Chapter XI: Appendix (2)
--The Chamber thought that if it gave D---- a little wine from your cellar, a few bushels of grain taken from your neighbors, and a few pennies cut from the wages of the workingmen, his losses would change into profits.
--This recipe is as infallible as it is ingenious. But it is shockingly unjust. What! is D---- to cover his losses by taking my wine?
--Not exactly the wine, but the proceeds of it; That is what we call a _bounty for encouragement_. But you look amazed! Do not you see what a great service you render to the country?
--You mean to say to D----?
--To the country. D---- asserts that, thanks to this arrangement, his business prospers, and thus it is, says he, that the country grows rich. That is what he recently said in the Chamber of which he is a member.
--It is a damnable fraud! What! A fool goes into a silly enterprise, he spends his money, and if he extorts from me wine or grain enough to make good his losses, and even to make him a profit, he calls it a general gain!
--Your _representative_ having come to that conclusion, all you have to do is to give me the six hogsheads of wine, and sell the fourteen that I leave you for as much as possible.
--That is my business.
--For, you see, it would be very annoying if you did not get a good price for them.
--I will think of it.
--For there are many things which the money you receive must procure.
--I know it, sir. I know it.
--In the first place, if you buy iron to renew your spades and plowshares, a law declares that you must pay the iron-master twice what it was worth.
--Ah, yes; does not the same thing happen in the Black Forest?
--Then, if you need oil, meat, cloth, coal, wool and sugar, each one by the law will cost you twice what it is worth.
--But this is horrible, frightful, abominable.
--What is the use of these hard words? You yourself, through your _authorized_ agent----
--Leave me alone with my authorized agent. I made a very strange disposition of my vote, it is true. But they shall deceive me no more, and I will be represented by some good and honest countryman.
--Bah, you will re-elect the worthy General.
--I? I re-elect the General to give away my wine to Africans and manufacturers?
--You will re-elect him, I say.
--That is a little _too much_. I will not re-elect him, if I do not want to.
--But you will want to, and you will re-elect him.
--Let him come here and try. He will see who he will have to settle with.
--We shall see. Good bye. I take away your six hogsheads, and will proceed to divide them as the General has directed.
XI.
UTOPIAN IDEAS.
If I were His Majesty's Minister!
--Well, what would you do?
--I should begin by--by--upon my word, by being very much embarrassed. For I should be Minister only because I had the majority, and I should have that only because I had made it, and I could only have made it, honestly at least, by governing according to its ideas. So if I undertake to carry out my ideas and to run counter to its ideas, I shall not have the majority, and if I do not, I cannot be His Majesty's Minister.
--Just imagine that you are so, and that consequently the majority is not opposed to you, what would you do?
--I would look to see on which side _justice_ is.
--And then?
--I would seek to find where _utility_ was.
--What next?
--I would see whether they agreed, or were in conflict with one another.
--And if you found they did not agree?
--I would say to the King, take back your portfolio.
--But suppose you see that _justice_ and _utility_ are one?
--Then I will go straight ahead.
--Very well, but to realize utility by justice, a third thing is necessary.
--What is that?
--Possibility.
--You conceded that.
--When?
--Just now.
--How?
--By giving me the majority.
--It seems to me that the concession was rather hazardous, for it implies that the majority clearly sees what is just, clearly sees what is useful, and clearly sees that these things are in perfect accord.
--And if it sees this clearly, the good will, so to speak, do itself.
--This is the point to which you are constantly bringing me--to see a possibility of reform only in the progress of the general intelligence.
--By this progress all reform is infallible.
--Certainly. But this preliminary progress takes time. Let us suppose it accomplished. What will you do? for I am eager to see you at work, doing, practicing.
--I should begin by reducing letter postage to ten centimes.
--I heard you speak of five, once.
--Yes; but as I have other reforms in view, I must move with prudence, to avoid a deficit in the revenues.
--Prudence? This leaves you with a deficit of thirty millions.
--Then I will reduce the salt tax to ten francs.
--Good! Here is another deficit of thirty millions. Doubtless you have invented some new tax.
--Heaven forbid! Besides, I do not flatter myself that I have an inventive mind.
--It is necessary, however. Oh, I have it. What was I thinking of? You are simply going to diminish the expense. I did not think of that.
--You are not the only one. I shall come to that; but I do not count on it at present.
--What! you diminish the receipts, without lessening expenses, and you avoid a deficit?
--Yes, by diminishing other taxes at the same time.
(Here the interlocutor, putting the index finger of his right hand on his forehead, shook his head, which may be translated thus: He is rambling terribly.)
--Well, upon my word, this is ingenious. I pay the Treasury a hundred francs; you relieve me of five francs on salt, five on postage; and in order that the Treasury may nevertheless receive one hundred francs, you relieve me of ten on some other tax?
--Precisely; you understand me.
--How can it be true? I am not even sure that I have heard you.
--I repeat that I balance one remission of taxes by another.
--I have a little time to give, and I should like to hear you expound this paradox.
--Here is the whole mystery: I know a tax which costs you twenty francs, not a sou of which gets to the Treasury. I relieve you of half of it, and make the other half take its proper destination.
--You are an unequaled financier. There is but one difficulty. What tax, if you please, do I pay, which does not go to the Treasury?
--How much does this suit of clothes cost you?
--A hundred francs.
--How much would it have cost you if you had gotten the cloth from Belgium?
--Eighty francs.
--Then why did you not get it there?
--Because it is prohibited.
--Why?
--So that the suit may cost me one hundred francs instead of eighty.
--This denial, then, costs you twenty francs?
--Undoubtedly.
--And where do these twenty francs go?
--Where do they go? To the manufacturer of the cloth.
--Well, give me ten francs for the Treasury, and I will remove the restriction, and you will gain ten francs.
--Oh, I begin to see. The treasury account shows that it loses five francs on postage and five on salt, and gains ten on cloth. That is even.
--Your account is--you gain five francs on salt, five on postage, and ten on cloth.
--Total, twenty francs. This is satisfactory enough. But what becomes of the poor cloth manufacturer?
--Oh, I have thought of him. I have secured compensation for him by means of the tax reductions which are so profitable to the Treasury. What I have done for you as regards cloth, I do for him in regard to wool, coal, machinery, etc., so that he can lower his price without loss.
--But are you sure that will be an equivalent?
--The balance will be in his favor. The twenty francs that you gain on the cloth will be multiplied by those which I will save for you on grain, meat, fuel, etc. This will amount to a large sum, and each one of your 35,000,000 fellow-citizens will save the same way. There will be enough to consume the cloths of both Belgium and France. The nation will be better clothed; that is all.
--I will think on this, for it is somewhat confused in my head.
--After all, as far as clothes go, the main thing is to be clothed. Your limbs are your own, and not the manufacturer's. To shield them from cold is your business and not his. If the law takes sides for him against you, the law is unjust, and you allowed me to reason on the hypothesis that what is unjust is hurtful.
--Perhaps I admitted too much; but go on and explain your financial plan.
--Then I will make a tariff.
--In two folio volumes?
--No, in two sections.
--Then they will no longer say that this famous axiom "No one is supposed to be ignorant of the law" is a fiction. Let us see your tariff.
--Here it is: Section First. All imports shall pay an _ad valorem_ tax of five per cent.
--Even _raw materials_?
--Unless they are _worthless_.
--But they all have value, much or little.
--Then they will pay much or little.
--How can our manufactories compete with foreign ones which have these _raw materials_ free?
--The expenses of the State being certain, if we close this source of revenue, we must open another; this will not diminish the relative inferiority of our manufactories, and there will be one bureau more to organize and pay.
--That is true; I reasoned as if the tax was to be annulled, not changed. I will reflect on this. What is your second section?
--Section Second. All exports shall pay an _ad valorem_ tax of five per cent.
--Merciful Heavens, Mr. Utopist! You will certainly be stoned, and, if it comes to that, I will throw the first one.
--We agreed that the majority were enlightened.
--Enlightened! Can you claim that an export duty is not onerous?
--All taxes are onerous, but this is less so than others.
--The carnival justifies many eccentricities. Be so kind as to make this new paradox appear specious, if you can.
--How much did you pay for this wine?
--A franc per quart.
--How much would you have paid outside the city gates?
--Fifty centimes.
--Why this difference?
--Ask the _octroi_[14] which added ten sous to it.
--Who established the _octroi_?
--The municipality of Paris, in order to pave and light the streets.
--This is, then, an import duty. But if the neighboring country districts had established this _octroi_ for their profit, what would happen?
--I should none the less pay a franc for wine worth only fifty centimes, and the other fifty centimes would pave and light Montmartre and the Batignolles.
--So that really it is the consumer who pays the tax?
--There is no doubt of that.
--Then by taxing exports you make foreigners help pay your expenses.[15]
--I find you at fault, this is not _justice_.
--Why not? In order to secure the production of any one thing, there must be instruction, security, roads, and other costly things in the country. Why shall not the foreigner who is to consume this product, bear the charges its production necessitates?
--This is contrary to received ideas.
--Not the least in the world. The last purchaser must repay all the direct and indirect expenses of production.
--No matter what you say, it is plain that such a measure would paralyze commerce; and cut off all exports.
--That is an illusion. If you were to pay this tax besides all the others, you would be right. But, if the hundred millions raised in this way, relieve you of other taxes to the same amount, you go into foreign markets with all your advantages, and even with more, if this duty has occasioned less embarrassment and expense.
--I will reflect on this. So now the salt, postage and customs are regulated. Is all ended there?
--I am just beginning.
--Pray, initiate me in your Utopian ideas.
--I have lost sixty millions on salt and postage. I shall regain them through the customs; which also gives me something more precious.
--What, pray?
--International relations founded on justice, and a probability of peace which is equivalent to a certainty. I will disband the army.
--The whole army?
--Except special branches, which will be voluntarily recruited, like all other professions. You see, conscription is abolished.
--Sir, you should say recruiting.
--Ah, I forgot, I cannot help admiring the ease with which, in certain countries, the most unpopular things are perpetuated by giving them other names.
--Like _consolidated duties_, which have become _indirect contributions_.
--And the _gendarmes_, who have taken the name of _municipal guards_.
--In short, trusting to Utopia, you disarm the country.
--I said that I would muster out the army, not that I would disarm the country. I intend, on the contrary, to give it invincible power.
--How do you harmonize this mass of contradictions?
--I call all the citizens to service.
--Is it worth while to relieve a portion from service in order to call out everybody?
--You did not make me Minister in order that I should leave things as they are. Thus, on my advent to power, I shall say with Richelieu, "the State maxims are changed." My first maxim, the one which will serve as a basis for my administration, is this: Every citizen must know two things--How to earn his own living, and defend his country.
--It seems to me, at the first glance, that there is a spark of good sense in this.
--Consequently, I base the national defense on a law consisting of two sections.
Section First. Every able-bodied citizen, without exception, shall be under arms for four years, from his twenty-first to his twenty-fifth year, in order to receive military instruction.--
--This is pretty economy! You send home four hundred thousand soldiers and call out ten millions.
--Listen to my second section:
SEC. 2. _Unless_ he proves, at the age of twenty-one, that he knows the school of the soldier perfectly.
--I did not expect this turn. It is certain that to avoid four years' service, there will be a great emulation among our youth, to learn _by the right flank_ and _double quick, march_. The idea is odd.
--It is better than that. For without grieving families and offending equality, does it not assure the country, in a simple and inexpensive manner, of ten million defenders, capable of defying a coalition of all the standing armies of the globe?
--Truly, if I were not on my guard, I should end in getting interested in your fancies.
_The Utopist, getting excited:_ Thank Heaven, my estimates are relieved of a hundred millions! I suppress the _octroi_. I refund indirect contributions. I--
_Getting more and more excited:_ I will proclaim religious freedom and free instruction. There shall be new resources. I will buy the railroads, pay off the public debt, and starve out the stock gamblers.
--My dear Utopist!
--Freed from too numerous cares, I will concentrate all the resources of the government on the repression of fraud, the administration of prompt and even-handed justice. I--
--My dear Utopist, you attempt too much. The nation will not follow you.
--You gave me the majority.
--I take it back.
--Very well; then I am no longer Minister; but my plans remain what they are--Utopian ideas.
[Footnote 14: The entrance duty levied at the gates of French towns.]
[Footnote 15: I understand M. Bastiat to mean merely that export duties are not necessarily more onerous than import duties. The statement that all taxes are paid by the consumer, is liable to important modifications. An export duty may be laid in such way, and on such articles, that it will be paid wholly by the foreign consumer, without loss to the producing country, but it is only when the additional cost does not lessen the demand, or induce the foreigner to produce the same article. _Translator._]
XII.
SALT, POSTAGE, AND CUSTOMS.
[This chapter is an amusing dialogue relating principally to English Postal Reform. Being inapplicable to any condition of things existing in the United States, it is omitted.--_Translator._]
XIII.
THE THREE ALDERMEN.
A DEMONSTRATION IN FOUR TABLEAUX.
_First Tableau._
[The scene is in the hotel of Alderman Pierre. The window looks out on a fine park; three persons are seated near a good fire.]
_Pierre._ Upon my word, a fire is very comfortable when the stomach is satisfied. It must be agreed that it is a pleasant thing. But, alas! how many worthy people like the King of Yvetot,
"Blow on their fingers for want of wood."
Unhappy creatures, Heaven inspires me with a charitable thought. You see these fine trees. I will cut them down and distribute the wood among the poor.
_Paul and Jean._ What! gratis?
_Pierre._ Not exactly. There would soon be an end of my good works if I scattered my property thus. I think that my park is worth twenty thousand livres; by cutting it down I shall get much more for it.
_Paul._ A mistake. Your wood as it stands is worth more than that in the neighboring forests, for it renders services which that cannot give. When cut down it will, like that, be good for burning only, and will not be worth a sou more per cord.
_Pierre._ Oh! Mr. Theorist, you forget that I am a practical man. I supposed that my reputation as a speculator was well enough established to put me above any charge of stupidity. Do you think that I shall amuse myself by selling my wood at the price of other wood?
_Paul._ You must.
_Pierre._ Simpleton!--Suppose I prevent the bringing of any wood to Paris?
_Paul._ That will alter the case. But how will you manage it?
_Pierre._ This is the whole secret. You know that wood pays an entrance duty of ten sous per cord. To-morrow I will induce the Aldermen to raise this duty to one hundred, two hundred, or three hundred livres, so high as to keep out every fagot. Well, do you see? If the good people do not want to die of cold, they must come to my wood-yard. They will fight for my wood; I shall sell it for its weight in gold, and this well-regulated deed of charity will enable me to do others of the same sort.
_Paul._ This is a fine idea, and it suggests an equally good one to me.
_Jean._ Well, what is it?
_Paul._ How do you find this Normandy butter?
_Jean._ Excellent.
_Paul_. Well, it seemed passable a moment ago. But do you not think it is a little strong? I want to make a better article at Paris. I will have four or five hundred cows, and I will distribute milk, butter and cheese to the poor people.
_Pierre and Jean._ What! as a charity?
_Paul._ Bah, let us always put charity in the foreground. It is such a fine thing that its counterfeit even is an excellent card. I will give my butter to the people and they will give me their money. Is that called selling?
_Jean._ No, according to the _Bourgeois Gentilhomme_; but call it what you please, you ruin yourself. Can Paris compete with Normandy in raising cows?
_Paul._ I shall save the cost of transportation.
_Jean._ Very well; but the Normans are able to _beat_ the Parisians, even if they do have to pay for transportation.
_Paul._ Do you call it _beating_ any one to furnish him things at a low price?
_Jean._ It is the time-honored word. You will always be beaten.
_Paul._ Yes; like Don Quixote. The blows will fall on Sancho. Jean, my friend, you forgot the _octroi_.
_Jean._ The _octroi_! What has that to do with your butter?
_Paul._ To-morrow I will demand _protection_, and I will induce the Council to prohibit the butter of Normandy and Brittany. The people must do without butter, or buy mine, and that at my price, too.
_Jean._ Gentlemen, your philanthropy carries me along with it. "In time one learns to howl with the wolves." It shall not be said that I am an unworthy Alderman. Pierre, this sparkling fire has illumined your soul; Paul, this butter has given an impulse to your understanding, and I perceive that this piece of salt pork stimulates my intelligence. To-morrow I will vote myself, and make others vote, for the exclusion of hogs, dead or alive; this done, I will build superb stock-yards in the middle of Paris "for the unclean animal forbidden to the Hebrews." I will become swineherd and pork-seller, and we shall see how the good people of Lutetia can help getting their food at my shop.
_Pierre._ Gently, my friends; if you thus run up the price of butter and salt meat, you diminish the profit which I expected from my wood.
_Paul._ Nor is my speculation so wonderful, if you ruin me with your fuel and your hams.
_Jean._ What shall I gain by making you pay an extra price for my sausages, if you overcharge me for pastry and fagots?
_Pierre._ Do you not see that we are getting into a quarrel? Let us rather unite. Let us make _reciprocal concessions_. Besides, it is not well to listen only to miserable self-interest. _Humanity_ is concerned, and must not the warming of the people be secured?
_Paul._ That it is true, and people must have butter to spread on their bread.
_Jean._ Certainly. And they must have a bit of pork for their soup.
_All Together._ Forward, charity! Long live philanthropy! To-morrow, to-morrow, we will take the octroi by assault.
_Pierre._ Ah, I forgot. One word more which is important. My friends, in this selfish age people are suspicious, and the purest intentions are often misconstrued. Paul, you plead for _wood_; Jean, defend _butter_; and I will devote myself to domestic _swine_. It is best to head off invidious suspicions. _Paul and Jean_ (leaving). Upon my word, what a clever fellow!
SECOND TABLEAU.
_The Common Council._
_Paul._ My dear colleagues, every day great quantities of wood come into Paris, and draw out of it large sums of money. If this goes on, we shall all be ruined in three years, and what will become of the poor people? [Bravo.] Let us prohibit foreign wood. I am not speaking for myself, for you could not make a tooth-pick out of all the wood I own. I am, therefore, perfectly disinterested. [Good, good.] But here is Pierre, who has a park, and he will keep our fellow-citizens from freezing. They will no longer be in a state of _dependence_ on the charcoal dealers of the Yonne. Have you ever thought of the risk we run of dying of cold, if the proprietors of these foreign forests should take it into their heads not to bring any more wood to Paris? Let us, therefore, prohibit wood. By this means we shall stop the drain of specie, we shall start the wood-chopping business, and open to our workmen a new source of labor and wages. [Applause.]
_Jean._ I second the motion of the Honorable member--a proposition so philanthropic and so disinterested, as he remarked. It is time that we should stop this intolerable _freedom of entry_, which has brought a ruinous competition upon our market, so that there is not a province tolerably well situated for producing some one article which does not inundate us with it, sell it to us at a low price, and depress Parisian labor. It is the business of the State to _equalize the conditions of production_ by wisely graduated duties; to allow the entrance from without of whatever is dearer there than at Paris, and thus relieve us from an unequal _contest_. How, for instance, can they expect us to make milk and butter in Paris as against Brittany and Normandy? Think, gentlemen; the Bretons have land cheaper, feed more convenient, and labor more abundant. Does not common sense say that the conditions must be equalized by a protecting duty? I ask that the duty on milk and butter be raised to a thousand per cent., and more, if necessary. The breakfasts of the people will cost a little more, but wages will rise! We shall see the building of stables and dairies, a good trade in churns, and the foundation of new industries laid. I, myself, have not the least interest in this plan. I am not a cowherd, nor do I desire to become one. I am moved by the single desire to be useful to the laboring classes. [Expressions of approbation.]
_Pierre._ I am happy to see in this assembly statesmen so pure, enlightened, and devoted to the interests of the people. [Cheers.] I admire their self-denial, and cannot do better than follow such noble examples. I support their motion, and I also make one to exclude Poitou hogs. It is not that I want to become a swineherd or pork dealer, in which case my conscience would forbid my making this motion; but is it not shameful, gentlemen, that we should be paying tribute to these poor Poitevin peasants who have the audacity to come into our own market, take possession of a business that we could have carried on ourselves, and, after having inundated us with sausages and hams, take from us, perhaps, nothing in return? Anyhow, who says that the balance of trade is not in their favor, and that we are not compelled to pay them a tribute in money? Is it not plain that if this Poitevin industry were planted in Paris, it would open new fields to Parisian labor? Moreover, gentlemen, is it not very likely, as Mr. Lestiboudois said, that we buy these Poitevin salted meats, not with our income, but our capital? Where will this land us? Let us not allow greedy, avaricious and perfidious rivals to come here and sell things cheaply, thus making it impossible for us to produce them ourselves. Aldermen, Paris has given us its confidence, and we must show ourselves worthy of it. The people are without labor, and we must create it, and if salted meat costs them a little more, we shall, at least, have the consciousness that we have sacrificed our interests to those of the masses, as every good Alderman ought to do. [Thunders of applause.]
_A Voice._ I hear much said of the poor people; but, under the pretext of giving them labor, you begin by taking away from them that which is worth more than labor itself--wood, butter, and soup.
_Pierre, Paul and Jean._ Vote, vote. Away with your theorists and generalizers! Let us vote. [The three motions are carried.]
THIRD TABLEAU.
_Twenty Years After._
_Son._ Father, decide; we must leave Paris. Work is slack, and everything is dear.
_Father._ My son, you do not know how hard it is to leave the place where we were born.
_Son._ The worst of all things is to die there of misery.
_Father._ Go, my son, and seek a more hospitable country. For myself, I will not leave the grave where your mother, sisters and brothers lie. I am eager to find, at last, near them, the rest which is denied me in this city of desolation.
_Son._ Courage, dear father, we will find work elsewhere--in Poitou, Normandy or Brittany. They say that the industry of Paris is gradually transferring itself to those distant countries.
_Father._ It is very natural. Unable to sell us wood and food, they stopped producing more than they needed for themselves, and they devoted their spare time and capital to making those things which we formerly furnished them.
_Son._ Just as at Paris, they quit making handsome furniture and fine clothes, in order to plant trees, and raise hogs and cows. Though quite young, I have seen vast storehouses, sumptuous buildings, and quays thronged with life on those banks of the Seine which are now given up to meadows and forests.
_Father._ While the provinces are filling up with cities, Paris becomes country. What a frightful revolution! Three mistaken Aldermen, aided by public ignorance, have brought down on us this terrible calamity.
_Son._ Tell me this story, my father.
_Father._ It is very simple. Under the pretext of establishing three new trades at Paris, and of thus supplying labor to the workmen, these men secured the prohibition of wood, butter, and meats. They assumed the right of supplying their fellow-citizens with them. These articles rose immediately to an exorbitant price. Nobody made enough to buy them, and the few who could procure them by using up all they made were unable to buy anything else; consequently all branches of industry stopped at once--all the more so because the provinces no longer offered a market. Misery, death, and emigration began to depopulate Paris.
_Son._ When will this stop?
_Father._ When Paris has become a meadow and a forest.
_Son._ The three Aldermen must have made a great fortune.
_Father._ At first they made immense profits, but at length they were involved in the common misery.
_Son._ How was that possible?
_Father._ You see this ruin; it was a magnificent house, surrounded by a fine park. If Paris had kept on advancing, Master Pierre would have got more rent from it annually than the whole thing is now worth to him.
_Son._ How can that be, since he got rid of competition?
_Father._ Competition in selling has disappeared; but competition in buying also disappears every day, and will keep on disappearing until Paris is an open field, and Master Pierre's woodland will be worth no more than an equal number of acres in the forest of Bondy. Thus, a monopoly, like every species of injustice, brings its own punishment upon itself.
_Son._ This does not seem very plain to me, but the decay of Paris is undeniable. Is there, then, no means of repealing this unjust measure that Pierre and his colleagues adopted twenty years ago?
_Father._ I will confide my secret to you. I will remain at Paris for this purpose; I will call the people to my aid. It depends on them whether they will replace the _octroi_ on its old basis, and dismiss from it this fatal principle, which is grafted on it, and has grown there like a parasite fungus.
_Son._ You ought to succeed on the very first day.
_Father._ No; on the contrary, the work is a difficult and laborious one. Pierre, Paul and Jean understand one another perfectly. They are ready to do anything rather than allow the entrance of wood, butter and meat into Paris. They even have on their side the people, who clearly see the labor which these three protected branches of business give, who know how many wood-choppers and cow-drivers it gives employment to, but who cannot obtain so clear an idea of the labor that would spring up in the free air of liberty.
_Son._ If this is all that is needed, you will enlighten them.
_Father._ My child, at your age, one doubts at nothing. If I wrote, the people would not read; for all their time is occupied in supporting a wretched existence. If I speak, the Aldermen will shut my mouth. The people will, therefore, remain long in their fatal error; political parties, which build their hopes on their passions, attempt to play upon their prejudices, rather than to dispel them. I shall then have to deal with the powers that be--the people and the parties. I see that a storm will burst on the head of the audacious person who dares to rise against an iniquity which is so firmly rooted in the country.
_Son._ You will have justice and truth on your side.
_Father._ And they will have force and calumny. If I were only young! But age and suffering have exhausted my strength.
_Son._ Well, father, devote all that you have left to the service of the country. Begin this work of emancipation, and leave to me for an inheritance the task of finishing it.
FOURTH TABLEAU.
_The Agitation._
_Jacques Bonhomme._ Parisians, let us demand the reform of the _octroi_; let it be put back to what it was. Let every citizen be FREE to buy wood, butter and meat where it seems good to him.
_The People._ Hurrah for LIBERTY!
_Pierre._ Parisians, do not allow yourselves to be seduced by these words. Of what avail is the freedom of purchasing, if you have not the means? and how can you have the means, if labor is wanting? Can Paris produce wood as cheaply as the forest of Bondy, or meat at as low price as Poitou, or butter as easily as Normandy? If you open the doors to these rival products, what will become of the wood cutters, pork dealers, and cattle drivers? They cannot do without protection.
_The People._. Hurrah for PROTECTION!
_Jacques._ Protection! But do they protect you, workmen? Do not you compete with one another? Let the wood dealers then suffer competition in their turn. They have no right to raise the price of their wood by law, unless they, also, by law, raise wages. Do you not still love equality?
_The People._ Hurrah for EQUALITY!
_Pierre._ Do not listen to this factious fellow. We have raised the price of wood, meat, and butter, it is true; but it is in order that we may give good wages to the workmen. We are moved by charity.
_The People._ Hurrah for CHARITY!
_Jacques._ Use the _octroi_, if you can, to raise wages, or do not use it to raise the price of commodities. The Parisians do not ask for charity, but justice.
_The People._ Hurrah for JUSTICE!
_Pierre._ It is precisely the dearness of products which will, by reflex action, raise wages.
_The People._ Hurrah for DEARNESS!
_Jacques._ If butter is dear, it is not because you pay workmen well; it is not even that you may make great profits; it is only because Paris is ill situated for this business, and because you desired that they should do in the city what ought to be done in the country, and in the country what was done in the city. The people have no _more_ labor, only they labor at something else. They get no _more_ wages, but they do not buy things as cheaply.
_The People._ Hurrah for CHEAPNESS!
_Pierre._ This person seduces you with his fine words. Let us state the question plainly. Is it not true that if we admit butter, wood, and meat, we shall be inundated with them, and die of a plethora? There is, then, no other way in which we can preserve ourselves from this new inundation, than to shut the door, and we can keep up the price of things only by causing scarcity artificially.
_A Very Few Voices._ Hurrah for SCARCITY!
_Jacques._ Let us state the question as it is. Among all the Parisians we can divide only what is in Paris; the less wood, butter and meat there is, the smaller each one's share will be. There will be less if we exclude than if we admit. Parisians, individual abundance can exist only where there is general abundance.
_The People._ Hurrah for ABUNDANCE!
_Pierre._ No matter what this man says, he cannot prove to you that it is to your interest to submit to unbridled competition.
_The People._ Down with COMPETITION!
_Jacques._ Despite all this man's declamation, he cannot make you _enjoy_ the sweets of restriction.
_The People._ Down with RESTRICTION!
_Pierre._ I declare to you that if the poor dealers in cattle and hogs are deprived of their livelihood, if they are sacrificed to theories, I will not be answerable for public order. Workmen, distrust this man. He is an agent of perfidious Normandy; he is under the pay of foreigners. He is a traitor, and must be hanged. [The people keep silent.]
_Jacques._ Parisians, all that I say now, I said to you twenty years ago, when it occurred to Pierre to use the _octroi_ for his gain and your loss. I am not an agent of Normandy. Hang me if you will, but this will not prevent oppression from being oppression. Friends, you must kill neither Jacques nor Pierre, but liberty if it frightens you, or restriction if it hurts you.
_The People._ Let us hang nobody, but let us emancipate everybody.
XIV.
SOMETHING ELSE.
--What is restriction?
--A partial prohibition.
--What is prohibition?
--An absolute restriction.
--So that what is said of one is true of the other?
--Yes, comparatively. They bear the same relation to each other that the arc of the circle does to the circle.
--Then if prohibition is bad, restriction cannot be good.
--No more than the arc can be straight if the circle is curved.
--What is the common name for restriction and prohibition?
--Protection.
--What is the definite effect of protection?
--To require from men _harder labor for the same result_.
--Why are men so attached to the protective system?
--Because, since liberty would accomplish the same result _with less labor_, this apparent diminution of labor frightens them.
--Why do you say _apparent_?
--Because all labor economized can be devoted to _something else_.
--What?
--That cannot and need not be determined.
--Why?
--Because, if the total of the comforts of France could be gained with a diminution of one-tenth on the total of its labor, no one could determine what comforts it would procure with the labor remaining at its disposal. One person would prefer to be better clothed, another better fed, another better taught, and another more amused.
--Explain the workings and effect of protection.
--It is not an easy matter. Before taking hold of a complicated instance, it must be studied in the simplest one.
--Take the simplest you choose.
--Do you recollect how Robinson Crusoe, having no saw, set to work to make a plank?
--Yes. He cut down a tree, and then with his ax hewed the trunk on both sides until he got it down to the thickness of a board.
--And that gave him an abundance of work?
--Fifteen full days.
--What did he live on during this time?
--His provisions.
--What happened to the ax?
--It was all blunted.
--Very good; but there is one thing which, perhaps, you do not know. At the moment that Robinson gave the first blow with his ax, he saw a plank which the waves had cast up on the shore.
--Oh, the lucky accident! He ran to pick it up?
--It was his first impulse; but he checked himself, reasoning thus:
"If I go after this plank, it will cost me but the labor of carrying it and the time spent in going to and returning from the shore.
"But if I make a plank with my ax, I shall in the first place obtain work for fifteen days, then I shall wear out my ax, which will give me an opportunity of repairing it, and I shall consume my provisions, which will be a third source of labor, since they must be replaced. Now, _labor is wealth_. It is plain that I will ruin myself if I pick up this stranded board. It is important to protect my _personal labor_, and now that I think of it, I can create myself additional labor by kicking this board back into the sea."
--But this reasoning was absurd!
--Certainly. Nevertheless it is that adopted by every nation which _protects_ itself by prohibition. It rejects the plank which is offered it in exchange for a little labor, in order to give itself more labor. It sees a gain even in the labor of the custom house officer. This answers to the trouble which Robinson took to give back to the waves the present they wished to make him. Consider the nation a collective being, and you will not find an atom of difference between its reasoning and that of Robinson.
--Did not Robinson see that he could use the time saved in doing _something else_?
--What '_something else_'?
--So long as one has wants and time, one has always _something_ to do. I am not bound to specify the labor that he could undertake.
--I can specify very easily that which he would have avoided.
--I assert, that Robinson, with incredible blindness, confounded labor with its result, the end with the means, and I will prove it to you.
--It is not necessary. But this is the restrictive or prohibitory system in its simplest form. If it appears absurd to you, thus stated, it is because the two qualities of producer and consumer are here united in the same person.
--Let us pass, then, to a more complicated instance.
--Willingly. Some time after all this, Robinson having met Friday, they united, and began to work in common. They hunted for six hours each morning and brought home four hampers of game. They worked in the garden for six hours each afternoon, and obtained four baskets of vegetables.
One day a canoe touched at the Island of Despair. A good-looking stranger landed, and was allowed to dine with our two hermits. He tasted, and praised the products of the garden, and before taking leave of his hosts, said to them:
"Generous Islanders, I dwell in a country much richer in game than this, but where horticulture is unknown. It would be easy for me to bring you every evening four hampers of game if you would give me only two baskets of vegetables."
At these words Robinson and Friday stepped on one side, to have a consultation, and the debate which followed is too interesting not to be given _in extenso_:
_Friday._ Friend, what do you think of it?
_Robinson._ If we accept we are ruined.
_Friday._ Is that certain? Calculate!
_Robinson._ It is all calculated. Hunting, crushed out by competition, will be a lost branch of industry for us.
_Friday._ What difference does that make, if we have the game?
_Robinson._ Theory! It will not be the product of our labor.
_Friday._ Yes, it will, since we will have to give vegetables to get it.
_Robinson._ Then what shall we make?
_Friday._ The four hampers of game cost us six hours' labor. The stranger gives them to us for two baskets of vegetables, which take us but three hours. Thus three hours remain at our disposal.
_Robinson._ Say rather that they are taken from our activity. There is our loss. _Labor is wealth_, and if we lose a fourth of our time we are one-fourth poorer.
_Friday._ Friend, you make an enormous mistake. The same amount of game and vegetables and three free hours to boot make progress, or there is none in the world.
_Robinson._ Mere generalities. What will we do with these three hours?
_Friday._ We will do _something else_.
_Robinson._ Ah, now I have you. You can specify nothing. It is very easy to say _something else--something else_.
_Friday._ We will fish. We will adorn our houses. We will read the Bible.
_Robinson._ Utopia! Is it certain that we will do this rather than that?
_Friday._ Well, if we have no wants, we will rest. Is rest nothing?
_Robinson._ When one rests one dies of hunger.
_Friday._ Friend, you are in a vicious circle. I speak of a rest which diminishes neither our gains nor our vegetables. You always forget that by means of our commerce with this stranger, nine hours of labor will give us as much food as twelve now do.
_Robinson._ It is easy to see that you were not reared in Europe. Perhaps you have never read the _Moniteur Industriel_? It would have taught you this: "All time saved is a dear loss. Eating is not the important matter, but working. Nothing which we consume counts, if it is not the product of our labor. Do you wish to know whether you are rich? Do not look at your comforts, but at your trouble." This is what the _Moniteur Industriel_ would have taught you. I, who am not a theorist, see but the loss of our hunting.
_Friday._ What a strange perversion of ideas. But--
_Robinson._ No _buts_. Besides, there are political reasons for rejecting the interested offers of this perfidious stranger.
_Friday._ Political reasons!
_Robinson._ Yes. In the first place he makes these offers only because they are for his advantage.
_Friday._ So much the better, since they are for ours also.
_Robinson._ Then by these exchanges we shall become dependent on him.
_Friday._ And he on us. We need his game, he our vegetables, and we will live in good friendship.
_Robinson._ Fancy! Do you want I should leave you without an answer?
_Friday._ Let us see; I am still waiting a good reason.
_Robinson._ Supposing that the stranger learns to cultivate a garden, and that his island is more fertile than ours. Do you see the consequences?
_Friday._ Yes. Our relations with the stranger will stop. He will take no more vegetables from us, since he can get them at home with less trouble. He will bring us no more game, since we will have nothing to give in exchange, and we will be then just where you want us to be now.
_Robinson._ Short-sighted savage! You do not see that after having destroyed our hunting, by inundating us with game, he will kill our gardening by overwhelming us with vegetables.
_Friday._ But he will do that only so long as we give him _something else_; that is to say, so long as we find _something else_ to produce, which will economize our labor.
_Robinson._ _Something else--something else!_ You always come back to that. You are very vague, friend Friday; there is nothing practical in your views.
The contest lasted a long time, and, as often happens, left each one convinced that he was right. However, Robinson having great influence over Friday, his views prevailed, and when the stranger came for an answer, Robinson said to him:
"Stranger, in order that your proposition may be accepted, we must be quite sure of two things:
"The first is, that your island is not richer in game than ours, for we will struggle but with _equal arms_.
"The second is, that you will lose by the bargain. For, as in every exchange there is necessarily a gainer and a loser, we would be cheated, if you were not. What have you to say?".
"Nothing, nothing," replied the stranger, who burst out laughing, and returned to his canoe.
--The story would not be bad if Robinson was not so foolish.
--He is no more so than the committee in Hauteville street.
--Oh, there is a great difference. You suppose one solitary man, or, what comes to the same thing, two men living together. This is not our world; the diversity of occupations, and the intervention of merchants and money, change the question materially.
--All this complicates transactions, but does not change their nature.
--What! Do you propose to compare modern commerce to mere exchanges?
--Commerce is but a multitude of exchanges; the real nature of the exchange is identical with the real nature of commerce, as small labor is of the same nature with great, and as the gravitation which impels an atom is of the same nature as that which attracts a world.
--Thus, according to you, these arguments, which in Robinson's mouth are so false, are no less so in the mouths of our protectionists?
--Yes; only error is hidden better under the complication of circumstances.
--Well, now, select some instance from what has actually occurred.
--Very well; in France, in view of custom and the exigencies of the climate, cloth is an useful article. Is it the essential thing _to make it, or to have it_?
--A pretty question! To have it, we must make it.
--That is not necessary. It is certain that to have it some one must make it; but it is not necessary that the person or country using it should make it. You did not produce that which clothes you so well, nor France the coffee it uses for breakfast.
--But I purchased my cloth, and France its coffee.
--Exactly, and with what?
--With specie.
--But you did not make the specie, nor did France.
--We bought it.
--With what?
--With our products which went to Peru.
--Then it is in reality your labor that you exchange for cloth, and French labor that is exchanged for coffee?
--Certainly.
--Then it is not absolutely necessary to make what one consumes?
--No, if one makes _something else_, and gives it in exchange.
--In other words, France has two ways of procuring a given quantity of cloth. The first is to make it, and the second is to make _something else_, and exchange _that something else_ abroad for cloth. Of these two ways, which is the best?
--I do not know.
--Is it not that which, _for a fixed amount of labor, gives the greatest quantity of cloth_?
--It seems so.
--Which is best for a nation, to have the choice of these two ways, or to have the law forbid its using one of them at the risk of rejecting the best?
--It seems to me that it would be best for the nation to have the choice, since in these matters it always makes a good selection.
--The law which prohibits the introduction of foreign cloth, decides, then, that if France wants cloth, it must make it at home, and that it is forbidden to make that _something else_ with which it could purchase foreign cloth?
--That is true.
--And as it is obliged to make cloth, and forbidden to make _something else_, just because the other thing would require less labor (without which France would have no occasion to do anything with it), the law virtually decrees, that for a certain amount of labor, France shall have but one yard of cloth, making it itself, when, for the same amount of labor, it could have had two yards, by making _something else_.
--But what other thing?
--No matter what. Being free to choose, it will make _something else_ only so long as there is _something else_ to make.
--That is possible; but I cannot rid myself of the idea that the foreigners may send us cloth and not take something else, in which case we shall be prettily caught. Under all circumstances, this is the objection, even from your own point of view. You admit that France will make this _something else_, which is to be exchanged for cloth, with less labor than if it had made the cloth itself?
--Doubtless.
--Then a certain quantity of its labor will become inert?
--Yes; but people will be no worse clothed--a little circumstance which causes the whole misunderstanding. Robinson lost sight of it, and our protectionists do not see it, or pretend not to. The stranded plank thus paralyzed for fifteen days Robinson's labor, so far as it was applied to the making of a plank, but it did not deprive him of it. Distinguish, then, between these two kinds of diminution of labor, one resulting in _privation_, and the other in _comfort_. These two things are very different, and if you assimilate them, you reason like Robinson. In the most complicated, as in the most simple instances, the sophism consists in this: _Judging of the utility of labor by its duration and intensity, and not by its results_, which leads to this economic policy, _a reduction of the results of labor, in order to increase its duration and intensity_.
XV.
THE LITTLE ARSENAL OF THE FREE TRADER.
--If they say to you: There are no absolute principles; prohibition may be bad, and restriction good--
Reply: Restriction _prohibits_ all that it keeps from coming in.
--If they say to you: Agriculture is the nursing mother of the country--
Reply: That which feeds a country is not exactly agriculture, but _grain_.
--If they say to you: The basis of the sustenance of the people is agriculture--
Reply: The basis of the sustenance of the people is _grain_. Thus a law which causes _two_ bushels of grain to be obtained by agricultural labor at the expense of four bushels, which the same labor would have produced but for it, far from being a law of sustenance, is a law of starvation.
--If they say to you: A restriction on the admission of foreign grain leads to more cultivation, and, consequently, to a greater home production--
Reply: It leads to sowing on the rocks of the mountains and the sands of the sea. To milk and steadily milk, a cow gives more milk; for who can tell the moment when not a drop more can be obtained? But the drop costs dear.
--If they say to you: Let bread be dear, and the wealthy farmer will enrich the artisans--
Reply: Bread is dear when there is little of it, a thing which can make but poor, or, if you please, rich people who are starving.
--If they insist on it, saying: When food is dear, wages rise--
Reply by showing that in April, 1847, five-sixths of the workingmen were beggars.
--If they say to you: The profits of the workingmen must rise with the dearness of food--
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Sophisms of the ProtectionistsChapter XI: Appendix (2)
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