Money and Trade Considered [8]
322000
The Expense of Scots-men Abroad, more than of Forreigners in Scotland, 40000 lib. If this is suppos'd the yearly state of the Trade and Expense of Scotland, there will be a ballance due of 17000 lib. And unless the Scots retrench the Consumption of Forreign Goods, so as to Import less; Or retrench the Consumption of their own Goods, so as to Export more; Or encrease, or improve their Product, so as the Export be greater or more valuable; Or retrench in their Expense Abroad. Since that ballance must be paid it will go out in Money or Bullion; And occasions the Exchange to rise 3 per cent, the Prohibition on the Export of Money 3 more, if Scots Men Export it, the
Nation saves the 1020 l. Exchange on the 17000 of ballance due, which is lost if English Merchants Export it: But the loss such a Rise in Exchange occasions on the Goods, is more considerable. The 195000 lib. due Abroad for Goods sent out of Scotland by Scots Merchants, will be pay'd with 183962 lib. English or Dutch Money, that Sum being equal by Exchange at 6 per cent to 195000 lib. in Scotland. The 150000 lib. due for first Cost of Goods carried out by English or Dutch Merchants, will be pay'd with 141510 lib. English or Dutch Money, that Sum being equal to 150000 lib. in Scotland. The 182000 lib. due by Scotland for Goods Imported by English and Dutch Merchants will come to 192920 lib. in Scotland. And the 140000 lib. first cost of Goods brought Home by Scots Merchants, will come to 148400 lib. in Scotland. So the Accompt will run thus.
Due to Scotland for Goods Exported 183962 Brought from Abroad first Cost 140000 Ballance of Expense Abroad 40000
Due to Scotland Abroad 3962
Due by Scotland for Goods Imported by English and Dutch 192920 English and Dutch take back in goods 150000
Due to English and Dutch in Scotland 42920
3962 Lib. due abroad to Scotland in Scots Money 4199
Remains due by Scotland 38721
So the Rise in the Exchange of 3 per cent by the ballance due of 17000 lib. and 3 more by the Prohibition on the Export of Money, occasions a loss to Scotland of 21721 l. and makes the next years ballance 38721 lib. tho the Trade be the same as before. Of which 21721 lib. lost by Exchange, one half would be sav'd if Money were allowed to be Exported. Since the Exchange being 6 per cent above the Par, occasions the loss of 21721 lib. then raising the Money 8 and a 1/3 per cent, having rais'd the Exchange with England to 14 per cent, and with Holland to 30, makes the loss proportionably greater: Scots Goods being suppos'd to continue at the same Prices they were Sold for, before the Money was rais'd, or not to rise in the same proportion with the Money. For whn Exchange was at the Par, a 100 lib. of Scots Goods were Sold Abroad for a 130 lib. English Money; But 114 lib. English Money, being now equal by Exchange to a 130 lib. in Scotland, the Scots Merchant can affor to Sell the same Quantity of Goods for a 114 lib. that he Sold before at a 130, and have the same Profit. So Forreign Goods worth Abroad a 100 lib. and Sold in Scotland for a 130 lib. when Exchange was at the Par; cannot be Sold now for less than a 150 lib. in Scotland, that Sum being only equal to a 130 lib. English Money; And the Merchants profit is no greater, than when he Sold the same Quanity of Goods for a 130 lib.
It may not be improper to consider what Consequences would attend the lowering the Money to the English Standard, and allowing it to be Exported. The former state of Trade I have suppos'd to be carried on, one half by Scots Merchants, the other half by English and Dutch; But as most of the Trade is carried on by Scots Merchants, I shall suppose this state of Trade accordingly. The one or the other will clear the matter
The Expense of Scots-men Abroad, more than of Forreigners in Scotland, 40000 lib. If this is suppos'd the yearly state of the Trade and Expense of Scotland, there will be a ballance due of 17000 lib. And unless the Scots retrench the Consumption of Forreign Goods, so as to Import less; Or retrench the Consumption of their own Goods, so as to Export more; Or encrease, or improve their Product, so as the Export be greater or more valuable; Or retrench in their Expense Abroad. Since that ballance must be paid it will go out in Money or Bullion; And occasions the Exchange to rise 3 per cent, the Prohibition on the Export of Money 3 more, if Scots Men Export it, the
Nation saves the 1020 l. Exchange on the 17000 of ballance due, which is lost if English Merchants Export it: But the loss such a Rise in Exchange occasions on the Goods, is more considerable. The 195000 lib. due Abroad for Goods sent out of Scotland by Scots Merchants, will be pay'd with 183962 lib. English or Dutch Money, that Sum being equal by Exchange at 6 per cent to 195000 lib. in Scotland. The 150000 lib. due for first Cost of Goods carried out by English or Dutch Merchants, will be pay'd with 141510 lib. English or Dutch Money, that Sum being equal to 150000 lib. in Scotland. The 182000 lib. due by Scotland for Goods Imported by English and Dutch Merchants will come to 192920 lib. in Scotland. And the 140000 lib. first cost of Goods brought Home by Scots Merchants, will come to 148400 lib. in Scotland. So the Accompt will run thus.
Due to Scotland for Goods Exported 183962 Brought from Abroad first Cost 140000 Ballance of Expense Abroad 40000
Due to Scotland Abroad 3962
Due by Scotland for Goods Imported by English and Dutch 192920 English and Dutch take back in goods 150000
Due to English and Dutch in Scotland 42920
3962 Lib. due abroad to Scotland in Scots Money 4199
Remains due by Scotland 38721
So the Rise in the Exchange of 3 per cent by the ballance due of 17000 lib. and 3 more by the Prohibition on the Export of Money, occasions a loss to Scotland of 21721 l. and makes the next years ballance 38721 lib. tho the Trade be the same as before. Of which 21721 lib. lost by Exchange, one half would be sav'd if Money were allowed to be Exported. Since the Exchange being 6 per cent above the Par, occasions the loss of 21721 lib. then raising the Money 8 and a 1/3 per cent, having rais'd the Exchange with England to 14 per cent, and with Holland to 30, makes the loss proportionably greater: Scots Goods being suppos'd to continue at the same Prices they were Sold for, before the Money was rais'd, or not to rise in the same proportion with the Money. For whn Exchange was at the Par, a 100 lib. of Scots Goods were Sold Abroad for a 130 lib. English Money; But 114 lib. English Money, being now equal by Exchange to a 130 lib. in Scotland, the Scots Merchant can affor to Sell the same Quantity of Goods for a 114 lib. that he Sold before at a 130, and have the same Profit. So Forreign Goods worth Abroad a 100 lib. and Sold in Scotland for a 130 lib. when Exchange was at the Par; cannot be Sold now for less than a 150 lib. in Scotland, that Sum being only equal to a 130 lib. English Money; And the Merchants profit is no greater, than when he Sold the same Quanity of Goods for a 130 lib.
It may not be improper to consider what Consequences would attend the lowering the Money to the English Standard, and allowing it to be Exported. The former state of Trade I have suppos'd to be carried on, one half by Scots Merchants, the other half by English and Dutch; But as most of the Trade is carried on by Scots Merchants, I shall suppose this state of Trade accordingly. The one or the other will clear the matter