Page:Oregon Historical Quarterly volume 37.djvu/32

 ber of ships at Monterey as forty-two. Of these, ten were Mexican, twenty-four American, five British, and there were three others. Importations were $150,000; $70,000 American, $10,000 English, the remainder miscellaneous. Exportations were $280,000, representing hides valued at $210,000; tallow $55,000; and furs, skins, and wool $15,000. Of the furs, 2000 were beaver skins valued at $2 each, 3,000 elk and deer skins at soc to $1. There were exported 12,000 bushels of wheat, which went to the Russians.

Wilkes, in describing in detail the system of credit used by American hide buyers, says: “When hides are given in payment [for goods] they are valued at two dollars and are at all times the common currency of the country. No money is in circulation unless what is paid out by foreign merchants.”

The venture of the Hudson's Bay Company in the California trade was a failure; their long established system of cash or barter and no credit could not be departed from. The people of the country had no money. They had been accustomed to buy their goods from the Boston ships on credit, and to pay for them in hides and tallow when they could. With them they knew they could continue to traffic in this manner, so the Hudson's Bay Company's factor found no customers. Hittell notes: "The great capital of the Hudson's Bay Company gave them an advantage over individual competitors. Americans had paid on delivery, or in merchandise on which a great profit was made. Rae offered half cash and half merchandise, and to pay the merchandise in advance. But in 1842 Sir George Simpson condemned Rae's payment in advance and refused to approve the purchase of the house."

Rae complained to Alvarado in November, 1841: "Sutter is determined to oppose the government's permission to trap in California, relying on that permission the company has sent a party of hunters whose arrival is daily expected. Serious loss will result if their operations are interfered with. An order is