ere unfettered in his choice of the
commodities, with which he made his purchases; and the same
disadvantage, if he were obliged by Government to purchase with the
least beneficial commodity. If a manufacturer could work up with the
same capital, more iron where coals are plentiful, than he could where
coals are scarce, the country would be benefited by the difference. But
if coals were no where plentiful, and he imported iron, and could get
this additional quantity, by the manufacture of a commodity, with the
same capital and labour, he would in like manner benefit his country by
the additional quantity of iron. In the 6th Chap. of this work, I have
endeavoured to shew that all trade, whether foreign or domestic, is
beneficial, by increasing the quantity, and not by increasing the value
of productions. We shall have no greater value, whether we carry on the
most beneficial home and foreign trade, or in consequence of being
fettered by prohibitory laws, we are obliged to content ourselves with
the least advantageous. The rate of profits, and the value produced,
will be the same. The advantage always resolves itself into that which
M. Say appears to confine to the home trade; in both cases there is no
other gain but that of the value of an _utilite produite_.

CHAPTER XXI.

ON BOUNTIES ON PRODUCTION.

It may not be uninstructive to consider the effects of a bounty on the
_production_ of raw produce and other commodities, with a view to
observe the application of the principles which I have been endeavouring
to establish, with regard to the profits of stock, the annual produce of
the land and labour, and the relative prices of manufactures and raw
produce. In the first place, let us suppose that a tax was imposed on
all commodities, for the purpose of raising a fund to be employed by
Government, in giving a bounty on the _production_ of corn. As no part
of such a tax would be expended by Government, and as all that was
received from one class of the people, would be returned to another, the
nation collectively would neither be richer nor poorer, from such a tax
and bounty. It would be readily allowed, that the tax on commodities by
which the fund was created, would raise the price of the commodities
taxed; all the consumers of those commodities therefore would contribute
towards that fund; in other words, their natural or necessary price
being raised, so would too their market price. But for the same reason
tha