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prosper　without　protective　duties；　and　that　absolute　liberty　of



international　commerce　forms　the　safest　basis　of　national



prosperity。　The　fate　of　Spain　is　quoted　to　exhibit　to　all　nations



which　seek　aid　and　preservation　in　the　protective　system；　a



frightful　example　of　its　ruinous　effects。　The　case　of　England；



which；　as　we　have　shown　in　a　former　chapter；　affords　such　an



excellent　example　for　imitation　to　all　nations　which　are　capable　of



developing　a　manufacturing　power；　is　adduced　by　these　theorists



merely　to　support　their　allegation　that　capability　for



manufacturing　production　is　a　natural　gift　exclusively　peculiar　to



certain　countries；　like　the　capability　to　produce　burgundy　wines；



and　that　nature　has　bestowed　on　England；　above　all　other　countries



of　the　earth；　the　destiny　and　the　ability　to　devote　herself　to



manufacturing　industry　and　to　an　extensive　commerce。



　　　　Let　us　now　take　these　examples　more　closely　into　consideration。



　　　　As　for　Switzerland；　it　must　be　remarked　in　the　first　place　that



she　does　not　constitute　a　nation；　at　least　not　one　of　normal



magnitude　which　can　be　ranked　as　a　great　nation；　but　is　merely　a



conglomeration　of　municipalities。　Possessing　no　sea…coast；　hemmed



in　between　three　great　nations；　she　lacks　all　inducement　to　strive



to　obtain　a　native　commercial　marine；　or　direct　trade　with　tropical



countries；　she　need　pay　no　regard　to　the　establishment　of　a　naval



power；　or　to　founding　or　acquiring　colonies。　Switzerland　laid　the



foundation　of　her　present　very　moderate　degree　of　prosperity　at　the



time　when　she　still　belonged　to　the　German　Empire。　Since　that　time；



she　has　been　almost　entirely　free　from　internal　wars；　her　capital



has　been　permitted　to　increase　from　generation　to　generation；　as



scarcely　any　of　it　was　required　by　her　municipal　governments　for



discharging　their　expenses。　Amid　the　devastations　occasioned　by　the



despotism；　fanaticism；　wars；　and　revolutions；　with　which　Europe　was



perturbed　during　the　last　centuries；　Switzerland　offered　an　asylum



to　all　who　desired　to　transfer　their　capital　and　talents　to　another



country　than　their　own；　and　thus　acquired　considerable　wealth　from



abroad。　Germany　has　never　adopted　strong　commercial　restrictions



against　Switzerland；　and　a　large　part　of　the　manufactured　products



of　the　latter　has　obtained　a　market　in　Germany。　Moreover；　the



industry　of　Switzerland　was　never　a　national　one；　one　comprising



the　production　of　articles　of　common　use；　but　chiefly　an　industry



in　articles　of　luxury；　the　products　of　which　could　be　easily



smuggled　into　the　neighbouring　countries　or　transported　to　distant



parts　of　the　world。　Furthermore；　her　territory　is　most　favourably



situated　for　intermediate　trade；　and　in　this　respect　is　in　some



measure　privileged。　Again；　their　excellent　opportunity　of　becoming



acquainted　with　the　languages；　laws；　institutions；　and



circumstances　of　the　three　nations　which　adjoin　her　must　have　given



the　Swiss　important　advantages　in　intermediate　commerce　and　in



every　other　respect。　Civil　and　religious　liberty　and　universal



education　have　evoked　in　the　Swiss；　activity　and　a　spirit　of



enterprise　which；　in　view　of　the　narrow　limits　of　their　country's



internal　agriculture；　and　of　her　internal　resources　for　supporting



her　population；　drove　the　Swiss　to　foreign　countries；　where　they



amassed　wealth；　by　means　of　military　service；　by　commerce；　by



industries　of　every　kind；　in　order　to　bring　it　home　to　their



fatherland。　If　under　such　special　circumstances　they　managed　to



acquire　mental　and　material　resources；　in　order　to　develop　a　few



branches　of　industry　for　producing　articles　of　luxury；　if　these



industries　could　maintain　themselves　without　protective　duties　by



sales　to　foreign　countries；　it　cannot　thence　be　concluded　that



great　nations　could　follow　a　similar　policy　under　wholly　different



circumstances。　In　her　small　national　expenditure　Switzerland



possesses　an　advantage　which　great　nations　could　only　attain　if



they；　like　Switzerland；　resolved　themselves　into　mere



municipalities　and　thus　exposed　their　nationality　to　foreign



attacks。



　　　　That　Spain　acted　foolishly　in　preventing　the　exportation　of　the



precious　metals；　especially　since　she　herself　produced　such　a　large



excess　of　these　articles；　must　be　admitted　by　every　reasonable



person。　It　is　a　mistake；　however；　to　attribute　the　decline　of　the



industry　and　national　well…being　of　Spain　to　her　restrictions



against　the　importation　of　manufactured　goods。　If　Spain　had　not



expelled　the　Moors　and　Jews；　and　had　never　had　an　Inquisition；　if



Charles　V　had　permitted　religious　liberty　in　Spain；　if　the　priests



and　monks　had　been　changed　into　teachers　of　the　people；　and　their



immense　property　secularised；　or　at　least　reduced　to　what　was



actually　necessary　for　their　maintenance；　if；　in　consequence　of



these　measures；　civil　liberty　had　gained　a　firm　footing；　the　feudal



nobility　had　been　reformed　and　the　monarchy　limited；　if；　in　a　word；



Spain　had　politically　developed　herself　in　consequence　of　a



Reformation；　as　England　did；　and　if　the　same　spirit　had　extended　to



her　colonies；　a　prohibitive　and　protective　policy　would　have　had



similar　effects　in　Spain　as　it　had　in　England；　and　this　all　the



more　because　at　the　time　of　Charles　V　the　Spaniards　were　more



advanced　than　the　English　and　French　in　every　respect；　and　the



Netherlands　only　（of　all　countries）　occupied　a　more　advanced



position　than　Spain；　whose　industrial　and　commercial　spirit　might



have　been　transferred　to　Spain　by　means　of　the　protective　policy；



provided　that　the　institutions　and　conditions　of　Spain　were　such　as



would　have　invited　foreign　talents　and　capital　to　her　shores；



instead　of　driving　her　own　native　talents　and　capital　into　foreign



countries。



　　　　To　what　causes　England　owes　her　manufacturing　and　commercial



supremacy；　we　have　shown　in　our　fifth　chapter。



　　　　It　is　especially　owing　to　her　civil；　mental；　and　religious



liberty；　to　the　nature　and　excellence　of　her　political



institutions；　that　the　commercial　policy　of　England　has　been



enabled　to　make　the　most　of　the　natural　riches　of　the　country；　and



fully　to　develop　the　productive　powers　of　the　nation。　But　who　would



deny　that　other　nations　are　capable　of　raising　themselves　to　the



same　degree　of　liberty？　Who　would　venture　to　maintain　that　nature



has　denied　to　other　nations　the　means　which　are　requisite　for



manufacturing　industry？



　　　　In　the　latter　respect　the　great　natural　wealth　in　coal　and　iron



which　England　possesses　has　often　been　adduced　as　a　reason　why　the



English　are　specially　destined　to　be　a　manufacturing　nation。　It　is



true　that　in　this　respect　England　is　greatly　favoured　by　nature；



but　against　this　it　may　be　stated　that　even　in　respect　of　these



natural　products；　nature　has　not　treated　other　countries　merely



like　a　stepmother；　for　the　most　part　the　want　of　good　transport



facilities　is　the　chief　obstacle　to　the　full　utilisation　of　these



products　by　other　nations；　that　other　countries　possess　enormous



unemployed　water　power；　which　is　cheaper　than　steam　power；　that



where　it　is　necessary　they　are　able　to　counterbalance　the　want　of



coal　by　the　use　of　other　fuels；　that　many　other　countries　possess



inexhaustible　means　for　the　production　of　iron；　and　that　they　are



also　able　to　procure　these　raw　materials　from　abroad　by　commercial



exchange。



　　　　In　conclusion；　we　must　not　omit　here　to　make　mention　of



commercial　treaties　based　on　mutual　concessions　of　duties。　The



school　objects　to　these　conventions　as　unnecessary　and　detrimental；



whereas　they　appear　to　us　as　the　most　effective　means　of　gradually



diminishing　the　respective　restrictions　on　trade；　and　of　leading



the　nations　of　the　world　gradually　to　freedom　of　international



intercourse。　Of　course；　the　specimens　of　such　treaties　which　the



world　has　hitherto　seen；　are　not　very　encouraging　for　imitation。　We



have　shown　in　former　chapters　what　injurious　effects　the　Methuen



Treaty　has　produced　in　Portugal；　and　the　Eden　Treaty　has　produced



in　France。　It　is　on　these　injurious　effects　of　reciprocal



alleviation　of　duties；　that　the　objections　of　the　school　to



commercial　treaties　appear　principally　to　be　founded。　Its　principle



of　absolute　commercial　liberty　has　evidently　experienced　a



practical　contradiction　in　these　cases；　inasmuch　as；　according　to



that　principle；　those　treaties　ought　to　have　operated　beneficially



to　both　contracting　nations；　but　not　to　the　ruin　of　the　one；　and　to



the　immense　advan