“These territories were altogether too great for efficient oversight; that of Mexico stretching from California in the north to Venezuela in the south, and including not only the West Indies, but the far removed Philippines, while that of Lima embraced the whole of South America both east and west of the Andes. The great territories included in the present Republics of Argentina, Uruguay and Paraguay were looked upon as of little value, as they contained neither gold nor silver; and as every attempt made to settle them only seemed to end in failure, little attention was given to their affairs. They became, indeed, a distinct source of loss to Spain, as they were found useful for purposes of contraband trade; and eventually the gold and silver, which could not be safely smuggled through the ordinary ports of shipment, were conveyed across the Andes and down the rivers to places of embarkation on the Amazon or Rio do la Plata, where foreign ships awaited the spoil and were ready to barter the coveted produce and manufactures of Europe in exchange. When these two viceroyalties were eventually subdivided, it was not into east and west, but north and south, and New Granada became the center of one; while the territories now included in the United States were separated from Mexico, and constituted the other. “In Spain everybody, from the king in his palace to the peasant in his hut, regarded the colonies simply as a source of revenue and profit to himself, and when they ceased to be this, they would be useless. The most stringent regulations were adopted, therefore, against trading or even communicating among themselves, or of engaging in any industry, manufacturing or agricultural, which was not indigenous to the country; indeed, Spain insisted upon supplying everything it could grow or make which would stand the sea voyage, at its own price. The cultivation of neither the olive nor the vine was permitted in the New World, and severe penalties were inflicted upon any one who had the temerity to disobey. Peru and Chili, however, were specially exempted, owing to their immense distance, and the damaged condition in which liquids generally arrived there, but they were not allowed to export the produce to any neighboring country, and must consume it themselves. The duties of the colonists were, in fact, strictly limited to obtaining as much gold and silver as they could, while the Spaniards at home were to take care that they retained as little of it as possible. For all that, many fortunes were realized, principally by bullion being smuggled out of the country; and had there not been some such inducement, few men would have cared to expatriate themselves, and live amid such uncomfortable surroundings.