If taxes could be laid by Congress upon exports and imports, and upon the consumption of articles of luxury, convenience, and necessity, as they are in Europe, America would be able to raise more every year in taxes than she has ever spent in one year. Nay, we might oblige foreigners to pay all the expenses of the war, and establish a credit much more solid than that of Great Britain, because we have not such a debt to begin with. But without recurring to this system, which might injure our commerce as well as our liberties, it is unquestionably owing entirely to regulations of prices, embargoes, and stamping an arbitrary value upon what had no value, that has hitherto ruined our credit. But when all these systems shall be totally abolished in the several States, and measures shall be taken to lay annual taxes of a certain value, and these taxes mortgaged for the payment of interest, there is not a doubt but every State may obtain credit enough for the necessities of its own inhabitants.
I have the honor to be, &c.
JOHN ADAMS.
TO THE DUC DE LA VAUGUYON.
Leyden, April 16th, 1781.
Sir,
I have the honor to acquaint your Excellency, that I have received from Congress full powers and instructions to treat with the States-General, and to conclude a treaty of amity and commerce consistent with the relations already formed between the United States and France; and that I have also received a letter of credence, as a Minister Plenipotentiary to their High Mightinesses, and another to His Most Serene Highness the Prince of Orange.
With the greatest respect, &c.
JOHN ADAMS.