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24 chapters
INTRODUCTION.
INTRODUCTION.
Years ago I could not rid my mind of the notion that Free Trade meant some cunning policy of British statesmen designed to subject the world to British interests. Coming across Bastiat's inimitable Sophismes Economiques I learnt to my surprise that there were Frenchmen also who advocated Free Trade, and deplored the mischiefs of the Protective Policy. This made me examine the subject, and think a good deal upon it; and the result of this thought was the unalterable conviction I now hold—a conv
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PLENTY AND SCARCITY.
PLENTY AND SCARCITY.
Which is better for man and for society—abundance or scarcity? What! Can such a question be asked? Has it ever been pretended, is it possible to maintain, that scarcity is better than plenty? Yes: not only has it been maintained, but it is still maintained. Congress says so; many of the newspapers (now happily diminishing in number) say so; a large portion of the public say so; indeed, the scarcity theory is by far the more popular one of the two. Has not Congress passed laws which prohibit th
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OBSTACLES TO WEALTH AND CAUSES OF WEALTH.
OBSTACLES TO WEALTH AND CAUSES OF WEALTH.
Man is naturally in a state of entire destitution. Between this state, and the satisfying of his wants, there exist a number of obstacles which it is the object of labor to surmount. I wish to make a journey of some hundred miles. But between the point of my departure and my destination there are interposed mountains, rivers, swamps, forests, robbers; in a word— obstacles . To overcome these obstacles it is necessary that I should bestow much labor and great efforts in opposing them; or, what
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EFFORT—RESULT.
EFFORT—RESULT.
We have seen that between our wants and their gratification many obstacles are interposed. We conquer or weaken these by the employment of our faculties. It may be said, in general terms, that industry is an effort followed by a result. But by what do we measure our well-being? By our riches? By the result of our effort, or by the effort itself? There exists always a proportion between the effort employed and the result obtained. Does progress consist in the relative increase of the second or
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EQUALIZING OF THE FACILITIES OF PRODUCTION.
EQUALIZING OF THE FACILITIES OF PRODUCTION.
The protectionists often use the following argument: "It is our belief that protection should correspond to, should be the representation of, the difference which exists between the price of an article of home production and a similar article of foreign production. A protective duty calculated upon such a basis does nothing more than secure free competition; free competition can only exist where there is an equality in the facilities of production. In a horse-race the load which each horse car
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OUR PRODUCTIONS ARE OVERLOADED WITH INTERNAL TAXES——
OUR PRODUCTIONS ARE OVERLOADED WITH INTERNAL TAXES——
This is but a new wording of the Sophism before noticed. The demand made is, that the foreign article should be taxed, in order to neutralize the effects of the internal tax, which weighs down domestic produce. It is still then but the question of equalizing the facilities of production. We have but to say that the tax is an artificial obstacle, which has exactly the same effect as a natural obstacle, i.e. the increasing of the price. If this increase is so great that there is more loss in pro
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BALANCE OF TRADE.
BALANCE OF TRADE.
Our adversaries have adopted a system of tactics, which embarrasses us not a little. Do we prove our doctrine? They admit the truth of it in the most respectful manner. Do we attack their principles? They abandon them with the best possible grace. They only ask that our doctrine, which they acknowledge to be true, should be confined to books; and that their principles, which they allow to be false, should be established in practice. If we will give up to them the regulation of our tariffs, the
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A PETITION.
A PETITION.
Petition from the Manufacturers of Candles, Wax-Lights, Lamps, Chandeliers, Reflectors, Snuffers, Extinguishers; and from the Producers of Tallow, Oil, Resin, Petroleum, Kerosene, Alcohol, and generally of every thing used for lights. " To the Honorable the Senators and Representatives of the United States in Congress assembled . " Gentlemen :—You are in the right way: you reject abstract theories; abundance, cheapness, concerns you little. You are entirely occupied with the interest of the prod
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DISCRIMINATING DUTIES.
DISCRIMINATING DUTIES.
A poor laborer of Ohio had raised, with the greatest possible care and attention, a nursery of vines, from which, after much labor, he at last succeeded in producing a pipe of Catawba wine, and forgot, in the joy of his success, that each drop of this precious nectar had cost a drop of sweat to his brow. "I will sell it," said he to his wife, "and with the proceeds I will buy lace, which will serve you to make a present for our daughter." The honest countryman, arriving in the city of Cincinna
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A WONDERFUL DISCOVERY.
A WONDERFUL DISCOVERY.
At this moment, when all minds are occupied in endeavoring to discover the most economical means of transportation; when, to put these means into practice, we are levelling roads, improving rivers, perfecting steamboats, establishing railroads, and attempting various systems of traction, atmospheric, hydraulic, pneumatic, electric, &c.; at this moment, when, I believe, every one is seeking in sincerity and with ardor the solution of this problem—" To bring the price of things in their
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RECIPROCITY.
RECIPROCITY.
We have just seen that all which renders transportation difficult, acts in the same manner as protection; or, if the expression be preferred, that protection tends towards the same result as all obstacles to transportation. A tariff may be truly spoken of as a swamp, a rut, a steep hill; in a word, an obstacle , whose effect is to augment the difference between the price of consumption and that of production. It is equally incontestable that a swamp, a bog, &c., are veritable protectiv
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ABSOLUTE PRICES.
ABSOLUTE PRICES.
If we wish to judge between freedom of trade and protection, to calculate the probable effect of any political phenomenon, we should notice how far its influence tends to the production of abundance or scarcity , and not simply of cheapness or dearness of price. We must beware of trusting to absolute prices: it would lead to inextricable confusion. Mr. Protectionist, after having established the fact that protection raises prices, adds: "The augmentation of price increases the expenses of life
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DOES PROTECTION RAISE THE RATE OF WAGES?
DOES PROTECTION RAISE THE RATE OF WAGES?
When we hear our beardless scribblers, romancers, reformers, our perfumed magazine writers, stuffed with ices and champagne, as they carefully place in their portfolios the sentimental scissorings which fill the current literature of the day, or cause to be decorated with gilded ornaments their tirades against the egotism and the individualism of the age; when we hear them declaiming against social abuses, and groaning over deficient wages and needy families; when we see them raising their eye
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THEORY AND PRACTICE.
THEORY AND PRACTICE.
Defenders of free trade, we are accused of being mere theorists, of not giving sufficient weight to the practical. "What a fearful charge against you, free traders," say the protectionists, "is this long succession of distinguished statesmen, this imposing race of writers, who have all held opinions differing from yours!" This we do not deny. We answer, "It is said, in support of established errors, that 'there must be some foundation for ideas so generally adopted by all nations. Should not o
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CONFLICT OF PRINCIPLES.
CONFLICT OF PRINCIPLES.
There is one thing which confounds us, and it is this: Some sincere publicists, studying social economy from the point of view of producers only, have arrived at this double formula: "Governments ought to dispose of the consumers subject to the influence of their laws, in favor of national labor." "They should render distant consumers subject to their laws, in order to dispose of them in favor of national labor." The first of these formulas is termed protection ; the latter, expediency . Both
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RECIPROCITY AGAIN.
RECIPROCITY AGAIN.
The protectionists ask, "Are we sure that the foreigner will purchase as much from us, as he will sell to us? What reason have we to think that the English producer will come to us rather than to any other nation on the globe to look for the productions he may need; and for productions equivalent in value to his own exportations to this country?" We are surprised that men who call themselves peculiarly practical , reason independent of all practice. In practice, is there one exchange in a hund
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OBSTRUCTED RIVERS PLEAD FOR THE PROHIBITIONISTS.
OBSTRUCTED RIVERS PLEAD FOR THE PROHIBITIONISTS.
Some years ago, when the Spanish Cortes were discussing a treaty with Portugal on improving the course of the river Douro, a deputy rose and said, "If the Douro is turned into a canal, transportation will be made at a much lower price. Portuguese cereals will sell cheaper in Castile, and will make a formidable opposition to our national labor . I oppose the project unless the ministers engage to raise the tariff in such a way as to restore the equilibrium." The assembly found the argument unan
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A NEGATIVE RAILROAD.
A NEGATIVE RAILROAD.
We have said that when, unfortunately, we place ourselves at the point of view of the producer's interest, we cannot fail to clash with the general interest, because the producer, as such, demands only efforts , wants , and obstacles . When the Atlantic and Great Western Railway is finished, the question will arise, "Should connection be broken at Pittsburg?" This the Pittsburgers will answer affirmatively, for a multitude of reasons, but for this among others; the railroad from New York to St
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THERE ARE NO ABSOLUTE PRINCIPLES.
THERE ARE NO ABSOLUTE PRINCIPLES.
We cannot be too much astonished at the facility with which men resign themselves to be ignorant of what is most important for them to know, and we may feel sure that they have decided to go to sleep in their ignorance when they have brought themselves to proclaim this axiom: There are no absolute principles. Enter the Halls of Congress. The question under discussion is whether the law shall interdict or allow international exchanges. Mr. C****** rises and says: "If you tolerate these exchange
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NATIONAL INDEPENDENCE.
NATIONAL INDEPENDENCE.
Among the arguments which are considered of weight in favor of the restriction system, we must not forget that drawn from national independence. "What shall we do in case of war," say they, "if we have placed ourselves at the mercy of Great Britain for iron and coal?" English monopolists did not fail on their side to exclaim, when the corn-laws were repealed, "What will become of Great Britain in time of war if she depends on the United States for food?" One thing they fail to observe: it is t
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HUMAN LABOR—NATIONAL LABOR.
HUMAN LABOR—NATIONAL LABOR.
To break machines, to reject foreign merchandise—are two acts proceeding from the same doctrine. We see men who clap their hands when a great invention is made known to the world, who nevertheless adhere to the protective system. Such men are highly inconsistent. With what do they upbraid freedom of commerce? With getting foreigners more skilful or better situated than ourselves to produce articles, which, but for them, we should produce ourselves. In one word, they accuse us of damaging natio
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RAW MATERIAL.
RAW MATERIAL.
It is said that the most advantageous commerce consists in the exchange of manufactured goods for raw material, because this raw material is a spur to national labor . And then the conclusion is drawn, that the best custom-house regulation would be that which should give the utmost possible facility to the entry of raw material , and oppose the greatest obstacles to articles which have received their first manipulation by labor. No sophism of political economy is more widely spread than the fo
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METAPHORS.
METAPHORS.
Sometimes a sophism dilates itself, and penetrates through the whole extent of a long and heavy theory. More frequently it is compressed, contracted, becomes a principle, and is completely covered by a word. A good man once said: "God protect us from the devil and from metaphors!" In truth, it would be difficult to say which of the two creates the more evil upon our planet. It is the demon, say you; he alone, so long as we live, puts the spirit of spoliation in our hearts. Yes; but he does not
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CONCLUSION.
CONCLUSION.
All the sophisms we have hitherto combated are connected with one single question: the restrictive system; and, out of pity for the reader, we pass by acquired rights, untimeliness, misuse of the currency, etc., etc. But social economy is not confined to this narrow circle. Fourierism, Saint-Simonism, communism, mysticism, sentimentalism, false philanthropy, affected aspirations to equality and chimerical fraternity, questions relative to luxury, to salaries, to machines, to the pretended tyra
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