to trade with the islands, and their violation; the result of this
illegal trade is disastrous to Spanish commerce. Complaint is made
that the appointments of officers for the ships are made in Mexico,
thus causing great and unnecessary expense. The ships lost in the
Philippine trade, and the causes of such loss are enumerated; and
the kinds of merchandise therein are mentioned. The citizens of
the Philippines are discontented at the partial diversion of their
trade to the American colonies. A violation of the royal decrees is
interpreted by the Mexicans to be not a mortal sin, accordingly they
disregard them; Castro advises more leniency in both the prohibition
and the penalty. Some ecclesiastics recommend that the Holy See be
asked to decide whether such transgression be a mortal sin. The
viceroy of Mexico has ordered an increased duty on goods coming
from the Philippines, to pay the cost of soldiers and artillery to
guard the merchandise on the voyage. The trading vessels lost in the
Pacific are being replaced by new ones built at Acapulco; and the
viceroy has sent over some ships "in trust" of private persons--a
plan which is censured. Mexico should not be allowed to trade with
the South American colonies in Chinese goods.

A group of documents on commerce (_ca._ 1602), although somewhat
fragmentary, contain much interesting information regarding the
trade between Spain and her colonies. Fray Martin Ignacio de Loyola,
bishop of Rio de la Plata, writes his opinion regarding colonial
administration in the Spanish empire. The colonies should be kept in
a dependent and subordinate position, and their high officials should
be sent from Spain. Commerce should be maintained between the colonies
and the mother-country. At present the conditions and results of this
trade are ruinous. Loyola advocates the establishment at Manila of
a "consulate" of trade, like that at Mexico; strict prohibition of