Author Description

This historic book may have numerous typos and missing text. Purchasers can usually download a free scanned copy of the original book (without typos) from the publisher. Not indexed. Not illustrated. 1917 edition. Excerpt: ... Two Protectionist Fallacies, widely propagated in all countries and specially mischievous in the United States (to the point of possibly inducing many people to fear an "economic peace!") need, in this place, an answer. We therefore beg to reproduce here some passages already met in the foregoing pages, to which we shall add some short considerations: Tariffs, in all countries, have been instituted in order to encourage and protect capital engaged in industries. They now everywhere protect high selling prices and high manufacturing profits. But, in all countries (be it noted) they are continued for the "protection of labor against the cheap foreign labor products." Except in England, where labor stands for free-trade, the workmen are happy to be so well cared for. "I protect my cows," says the farmer. "I know why I do this, but the cows do not." So is it explainable that, with the consent of the.. workmen and the gradual auto-suggestion of the.. farmers, Protection has become for most peoples an economic credo--which indeed in the future will be considered as the most mischievous and widest spread superstition known in the history of men. i) It is untrue that Protectionism, preventing importation and making for a self sustained people, is a source of higher wages and a factor of a higher standard of living; on the contrary Protectionism tends to lower both and it is free exchange only which can have such favorable results. All imported things are paid for by equal values of exported things; therefore, to begin with, importation does not and cannot reduce home production, demand of labor and wages. But prevention of importation through protective tariffs (i) narrows markets and (2) causes the parasitical establishment and prosperity of...