Now nothing could be more typical than Free Trade of this peculiar incompleteness of the political methods of the “giants” of the “heroic” Victorian Age to which I have already called attention. It is a one-wheeled, engineless, body-less Liberal automobile. It is a project to keep down one’s natural frontier in respect to inward and outward trade, and it ignores all the correlated measures that should go with this most desirable abolition. It ignores the fact that nearly all the separate sovereign competitive States into which the world is divided are always actively engaged in mutual injury, sometimes frankly in open warfare but always by fiscal trickery, monetary tactics, diversion of trade, and the like amiable activities. True Free Trade must be mutual. One-sided Free Trade is like disarmament in the face of malignant military preparation. And if there is to be real Free Trade between any two countries then certain other things follow necessarily, though they never appear on the party programmes and banners.
Production will tend to gravitate to the regions of maximum advantage, and so there must also be a free movement of population over the frontiers to the regions of most advantageous employment. If there is not such free movement, then one of the States may suffer from unemployment in this or that industry and social degeneration while the other is enjoying high wages. But movement of population and the shifting of many industries across frontiers will affect military efficiency, and so there can be no real Free Trade between any two countries unless they are ensured not only against mutual attack but by a mutual guarantee against attack.
Free Trade is, in fact, only a practical proposal between countries prepared also for free movements of population between each other and for a pooling of their defensive resources and foreign policy. The way to permanent and satisfactory Free Trade lies in a steady extension of leagues between friendly peoples prepared for that much waiver of their sovereign independence. But only peoples near the same educational level and with closely similar standards of comfort and behaviour can contemplate so intimate a union as this. There might be such a league of the Latin-American States, or of the English-speaking and Scandinavian and other North-European States, but not of any much more extensive coalescences at present. So long as a State remains potentially at war with any other State, Free Trade between them is a dream.
Great Britain in the Victorian period had a practical monopoly of modern industrial production and benefited by an open frontier that gave her workers cheap food and so kept labour cheap. That was a temporary and now vanished condition of affairs. So long as States insist on their sovereign independence they must be prepared to use tariffs just as they must be prepared to use armies. It is the price of the flag.
Tariffs corrupt. That is true, just as war contracts do. But the way to escape from these diseases of conflict does not lie in the maintenance of fiscal non-resistance by this or that independent, irresponsible State, but in a creative foreign policy that seeks union and coalescence, and aims, openly and educationally, through coalescence in a broadening series, to reach at last world Free Trade, world freedom of movement, and an organised world peace.
But Mr. Asquith will never tell us he means anything so intelligible as that. He will just wave the banner of Free Trade as though it meant anything the imagination of the voter might like. That was how the giants did their business in the grand old days, and he will never do his business in any other way. And it is because of these splendid old traditions of pompous vagueness that more and more of the liberal-minded people of Britain drift towards the Labour camp.
XII
POLITICS AS A PUBLIC NUISANCE
1.12.23
In the United States of America they know when their elections are coming, and prepare for them; in Great Britain they come unheralded, like earthquakes and tidal waves. They may come and come again; there is no period of immunity.
It is only yesterday that in Great Britain we were all speculating about this Mr. Baldwin, who had become Prime Minister. What was he? Where had he come from? Nobody knew. From the first he seemed to share our doubts about himself. He hid as much as possible behind a big, big, manly pipe, and made wise little speeches about nothing in particular at colleges and boys’ schools. He claimed to be a cousin of Mr. Rudyard Kipling. Now he seems to have given way to panic at the conspicuousness of his position. The European situation is frightful, and the state of affairs at home is miserable; and I think he has plunged this country into all the expense and confusion of a General Election, in the hope of getting back to the old smoking-room at home, wherever it is, and tranquillity.