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in that branch can no longer be considered as a principal。
The Portuguese traded to the Indies in right of conquest。 The constraining laws which the Dutch at present impose on the commerce of the little Indian princes had been established before by the Portuguese。＇140＇
The fortune of the house of Austria was prodigious。 Charles V succeeded to the possession of Burgundy； Castile； and Aragon； he arrived afterwards at the imperial dignity； and to procure him a new kind of grandeur； the globe extended itself； and there was seen a new world paying him obeisance。
Christopher Columbus discovered America； and though Spain sent thither only a force so small that the least prince in Europe could have sent the same； yet it subdued two vast empires； and other great states。
While the Spaniards discovered and conquered the west； the Portuguese pushed their conquests and discoveries in the east。 These two nations met each other； they had recourse to Pope Alexander VI； who made the celebrated line of partition； and determined the great suit。
But the other nations of Europe would not suffer them quietly to enjoy their shares。 The Dutch chased the Portuguese from almost all their settlements in the East Indies； and several other nations planted colonies in America。
The Spaniards considered these newly…discovered countries as the subject of conquest； while others； more refined in their views； found them to be the proper subjects of commerce； and upon this principle directed their proceedings。 Hence several nations have conducted themselves with so much wisdom that they have given a kind of sovereignty to companies of merchants； who； governing these far…distant countries only with a view to trade； have made a great accessory power without embarrassing the principal state。
The colonies they have formed are under a kind of dependence； of which there are but very few instances in all the colonies of the ancients； whether we consider them as holdings of the state itself； or of some trading company established in the state。
The design of these colonies is to trade on more advantageous conditions than could otherwise be done with the neighbouring people； with whom all advantages are reciprocal。 It has been established that the metropolis；＇141＇ or mother country； alone shall trade in the colonies； and that from very good reason； because the design of the settlement was the extension of commerce； not the foundation of a city or of a new empire。
Thus it is still a fundamental law of Europe that all commerce with a foreign colony shall be regarded as a mere monopoly； punishable by the laws of the country； and in this case we are not to be directed by the laws and precedents of the ancients； which are not at all applicable。＇142＇
It is likewise acknowledged that a commerce established between the mother countries does not include a permission to trade in the colonies； for these always continue in a state of prohibition。
The disadvantage of a colony that loses the liberty of commerce is visibly compensated by the protection of the mother country； who defends it by her arms； or supports it by her laws。
Hence follows a third law of Europe； that when a foreign commerce with a colony is prohibited； it is not lawful to trade in those seas； except in such cases as are excepted by treaty。 Nations who are； with respect to the whole globe； what individuals are in a state； are governed like the latter by the laws of nature； and by particular laws of their own making。 One nation may resign to another the sea； as well as the land。 The Carthaginians forbade the Romans to sail beyond certain limits；＇143＇ as the Greeks had obliged the King of Persia to keep as far distant from the sea…coast as a horse could gallop。＇144＇
The great distance of our colonies is not an inconvenience that affects their safety； for if the mother country； on whom they depend for their defence； is remote； no less remote are those nations who rival the mother country； and by whom they may be afraid of being conquered。
Besides； this distance is the cause that those who are established there cannot conform to the manner of living in a climate so different from their own； they are obliged therefore to draw from the mother country all the conveniences of life。 The Carthaginians；＇145＇ to render the Sardinians and Corsicans more dependent； forbade their planting； sowing； or doing anything of the kind； under pain of death； so that they supplied them with necessaries from Africa。
The Europeans have compassed the same thing； without having recourse to such severe laws。 Our colonies in the Caribbean islands are under an admirable regulation in this respect； the subject of their commerce is what we neither have nor can produce； and they want what is the subject of ours。
A consequence of the discovery of America was the connecting Asia and Africa with Europe； it furnished materials for a trade with that vast part of Asia known by the name of the East Indies。 Silver； that metal so useful as the medium of commerce； became now as merchandise the basis of the greatest commerce in the world。 In fine； the navigation to Africa became necessary in order to furnish us with men to labour in the mines； and to cultivate the lands of America。
Europe has arrived at so high a degree of power that nothing in history can be compared with it； whether we consider the immensity of its expenses； the grandeur of its engagements； the number of its troops； and the regular payments even of those that are least serviceable； and which are kept only for ostentation。
Father Du Halde says＇146＇ that the interior trade of China is much greater than that of all Europe。 That might be； if our foreign trade did not augment our inland commerce。 Europe carries on the trade and navigation of the other three parts of the world； as France； England； and Holland do nearly that of Europe。
22。 Of the Riches which Spain drew from America。 If Europe has derived so many advantages from the American trade； it seems natural to imagine that Spain must have derived much greater。＇147＇ She drew from the newly… discovered world so prodigious a quantity of gold and silver； that all we had before could not be compared with it。
But （what one could never have expected） this great kingdom was everywhere baffled by its misfortunes。 Philip II； who succeeded Charles V； was obliged to make the celebrated bankruptcy known to all the world。 There never was a prince who suffered more from the murmurs； the insolence； and the revolt of troops constantly ill…paid。
From that time the monarchy of Spain has been incessantly declining。 This has been owing to an interior and physical defect in the nature of those riches； which renders them vain a defect which increases every day。
Gold and silver are either a fictitious or a representative wealth。 The representative signs of wealth are extremely durable； and； in their own nature； but little subject to decay。 But the more they are multiplied； the more they lose their value； because the fewer are the things which they represent。
The Spaniards； after the conquest of Mexico and Peru； abandoned their natural riches； in pursuit of a representative wealth which daily degraded itself。 Gold and silver were extremely scarce in Europe； and Spain becoming all of a sudden mistress of a prodigious quantity of these metals； conceived hopes to which she had never before aspired。 The wealth she found in the conquered countries； great as it was； did not； however； equal that of their mines。 The Indians concealed part of it； and besides； these people； who made no other use of gold and silver than to give magnificence to the temples of their gods and to the palaces of their kings； sought not for it with an avarice like ours。 In short； they had not the secret of drawing these metals from every mine； but only from those in which the separation might be made with fire： they were strangers to the manner of making use of mercury； and perhaps to mercury itself。
However； it was not long before the specie of Europe was doubled； this appeared from the price of commodities； which everywhere was doubled。
The Spaniards raked into the mines； scooped out mountains； invented machines to draw out water； to break the ore； and separate it； and as they sported with the lives of the Indians； they forced them to labour without mercy。 The specie of Europe soon doubled； and the profit of Spain diminished in the same proportion； they had every year the same quantity of metal； which had become by one…half less precious。
In double the time the specie still doubled； and the profit still diminished another half。
It diminished even more than half： let us see in what manner。
To extract the gold from the mines； to give it the requisite preparations； and to import it into Europe； must be attended with some certain expense。 I will suppose this to be as 1 to 64。 When the specie was once doubled； and consequently became by one…half less precious； the expense was as 2 to 64。 Thus the galoons which brought to Spain the same quantity of gold； brought a thing which really was of less value by one…half； though the expenses attending it had been twice as high。
If we proceed doubling and doubling； we shall find in this prog