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that　in　all　economical　investigations　he　must　be　regarded　from　this



point　of　view。　He　thinks　that　Smith　comprehended　the　correctness　of



this　principle；　only　he　did　not　deduce　the　correct　conclusion　from



it。　Among　other　things　he　draws　the　conclusion　that　eating　and



drinking　are　productive　occupations。　Thomas　Cooper　values　a　clever



American　lawyer　at　3；000　dollars；　which　is　about　three　times　as



much　as　the　value　of　a　strong　slave。



　　　　The　errors　and　contradictions　of　the　prevailing　school　to　which



we　have　drawn　attention；　can　be　easily　corrected　from　the



standpoint　of　the　theory　of　the　productive　powers。　Certainly　those



who　fatten　pigs　or　prepare　pills　are　productive；　but　the



instructors　of　youths　and　of　adults；　virtuosos；　musicians；



physicians；　judges；　and　administrators；　are　productive　in　a　much



higher　degree。　The　former　produce　values　of　exchange；　and　the



latter　productive　powers；　some　by　enabling　the　future　generation　to



become　producers；　others　by　furthering　the　morality　and　religious



character　of　the　present　generation；　a　third　by　ennobling　and



raising　the　powers　of　the　human　wind；　a　fourth　by　preserving　the



productive　powers　of　his　patients；　a　fifth　by　rendering　human



rights　and　justice　secure；　a　sixth　by　constituting　and　protecting



public　security；　a　seventh　by　his　art　and　by　the　enjoyment　which　it



occasions　fitting　men　the　better　to　produce　values　of　exchange。　In



the　doctrine　of　mere　values；　these　producers　of　the　productive



powers　can　of　course　only　be　taken　into　consideration　so　far　as



their　services　are　rewarded　by　values　of　exchange；　and　this　manner



of　regarding　their　services　may　in　some　instances　have　its



practical　use；　as　e。g。　in　the　doctrine　of　public　taxes；　inasmuch　as



these　have　to　be　satisfied　by　values　of　exchange。　But　whenever　our



consideration　is　given　to　the　nation　（as　a　whole　and　in　its



international　relations）　it　is　utterly　insufficient；　and　leads　to



a　series　of　narrow…minded　and　false　views。



　　　　The　prosperity　of　a　nation　is　not；　as　Say　believes；　greater　in



the　proportion　in　which　it　has　amassed　more　wealth　（i。e。　values　of



exchange）；　but　in　the　proportion　in　which　it　has　more　developed　its



powers　of　production。　Although　laws　and　public　institutions　do　not



produce　immediate　values；　they　nevertheless　produce　productive



powers；　and　Say　is　mistaken　if　he　maintains　that　nations　have　been



enabled　to　become　wealthy　under　all　forms　of　government；　and　that



by　weans　of　laws　no　wealth　can　be　created。　The　foreign　trade　of　a



nation　must　not　be　estimated　in　the　way　in　which　individual



merchants　judge　it；　solely　and　only　according　to　the　theory　of



values　（i。e。　by　regarding　merely　the　gain　at　any　particular　moment



of　some　material　advantage）；　the　nation　is　bound　to　keep　steadily



in　view　all　these　conditions　on　which　its　present　and　future



existence；　prosperity；　and　power　depend。



　　　　The　nation　must　sacrifice　and　give　up　a　measure　of　material



property　in　order　to　gain　culture；　skill；　and　powers　of　united



production；　it　must　sacrifice　some　present　advantages　in　order　to



insure　to　itself　future　ones。　If；　therefore；　a　manufacturing　power



developed　in　all　its　branches　forms　a　fundamental　condition　of　all



higher　advances　in　civilisation；　material　prosperity；　and　political



power　in　every　nation　（a　fact　which；　we　think；　we　have　proved　from



history）；　if　it　be　true　（as　we　believe　we　can　prove）　that　in　the



present　conditions　of　the　world　a　new　unprotected　manufacturing



power　cannot　possibly　be　raised　up　under　free　competition　with　a



power　which　has　long　since　grown　in　strength　and　is　protected　on



its　own　territory；　how　can　anyone　possibly　undertake　to　prove　by



arguments　only　based　on　the　mere　theory　of　values；　that　a　nation



ought　to　buy　its　goods　like　individual　merchants；　at　places　where



they　are　to　be　had　the　cheapest　　that　we　act　foolishly　if　we



manufacture　anything　at　all　which　can　be　got　cheaper　from　abroad　



that　we　ought　to　place　the　industry　of　the　nation　at　the　mercy　of



the　self…interest　of　individuals　　that　protective　duties



constitute　monopolies；　which　are　granted　to　the　individual　home



manufacturers　at　the　expense　of　the　nation？　It　is　true　that



protective　duties　at　first　increase　the　price　of　manufactured



goods；　but　it　is　just　as　true；　and　moreover　acknowledged　by　the



prevailing　economical　school；　that　in　the　course　of　time；　by　the



nation　being　enabled　to　build　up　a　completely　developed



manufacturing　power　of　its　own；　those　goods　are　produced　more



cheaply　at　home　than　the　price　at　which　they　can　be　imported　from



foreign　parts。　If；　therefore；　a　sacrifice　of　value　is　caused　by



protective　duties；　it　is　made　good　by　the　gain　of　a　power　of



production；　which　not　only　secures　to　the　nation　an　infinitely



greater　amount　of　material　goods；　but　also　industrial　independence



in　case　of　war。　Through　industrial　independence　and　the　internal



prosperity　derived　from　it　the　nation　obtains　the　means　for



successfully　carrying　on　foreign　trade　and　for　extending　its



mercantile　marine；　it　increases　its　civilisation；　perfects　its



institutions　internally；　and　strengthens　its　external　power。　A



nation　capable　of　developing　a　manufacturing　power；　if　it　makes　use



of　the　system　of　protection；　thus　acts　quite　in　the　same　spirit　as



that　landed　proprietor　did　who　by　the　sacrifice　of　some　material



wealth　allowed　some　of　his　children　to　learn　a　productive　trade。



　　　　Into　what　mistakes　the　prevailing　economical　school　has　fallen



by　judging　conditions　according　to　the　mere　theory　of　values　which



ought　properly　to　be　judged　according　to　the　theory　of　powers　of



production；　may　be　seen　very　clearly　by　the　judgment　which　J。　B。



Say　passes　upon　the　bounties　which　foreign　countries　sometimes



offer　in　order　to　facilitate　exportation；　he　maintains　that　'these



are　presents　made　to　our　nation。'　Now　if　we　suppose　that　France



considers　a　protective　duty　of　twenty…five　per　cent　sufficient　for



her　not　vet　perfectly　developed　manufactures；　while　England　were　to



grant　a　bounty　on　exportation　of　thirty　per　cent；　what　would　be　the



consequence　of　the　'present'　which　in　this　manner　the　English　would



make　to　the　French？　The　French　consumers　would　obtain　for　a　few



years　the　manufactured　articles　which　they　needed　much　cheaper　than



hitherto；　but　the　French　manufactories　would　be　ruined；　and



millions　of　men　be　reduced　to　beggary　or　obliged　to　emigrate；　or　to



devote　themselves　to　agriculture　for　employment。　Under　the　most



favourable　circumstances；　the　present　consumers　and　customers　of



the　French　agriculturists　would　be　converted　into　competitors　with



the　latter；　agricultural