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to out of regard to her own interests; adopts similarly restrictive



measures; and if we consider that France is not merely an



agricultural; but also a manufacturing State。 Germany will; namely;



not merely impose higher duties on French wines; but on all those



French products which Germany either produces herself; or can more



or less do without; or procure elsewhere; she will further restrict



the importation of those manufactured goods which she cannot at



present produce with special benefit; but which she can procure



from other places than from France。 The disadvantage which France



has brought upon herself by those restrictions; thus appears twice



or three times greater than the advantage。 It is evident that in



France only so many persons can be employed in the cultivation of



the vine; in the cultivation of olives; and in manufacturing



industry; as the means of subsistence; and raw materials which



France either produces herself or procures from abroad; are able to



support and employ。 But we have seen that the restriction of



importation has not increased the agricultural production; but has



merely transferred it from one district to another。 If free course



had been permitted to the interchange of products; the importation



of products and raw materials; and consequently the sale of wine;



oil; and manufactured goods; would have continually increased; and



consequently the number of persons employed in the cultivation of



the vine and olives; and in manufactures; while with the increasing



traffic; on the one hand; the means of subsistence and raw



materials; and; on the other hand; the demand for her manufactured



products; would have augmented。 The augmentation of this population



would have produced a larger demand for those provisions and raw



materials which cannot easily be imported from abroad; and for



which the native agriculture possesses a natural monopoly; the



native agriculture therefore would thus have obtained a far greater



profit。 The demand for those agricultural products for which the



character of the French soil is specially adapted; would be much



more considerable under this free interchange than that produced



artificially by restriction。 One agriculturist would not have lost



what another gained; the whole agriculture of the country would



have gained; but still more the manufacturing industry。 Through



restriction; the agricultural power of the country therefore is not



increased; but limited; and besides this; that manufacturing power



is annihilated which would have grown up from the augmentation of



the internal agriculture; as well as from the foreign importation



of provisions and raw materials。 All that has been attained through



the restriction is an increase of prices in favour of the



agriculturists of one district at the expense of the agriculturists



of another district; but above all; at the expense of the total



productive force of the country。



    The disadvantages of such restrictions on the interchange of



products are still more clearly brought to light in the case of



England than in that of France。 Through the corn laws; on doubt; a



quantity of unfertile land is brought under cultivation; but it is



a question whether these lands would not have been brought under



cultivation without them。 The more wool; timber; cattle; and corn



that England would have imported; the more manufactured goods would



she have sold; the greater number of workmen would have been



enabled to live in England; the higher would the prosperity of the



working classes have risen。 England would probably have doubled the



number of her workmen。 Every single workman would have lived



better; would have been better able to cultivate a garden for his



pleasure and for the production of useful vegetables; and would



have supported himself and his family much better。 It is evident



that such a large augmentation of the working population; as well



as of its prosperity and of the amount of what it consumed; would



have produced an enormous demand for those products for which the



island possesses a natural monopoly; and it is more than probable



that thereby double and three times as much land could have been



brought into cultivation than by unnatural restrictions。 The proof



of this may be seen in the vicinity of every large town。 However



large the mass of products may be which is brought into this town



from distant districts for miles around it; one cannot discover a



single tract of land uncultivated; however much that land may have



been neglected by nature。 If you forbid the importation into such



a town of corn from distant districts; you thereby merely effect a



diminution of its population; of its manufacturing industry; and



its prosperity; and compel the farmer who lives near the town to



devote himself to less profitable culture。



    It will be perceived that thus far we are quite in accord with



the prevailing theory。 With regard to the interchange of raw



products; the school is perfectly correct in supposing that the



most extensive liberty of commerce is; under all circumstances;



most advantageous to the individual as well as to the entire State。



One can; indeed; augment this production by restrictions; but the



advantage obtained thereby is merely apparent。 We only thereby



divert; as the school says; capital and labour into another and



less useful channel。 But the manufacturing productive power; on the



contrary; is governed by other laws; which have; unfortunately;



entirely escaped the observation of the school。



    If restriction on the importation of raw products hinder (as we



have seen) the utilisation of the natural resources and powers of



a State; restrictions on the importation of manufactured goods; on



the contrary; call into life and activity (in the case of a



populous country already far advanced in agriculture and



civilisation) a mass of natural powers; indeed; without doubt; the



greater half of all natural powers; which in the merely



agricultural State lie idle and dead for ever。 If; on the one hand;



restrictions on the importation of raw products are a hindrance to



the development not only of the manufacturing; but also of the



agricultural productive; powers of a State; on the other hand; an



internal manufacturing productive power produced by restrictions on



the importation of foreign manufactures; stimulates the whole



agricultural productive powers of a State to a degree which the



most flourishing foreign trade is never able to do。 If the



importation of raw products makes the foreign country dependent on



us and takes from it the means of manufacturing for itself; so in



like manner; by the importation of foreign manufactures; are we



rendered dependent on the foreign country; and the means are taken



from us of manufacturing for ourselves。 If the importation of



products and raw materials withdraws from the foreign country the



material for the employment and support of its population and



diverts it to our nation; so does the importation of manufactured



fabrics take from us the opportunity of increasing our own



population and of providing it with employment。 If the importation



of natural products and raw materials increases the influence of



our nation on the affairs of the world and gives us the means of



carrying on commerce with all other nations and countries; so by



the importation of manufactured fabrics are we chained to the most



advanced manufacturing nation; which can rule over us almost as it



pleases; as England rules over Portugal。 In short; history and



statistics alike prove the correctness of the dictum expressed by



the ministers of George I: that nations are richer and more



powerful the more they export manufactured goods; and import the



means of subsistence and raw materials。 In fact; it may be proved



that entire nations have been ruined merely because they have



exported only means of subsistence and raw materials; and have



imported only manufactured goods。 Montesquieu;(1*) who understood



better than anyone either before or after him how to learn from



History the lessons which she imparts to the legislator and



politician; has well perceived this; although it was impossible for



him in his times; when political economy was as yet but little



studied; clearly to unfold the causes of it。 In contradiction to



the groundless system of the physiocratic school; he maintained



that Poland would be more prosperous if she gave up altogether



foreign commerce; i。e。 if she established a manufacturing power of



her own; and worked up and consumed her own raw materials and means



of subsistence。 Only by the development of an internal



manufacturing power; by free; populous; and industrious cities;



could Poland obtain a strong internal organisation; national



industry; liberty; and wealth; only thus could she maintain her



independence and political superiority over less cultivated



neighbours。 Instead of foreign manufactured goods she should have



introduced (as England did at one time; when she was on the same



footing as regards culture with Poland) foreign manufacturers and



foreign manufacturing capital。 Her aristocracy; however; preferred



to export the paltry fruits of serf labour to foreign markets; and



to obtain in return the cheap and fine goods made by foreign



countries。 Their successors now may answer the question: whether it



is advisable for a nation to buy the fabrics of a 

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