CHAP.
VI.

degradation in which it was before the late re-
coinage, the gain, or more properly the favings
of the bank, in confequence of the impofition
of a feignorage, would probably be very con-
fiderable. The bank of England is the only
company which fends any confiderable quantity
of bullion to the mint, and the burden of the
annual coinage falls entirely, or almost entirely,
upon it. If this annual coinage had nothing to
do but to repair the unavoidable loffes and ne-
ceffary wear and tear of the coin, it could feldom
exceed fifty thousand or at most a hundred thou-
fand pounds. But when the coin is degraded
below its ftandard weight, the annual coinage
muft, befides this, fill up the large vacuities
which exportation and the melting pot are con-
tinually making in the current coin. It was
upon this account that during the ten or twelve
years immediately preceding the late reforma-
tion of the gold coin, the annual coinage
amounted at an average to more than eight hun-
dred and fifty thousand pounds. But if there
had been a feignorage of four or five per cent.
upon the gold coin, it would probably, even in
the state in which things then were, have put an
effectual ftop to the bufinefs both of exportation
and of the melting pot. The bank, instead of
lofing every year about two and a half per cent.
upon
the bullion which was to be coined into
more than eight hundred and fifty thousand
pounds, or incurring an annual lofs of more than
twenty-one thousand two hundred and fifty
pounds,

Z 3

IV.

BOOK pounds, would not probably have incurred the tenth part of that lofs.

THE revenue allotted by parliament for defraying the expence of the coinage is but fourteen thousand pounds a year, and the real expence which it cofts the government, or the fees of the officers of the mint, do not upon ordinary occafions, I am affured, exceed the half of that fum. The faving of fo very fmall a fum, or even the gaining of another which could not well be much larger, are objects too inconfiderable, it may be thought, to deferve the ferious attention of government. But the faving of eighteen or twenty thousand pounds a year in cafe of an event which is not improbable, which has frequently happened before, and which is very likely to happen again, is furely an object which well deferves the ferious attention even of fo great a company as the bank of England.

SOME of the foregoing reafonings and obfervations might perhaps have been more properly placed in those chapters of the first book which treat of the origin and ufe of money, and of the difference between the real and the nominal price of commodities. But as the law for the encouragement of coinage derives its origin from those vulgar prejudices which have been introduced by the mercantile fyftem; I judged it more proper to referve them for this chapter. Nothing could be more agreeable to the spirit of that system than a fort of bounty upon the production of money, the very thing which, it fup

pofes,

VI.

poses, conftitutes the wealth of every nation. It CHA P. is one of its many admirable expedients for enriching the country.

CHA P. VII.

Of Colonies.

PART FIRST.

Of the Motives for establishing new Colonies.

TH
Ttlement of the

HE intereft which occafioned the first settlement of the different European colonies in America and the Weft Indies, was not altogether fo plain and diftinct as that which directed the establishment of thofe of ancient Greece and Rome.

ALL the different ftates of ancient Greece poffeffed, each of them, but a very small territory, and when the people in any one of them multiplied beyond what that territory could eafily maintain, a part of them were fent in queft of a new habitation in fome remote and diftant part of the world; the warlike neighbours who furrounded them on all fides, rendering it difficult for any of them to enlarge very much its territory at home. The colonies of the Dorians reforted chiefly to Italy and Sicily, which, in the times preceding the foundation of Rome, were inhabited by barbarous and uncivilized nations: Z 4 thofe

BOOK thofe of the Ionians and Eolians, the two other

IV.

great tribes of the Greeks, to Afia Minor and the islands of the Egean Sea, of which the inhabitants feem at that time to have been pretty much in the fame ftate as thofe of Sicily and Italy. The mother city, though the confidered the colony as a child, at all times entitled to great favour and affistance, and owing in return much gratitude and refpect, yet confidered it as an emancipated child, over whom she pretended to claim no direct authority or jurifdiction. The colony fettled its own form of government, enacted its own laws, elected its own magiftrates, and made peace or war with its neighbours as an independent state, which had no occafion to wait for the approbation or confent of the mother city. Nothing can be more plain and diftinct than the intereft which directed every such esta. blishment.

ROME, like most of the other ancient republics, was originally founded upon an Agrarian law, which divided the public territory in a certain proportion among the different citizens who compofed the ftate. The courfe of human affairs, by marriage, by fucceffion, and by alienation, neceffarily deranged this original divifion, and frequently threw the lands, which had been allotted for the maintenance of many different families into the poffeffion of a fingle perfon. To remedy this diforder, for fuch it was fupposed to be, a law was made, restricting the quantity of land which any citizen could poffefs to five hundred jugera, about three hundred and

VII.

fifty English acres. This law, however, though CHAP. we read of its having been executed upon one or two occafions, was either neglected or evaded, and the inequality of fortunes went on continually increafing. The greater part of the citizens had no land, and without it the manners and customs of those times rendered it difficult for a freeman to maintain his independency. In the present times, though a poor man has no land of his own, if he has a little stock, he may either farm the lands of another, or he may carry on fome little retail trade; and if he has no stock, he may find employment either as a country labourer, or as an artificer. But, among the ancient Romans, the lands of the rich were all cultivated by flaves, who wrought under an overfeer, who was likewife a flave; fo that a poor freeman had little chance of being employed either as a farmer or as a labourer. All trades and manufactures too, even the retail trade, were carried on by the flaves of the rich for the benefit of their masters, whofe wealth, authority, and protection made it difficult for a poor freeman to maintain the competition against them. The citizens, therefore, who had no land, had scarce any other means of fubfiftence but the bounties of the candidates at the annual elections. The tribunes, when they had a mind to animate the people against the rich and the great, put them in mind of the ancient divifion of lands, and reprefented that law which restricted this fort of private property as the fundamental law of the republic. The people be

came