million　we　have　supposed　sufficient　to　fill　that　channel。
  Whatever；　therefore；　is　poured　into　it　beyond　this　sum　cannot　run
  in　it；　but　must　overflow。　One　million　eight　hundred　thousand
  pounds　are　poured　into　it。　Eight　hundred　thousand　pounds；
  therefore；　must　overflow；　that　sum　being　over　and　above　what　can
  be　employed　in　the　circulation　of　the　country。　But　though　this
  sum　cannot　be　employed　at　home；　it　is　too　valuable　to　be　allowed
  to　lie　idle。　It　will；　therefore；　be　sent　abroad；　in　order　to　seek
  that　profitable　employment　which　it　cannot　find　at　home。　But　the
  paper　cannot　go　abroad；　because　at　a　distance　from　the　banks
  which　issue　it；　and　from　the　country　in　which　payment　of　it　can
  be　exacted　by　law；　it　will　not　be　received　in　common　payments。
  Gold　and　silver；　therefore；　to　the　amount　of　eight　hundred
  thousand　pounds　will　be　sent　abroad；　and　the　channel　of　home
  circulation　will　remain　filled　with　a　million　of　paper；　instead
  of　the　million　of　those　metals　which　filled　it　before。
  But　though　so　great　a　quantity　of　gold　and　silver　is　thus
  sent　abroad；　we　must　not　imagine　that　it　is　sent　abroad　for
  nothing；　or　that　its　proprietors　make　a　present　of　it　to　foreign
  nations。　They　will　exchange　it　for　foreign　goods　of　some　kind　or
  another；　in　order　to　supply　the　consumption　either　of　some　other
  foreign　country　or　of　their　own。
  If　they　employ　it　in　purchasing　goods　in　one　foreign　country
  in　order　to　supply　the　consumption　of　another；　or　in　what　is
  called　the　carrying　trade；　whatever　profit　they　make　will　be　an
  addition　to　the　net　revenue　of　their　own　country。　It　is　like　a
  new　fund；　created　for　carrying　on　a　new　trade；　domestic　business
  being　now　transacted　by　paper；　and　the　gold　and　silver　being
  converted　into　a　fund　for　this　new　trade。
  If　they　employ　it　in　purchasing　foreign　goods　for　home
  consumption；　they　may　either；　first；　purchase　such　goods　as　are
  likely　to　be　consumed　by　idle　people　who　produce　nothing；　such　as
  foreign　wines；　foreign　silks；　etc。；　or；　secondly；　they　may
  purchase　an　additional　stock　of　materials；　tools；　and　provisions；
  in　order　to　maintain　and　employ　an　additional　number　of
  industrious　people；　who　reproduce；　with　a　profit；　the　value　of
  their　annual　consumption。
  So　far　as　it　is　employed　in　the　first　way；　it　promotes
  prodigality；　increases　expense　and　consumption　without　increasing
  production；　or　establishing　any　permanent　fund　for　supporting
  that　expense；　and　is　in　every　respect　hurtful　to　the　society。
  So　far　as　it　is　employed　in　the　second　way；　it　promotes
  industry；　and　though　it　increases　the　consumption　of　the　society；
  it　provides　a　permanent　fund　for　supporting　that　consumption；　the
  people　who　consume　reproducing；　with　a　profit；　the　whole　value　of
  their　annual　consumption。　The　gross　revenue　of　the　society；　the
  annual　produce　of　their　land　and　labour；　is　increased　by　the
  whole　value　which　the　labour　of　those　workmen　adds　to　the
  materials　upon　which　they　are　employed；　and　their　net　revenue　by
  what　remains　of　this　value；　after　deducting　what　is　necessary　for
  supporting　the　tools　and　instruments　of　their　trade。
  That　the　greater　part　of　the　gold　and　silver　which；　being
  forced　abroad　by　those　operations　of　banking；　is　employed　in
  purchasing　foreign　goods　for　home　consumption；　is　and　must　be
  employed　in　purchasing　those　of　this　second　kind；　seems　not　only
  probable　but　almost　unavoidable。　Though　some　particular　men　may
  sometimes　increase　their　expense　very　considerably　though　their
  revenue　does　not　increase　at　all；　we　may　be　assured　that　no　class
  or　order　of　men　ever　does　so；　because；　though　the　principles　of
  common　prudence　do　not　always　govern　the　conduct　of　every
  individual；　they　always　influence　that　of　the　majority　of　every
  class　or　order。　But　the　revenue　of　idle　people；　considered　as　a
  class　or　order；　cannot；　in　the　smallest　degree；　be　increased　by
  those　operations　of　banking。　Their　expense　in　general；　therefore；
  cannot　be　much　increased　by　them；　though　that　of　a　few
  individuals　among　them　may；　and　in　reality　sometimes　is。　The
  demand　of　idle　people；　therefore；　for　foreign　goods　being　the
  same；　or　very　nearly　the　same；　as　before；　a　very　small　part　of
  the　money；　which　being　forced　abroad　by　those　operations　of
  banking；　is　employed　in　purchasing　foreign　goods　for　home
  consumption；　is　likely　to　be　employed　in　purchasing　those　for
  their　use。　The　greater　part　of　it　will　naturally　be　destined　for
  the　employment　of　industry；　and　not　for　the　maintenance　of
  idleness。
  When　we　compute　the　quantity　of　industry　which　the
  circulating　capital　of　any　society　can　employ；　we　must　always
  have　regard　to　those　parts　of　it　only　which　consist　in
  provisions；　materials；　and　finished　work：　the　other；　which
  consists　in　money；　and　which　serves　only　to　circulate　those
  three；　must　always　be　deducted。　In　order　to　put　industry　into
  motion；　three　things　are　requisite；　materials　to　work　upon；　tools
  to　work　with；　and　the　wages　or　recompense　for　the　sake　of　which
  the　work　is　done。　Money　is　neither　a　material　to　work　upon；　nor　a
  tool　to　work　with；　and　though　the　wages　of　the　workman　are
  commonly　paid　to　him　in　money；　his　real　revenue；　like　that　of　all
  other　men；　consists；　not　in　money；　but　in　the　money's　worth；　not
  in　the　metal　pieces；　but　in　what　can　be　got　for　them。
  The　quantity　of　industry　which　any　capital　can　employ　must；
  evidently；　be　equal　to　the　number　of　workmen　whom　it　can　supply
  with　materials；　tools；　and　a　maintenance　suitable　to　the　nature
  of　the　work。　Money　may　be　requisite　for　purchasing　the　materials
  and　tools　of　the　work；　as　well　as　the　maintenance　of　the　workmen。
  But　the　quantity　of　industry　which　the　whole　capital　can　employ
  is　certainly　not　equal　both　to　the　money　which　purchases；　and　to
  the　materials；　tools；　and　maintenance；　which　are　purchased　with
  it；　but　only　to　one　or　other　of　those　two　values；　and　to　the
  latter　more　properly　than　to　the　former。
  When　paper　is　substituted　in　the　room　of　gold　and　silver
  money；　the　quantity　of　the　materials；　tools；　and　maintenance；
  which　the　whole　circulating　capital　can　supply；　may　be　increased
  by　the　whole　value　of　gold　and　silver　which　used　to　be　employed
  in　purchasing　them。　The　whole　value　of　the　great　wheel　of
  circulation　and　distribution　is　added　to　the　goods　which　are
  circulated　and　distributed　by　means　of　it。　The　operation；　in　some
  measure；　resembles　that　of　the　undertaker　of　some　great　work；
  who；　in　consequence　of　some　improvement　in　mechanics；　takes　down
  his　old　machinery；　and　adds　the　difference　between　its　price　and
  that　of　the　new　to　his　circulating　capital；　to　the　fund　from
  which　he　furnishes　materials　and　wages　to　his　workmen。
  What　is　the　proportion　which　the　circulating　money　of　any
  country　bears　to　the　whole　value　of　the　annual　produce　circulated
  by　means　of　it；　it　is；　perhaps；　impossible　to　determine。　It　has
  been　computed　by　different　authors　at　a　fifth；　at　a　tenth；　at　a
  twentieth；　and　at　a　thirtieth　part　of　that　value。　But　how　small
  soever　the　proportion　which　the　circulating　money　may　bear　to　the
  whole　value　of　the　annual　produce；　as　but　a　part；　and　frequently
  but　a　small　part；　of　that　produce；　is　ever　destined　for　the
  maintenance　of　industry；　it　must　always　bear　a　very　considerable
  proportion　to　that　part。　When；　therefore；　by　the　substitution　of
  paper；　the　gold　and　silver　necessary　for　circulation　is　reduced
  to；　perhaps；　a　fifth　part　of　the　former　quantity；　if　the　value　of
  only　the　greater　part　of　the　other　four…fifths　be　added　to　the
  funds　which　are　destined　for　the　maintenance　of　industry；　it　must
  make　a　very　considerable　addition　to　the　quantity　of　that
  industry；　and；　consequently；　to　the　value　of　the　annual　produce
  of　land　and　labour。
  An　operation　of　this　kind　has；　within　these　five…and…twenty
  or　thirty　years；　been　performed　in　Scotland；　by　the　erection　of
  new　banking　companies　in　almost　every　considerable　town；　and　even
  in　some　country　villages。　The　effects　of　it　have　been　precisely
  those　above　described。　The　business　of　the　country　is　almost
  entirely　carried　on　by　means　of　the　paper　of　those　different
  banking　companies；　with　which　purchases　and　payments　of　kinds　are
  commonly　made。　Silver　very　seldom　appears　except　in　the　change　of
  a　twenty　shillings　bank　note；　and　gold　still　seldomer。　But　though
  the　conduct　of　all　those　different　companies　has　not　been
  unexceptionable；　and　has　accordingly　required　an　act　of
  Parliament　to　regulate　it；　the　country；　notwithstanding；　has
  evidently　derived　great　benefit　from　their　trade。　I　have　heard　it
  asserted；　that　the　trade　of　the　city　of　Glasgow　doubled　in　about
  fifteen　years　after　the　first　erection　of　the　banks　there；　and
  that　the　trade　of　Scotland　has　more　than　quadrupled　since　the
  first　erection　of　the　two　public　banks　at　Edinburgh；　of　which　the
  one；　called　the　Bank　of　Scotland；　was　established　by　act　of
  Parliament　in　1695；　the　other；　called　the　Royal　Bank；　by　royal
  charter　in　1727。　Whether　the　trade；　either　of　Scotland　in
  general；　or　the　city　of　Glasgow　in　particular；　has　really
  increased　in　so　great