INTERNATIONAL TRADE 157 
the introduction of cost of carriage make no 
essential difference. The peculiar case of 
international trade, known as “ dumping,” 
has already been dealt with in Chapter IV. 
It remains to establish the latter half of our 
second fundamental principle, namely, the 
well-worn statement that exports pay for 
imports. The truth of this statement has 
been canvassed again and again, and at first 
experience would seem to lend support to the 
sceptical. When we examine the statistics 
of imports and exports of different countries 
we do not find a single case in which the two 
appear to balance. Further thought, never 
theless, will probably lead us to the view that 
the pronouncement that exports pay for 
imports, the correctness of which is implied in 
the reasoning above, is justified. 
Were it the case that in international 
trade no credit was given, that people in 
one country never made loans or gifts to 
people in another country, that nobody 
travelled abroad, and no ships coaled and 
refitted abroad ; and were it a fact that the 
intangible services performed by people in 
one country for people in another country 
were all entered in the statistics of imports 
and exports—in this event it is obvious 
that exact correspondence (apart from cost