The Massachusetts spy, and Worcester County advertiser. [volume] ([Worcester, Mass.]) 1825-1831, 1826-05-17

pie and fountain of this argument, must be !
taken as conclusive evidence on this point.
Exports. Imports.
1924, S75, 1886 657 S75, 265,O54
1925, 99,535, 33a 96,310.O75
l am aware that the imports exceeded the |
exports in the years 1922 and 1928; bat, in
1921, the balance was on the other side OF the
account. II is of course unnecessary to pur- |
sue this inquiry, if it can be shown that the
fact, if admitted, would not justify any partic
ular of the argument whit is founded on it.
! will first observe, that tbs excess of imports
above the account Of exports, does not, of ne
ccssity, create a debt to foreign merchants. Ill
would seem to be self-evdent, that foreign
trade cannot be profitable, unless the value OF
the merchandise imported exceed that OF the
merchandise carried abroad, by an amount OF
value, at least equal to the expences Of trans
portation aud the incidental charges and no
debt can accrue from this accession Of value,
nor yet from the profit resulting from rise IN
the market price-and will add, that if, by
any state of trade, il should happen that our
nation should obtain the use OF the wealth OF
foreign State, see no more reason TO appre-
bend evil than in case OF loan between indi-
viduals; if this use is Improbable, the loss
must re imputed to the folly or misfortune OF
the borrower, and not TO the mischief OF the loan.
will state some very common cases to show
what items make up the unfarorable balance
of trade, which is so deprecated and deplored.
merchant leaves the country with IA cargo
that cost 100000, which, by rise of the
market price, be is able to sell, at the foreign
port, for merchandise worth $l25,00. On
his return, his account at the Custom House
will be, Exports, 500, 000-Imports, $685.
600.
will take another case, which frequently
occurred during the period in which our cit-
zens made the most rapid accumulation OF
wealth, by taking advantage of the wars in
Europe. A merchant sends his ship abroad,
without a cargo, TO seek employment IN the
carrying trade; after time il returns, laden
with merchandise purchased by its services
Let the value of this carg. be 500, 600, andt
we shall have in the National account, Ex-
ports, nothing Imports, 100000.
| In these two cases, no specie was employ
cd. We will consider another of different
| character. A merchant, who does not upder-
stand the foreign market, sends out merchan-
die worth $l50,000, of which he can make
no better disposition than TO sell it for $l25,-
600 in merchandise, or 100000 in specie
The return of his voyage must then be, Ex-
ports, $50, 000-Imports, $125,O00 i'll mer-
| chandIZe, or SlUO,UO IN specie.
In this dilemma, those who desire the ex-
cess Of exports, and the abundance Of specie,
must, on their own principles, advise the mer-
chant to take the specie from the foreign coun-
| try, and enlarge the excess Of exports. But
his ledger will give him better counseli it
will show him that, If he prefers the specie,
! he will double his loss and that, in all cases,
he must increase his wealth by the amount Of
| ,l,,o Oh ho nd fhaff in
which the value exists, is a matter of indiffer
ence. This case deserves particular consid-
GRAFTON, from the fact that we have evidence
that the excess Of exports for the two last
years was made up in part, at least, of advcn-
lures like this. The National Gazette Of
| April 81, 1925, contains an interesting letter
from Rio de Janeiro, in which the writer
states, that the losses sustained by the Nor
! chants of the United States, upon their ship
| ments of flour 10 South-America, during the
year 1924, may be estimated at a quarter of
million of dollars.'' As these losses arc im-
puted to no peculiar embarrassment TO which
| the -four trade was suhjec:, but 70 the ignor-
ance and improvidencc of the shippers, it is
fair to info that better information would en-
able US 10 make large addition TO this amount
Of loss, on account of similar Encouragement
! OF other articles Of merchandise. As every
| losing adventure makes similar addition to
the excess of exports, the theorists would find
! an occasion for congratuldtion in state of
trade by which the wealth of every citizen
had been impaired. This absurdity was en-
acted in France, in 1913, by a minister of the
interior, who g felicitated the natiou" on a
| statement Of the excess of the exports above
the imports, as tho most favorable that had
ever been presented; "whiIe every one knew
! CoIS lot H. 4
been making immense Losses" The wealth
OF nation is the mere sum total of the wealth
Of the individuals who compose it, and its in
crease and diminution must be estimated by
the same rules, unless any one would under
take TO prove the paradox in arithmetic, that
an aggregate Of gain may be made up Of items
Of loss. Hence it is apparent that there can
| not be an actual and permanent excess of ex-
ports without loss. Such an excess will be
indicated for time, in case of voyages where
| returns are not received until after period of
| years; and the books of the custom will rem
der like deceptive account of the trade of
the nation, when excessive duties shall offer
a sufficient compensation for the risk Of the
smugSler. 1t has been said that the late
| tariff has had this effect to some extent; So
lar as this goes, it will require deductions
from the apparent excess OF the exports.
do not attempt to estimate the actual or prob.
able effect of the Tariff, but cannot forbear
to make general remark on the inexpediency
and mischief of exclusive and protective du-
/ ties.
Every dollar which tho Government exacts
as impost, adds its own amour: to the cost of
the article IN our market While this mpost
does not greatly exceed fair contribution
for the expense Of civil order, no mischief is
produced; but when, for the sake Of favoring
domestic industry, or for any other desirable
object, so large tax is required, as1o give
bounty to the smuggler, much OF the intended
benefit will be lost, and, what is secured,
Will be dearly purchased by the encourage.
ment OF practices which Ielraud the revenue