The Goods of Scotland will alwayes be valued Abroad, equal to Goods of the same kind and goodness; and that Money tho of Paper, which buys Goods in Scotland, will buy Goods or Money in other places.
If a 1000 lib. in Serges, Linen Cloth, etc. be worth Abroad all Charges payed 1300 lib. the Merchant who Exports such Goods, will give a Bill for that Money at the Par, having 1300 lib. for what cost him a 1000.
When a Nation establishes a Money, if the Money they set up, have a Value equal to what it is made Money for, and all the other Qualities necessar in Money; they ought to have no regard what Value it will have in other Countries. On the contrair, as every Country endeavours by Laws to preserve their Money, if that People can contrive a Money that will not be valued Abroad; they will do what other Countries have by Laws endeavour'd in vain.
No Nation keeps to Silver because it is used in other Countries, it is because they can find nothing so safe and convenient. Trade betwixt Nations is carried on by Exchange of Goods, and if one Merchant sends out Goods of a less Value, than he brings Home; he has Money furnish'd him Abroad, by another who brings home for a less Value than he sent out: If there is no Money due Abroad, then the Merchant who designed to Import for a greater Value than he Exported, is restricted; and can only Import equal to his Export, which is all the many Laws to regulate Trade have been endeavouring.
It is Objected that we are under a necessity of having Goods from Countries who will take not of ours. France does not allow Money to be Exported, nor any Ship to Import Goods, unless French Goods are Exported from the same Port, to the Value of the Goods were Imported.
By our Law we are forbid to Export Money. But as I don't think the Example of Nations a good answer, I shall endeavour to give a better.
Suppose our Money is not valued Abroad, and we have occasion for Goods from Denmark, who takes none of ours. These Goods being necessary here, will be valued higher than other Goods that are not so necessary; and the Value of Scots Goods Sold in other Countries, will be carried to Denmark, in such Goods as will sell there, or in Forreign Money, and these necessary Goods be brought Home: Because the Trader makes a greater Profit by them, than by such Goods as could have been Imported, from the Country where the Goods Exported were Sold.
But as this Addition to the Money, will employ the People are now Idle, and these now employ'd to more Advantage: So the Product will be encreas'd, and Manufacture advanc'd. If the Consumption of the Nation continue as now, the Export will be greater, and a Ballance due to us:
And as the Exchange depends on the Ballance, so Paper Money here, will be equal to a greater Quantity of Silver Money Abroad.
Suppose the yearly Value of Scotland a Million and a half, the yearly Value of England 40 Millions; the Value of Scotland, is only about one 28th part of the Value of England. Yet the Quantity and Quality of the Lands, and the Numbers of People consider'd; Scotland will be at least as one to 6. And if there was Money to employ the People, we would be as one to 6; for we have Advantages peculiar to us, that do more than equal the Plantation and East-India Trades.
England is not improv'd so far as it might be, by a greater Quantity of Money. We may have Money equal to the Demand, by applying our Land to that Use. So our country may be improv'd above the proportion of one to 6. But if the propos'd Addition to our Money, improved the Country only so as to bear a proportion with England of one to 13, our yearly Value would be 3 Millions: And our Consumption not being half what the same Number of People consume in England; if the Consumption continued as now, the Ballance due to Scotland would be greater, than the Ballance due to England.
This Addition to our Yearly value may be thought by some People, a Supposition that's extravagant, but I desire these people will consider what Consequences the plenty of Money has had in other places. As the Money of England has increas'd, the yearly Value has increas'd; and as the Money has decreas'd, the yearly value has decreas'd.
