If there were no trade with China, the citizens of these islands would be richer; for the natives, if they had not so many tostons, would pay their tributes in the articles which they produce, and which are current—­that is, cloths, lampotes, cotton, and gold, all of which have great value in Nueva Espana.  These they cease to produce because of the abundance of silver; and what is worse, and entails more loss upon your Majesty, is that they do not, as formerly, work the mines and take out gold.  If they did so, it would be of great importance to your Majesty and the whole country; and if this alone formed the merchandise sent to Nueva Espana from these islands, the gold and silver would remain here, and in the hands of the Spaniards themselves.

Carrying on commerce as they do, all the Spaniards are absorbed in it, to such a degree that there are not even enough to aid in the expeditions and military operations.  Thus they will not remember that they are soldiers, and living among so many enemies, and do not realize that they are carrying arms; nor do they work for what your Majesty claims of them, the conversion and pacification of the natives.  The Spaniards have become effeminate in spirit by their trading, and on various occasions have greatly lost their repute, for they are not as they used to be—­having given themselves over to vices, luxuries, fine clothes, eating, and drinking; consequently they have not had their wonted success on several of the expeditions, and have come back without accomplishing what they set out to do, and the friendly Indians are making war, and going out to fight.

If your Majesty would prohibit trading, except perhaps in the products of the islands, three hundred men would be of as much use here as a thousand are today; for they would realize that they must gain their livelihood by their arms, and not by traffic.  Otherwise they only await a chance to go hence as soon as possible, and so take no heed of the affairs of this country, and do not engage in stock-raising and agriculture, or in building, for each one does as suits him best; and therefore this country is not growing, but rather falling into appalling decay and weakness.

What with the hopes they all have of returning to Espana, they will not do otherwise than send their wealth back thither; and they have no mind for spending it in the country where they earned it, in building churches, monasteries, and chapels, and performing other pious works whereby this city would be improved—­which they would do if they knew that permission could not be given them to go back to Espana.

It would seem best for the present that your Majesty should not make exchanges or transfers of Indians with the encomenderos; for, if this is done, your Majesty must pay for it in other parts of the royal estate.  At the least he will lose a soldier, an important thing in this land, when it has cost your Majesty so much to bring him here.  On the other hand, they will always settle down, in order to have some one to succeed them in their encomiendas, and will marry; and their children will do the same, and become more and more naturalized in this land, which is so important for its welfare.