Chapter X: Appendix (1)
We published an article entitled _Dearness-Cheapness_, which gained for us the two following letters. We publish them, with the answers:
"DEAR MR. EDITOR:--You upset all my ideas. I preached in favor of
free trade, and found it very convenient to put prominently forward
the idea of _cheapness_. I went everywhere, saying, "With free trade,
bread, meat, woolens, linen, iron and coal will fall in price." This
displeased those who sold, but delighted those who bought. Now, you
raise a doubt as to whether _cheapness_ is the result of free trade.
But if not, of what use is it? What will the people gain, if foreign
competition, which may interfere with them in their sales, does not
favor them in their purchases?"
MY DEAR FREE TRADER:--Allow us to say that you have but half read the article which provoked your letter. We said that free trade acted precisely like roads, canals and railways, like everything which facilitates communications, and like everything which destroys obstacles. Its first tendency is to increase the quantity of the article which is relieved from duties, and consequently to lower its price. But by increasing, at the same time, the quantity of all the things for which this article is exchanged, it increases the _demand_, and consequently the price rises. You ask us what the people will gain. Suppose they have a balance with certain scales, in each one of which they have for their use a certain quantity of the articles which you have enumerated. If a little grain is put in one scale it will gradually sink, but if an equal quantity of cloth, iron and coal is added in the others, the equilibrium will be maintained. Looking at the beam above, there will be no change. Looking at the people, we shall see them better fed, clothed and warmed.
"DEAR MR. EDITOR:--I am a cloth manufacturer, and a protectionist. I
confess that your article on _dearness_ and _cheapness_ has led me to
reflect. It has something specious about it, and if well proven,
would work my conversion."
MY DEAR PROTECTIONIST:--We say that the end and aim of your restrictive measures is a wrongful one--_artificial dearness_. But we do not say that they always realize the hopes of those who initiate them. It is certain that they inflict on the consumer all the evils of dearness. It is not certain that the producer gets the profit. Why? Because if they diminish the supply they also diminish the _demand_.
This proves that in the economical arrangement of this world there is a moral force, a _vis medicatrix_, which in the long run causes inordinate ambition to become the prey of a delusion.
Pray, notice, sir, that one of the elements of the prosperity of each special branch of industry is the general prosperity. The rent of a house is not merely in proportion to what it has cost, but also to the number and means of the tenants. Do two houses which are precisely alike necessarily rent for the same sum? Certainly not, if one is in Paris and the other in Lower Brittany. Let us never speak of a price without regarding the _conditions_, and let us understand that there is nothing more futile than to try to build the prosperity of the parts on the ruin of the whole. This is the attempt of the restrictive system.
Competition always has been, and always will be, disagreeable to those who are affected by it. Thus we see that in all times and in all places men try to get rid of it. We know, and you too, perhaps, a municipal council where the resident merchants make a furious war on the foreign ones. Their projectiles are import duties, fines, etc., etc.
Now, just think what would have become of Paris, for instance, if this war had been carried on there with success.
Suppose that the first shoemaker who settled there had succeeded in keeping out all others, and that the first tailor, the first mason, the first printer, the first watchmaker, the first hair-dresser, the first physician, the first baker, had been equally fortunate. Paris would still be a village, with twelve or fifteen hundred inhabitants. But it was not thus. Each one, except those whom you still keep away, came to make money in this market, and that is precisely what has built it up. It has been a long series of collisions for the enemies of competition, and from one collision after another, Paris has become a city of a million inhabitants. The general prosperity has gained by this, doubtless, but have the shoemakers and tailors, individually, lost anything by it? For you, this is the question. As competitors came, you said: The price of boots will fail. Has it been so? No, for if the _supply_ has increased, the _demand_ has increased also.
Thus will it be with cloth; therefore let it come in. It is true that you will have more competitors, but you will also have more customers, and richer ones. Did you never think of this when seeing nine-tenths of your countrymen deprived during the winter of that superior cloth that you make?
This is not a very long lesson to learn. If you wish to prosper, let your customers do the same.
When this is once known, each one will seek his welfare in the general welfare. Then, jealousies between individuals, cities, provinces and nations, will no longer vex the world.
VI.
TO ARTISANS AND LABORERS.
Many papers have attacked me before you. Will you not read my defense?
I am not mistrustful. When a man writes or speaks, I believe that he thinks what he says.
What is the question? To ascertain which is the more advantageous for you, restriction or liberty.
I believe that it is liberty; they believe it is restriction; it is for each one to prove his case.
Was it necessary to insinuate that we are the agents of England?
You will see how easy recrimination would be on this ground.
We are, they say, agents of the English, because some of us have used the English words _meeting_, _free trader_!
And do not they use the English words _drawback_ and _budget_?
We imitate Cobden and the English democracy!
Do not they parody Bentinck and the British aristocracy?
We borrow from perfidious Albion the doctrine of liberty.
Do not they borrow from her the sophisms of protection?
We follow the commercial impulse of Bordeaux and the South.
Do not they serve the greed of Lille, and the manufacturing North?
We favor the secret designs of the ministry, which desires to turn public attention away from the protective policy.
Do not they favor the views of the Custom House officers, who gain more than anybody else by this protective _regime_?
So you see that if we did not ignore this war of epithets, we should not be without weapons.
But that is not the point in issue.
The question which I shall not lose sight of is this:
_Which is better for the working-classes, to be free or not to be free to purchase from abroad?_
Workmen, they say to you, "If you are free to buy from abroad these things which you now make yourselves, you will no longer make them. You will be without work, without wages, and without bread. It is then for your own good that your liberty be restricted."
This objection recurs in all forms. They say, for instance, "If we clothe ourselves with English cloth, if we make our plowshares with English iron, if we cut our bread with English knives, if we wipe our hands with English napkins, what will become of the French workmen--what will become of the _national labor_?"
Tell me, workmen, if a man stood on the pier at Boulogne, and said to every Englishman who landed: If you will give me those English boots, I will give you this French hat; or, if you will let me have this English horse, I will let you have this French carriage; or, Are you willing to exchange this Birmingham machine for this Paris clock? or, again, Does it suit you to barter your Newcastle coal for this Champagne wine? I ask you whether, supposing this man makes his proposals with average judgment, it can be said that our _national labor_, taken as a whole, would be harmed by it?
Would it be more so if there were twenty of these people offering to exchange services at Boulogne instead of one; if a million barters were made instead of four; and if the intervention of merchants and money was called on to facilitate them and multiply them indefinitely?
Now, let one country buy of another at wholesale to sell again at retail, or at retail to sell again at wholesale, it will always be found, if the matter is followed out to the end, that _commerce consists of mutual barter of products for products, of services for services_. If, then, _one barter_ does not injure the _national labor_, since it implies as much _national labor given_ as _foreign labor received_, a hundred million of them cannot hurt the country.
But, you will say, where is the advantage? The advantage consists in making a better use of the resources of each country, so that the same amount of labor gives more satisfaction and well-being everywhere.
There are some who employ singular tactics against you. They begin by admitting the superiority of freedom over the prohibitive system, doubtless in order that they may not have to defend themselves on that ground.
Next they remark that in going from one system to another there will be some _displacement_ of labor.
Then they dilate upon the sufferings which, according to themselves, this _displacement_ must cause. They exaggerate and amplify them; they make of them the principal subject of discussion; they present them as the exclusive and definite result of reform, and thus try to enlist you under the standard of monopoly.
These tactics have been employed in the service of all abuses, and I must frankly admit one thing, that it always embarrasses even the friends of those reforms which are most useful to the people. You will understand why.
When an abuse exists, everything arranges itself upon it.
Human existences connect themselves with it, others with these, then still others, and this forms a great edifice.
Do you raise your hand against it? Each one protests; and notice this particularly, those persons who protest always seem at the first glance to be right, because it is easier to show the disorder which must accompany the reform than the order which will follow it.
The friends of the abuse cite particular instances; they name the persons and their workmen who will be disturbed, while the poor devil of a reformer can only refer to the _general good_, which must insensibly diffuse itself among the masses. This does not have the effect which the other has.
Thus, supposing it is a question of abolishing slavery. "Unhappy people," they say to the colored men, "who will feed you? The master distributes floggings, but he also distributes rations."
It is not seen that it is not the master who feeds the slave, but his own labor which feeds both himself and master.
When the convents of Spain were reformed, they said to the beggars, "Where will you find broth and clothing? The Abbot is your providence. Is it not very convenient to apply to him?"
And the beggars said: "That is true. If the Abbot goes, we see what we lose, but we do not see what will come in its place."
They do not notice that if the convents gave alms they lived on alms, so that the people had to give them more than they could receive back.
Thus, workmen, a monopoly imperceptibly puts taxes on your shoulders, and then furnishes you work with the proceeds.
Your false friends say to you: If there was no monopoly, who would furnish you work?
You answer: This is true, this is true. The labor which the monopolists procure us is certain. The promises of liberty are uncertain.
For you do not see that they first take money from you, and then give you back a _part_ of it for your labor.
Do you ask who will furnish you work? Why, you will give each other work. With the money which will no longer be taken from you, the shoemaker will dress better, and will make work for the tailor. The tailor will have new shoes oftener, and keep the shoemaker employed. So it will be with all occupations.
They say that with freedom there will be fewer workmen in the mines and the mills.
I do not believe it. But if this does happen, it is _necessarily_ because there will be more labor freely in the open air.
For if, as they say, these mines and spinning mills can be sustained only by the aid of taxes imposed on _everybody_ for their benefit, these taxes once abolished, _everybody_ will be more comfortably off, and it is the comfort of all which feeds the labor of each one.
Excuse me if I linger at this demonstration. I have so great a desire to see you on the side of liberty.
In France, capital invested in manufactures yields, I suppose, five per cent. profit. But here is Mondor, who has one hundred thousand francs invested in a manufactory, on which he loses five per cent. The difference between the loss and gain is ten thousand francs. What do they do? They assess upon you a little tax of ten thousand francs, which is given to Mondor, and you do not notice it, for it is very skillfully disguised. It is not the tax gatherer who comes to ask you your part of the tax, but you pay it to Mondor, the manufacturer, every time you buy your hatchets, your trowels, and your planes. Then they say to you: If you do not pay this tax, Mondor can work no longer, and his employes, John and James, will be without labor. If this tax was remitted, would you not get work yourselves, and on your own account too?
And, then, be easy, when Mondor has no longer this soft method of obtaining his profit by a tax, he will use his wits to turn his loss into a gain, and John and James will not be dismissed. Then all will be profit _for all_.
You will persist, perhaps, saying: "We understand that after the reform there will be in general more work than before, but in the meanwhile John and James will be on the street."
To which I answer:
First. When employment changes its place only to increase, the man who has two arms and a heart is not long on the street.
Second. There is nothing to hinder the State from reserving some of its funds to avoid stoppages of labor in the transition, which I do not myself believe will occur.
Third. Finally, if to get out of a rut and get into a condition which is better for all, and which is certainly more just, it is absolutely necessary to brave a few painful moments, the workmen are ready, or I know them ill. God grant that it may be the same with employers.
Well, because you are workmen, are you not intelligent and moral? It seems that your pretended friends forget it. It is surprising that they discuss such a subject before you, speaking of wages and interests, without once pronouncing the word _justice_. They know, however, full well that the situation is _unjust_. Why, then, have they not the courage to tell you so, and say, "Workmen, an iniquity prevails in the country, but it is of advantage to you and it must be sustained." Why? Because they know that you would answer, No.
But it is not true that this iniquity is profitable to you. Give me your attention for a few moments and judge for yourselves.
What do they protect in France? Articles made by great manufacturers in great establishments, iron, cloth and silks, and they tell you that this is done not in the interest of the employer, but in your interest, in order to insure you wages.
But every time that foreign labor presents itself in the market in such a form that it may hurt _you_, but not the great manufacturers, do they not allow it to come in?
Are there not in Paris thirty thousand Germans who make clothes and shoes? Why are they allowed to establish themselves at your side when cloth is driven away? Because the cloth is made in great mills owned by manufacturing legislators. But clothes are made by workmen in their rooms.
These gentlemen want no competition in the turning of wool into cloth, because that is _their_ business; but when it comes to converting cloth into clothes, they admit competition, because that is _your_ trade.
When they made railroads they excluded English rails, but they imported English workmen to make them. Why? It is very simple; because English rails compete with the great rolling mills, and English muscles compete only with yours.
We do not ask them to keep out German tailors and English laborers. We ask that cloth and rails may be allowed to come in. We ask justice for all, equality before the law for all.
It is a mockery to tell us that these Custom House restrictions have _your_ advantage in view. Tailors, shoemakers, carpenters, millers, masons, blacksmiths, merchants, grocers, jewelers, butchers, bakers and dressmakers, I challenge you to show me a single instance in which restriction profits you, and if you wish, I will point out four where it hurts you.
And after all, just see how much of the appearance of truth this self-denial, which your journals attribute to the monopolists, has.
I believe that we can call that the _natural rate of wages_ which would establish itself _naturally_ if there were freedom of trade. Then, when they tell you that restriction is for your benefit, it is as if they told you that it added a _surplus_ to your _natural_ wages. Now, an _extra natural_ surplus of wages must be taken from somewhere; it does not fall from the moon; it must be taken from those who pay it.
You are then brought to this conclusion, that, according to your pretended friends, the protective system has been created and brought into the world in order that capitalists might be sacrificed to laborers!
Tell me, is that probable?
Where is your place in the Chamber of Peers? When did you sit at the Palais Bourbon? Who has consulted you? Whence came this idea of establishing the protective system?
I hear your answer: _We_ did not establish it. We are neither Peers nor Deputies, nor Counselors of State. The capitalists have done it.
By heavens, they were in a delectable mood that day. What! the capitalists made this law; _they_ established the prohibitive system, so that you laborers should make profits at their expense!
But here is something stranger still.
How is it that your pretended friends who speak to you now of the goodness, generosity and self-denial of capitalists, constantly express regret that you do not enjoy your political rights? From their point of view, what could you do with them? The capitalists have the monopoly of legislation, it is true. Thanks to this monopoly, they have granted themselves the monopoly of iron, cloth, coal, wood and meat, which is also true. But now your pretended friends say that the capitalists, in acting thus, have stripped themselves, without being obliged to do it, to enrich you without your being entitled to it. Surely, if you were electors and deputies, you could not manage your affairs better; you would not even manage them as well.
If the industrial organization which rules us is made in your interest, it is a perfidy to demand political rights for you; for these democrats of a new species can never get out of this dilemma; the law, made by the present law-makers, gives you _more_, or gives you _less_, than your natural wages. If it gives you _less_, they deceive you in inviting you to support it. If it gives you _more_, they deceive you again by calling on you to claim political rights, when those who now exercise them, make sacrifices for you which you, in your honesty, could not yourselves vote.
Workingmen, God forbid that the effect of this article should be to cast in your hearts the germs of irritation against the rich. If mistaken _interests_ still support monopoly, let us not forget that it has its root in _errors_, which are common to capitalists and workmen. Then, far from laboring to excite them against one another, let us strive to bring them together. What must be done to accomplish this? If it is true that the natural social tendencies aid in effacing inequality among men, all we have to do to let those tendencies act is to remove the artificial obstructions which interfere with their operation, and allow the relations of different classes to establish themselves on the principle of _justice_, which, to my mind, is the principle of FREEDOM.
VII.
A CHINESE STORY.
They exclaim against the greed and the selfishness of the age!
Open the thousand books, the thousand papers, the thousand pamphlets, which the Parisian presses throw out every day on the country; is not all this the work of little saints?
What spirit in the painting of the vices of the time! What touching tenderness for the masses! With what liberality they invite the rich to divide with the poor, or the poor to divide with the rich! How many plans of social reform, social improvement, and social organization! Does not even the weakest writer devote himself to the well-being of the laboring classes? All that is required is to advance them a little money to give them time to attend to their humanitarian pursuits.
There is nothing which does not assume to aid in the well-being and moral advancement of the people--nothing, not even the Custom House. You believe that it is a tax machine, like a duty or a toll at the end of a bridge? Not at all. It is an essentially civilizing, fraternizing and equalizing institution. What would you have? It is the fashion. It is necessary to put or affect to put feeling or sentimentality everywhere, even in the cure of all troubles.
But it must be admitted that the Custom House organization has a singular way of going to work to realize these philanthropic aspirations.
It puts on foot an army of collectors, assistant collectors, inspectors, assistant inspectors, cashiers, accountants, receivers, clerks, supernumeraries, tide-waiters, and all this in order to exercise on the industry of the people that negative action which is summed up in the word _to prevent_.
Observe that I do not say _to tax_, but really _to prevent_.
And _to prevent_, not acts reproved by morality, or opposed to public order, but transactions which are innocent, and which they have even admitted are favorable to the peace and harmony of nations.
However, humanity is so flexible and supple that, in one way or another, it always overcomes these attempts at prevention.
It is for the purpose of increasing labor. If people are kept from getting their food from abroad they produce it at home. It is more laborious, but they must live. If they are kept from passing along the valley, they must climb the mountains. It is longer, but the point of destination must be reached.
This is sad, but amusing. When the law has thus created a certain amount of obstacles, and when, to overcome them, humanity has diverted a corresponding amount of labor, you are no longer allowed to call for the reform of the law; for, if you point out the _obstacle_, they show you the labor which it brings into play; and if you say this is not labor created but _diverted_, they answer you as does the _Esprit Public_--"The impoverishing only is certain and immediate; as for the enriching, it is more than problematical."
This recalls to me a Chinese story, which I will tell you.
There were in China two great cities, Tchin and Tchan. A magnificent canal connected them. The Emperor thought fit to have immense masses of rock thrown into it, to make it useless.
Seeing this, Kouang, his first Mandarin, said to him: "Son of Heaven, you make a mistake." To which the Emperor replied: "Kouang, you are foolish."
You understand, of course, that I give but the substance of the dialogue.
At the end of three moons the Celestial Emperor had the Mandarin brought, and said to him: "Kouang, look."
And Kouang, opening his eyes, looked.
He saw at a certain distance from the canal a multitude of men _laboring_. Some excavated, some filled up, some leveled, and some laid pavement, and the Mandarin, who was very learned, thought to himself: They are making a road.
At the end of three more moons, the Emperor, having called Kouang, said to him: "Look."
And Kouang looked.
And he saw that the road was made; and he noticed that at various points, inns were building. A medley of foot passengers, carriages and palanquins went and came, and innumerable Chinese, oppressed by fatigue, carried back and forth heavy burdens from Tchin to Tchan, and from Tchan to Tchin, and Kouang said: It is the destruction of the canal which has given labor to these poor people. But it did not occur to him that this labor was _diverted_ from other employments.
Then more moons passed, and the Emperor said to Kouang: "Look."
And Kouang looked.
He saw that the inns were always full of travelers, and that they being hungry, there had sprung up, near by, the shops of butchers, bakers, charcoal dealers, and bird's nest sellers. Since these worthy men could not go naked, tailors, shoemakers and umbrella and fan dealers had settled there, and as they do not sleep in the open air, even in the Celestial Empire, carpenters, masons and thatchers congregated there. Then came police officers, judges and fakirs; in a word, around each stopping place there grew up a city with its suburbs.
Said the Emperor to Kouang: "What do you think of this?"
And Kouang replied: "I could never have believed that the destruction of a canal could create so much labor for the people." For he did not think that it was not labor created, but _diverted_; that travelers ate when they went by the canal just as much as they did when they were forced to go by the road.
However, to the great astonishment of the Chinese, the Emperor died, and this Son of Heaven was committed to earth.
His successor sent for Kouang, and said to him: "Clean out the canal."
And Kouang said to the new Emperor: "Son of Heaven, you are doing wrong."
And the Emperor replied: "Kouang, you are foolish."
But Kouang persisted and said: "My Lord, what is your object?"
"My object," said the Emperor, "is to facilitate the movement of men and things between Tchin and Tchan; to make transportation less expensive, so that the people may have tea and clothes more cheaply."
But Kouang was in readiness. He had received, the evening before, some numbers of the _Moniteur Industriel_, a Chinese paper. Knowing his lesson by heart, he asked permission to answer, and, having obtained it, after striking his forehead nine times against the floor, he said: "My Lord, you try, by facilitating transportation, to reduce the price of articles of consumption, in order to bring them within the reach of the people; and to do this you begin by making them lose all the labor which was created by the destruction of the canal. Sire, in political economy, absolute cheapness"--
The Emperor. "I believe that you are reciting something."
Kouang. "That is true, and it would be more convenient for me to read."
Having unfolded the _Esprit Public_, he read: "In political economy the absolute cheapness of articles of consumption is but a secondary question. The problem lies in the equilibrium of the price of labor and that of the articles necessary to existence. The abundance of labor is the wealth of nations, and the best economic system is that which furnishes them the greatest possible amount of labor. Do not ask whether it is better to pay four or eight cents cash for a cup of tea, or five or ten shillings for a shirt. These are puerilities unworthy of a serious mind. No one denies your proposition. The question is, whether it is better to pay more for an article, and to have, through the abundance and price of labor, more means of acquiring it, or whether it is better to impoverish the sources of labor, to diminish the mass of national production, and to transport articles of consumption by canals, more cheaply it is true, but, at the same time, to deprive a portion of our laborers of the power to buy them, even at these reduced prices."
The Emperor not being altogether convinced, Kouang said to him: "My Lord, be pleased to wait. I have the _Moniteur Industriel_ to quote from."
But the Emperor said: "I do not need your Chinese newspapers to tell me that to create _obstacles_ is to turn labor in that direction. Yet that is not my mission. Come, let us clear out the canal, and then we will reform the tariff."
Kouang went away plucking out his beard, and crying: Oh, Fo! Oh, Pe! Oh, Le! and all the monosyllabic and circumflex gods of Cathay, take pity on your people; for, there has come to us an Emperor of the _English school_, and I see very plainly that, in a little while, we shall be in want of everything, since it will not be necessary for us to do anything!
VIII.
POST HOC, ERGO PROPTER HOC.
"After this, therefore on account of this." The most common and the most false of arguments.
Real suffering exists in England.
This occurrence follows two others:
First. The reduction of the tariff.
Second. The loss of two consecutive harvests.
To which of these last two circumstances is the first to be attributed?
The protectionists do not fail to exclaim: "It is this cursed freedom which does all the mischief. It promised us wonders and marvels; we welcomed it, and now the manufactories stop and the people suffer."
Commercial freedom distributes, in the most uniform and equitable manner, the fruits which Providence grants to the labor of man. If these fruits are partially destroyed by any misfortune, it none the less looks after the fair distribution of what remains. Men are not as well provided for, of course, but shall we blame freedom or the bad harvest?
Freedom rests on the same principle as insurance. When a loss happens, it divides, among a great many people, and a great number of years, evils which without it would accumulate on one nation and one season. But have they ever thought of saying that fire was no longer a scourge, since there were insurance companies?
In 1842, '43 and '44, the reduction of taxes began in England. At the same time the harvests were very abundant, and we can justly believe that these two circumstances had much to do with the wonderful prosperity shown by that country during that period.
In 1845 the harvest was bad, and in 1846 it was still worse. Breadstuffs grew dear, the people spent their money for food, and used less of other articles. There was a diminished demand for clothing; the manufactories were not so busy, and wages showed a declining tendency. Happily, in the same year, the restrictive barriers were again lowered, and an enormous quantity of food was enabled to reach the English market. If it had not been for this, it is almost certain that a terrible revolution would now fill Great Britain with blood.
Yet they make freedom chargeable with disasters, which it prevents and remedies, at least in part.
A poor leper lived in solitude. No one would touch what he had contaminated. Compelled to do everything for himself, he dragged out a miserable existence. A great physician cured him. Here was our hermit in full possession of the _freedom of exchange_. What a beautiful prospect opened before him! He took pleasure in calculating the advantages, which, thanks to his connection with other men, he could draw from his vigorous arms. Unluckily, he broke both of them. Alas! his fate was most miserable. The journalists of that country, witnessing his misfortune, said: "See to what misery this ability to exchange has reduced him! Really, he was less to be pitied when he lived alone."
"What!" said the physician; "do not you consider his two broken arms? Do not they form a part of his sad destiny? His misfortune is to have lost his arms, and not to have been cured of leprosy. He would be much more to be pitied if he was both maimed and a leper."
_Post hoc, ergo propter hoc_; do not trust this sophism.
IX.
ROBBERY BY BOUNTIES.
They find my little book of _Sophisms_ too theoretical, scientific, and metaphysical. Very well. Let us try a trivial, commonplace, and, if necessary, coarse style. Convinced that the public is _duped_ in the matter of protection, I have desired to prove it. But the public wishes to be shouted at. Then let us cry out:
"Midas, King Midas, has asses' ears!"
An outburst of frankness often accomplishes more than the politest circumlocution.
To tell the truth, my good people, _they are robbing you_. It is harsh, but it is true.
The words _robbery_, _to rob_, _robber_, will seem in very bad taste to many people. I say to them as Harpagon did to Elise, Is it the _word_ or the _thing_ that alarms you?
Whoever has fraudulently taken that which does not belong to him, is guilty of robbery. (_Penal Code, Art. 379._)
_To rob_: To take furtively, or by force. (_Dictionary of the Academy._)
_Robber_: He who takes more than his due. (_The same._)
Now, does not the monopolist, who, by a law of his own making, obliges me to pay him twenty francs for an article which I can get elsewhere for fifteen, take from me fraudulently five francs, which belong to me?
Does he not take it furtively, or by force?
Does he not require of me more than his due?
He carries off, he takes, he demands, they will say, but not _furtively_ or _by force_, which are the characteristics of robbery.
When our tax levy is burdened with five francs for the bounty which this monopolist carries off, takes, or demands, what can be more _furtive_, since so few of us suspect it? And for those who are not deceived, what can be more _forced_, since, at the first refusal to pay, the officer is at our doors?
Still, let the monopolists reassure themselves. These robberies, by means of bounties or tariffs, even if they do violate equity as much as robbery, do not break the law; on the contrary, they are perpetrated through the law. They are all the worse for this, but they have nothing to do with _criminal justice_.
Besides, willy-nilly, we are all _robbers_ and _robbed_ in the business. Though the author of this book cries _stop thief_, when he buys, others can cry the same after him, when he sells. If he differs from many of his countrymen, it is only in this: he knows that he loses by this game more than he gains, and they do not; if they did know it, the game would soon cease.
Nor do I boast of having first given this thing its true name. More than sixty years ago, Adam Smith said:
"When manufacturers meet it may be expected that a conspiracy will be planned against the pockets of the public." Can we be astonished at this when the public pay no attention to it?
An assembly of manufacturers deliberate officially under the name of _Industrial League_. What goes on there, and what is decided upon?
I give a very brief summary of the proceedings of one meeting:
"A Ship-builder. Our mercantile marine is at the last gasp (warlike digression). It is not surprising. I cannot build without iron. I can get it at ten francs _in the world's market_; but, through the law, the managers of the French forges compel me to pay them fifteen francs. Thus they take five francs from me. I ask freedom to buy where I please.
"An Iron Manufacturer. _In the world's market_ I can obtain transportation for twenty francs. The ship-builder, through the law, requires thirty. Thus he _takes_ ten francs from me. He plunders me; I plunder him. It is all for the best.
"A Public Official. The conclusion of the ship-builder's argument is highly imprudent. Oh, let us cultivate the touching union which makes our strength; if we relax an iota from the theory of protection, good-bye to the whole of it.
"The Ship-builder. But, for us, protection is a failure. I repeat that the shipping is nearly gone.
"A Sailor. Very well, let us raise the discriminating duties against goods imported in foreign bottoms, and let the ship-builder, who now takes thirty francs from the public, hereafter take forty.
"A Minister. The government will push to its extreme limits the admirable mechanism of these discriminating duties, but I fear that it will not answer the purpose.
"A Government Employe. You seem to be bothered about a very little matter. Is there any safety but in the bounty? If the consumer is willing, the tax-payer is no less so. Let us pile on the taxes, and let the ship-builder be satisfied. I propose a bounty of five francs, to be taken from the public revenues, to be paid to the ship-builder for each quintal of iron that he uses.
"Several Voices. Seconded, seconded.
"A Farmer. I want a bounty of three francs for each bushel of wheat.
"A Weaver. And I two francs for each yard of cloth.
"The Presiding Officer. That is understood. Our meeting will have originated the system of _drawbacks_, and it will be its eternal glory. What branch of manufacturing can lose hereafter, when we have two so simple means of turning losses into gains--the _tariff_ and _drawbacks_. The meeting is adjourned."
Some supernatural vision must have shown me in a dream the coming appearance of the _bounty_ (who knows if I did not suggest the thought to M. Dupin?), when some months ago I wrote the following words:
"It seems evident to me that protection, without changing its nature or effects, might take the form of a direct tax levied by the State, and distributed in indemnifying bounties to privileged manufacturers."
And after having compared protective duties with the bounty:
"I frankly avow my preference for the latter system; it seems to me more just, more economical, and more truthful. More just, because if society wishes to give gratuities to some of its members, all should contribute; more economical, because it would save much of the expense of collection, and do away with many obstacles; and, finally, more truthful, because the public could see the operation plainly, and would know what was done."
Since the opportunity is so kindly offered us, let us study this _robbery by bounties_. What is said of it will also apply to _robbery by tariff_, and as it is a little better disguised, the direct will enable us to understand the indirect, cheating. Thus the mind proceeds from the simple to the complex.
But is there no simpler variety of robbery? Certainly, there is _highway robbery_, and all it needs is to be legalized, or, as they say now-a-days, _organized_.
I once read the following in somebody's travels:
"When we reached the Kingdom of A---- we found all industrial pursuits suffering. Agriculture groaned, manufactures complained, commerce murmured, the navy growled, and the government did not know whom to listen to. At first it thought of taxing all the discontented, and of dividing among them the proceeds of these taxes after having taken its share; which would have been like the method of managing lotteries in our dear Spain. There are a thousand of you; the State takes a dollar from each one, cunningly steals two hundred and fifty, and then divides up seven hundred and fifty, in greater or smaller sums, among the players. The worthy Hidalgo, who has received three-quarters of a dollar, forgetting that he has spent a whole one, is wild with joy, and runs to spend his shillings at the tavern. Something like this once happened in France. Barbarous as the country of A---- was, however, the government did not trust the stupidity of the inhabitants enough to make them accept such singular protection, and hence this was what it devised:
"The country was intersected with roads. The government had them measured, exactly, and then said to the farmers, 'All that you can steal from travelers between these boundaries is yours; let it serve you as a _bounty_, a protection, and an encouragement.' It afterwards assigned to each manufacturer and each ship-builder, a bit of road to work up, according to this formula:
Dono tibi et concedo,
Virtutem et puissantiam,
Robbandi,
Pillageandi,
Stealandi,
Cheatandi,
Et Swindlandi,
Impune per totam istam,
Viam.
"Now it has come to pass that the natives of the Kingdom of A---- are so familiarized with this regime, and so accustomed to think only of what they steal, and not of what is stolen from them, so habituated to look at pillage but from the pillager's point of view, that they consider the sum of all these private robberies as _national profit_, and refuse to give up a system of protection without which, they say, no branch of industry can live."
Do you say, it is not possible that an entire nation could see an _increase of riches_ where the inhabitants plundered one another?
Why not? We have this belief in France, and every day we organize and practice _reciprocal robbery_ under the name of bounties and protective tariffs.
Let us exaggerate nothing, however; let us concede that as far as the _mode of collection_, and the collateral circumstances, are concerned, the system in the Kingdom of A---- may be worse than ours; but let us say, also, that as far as principles and necessary results are concerned, there is not an atom of difference between these two kinds of robbery legally organized to eke out the profits of industry.
Observe, that if _highway robbery_ presents some difficulties of execution, it has also certain advantages which are not found in the _tariff robbery_.
For instance: An equitable division can be made between all the plunderers. It is not thus with tariffs. They are by nature impotent to protect certain classes of society, such as artizans, merchants, literary men, lawyers, soldiers, etc., etc.
It is true that _bounty robbery_ allows of infinite subdivisions, and in this respect does not yield in perfection to _highway robbery_, but on the other hand it often leads to results which are so odd and foolish, that the natives of the Kingdom of A---- may laugh at it with great reason.
That which the plundered party loses in highway robbery is gained by the robber. The article stolen remains, at least, in the country. But under the dominion of _bounty robbery_, that which the duty takes from the French is often given to the Chinese, the Hottentots, Caffirs, and Algonquins, as follows:
A piece of cloth is worth a _hundred francs_ at Bordeaux. It is impossible to sell it below that without loss. It is impossible to sell it for more than that, for the _competition_ between merchants forbids. Under these circumstances, if a Frenchman desires to buy the cloth, he must pay a _hundred francs_, or do without it. But if an Englishman comes, the government interferes, and says to the merchant: "Sell your cloth, and I will make the tax-payers give you _twenty francs_ (through the operation of the _drawback_)." The merchant, who wants, and can get, but one hundred francs for his cloth, delivers it to the Englishman for eighty francs. This sum added to the twenty francs, the product of the _bounty robbery_, makes up his price. It is then precisely as if the tax-payers had given twenty francs to the Englishman, on condition that he would buy French cloth at twenty francs below the cost of manufacture,--at twenty francs below what it costs us. Then bounty robbery has this peculiarity, that the _robbed_ are inhabitants of the country which allows it, and the _robbers_ are spread over the face of the globe.
It is truly wonderful that they should persist in holding this proposition to have been demonstrated: _All that the individual robs from the mass is a general gain._ Perpetual motion, the philosopher's stone, and the squaring of the circle, are sunk in oblivion; but the theory of _progress by robbery_ is still held in honor. _A priori_, however, one might have supposed that it would be the shortest lived of all these follies.
Some say to us: You are, then, partisans of the _let alone_ policy? economists of the superannuated school of the Smiths and the Says? You do not desire the _organization of labor_? Why, gentlemen, organize labor as much as you please, but we will watch to see that you do not organize _robbery_.
Others say, _bounties_, _tariffs_, all these things may have been overdone. We must use, without abusing them. A wise liberty, combined with moderate protection, is what _serious_ and practical men claim. Let us beware of _absolute principles_. This is exactly what they said in the Kingdom of A----, according to the Spanish traveler. "Highway robbery," said the wise men, "is neither good nor bad in itself; it depends on circumstances. Perhaps too much freedom of pillage has been given; perhaps not enough. Let us see; let us examine; let us balance the accounts of each robber. To those who do not make enough, we will give a little more road to work up. As for those who make too much, we will reduce their share."
Those who spoke thus acquired great fame for moderation, prudence, and wisdom. They never failed to attain the highest offices of the State.
As for those who said, "Let us repress injustice altogether; let us allow neither _robbery_, nor _half robbery_, nor _quarter robbery_," they passed for theorists, dreamers, bores--always parroting the same thing. The people also found their reasoning too easy to understand. How can that be true which is so very simple?
X.
THE TAX COLLECTOR.
JACQUES BONHOMME, Vine-grower. M. LASOUCHE, Tax Collector.
L. You have secured twenty hogsheads of wine?
J. Yes, with much care and sweat.
--Be so kind as to give me six of the best.
--Six hogsheads out of twenty! Good heavens! You want to ruin me. If you please, what do you propose to do with them?
--The first will be given to the creditors of the State. When one has debts, the least one can do is to pay the interest.
--Where did the principal go?
--It would take too long to tell. A part of it was once upon a time put in cartridges, which made the finest smoke in the world; with another part men were hired who were maimed on foreign ground, after having ravaged it. Then, when these expenses brought the enemy upon us, he would not leave without taking money with him, which we had to borrow.
--What good do I get from it now?
--The satisfaction of saying:
How proud am I of being a Frenchman
When I behold the triumphal column,
And the humiliation of leaving to my heirs an estate burdened with a perpetual rent. Still one must pay what he owes, no matter how foolish a use may have been made of the money. That accounts for one hogshead, but the five others?
--One is required to pay for public services, the civil list, the judges who decree the restitution of the bit of land your neighbor wants to appropriate, the policemen who drive away robbers while you sleep, the men who repair the road leading to the city, the priest who baptizes your children, the teacher who educates them, and myself, your servant, who does not work for nothing.
--Certainly, service for service. There is nothing to say against that. I had rather make a bargain directly with my priest, but I do not insist on this. So much for the second hogshead. This leaves four, however.
--Do you believe that two would be too much for your share of the army and navy expenses?
--Alas, it is little compared with what they have cost me already. They have taken from me two sons whom I tenderly loved.
--The balance of power in Europe must be maintained.
--Well, my God! the balance of power would be the same if these forces were every where reduced a half or three-quarters. We should save our children and our money. All that is needed is to understand it.
--Yes, but they do not understand it.
--That is what amazes me. For every one suffers from it.
--You wished it so, Jacques Bonhomme.
--You are jesting, my dear Mr. Collector; have I a vote in the legislative halls?
--Whom did you support for Deputy?
--An excellent General, who will be a Marshal presently, if God spares his life.
--On what does this excellent General live?
--My hogsheads, I presume.
--And what would happen were he to vote for a reduction of the army and your military establishment?
--Instead of being made a Marshal, he would be retired.
--Do you now understand that yourself?
--Let us pass to the fifth hogshead, I beg of you.
--That goes to Algeria.
--To Algeria! And they tell me that all Mussulmans are temperance people, the barbarians! What services will they give me in exchange for this ambrosia, which has cost me so much labor?
--None at all; it is not intended for Mussulmans, but for good Christians who spend their days in Barbary.
--What can they do there which will be of service to me?
--Undertake and undergo raids; kill and be killed; get dysenteries and come home to be doctored; dig harbors, make roads, build villages and people them with Maltese, Italians, Spaniards and Swiss, who live on your hogshead, and many others which I shall come in the future to ask of you.
--Mercy! This is too much, and I flatly refuse you my hogshead. They would send a wine-grower who did such foolish acts to the mad-house. Make roads in the Atlas Mountains, when I cannot get out of my own house! Dig ports in Barbary when the Garonne fills up with sand every day! Take from me my children whom I love, in order to torment Arabs! Make me pay for the houses, grain and horses, given to the Greeks and Maltese, when there are so many poor around us!
--The poor! Exactly; they free the country of this _superfluity_.
--Oh, yes, by sending after them to Algeria the money which would enable them to live here.
--But then you lay the basis of a _great empire_, you carry _civilization_ into Africa, and you crown your country with immortal glory.
--You are a poet, my dear Collector; but I am a vine-grower, and I refuse.
--Think that in a few thousand years you will get back your advances a hundred-fold. All those who have charge of the enterprise say so.
--At first they asked me for one barrel of wine to meet expenses, then two, then three, and now I am taxed a hogshead. I persist in my refusal.
--It is too late. Your _representative_ has agreed that you shall give a hogshead.
--That is but too true. Cursed weakness! It seems to me that I was unwise in making him my agent; for what is there in common between the General of an army and the poor owner of a vineyard?
--You see well that there is something in common between you, were it only the wine you make, and which, in your name, he votes to himself.
--Laugh at me; I deserve it, my dear Collector. But be reasonable, and leave me the sixth hogshead at least. The interest of the debt is paid, the civil list provided for, the public service assured, and the war in Africa perpetuated. What more do you want?
--The bargain is not made with me. You must tell your desires to the General. _He_ has disposed of your vintage.
--But what do you propose to do with this poor hogshead, the flower of my flock? Come, taste this wine. How mellow, delicate, velvety it is!
--Excellent, delicious! It will suit D----, the cloth manufacturer, admirably.
--D----, the manufacturer! What do you mean?
--That he will make a good bargain out of it.
--How? What is that? I do not understand you.
--Do you not know that D---- has started a magnificent establishment very useful to the country, but which loses much money every year?
--I am very sorry. But what can I do to help him?
--The Legislature saw that if things went on thus, D---- would either have to do a better business or close his manufactory.
--But what connection is there between D----'s bad speculations and my hogshead?
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Sophisms of the ProtectionistsChapter X: Appendix (1)
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