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Writing: Answer to the Question on Rural Trade

Answer to the Question on Rural Trade, § 4

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§ 4

Once that general foundation has been laid, we come closer to the rural trade that is here in question. We shall then soon see how, in the first place, it markedly contributes to individual profit.

From the yield of agriculture, the countryman has a variety of goods to sell, in larger or smaller quantities, such as grain, butter, tallow, beef cattle and others, or craft products such as textiles, stockings, all kinds of wooden goods and the like. On the other hand, his need for urban or mercantile goods is manifold, if not quite as extensive as in the towns, where extravagance prevails, though not much less where gentry reside in the countryside, although the country people themselves also require a number of things, such as salt, tobacco, iron and certain small-wares, etc.

Let us then imagine for a moment a rural area situated 6 mil from the nearest market town, inhabited by 100 farmers. One of them can, for example during the summer months, sell ½, another ¾, the third 1, the fourth 2, the fifth 3 lispund of butter every month, which is also the monthly requirement of the town either for its own needs or for onward sale. According to the regulations, each of these farmers should personally take his produce to the town and sell it in the marketplace. For that purpose these farmers use three days every month for a journey to the town, which amounts to 300 days of travelling a month during the busiest season of labour, which, if valued at 10 mark each day, amounts to a sum of 750 daler kmt. Let the entire quantity of butter be 120 lispund a month, then the cartage cost for it, not including the obligatory carriage days owed to the more affluent, will be 750 daler. Let the market price be 12 daler kmt, though it is often less in smaller market towns, then the sum for the entire quantity of butter will come to 1,140 daler, and when the cartage costs, which, by the regulations, must amount to 750 daler, are subtracted from that, 690 daler will be the actual price that the countrymen receive for the 120 lispund of butter, or somewhat less than 6 daler per lispund.

It is objected to this that, despite the prohibition on rural trade, a countryman is nonetheless allowed to send his butter on commission with other people, when several can combine to entrust it to one who will carry it such a long distance. But what countryman would want to take such trouble on behalf of another? Or even if he could be persuaded to do so, how is he to draw up the account? Different quantities, of varying quality, at different prices and diverse weights, make it impossible for him to settle with several owners and for them to entrust their goods to him. But let us suppose that one man could carry the butter of two farmers and that the cost would thereby be reduced by half, then the cartage cost would still be at least 375 daler. That is something at least!

But let us now instead in our minds exempt this rural area from chapter 6 of the Commercial Code.1 Three rural traders or buying agents visit this area and each buys 40 lispund of butter and collects it by means of 3 days’ work per horse and man, altogether nine days’ work, which at 4 daler a day amounts to a cartage cost of 36 daler for 120 lispund, over a distance of 6 mil. If they now pay 11 daler 16 öre per lispund out there, the country people will, instead of 690 daler net, receive alterum tantum,2 namely 1,380 daler, the agents recover the cost of their days of carting and a small profit of 6 2/5 öre per lispund, or 8 daler a load, while the town still obtains these 120 lispund of butter for 12 daler per lispund.

But the profit of these agents will be even larger if they also carry with them tobacco and small-wares and supply the country-dwellers with those.


  1. . . . chapter 6 of the Commercial Code: This chapter in the Swedish Law from 1734 is called “Regarding rural trade”, and it starts as follows: “Nobody in the countryside is allowed to put out merchant goods for sale, or travel with them from village to village . . .”
  2. alterum tantum: double the sum; twice as much.

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