y, and by holding up thus early to view a certain fund on which to
raise it, even the most certain in the world, that of land security,
you may obtain the loan and engage the monied interest of Europe in
your favor. I have spoken with many persons of good sense on this
subject, which makes me the more sanguine.

As to a loan, I will now dismiss this scheme to speak of that, only
adding, or rather repeating what I have in a former letter written,
that a large and generous allowance ought immediately to be made to
the officers and soldiers serving in the present war, in which regard
should be had to the wounded, the widows or children of those that
fall, and to the term or number of campaigns each one serves. This
will make the army consist literally of a set of men fighting for
freehold, and it will be a great encouragement to foreigners, with
whom five hundred or a thousand acres of land has a great sound.

It has been a question with me at times, whether, if our commerce were
open and protected, the colonies would be wise in negotiating a loan.
But on considering, that before this war, the imports of the Colonies
just about balanced their exports, I cannot think it possible, with
the most rigid economy, supposing exports as large as formerly, to
make a lessening of consumption equal to the amount of the expenses
of the war; and consequently a debt must be contracted by the public
somewhere. The question which naturally arises is, whether it be most
prudent to contract this debt at home or abroad. To me it admits of no
doubt, that the latter is to be preferred on every account. If you can
establish a credit and pay your interest punctually, the rate of
interest will be less by two or three per cent in Europe than in
America; you will thereby engage foreigners by the strongest tie, that
of their immediate interest, to support your cause. There are other
obvious reasons for preferring the latter mode.

The next question is, where can you borrow, and what security can you
offer? Holland is at present the centre of money and credit for
Europe, and every nation is more or less indebted to her collectively
to such an amount, that could the nations in Europe at once pay the
whole of their debts to this _Republic of Mammon_, it would as
effectually ruin it, as the breaking in of the sea through their
dykes. Would you know the credit and situation of the affairs of the
different kingdoms, consult the books of the Dutch banks.