JB_003_229.xml

Title: [14 Dec.r 1801 Maximum 1]

Description: 14 Dec.r 1801

Maximum

1

In speaking of a maximum as a measure that might eventually become an eligible

one, I must beg not to be understood as proposing a system of compulsion,

obliging growers or vendors of corn to send it in to market either all at once

or according to any system /plan/ of regulation in respect of numbers,

quantities times and places.

JB_003_162.xml

Title: [[Summaries] 17 Oct 1801 Alarm]

Description: [Summaries]

17 Oct 1801

Alarm

Remedies

Ballance 2 do

Contents

Keep in

Go on trading { to a loss

{ without profit

1

Points to be distinguished -

1 Expediency, and fact. p. 1, 2.

The current language never speaks to fact, without speaking to expediency.

To Ch VIII. 26

2

2

2 Distinction between the favourable ballance of trade, and the profit of trade in the plain sense of the words in the instance of every person engaged in trade. p. 3, 4, 5.

3

Use of thus noting this distinction - Shewing that those who have confounded it, have lost themselves, and talked down right nonsense. p. 6, 7.

4

The opinion as to expediency is referable now to a determinate text - ( Irving - Lords’ Report - Rose - an advantage wanting to Adam Smith. p. 3, 4.

5

I. Expediency.

As to this point Irving’s opinions are as follows.

1. Gold and Silver have no transcendent value over and above their value in use or in exchange. p. 5.

6

2 The value of all other things is in comparison as nothing. p. 6

Expediency

7

3 Wealth is therefore to be estimated solely by gold and silver. p. 6

8

4 In particular, on the occasion of its importation. p. 6

9

5 The value of other wealth is equal to 0 or more probably is negative p. 7

By keeping on gold and silver to the amount.

10

Example. Corn &c p. 7.

11

6 There is no quantity of gold and silver, beyond which its superiority in value over corn and other things ceases or lessens. p. 7, 8.

12

7 The largest quantity of corn &c ought not to be refused to be given to get this smallest quantity of gold and silver that can not be got without it. p. 8

Expediency

13

8 Much less ought any gold and silver be sent out to get corn &c in any emergency p. 8.

14

9 Every thing that on being exported, does not send home gold and silver in return, is so much loss: - all corn imported as {evidence of} so much loss. p. 9.

15

10 Corn &c imported gratis may however be cleared[?] gain, not having been taken in lieu of gold and silver; nor therefore being evidence of so much loss. p. 9

Expediency

14

The above positions, though not consistent with the truth of things are tolerably consistent with one another /the system/. p. 10

15

A proposition of Irving’s, consistent with truth, but not with the system is - that fish imported are not an evidence /a cause/ of a corresponding loss /of so much loss/, in respect of so much gold and silver kept out. This is inconsistent, because the catching them prevents the employment of so much labour in the production of things for which the expected gold and silver might have been imported in return, prevents the import of so much gold and silver as much as if it had been employd in producing goods exported for a return in fish. p. 10, 11

Fact

16 1?

All these positions are virtually included in the expressions favourable and unfavourable ballance of trade. By favourable is meant the excess of exports above imports. p. 12.

Unfavourable = losing trade

17

It is concluded that gold and silver to the amount of this deficiency must have been imported: apparently because otherwise importers would have been giving their goods for nothing. p. 13

Fact.

18

Assumptions included in this inference. p. 13

1. Accounts perfectly correct - Negative. They state more gold & silver received than could be received

20

2 /3/. No returns in goods left in arrear, by encreased length of credit. Neg: ve p. 14.

21

3 /4/. No gold and silver re-exported. Neg: ve p. 15

22

4 /5/. Neither gold and silver nor goods exported without return. Neg. ve Witness - for War-expenses. p. 15. See 26

19

5. /6/ In gold and silver imported no more than £1000 received for goods that cost the exporters £1000. p. 14.

19

* Neither gold and silver nor goods imported without return.

Neg: e in addition to Purchases by Foreigners on English Funds.

Fact.

23

All these assumptions are erroneous: and these errors form the basis of Irving’s estimate of imports in gold and silver amounting to

1. For 4 years ending 1795 £6,500,000

2. For 4 years end g 1798 £14, 800,000 p. 15, 16

24

This gives for 3 years ending 1793 £17,566,666 p 16.

25

And adding the omitted 15 per Cent for profit of trade as above For 3 years ending 1798 £20,201,665

{ 26

In the current expression, the question of fact and the question of expediency are inextricably interwoven and confounded. You cannot speak to either without speaking to the other. p. 18, 19 }

{ 27

The matter of fact - the encrease of gold and silver - would to the amount of the encrease proved, have proved the proposition of expediency, that being involved in the encrease of wealth in all shapes: for encrease of gold & silver, though not a cause, is not effect, and thence an indication of encrease of all other wealth. p. 20, 21. }

26 1

3. Assumption 3 Neither gold & silver nor goods exported without return.

Neg e. Witness War expences p. 1, 2, 3.

Inadvertence of this assumption enough to destroy Irving’s credit. }

27 2

All base assumptions being false, hence so many constant sources of error by means of which the ballance may /will/ appear by the rule to be on the side opposite to that which it is on in reality. p. 4, 5, 6

28 3

All these instances of export without return are noticed by Irving and the Lords, without prejudice to the rule though repugnant to the rule. p. 6

29 4

The quantity of gold and silver added since 1697 according to this rule makes the total quantity existing in this country more than < > times the probable amount. p. 7, 8, 9, 10

30 5

It makes the quantity imported into the country a great deal more than the whole probable produce of the mines, as distributed among all the countries in Europe. p. 11, 12

As per Necker, III. 73

30* 5

* Irving’s Ballances make the total of the neat addition to gold and silver in the 7 years including 1798 £90,505,000

31 6

No such quantity can have been imported, because no proportionally acquainted quantity of gold has been coined - (& silver.) p. 15, 16, 17.

32. 7

No credit is due to Irving’s calculations Instead of particular he gives self-commending professions, and general remarks. p. 18, 19, 20 21, 22, 23, 24, 25

JB_003_227.xml

Title: [13 Dec.r 1801 Maximum 1]

Description: 13 Dec.r 1801

Maximum

1

The example of France has been referred to as an experimental proof of the

ineligibility /inexpediency/ of a maximum law. The reference to be applicable to

the purpose must go to this, that the example proves the inexpediency of such a

law according to any the most advantageous form that could in the country be

given to it. But to this purpose the example will be found inapplicable

altogether. To those who are unable /want either ability or inclination/ to look

beyond a name the argument may be a sufficient one: but to any one who will take

the trouble of seeing what was really done in France by government on the

occasion referred to by that name /word/ the resemblance will be found wanting

altogether. In France, the price was set at random and set abundantly too low:

it was accompanied with an obligation – an universal pell-mell observation – to

carry the corn to market to be sold at that inadequate price: and the price

which would have been inadequate had it even been real was after all but

nominal, payment being to be taken in worthless paper. This account of the

matter is taken from the /an/ interesting narrative, purporting to be that of a

Lady, who was witness to the scene. The propositions it does prove are abundant

– that people ought neither to be plundered nor put to death nor plundered

without