If  care,  however,  has  not  been  taken,  and  it  seldom
is  taken,  to  compensate  exactly  for  established  duties
by  countervailing  duties  and  drawbacks,  it  does  not
export  with  the  same  advantage.
There  are  two  cases,  in  which  the  money  cost  of
commodities  may  be  raised  by  taxation :  that  in
which  any  number  of  commodities  are  taxed  one  by
one,  as  in  the  instance,  just  adduced,  of  broad  cloth;
and  that  in  which  all  commodities  are  taxed  by  an
ad  "valorem  duty.
In  neither  of  these  cases  has  the  high  price  of
commodities — in  other  words,  the  low  purchasing
power  of  money,  any  tendency  to  send  money  out
of  the  country.
In  the  case  adduced  above,  the  broad  cloth  alone
was  enhanced  in  price  by  the  tax.     The  purchasing


SECT.  XV — EFFECTS  UPON  PRICE,  &C.   235

power  of  money  was  lessened,  therefore,  only  in  respect
to  broad  cloth.  But  money  could  not  go  out  of  the
country  with  any  greater  advantage  to  purchase  broad
cloth ;  because  that  commodity,  on  importation,  would
have  to  pay  the  tax.
