THE BALANCE OF TRADE 221

shipping agents and ships’ crews as are rendered in connection
 with the ships just dealt with. They are paid for
in the country where the earnings of those who render them
are spent, and mainly in the country where their home lies.
There are also earnings of merchants, diplomatic agents,
and others who render services in one country and draw
payment for them in another. In the same class may be
reckoned payments in the shape of deferred pay or pensions
received in one country for services rendered in another,
such as may be illustrated by the case of civil and military
officers who have served in India, and enjoy a pension paid,
by the Indian government, to them in England. Similar
to these cases, in a general way, is the case of personal
services rendered by hotel-keepers and servants, by guides,
stc., to tourists abroad, which are paid for mainly by funds
derived from the country where the tourist has his home.
Thus the American tourists in Europe spend a considerable
sum which, in its remittance, is chiefly represented by
exports of American merchandise, but for which there is
no recorded equivalent merchandise import into America.
The last of the six classes of obligations requiring
international payment includes such items as war indemnities,
tributes, and the like. The payment to Spain for resigning
her sovereignty over the Philippines, the annual tribute
paid to Turkey by Egypt, the subscriptions to Indian famine
funds, or to the fund for re-establishing Boer farmers who
lost all in the war, or subscriptions to Irish political funds
by American sympathisers, as well as gifts by emigrants to
those left at home, are all items represented on one side of
the account by the goods whose sale provides the money
which it is desired to pay, but not represented in the record
»f the contrary movement.
It will be noticed that the greater part of the items
leading to international indebtedness, beyond what is shown
in the merchandise movement, can be covered by the term
“services.” There is, in addition to the export of material
commodities, an export of services of capital, of ships as a
special form of capital, of men. Some countries export
these services, others import them. Their values are not