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This objection is very plausible, and,till closely examined, seems one of great weight: indeed, it cannot be denied that the effect of Mr. Vansittart's plan is to lessen the demand for stock; and therefore, according to the principles by which the price of any commodity is regulated, it would seem a necessary consequence, that the price of stock would be also lessened. But we should recollect, that a diminished demand for any commodity will not lower the price of that commodity, if the supply be also diminished in the same proportion: for it is an alteration in the proportion of supply and demand, which affects price. Now, though the plan of Mr. Vansittart would undoubtedly lessen the demand for stock, it would also as certainly lessen the quantity of stock in the market, and that in the same proportion: hence, if this position be correct, this plan cannot, in any degree or mode, affect the price of stocks. It may not be quite so obvious how it will lessen the quantity of stock, as it is that it will diminish the demand; but the consequence is equally certain and necessary; for how does Mr. Vansittart's plan relieve the public? Undoubtedly by rendering a loan, and the taxes to pay the interest of a loan, unnecessary. But if a loan were raised, to the amount we will suppose of ten millions, would not stock be created to that amount? It is obvious that it must. If therefore, to prevent the necessity of a loan, ten millions are taken from the commissioners, with which they would otherwise have purchased stock, the same sum of ten millions is not, as it would be in the case of a loan, added to the funded debt or national stock. In fact, the consequence of this plan is, that

the proportion between the supply. of stock, and the demand for it, is preserved the same as before: and therefore, though the commissioners can purchase less by the amount of the sum which the plan takes out of their hands: yet, as there is less stock created, by the amount of the sum saved in the loan by this plan, and as these amounts must necessarily be exactly the same, the price of stock cannot be affected, at least in this point of view, by Mr. Vansittart's plan.

The only other objection to this plan, which we shall notice, may be thus stated: Those who have. lent their money to government, or who have purchased stock, have done it under the implied condition, on the part of government, that at some future period the prin cipal of their debt would be paid off: but as this plan trenches on the fund set apart for the redemp tion of the debt, it so far breaks this implied condition; and therefore injustice is done to the stock. holder, who gave more for his stock than he would otherwise have been disposed to do, on the faith that he should be paid his capital at a period which this plan must necessarily postpone. In reply to this objection, it is sufficient to observe, that as long as the stockholder can obtain his principal by selling his stock, it must be a matter of perfect indifference to him at what period government proposes to pay off the national debt. If Mr. Vansittart's plan rendered it less easy for him to dispose of his stock, or reduced the value of it, then he might object to it on these. grounds; but it is ridiculous in the stockholder to assert that the value of his stock is lessened by the period of its repayment being protracted, while, whenever he chooses, he can

find a purchaser for it; or, in other words, a person who will give him his principal. Besides, what is the fact? Are those descriptions of stock which government have the option of paying off, under circumstances which may occur, or those which are less likely to be paid off, more valuable? The latter, certainly, if we may judge by the proportionate prices of the navy 5 per cents. and the other descriptions of stock, not so likely to be paid off. Indeed it must be obviously so; for all men must prefer that stock which they can sell whenever they please, to that for which they may be obliged to accept the principal when they know not what to do with it.

We shall conclude this chapter with the following extracts relative to the revenue and expenditure, the imports and exports of the year, ending the 5th of January, 1813, as they appear in the annual statement laid before parliament, of the finances and commerce of the country.

The revenue of that year, including the loan, amounted to 95,712,6951. The gross receipt of the income tax, within the same period, was 13,131,5487.

The total expenditure during the year ending the 5th of Jan. 1813 was 104,398,2481.

The public debt during the same period cost the country 36,607,1281. of which the sum of 13,482,5101. passed into the hands of the commissioners for the reduction of the national debt.

The following is a comparative view of the imports of the country for three years, ending the 5th of January in each year:

1811 IMPORTS £36,427,722
1812 Ditto
1813 Ditto

24,520,329 22,994,843

The imports from India are not included in any of the three sums

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Great Importance and Difficulty of the Question respecting the Justice and Policy of the East Indian Monopoly-Views of it taken by different Classes of People by the Merchants and Manufacturers-by the religious Part of the Community-by the Friends of Civilization and Knowledge-Col lateral Topics respecting opening the Trade to the Out Ports-and respecting the China Trade first considered-Remarks on the American Tea Trade-Misconception on that Point-Grand and primary Subject considered Objections to a free Trade-as injurious to the East India Company-10 the Merchants and Manufacturers-to the Country at large-and to the Natives of the East Indies-these Objections considered-Remarks on the Conduct of Government with respect to the Renewal of the Charter-Concluding Observations.

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By far the

mentous, and permanently interesting question which came before parliament, during the ses sion of 1812, was that which related to the renewal of the charter of the East India company. This question at any time must have been interesting and important, from the magnitude and extension of the subject which it embraced; but it was most peculiarly so at the period when it was discussed, both on account of the existing circumstances of the country at large, and

have already had occasion to no. tice, both in this and in our preceding volume, that the trade and commerce of Britain had suffered very considerably and generally by the exclusion of our produce and manufactures from the continent of Europe, and from the United States of America. The capital of our merchants was consuming itself idly and unprofitably in immense stocks of goods, for which they could find no purchasers: our labouring manufacturers were, in

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many places, reduced almost to a state of starvation, and in all in a condition comparatively poor and wretched; and as a natural and unavoidable consequence, our taxes had diminished in their produce, while the nation at large felt the consequences of this stagnation of trade in the increase of the poor's rates. Under such circumstances, it was not to be wondered at that the distressed manufacturers looked forward to the East Indian market with great confidence, as one which would not only for the present take off their accumulated produce, but also permanently supply a regular and large demand for their goods; and consequently that they became extremely interested in their opposition to the renewal of the charter of the East India company. Nor were the circumstances of the company less calculated to give a peculiar importance to the subject at this time: for many years their public affairs had gone on so ill, that they had contracted a debt of nearly 30,000,000%.; and this debt, it was shrewdly suspected, would be increased, instead of being diminished; as every year, for some time past, instead of fulfilling the predictions of the company, that their affairs would speedily assume a more favourable appearance, had witnessed only increased pecuniary embarrassments. Whenever these embarrassments occurred, parliament was applied to, in order to relieve them, and thus the nation saw itself bur dened with the debts of the com

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measure by a different view of the affairs of the company for while their pecuniary embarrassments were so very great, and were continually increasing;-while in fact they could not, at least immediately and completely, discharge their debrs, they were dividing an interest on their capital (on that capital which, to whatever amount it really existed, was, strictly speaking, not theirs, but their creditors') of upwards of ten per cent. It seemed obvious, therefore, to common sense, that if they could af ford to make this dividend, they could afford to pay off part of their debts; or at least that they ought to have divided a more moderate interest, and to have set apart the remainder towards freeing themselves from their embarrassments: but from their actual circumstances, and mode of going on, it was evident that there was some gross mismanagement on their part, and that the nation would have to pay, as it had paid, for this mismanagement.

Such were the more obvious and

general motives which induced the country at large to coincide with the merchants and manufacturers in their opposition to the renewal of the charter of the East India company; but there were other reasons of a higher nature, which operated with some persons to the same effect, on their viewing the subject more deeply and extensively. In the first place, these persons objected to the renewal of the charter, on the broad principle, that, as it gave the company a monopoly, it must be injurious to the country; and probably, they added, not very profitable to themselves as a body; for they contended it is the effect of a mono

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poly, not only to injure those against whom it is granted, but very often even those on whom it is bestowed. In confirmation of this opinion, they referred to several instances of monopolies in times when, from an ignorance of the nature of trade, they were more common, in most of which the affairs of the body who possessed the monopoly were unprosperous, though the affairs of many of the individuals who composed that body might be flourishing. In the second place, these persons opposed the renewal of the charter on still more important grounds; on grounds which affected our character as a nation, and which also affected the condition and improvement of the millions in the East Indies whom the fate of war had placed under our power and protection. They contended that the East India company had done little or nothing for the improvement of their territory, or for the melioration of the inhabitants; and that the only mode by which these desirable effects could take place, would be, by destroying the monopoly, to allow a freer and more general intercourse between the people of Britain and those of the East Indies. The means by which we had acquired our territery there, perhaps could not bear very close or strict examination :on that subject they were not disposed to enter: but as we had acquired it, it was the duty, both of the British government and the British people, to take care that the condition of the inhabitants was improved, as much as possible, by their connexion and subjection

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There was yet another class of people who felt interested in the

subject of the renewal of the char ter, and who were strongly disposed to object to it on grounds different from any of those which we have yet stated: we allude to those who are called the religious party in parliament, and to those in the country at large who were favourable to missionary societies. They laid it down as an undeniable axiom, that it was among the first duties incumbent upon real christians, to spread the light of the gospel among those nations which were still strangers to it; and as in India the inhabitants were not only unbelievers, but addicted to the most gross and barbarous superstitions, which displayed not merely a want of true faith, but a corrupted system of morals,-these advocates for proselytism contended, that as friends of humanity and of good morals, as well as christians, they were bound to enlighten and reform the miserable and mistaken inhabitants of India: but this scheme, they further maintained, they could but partially and incompletely carry into execution, while the East India company retained the full power given them by their existing charter. They therefore were anxious that, if the charter were renewed, some provi sion might be made for converting the natives to christianity. Thus we perceive that very different classes of people were interested in this question:-the merchant and manufacturer, the philosopher, politician, and friend of humanity, and the zealous christian, had each their motives for feeling an interest in it; besides that the nation at large,-those who either did not understand the question as those other descriptions of persons did,-or who were comparatively indifferent to it

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