390.  If the author do not wish to print his work at his own risk, then he should make an agreement with a publisher for an edition of a limited number; but he should by no means sell the copyright.  If the work contains woodcuts or engravings, it would be judicious to make it part of the contract that they shall become the author’s property, with the view to their use in a subsequent edition of the works, if they should be required.  An agreement is frequently made by which the publisher advances the money and incurs all the risk on condition of his sharing the profits with the author.  The profits alluded to are, for the present work, the last item of section 382, or L306 4s.

391.  Having now explained all the arrangements in printing the present volume, let us return to section 382, and examine the distribution of the L915 paid by the public.  Of this sum L207 was the cost of the book, L40 was taxes, L3S2 was the charges of the bookseller in conveying it to the consumer, and L306 remained for authorship.

The largest portion, or L362 goes into the pockets of the booksellers; and as they do not advance capital, and incur very little risk, this certainly appears to be an unreasonable allowance.  The most extravagant part of the charge is the thirty-three per cent which is allowed as profit on retailing the book.

It is stated, however, that all retail booksellers allow to their customers a discount of ten per cent upon orders above 20s., and that consequently the nominal profit of forty-four or thirty-three per cent is very much reduced.  If this is the case, it may fairly be enquired, why the price of L2 for example, is printed upon the back of a book, when every bookseller is ready to sell it at L1 16s., and why those who are unacquainted with that circumstance should be made to pay more than others who are better informed?

392.  Several reasons have been alleged as justifying this high rate of profit.

First, it has been alleged that the purchasers of books take long credit.  This, probably, is often the case, and admitting it, no reasonable person can object to a proportionate increase of price.  But it is no less clear, that persons who do pay ready money, should not be charged the same price as those who defer their payments to a remote period.

Secondly, it has been urged that large profits are necessary to pay for the great expenses of bookselling establishments; that rents are high and taxes heavy; and that it would be impossible for the great booksellers to compete with the smaller ones, unless the retail profits were great.  In reply to this it may be observed that the booksellers are subject to no peculiar pressure which does not attach to all other retail trades.  It may also be remarked that large establishments always have advantages over smaller ones, in the economy arising from the division of labour; and it is scarcely to be presumed that booksellers are the only class who, in large concerns, neglect to avail themselves of them.