Insomesmallstatesdutiessimilartothosepassagedutiesareimposedupongoodscarriedacrosstheterritory，eitherbylandorbywater，fromoneforeigncountrytoanother。Theseareinsomecountriescalledtransit—duties。SomeofthelittleItalianstateswhicharesituateduponthePoandtheriverswhichrunintoitderivesomerevenuefromdutiesofthiskindwhicharepaidaltogetherbyforeigners，andwhich，perhaps，aretheonlydutiesthatonestatecanimposeuponthesubjectsofanotherwithoutobstructinginanyrespecttheindustryorcommerceofitsown。Themostimportanttransit—dutyintheworldisthatleviedbytheKingofDenmarkuponallmerchantshipswhichpassthroughtheSound。
　　Suchtaxesuponluxuriesasthegreaterpartofthedutiesofcustomsandexcise，thoughtheyallfallindifferentlyuponeverydifferentspeciesofrevenue，andarepaidfinally，orwithoutanyretribution，bywhoeverconsumesthecommoditiesuponwhichtheyareimposed，yettheydonotalwaysfallequallyorproportionablyupontherevenueofeveryindividual。Aseveryman’shumourregulatesthedegreeofhisconsumption，everymancontributesratheraccordingtohishumourthaninproportiontohisrevenue;theprofusecontributemore，theparsimoniousless，thantheirproperproportion。Duringtheminorityofamanofgreatfortunehecontributescommonlyverylittle，byhisconsumption，towardsthesupportofthatstatefromwhoseprotectionhederivesagreatrevenue。Thosewholiveinanothercountrycontributenothing，bytheirconsumption，towardsthesupportofthegovernmentofthatcountryinwhichissituatedthesourceoftheirrevenue。Ifinthislattercountrythereshouldbenoland—tax，noranyconsiderabledutyuponthetransferenceeitherofmovableorofimmovableproperty，asisthecaseinIreland，suchabsenteesmayderiveagreatrevenuefromtheprotectionofagovernmenttothesupportofwhichtheydonotcontributeasingleshilling。Thisinequalityislikelytobegreatestinacountryofwhichthegovernmentisinsomerespectssubordinateanddependentuponthatofsomeother。Thepeoplewhopossessthemostextensivepropertyinthedependentwillinthiscasegenerallychoosetoliveinthegoverningcountry。Irelandispreciselyinthissituation，andwecannot，therefore，wonderthattheproposalofataxuponabsenteesshouldbesoverypopularinthatcountry。Itmight，perhaps，bealittledifficulttoascertaineitherwhatsortorwhatdegreeofabsencewouldsubjectamantobetaxedasanabsentee，oratwhatprecisetimethetaxshouldeitherbeginorend。Ifyouexcept，however，thisverypeculiarsituation，anyinequalityinthecontributionofindividualswhichcanarisefromsuchtaxesismuchmorethancompensatedbytheverycircumstancewhichoccasionsthatinequality—thecircumstancethateveryman’scontributionisaltogethervoluntary，itbeingaltogetherinhispowereithertoconsumeornottoconsumethecommoditytaxed。
　　Wheresuchtaxes，therefore，areproperlyassessed，anduponpropercommodities，theyarepaidwithlessgrumblingthananyother。Whentheyareadvancedbythemerchantormanufacturer，theconsumer，whofinallypaysthem，sooncomestoconfoundthemwiththepriceofthecommodities，andalmostforgetsthathepaysanytax。
　　Suchtaxesareormaybeperfectlycertain，ormaybeassessedsoastoleavenodoubtconcerningeitherwhatoughttobepaid，orwhenitoughttobepaid;concerningeitherthequantityorthetimeofpayment。Whateveruncertaintytheremaysometimesbe，eitherinthedutiesofcustomsinGreatBritain，orinotherdutiesofthesamekindinothercountries，itcannotarisefromthenatureofthoseduties，butfromtheinaccurateorunskilfulmannerinwhichthelawthatimposesthemisexpressed。
　　Taxesuponluxuriesgenerallyare，andalwaysmaybe，paidpiecemeal，orinproportionasthecontributorshaveoccasiontopurchasethegoodsuponwhichtheyareimposed。Inthetimeandmodeofpaymenttheyare，ormaybe，ofalltaxesthemostconvenient。Uponthewhole，suchtaxes，are，perhaps，asagreeabletothethreefirstofthefourgeneralmaximsconcerningtaxationasanyother。Theyoffendineveryrespectagainstthefourth。
　　Suchtaxes，inproportiontowhattheybringintothepublictreasuryofthestate，alwaystakeoutorkeepoutofthepocketsofthepeoplemorethanalmostanyothertaxes。Theyseemtodothisinallthefourdifferentwaysinwhichitispossibletodoit。
　　First，thelevyingofsuchtaxes，evenwhenimposedinthemostjudiciousmanner，requiresagreatnumberofcustom—houseandexciseofficers，whosesalariesandperquisitesarearealtaxuponthepeople，whichbringsnothingintothetreasuryofthestate。Thisexpense，however，itmustbeacknowledged，ismoremoderateinGreatBritainthaninmostothercountries。Intheyearwhichendedonthe5thofJuly1775，thegrossproduceofthedifferentduties，underthemanagementofthecommissionersofexciseinEngland，amountedtoL5，507，30818s。8
　　1/4d。，whichwasleviedatanexpenseoflittlemorethanfiveandahalfpercent。Fromthisgrossproduce，however，theremustbedeductedwhatwaspaidawayinbountiesanddrawbacksupontheexportationofexcisablegoods，whichwillreducethenetproducebelowfivemillions。*Thelevyingofthesaltduty，anexciseduty，butunderadifferentmanagement，ismuchmoreexpensive。
　　Thenetrevenueofthecustomsdoesnotamounttotwomillionsandahalf，whichisleviedatanexpenseofmorethantenpercentinthesalariesofofficers，andotherincidents。Buttheperquisitesofcustom—houseofficersareeverywheremuchgreaterthantheirsalaries;atsomeportsmorethandoubleortriplethosesalaries。Ifthesalariesofofficers，andotherincidents，therefore，amounttomorethantenpercentuponthenetrevenueofthecustoms，thewholeexpenseoflevyingthatrevenuemayamount，insalariesandperquisitestogether，tomorethantwentyorthirtypercent。Theofficersofexcisereceivefewornoperquisites，andtheadministrationofthatbranchoftherevenue，beingofmorerecentestablishment，isingenerallesscorruptedthanthatofthecustoms，intowhichlengthoftimehasintroducedandauthorizedmanyabuses。Bycharginguponmaltthewholerevenuewhichisatpresentleviedbythedifferentdutiesuponmaltandmaltliquors，asaving，itissupposed，ofmorethanfiftythousandpoundsmightbemadeintheannualexpenseoftheexcise。Byconfiningthedutiesofcustomstoafewsortsofgoods，andbylevyingthosedutiesaccordingtotheexciselaws，amuchgreatersavingmightprobablybemadeintheannualexpenseofthecustoms。*Thenetproduceofthatyear，afterdeductingallexpensesandallowances，amountedtoL4，975，652
　　19s。6d。
　　Secondly，suchtaxesnecessarilyoccasionsomeobstructionordiscouragementtocertainbranchesofindustry。Astheyalwaysraisethepriceofthecommoditytaxed，theysofardiscourageitsconsumption，andconsequentlyitsproduction。Ifitisacommodityofhomegrowthormanufacture，lesslabourcomestobeemployedinraisingandproducingit。Ifitisaforeigncommodityofwhichthetaxincreasesinthismannertheprice，thecommoditiesofthesamekindwhicharemadeathomemaythereby，indeed，gainsomeadvantageinthehomemarket，andagreaterquantityofdomesticindustrymaytherebybeturnedtowardpreparingthem。Butthoughthisriseofpriceinaforeigncommoditymayencouragedomesticindustryinoneparticularbranch，itnecessarilydiscouragesthatindustryinalmosteveryother。ThedearertheBirminghammanufacturerbuyshisforeignwine，thecheaperhenecessarilysellsthatpartofhishardwarewithwhich，or，whatcomestothesamething，withthepriceofwhichhebuysit。Thatpartofhishardware，therefore，becomesoflessvaluetohim，andhehaslessencouragementtoworkatit。Thedearertheconsumersinonecountrypayforthesurplusproduceofanother，thecheapertheynecessarilysellthatpartoftheirownsurplusproducewithwhich，or，whatcomestothesamething，withthepriceofwhichtheybuyit。Thatpartoftheirownsurplusproducebecomesoflessvaluetothem，andtheyhavelessencouragementtoincreaseitsquantity。Alltaxesuponconsumablecommodities，therefore，tendtoreducethequantityofproductivelabourbelowwhatitotherwisewouldbe，eitherinpreparingthecommoditiestaxed，iftheyarehomecommodities，orinpreparingthosewithwhichtheyarepurchased，iftheyareforeigncommodities。Suchtaxes，too，alwaysalter，moreorless，thenaturaldirectionofnationalindustry，andturnitintoachannelalwaysdifferentfrom，andgenerallylessadvantageousthanthatinwhichitwouldhaverunofitsownaccord。
　　Thirdly，thehopeofevadingsuchtaxesbysmugglinggivesfrequentoccasiontoforfeituresandotherpenaltieswhichentirelyruinthesmuggler;apersonwho，thoughnodoubthighlyblamableforviolatingthelawsofhiscountry，isfrequentlyincapableofviolatingthoseofnaturaljustice，andwouldhavebeen，ineveryrespect，anexcellentcitizenhadnotthelawsofhiscountrymadethatacrimewhichnaturenevermeanttobeso。
　　Inthosecorruptedgovernmentswherethereisatleastageneralsuspicionofmuchunnecessaryexpense，andgreatmisapplicationofthepublicrevenue，thelawswhichguarditarelittlerespected。Notmanypeoplearescrupulousaboutsmugglingwhen，withoutperjury，theycanfindanyeasyandsafeopportunityofdoingso。Topretendtohaveanyscrupleaboutbuyingsmuggledgoods，thoughamanifestencouragementtotheviolationoftherevenuelaws，andtotheperjurywhichalmostalwaysattendsit，wouldinmostcountriesberegardedasoneofthosepedanticpiecesofhypocrisywhich，insteadofgainingcreditwithanybody，serveonlytoexposethepersonwhoaffectstopractisethemtothesuspicionofbeingagreaterknavethanmostofhisneighbours。Bythisindulgenceofthepublic，thesmugglerisoftenencouragedtocontinueatradewhichheisthustaughttoconsiderasinsomemeasureinnocent，andwhentheseverityoftherevenuelawsisreadytofalluponhim，heisfrequentlydisposedtodefendwithviolencewhathehasbeenaccustomedtoregardashisjustproperty。Frombeingatfirst，perhaps，ratherimprudentthancriminal，heatlasttoooftenbecomesoneofthehardiestandmostdeterminedviolatorsofthelawsofsociety。Bytheruinofthesmuggler，hiscapital，whichhadbeforebeenemployedinmaintainingproductivelabour，isabsorbedeitherintherevenueofthestateorinthatoftherevenueofficer，andisemployedinmaintainingunproductive，tothediminutionofthegeneralcapitalofthesocietyandoftheusefulindustrywhichitmightotherwisehavemaintained。
　　Fourthly，suchtaxes，bysubjectingatleastthedealersinthetaxedcommoditiestothefrequentvisitsandodiousexaminationofthetax—gatherers，exposethemsometimes，nodoubt，tosomedegreeofoppression，andalwaystomuchtroubleandvexation;andthoughvexation，ashasalreadybeensaid，isnot，strictlyspeaking，expense，itiscertainlyequivalenttotheexpenseatwhicheverymanwouldbewillingtoredeemhimselffromit。Thelawsofexcise，thoughmoreeffectualforthepurposeforwhichtheywereinstituted，are，inthisrespect，morevexatiousthanthoseofthecustoms。Whenamerchanthasimportedgoodssubjecttocertaindutiesofcustoms，whenhehaspaidthoseduties，andlodgedthegoodsinhiswarehouse，heisnotinmostcasesliabletoanyfurthertroubleorvexationfromthecustom—houseofficer。Itisotherwisewithgoodssubjecttodutiesofexcise。Thedealershavenorespitefromthecontinualvisitsandexaminationoftheexciseofficers。Thedutiesofexciseare，uponthisaccount，moreunpopularthanthoseofthecustoms;andsoaretheofficerswholevythem。Thoseofficers，itispretended，thoughingeneral，perhaps，theydotheirdutyfullyaswellasthoseofthecustoms，yetasthatdutyobligesthemtobefrequentlyverytroublesometosomeoftheirneighbours，commonlycontractacertainhardnessofcharacterwhichtheothersfrequentlyhavenot。Thisobservation，however，mayveryprobablybethemeresuggestionoffraudulentdealerswhosesmugglingiseitherpreventedordetectedbytheirdiligence。
　　Theinconveniencies，however，whichare，perhaps，insomedegreeinseparablefromtaxesuponconsumablecommodities，fallaslightuponthepeopleofGreatBritainasuponthoseofanyothercountryofwhichthegovernmentisnearlyasexpensive。Ourstateisnotperfect，andmightbemended，butitisasgoodorbetterthanthatofmostofourneighbours。
　　Inconsequenceofthenotionthatdutiesuponconsumablegoodsweretaxesupontheprofitsofmerchants，thosedutieshave，insomecountries，beenrepeateduponeverysuccessivesaleofthegoods。Iftheprofitsofthemerchantimporterormerchantmanufacturerweretaxed，equalityseemedtorequirethatthoseofallthemiddlebuyerswhointervenedbetweeneitherofthemandtheconsumershouldlikewisebetaxed。ThefamousalcavalaofSpainseemstohavebeenestablisheduponthisprinciple。Itwasatfirstataxoftenpercent，afterwardsoffourteenpercent，andisatpresentofonlysixpercentuponthesaleofeverysortofpropertywhethermovableorimmovable，anditisrepeatedeverytimethepropertyissold。Thelevyingofthistaxrequiresamultitudeofrevenueofficerssufficienttoguardthetransportationofgoods，notonlyfromoneprovincetoanother，butfromoneshoptoanother。Itsubjectsnotonlythedealersinsomesortsofgoods，butthoseinallsorts，everyfarmer，everymanufacturer，everymerchantandshopkeeper，tothecontinualvisitsandexaminationofthetax—gatherers。Throughthegreaterpartofacountryinwhichataxofthiskindisestablishednothingcanbeproducedfordistantsale。Theproduceofeverypartofthecountrymustbeproportionedtotheconsumptionoftheneighborhood。Itistothealcavala，accordingly，thatUstaritzimputestheruinofthemanufacturesofSpain。Hemighthaveimputedtoitlikewisethedeclensionofagriculture，itbeingimposednotonlyuponmanufactures，butupontherudeproduceoftheland。
　　InthekingdomofNaplesthereisasimilartaxofthreepercentuponthevalueofallcontracts，andconsequentlyuponthatofallcontractsofsale。ItisbothlighterthantheSpanishtax，andthegreaterpartoftownsandparishesareallowedtopayacompositioninlieuofit。Theylevythiscompositioninwhatmannertheyplease，generallyinawaythatgivesnointerruptiontotheinteriorcommerceoftheplace。TheNeapolitantax，therefore，isnotnearsoruinousastheSpanishone。
　　Theuniformsystemoftaxationwhich，withafewexceptionsofnogreatconsequence，takesplaceinallthedifferentpartsoftheUnitedKingdomofGreatBritain，leavestheinteriorcommerceofthecountry，theinlandandcoastingtrade，almostentirelyfree。Theinlandtradeisalmostperfectlyfree，andthegreaterpartofgoodsmaybecarriedfromoneendofthekingdomtotheotherwithoutrequiringanypermitorlet—pass，withoutbeingsubjecttoquestion，visit，orexaminationfromtherevenueofficers。Thereareafewexceptions，buttheyaresuchascangivenointerruptiontoanyimportantbranchoftheinlandcommerceofthecountry。Goodscarriedcoastwise，indeed，requirecertificatesorcoast—cockets。Ifyouexceptcoals，however，therestarealmostallduty—free。Thisfreedomofinteriorcommerce，theeffectoftheuniformityofthesystemoftaxation，isperhapsoneoftheprincipalcausesoftheprosperityofGreatBritain，everygreatcountrybeingnecessarilythebestandmostextensivemarketforthegreaterpartoftheproductionsofitsownindustry。Ifthesamefreedom，inconsequenceofthesameuniformity，couldbeextendedtoIrelandandtheplantations，boththegrandeurofthestateandtheprosperityofeverypartoftheempirewouldprobablybestillgreaterthanatpresent。
　　InFrance，thedifferentrevenuelawswhichtakeplaceinthedifferentprovincesrequireamultitudeofrevenueofficerstosurroundnotonlythefrontiersofthekingdom，butthoseofalmosteachparticularprovince，inordereithertopreventtheimportationofcertaingoods，ortosubjectittothepaymentofcertainduties，tothenosmallinterruptionoftheinteriorcommerceofthecountry。Someprovincesareallowedtocompoundforthegabelleorsalt—tax。Othersareexemptedfromitaltogether。Someprovincesareexemptedfromtheexclusivesaleoftobacco，whichthefarmers—generalenjoythroughthegreaterpartofthekingdom。Theaides，whichcorrespondtotheexciseinEngland，areverydifferentindifferentprovinces。Someprovincesareexemptedfromthem，andpayacompositionorequivalent。Inthoseinwhichtheytakeplaceandareinfarmtherearemanylocaldutieswhichdonotextendbeyondaparticulartownordistrict。Thetraites，whichcorrespondtoourcustoms，dividethekingdomintothreegreatparts;first，theprovincessubjecttothetariffof1664，whicharecalledtheprovincesofthefivegreatfarms，andunderwhicharecomprehendedPicardy，Normandy，andthegreaterpartoftheinteriorprovincesofthekingdom;secondly，theprovincessubjecttothetariffof1667，whicharecalledtheprovincesreckonedforeign，andunderwhicharecomprehendedthegreaterpartofthefrontierprovinces;and，thirdly，thoseprovinceswhicharesaidtobetreatedasforeign，orwhich，becausetheyareallowedafreecommercewithforeigncountries，areintheircommercewithotherprovincesofFrancesubjectedtothesamedutiesasotherforeigncountries。TheseareAlsace，thethreebishopricsofMetz，Toul，andVerdun，andthethreecitiesofDunkirk，Bayonne，andMarseilles。Bothintheprovincesofthefivegreatfarms（calledsoonaccountofanancientdivisionofthedutiesofcustomsintofivegreatbranches，eachofwhichwasoriginallythesubjectofaparticularfarm，thoughtheyarenowallunitedintoone），andinthosewhicharesaidtobereckonedforeign，therearemanylocaldutieswhichdonotextendbeyondaparticulartownordistrict。Therearesomesuchevenintheprovinceswhicharesaidtobetreatedasforeign，particularlyinthecityofMarseilles。Itisunnecessarytoobservehowmuchboththerestraintsupontheinteriorcommerceofthecountryandthenumberoftherevenueofficersmustbemultipliedinordertoguardthefrontiersofthosedifferentprovincesanddistrictswhicharesubjecttosuchdifferentsystemsoftaxation。
　　Overandabovethegeneralrestraintsarisingfromthiscomplicatedsystemofrevenuelaws，thecommerceofwine，aftercornperhapsthemostimportantproductionofFrance，isinthegreaterpartoftheprovincessubjecttoparticularrestraints，arisingfromthefavourwhichhasbeenshowntothevineyardsofparticularprovincesanddistricts，abovethoseofothers。Theprovincesmostfamousfortheirwines，itwillbefound，I
　　believe，arethoseinwhichthetradeinthatarticleissubjecttothefewestrestraintsofthiskind。Theextensivemarketwhichsuchprovincesenjoy，encouragesgoodmanagementbothinthecultivationoftheirvineyards，andinthesubsequentpreparationoftheirwines。
　　SuchvariousandcomplicatedrevenuelawsarenotpeculiartoFrance。ThelittleduchyofMilanisdividedintosixprovinces，ineachofwhichthereisadifferentsystemoftaxationwithregardtoseveraldifferentsortsofconsumablegoods。ThestillsmallerterritoriesoftheDukeofParmaaredividedintothreeorfour，eachofwhichhas，inthesamemanner，asystemofitsown。Undersuchabsurdmanagement，nothingbutthegreatfertilityofthesoilandhappinessoftheclimatecouldpreservesuchcountriesfromsoonrelapsingintotheloweststateofpovertyandbarbarism。
　　Taxesuponconsumablecommoditiesmayeitherbeleviedbyanadministrationofwhichtheofficersareappointedbygovernmentandareimmediatelyaccountabletogovernment，ofwhichtherevenuemustinthiscasevaryfromyeartoyearaccordingtotheoccasionalvariationsintheproduceofthetax，ortheymaybeletinfarmforarentcertain，thefarmerbeingallowedtoappointhisownofficers，who，thoughobligedtolevythetaxinthemannerdirectedbythelaw，areunderhisimmediateinspection，andareimmediatelyaccountabletohim。Thebestandmostfrugalwayoflevyingataxcanneverbebyfarm。Overandabovewhatisnecessaryforpayingthestipulatedrent，thesalariesoftheofficers，andthewholeexpenseofadministration，thefarmermustalwaysdrawfromtheproduceofthetaxacertainprofitproportionedatleasttotheadvancewhichhemakes，totheriskwhichheruns，tothetroublewhichheisat，andtotheknowledgeandskillwhichitrequirestomanagesoverycomplicatedaconcern。Government，byestablishinganadministrationundertheirownimmediateinspectionofthesamekindwiththatwhichthefarmerestablishes，mightatleastsavethisprofit，whichisalmostalwaysexorbitant。Tofarmanyconsiderablebranchofthepublicrevenuerequireseitheragreatcapitaloragreatcredit;circumstanceswhichwouldalonerestrainthecompetitionforsuchanundertakingtoaverysmallnumberofpeople。Ofthefewwhohavethiscapitalorcredit，astillsmallernumberhavethenecessaryknowledgeorexperience;
　　anothercircumstancewhichrestrainsthecompetitionstillfurther。Theveryfew，whoareinconditiontobecomecompetitors，finditmorefortheirinteresttocombinetogether;
　　tobecomeco—partnersinsteadofcompetitors，andwhenthefarmissetuptoauction，tooffernorentbutwhatismuchbelowtherealvalue。Incountrieswherethepublicrevenuesareinfarm，thefarmersaregenerallythemostopulentpeople。Theirwealthwouldaloneexcitethepublicindignation，andthevanitywhichalmostalwaysaccompaniessuchupstartfortunes，thefoolishostentationwithwhichtheycommonlydisplaythatwealth，excitesthatindignationstillmore。
　　Thefarmersofthepublicrevenueneverfindthelawstooseverewhichpunishanyattempttoevadethepaymentofatax。
　　Theyhavenobowelsforthecontributors，whoarenottheirsubjects，andwhoseuniversalbankruptcy，ifitshouldhappenthedayaftertheirfarmisexpired，wouldnotmuchaffecttheirinterest。Inthegreatestexigenciesofthestate，whentheanxietyofthesovereignfortheexactpaymentofhisrevenueisnecessarilythegreatest，theyseldomfailtocomplainthatwithoutlawsmorerigorousthanthosewhichactuallytakeplace，itwillbeimpossibleforthemtopayeventheusualrent。Inthosemomentsofpublicdistresstheirdemandscannotbedisputed。Therevenuelaws，therefore，becomegraduallymoreandmoresevere。Themostsanguinaryarealwaystobefoundincountrieswherethegreaterpartofthepublicrevenueisinfarm;themildest，incountrieswhereitisleviedundertheimmediateinspectionofthesovereign。Evenabadsovereignfeelsmorecompassionforhispeoplethancaneverbeexpectedfromthefarmersofhisrevenue。Heknowsthatthepermanentgrandeurofhisfamilydependsupontheprosperityofhispeople，andhewillneverknowinglyruinthatprosperityforthesakeofanymomentaryinterestofhisown。Itisotherwisewiththefarmersofhisrevenue，whosegrandeurmayfrequentlybetheeffectoftheruin，andnotoftheprosperityofhispeople。
　　Ataxissometimesnotonlyfarmedforacertainrent，butthefarmerhas，besides，themonopolyofthecommoditytaxed。InFrance，thedutiesupontobaccoandsaltareleviedinthismanner。Insuchcasesthefarmer，insteadofone，leviestwoexorbitantprofitsuponthepeople;theprofitofthefarmer，andthestillmoreexorbitantoneofthemonopolist。Tobaccobeingaluxury，everymanisallowedtobuyornottobuyashechooses。
　　Butsaltbeinganecessary，everymanisobligedtobuyofthefarmeracertainquantityofit;because，ifhedidnotbuythisquantityofthefarmer，hewould，itispresumed，buyitofsomesmuggler。Thetaxesuponbothcommoditiesareexorbitant。Thetemptationtosmuggleconsequentlyistomanypeopleirresistible，whileatthesametimetherigourofthelaw，andthevigilanceofthefarmer’sofficers，rendertheyieldingtothattemptationalmostcertainlyruinous。Thesmugglingofsaltandtobaccosendseveryyearseveralhundredpeopletothegalleys，besidesaveryconsiderablenumberwhomitsendstothegibbet。Thosetaxesleviedinthismanneryieldaveryconsiderablerevenuetogovernment。In1767，thefarmoftobaccowasletfortwenty—twomillionsfivehundredandforty—onethousandtwohundredandseventy—eightlivresayear。Thatofsalt，forthirty—sixmillionsfourhundredandninety—fourthousandfourhundredandfourlivres。Thefarminbothcaseswastocommencein1768，andtolastforsixyears。Thosewhoconsiderthebloodofthepeopleasnothingincomparisonwiththerevenueoftheprince，mayperhapsapproveofthismethodoflevyingtaxes。Similartaxesandmonopoliesofsaltandtobaccohavebeenestablishedinmanyothercountries;particularlyintheAustrianandPrussiandominions，andinthegreaterpartofthestatesofItaly。
　　InFrance，thegreaterpartoftheactualrevenueofthecrownisderivedfromeightdifferentsources;thetaille，thecapitation，thetwovingtiemes，thegabelles，theaides，thetraites，thedomaine，andthefarmoftobacco。Thefivelastare，inthegreaterpartoftheprovinces，underfarm。Thethreefirstareeverywhereleviedbyanadministrationundertheimmediateinspectionanddirectionofgovernment，anditisuniversallyacknowledgedthat，inproportiontowhattheytakeoutofthepocketsofthepeople，theybringmoreintothetreasuryoftheprincethantheotherfive，ofwhichtheadministrationismuchmorewastefulandexpensive。
　　ThefinancesofFranceseem，intheirpresentstate，toadmitofthreeveryobviousreformations。First，byabolishingthetailleandthecapitation，andbyincreasingthenumberofvingtiemes，soastoproduceanadditionalrevenueequaltotheamountofthoseothertaxes，therevenueofthecrownmightbepreserved;theexpenseofcollectionmightbemuchdiminished;
　　thevexationoftheinferiorranksofpeople，whichthetailleandcapitationoccasion，mightbeentirelyprevented;andthesuperiorranksmightnotbemoreburdenedthanthegreaterpartofthemareatpresent。Thevingtieme，Ihavealreadyobserved，isataxverynearlyofthesamekindwithwhatiscalledtheland—taxofEngland。Theburdenofthetaille，itisacknowledged，fallsfinallyupontheproprietorsofland;andasthegreaterpartofthecapitationisassesseduponthosewhoaresubjecttothetailleatsomuchapoundofthatothertax，thefinalpaymentofthegreaterpartofitmustlikewisefalluponthesameorderofpeople。Thoughthenumberofthevingtiemes，therefore，wasincreasedsoastoproduceanadditionalrevenueequaltotheamountofboththosetaxes，thesuperiorranksofpeoplemightnotbemoreburdenedthantheyareatpresent。Manyindividualsnodoubtwould，onaccountofthegreatinequalitieswithwhichthetailleiscommonlyassessedupontheestatesandtenantsofdifferentindividuals。Theinterestandoppositionofsuchfavouredsubjectsaretheobstaclesmostlikelytopreventthisoranyotherreformationofthesamekind。Secondly，byrenderingthegabelle，theaides，thetraites，thetaxesupontobacco，allthedifferentcustomsandexcises，uniforminallthedifferentpartsofthekingdom，thosetaxesmightbeleviedatmuchlessexpense，andtheinteriorcommerceofthekingdommightberenderedasfreeasthatofEngland。Thirdly，andlastly，bysubjectingallthosetaxestoanadministrationundertheimmediateinspectionanddirectionofgovernment，theexorbitantprofitsofthefarmers—generalmightbeaddedtotherevenueofthestate。Theoppositionarisingfromtheprivateinterestofindividualsislikelytobeaseffectualforpreventingthetwolastasthefirst—mentionedschemeofreformation。
　　TheFrenchsystemoftaxationseems，ineveryrespect，inferiortotheBritish。InGreatBritaintenmillionssterlingareannuallylevieduponlessthaneightmillionsofpeoplewithoutitsbeingpossibletosaythatanyparticularorderisoppressed。FromthecollectionsoftheAbbeExpilly，andtheobservationsoftheauthoroftheEssayuponlegislationandcommerceofcorn，itappearsprobablethatFrance，includingtheprovincesofLorraineandBar，containsabouttwenty—threeortwenty—fourmillionsofpeoplethreetimesthenumberperhapscontainedinGreatBritain。ThesoilandclimateofFrancearebetterthanthoseofGreatBritain。Thecountryhasbeenmuchlongerinastateofimprovementandcultivation，andis，uponthataccount，betterstockedwithallthosethingswhichitrequiresalongtimetoraiseupandaccumulate，suchasgreattowns，andconvenientandwell—builthouses，bothintownandcountry。WiththeseadvantagesitmightbeexpectedthatinFrancearevenueofthirtymillionsmightbeleviedforthesupportofthestatewithaslittleinconveniencyasarevenueoftenmillionsisinGreatBritain。In1765and1766，thewholerevenuepaidintothetreasuryofFrance，accordingtothebest，though，Iacknowledge，veryimperfect，accountswhichIcouldgetofit，usuallyrunbetween308and325millionsoflivres;thatis，itdidnotamounttofifteenmillionssterling;notthehalfofwhatmighthavebeenexpectedhadthepeoplecontributedinthesameproportiontotheirnumbersasthepeopleofGreatBritain。ThepeopleofFrance，however，itisgenerallyacknowledged，aremuchmoreoppressedbytaxesthanthepeopleofGreatBritain。France，however，iscertainlythegreatempireinEuropewhich，afterthatofGreatBritain，enjoysthemildestandmostindulgentgovernment。
　　InHollandtheheavytaxesuponthenecessariesoflifehaveruined，itissaid，theirprincipalmanufactures，andarelikelytodiscouragegraduallyeventheirfisheriesandtheirtradeinshipbuilding。ThetaxesuponthenecessariesoflifeareinconsiderableinGreatBritain，andnomanufacturehashithertobeenruinedbythem。TheBritishtaxeswhichbearhardestonmanufacturesaresomedutiesupontheimportationofrawmaterials，particularlyuponthatofrawsilk。Therevenueofthestates—generalandofthedifferentcities，however，issaidtoamounttomorethanfivemillionstwohundredandfiftythousandpoundssterling;andastheinhabitantsoftheUnitedProvincescannotwellbesupposedtoamounttomorethanathirdpartofthoseofGreatBritain，theymust，inproportiontotheirnumber，bemuchmoreheavilytaxed。
　　Afterallthepropersubjectsoftaxationhavebeenexhausted，iftheexigenciesofthestatestillcontinuetorequirenewtaxes，theymustbeimposeduponimproperones。Thetaxesuponthenecessariesoflife，therefore，thewisdomofthatrepublicwhich，inordertoacquireandtomaintainitsindependency，has，inspiteofitsgreatfrugality，beeninvolvedinsuchexpensivewarsashaveobligedittocontractgreatdebts。ThesingularcountriesofHollandandZeeland，besides，requireaconsiderableexpenseeventopreservetheirexistence，ortopreventtheirbeingswallowedupbythesea，whichmusthavecontributedtoincreaseconsiderablytheloadoftaxesinthosetwoprovinces。TherepublicanformofgovernmentseemstobetheprincipalsupportofthepresentgrandeurofHolland。Theownersofgreatcapitals，thegreatmercantilefamilies，havegenerallyeithersomedirectshareorsomeindirectinfluenceintheadministrationofthatgovernment。Forthesakeoftherespectandauthoritywhichtheyderivefromthissituation，theyarewillingtoliveinacountrywheretheircapital，iftheyemployitthemselves，willbringthemlessprofit，andiftheylendittoanother，lessinterest;andwheretheverymoderaterevenuewhichtheycandrawfromitwillpurchaselessofthenecessariesandconveniencesoflifethaninanyotherpartofEurope。Theresidenceofsuchwealthypeoplenecessarilykeepsalive，inspiteofalldisadvantages，acertaindegreeofindustryinthecountry。Anypubliccalamitywhichshoulddestroytherepublicanformofgovernment，whichshouldthrowthewholeadministrationintothehandsofnoblesandofsoldiers，whichshouldannihilatealtogethertheimportanceofthosewealthymerchants，wouldsoonrenderitdisagreeabletothemtoliveinacountrywheretheywerenolongerlikelytobemuchrespected。
　　Theywouldremoveboththeirresidencesandtheircapitalstosomeothercountry，andtheindustryandcommerceofHollandwouldsoonfollowthecapitalswhichsupportedthem。
　　ChapterIII
　　OfPublicDebtsINthatrudestateofsocietywhichprecedestheextensionofcommerceandtheimprovementofmanufactures，whenthoseexpensiveluxurieswhichcommerceandmanufacturescanaloneintroducearealtogetherunknown，thepersonwhopossessesalargerevenue，IhaveendeavouredtoshowinthethirdbookofthisInquiry，canspendorenjoythatrevenueinnootherwaythanbymaintainingnearlyasmanypeopleasitcanmaintain。A
　　largerevenuemayatalltimesbesaidtoconsistinthecommandofalargequantityofthenecessariesoflife。Inthatrudestateofthingsitiscommonlypaidinalargequantityofthosenecessaries，inthematerialsofplainfoodandcoarseclothing，incornandcattle，inwoolandrawhides。Whenneithercommercenormanufacturesfurnishanythingforwhichtheownercanexchangethegreaterpartofthosematerialswhichareoverandabovehisownconsumption，hecandonothingwiththesurplusbutfeedandclothenearlyasmanypeopleasitwillfeedandclothe。
　　Ahospitalityinwhichthereisnoluxury，andaliberalityinwhichthereisnoostentation，occasion，inthissituationofthings，theprincipalexpensesoftherichandthegreat。Butthese，Ihavelikewiseendeavouredtoshowinthesamebook，areexpensesbywhichpeoplearenotveryapttoruinthemselves。
　　Thereisnot，perhaps，anyselfishpleasuresofrivolousofwhichthepursuithasnotsometimesruinedevensensiblemen。Apassionforcock—fightinghasruinedmany。Buttheinstances，Ibelieve，arenotverynumerousofpeoplewhohavebeenruinedbyahospitalityorliberalityofthiskind，thoughthehospitalityofluxuryandtheliberalityofostentationhaveruinedmany。Amongourfeudalancestors，thelongtimeduringwhichestatesusedtocontinueinthesamefamilysufficientlydemonstratesthegeneraldispositionofpeopletolivewithintheirincome。Thoughtherustichospitalityconstantlyexercisedbythegreatland—holdersmaynot，tousinthepresenttimes，seemconsistentwiththatorderwhichweareapttoconsiderasinseparablyconnectedwithgoodeconomy，yetwemustcertainlyallowthemtohavebeenatleastsofarfrugalasnotcommonlytohavespenttheirwholeincome。Apartoftheirwoolandrawhidestheyhadgenerallyanopportunityofsellingformoney。Somepartofthismoney，perhaps，theyspentinpurchasingthefewobjectsofvanityandluxurywithwhichthecircumstancesofthetimescouldfurnishthem;butsomepartofittheyseemcommonlytohavehoarded。
　　Theycouldnotwell，indeed，doanythingelsebuthoardwhatevermoneytheysaved。Totradewasdisgracefultoagentleman，andtolendmoneyatinterest，whichatthattimewasconsideredasusuryandprohibitedbylaw，wouldhavebeenstillmoreso。Inthosetimesofviolenceanddisorder，besides，itwasconvenienttohaveahoardofmoneyathand，thatincasetheyshouldbedrivenfromtheirownhometheymighthavesomethingofknownvaluetocarrywiththemtosomeplaceofsafety。Thesameviolencewhichmadeitconvenienttohoardmadeitequallyconvenienttoconcealthehoard。Thefrequencyoftreasure—trove，oroftreasurefoundofwhichnoownerwasknown，sufficientlydemonstratesthefrequencyinthosetimesbothofhoardingandofconcealingtheboard。Treasure—trovewasthenconsideredasanimportantbranchoftherevenueofthesovereign。Allthetreasure—troveofthekingdomwouldscarceperhapsinthepresenttimesmakeanimportantbranchoftherevenueofaprivategentlemanofagoodestate。