CONTENTS 
XV 
PAGES 
prices and money incomes, 129. Irregularity of capital exports, 
129. A country in the early states of borrowing has an excess of 
imports; in the later stages an excess of exports, 130. A precise 
balancing of the losses and gains arising out of the shifts from 
more to less favorable barter terms of trade is impossible, 131. 
Freight payments in the international balance sheet, 132. 
Freight payments affect the barter terms of trade in a manner 
similar to payment of tourists’ expenditures. Payment for 
freight services no more signify a loss to a country than payments 
for merchandise imports, 134. Circumstances under which the 
burden of shipping charges may be transferred to the exporting 
country, 135. The practise of valuing imports C. I. F. and 
exports F. O. B. leads to some statistical difficulties, 136. Illus- 
trations from the trade between Australia and Great Britain; 
between United States and Great Britain, 137. 
CHAPTER 13 
Duties oN IMPORTS AND THE BArTER TERMS OF TRADE . : 
Effects of a revenue tax on imports, 141; the barter terms of 
trade become more favorable to the country imposing the tax. A 
protective tax on imports exerts a similar influence, 144. The 
loss in other directions must be balanced against this gain from 
more favorable barter terms, 145. In any case the gain is certain 
only when other countries do not resort to similar duties, 147. 
The position of the United States with regard to these possibili- 
ties, 148. 
141-148 
PART 11 
PROBLEMS OF VERIFICATION 
CHAPTER 14 
INTRODUCTORY . 
151-160 
The abstract method of analysis useful only as a preliminary 
approach, 151. Some aspects of international trade patently in 
accord with theory, 152. Is there a tendency to world-wide 
equalization of prices and wages? 153. Persistence of wide differ- 
ences in prices and wages illustrated by Great Britain and India; 
by Great Britain and the Continent of Europe, 154. High or low 
money wages are not a factor in promoting or retarding inter- 
national trade, 155. Differences in wages and prices between 
Western Europe and the Orient, and their relation to the deduc- 
tions of theory, 156.