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consumption　of　colonial　produce　thus　considerably；　is　indicated　by



the　increase　of　consumption　in　England　for　the　last　fifty　years；　in



reference　to　which　it　must　further　be　borne　in　mind；　that　that



increase　would　probably　have　become　very　much　greater　still　were　it



not　for　the　excessive　taxes　on　consumption。



　　　　Of　the　possibility　of　augmenting　the　productions　of　the　torrid



zone；　Holland　in　Sumatra　and　Java；　and　England　in　the　East　Indies；



have　given　us　during　the　last　five　years　irrefragable　proofs。



England　has　quadrupled　her　importation　of　sugar　from　the　East



Indies　from　1835　to　1839；　her　importation　of　coffee　has　increased



even　in　a　still　larger　proportion；　while　the　importation　of　East



India　cotton　is　also　greatly　increasing。　In　one　word；　the　latest



English　papers　（February；　1840）　announced　with　great　rejoicing　that



the　capability　of　the　East　Indies　for　the　production　of　these



articles　is　unlimited；　and　that　the　time　is　not　far　distant　when



England　will　make　herself　independent　of　the　importation　of　these



articles　from　America　and　the　West　Indies。　Holland　on　her　part　is



already　embarrassed　for　means　of　sale　of　her　colonial　products；　and



seeks　actively　for　new　markets。　Let　us　further　remember　that　North



America　continues　to　augment　her　cotton　production　　that　in　Texas



a　State　has　risen　up　which　without　doubt　will　become　possessed　of



the　whole　of　Mexico；　and　will　make　out　of　that　fertile　country　a



territory　such　as　the　Southern　States　of　the　North　American　Union



now　are。　We　may　well　imagine　that　order　and　law；　industry　and



intelligence；　will　extend　themselves　gradually　over　the　South



American　States　from　Panama　to　Cape　Horn；　then　over　the　whole　of



Africa　and　Asia；　and　augment　everywhere　production　and　a　surplus　of



products；　and　we　may　then　comprehend　without　difficulty　that　here



there　is　room　enough　for　more　than　one　nation　for　the　sale　of



manufactured　goods。



　　　　By　calculating　the　area　of　the　land　which　has　up　to　this　time



been　actually　used　for　the　production　of　colonial　produce；　and



comparing　it　with　the　entire　area　which　is　fitted　By　nature　for



such　production；　we　shall　find　that　at　present　scarcely　the



fiftieth　part　of　the　land　fitted　for　this　production　is　actually



used。



　　　　How；　then；　could　England　be　able　to　monopolise　the



manufacturing　markets　of　all　countries　which　yield　colonial



produce；　if　she　is　able　to　supply　her　own　entire　requirements　of



such　produce　by　means　of　importation　from　the　East　Indies　alone？



How　can　England　indulge　the　hope　of　selling　manufactured　goods　to



countries　whose　colonial　products　she　cannot　take　in　exchange？　Or



how　can　a　great　demand　for　colonial　produce　spring　up　in　the



continent　of　Europe；　if　the　Continent　is　not　enabled　by　its



manufacturing　production　to　pay　for；　and　thus　to　consume；　these



goods？



　　　　It　is　therefore　evident；　that　keeping　down　the　manufacturing



industry　of　the　Continent；　though　it　certainly　hinders　the　progress



of　the　Continental　nations；　does　not　in　the　least　further　the



prosperity　of　England。



　　　　It　is　further　clear；　that；　at　present；　as　well　as　for　some　long



time　to　come；　the　countries　of　the　torrid　zone　will　offer　to　all



nations　which　are　fitted　for　manufacturing　production　abundant



materials　for　exchange。



　　　　Lastly；　it　is　evident　that　a　world…manufacturing　monopoly　such



as　is　at　present　established　by　the　free　competition　of　English



manufactured　goods　on　the　European　and　American　continents　is　not



in　the　least　more　conducive　to　the　welfare　of　the　human　race　than



the　system　of　protection；　which　aims　at　developing　the



manufacturing　power　of　the　whole　temperate　zone；　for　the　benefit　of



the　agriculture　of　the　whole　torrid　zone。



　　　　The　advance　which　England　has　made　in　manufactures；　navigation；



and　commerce；　need　therefore　not　discourage　any　other　nation　which



is　fitted　for　manufacturing　production；　by　the　possession　of



suitable　territory；　of　national　power　and　intelligence；　from



entering　into　the　lists　with　England's　manufacturing　supremacy。　A



future　is　approaching　for　manufactures；　commerce；　and　navigation



which　will　surpass　the　present　as　much　as　the　present　surpasses　the



past。　Let　us　only　have　the　courage　to　believe　in　a　great　national



future；　and　in　that　belief　to　march　onward。　But　above　all　things　we



must　have　enough　national　spirit　at　once　to　plant　and　protect　the



tree；　which　will　yield　its　first　richest　fruits　only　to　future



generations。　We　must　first　gain　possession　of　the　home　market　of



our　own　nation；　at　least　as　respects　articles　of　general　necessity；



and　try　to　procure　the　products　of　tropical　countries　direct　from



those　countries　which　allow　us　to　pay　for　them　with　our　own



manufactured　goods。　This　is　especially　the　task　which　the　German



commercial　union　has　to　solve；　if　the　German　nation　is　not　to



remain　far　behind　the　French　and　North　Americans；　nay；　far　behind



even　the　Russians。







NOTES：











1。　Vide　Wealth　of　Nations；　Book　IV。　chap。　ii。　（TR。）







Chapter　16







Popular　and　State　Financial　Administration；　Political　and　National



Economy







　　　　That　which　has　reference　to　the　raising；　the　expending；　and　the



administration　of　the　material　means　of　government　of　a　community



（the　financial　economy　of　the　State）；　must　necessarily　be



distinguished　everywhere　from　those　institutions；　regulations；



laws；　and　conditions　on　which　the　economy　of　the　individual



subjects　of　a　State　is　dependent；　and　by　which　it　is　regulated；



i。e。　from　the　economy　of　the　people。　The　necessity　for　this



distinction　is　apparent　in　reference　to　all　political　communities；



whether　these　comprise　a　whole　nation　or　merely　fractions　of　a



nation；　and　whether　they　are　small　or　large。



　　　　In　a　confederated　State；　the　financial　economy　of　the　State　is



again　divided　into　the　financial　economy　of　the　separate　states　and



the　financial　economy　of　the　entire　union。



　　　　The　economy　of　the　people　becomes　identical　with　national



economy　where　the　State　or　the　confederated　State　embraces　a　whole



nation　fitted　for　independence　by　the　number　of　its　population；　the



extent　of　its　territory；　by　its　political　institutions；



civilisation；　wealth；　and　power；　and　thus　fitted　for　stability　and



political　influence。　The　economy　of　the　people　and　national　economy



are；　under　these　circumstances；　one　and　the　same。　They　constitute



with　the　financial　economy　of　the　State　the　political　economy　of



the　nation。



　　　　But；　on　the　other　hand；　in　States　whose　population　and



territory　merely　consist　of　the　fraction　of　a　nation　or　of　a



national　territory；　which　neither　by　complete　and　direct　union；　nor



by　means　of　a　federal　union　with　other　fractions；　constitutes　a



whole；　we　can　only　take　into　consideration　an　'economy　of　the



people'　which　is　directly　opposed　to　'private　economy'　or　to



'financial　economy　of　the　State。'



　　　　In　such　an　imperfect　political　condition；　the　objects　and



requirements　of　a　great　nationality　cannot　be　taken　into



consideration；　especially　is　it　impossible　to　regulate　the　economy



of　the　people　with　reference　to　the　development　of　a　nation



complete　in　itself；　and　with　a　view　to　its　independence；



permanence；　and　power。　Here　politics　must　necessarily　remain



excluded　from　economy；　here　can　one　only　take　account　of　the



natural　laws　of　social　economy；　as　these　would　develop　and　shape



themselves　if　no　large　united　nationality　or　national　economy



existed　anywhere。



　　　　It　is　from　this　standpoint　that　that　science　has　been



cultivated　in　Germany　which　was　formerly　called　'State



administration；'　then　'national　economy；'　then　'political　economy；'



then　'popular　administration；'　without　anyone　having　clearly



apprehended　the　fundamental　error　of　these　systems。



　　　　The　true　conception　and　real　character　of　national　economy



could　not　be　recognised　because　no　economically　united　nation　was



in　existence；　and　because　for　the　distinct　and　definite　term



'nation'　men　had　everywhere　substituted　the　general　and　vague　term



'society'；　an　idea　which　is　as　applicable　to　entire　humanity；　or　to



a　small　country；　or　to　a　single　town；　as　to　the　nation。







Chapter　17







The　Manufacturing　Power　and　the　Personal；　Social；　and　Political



Productive　Powers　of　the　Nation







　　　　In　a　country　devoted　to　mere　raw　agriculture；　dullness　of　mind；



awkwardness　of　body；　obstinate　adherence　to　old　notions；　customs；



methods；　and　processes；　want　of　culture；　of　prosperity；　and　of



liberty　prevail。　The　spirit　of　striving　for　a　steady　increase　in



mental　and　bodily　acquirements；　of　emulation；　and　of　liberty；



characterise；　on　the　contrary；　a　State　devoted　to　manufactures　and



commerce。



　　　　The　cause　of　this　difference　lies　partly　in　the　different　kind



of　social　habits　and　of　education　which　respectively　characterise



these　two　classes　of　people；　partly　in　the　different　character　of



their　occupation　and　in　the　things　which　are　requisite　for　it。　The



agricultural　population　lives　dispersed　over　the　whole　surface　of



the　country；　and　also；　in　respect　to　mental　and　material



intercourse；　agriculturists　are　widely　separated　from　one　another。



One　agriculturist　does　almost　precisely　what　the　other　does；　the



one　produces；　as　a　rule；　what　the　other　produces。　The　surplus



produce　and　the　requirements　of　all　are　almost　alike；　everybody　is



himself　the　best　consumer　of　his　own　products；　here；　t