VALUES IN INTERNATIONAL TRADE 211

This result is realised in two ways. In part some
possibilities of production are not developed at all, which
might need to be utilised if the supply of imported goods
ceased. They are not developed, as just stated, because
they offer less chance of profit than, under the prevailing
conditions, is regarded as satisfactory, which generally means
that a better return is looked for by some different use of
available labour, capital, etc. In part the same result is
attained, not by entirely neglecting some of the country’s
possibilities, but by only making such use of them as is
possible without incurring a reduction of net return below
that obtainable in other lines of production. Where diminishing
 returns are found, the margin of cultivation need not
Ye pushed low down if the supply of the commodity can be
sbtained on sufficiently favourable terms by importation.
Since the exporting industries are, in the degree in which
they are producing for export, absorbing more of the
productive resources of the community than if they supplied
‘he home market alone, and the imported goods render
unnecessary the use of such of the community’s powers of
production as might have been devoted to securing these
goods, or some of them, had they not been procured by
importation, we can see how the existence of foreign trade
gives employment to one part of the national resources at
the same time as it renders the employment of another part
of the nation’s resources unnecessary or unprofitable. It is
only reasonable to suppose that those who have had the
determination of the lines of development of industry have
selected those which seemed likely to offer them the greatest
advantage. The advantage could only accrue to them
through the satisfaction of relatively important needs at
relatively small expense. Thus the general tendency, to
smploy the resources of the community to the greatest
advantage to the community which the existing circumstances
permit, is established. We shall have occasion later to
consider some of the important questions relating to this
matter, and it will be sufficient to note here that the distriution
 of the productive energies of the community which is
ance established alters comparatively slowly, even in the face