CAROLINE

AT our last interview, Mrs. B., you were regretting that any restraint should be imposed on our trade with foreign countries; but since you have explained to me the superior advantages arising from the home trade, I should have supposed that every measure tending to discourage foreign commerce, and promote our own industry, would be extremely useful.

MRS. B

You would find it difficult to accomplish both those objects; for in order to encourage our own industry we must facilitate the means of selling the produce of our manufactures, and extend their market as much as possible. On the other hand, if we prohibit exportation, we limit the production of our manufactures to the supply which can be consumed at home. No measure tending to the discouragement of foreign trade can, therefore, be said to promote the industry of the country.

CAROLINE

But foreign trade cannot be both advantageous and disadvantageous to a country?

MRS. B

It is never disadvantageous, but only less beneficial than the home trade. It is only after the demand at home is supplied, that our surplus produce is sent to foreign markets. When we have more capital to dispose of than is required in the home trade, instead of leaving it useless and the labourers it would employ idle, we set them to work for foreign markets. If, for instance, the woollen manufacturers of Leeds, after having supplied the whole demand of England for broad cloths, have any capital left, they will use it in the preparation of woollen goods for exportation.