IV.

BOOK and the additional bounty of 2 s. 8 d. the barrel upon exportation, carries the greater part, more than two thirds, of the produce of the bufs fishery abroad. Between thirty and forty years ago, before the establishment of the bufs bounty, fixteen fhillings the barrel, I have been affured, was the common price of white herrings. Between ten and fifteen years ago, before the boat fishery was entirely ruined, the price is faid to have run from seventeen to twenty fhillings the barrel. For these last five years, it has, at an average, been at twenty-five fhillings the barrel. This high price, however, may have been owing to the real fcarcity of the herrings upon the coaft of Scotland. I must obferve too, that the cafk or barrel, which is ufually fold with the herrings, and of which the price is included in all the foregoing prices, has, fince the commencement of the American war, risen to about double its former price, or from about three fhillings to about fix fhillings. I muft likewife obferve, that the accounts I have received of the prices of former times, have been by no means quite uniform and confiftent; and an old man of great accuracy and experience has affured me, that more than fifty years ago, a guinea was the ufual price of a barrel of good merchantable herrings; and this, I imagine, may ftill be looked upon as the average price. All accounts, however, I think, agree, that the price has not been lowered in the home market, in confequence of the bufs bounty.

༈

WHEN

In

WHEN the undertakers of fisheries, after fuch liberal bounties have been bestowed upon them, continue to fell their commodity at the fame, or even at a higher price than they were accustomed to do before, it might be expected that their profits fhould be very great; and it is not improbable that thofe of fome individuals may have been fo. In general, however, I have every reason to believe, they have been quite otherwife. The ufual effect of fuch bounties is to encourage rafh undertakers to adventure in a business, which they do not understand, and what they lose by their own negligence and ignorance, more than compenfates all that they can gain by the utmost liberality of government. 1750, by the fame act, which firft gave the bounty of thirty fhillings the ton for the encouragement of the white herring fishery (the 23 Geo. II. chap. 24.), a joint stock company was erected, with a capital of five hundred thousand pounds, to which the fubfcribers (over and above all other encouragements, the tonnage bounty just now mentioned, the exportation bounty of two fhillings and eight pence the barrel, the delivery of both British and foreign falt duty free) were, during the fpace of fourteen years, for every hundred pounds which they fubscribed and paid in to the stock of the fociety, entitled to three pounds a year, to be paid by the receiver-general of the customs in equal half-yearly payments. Befides this great company, the refidence of whofe governor and directors was to be in London, it was declared

lawful

IV.

BOOK lawful to erect different fishing-chambers in all the different out-ports of the kingdom, provided a fum not less than ten thousand pounds was fubfcribed into the capital of each, to be managed at its own risk, and for its own profit and loss. The fame annuity, and the fame encouragements of all kinds, were given to the trade of those inferior chambers, as to that of the great company. The fubfcription of the great company was foon filled up, and feveral different fifhing-chambers were erected in the different out-ports of the kingdom. In fpite of all these encouragements, almost all thofe different companies, both great and fmall, loft either the whole, or the greater part of their capitals; fcarce a veftige now remains of any of them, and the white herring fishery is now entirely, or almost entirely, carried on by private ad

venturers.

If any particular manufacture was neceffary, indeed, for the defence of the fociety, it might not always be prudent to depend upon our neighbours for the fupply; and if such manufacture could not otherwife be fupported at home, it might not be unreasonable that all the other branches of industry should be taxed in order to fupport it. The bounties upon the exportation of British-made fail-cloth, and British-made gun-powder, may, perhaps, both be vindicated upon this principle.

BUT though it can very feldom be reasonable to tax the industry of the great body of the people, in order to fupport that of fome par

ticular

ticular clafs of manufacturers; yet in the wantonnefs of great profperity, when the public enjoys a greater revenue than it knows well what to do with, to give fuch bounties to favourite manufactures, may, perhaps, be as natural, as to incur any other idle expence. In public, as well as in private expences, great wealth may, perhaps, frequently be admitted as an apology for great folly. But there muft furely be fomething more than ordinary abfurdity, in continuing fuch profufion in times of general difficulty and distress.

WHAT is called a bounty is fometimes no more than a drawback, and confequently is not liable to the fame objections as what is properly a bounty. The bounty, for example, upon refined fugar exported, may be confidered as a drawback of the duties upon the brown and muscovado fugars, from which it is made. The bounty upon wrought filk exported, a drawback of the duties upon raw and thrown filk imported. The bounty upon gunpowder exported, a drawback of the duties upon brimstone and faltpetre imported. In the language of the customs thofe allowances only are called drawbacks, which are given upon goods exported in the fame form in which they are imported. When that form has been fo altered by manufacture of any kind, as to come under a new denomination, they are called bounties.

PREMIUMS given by the public to artists and manufacturers who excel in their particular occupations, are not liable to the fame objections VOL. II. U

as

BOOK as bounties. By encouraging extraordinary dex

IV.

terity and ingenuity, they serve to keep up the emulation of the workmen actually employed in those respective occupations, and are not confiderable enough to turn towards any one of them a greater fhare of the capital of the country than what would go to it of its own accord. Their tendency is not to overturn the natural balance of employments, but to render the work which is done in each as perfect and complete as poffible. The expence of premiums, befides, is very trifling; that of bounties very great. The bounty upon corn alone has fometimes coft the public in one year, more than three hundred thousand pounds.

BOUNTIES are fometimes called premiums, as drawbacks are fometimes called bounties. But we must in all cafes attend to the nature of the thing, without paying any regard to the word.

Digreffion concerning the Corn Trade and Corn
Laws.

I

CANNOT conclude this chapter concerning bounties, without obferving that the praises which have been bestowed upon the law which establishes the bounty upon the exportation of corn, and upon that fyftem of regulations which is connected with it, are altogether unmerited. A particular examination of the nature of the corn trade, and of the principal British laws which relate to it, will fufficiently demonftrate