obtained for them by the purchaser, yet its capital serves to give
activity to the manufacturers in the poor country. It is true, that this
operation is slow, but it produces an effect in time, and finishes by
robbing the wealthy nation of its superiority, obtained by giving credit.
It is thus that in all their intercourse, the first advantage is to the
rich nation, but terminates in favour of the poor; for whenever equality
of prices are the question, and both can give sufficient credit, the
poorer nation has the advantage in point of price.

With regard to rivalling each other, in a third place, the poor nation
has the advantage, if the merchants there have the means of paying
with ready money, because the price is lower than that of the richer
country. {149} If they have not that means, they cannot deal with
them, but must wait till they have, by perseverance; and, in course of
time, come to have the means when the poor nation is certain to enter
into competition with advantage.

But this is not the only way in which the capital of a rich nation is
employed in fostering a rivalship in a poorer nation. Were the
manufacturers the only persons who sold goods, it would be confined
to this; but that is not the case, for merchants, who are the sellers,
study only where they can purchase the cheapest; thus English
merchants purchase cloths in Silesia, watches in Switzerland, fire-
arms at Liege,

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{148} The Dutch used to give long credit, and buy with ready money,
by which means they had great advantage for a long time; but, at last,
the ready money they paid to some, and the credit they gave to others,
set their industry at work, and they became rivals. Dutch capital was,