The Maintenance of Free Trade [26]
at this time, when Merchants as well English as Strangers, have an ability given them by exchange, to take up money here, and to deliver a Bill of exchange for it, payable beyond the Seas, and can send over that money in specie, and become a great Gayner thereby; insomuch, that if I receive here one hundreth Pieces of 20 shillings, I can send 90 Pieces to pay by Bill of exchange, and put 10 Pieces in my Pocket for an overplus and gaine. The like may be done, by making over money from beyond the Seas, to be paied here by exchange; which being received, I can Transport with 15 upon the hundreth, gaines in two moneths and less, advancing thereby an hundreth upon the hundred in a yeere: which exceedeth all the benefit to be made by Commodities, wherewith I need not to entermeddle, neither can the said Statute be any helpe herein, to avoide the same. Concerning moneys, which doe consist of weight, fineness & Valuation; it is evident, that Gold and silver are but materials, and in the nature of Bullion; but Valuation is the Spirit which giveth life. This Valuation is twofold; the one by the Publicke Authority of Kings and Princes, the other by the Merchants in the course of exchange; and this is Predominant and over-ruleth the Kings Valuation: for when the King hath valued the shilling piece of Starlin money at 12 pence, they doe undervalue the same at 11 pence halfe pennie, or 11 pence; which undervaluation causeth the continuall exportation of our moneys, and is the hindrerance of importation of moneys and Bullion, as wee have so often inculcated, to make the motive stronger to produce a sufficient Remedy, as followeth.
Chapter V
Of the Remedie, for all the former causes of Decay of Trade.
Having hitherto observed the Methode of the said Author, inpart of his Distribution in the matter and forme of Trade, and therein shewed very great deformities: I am now to apply the True Remedies likewise in order, according to the cuases alleaged, which are noted by me to be tenne in number. The Efficient cause of the Transformation of our Moneys is (Gaine), and this Gaine ariseth by the undervaluing of our moneys, in regard of the inhauncing and overvaluation of forraine Coyne; so that the cause is Extrinsike & comprised under the said exchange of moneys, andnot intrinsicke, in the weight and fineness of the Coyne, which are considered in the course of True exchange betweene us, and forraine Nations; and thereupon it followeth, that neither difference of weight, finenesse of Standard, proportion betweeen Gold and Sivler, or th proper valuation of moneys, can be any ture causes of the exportation of our moneys; so long as a due course is held in exchange, which is founded thereupon. Hence ariseth the facilitie of the Remedie, by the Reformation of exchange, in causing the value of our money to be given in exchange, which cutteth off the said Gaine, had by the said exportation, and causeth (in effect) that the forraine Coyne beyond the Seas, shall not be received above the value, although the inhauncing therefore, or the imbasing by allay were altering continually. For take away the cause (Gayne) and the effect will cease. All men of common understanding, when they doe heare of the raising of moneys beyond the Seas, are ready to say, we must doe the like; for they conceive the saying of Cato, Tu quoque fac similie, sic Ars deluditur Arte, to be a proper application hereunto: but they doe not enter into consideration, what Altherations it would bring to the State, and that the matter might runne, Ad infinitum, as shall be declared. But let us suppose, that this will be a sufficient Remedy, to inhaunce our moneys, as they doe theirs, to imbase our Coyne, as they doe theirs, and to imitate overvaluation and undervaluation of Gold and Silver, as they doe, requiring a continuall laboure, charge, and innovation; is it not an excellent thing that all this can be done by the course of exchange, with great facilitie? And that without inhauncing of our moneys at home, or medling with the weight and finenesse
Chapter V
Of the Remedie, for all the former causes of Decay of Trade.
Having hitherto observed the Methode of the said Author, inpart of his Distribution in the matter and forme of Trade, and therein shewed very great deformities: I am now to apply the True Remedies likewise in order, according to the cuases alleaged, which are noted by me to be tenne in number. The Efficient cause of the Transformation of our Moneys is (Gaine), and this Gaine ariseth by the undervaluing of our moneys, in regard of the inhauncing and overvaluation of forraine Coyne; so that the cause is Extrinsike & comprised under the said exchange of moneys, andnot intrinsicke, in the weight and fineness of the Coyne, which are considered in the course of True exchange betweene us, and forraine Nations; and thereupon it followeth, that neither difference of weight, finenesse of Standard, proportion betweeen Gold and Sivler, or th proper valuation of moneys, can be any ture causes of the exportation of our moneys; so long as a due course is held in exchange, which is founded thereupon. Hence ariseth the facilitie of the Remedie, by the Reformation of exchange, in causing the value of our money to be given in exchange, which cutteth off the said Gaine, had by the said exportation, and causeth (in effect) that the forraine Coyne beyond the Seas, shall not be received above the value, although the inhauncing therefore, or the imbasing by allay were altering continually. For take away the cause (Gayne) and the effect will cease. All men of common understanding, when they doe heare of the raising of moneys beyond the Seas, are ready to say, we must doe the like; for they conceive the saying of Cato, Tu quoque fac similie, sic Ars deluditur Arte, to be a proper application hereunto: but they doe not enter into consideration, what Altherations it would bring to the State, and that the matter might runne, Ad infinitum, as shall be declared. But let us suppose, that this will be a sufficient Remedy, to inhaunce our moneys, as they doe theirs, to imbase our Coyne, as they doe theirs, and to imitate overvaluation and undervaluation of Gold and Silver, as they doe, requiring a continuall laboure, charge, and innovation; is it not an excellent thing that all this can be done by the course of exchange, with great facilitie? And that without inhauncing of our moneys at home, or medling with the weight and finenesse