145 
Table I. illustrates the tendency of trade 
to fall in one part of the world, and simul 
taneously to rise in another part of the world. 
In three years Europe’s exports fell and in 
the same years the exports of the Rest of the 
World rose. In two years the process was 
reversed. In one year Europe’s exports rose 
and the other exports did not move. And in 
the other eight years Europe’s exports fell or 
rose disproportionately to the simultaneous rise 
or fall in the exports of the Rest of the World. 
Observe that there was only one instance 
(1893 to 1894) when a fall in Europe’s exports 
was accompanied by a fall in the exports of 
the Rest of the World, and note that the latter 
fall was trivial. 
Here we have repeated instances of what 
I may call compensating trade fluctuations, 
despite the general rising tendency (which we 
expect) both in Europe’s exports and in the 
exports of the Rest of the World. The first 
instance of this compensating trade movement 
occurs in the first year of the table, when 
Europe’s exports fell by £20,000,000 and the 
exports of the Rest of the World rose by 
£19,000,000. 
It is, of course, not to be expected that 
there should occur an exact degree of com 
pensating trade fluctuation over the vast areas 
L 2