TIIE WEALTH OF NATIONS.

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pires. But rich and civilized nations can always exchangeto a much greater value with one another, than with savagesand barbarians. Europe , however, has hitherto derivedmuch less advantage from its commerce with the East Indiesthan from that with America . The Portuguese monopo-lized the East India trade to themselves for about a cen-tury, and it was only indirectly and through them, that theother nations of Europe could either send out or receive anygoods from that country. When the Dutch , in the begin-ning of the last century, began to encroach upon them, theyvested their whole East India commerce in an exclusive com-pany. The English , French , Swedes, and Danes, have allfollowed their example, so that no great nation in Europe hasever yet'had the benefit of a free commerce to the East Indies.No other reason need be assigned why it has never been soadvantageous as the trade to America , which, between almostevery nation of Europe and its own colonies, is free to all itssubjects. The exclusive privileges of those East India com-panies, their great riches, the great favour and protectionwhich these have procured them from their respectivegovernments, have excited much envy against them. Thisenvy has frequently represented their trade as altogether per-nicious, on account of the great quantities of silver, whichit every year exports from the countries from which it is car-ried on. The parties concerned have replied, that then-trade, by this continual exportation of silver, might, indeed,tend to impoverish Europe in general, but not the particularcountry from which it was carried on; because, by the ex-portation of a part of the returns to other European coun-tries, it annually brought home a much greater quantity ofthat metal than it carried out. Both the objection and thereply are founded in the popular notion which I have beenjust now examining. It is, therefore, unnecessary to say anything further about either. By the annual exportation ofsilver to the East Indies, plate is probably somewhat dearerin Europe than it otherwise might have been; and coinedsilver probably purchases a larger quantity both of labourand commodities. The former of these two effects is a verysmall loss, the latter a very small advantage; both too insig-nificant to deserve any part of the public attention. Thetrade to the East Indies, by opening a market to the com-modities of Europe , or what comes nearly to the same thing,to the gold and silver which is purchased with those com-