Essays on Political Economy Part 4

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These are some of the reasons alleged by the adversaries of State intervention in what concerns the order in which citizens think their wants and desires should be satisfied, and to which, consequently, their activity should be directed. I am, I confess, one of those who think that choice and impulse ought to come from below and not from above, from the citizen and not from the legislator; and the opposite doctrine appears to me to tend to the destruction of liberty and of human dignity.

But, by a deduction as false as it is unjust, do you know what economists are accused of? It is, that when we disapprove of government support, we are supposed to disapprove of the thing itself whose support is discussed; and to be the enemies of every kind of activity, because we desire to see those activities, on the one hand free, and on the other seeking their own reward in themselves. Thus, if we think that the State should not interfere by taxation in religious affairs, we are atheists. If we think the State ought not to interfere by taxation in education, we are hostile to knowledge. If we say that the State ought not by taxation to give a fict.i.tious value to land, or to any particular branch of industry, we are enemies to property and labour. If we think that the State ought not to support artists, we are barbarians, who look upon the arts as useless.

Against such conclusions as these I protest with all my strength. Far from entertaining the absurd idea of doing away with religion, education, property, labour, and the arts, when we say that the State ought to protect the free development of all these kinds of human activity, without helping some of them at the expense of others--we think, on the contrary, that all these living powers of society would develop themselves more harmoniously under the influence of liberty; and that, under such an influence no one of them would, as is now the case, be a source of trouble, of abuses, of tyranny, and disorder.

Our adversaries consider that an activity which is neither aided by supplies, nor regulated by government, is an activity destroyed. We think just the contrary. Their faith is in the legislator, not in mankind; ours is in mankind, not in the legislator.

Thus M. Lamartine said, "Upon this principle we must abolish the public exhibitions, which are the honour and the wealth of this country." But I would say to M. Lamartine,--According to your way of thinking, not to support is to abolish; because, setting out upon the maxim that nothing exists independently of the will of the State, you conclude that nothing lives but what the State causes to live. But I oppose to this a.s.sertion the very example which you have chosen, and beg you to remark, that the grandest and n.o.blest of exhibitions, one which has been conceived in the most liberal and universal spirit--and I might even make use of the term humanitary, for it is no exaggeration--is the exhibition now preparing in London; the only one in which no government is taking any part, and which is being paid for by no tax.

To return to the fine arts. There are, I repeat, many strong reasons to be brought, both for and against the system of government a.s.sistance.

The reader must see that the especial, object of this work leads me neither to explain these reasons, nor to decide in their favour, nor against them.

But M. Lamartine has advanced one argument which I cannot pa.s.s by in silence, for it is closely connected with this economic study. "The economical question, as regards theatres, is comprised in one word--labour. It matters little what is the nature of this labour; it is as fertile, as productive a labour as any other kind of labour in the nation. The theatres in France, you know, feed and salary no less than 80,000 workmen of different kinds; painters, masons, decorators, costumers, architects, &c., which const.i.tute the very life and movement of several parts of this capital, and on this account they ought to have your sympathies." Your sympathies! say rather your money.

And further on he says: "The pleasures of Paris are the labour and the consumption of the provinces, and the luxuries of the rich are the wages and bread of 200,000 workmen of every description, who live by the manifold industry of the theatres on the surface of the republic, and who receive from these n.o.ble pleasures, which render France ill.u.s.trious, the sustenance of their lives and the necessaries of their families and children. It is to them that you will give 60,000 francs." (Very well; very well. Great applause.) For my part I am constrained to say, "Very bad! very bad!" confining this opinion, of course, within the bounds of the economical question which we are discussing.

Yes, it is to the workmen of the theatres that a part, at least, of these 60,000 francs will go; a few bribes, perhaps, may be abstracted on the way. Perhaps, if we were to look a little more closely into the matter, we might find that the cake had gone another way, and that those workmen were fortunate who had come in for a few crumbs. But I will allow, for the sake of argument, that the entire sum does go to the painters, decorators, &c.

_This is that which is seen._ But whence does it come? This is the other side of the question, and quite as important as the former. Where do these 60,000 francs spring from? and where would they go, if a vote of the legislature did not direct them first towards the Rue Rivoli and thence towards the Rue Grenelle? This _is what is not seen_. Certainly, n.o.body will think of maintaining that the legislative vote has caused this sum to be hatched in a ballot urn; that it is a pure addition made to the national wealth; that but for this miraculous vote these 60,000 francs would have been for ever invisible and impalpable. It must be admitted that all that the majority can do is to decide that they shall be taken from one place to be sent to another; and if they take one direction, it is only because they have been diverted from another.

This being the case, it is clear that the tax-payer, who has contributed one franc, will no longer have this franc at his own disposal. It is clear that he will be deprived of some gratification to the amount of one franc; and that the workman, whoever he may be, who would have received it from him, will be deprived of a benefit to that amount. Let us not, therefore, be led by a childish illusion into believing that the vote of the 60,000 francs may add anything whatever to the well-being of the country, and to national labour. It displaces enjoyments, it transposes wages--that is all.

Will it be said that for one kind of gratification, and one kind of labour, it subst.i.tutes more urgent, more moral, more reasonable gratifications and labour? I might dispute this; I might say, by taking 60,000 francs from the tax-payers, you diminish the wages of labourers, drainers, carpenters, blacksmiths, and increase in proportion those of the singers.

There is nothing to prove that this latter cla.s.s calls for more sympathy than the former. M. Lamartine does not say that it is so. He himself says that the labour of the theatres is _as_ fertile, _as_ productive as any other (not more so); and this may be doubted; for the best proof that the latter is not so fertile as the former lies in this, that the other is to be called upon to a.s.sist it.

But this comparison between the value and the intrinsic merit of different kinds of labour forms no part of my present subject. All I have to do here is to show, that if M. Lamartine and those persons who commend his line of argument have seen on one side the salaries gained by the _providers_ of the comedians, they ought on the other to have seen the salaries lost by the _providers_ of the taxpayers: for want of this, they have exposed themselves to ridicule by mistaking a _displacement_ for a _gain_. If they were true to their doctrine, there would be no limits to their demands for government aid; for that which is true of one franc and of 60,000 is true, under parallel circ.u.mstances, of a hundred millions of francs.

When taxes are the subject of discussion, you ought to prove their utility by reasons from the root of the matter, but not by this unlucky a.s.sertion--"The public expenses support the working cla.s.ses." This a.s.sertion disguises the important fact, that _public expenses always_ supersede _private expenses_, and that therefore we bring a livelihood to one workman instead of another, but add nothing to the share of the working cla.s.s as a whole. Your arguments are fas.h.i.+onable enough, but they are too absurd to be justified by anything like reason.

V.--Public Works.

Nothing is more natural than that a nation, after having a.s.sured itself that an enterprise will benefit the community, should have it executed by means of a general a.s.sessment. But I lose patience, I confess, when I hear this economic blunder advanced in support of such a project--"Besides, it will be a means of creating labour for the workmen."

The State opens a road, builds a palace, straightens a street, cuts a ca.n.a.l, and so gives work to certain workmen--_this is what is seen_: but it deprives certain other workmen of work--and this is what _is not seen_.

The road is begun. A thousand workmen come every morning, leave every evening, and take their wages--this is certain. If the road had not been decreed, if the supplies had not been voted, these good people would have had neither work nor salary there; this also is certain.

But is this all? Does not the operation, as a whole, contain something else? At the moment when M. Dupin p.r.o.nounces the emphatic words, "The a.s.sembly has adopted," do the millions descend miraculously on a moonbeam into the coffers of MM. Fould and Bineau? In order that the evolution may be complete, as it is said, must not the State organise the receipts as well as the expenditure? must it not set its tax-gatherers and tax-payers to work, the former to gather and the latter to pay?

Study the question, now, in both its elements. While you state the destination given by the State to the millions voted, do not neglect to state also the destination which the tax-payer would have given, but cannot now give, to the same. Then you will understand that a public enterprise is a coin with two sides. Upon one is engraved a labourer at work, with this device, _that which is seen_; on the other is a labourer out of work, with the device, _that which is not seen_.

The sophism which this work is intended to refute is the more dangerous when applied to public works, inasmuch as it serves to justify the most wanton enterprises and extravagance. When a railroad or a bridge are of real utility, it is sufficient to mention this utility. But if it does not exist, what do they do? Recourse is had to this mystification: "We must find work for the workmen."

Accordingly, orders are given that the drains in the Champ-de-Mars be made and unmade. The great Napoleon, it is said, thought he was doing a very philanthropic work by causing ditches to be made and then filled up. He said, therefore, "What signifies the result? All we want is to see wealth spread among the labouring cla.s.ses."

But let us go to the root of the matter. We are deceived by money. To demand the co-operation of all the citizens in a common work, in the form of money, is in reality to demand a concurrence in kind; for every one procures, by his own labour, the sum to which he is taxed. Now, if all the citizens were to be called together, and made to execute, in conjunction, a work useful to all, this would be easily understood; their reward would be found in the results of the work itself.

But after having called them together, if you force them to make roads which no one will pa.s.s through, palaces which no one will inhabit, and this under the pretext of finding them work, it would be absurd, and they would have a right to argue, "With this labour we have nothing to do; we prefer working on our own account."

A proceeding which consists in making the citizens co-operate in giving money but not labour, does not, in any way, alter the general results.

The only thing is, that the loss would react upon all parties. By the former, those whom the State employs, escape their part of the loss, by adding it to that which their fellow-citizens have already suffered.

There is an article in our const.i.tution which says:--"Society favours and encourages the development of labour--by the establishment of public works, by the State, the departments, and the parishes, as a means of employing persons who are in want of work."

As a temporary measure, on any emergency, during a hard winter, this interference with the tax-payers may have its use. It acts in the same way as securities. It adds nothing either to labour or to wages, but it takes labour and wages from ordinary times to give them, at a loss it is true, to times of difficulty.

As a permanent, general, systematic measure, it is nothing else than a ruinous mystification, an impossibility, which shows a little excited labour _which is seen_, and hides a great deal of prevented labour _which is not seen_.

VI.--The Intermediates.

Society is the total of the forced or voluntary services which men perform for each other; that is to say, of _public services_ and _private services_.

The former, imposed and regulated by the law, which it is not always easy to change, even when it is desirable, may survive with it their own usefulness, and still preserve the name of _public services_, even when they are no longer services at all, but rather _public annoyances_. The latter belong to the sphere of the will, of individual responsibility.

Every one gives and receives what he wishes, and what he can, after a debate. They have always the presumption of real utility, in exact proportion to their comparative value.

This is the reason why the former description of services so often become stationary, while the latter obey the law of progress.

While the exaggerated development of public services, by the waste of strength which it involves, fastens upon society a fatal sycophancy, it is a singular thing that several modern sects, attributing this character to free and private services, are endeavouring to transform professions into functions.

These sects violently oppose what they call intermediates. They would gladly suppress the capitalist, the banker, the speculator, the projector, the merchant, and the trader, accusing them of interposing between production and consumption, to extort from both, without giving either anything in return. Or rather, they would transfer to the State the work which they accomplish, for this work cannot be suppressed.

The sophism of the Socialists on this point is, showing to the public what it pays to the intermediates in exchange for their services, and concealing from it what is necessary to be paid to the State. Here is the usual conflict between what is before our eyes and what is perceptible to the mind only; between _what is seen_ and _what is not seen_.

It was at the time of the scarcity, in 1847, that the Socialist schools attempted and succeeded in popularizing their fatal theory. They knew very well that the most absurd notions have always a chance with people who are suffering; _malisunda fames_.

Therefore, by the help of the fine words, "trafficking in men by men, speculation on hunger, monopoly," they began to blacken commerce, and to cast a veil over its benefits.

"What can be the use," they say, "of leaving to the merchants the care of importing food from the United States and the Crimea? Why do not the State, the departments, and the towns, organize a service for provisions and a magazine for stores? They would sell at a _return price_, and the people, poor things, would be exempted from the tribute which they pay to free, that is, to egotistical, individual, and anarchical commerce."

The tribute paid by the people to commerce is _that which is seen_. The tribute which the people would pay to the State, or to its agents, in the Socialist system, is _what is not seen_.

In what does this pretended tribute, which the people pay to commerce, consist? In this: that two men render each other a mutual service, in all freedom, and under the pressure of compet.i.tion and reduced prices.

When the hungry stomach is at Paris, and corn which can satisfy it is at Odessa, the suffering cannot cease till the corn is brought into contact with the stomach. There are three means by which this contact may be effected. 1st. The famished men may go themselves and fetch the corn. 2nd. They may leave this task to those to whose trade it belongs.

3rd. They may club together, and give the office in charge to public functionaries. Which of these three methods possesses the greatest advantages? In every time, in all countries, and the more free, enlightened, and experienced they are, men have _voluntarily_ chosen the second. I confess that this is sufficient, in my opinion, to justify this choice. I cannot believe that mankind, as a whole, is deceiving itself upon a point which touches it so nearly. But let us now consider the subject.

For thirty-six millions of citizens to go and fetch the corn they want from Odessa, is a manifest impossibility. The first means, then, goes for nothing. The consumers cannot act for themselves. They must, of necessity, have recourse to _intermediates_, officials or agents.

But observe, that the first of these three means would be the most natural. In reality, the hungry man has to fetch his corn. It is a task which concerns himself, a service due to himself. If another person, on whatever ground, performs this service for him, takes the task upon himself, this latter has a claim upon him for a compensation. I mean by this to say that intermediates contain in themselves the principle of remuneration.

However that may be, since we must refer to what the Socialists call a parasite, I would ask, which of the two is the most exacting parasite the merchant or the official?

Essays on Political Economy Part 4

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