and our export trades, is covered by the proceeds of the shipping,
of which we have spoken above. Until the end of the
eighties it may be estimated that in most years this difference
has been covered, a few years having even given a surplus,
while during the last ten years, the proceeds from the shipping
were not sufficient to cover the difference between the imports
and exports. But here it should be noted ' that the importation
of means of production and raw materials has increased to a
much" greater extent than the importation of articles of consumption.
The imports of the first kind have gone -up, during the last ten
years (from 1888 to 1898); from kr. 50,000,000 to kr. 117,000,000,
those of the latter kind from kr. 108,000,000 to kr. 163,000,000.
The imports for productive purposes from 1866 to 1870 represented
28 °/o, from 1871 to 1875 32 %, from 1876 to 1880 only 26%,
in 1888 32 %, and in 1898 42 % of the total imports. This
development is'chiefly owing to the growth of Norwegian industry.
Imports of articles of consumption amount now, as they did in the
seventies, to about the same quantity as the exports. In this connection
it should, however, be kept in mind that the said productive
import to a certain extent is also indirectly consumed through the
domestic consumption of industrial products. The consumption of
articles intended for enjoyment and luxuries has also increased
quite considerably. Much foreign capital has been invested of late
in industrial enterprises and in Norwegian government and imnnci-
pal bonds, and the banks have also drawn considerable foreign
capital into the country.
The great advance made by Norwegian commerce and shipping
during the last generation is, of course, closely , connected with the
extraordinary development of the world’s commerce, and international
intercourse during the same period. The mercantile marine
of the world, as regards its effective, carrying power, is now about
five times as large as it was in 1850, and the, total value of commercial
transactions two and a half times as great as it was from
about 1860 to 1865. From what-has been stated before, it appears
that the commerce and shipping of Norway, taken on the whole,
has not only been able to keep pace with this rapid development
of the world, but has even made a relatively more marked progress.
Our commerce is now more than three times as large as it was
in the first half of the sixties, and our effective tonnage is nine
times as large as it was in 1850, although even at that time it
was comparatively important. Our share of the whole world’s
mercantile marine was at that time about 2.7 per cent, in 1879 it
had increased to 5.7 per cent, but after that period it was for
some time relatively reduced, because, as mentioned above, we had
not yet commenced to acquire steamships to any large extent.
Since 1886 we have, in that respect, kept up better with the
development, so that our mercantile marine has maintained itself
at about 5% of the total fleet , of . the world.
Among special causes: of the advancement, noticeable, as far as
Norway is concerned, during the last two generations, we may
particularly mention the repeal of the British Navigation Act, dating
from 1850, by which our vessels were allowed free carrying trade
between British and other foreign ports, and the- liberal customs
policy of Great Britain and Ireland; which has once more made
these countries the chief customer for our .export, while an extreme
protectionist policy during the greater part of the first half
of the century had considerably reduced our previously flourishing
trade with Great Britain. The especially favourable conditions
of the market during the years 1850—56 also gave a great impulse
to our commerce and shipping, and something similar can
be1 said of the commencement of the seventies. Here should also
be mentioned, last but not least, the reputation which the Norwegian
seamen have, earned fpr ability and honesty, inspiring all
commercial nations with the confidence that their goods are carefully
and conscientiously treated in our vessels. Norwegian seamen
are also very much sought after to man foreign vessels, and
now, as in previous times, our seamen bring honour to the Norwegian
flag.
The development of our commerce and shipping has not
progressed evenly from one year to another, but has been rather
fluctuating. Thus the years 1857 and 1858, especially the latter,
show a decrease, the reason whereof must chiefly be sought in
the great European and American commercial crisis which occurred
in 1857: This crisis, however, had rather a favourable than an
unfavourable influence on Norwegian trade, because the result of
it was that the Norwegian commercial life which had previously
been largely dependent on foreign banking-houses, now grew more
independent. This greater independence of our commercial life
was also partly brought about by the development of our private
banking-institutions, our wholesale commerce and our shipping.