In other words, the businesses amenable to joint-stock enterprise are those where skilled management can be reduced to a minimum, and where the scale of the business or the possession of a natural monopoly limits or prohibits competition from outside. FOOTNOTES: [3] A. Smith, _Wealth of Nations_, Bk. iv., chap. i. [4] Macpherson, _Annals of Commerce_, vol. ii. p. 728. [5] Smith, _Memoirs_, vol. ii., chap. iii. As the approximate calculation of a very competent business man these figures are more reliable than the official figures of imports and exports, the value of which throughout the eighteenth century is seriously impaired by the fact that they continued to be estimated by the standard of values of 1694. [6] Whitworth's _State_ quoted, Macpherson, vol. iii. p. 283. [7] _Annals_, vol. iii. p. 340. [8] Cunningham, _History of English Industry_, vol. ii. p. 287, etc. [9] Smith, _Memoirs of Wool_, vol. ii. p. 113. [10] Chalmers, _Estimates_, p. 148. [11] Cf. Cunningham, _Growth of English Industry_, vol. ii. p. 292. [12] Smith, _Wealth of Nations_, Bk. iv., chap. viii. [13] _Ibid._ [14] _Growth of English Industry_, vol. ii. p. 303. [15] Macpherson, _Annals_, vol. iii. pp. 155, 156. [16] Chalmers, _Estimate_, p. 208. See, however, Baines, who gives a slightly smaller estimate, _History of the Cotton Manufacture_, p. 112. [17] Macpherson, _Annals_, vol. iii. p. 114. [18] _Ibid._, vol. iii. p. 73. [19] _Ibid._, vol. iii. p. 73. [20] Smith, _Memoirs of Wool_, vol. ii. pp. 19, 45. [21] Smith, _ibid._, vol. ii. p. 270; cf. also Cunningham, _Growth of English Industry_, vol. ii. p. 300. [22] Toynbee, _Industrial Revolution_, p. 50. [23] Schulze-Gaevernitz, _Der Grossbetrieb_, p. 77. [24] Defoe, _Tour_, vol. ii. p. 371. [25] _Ibid._, vol. ii. p. 370. [26] Chalmers, pp. 124, 125. [27] Defoe, _Tour_, vol. iii. p. 9, etc. [28] Smith, _Wealth of Nations_, vol. i., chap. x., part 2. [29] Defoe, _Tour_, vol. iii. p. 84. [30] Scrivener, _History of the Iron Trade._ [31] Defoe, _Tour_, vol. ii. p. 323. [32] Schulze-Gaevernitz, _Der Grossbetrieb_, p. 52. [33] Cf. Marshall, _Principles_, p. 328. In the case of Staffordshire, however, there existed an early trade in wooden platters dependent on quality of timber and traditional skill. When the arts of pottery came in, the new trade taken up in the same locality ousted the old, though there was no particular local advantage in materials. [34] Smith, _Wealth of Nations_, Book III., chap. iii. [35] Westmoreland coal did not compete in the Newcastle market,--_Wealth of Nations_, Book I., chap. xi. p. 2.