BALANCE OF TRADE.
Our adversaries have adopted a system of tactics, which embarrasses us not a little. Do we prove our doctrine? They admit the truth of it in the most respectful manner. Do we attack their principles? They abandon them with the best possible grace. They only ask that our doctrine, which they acknowledge to be true, should be confined to books; and that their principles, which they allow to be false, should be established in practice. If we will give up to them the regulation of our tariffs, they will leave us triumphant in the domain of theory.
"Assuredly," said Mr. Gauthier de Roumilly, lately, "assuredly no one wishes to call up from their graves the defunct theories of the balance of trade." And yet Mr. Gauthier, after giving this passing blow to error, goes on immediately afterwards, and for two hours consecutively, to reason as though this error were a truth.
Give me Mr. Lestiboudois. Here we have a consistent reasoner! a logical arguer! There is nothing in his conclusions which cannot be found in his premises. He asks nothing in practice which he does not justify in theory. His principles may perchance be false, and this is the point in question. But he has a principle. He believes, he proclaims aloud, that if France gives ten to receive fifteen, she loses five; and surely, with such a belief, nothing is more natural than that he should make laws consistent with it.
He says: "What it is important to remark, is, that constantly the amount of importation is augmenting, and surpassing that of exportation. Every year France buys more foreign produce, and sells less of its own produce. This can be proved by figures. In 1842, we see the importation exceed the exportation by two hundred millions. This appears to me to prove, in the clearest manner, that national labor is not sufficiently protected, that we are provided by foreign labor, and that the competition of our rivals oppresses our industry. The law in question, appears to me to be a consecration of the fact, that our political economists have assumed a false position in declaring, that in proportion to produce bought, there is always a corresponding quantity sold. It is evident that purchases may be made, not with the habitual productions of a country, not with its revenue, not with the results of actual labor, but with its capital, with the accumulated savings which should serve for reproduction. A country may spend, dissipate its profits and savings, may impoverish itself, and by the consumption of its national capital, progress gradually to its ruin. This is precisely what we are doing. We give, every year, two hundred millions to foreign nations."
Well! here, at least, is a man whom we can understand. There is no hypocrisy in this language. The balance of trade is here clearly maintained and defended. France imports two hundred millions more than she exports. Then France loses two hundred millions yearly. And the remedy? It is to check importation. The conclusion is perfectly consistent.
It is, then, with Mr. Lestiboudois that we will argue, for how is it possible to do so with Mr. Gauthier? If you say to the latter, the balance of trade is a mistake, he will answer, So I have declared it in my exordium. If you exclaim, But it is a truth, he will say, Thus I have classed it in my conclusions.
Political economists may blame me for arguing with Mr. Lestiboudois. To combat the balance of trade, is, they say, neither more nor less than to fight against a windmill.
But let us be on our guard. The balance of trade is neither so old, nor so sick, nor so dead, as Mr. Gauthier is pleased to imagine; for all the legislature, Mr. Gauthier himself included, are associated by their votes with the theory of Mr. Lestiboudois.
However, not to fatigue the reader, I will not seek to investigate too closely this theory, but will content myself with subjecting it to the experience of facts.