Part I
; Scott, _Constitution and Finance of English Joint Stock Companies_; Busch, _England Under the Tudors_; Gardiner, _History of England 1603-1642_; Unwin, _Industrial Organization in the Sixteenth and Seventeenth Centuries_; Rogers, _English Industrial and Commercial Supremacy_, and _The Economic Interpretation of History_; Ehrenberg, _Das Zeitalter der Fugger_; Price, _The English Patents of Monopoly_; Hewins, _English Trade and Finance in the Seventeenth Century_; Kennedy, _English Taxation, 1640-1799_; Schmoller, _Mercantilism_ (translated by Ashley); Keith, _Commercial Relations Between England and Scotland_; Murray, _Commercial Relations Between England and Ireland_; Beer, _The Old Colonial System_; Durham, _Relations of the Crown to Trade under James I_ (Trans. R.H.S., New Series, Vol. XIII).
The student may also consult the following:--
(1) _Documentary Sources_:--Gairdner, Letters and Papers of Henry VIII; S.P. Dom. from 1558 to 1660; The Acts of the Privy Council; The Commons Journals; and the Statutes of the Realm, which are
## particularly instructive on the subject of commercial policy. An
invaluable collection of documents is given by Schanz, _op. cit._, Vol. II; and useful, though smaller ones, by Scott, Price, Cunningham, and Unwin.
(2) _Literary Sources_:--Starkey, Dialogue Between Cardinal Pole and Thomas Lupset; The Italian Narration of England (Camden E.E.T.S. Society, 1847); Dudley, The Tree of Commonwealth (1509); Drei Volkswirtschaftliche Denkschriften aus der Zeit Heinrich VIII von England, edited by Pauli; The Commonwealth of this Realm of England; Wilson, Discourse upon Usury (1572); Malynes, A Treatise of the Canker of England's Commonwealth (1601); Wheeler, Treatise of Commerce (1601); Malynes, Consuetudo vel Lex Mercatoria (1622); Misselden, Free Trade (1622); Bacon, History of King Henry VII (1622); Knowler, Letters and Despatches of Thomas Wentworth, Earl of Strafford; Robinson, England's Safety in Trade's Increase (1641).
1. LETTERS PATENT GRANTED TO THE CABOTS BY HENRY VII [_R.O. Pat. 4 Ed. VI, p. 6_], 1496.
The King to all to whom, etc., greeting. It is manifest to us by inspection of the rolls of our Chancery that the lord Henry the Seventh, late King of England, our dearest grand father, caused his letters patent to be made in these words:
Henry by the grace of God King of England and France and Lord of Ireland, to all to whom the present letters shall come, greeting. Be it known and manifest that we have given and granted, and by these presents we do give and grant for us and our heirs to our beloved John Cabot, citizen of Venice, and Lewis, Sebastian and Sanctus, sons of the said John, and the heirs and deputies of them and every of them, full and free authority, faculty and power to sail to all parts, regions and gulfs of the sea, east, west and north, under our banners, standards, and ensigns, with five ships or boats of whatsoever portage or kind they be, and with as many sailors and men as they wish to take with them in the said ships at their own and the others' costs and expenses, to find, discover and search out any isles, countries, regions or provinces of heathens and infidels whomsoever set in any part of the world soever, which have been before these times unknown to all Christians. We have granted also to the same and to every of them and to the heirs and deputies of them and every of them, and given licence for them to affix our aforesaid banners and ensigns in any town, castle, isle or solid land soever newly found by them; and that the aforenamed John and his sons or heirs and the deputies of the same may subjugate, occupy and possess any such towns, castles and islands found by them which can be subjugated, occupied and possessed, as our vassals and governors, lieutenants and deputies of the same, acquiring for us the lordship, title and jurisdiction of the same towns, castles, islands and solid land so found; so, nevertheless, that of all fruits, profits, emoluments, commodities, gains and obventions arising from such voyages, the aforesaid John and his sons and heirs and their deputies be held and bound to pay to us for every voyage, as often as they touch at our port of Bristol, at which alone they are held and bound to touch, after deducting the necessary costs and expenses made by them, a fifth part of their capital gain made whether in wares or in money; giving and granting to them and their heirs and deputies that they be free and immune from all payment of customs on all and singular goods and wares which they bring back with them from those places so newly found. And further we have given and granted to the same and to their heirs and deputies that all lands, farms, isles, towns, castles and places whatsoever found by them, as many as shall be found by them, may not be frequented or visited by any other our subjects soever without licence of the aforesaid John and his sons and their deputies, under pain of loss as well of the ships or boats as of all goods whatsoever presuming to sail to those places so found; willing and most straitly commanding all and singular our subjects set as well on land as on sea that they give good assistance to the aforesaid John and his sons and deputies and show all their favour and aid as well in manning the ships or boats as in provision of equipment and victuals to be bought for their money and all other things to be provided for them to be taken for the said voyage. In witness whereof we have caused these our letters patent to be made. Witness myself at Westminster, 5 April in the 11th year of our reign.
And we, because the letters aforesaid have been lost by mischance, as the aforesaid Sebastian, appearing in person before us in our Chancery, has taken a corporal oath, and that he will restore those letters to us into the same our Chancery to be cancelled there, if he shall find them hereafter, have deemed fit to exemplify by these presents the tenour of the enrolment of the letters aforesaid, at the request of the same Sebastian. In witness whereof these our letters, etc. Witness the King at Westminster, 4 June.
2. THE MERCHANT ADVENTURERS' CASE FOR ALLOWING THE EXPORT OF UNDRESSED CLOTH [_Br. M. Cotton MS. Tib. D. VIII, f. 40_[303]], 1514-1536.
Considerations alleged by the governor and fellowship of merchant adventurers to prove how it were more for the universal wealth of the realm of England to convey and send over the sea to the markets accustomed cloths of all prices, not dressed nor shorn, than cloths dressed and shorn.
First it is to be noted, marked and considered, that in few years after the act of Parliament made, that no sort of cloths draped and made within the realm of England being above the price of five marks sterling the piece should be conveyed over the sea undressed and unshorn, the same sort of cloths, which at that day were bought for five marks, be now at this present day by the industry of the said merchants uttering the said cloths sold within the realm for four pounds sterling, which is a great enriching of the whole realm, so that the said merchants think it to stand with reason and conscience, that those sort of cloths, of four pounds the piece, ought to be reputed and taken, in regard of the act, after cloths of five marks the piece.
_Item_ the merchants of those parts buying English cloths will in no wise meddle with any cloths, that be dressed, unless they may have them at a price far under the foot; for it is in experience daily, that the merchants of England conveying over the sea a sort of cloths every of them being of like length and goodness, whereof the one half of them have dressed and shorn and the other half undressed and unshorn, the said merchants shall sell those cloths being undressed five shillings dearer in every cloth, than those that be dressed; also those cloths undressed be meet and ready for every man and the other dressed but only for one man, so that against one cloth dressed the merchants of England shall sell five hundred undressed, whereby it appeareth, that it were for the common weal and great enriching to the realm of England to send over into those parts all sorts of cloths undressed and but a singular and private wealth to dress any such cloths; for there be many more in number, that live by making of cloths and selling of the same, than there be that live by dressing of cloths.
_Item_ the common people of those parts, by whom the most part of those cloths be consumed, do use in their garments sundry colours not accustomed to be worn here in England, which colours cannot be made, unless they buy their cloths undressed; for the dressing of cloths here and there vary and alter so much, that the dressing will take in manner none of their colours. And in case the merchants of England should bring over such cloths dressed, they should not only be undone in the sale of them, but also it were to be doubted, that in brief time after they would wholly relinquish the buying and wearing of any English cloths in those parts, which God defend.
_Item_ there be certain coarse cloths named long Glemsters, and notwithstanding their coarseness the King's Grace is paid for a cloth and a third part in his custom; and if the buyer will cut off 6 or 8 yards of the said cloth, he may lawfully convey it over notwithstanding the act, which should be a great loss in the sale and an occasion that the strangers should not buy them, wherefore the said governor and merchants say, that the said cloths ought of right to pass for cloths under five marks the piece.
_Item_ at this present day, our Lord be thanked, there is shipped and conveyed out of England into those parts more number of cloths of all sorts and there uttered sold and consumed, than ever hath been in memory of man; and considering, cloth is now there in such high estimation and hath so good vent, the said merchants think, under correction, that it were not necessary, but an utter peril and danger, to attempt them to any other purpose to alter them out of this good trade, which our Lord continue.
_Item_ the inhabitants of those parts by the make of English cloths in frieze consume, waste and spend a great quantity and number of them, which frieze undoubtedly after their using and wearing cannot be made of English cloths dressed here, so that by the only means thereof it should be a great diminution and decay to the common weal of this realm, if the said act for dressing of cloths should take place or effect.
_Item_ the inhabitants of the realm of England have the buying and selling of the wool, one with another, they have also the carding, spinning, weaving, fulling and the first sale of such cloths, and the inhabitants of those parts have only the dressing and shearing of certain of the said cloths, whereby the inhabitants there been a little relieved and a few number of them for a time set to work; yet by means thereof the rulers and honest burgesses of the towns be desirous to have the nation of England to haunt their said towns, and entertain them with much familiarity and friendship. And it is much to be feared and doubted, that if the realm of England should all covet and they to have no relief nor comfort by the same, that they of Antwerp and other places, studying their common weal, would not only find means ways and occasions to expel the nation from them, but also that no English cloths should be there consumed nor sold, which our Lord defend.
[Footnote 303: Quoted Schanz, Vol. II, pp. 571-3.]
3. THE RISE IN PRICES, THE ENCOURAGEMENT OF CORN-GROWING, AND THE PROTECTION OF MANUFACTURES [_The Commonweal of this Realm of England_], _c._ 1549.
_f. 17b-f. 20._
_Knight._ How can that be? What maketh it the matter what sort of coin we have amongst ourselves, so it be current from one hand to another, yea, if it were made of leather?
_Doctor._ Ye see, men commonly say so; but the truth is contrary; as not only I could prove by common reason, but also that proof and experience hath already declared the same. But now we do not reason of the causes of these griefs, but what state of men be grieved indeed by this dearth of things; and albeit I find every man grieved by it in one thing or other, yet considering that, as many of them as have wares to sell, do enhance as much in the price of all things that they sell as was enhanced before in the price of things that they must buy; as the merchant, if he buy dear, he will sell dear again. So the artificers, as cappers, clothiers, shoemakers and farriers, have respect large enough, in selling their wares, to the price of victual, wool and iron, which they buy. I have seen a cap for 14d., as good as I can get now for 2s. 5d.; of cloth ye have heard how the price is risen. Then a pair of shoes costeth me 12d. now, that I have in my days bought a better for 6d. Then I can get never a horse shod under 10d. or 12d. [now], where I have seen the common price was 6d. for shoeing of a horse round, yea, and 8d. (at the most) till now of late. I cannot, therefore, understand that these men have greatest grief by this common and universal dearth, but rather such as have their livings and stipends rated at a certainty, as common labourers at 6d. the day, journeymen of all occupations, serving men [at] 40s. the year, and gentlemen whose lands are let out by them or their ancestors either for lives or for term of years, so as they can not enhance the rent thereof though they would, and yet have the price enhanced by them of every thing that they buy. Yea the King's Highness, whereof we spake nothing all this while, as he hath most of yearly revenues and that certain, so hath he most lost by this dearth, and by the alteration especially of the coin. For like as a man, that hath a great number of servants under him, if he would grant that they should pay him [pins] weekly where [before] they paid him [pence], I think he should be most loser himself. So we be all but gatherers for the King's Majesty, that be his subjects; we have but every man a poor living; the clear gains cometh for the most [part] to the King's grace. Now if his Grace do take of us the overplus of our getting in this new coin, where he was wont to be paid in other good coin, I report me to you whether that will go as far as the other, in proportion of his necessaries and of the Realm. I think plainly no; for though his Highness might, within his own realm, have things at his own price, as his Grace can not indeed without great grudge of his magistrates and subjects; yea, since his Majesty must have from beyond the seas many things necessary not only for his Grace's household and ornaments, as well for his grace's person and family, as of his horses, which [percase] might be by his Grace somewhat moderated, but also for the furniture of his wars, which by no means can be spared; as armour, and all kinds of artillery, anchors, cables, pitch, tar, iron, steel, handguns, gunpowder, and many other things more than I can reckon, which his Grace must needs buy from beyond the seas, at the price the stranger will set him them at. I pass over the enhancement of the charges of his Grace's household, which is common to his grace with all other noble men. [Therefore], I say, his Majesty hath most loss, by this common dearth, of all other; and not only loss, but danger to the Realm and all his subjects, if his Grace should want treasure to purchase the said habiliments and necessaries for war, or to find soldiers in time of need, which passeth all other private losses that we spake of.
_Capper._ We hear say, that the King's Majesty maketh up his losses that way by the gains which he hath by the mint another way. If that be too short, he supplieth that lack by subsidies and impositions of his subjects, so as his Grace can not lack, so long as his subjects have it.
_Doctor._ You say well there. So long as the subjects have it, so it is meet the King should have it; but what and they have it not? for they cannot have it, when there is no treasure left within the realm. And as touching the mint I account the profit much like as if a man would take his wood up by the roots, to make [the more profit thereof at one time, and ever after to lose] the profit that might grow thereof yearly, or to pull the wool of his sheep by the root. And as for the subsidies; how can they be large when the subjects have little to depart with? and yet that way of gathering treasure is not always most safe for the prince's surety; for we see many times the profits of such subsidies spent in appeasing of the people that are moved to sedition partly by occasion of the same....
* * * * *
_f. 31b-f. 34._
_Doctor._ Mary, the first way [_sc._ to equalize the profits of tillage and pasture-farming] is to make that wool be of as base a price [to] the breeder thereof as the corn is; and that shall be, if you make alike restraint of wools, for passing over the sea unwrought, as ye make of corn. Ye have a law made that no corn shall pass over and it be above a noble a quarter; if it be under ye give free liberty for it to pass over; let wool be restrained likewise, for passing over, so long as it is above 12s. 4d. the tod; and when it is under let it have free passage; that is one way. Another is, to increase the custom of wool that passeth over unwrought; and by that the price of it shall be based to the breeders, and yet the price over the sea shall be never the less. But that is increased in the price thereof [on] strangers shall come unto the King's Highness; which is as profitable to the Realm as though it came to the breeders, and might relieve them of their subsidies. Thus far as touching the bringing down the price of wools; now to the enhancing of the same price in corn, to be as equivalent to the husbandman as wool should be. And that might be brought to pass if ye will let it have as free passage over sea at all times, as ye have now for wool.
_Merchant._ By the first two ways men would send less wool over sea than they do now; and, by that way, the King's customs and profits of his staple should be minished; by your latter way, the price of corn should be much enhanced, wherewith men should be much grieved.
_Doctor._ I wot well it would be dear at the first; but if I can persuade you that it were reasonable it were so, and that the same could be no hindrance to the Realm universally, but great profit to the same, then I think we would be content it should be so; and as touching the King's custom, I will speak afterward.
_Merchant._ I will grant, if you can show me that.
_Doctor._ I will essay it, albeit the matter be somewhat intricate, and as I showed you before, at the first face will displease many; for they will say, Would you make corn dearer than it is? Have you dearth enough else without that? Nay I pray you find means to have it better cheap, if it may be, it is dear enough already; and such other like reasons would be said. But now let the husbandman answer such men again. Have not the grazers raised the price of your wools and pelts? and you merchant men, clothiers and cappers, raised the price of your merchandize and wares over it was wont to be in manner double? Is it not as good reason then I should raise the price of my corn? What reason is it that you should be at large, and I to be restrained? Either let us all be restrained together, or else let us all be at like liberty. Ye may sell [your wool] over the sea, your fells, your tallow, your cheese, your butter, your leather, which riseth all by grazings, at your pleasure, and that for the dearest penny ye can get for them. And I shall not send out my corn, except it be at 10d. the bushel or under. That is as much to say, as we that be husbandmen should not sell our wares, except it be for nothing, or for so little we shall not be able to live thereof. Think you that if the husbandman here did speak these words, that he did not speak them reasonable?
_Husbandman._ I thank you with all my heart; for you have spoken in the matter more than I could do myself, and yet nothing but that is true. We felt the harm, but we wist not what was the cause thereof; many of us saw, 12 years ago, that our profits was but small by the ploughs; and therefore divers of my neighbours that had, in times past, some two, some three, some four ploughs of their own, have laid down, some of them [part, and some of them all] their teams, and turned either part or all their arable ground into pasture, and thereby have waxed very rich men. And every day some of us encloseth a [plot] of his ground to pasture; and were it not that our ground lieth in the common fields, intermingled one with another, I think also our fields had been enclosed, of a common agreement of all the township, long ere this time. And to say the truth, I, that have enclosed little or nothing of my ground, could [never be able] to make up my lord's rent were it not for a little breed of neat, sheep, swine, geese, and hens that I do rear upon my ground; whereof, because the price is somewhat round, I make more clear profit than I do of all my corn; and yet I have but a bare living, by reason that many things do belong to husbandry which now be exceeding chargeable over they were in times past.
_Capper._ Though this reason of master doctor's here doth please you well that be husbandmen, yet it pleaseth us that be artificers nothing at all, which must buy both bread, corn and malt for our penny. And whereas you, master doctor, say it were as good reason that the husbandman would raise the price of his corn, and have as free vent of the same over sea as we [do and have of our wares], I cannot greatly deny that; but yet I say, that every man hath need of corn, and so they have not of other wares so much.
_Doctor._ Therefore the more necessary that corn is, the more be the men to be cherished that reared it; for if they see there be not so much profit in using the plough as they see in other feats, think you not that they will leave that trade, and fall to the other that they see more profitable? as ye may perceive by the doings of this honest man's neighbours, which have turned their arable land to pasture, because they see more profit by pasture than by tillage. Is it not an old saying in [Latin], _honos alit artes_, that is to say, profit or advancement nourisheth every faculty; which saying is so true, that it is allowed by the common judgement of all men. We must understand also that all things that should be done in a common wealth be not to be forced, or to be constrained by the straight penalties of the law; but some so, and some other by allurement and rewards rather. For what law can compel men to be industrious in travail, and labour of their bodies, or studious to learn any science or knowledge of the mind? to these things they may be well provoked, encouraged, and allured, if they that be industrious and painful be well rewarded for their pains, and be suffered to take gains and wealth as reward of their labours. And so likewise [they] that be learned, if they be advanced and honoured according to their forwardness in learning, every man will then study either to be industrious in bodily labour, or studious in things that pertain to knowledge. Take this reward from them, and go about to compel them by laws thereto, what man will plough or dig the ground, or exercise any manual occupation wherein is any pain? Or who will adventure over seas for any merchandise? or use any faculty wherein any peril or danger should be, seeing his reward shall be no more than his that sitteth still? But ye will percase answer me, that all their rewards shall not be taken away, but part of it. Yet then you must grant me, that as if all their rewards were taken from them, all these faculties must needs decay; so if part of that reward be minished, the use of those faculties shall minish withall, after the rate; and so they shall be the less occupied, the less they be rewarded and esteemed. But now to our purpose; I think it more necessary to devise a mean how husbandry might be more occupied, rather than less, which I cannot perceive how it may be brought to pass, but as men do see the more gains therein, the gladder they will occupy the feat. And this to be true [that] some things in a common wealth must be forced with pains and some by rewards allured [may appear] by that that the wise and politic senator Tully writeth, saying, that it was the words of Solon, which was one of the seven men of Greece, and of those seven the only man that made laws, that a common wealth was holden up by things chiefly, that is, by reward and pain; of which words I gather that men should be provoked to good deeds by rewards and price, and [to] abstain from evil doings by pains. Trow you, if husbandmen be not better cherished and provoked than they be to exercise to plough, but in process of time so many ploughs will be laid down (as I fear me there be already) that if an unfruitful year should happen amongst, us, as commonly doth once in seven years, we should then not have only dearth, but also such scarceness of corn, that we should be driven to seek it from outward parts, and pay dear for it....
* * * * *
_f. 34b-f. 38._
_Doctor._ You have heard that by the free vent and sale of corn, the husbandman's profit is advanced. Then it is showed how every man naturally will follow that wherein he seeth most profit. Therefore men will the gladder occupy husbandry. And the more do occupy husbandry, the more plenty of corn must needs be; and the more plenty of corn there is, thereof better cheap; and also the more will be spared over that that shall suffice the realm; and then, that may be spared in a good year shall bring us again other corn, or else the commodities of other countries necessary for us. Then the more husbandry is occupied, the more universal breed should be of all victuals, as of neat, sheep, swine, geese, eggs, butter, and cheese, for all these are reared much of corn.
_Knight._ If men should sell, when a good reasonable year is, all that is overplus when the realm is served, what should we do if a barren year should happen, when no store of corn is left of the good year before?
_Doctor._ First, you must consider that men be sure they will keep enough to serve themselves within the realm, or they sell any forth of the same; and having liberty to sell at their pleasure, doubt ye not, but they had liefer sell their corn 2d. or 4d. better cheap within the realm, than to be at charges with carrying, and peril of adventure, in sending it over the sea, and sell it dearer (except it be for much more gains). And thus men, being provoked with lucre, will keep the more corn, looking for a dear year in the country, whereby must need be the greater store. And though they did not so, but should sell over the sea all that they might spare over that serveth the realm when the year is plentiful, yet by reason that, through the means aforesaid, more ploughs are set to work than would suffice the realm in a plentiful year, if a scarce year should fall after, the corn of so many ploughs, as in a good year would be more than enough, in [an unfruitful] year at the least should be sufficient to serve the realm. And so should the realm be served with enough of corn in a scarce year, and in a plenteous year no more than enough, which might be sold over the sea for great treasure or other commodities; where now, in a plentiful year, we seek to have as much as may suffice the realm. Then if a scarce year should happen, we must needs lack of our own to serve, and be driven to buy from beyond the sea. And then, if they were as envious as we are, might they not say, when we required any corn of them, that seeing they could get none from us, when we had plenty, why should they let us have any corn when we have scarcity? Surely common reason would that one region should help another when it lacketh. And therefore God hath ordained that no country should have all commodities; but that, that one lacketh, another bringeth forth, and that, that one country lacketh this year, another hath plenty thereof the same year, to the intent that one may know they have need of another's help, and thereby love and society to grow amongst all the more. But here we will do as though we had need of no other country in the earth, but to live all of ourselves; and [as] though we might make the market of all things as we list ourselves; for though God is bountiful unto us and sendeth us many great commodities, yet we could not live without the commodities of others. And, for an ensample, of iron [and] salt, though we have competently thereof, yet we have not the third part to suffice the realm; and that [can] in no wise be spared if we will occupy husbandry. Then tar, resin, pitch, oil, steel, we have none at all; as for wines, spices, linen cloth, silks, and collars, though we might live so without them, yet far from any civility should it be. As I deny not [but many things we might have here sufficiently that we buy now beyond the seas, and] many things we might spare wholly; whereof, if time shall serve, I will talk more hereafter. But now to return to the first point that I spake of before, to be one of the means to bring husbandry up, that is by abasing the estimation of wool and fells; though I take not that way to be as good as the other, for I do not allow that mean that may base any of our commodities except it be for the enhancement of a better commodity, but if both commodities may be enhanced together, as by the last device I think they might be, I allow that way better; nevertheless whereas you, brother merchant, showed before that either by restraining of wools or other commodities, till they were equivalent within the realm after the rate of the corn, or by enhancing the custom of wool and other the said commodities, were brought like to the corn in proportion, the King's Highness' custom should be minished, I think not so. For the one way, as much as he should have for the more wool vented over, so much should he have for the less wool at a greater custom vented over. And the other way is, as much as his Grace should lose by his custom of wool, so much or more should his Grace win by the custom of clothes made within the realm. But one thing I do note by this latter device, that if they should take place, we must do; that is, if we keep within us much of our commodities, we must spare many other things that we have now from beyond the seas; for we must always take heed that we buy no more of strangers than we sell them [for so we should empoverish ourselves and enrich them]. For he were no good husband that hath no other yearly revenues but of husbandry to live on, that will buy more in the market than he selleth again. And that is a point we might save much by of our treasure, in this realm, if we would. And I marvel no man taketh heed unto it, what number first of trifles cometh hither from beyond the seas, that we might either clean spare, or else make them within our own realm, for the which we pay inestimable treasure every year, or else exchange substantial wares and necessary for them, for the which we might receive great treasure. Of the which sort I mean glasses, as well looking as drinking, as to glass windows, dials, tables, cards, balls, puppets, penhorns, inkhorns, toothpicks, gloves, knives, daggers, pouches, brooches, agletes, buttons of silk and silver, earthen pots, pins, points, hawk's bells, paper both white and brown, and a thousand like things, that might either be clean spared, or else made within the realm sufficient for us. And as for some things, they make it of our own commodities and send it us again; whereby they set their people on work, and do exhaust much treasure out of this realm. As of our wool they make cloth, caps, and carses; of our fells they make Spanish skins, gloves, girdles; of our tin, salts, spoons and dishes; of our broken linen cloth and rags, paper both white and brown. What treasure, think you, goeth out of this realm for every of these things? And then for all together it exceedeth my estimation. There is no man that can be contented with any other gloves than is made in France or in Spain; or carse, but it must be of Flanders dye; nor cloth, but it must be of French dye or fresadow; nor brooch nor aglet, but of Venice making or Milanese; nor dagger, sword, nor girdle, or knife, but of Spanish making; no, not so much as a spur, but it must be fetched at the milliner's hand. I have seen within these twenty years, when there were not of these haberdashers that sell French or Milan caps, glasses, as well looking as drinking, yea, all manner vessels of the same stuff; painted cruses, gay daggers, knives, swords, and girdles that is able to make any temperate man to gaze on them, and to buy somewhat, though it serve to no purpose necessary. What need they beyond the sea to travel to Peru or such far country, or to try out the sands of the river Tagus in Spain [Pactolus] in Asia and Ganges in India, to get amongst them small sparks of gold, or to dig the bowels of the earth, for the mine of silver and gold, when they can of unclean clay, not far sought for, and of [pebble] stones and fern roots make [good] gold and silver more than a great many of gold mines would make. I think not so little as a hundred thousand pound a year is fetched of our treasure for things of no value of themselves, but only for the labours of the workers of the same, which are set on work all of our charges. What grossness be we of, that see it and suffer such a continual spoil to be made of our goods and treasure, by such means and specially, that will suffer our own commodities to go, and set strangers on work, and then to buy them again at their hands; as of our wool they make and dye carses, fresadows, broadcloths, and caps beyond the seas, and bring them hither to be sold again; wherein note, I pray you, what they do make us pay at the end for our stuff again, for the stranger custom, for the workmanship, and colours, and lastly for the second custom in the return of the wares into the realm again; whereas, with working the same within our realm, our own men should be set on work at the charges of strangers; the custom should be borne all by strangers to the king, and the clear gains to remain within the realm....
* * * * *
_f. 53b-f. 55._
And now, because we are entered into communication of artificers, I will make this division of them. Some of them do but bring money out of the country; some other, that which they do get, they spend again in the country; and the third sort of artificers be they that do bring treasure into the country. Of the first, I reckon all mercers, grocers, vintners, haberdashers, milliners, and such as do sell wares growing beyond the seas, and do fetch out our treasure of the same. Which kind of artificers, as I reckon them tolerable, and yet are not so necessary in a commonwealth but they might be best spared of all other; yet if we had not other artificers, to bring in as much treasure as they bring forth, we should be great losers by them. Of the second sort be these: shoemakers, tailors, carpenters, masons, tilers, butchers, brewers, bakers, victuallers of all sorts, which like as they get their living in the country, so they spend it; but they bring in no treasure unto us. Therefore we must [cherish] well the third sort; and these be clothiers, tanners, cappers, and worsted makers only that I know, [which] by their misteries and faculties, do bring in any treasure. As for our wool, fells, tin, lead, butter and cheese, these be the commodities that the ground bears, requiring the industry of a few persons; and if we should only trust to such, and devise nothing else to occupy ourselves, a few persons would serve us for the rearing of such things, and few also [it would] find; and so should the realm be like a [grange], better furnished with beasts than with men; whereby it might be subject to the spoil of other nations about. Which is the more to be feared and eschewed, because the country of his own kind is apt to bring forth such things, as is said before, for the breed of cattle, than for such things as [be] for the nourishment of men, if Pomponius Mela be to be believed, which describing the island, saith thus: _plana, ingens, fecunda, verum iis que pecora quam homines benignius alunt_. That is to say, it is plain, large and plentiful, but of those things that nourisheth beasts more kindly than men. So many forests, chases, parks, marshes and waste grounds, that be more here than most commonly elsewhere, declare the same not to be all in vain that he affirms; that hath not so much arable ground, vines, olives, fruits, and such as be most necessary for the food of men. And as they require many hands in the culture, so they find most persons food; as France, Spain and divers other countries have. Therefore as much ground, as here is apt for those things, would be [turned] (as much as may be) to such uses as may find most persons. And over that, towns and cities would be replenished with all kinds of artificers; not only clothiers which as yet were our natural occupation, but with cappers, glovers, paper makers, glasiers, pointers, goldsmiths, blacksmiths of all sorts, coverlet makers, needle makers, pinners and such other; so as we should not only have enough of such things to serve our realm, and save an infinite treasure that goeth now over for so many of the same, but also might spare of such things ready wrought to be sold over, whereby we should fetch again other necessary commodities and treasures. And thus should be both replenished the realm of people able to defend it, and also win much treasure to the same. Such occupations alone do enrich divers countries, that be else barren of themselves; and what riches they bring to the country where they be well used, the country of Flanders and Germany do well declare; where, through such occupations, it hath so many and wealthy cities, that were incredible in so little ground to be. Wherefore in my mind they are far wide of right consideration, that would have none or less clothing within the realm, because it is sometimes occasion of business or tumults, for lack of vent. There is nothing every way so commodious or necessary for men's use, but it is sometime by ill handling occasion of displeasure; no, not fire and water, that be so necessary as nothing can be more.
4. SIR THOMAS GRESHAM ON THE FALL OF THE EXCHANGES [_Burgon's Life and Times of Sir Thomas Gresham, Vol. I, Appendix No. XXI, pages 483-486_]. 1558.
To the Queen's most excellent Majesty.
It may please your Majesty to understand, that the first occasion of the fall of the exchange did grow by the King's Majesty, your late father, in abasing his coin from vi ounces fine to iii ounces fine. Whereupon the exchange fell from xxvis. viiid. to xiiis. ivd. which was the occasion that all your fine gold was conveyed out of this your realm.
Secondly, by the reason of his wars, the King's Majesty fell into great debt in Flanders. And for the payment thereof they had no other device but pay it by exchange, and to carry over his fine gold for the payment of the same.
Thirdly, the great freedom of the Steelyard and granting of licence for the carrying of your wool and other commodities out of your realm, which is now one of the chief points that your Majesty hath to foresee in this your common weal; that you never restore the steads called the Steelyard again to their privilege, which hath been the chief point of the undoing of this your realm, and the merchants of the same.
Now, for redress of these things, in an. xvcli [1551] the King's Majesty, your late brother, called me to be his agent, and reposed a more trust in me, as well for the payment of his debts beyond the seas, as for the raising of the exchange, being then at xvs. and xvis. the pound; and your money current, as it is at this present, being not in value xs. First, I practised with the King and my lord of Northumberland to overthrow the Steelyard, or else it could not be brought to pass, for that they would keep down the exchange by this consideration; whereas your own merchants payeth outwards xivd. upon a cloth custom, they pay but ixd.; and likewise, for all such wares as was brought into your realm, your own mere merchants payeth xiid. upon the pound, the Steelyard paid but iiid. upon the pound, which is vs. difference upon the hundredth: and as they were men that ran all upon the exchange for the buying of their commodities, what did they pass to give a lower price than your own merchants, when they got vl. in the hundred by your custom? Which in process of time would have undone your whole realm, and your merchants of the same.
Secondly, I practised with the King's Majesty, your brother, to come in credit with his own mere merchants: and when time served, I practised with them at a set shipping, the exchange being still at xvis., that every man should pay the King xvs. upon a cloth in Antwerp, to pay at double usage xxs. in London; which the King's Majesty paid them royally, which did amount to the sum of lxml. And so, vi months after, I practised the like upon their commodities for the sum of lxxml. [£70,000] to pay for every pound sterling xxiis.: so by this means, I made plenty of money, and scarcity, and brought into the King's hands, which raised, the exchange to xxiiis. ivd. And by this means I did not only bring the King's Majesty, your brother, out of debt, whereby I saved him vi or viis. upon the pound, but saved his treasure within the realm, as therein Mr. Secretary Cecil was most privy unto.
Thirdly, I did likewise cause all foreign coins to be unvalued, whereby it might be brought into the mint to his Majesty's most fordle[304]; at which time the King your brother died, and for my reward of service, the Bishop of Winchester sought to undo me, and whatsoever I said in these matters I should not be credited: and against all wisdom, the said Bishop went and valued the French crown at vis. ivd., and the pistole at vis. iid., and the silver royal at vid. _ob._ Whereupon, immediately, the exchange fell to xxs. vid. and xxis., and there hath kept ever since. And so consequently after this rate and manner, I brought the Queen's Majesty, your sister, out of debt of the sum of ccccxxxvml. [£435,000].
Fourthly, by this it may plainly appear to your Highness, as the exchange is the thing that eats out all princes, to the whole destruction of their common weal, if it be not substantially looked unto, so likewise the exchange is the chief and richest thing only above all other, to restore your Majesty and your realm to fine gold and silver, and is the mean that makes all foreign commodities and your own commodities with all kind of victuals good cheap, and likewise keeps your fine gold and silver within your realm. As, for example to your Highness, the exchange being at this present at xxiis., all merchants seek to bring into your realm fine gold and silver; for if he should deliver it by exchange, he disburses xxiis. Flemish to have xxs. sterling: and to bring it in gold and silver he shall make thereof xxis. ivd.--whereby he saves viiid. in the pound: which profit, if the exchange should keep but after this rate of xxiis. in few years you should have a wealthy realm, for here the treasure should continue for ever; for that all men should find more profit by vl. in the hundred to deliver it per exchange, than to carry it over in money. So consequently the higher the exchange riseth, the more shall your Majesty and your realm and common weal flourish, which thing is only kept up by art and God's providence; for the coin of this your realm doth not correspond in fineness not xs. the pound.
Finally, and it please your majesty to restore this your realm into such state, as heretofore it hath been; first, your Highness hath no other ways, but when time and opportunity serveth, to bring your base money into fine of xi ounces fine, and so gold after the rate.
Secondly, not to restore the Steelyard to their usurped privileges.
Thirdly, to grant as few licences as you can.
Fourthly, to come in as small debt as you can beyond seas.
Fifthly, to keep up your credit, and specially with your own merchants, for it is they must stand by you at all events in your necessity. And thus I shall most humbly beseech your Majesty to accept this my [poor writing in good] part; wherein I shall from time to time, as opportunity doth serve, put your Highness in remembrance, according to the trust your Majesty hath reposed in me; beseeching the Lord to give me the grace and fortune that my service may always be acceptable to your Highness; as knoweth our Lord, whom preserve your noble Majesty in health, and long to reign over us with increase of honour.
By your Majesty's most humble and faithful obedient subject,
THOMAS GRESHAM, _Mercer_.
[Footnote 304: _i.e._ Fordeal, or advantage.]
5. THE REASONS WHY BULLION IS EXPORTED [_Br. M. Cotton Ms. Otho. E. x., f. 145_[305]], _temp._ ELIZABETH.
Where the Queen's Majesty is moved, that for the staying of the transportation of gold she will be pleased either to call in all gold by proclamation and then to coin it anew again with more alloy, or else that her Majesty should call in no gold, but coin new and utter them at higher rate than now, it seemeth the matters intend, that it is transported for the richness only, and, being either based by alloy or dearly priced, no more would be transported.
But if all the true causes of this late transportation be considered, that will not be sufficient to stay gold within.
The true causes, that it is transported, be these with others:
1. Some is carried into the Low Countries, because the exchange hath been high and the gold of greater prices there than here.
2. These dear years much hath been carried out to buy corn with, wherein somewhat endeavour hath been, because the return paid no custom.
3. Very much hath been transported to provide foreign commodities, because this realm spendeth more of them, than the same commodities transported amount unto, as it is supposed and as may be perceived by the wines, silks, lawns, gold-lace, silver-lace and such like here spent.
4. Much is conveyed by strangers, that bring in their country commodities and will not employ the price in English commodities, because their customs be great.
5. The like is sometimes done by English merchants for the paying of debts or providing of foreign commodities, for the saving of custom outward being also great.
6. Much bullion hath been transported, because the merchants and goldsmiths could not of long time have it coined and delivered in due time out of the mint.
7. Some by captains, soldiers and others, that might not be searched.
8. Some by the help of the mintmen in thirty-shilling-pieces upon pretence to make great gain thereof to her Majesty.
The second cause will now cease of itself; the fourth, fifth, sixth and eighth may be removed by good orders to be taken; the seventh by peace amongst princes; the first will never be taken away further than shall please the bankers and rich merchants of the Low Countries, who joining with the rich Flemings dwelling will be able with their money and cunning to make the exchange to rise and fall, as they shall think good for their gain or our loss. And the governors there, finding by their mint-masters and merchants the alteration of the English standards and values of gold, being more vigilant, provident and skilful in such matters than the English, will at their pleasures cry up and down the currency of English coin, be it never so base, at such times and in such manner as [the]y will, draw it from home to their ... lnes and melt it or return it back at their pleasures for their own gain and our loss, unless they will agree and take order, that it shall be always current there at the same value that it is here, without alteration.
But the third _causa causarum_ being taken away, which is to be wished for, although not to be hoped for in haste, all the rest and all other like causes of transportation must need cease withall or at the least do little hurt; for if England would spend less of foreign commodities than the home commodities will pay for, then the remain must of necessity be returned of silver or gold; but if otherwise, then it will fare in England in short time as it doth with a man of great yearly living, that spendeth more yearly than his own revenue, and spendeth of the stock besides.
And so it is concluded, that for these reasons neither the baseing of the standards nor the raising of the values of the coin of gold is like to stay it from transportation.
[Footnote 305: Quoted Schanz. _op. cit._, Vol. II, pp. 648-9.]
6. THE ITALIAN MERCHANTS EXPLAIN THE FOREIGN EXCHANGES TO SIR THOMAS GRESHAM AND OTHER ROYAL COMMISSIONERS [_Ms. of Lord Calthorpe, Vol. XX, f. 68_[306]], 1576.
Forasmuch as your worships have required, that we, the merchants Italians, should show present your worships with more brevity, than we have done afore, in what points doth grieve us the new imposition and order, that hath been set upon the exchange, although it is not easily utter it in few words, nevertheless we have set it forth as briefly as we can.
Therefore it may please your worships to understand, that the chiefest living and maintenance that we have is upon the commissions that are sent unto us of our friends from beyond the seas to sell foreign wares here in London and buy English wares for to send over.
The trade of the foreign wares for England will much decay because of the imposition and difficulty upon the exchange; for such our friends, that did send such commodities as alum, woad, canvas, silks, wines and other necessary things for the intent to reiterate shortly after the sending hither such commodities, so soon as they knew they were here arrived, did use to take up money by exchange for London; and if the said wares were not sold or money not due, they gave here commission to their factors to take it up by rechange again; and so in time of an usage or double usage of Antwerp, an usage or a fair at Lyons, this matter might be well compassed without any great loss, and by this mean they might help themselves with their money of their wares a great while before that it were money in deed; but now that they shall know, that the exchange will give them such loss by the payment of this fee besides the ordinary interest that is used to come upon the exchange, they shall not be able to continue this trade nor to reiterate so often the same. Therefore there shall ensue a great diminishing of the Queen's custom inwards, and that the English people shall pay the dearer for the necessary foreign commodities, and we particularly shall remain destitute of these commissions and factories.
We say likewise of the trade of others our commissioners, that did use to send for English commodities as cloths and others being not forbidden and inward, they send nothing or very little; for those, that ought here to buy for themselves, might in two manners furnish the money, the one causing money to be remitted unto them from beyond the seas, and the other in taking money here in London by exchange. Touching the first manner they shall lack much of that help; for money shall not be remitted unto them, for because in foreign places there shall be found no man that will take up money by exchange for London, knowing that it shall be more damageable unto them than other places as much as this fee doth import, which will always fall upon the debtor, and he shall scarcely find money here in London to take up by exchange; so little will be exchange that hereafter will be made, therefore our commission outward will fail unto us, as we have said above of these inward, and the Queen's customs outwards also will much decay, and the English people, that did utter at good prices the commodities and handicrafts, shall not be able to do it as afore they were, they shall suffer much damage and discommodity. Besides this the free exchange hath been an instrument whereby the merchants might pay honourably their debts at their day; for if one ought, for a manner of an example, this day a sum of money, it should be a dishonour unto him to desire his creditors to tarry a seven night, a fortnight or 20 days, until he should retain money for debts due unto him. But to pay his said debt, he might presently take up money by exchange to Lyons, Antwerp and then, after he had received his money, he might remit there for the same time that he took it up, and so with little loss compass his business. But now in such case considering that he shall be forced to pay two times this imposition one in the taking and the other in the delivering so shortly after, the interest of few days will cost him too much; therefore he shall be fain to restrain his trade and shall not be able to accept his friends' debts and changes he did before.
Likewise those of us shall find too much charges, that made double exchanges for service of the English merchants, as for example they took money of your vintners for Bordeaux, and to the intent that the said money might be ready there, they did exchange it for Lyons or other places being content of any small profit; now that they must pay two times this imposition and that the ordinary brokerage, that often times they did save, they now shall not save, they shall need to make their reckoning and ask greater price of the vintners, the which peradventure will find it so heavy beside his part of the fee which he must pay, that he might take an evil occasion to send over the money.
We made also oftentimes amongst us double exchanges without any broker, which was, for a manner of example, that one of us had money in Venice and would bring into this realm French wares, and another hath money in Lyons and would bring wares out of Italy, and so they did agree together to give one to another mutual letters of exchange the one for Lyons and the other for Venice; and whereas such double exchange of the value of 100_li._ had no charge at all, now it shall have charge 35s., for the fee shall be paid for every one of the 2 bills of exchange, which is 25s. and 10s. brokerage, that now is not to be escaped, maketh up the 35s., so that we shall be fain utterly to leave of these double exchanges, that we made as well for the commodity of the merchants of your nation as of ourselves to the intent still to serve to the ease and trade of merchandise.
But[307] the order yet is of more trouble and impediment, than the very imposition; for though the fee were in a manner but a penny in every hundredth pound, it were needful to find a means that the Queen's Majesty should not be defrauded of the same, the which we cannot invent or imagine, without that register shall be kept of all our doings and that our books shall be seen and our letters opened, the which thing will be an extreme prejudice unto our occupations, and we would have taken pain more at large to express the same, if that your worships had not the experience and knowledge better than us of this matter.
Touching the standard of the English money, that you complain of is kept low by reason of the free exchange, we can say nothing but that our exchanges are made with a mutual consent between merchant and merchant, and that the abundance of the deliverers or of the takers make the exchange rise or fall; and this occasion doth counterpoise this place of London with the others; for if you will compel a needful person to take up for exchange for Antwerp at 26s. Flemish for every pound sterling, when the exchange is there at 24s., he shall leave off to take it, but will cause money to be remitted to him from thence according to the course of the exchange there.
But some do complain of some strangers, that bring into England merchandises for more value than that they send out. We say, that the cause of this is the inequalities of the customs outwards; for a stranger cannot send into Flanders or into France a piece of cloth or kersey, except it should stand him dearer than he might have them there in those places at an Englishman's hands. Besides that it is to be considered, that the most part of commodities of this realm, that in times before might be transported out, now they be utterly forbidden as well corn, leather, tallow, or else charged with great licence as undressed cloths and others, so that it is not possible for strangers to meddle there withall; nevertheless we do deny, that the overplus of the amounting of the strange wares should be sent over by us in ready money, but we deliver it by exchange unto your English merchants, that may better traffic outwardly, and if we do at lower price than the value of the standard, we are very sorry and we would very gladly it were otherwise.
That be the damages difficulties and inconveniences, that by this order shall happen, that is to say, for our part the whole destitution of all our friends' commission, whereupon was grounded our living and maintenance; damage unto Queen's Majesty for the diminishing of her customs for greater sum than the importance of the rent of this fee, though that exchanges should be in such frequency and number as they have been heretofore; the which thing cannot be, for very few exchange will be made; damage also to the common weal, for they shall pay dear for foreign wares for the scarcity that shall be here of the same, and they shall not so well sell the commodities of the realm, as they have done afore; and finally a dangerous occasion may be presented to some to carry away the money out of the realm, the which thing the free exchange doth avoid, and for this intent it is to be thought that it was instituted.
Therefore we, considering that among all restraints, troubles or impediments, that ever was set against the trade of merchants in any place, this is the troublesomest, we beseech your worships to examine it and to report to her Majesty and to her honourable council upon this matter even as God Almighty shall inspire you for the common profit and wealth of this realm.
[Footnote 306: Quoted Schanz, _op. cit._, pp. 642-6. It will be observed that the Italian merchants' knowledge of English is apparently somewhat defective.]
[Footnote 307: "Bothe" in MS.]
7. AN ACT AVOIDING DIVERS FOREIGN WARES MADE BY HANDICRAFTSMEN BEYOND THE SEAS [_5 Eliz. c. 7, Statutes of the Realm, Vol. IV,