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Economic Sophisms · Frédéric Bastiat — chapter 17 of 71 · ~1,543 words · public domain

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A sale, in fact, implies a purchase, and since, according to this doctrine, to sell is beneficial, and to buy is the reverse, every international transaction would imply the amelioration of one people, and the deterioration of another.

But if men are, on the one hand, irresistibly impelled towards what is for their profit, and if, on the other, they resist instinctively what is hurtful, we are forced to conclude that each nation carries in its bosom a natural force of expansion, and a not less natural force of resistance, which forces are equally injurious to all other nations; or, in other words, that antagonism and war are the natural state of human society.

Thus the theory we are discussing may be summed up in these two axioms:

Utility is incompatible with Justice at home.

Utility is incompatible with Peace abroad.

Now, what astonishes and confounds me is, that a publicist, a statesman, who sincerely holds an economical doctrine which runs so violently counter to other principles which are incontestable, should be able to enjoy one moment of calm or peace of mind.

For my own part, it seems to me, that if I had entered the precincts of the science by the same gate, if I had failed to perceive clearly that Liberty, Utility, Justice, Peace, are things not only compatible, but strictly allied with each other, and, so to speak, identical, I should have endeavoured to forget what I had learned, and I should have asked:

"How God could have willed that men should attain prosperity only through Injustice and War? How He could have willed that they should be unable to avoid Injustice and War except by renouncing the possibility of attaining prosperity?

"Dare I adopt, as the basis of the legislation of a great nation, a science which thus misleads me by false lights, which has conducted me to this horrible blasphemy, and landed me in so dreadful an alternative? And when a long train of illustrious philosophers have been conducted by this science, to which they have devoted their lives, to more consoling results--when they affirm that Liberty and Utility are perfectly reconcilable with Justice and Peace--that all these great principles run in infinitely extended parallels, and will do so to all eternity, without running counter to each other,--I would ask, Have they not in their favour that presumption which results from all that we know of the goodness and wisdom of God, as manifested in the sublime harmony of the material creation? In the face of such a presumption, and of so many reliable authorities, ought I to believe lightly that God has been pleased to implant antagonism and dissonance in the laws of the moral world? No; before I should venture to conclude that the principles of social order run counter to and neutralize each other, and are in eternal and irreconcilable opposition--before I should venture to impose on my fellow-citizens a system so impious as that to which my reasonings would appear to lead,--I should set myself to reexamine the whole chain of these reasonings, and assure myself that at this stage of the journey I had not missed my way." But if, after a candid and searching examination, twenty times repeated, I arrived always at this frightful conclusion, that we must choose between the Bight and the Good, discouraged, I should reject the science, and bury myself in voluntary ignorance; above all, I should decline all participation in public affairs, leaving to men of another temper and constitution the burden and responsibility of a choice so painful.

XV. RECIPROCITY AGAIN.

M. de Saint-Cricq inquires, "Whether it is certain that the foreigner will buy from us as much as he sells?"

M. de Dombasle asks, "What reason we have to believe that English producers will take from us, rather than from some other country of the world, the commodities they have need of, and an amount of commodities equivalent in value to that of their exports to France?"

I wonder how so many men who call themselves practical men should have all reasoned without reference to practice!

In practice, does a single exchange take place, out of a hundred, out of a thousand, out of ten thousand perhaps, which represents the direct barter of commodity for commodity? Never since the introduction of money has any agriculturist said: I want to buy shoes, hats, advice, lessons; but only from the shoemaker, the hat-maker, the lawyer, the professor, who will purchase from me corn to an exactly equivalent value. And why should nations bring each other under a yoke of this kind? Practically how are such matters transacted?

Let us suppose a people shut out from external relations. A man, we shall suppose, produces wheat. He sends it to the home market, and offers it for the highest price he can obtain. He receives in exchange--what? Coins, which are just so many drafts or orders, varying very much in amount, by means of which he can draw, in his turn, from the national stores, when he judges it proper, and subject to due competition, everything which he may want or desire. Ultimately, and at the end of the operation, he will have drawn from the mass the exact equivalent of what he has contributed to it, and, in value, his consumption will exactly equal his production.

If the exchanges of the supposed nation with foreigners are left free, it is no longer to the national, but to the general, market that each sends his contributions, and, in turn, derives his supplies for consumption. He has no need to care whether what he sends into the market of the world is purchased by a fellow-countryman or by a foreigner; whether the drafts or orders he receives come from a Frenchman or an Englishman; whether the commodities for which he afterwards exchanges these drafts or orders are produced on this or on the other side of the Rhine or the Pyrenees. There is always in each individual case an exact balance between what is contributed and what is received, between what is poured into and what is drawn out of the great common reservoir; and if this is true of each individual, it is true of the nation at large.

The only difference between the two cases is, that in the last each has to face a more extended market both as regards sales and purchases, and has consequently more chances of transacting both advantageously.

This objection may perhaps be urged: If everybody enters into a league not to take from the general mass the commodities of a certain individual, that individual cannot, in his turn, obtain from the mass what he is in want of. It is the same of nations.

The reply to this is, that if a nation cannot obtain what it has need of in the general market, it will no longer contribute anything to that market. It will work for itself. It will be forced in that case to submit to what you want to impose on it beforehand--isolation.

And this will realize the ideal of the prohibitive régime.

Is it not amusing to think that you inflict upon the nation, now and beforehand, this very régime, from a fear that it might otherwise run the risk of arriving at it independently of your exertions?

XVI. OBSTRUCTED NAVIGATION PLEADING FOR THE PROHIBITIONISTS.

Some years ago I happened to be at Madrid, and went to the Cortes. The subject of debate was a proposed treaty with Portugal for improving the navigation of the Douro. One of the deputies rose and said: "If the navigation of the Douro is improved in the way now proposed, the traffic will be carried on at less expense. The grain of Portugal will, in consequence, be sold in the markets of Castile at a lower price, and will become a formidable rival to our national industry. I oppose the project, unless, indeed, our ministers will undertake to raise the tariff of customs to the extent required to re-establish the equilibrium." The Assembly found the argument unanswerable.

Three months afterwards I was at Lisbon. The same question was discussed in the Senate. A noble hidalgo made a speech: "Mr President," he said, "this project is absurd. You place guards, at great expense, along the banks of the Douro to prevent Portugal being invaded by Castilian grain; and at the same time you propose, also at great expense, to facilitate that invasion. This is a piece of inconsistency to which I cannot assent. Let us leave the Douro to our children, as it has come to us from our fathers."

Afterwards, when the subject of improving the navigation of the Garonne was discussed, I remembered the arguments of the Iberian orators, and I said to myself, If the Toulouse deputies were as good economists as the Spanish deputies, and the representatives of Bordeaux as acute logicians as those of Oporto, assuredly they would leave the Garonne

"Dormir au bruit flatteur de son onde naissante;"

for the canalisation of the Garonne would favour the invasion of Toulouse products, to the prejudice of Bordeaux, and the inundation of Bordeaux products would do the same thing to the detriment of Toulouse.

XVII. A NEGATIVE RAILWAY.

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