ommercial arrangements perhaps as a lure to us. Perhaps,
however, she might then, and may now, really set a value on commercial
arrangements with us, and may receive them as a consideration for
accommodating us in the navigation, or may wish for them to have the
appearance of receiving a consideration. Commercial arrangements, if
acceptable in themselves, will not be the less so if coupled with
those relating to navigation and boundary. We have only to take care
that they be acceptable in themselves.

There are two principles which may be proposed as the basis of a
commercial treaty: First, that of exchanging the privileges of native
citizens, or, second, those of the most favored nation.

First. With the nations holding important possessions in America we
are ready to exchange the rights of native citizens, provided they
be extended through the whole possessions of both parties; but the
propositions of Spain made on the former occasion (a copy of which
accompanies this) were that we should give their merchants, vessels,
and productions the privileges of native merchants, vessels, and
productions through the whole of our possessions, and they give the
same to ours only in Spain and the Canaries. This is inadmissible,
because unequal; and as we believe that Spain is not ripe for an
equal exchange on this basis, we avoid proposing it.

Second. Though treaties which merely exchange the rights of the most
favored nations are not without all inconvenience, yet they have their
conveniences also. It is an important one that they leave each party
free to make what internal regulations they please, and to give what
preferences they find expedient to native merchants, vessels, and
productions; and as we already have treaties on this basis with
France, Holland, Sweden, and Prussia, the two former of which are
perpetual, it will be but small additional embarrassment to extend it
to Spain. On the contrary, we are sensible it is right to place that
nation on the most favored footing, whether we have a treaty with them
or not, and it can do us no harm to secure by treaty a reciprocation
of the right.

Of the four treaties before mentioned, either the French or the
Prussian might be taken as a model; but it would be useless to
propose the Prussian, because we have already supposed that Spain
would never consent to those articles which give to each party
acces