The Philippine Islands, 1493-1803; explorations by early navigators, descriptions of the islands and their peoples, their history and records of the Catholic missions, as related in contemporaneous books and manuscripts, showing the political, economic, commericial and religious conditions of those islands from their earliest relations with European nations to the beginning of the nineteenth century; [Vol. 1, no. 12]

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THE PHILIPPINE ISLANDS

[Vol. I2

this method, a complete remedy for this evil will be
provided, and the inhabitants of the islands, for their
own benefit and interest, should endeavor to keep the
trade themselves, and prohibit trading or sending
consignments of silver from Mexico or Peru.
The trading in, and consignments of silver to, the
Filipinas by the inhabitants of Mexico causes great
detriment to the inhabitants of the islands; for, because of the Mexicans sending so much silver, the
price of Chinese silks and merchandise has risen, so
that, while for twenty years, when only the inhabitants of the islands were permitted to trade, they were
wont to gain one thousand per cent, now they do not
gain one hundred, whence results much resentment
in the Filipinas. Therefore it is most certain that, if
the trade be conceded to them alone, with a just limitation, they will desire to be the only gainers; and
hence will endeavor to see that no Mexicans send any
silver, and will execute whatever penalty his Majesty
imposes on the Mexicans. This they will do, because
clearly much advantage will accrue to the islanders
thereby, by the lowering of the price of the merchandise in Manila and a rise in Mexico. If this reason
be examined closely, my assertion will be quite clear.
I maintain the same in regard to the port of
Buenos Ayres; and what has been ordained but lately
I think was by divine ordination; for hitherto, notwithstanding the prohibition that there should be no
trade, ships entered and cleared, and traded between
Brasil and Potosi, and between Potosi and Brasil and
Espafia. And, although six judges were sent to enforce this prohibition, they were unable to effect a
remedy, until the governor, Don Diego de Baldes,
gave permission, as he considered it an extreme neces