HAD the Author of that Paper read the Letter to a Friend against Usurie , he might have observed his own Reasons much better urged , and as well answered by Sir Tho . Culpeper Seventy Years since , being the time when Interest was reduced from Ten to Eight , which might have prevented both our Repetitions .

But , since he either did not read the Letter , or was not satisfied with the Answers , it will not be a greater mispence of time to answer the Reasons , than it was again to write them .

His first Reason against Reducing Interest from Six to Four is , That it will obstruct and hinder Trade ; for many Traders borrow Money at Interest to carry on their Trade ; and he supposes that no Man will lend Money to Tradesmen upon personal Security , but that all Men will keep their Moneys by them for a better Advantage .

But the Reason why any Man should keep his Money , and expect a better Advantage , when the Law has reduced Interest to 4 per Cent . more than now it is at 6 per Cent . he doth not give .

For why should any Man lock up his Money , rather than take 4 per Cent . It is no contemptible Interest . It is more than Land produceth ? And what greater Advantage can any Man then expect , unless it be to lay it out upon Trade ? If so , it will rather promote Trade , than obstruct or hinder it ; and therefore it is used by Sir Tho . Culpeper , and others that have wrote on that Subject , for an Argument for the Lowering of Interest , because it will promote and increase Trade : As it is evident in those Countries , viz. in Holland and Italy , where Money is at 3 per Cent . Trade flourishes , but in Spain , and other places where the Interest of Money is at 10 and 12 per Cent . the People are poor , and have but little Trade .

His second Argument is , That the reducing of Interest to 4 per Cent . will sink the real Value of the Principle one Third ; So that every Man whose Estate is in Money , would , by such a Law , loose a Third part of it , which he believes to be as great a Hardship , as to take away a Third part of every Man's Land of Inheritance : But this is a great Mistake ; for the Lowering of the Interest a Third , will not lessen the Value of the Principal ; for a 100 l. will buy as much Goods ( and of some sort more ) after such a Law is made , as it will now ; It will buy as much Corn , Wool , Cloth , and all things else , except Land : It is true , a 100 l. will not buy so much Land by one Third , as it did before ; for 5 l. a Year in Land of Inheritance being now worth 100 l. will then be worth 150 l. and there is the greatest Reason and Justice that it should be so ; for then the Exchange will be even betwixt Land , Money , or Goods ; for why should any Man give 6 per Cent . for Money or Goods , when the Land will bring in but Four ? Why should a Gentleman pay 2 per Cent . more for all the Goods he buyes of the Merchant , to wit , for Cloth , Silks , Linnen , &c. more than the Merchant gives for his Wool and Corn ; for the Money that Gentlemen pay Interest for , is laid out to pay for Goods they use ; so that Money is but the Rent of wrought Stock , as Corn and Wool is the Rent of the Land . And it is much to be wondered at , that since the Nobility and Gentery , having the greatest share in the Legislative-Power , should not have given themselves the leisure , before this time , to have reflected upon this great Odds in the Exchange , and have made a Law to regulate the Balance . It would have prevented many large Farms and noble Mannors to have been devoured by Taylors , Mercers , and other Traders .

His third Argument is , That if Interest be reduced , it will be a Prejudice to Widowes , Orphans , and others , whose whole Estates are in Money ; for that the Interest of their Portion or Moneys will not be sufficient to maintain them ; those that have Threescore Pounds a Year for a Thousand Pounds , will then have but Forty : This is the only Objection of moment that ever I have heard of against this Law ; yet if it be consider'd , it hath not that Force nor Pitty in it as it seems at first sight to have ; first they are few in number in respect of the whole Nation ; next , as to the Orphans , their Portions in Money will be of the same Esteem , and of the same Value to buy every thing , except Lands , and they were never given them with that intent ; for then their Parents might as well have given them Lands : So that it is only the Income of the Portions that is lessened , and that is but for a short time , till the young Men set up their Trades , or till the Maidens or Widowes marry ; and if in the interim they spend Ten Pounds a Year less , the first may perhaps make better Tradesmen or Merchants , and the latter make better Wives ; Thrift and good Housewifery will do neither of them harm .

But this will not be the Case neither , for the Lowering of Interest does chiefly fall upon Foreign Stock or Wares , and the Merchant may afford to sell his Goods Two per Cent . cheaper , and will get as much by them as he did when Money was at Six per Cent . and Three parts in Four of every Gentleman's Expence is in Foreign Wares , either in Wine , Spices , Silks , Linnen , and other Manufactures ; in such Goods there will be Two per Cent . saved in the Price ; so that they may then maintain themselves almost as well with Forty Pounds a Year , as they do now with Threescore .

Fourthly , If Interest be reduced to Four per Cent . a greater part of the Inheritance of Gentlemens Estates that have Daughters , will be lessen'd and more incumbred ; Because , he supposing the the Value of the Principal Money being sunk , they must give greater Portions : But this is grounded upon a Mistake which is before answered ; for a Thousand Pounds will be as much valued by a Trader as it is now , and every Gentleman will be better able to provide Portions for his younger Children , because his Land will yield a Third part more in value ; so that the Gentleman's Estate in Lands of Inheritance will be less incumbred than before .

Fifthly , If Interest be reduced to Four per Cent . it will make Money scarce , as he believes , and be only advantageous to Scriveners , who will have more for Procuration and Continuation . If this should happen , though there is no reason for it , yet the Borrower may afford to give more to the Scrivener ; when he pays less to the Userer . But why any Man should believe Money should be scarce , when such a Law doth not lessen the Money , though it does the Interest . But the contrary is most true , the Lowering of Interest will make Money more plentiful ; for a low Interest increaseth Trade , and Trade increaseth Money ; for Bullion is a Foreign Commodity , and brought in by Trade .

The last Argument is , That the Lowering of Interest will not raise the Rent of the Land ; and although , as he confesseth , it will raise the Value of Land in Sale , yet the Value of Money being thereby lessened , as he conceives , there will be a necessity of greater Portions for younger Children ; so that the Gentry will have no advantage by such a Law . This is a greater Mistake than all the rest ; for the Rent of the Land will be raised as well as the Price ; for the Interest of the Stock must be reckoned to make up the Rent of the Land . So that the takeing of Two per Cent . from the Stock , being added to the Rent of the Land , so much is the Rent of the Land raised . A Farm that is now worth Fifty Pounds per Annum , and requires Three Hundred Pounds Stock , will be worth Fifty Six Pounds per Annum , when Interest is reduced to Four per Cent . there being Six Pounds a Year taken from the Stock and added to the Rent .

To conclude , No Law can be of greater Advantage to the Nation , than the Law that will reduce Interest from Six to Four per Cent . It will produce the most general Good with the least private Disadvantage ; and it being so early proposed this Session in the Honorable the House of Commons , and so often taken notice of in the Printed Votes , it was believed by most without Doors , that it was designed by the Wisdom of this present Parliament , as a Law to make some recompence for those great Taxes and heavy Impositions which the necessity of the publick Affairs require them to lay on the People . And since the Advantages of this Law hath been all over the Nation generally debated , there seems no Law , by the general Suffrage of the People , that will be more welcome , or that can make them a more general Satisfaction for such great Taxes .