Although in the memorial there is a matter which demands so much attention as the depopulation of a town like Macan, and the difficulties are set forth arising from its occupation by the Dutch or English, and their admission [to trade] by the Chinese—­who, with their greediness, would seek the profit which they formerly gained from the Portuguese, thus destroying, at a single stroke, the commerce of this country with Nueva Spana, which is the means whereby all who reside here support themselves—­to do so would appear a matter of the most difficulty.  It would seem necessary and requisite for the [preservation of the] Japanese trade to transport some or the greater part of those people [of Macao] to the province of Nueva Segovia, or to the island of Hermosa, getting a foothold there whence we might better continue and carry on the navigation from China to that place and from there to Xapon, and not from here; for silks are already as high in this city as in Nangasaqui, on account of the danger from enemies which the Chinese risk in coming here.  It has appeared best to me not to make any hasty decision in this matter without informing myself more thoroughly and considering it, so that I may be better able to state my judgment to your Majesty by the first ships which shall be despatched, by the favor of God.  While my opinion is that, in the meantime, no more definite plan or decision should be adopted, there is no more effective remedy for limiting the drain from Nueva Spana through this country than to regulate the capacity and cargoes of the ships which go from here; because if they are large they are bound to be filled, even though it be with clothing and useful articles for households, and they must bring back the price of these things, cost what they may.  But if they are smaller vessels they cannot take on so large cargoes, and accordingly what is bought to be carried in them, as less has to be bought for this purpose, is cheaper, and, as not so much is carried, it brings a higher price in Nueva Spana; in this manner, therefore, the investment of ten is worth as much as that of twenty going in large ships, and it is rather profit than loss for the citizens here, and likewise for the service of your Majesty—­although the citizens of the city of Mexico who have correspondents and secret factors here will be affected by it, because they will not obtain so large a portion of the investment and the cheap cargo, as the people here will need all that the ships can carry.  This is all I can say regarding this at present.

As for what your Majesty writes me concerning the factor and inspector, Diego de Castro Lisson, in the matter of this office of accounts, in which relation your Majesty orders me to appoint to the office of accountant thereof someone who is a fit person, I will say that you may have information as to what the said Diego de Castro Lisson is, as he was already in your service when I arrived here.  I do not find him, but in his place Luis de Vera Encalada, a person who