This was done in 1920 because Britain was forced to drop their fineness after WWI to help pay their war debts, and most of the colonies and dominions did so as well. At that time, they had not yet considered changing the 5 cent to something more like the American coin.
Don't say "infinitely" when you mean "very"; otherwise, you'll have no word left when you want to talk about something really infinite. - C. S. Lewis
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Pillar of the Community
Canada
867 Posts |
Nations often debase their currency. It is a sign of the beginning of the decline of that nation or empire....ie Roman,Spain Britain, soon to be USA
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Pillar of the Community
Canada
785 Posts |
I don't agree that it's the begining of a decline for a nation or country. In the late 40s to 70s most country's debased from silver to other metals because of silvers rising cost, not because their country was falling. (Although there are a few exeptions). Same with the U.S's gold coinage in the 1920s and Canada's nickel coinage in the early 80s.
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Pillar of the Community
Canada
9865 Posts |
Quote:
At that time, they had not yet considered changing the 5 cent to something more like the American coin The decision had been made(though not officially)and the design chosen in 1919,but the government insisted on made-in-Canada planchets. "Dipping" is not considered cleaning...
-from PCGS website
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Valued Member
 92 Posts |
Thanks for the replies, this all good information.
DBM - you make very interesting comments, are there references/books out there which you support what you say? I would like to read up on these facts. I agree that the cost of silver was likely the reasoning behind the changes, firstly the composition (1920) and shortly after the size and base metal change (1922).
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Valued Member
92 Posts |
Would the annual Mint Report contain such information? Personally, hearing or reading from guys is sufficient, but I am working on a project and I would like to quote a source.
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Pillar of the Community
Canada
867 Posts |
The rising price of the underlying gold or silver? Is it the rising price of the commodity, or the excess printing of the money supply that leads to seigniorage?
It can be a chicken or egg argument, but the story ends the same.
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Valued Member
92 Posts |
Tripoli - I suppose the mint report for that year (1920) would discuss the rise in the price of silver.
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Pillar of the Community
Canada
9865 Posts |
"Striking Impressions" by James Haxby gives a good history of Canadian coins and the mint.Relatively easy to find in used bookstores and on ebay. "Dipping" is not considered cleaning...
-from PCGS website
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Valued Member
92 Posts |
DBM - While I am blushing 'cause I had "striking Impressions" on my shelf all along, I have found the info needed on page120 and on wards. Thank you for the heads up  |
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Replies: 11 / Views: 1,334 |
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Posted 05/22/2013 7:21 pm
