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Writing: The National Gain

The National Gain, § 26

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§ 26

A merchant who enjoys freedom of trade extends his concerns far and wide; he is continually occupied in marketing his commodities advantageously. If one should attempt to make excessive gains, he will attract competitors who will take a share of the profit and protect citizens from arbitrary extortion. Each one must then be content with a smaller profit on each commodity and instead depend for his livelihood on turning them over all the more rapidly.

Interest rates will then fall; people will then also engage in the minor trades that cannot be considered or pursued when interest rates are high, as they are less profitable. In a word, monopolies, bill-jobbery and a national deficit can never arise unless they are protected by the laws but may well be maintained once they have been established.

Owing to a peculiar distinction between staple and non-staple towns, foreigners are prevented from obtaining commodities and paying for them in cash in a large number of ports. These have to be offered to the inhabitants of the staple towns; if they will not pay for them, there is no market for them. Industriousness loses much of its incentives, production is reduced and the money begins to flow out. A great profit for the nation!

 

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