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the¡¡returns¡¡are¡¡so¡¡very¡¡slow£»¡¡in¡¡which¡¡that¡¡capital¡¡can¡¡maintain
so¡¡small¡¡a¡¡quantity¡¡of¡¡productive¡¡labour¡¡at¡¡home£»¡¡where
productive¡¡labour¡¡is¡¡so¡¡much¡¡wanted£»¡¡where¡¡so¡¡little¡¡is¡¡done£»¡¡and
where¡¡so¡¡much¡¡is¡¡to¡¡do¡£
¡¡¡¡¡¡¡¡¡¡Though¡¡without¡¡an¡¡exclusive¡¡company£»¡¡therefore£»¡¡a¡¡particular
country¡¡should¡¡not¡¡be¡¡able¡¡to¡¡carry¡¡on¡¡any¡¡direct¡¡trade¡¡to¡¡the
East¡¡Indies£»¡¡it¡¡will¡¡not¡¡from¡¡thence¡¡follow¡¡that¡¡such¡¡a¡¡company
ought¡¡to¡¡be¡¡established¡¡there£»¡¡but¡¡only¡¡that¡¡such¡¡a¡¡country¡¡ought
not¡¡in¡¡these¡¡circumstances¡¡to¡¡trade¡¡directly¡¡to¡¡the¡¡East¡¡Indies¡£
That¡¡such¡¡companies¡¡are¡¡not¡¡in¡¡general¡¡necessary¡¡for¡¡carrying¡¡on
the¡¡East¡¡India¡¡trade¡¡is¡¡sufficiently¡¡demonstrated¡¡by¡¡the
experience¡¡of¡¡the¡¡Portuguese£»¡¡who¡¡enjoyed¡¡almost¡¡the¡¡whole¡¡of¡¡it
for¡¡more¡¡than¡¡a¡¡century¡¡together¡¡without¡¡any¡¡exclusive¡¡company¡£
¡¡¡¡¡¡¡¡¡¡No¡¡private¡¡merchant£»¡¡it¡¡has¡¡been¡¡said£»¡¡could¡¡well¡¡have
capital¡¡sufficient¡¡to¡¡maintain¡¡factors¡¡and¡¡agents¡¡in¡¡the
different¡¡ports¡¡of¡¡the¡¡East¡¡Indies£»¡¡in¡¡order¡¡to¡¡provide¡¡goods¡¡for
the¡¡ships¡¡which¡¡he¡¡might¡¡occasionally¡¡send¡¡thither£»¡¡and¡¡yet£»
unless¡¡he¡¡was¡¡able¡¡to¡¡do¡¡this£»¡¡the¡¡difficulty¡¡of¡¡finding¡¡a¡¡cargo
might¡¡frequently¡¡make¡¡his¡¡ships¡¡lose¡¡the¡¡season¡¡for¡¡returning£»
and¡¡the¡¡expense¡¡of¡¡so¡¡long¡¡a¡¡delay¡¡would¡¡not¡¡only¡¡eat¡¡up¡¡the
whole¡¡profit¡¡of¡¡the¡¡adventure£»¡¡but¡¡frequently¡¡occasion¡¡a¡¡very
considerable¡¡loss¡£¡¡This¡¡argument£»¡¡however£»¡¡if¡¡it¡¡proved¡¡anything
at¡¡all£»¡¡would¡¡prove¡¡that¡¡no¡¡one¡¡great¡¡branch¡¡of¡¡trade¡¡could¡¡be
carried¡¡on¡¡without¡¡an¡¡exclusive¡¡company£»¡¡which¡¡is¡¡contrary¡¡to¡¡the
experience¡¡of¡¡all¡¡nations¡£¡¡There¡¡is¡¡no¡¡great¡¡branch¡¡of¡¡trade¡¡in
which¡¡the¡¡capital¡¡of¡¡any¡¡one¡¡private¡¡merchant¡¡is¡¡sufficient¡¡for
carrying¡¡on¡¡all¡¡the¡¡subordinate¡¡branches¡¡which¡¡must¡¡be¡¡carried
on£»¡¡in¡¡order¡¡to¡¡carry¡¡on¡¡the¡¡principal¡¡one¡£¡¡But¡¡when¡¡a¡¡nation¡¡is
ripe¡¡for¡¡any¡¡great¡¡branch¡¡of¡¡trade£»¡¡some¡¡merchants¡¡naturally¡¡turn
their¡¡capitals¡¡towards¡¡the¡¡principal£»¡¡and¡¡some¡¡towards¡¡the
subordinate¡¡branches¡¡of¡¡it£»¡¡and¡¡though¡¡all¡¡the¡¡different¡¡branches
of¡¡it¡¡are¡¡in¡¡this¡¡manner¡¡carried¡¡on£»¡¡yet¡¡it¡¡very¡¡seldom¡¡happens
that¡¡they¡¡are¡¡all¡¡carried¡¡on¡¡by¡¡the¡¡capital¡¡of¡¡one¡¡private
merchant¡£¡¡If¡¡a¡¡nation£»¡¡therefore£»¡¡is¡¡ripe¡¡for¡¡the¡¡East¡¡India
trade£»¡¡a¡¡certain¡¡portion¡¡of¡¡its¡¡capital¡¡will¡¡naturally¡¡divide
itself¡¡among¡¡all¡¡the¡¡different¡¡branches¡¡of¡¡that¡¡trade¡£¡¡Some¡¡of
its¡¡merchants¡¡will¡¡find¡¡it¡¡for¡¡their¡¡interest¡¡to¡¡reside¡¡in¡¡the
East¡¡Indies£»¡¡and¡¡to¡¡employ¡¡their¡¡capitals¡¡there¡¡in¡¡providing
goods¡¡for¡¡the¡¡ships¡¡which¡¡are¡¡to¡¡be¡¡sent¡¡out¡¡by¡¡other¡¡merchants
who¡¡reside¡¡in¡¡Europe¡£¡¡The¡¡settlements¡¡which¡¡different¡¡European
nations¡¡have¡¡obtained¡¡in¡¡the¡¡East¡¡Indies£»¡¡if¡¡they¡¡were¡¡taken¡¡from
the¡¡exclusive¡¡companies¡¡to¡¡which¡¡they¡¡at¡¡present¡¡belong¡¡and¡¡put
under¡¡the¡¡immediate¡¡protection¡¡of¡¡the¡¡sovereign£»¡¡would¡¡render
this¡¡residence¡¡both¡¡safe¡¡and¡¡easy£»¡¡at¡¡least¡¡to¡¡the¡¡merchants¡¡of
the¡¡particular¡¡nations¡¡to¡¡whom¡¡those¡¡settlements¡¡belong¡£¡¡If¡¡at
any¡¡particular¡¡time¡¡that¡¡part¡¡of¡¡the¡¡capital¡¡of¡¡any¡¡country¡¡which
of¡¡its¡¡own¡¡accord¡¡tended¡¡and¡¡inclined£»¡¡if¡¡I¡¡may¡¡say¡¡so£»¡¡towards
the¡¡East¡¡India¡¡trade£»¡¡was¡¡not¡¡sufficient¡¡for¡¡carrying¡¡on¡¡all
those¡¡different¡¡branches¡¡of¡¡it£»¡¡it¡¡would¡¡be¡¡a¡¡proof¡¡that£»¡¡at¡¡that
particular¡¡time£»¡¡that¡¡country¡¡was¡¡not¡¡ripe¡¡for¡¡that¡¡trade£»¡¡and
that¡¡it¡¡would¡¡do¡¡better¡¡to¡¡buy¡¡for¡¡some¡¡time£»¡¡even¡¡at¡¡a¡¡higher
price£»¡¡from¡¡other¡¡European¡¡nations£»¡¡the¡¡East¡¡India¡¡goods¡¡it¡¡had
occasion¡¡for£»¡¡than¡¡to¡¡import¡¡them¡¡itself¡¡directly¡¡from¡¡the¡¡East
Indies¡£¡¡What¡¡it¡¡might¡¡lose¡¡by¡¡the¡¡high¡¡price¡¡of¡¡those¡¡goods¡¡could
seldom¡¡be¡¡equal¡¡to¡¡the¡¡loss¡¡which¡¡it¡¡would¡¡sustain¡¡by¡¡the
distraction¡¡of¡¡a¡¡large¡¡portion¡¡of¡¡its¡¡capital¡¡from¡¡other
employments¡¡more¡¡necessary£»¡¡or¡¡more¡¡useful£»¡¡or¡¡more¡¡suitable¡¡to
its¡¡circumstances¡¡and¡¡situation£»¡¡than¡¡a¡¡direct¡¡trade¡¡to¡¡the¡¡East
Indies¡£
¡¡¡¡¡¡¡¡¡¡Though¡¡the¡¡Europeans¡¡possess¡¡many¡¡considerable¡¡settlements
both¡¡upon¡¡the¡¡coast¡¡of¡¡Africa¡¡and¡¡in¡¡the¡¡East¡¡Indies£»¡¡they¡¡have
not¡¡yet¡¡established¡¡in¡¡either¡¡of¡¡those¡¡countries¡¡such¡¡numerous
and¡¡thriving¡¡colonies¡¡as¡¡those¡¡in¡¡the¡¡islands¡¡and¡¡continent¡¡of
America¡£¡¡Africa£»¡¡however£»¡¡as¡¡well¡¡as¡¡several¡¡of¡¡the¡¡countries
comprehended¡¡under¡¡the¡¡general¡¡name¡¡of¡¡the¡¡East¡¡Indies£»¡¡are
inhabited¡¡by¡¡barbarous¡¡nations¡£¡¡But¡¡those¡¡nations¡¡were¡¡by¡¡no
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Americans£»¡¡and¡¡in¡¡proportion¡¡to¡¡the¡¡natural¡¡fertility¡¡of¡¡the
countries¡¡which¡¡they¡¡inhabited£»¡¡they¡¡were¡¡besides¡¡much¡¡more
populous¡£¡¡The¡¡most¡¡barbarous¡¡nations¡¡either¡¡of¡¡Africa¡¡or¡¡of¡¡the
East¡¡Indies¡¡were¡¡shepherds£»¡¡even¡¡the¡¡Hottentots¡¡were¡¡so¡£¡¡But¡¡the
natives¡¡of¡¡every¡¡part¡¡of¡¡America£»¡¡except¡¡Mexico¡¡and¡¡Peru£»¡¡were
only¡¡hunters£»¡¡and¡¡the¡¡difference¡¡is¡¡very¡¡great¡¡between¡¡the¡¡number
of¡¡shepherds¡¡and¡¡that¡¡of¡¡hunters¡¡whom¡¡the¡¡same¡¡extent¡¡of¡¡equally
fertile¡¡territory¡¡can¡¡maintain¡£¡¡In¡¡Africa¡¡and¡¡the¡¡East¡¡Indies£»
therefore£»¡¡it¡¡was¡¡more¡¡difficult¡¡to¡¡displace¡¡the¡¡natives£»¡¡and¡¡to
extend¡¡the¡¡European¡¡plantations¡¡over¡¡the¡¡greater¡¡part¡¡of¡¡the
lands¡¡of¡¡the¡¡original¡¡inhabitants¡£¡¡The¡¡genius¡¡of¡¡exclusive
companies£»¡¡besides£»¡¡is¡¡unfavourable£»¡¡it¡¡has¡¡already¡¡been
observed£»¡¡to¡¡the¡¡growth¡¡of¡¡new¡¡colonies£»¡¡and¡¡has¡¡probably¡¡been
the¡¡principal¡¡cause¡¡of¡¡the¡¡little¡¡progress¡¡which¡¡they¡¡have¡¡made
in¡¡the¡¡East¡¡Indies¡£¡¡The¡¡Portuguese¡¡carried¡¡on¡¡the¡¡trade¡¡both¡¡to
Africa¡¡and¡¡the¡¡East¡¡Indies¡¡without¡¡any¡¡exclusive¡¡companies£»¡¡and
their¡¡settlements¡¡at¡¡Congo£»¡¡Angola£»¡¡and¡¡Benguela¡¡on¡¡the¡¡coast¡¡of
Africa£»¡¡and¡¡at¡¡Goa¡¡in¡¡the¡¡East¡¡Indies£»¡¡though¡¡much¡¡depressed¡¡by
superstition¡¡and¡¡every¡¡sort¡¡of¡¡bad¡¡government£»¡¡yet¡¡bear¡¡some
faint¡¡resemblance¡¡to¡¡the¡¡colonies¡¡of¡¡America£»¡¡and¡¡are¡¡partly
inhabited¡¡by¡¡Portuguese¡¡who¡¡have¡¡been¡¡established¡¡there¡¡for
several¡¡generations¡£¡¡The¡¡Dutch¡¡settlements¡¡at¡¡the¡¡Cape¡¡of¡¡Good
Hope¡¡and¡¡at¡¡Batavia¡¡are¡¡at¡¡present¡¡the¡¡most¡¡considerable¡¡colonies
which¡¡the¡¡Europeans¡¡have¡¡established¡¡either¡¡in¡¡Africa¡¡or¡¡in¡¡the
East¡¡Indies£»¡¡and¡¡both¡¡these¡¡settlements¡¡are¡¡peculiarly¡¡fortunate
in¡¡their¡¡situation¡£¡¡The¡¡Cape¡¡of¡¡Good¡¡Hope¡¡was¡¡inhabited¡¡by¡¡a¡¡race
of¡¡people¡¡almost¡¡as¡¡barbarous¡¡and¡¡quite¡¡as¡¡incapable¡¡of¡¡defending
themselves¡¡as¡¡the¡¡natives¡¡of¡¡America¡£¡¡It¡¡is¡¡besides¡¡the¡¡halfway
house£»¡¡if¡¡one¡¡may¡¡say¡¡so£»¡¡between¡¡Europe¡¡and¡¡the¡¡East¡¡Indies£»¡¡at
which¡¡almost¡¡every¡¡European¡¡ship¡¡makes¡¡some¡¡stay£»¡¡both¡¡in¡¡going
and¡¡returning¡£¡¡The¡¡supplying¡¡of¡¡those¡¡ships¡¡with¡¡every¡¡sort¡¡of
fresh¡¡provisions£»¡¡with¡¡fruit¡¡and¡¡sometimes¡¡with¡¡wine£»¡¡affords
alone¡¡a¡¡very¡¡extensive¡¡market¡¡for¡¡the¡¡surplus¡¡produce¡¡of¡¡the
colonists¡£¡¡What¡¡the¡¡Cape¡¡of¡¡Good¡¡Hope¡¡is¡¡between¡¡Europe¡¡and¡¡every
part¡¡of¡¡the¡¡East¡¡Indies£»¡¡Batavia¡¡is¡¡between¡¡the¡¡principal
countries¡¡of¡¡the¡¡East¡¡Indies¡£¡¡It¡¡lies¡¡upon¡¡the¡¡most¡¡frequented
road¡¡from¡¡Indostan¡¡to¡¡China¡¡and¡¡Japan£»¡¡and¡¡is¡¡nearly¡¡about¡¡midway
upon¡¡that¡¡road¡£¡¡Almost¡¡all¡¡the¡¡ships£»¡¡too£»¡¡that¡¡sail¡¡between
Europe¡¡and¡¡China¡¡touch¡¡at¡¡Batavia£»¡¡and¡¡it¡¡is£»¡¡over¡¡and¡¡above¡¡all
this£»¡¡the¡¡centre¡¡and¡¡principal¡¡mart¡¡of¡¡what¡¡is¡¡called¡¡the¡¡country
trade¡¡of¡¡the¡¡East¡¡Indies£»¡¡not¡¡only¡¡of¡¡that¡¡part¡¡of¡¡it¡¡which¡¡is
carried¡¡on¡¡by¡¡Europeans£»¡¡but¡¡of¡¡that¡¡which¡¡is¡¡carried¡¡on¡¡by¡¡the
native¡¡Indians£»¡¡and¡¡vessels¡¡navigated¡¡by¡¡the¡¡inhabitants¡¡of¡¡China
and¡¡Japan£»¡¡of¡¡Tonquin£»¡¡Malacca£»¡¡Cochin¡¡China£»¡¡and¡¡the¡¡island¡¡of
Celebes£»¡¡are¡¡frequently¡¡to¡¡be¡¡seen¡¡in¡¡its¡¡port¡£¡¡Such¡¡advantageous
situations¡¡have¡¡enabled¡¡those¡¡two¡¡colonies¡¡to¡¡surmount¡¡all¡¡the
obstacles¡¡which¡¡the¡¡oppressive¡¡genius¡¡of¡¡an¡¡exclusive¡¡company¡¡may
have¡¡occasionally¡¡opposed¡¡to¡¡their¡¡growth¡£¡¡They¡¡have¡¡enabled
Batavia¡¡to¡¡surmount¡¡the¡¡additional¡¡disadvantage¡¡of¡¡perhaps¡¡the
most¡¡unwholesome¡¡climate¡¡in¡¡the¡¡world¡£
¡¡¡¡¡¡¡¡¡¡The¡¡English¡¡and¡¡Dutch¡¡companies£»¡¡though¡¡they¡¡have
established¡¡no¡¡considerable¡¡colonies£»¡¡except¡¡the¡¡two¡¡above
mentioned£»¡¡have¡¡both¡¡made¡¡considerable¡¡conquests¡¡in¡¡the¡¡East
Indies¡£¡¡But¡¡in¡¡the¡¡manner¡¡in¡¡which¡¡they¡¡both¡¡govern¡¡their¡¡new
subjects£»¡¡the¡¡natural¡¡genius¡¡of¡¡an¡¡exclusive¡¡company¡¡has¡¡shown
itself¡¡most¡¡distinctly¡£¡¡In¡¡the¡¡spice¡¡islands¡¡the¡¡Dutch¡¡are¡¡said
to¡¡burn¡¡all¡¡the¡¡spiceries¡¡which¡¡a¡¡fertile¡¡season¡¡produces¡¡beyond
what¡¡they¡¡expect¡¡to¡¡dispose¡¡of¡¡in¡¡Europe¡¡with¡¡such¡¡a¡¡profit¡¡as
they¡¡think¡¡sufficient¡£¡¡In¡¡the¡¡islands¡¡where¡¡they¡¡have¡¡no
settlements£»¡¡they¡¡give¡¡a¡¡premium¡¡to¡¡those¡¡who¡¡collect¡¡the¡¡young
blossoms¡¡and¡¡green¡¡leaves¡¡of¡¡the¡¡clove¡¡and¡¡nutmeg¡¡trees¡¡which
naturally¡¡grow¡¡there£»¡¡but¡¡which¡¡the¡¡savage¡¡policy¡¡has¡¡now£»¡¡it¡¡is
said£»¡¡almost¡¡completely