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Show 460 ON THE IMMEDIATE CAUSES [cH. VII. reign Con1merce, namely an increase of revenue from increased profits, or a diminished expenditure, arising fron1 cheap con1tnodities,~~ I believe the latter never has been, nor ever will be, experienced as an effective stin1ulus to the permanent and continued prodt1ction of increasino· 'vealth. b l\1r. l{icardo will perhaps say, and say truly, that according to his own vie\v of value, foreign comnlerce will increase it, as soon as . more labour has been en1ployed in the production of all the commodities taken together, \Vhich the cq_untry obtains; and that the plenty produced by foreign trade will naturally encourage this employn1ent. But. ,vhat I vvish specifically to state is) that the natural tendency of foreign trade, as of all sorts of exchano·es by \Vhich a distribution is effected better suitedb to the wants of society, is inznzediately to increase the value of that part of the national revenue \vhich con~ists of profits, without any proportionate diminutt? n e~se\vhere, and that it is precisely this imnzedzate Increase of national income arisinO' from b the exchange of what is of less value in the coun-try, for what is of more value that furnishes both the ~ower and will to employ more labour, and. occaston~ the anitnated demand for labour, produce and capital, which is a strikino' and almost uni- t> versal accon1paniment of suc-cessful forei(rn com-tnerce; whereas, a n1ere abundance of com~odities falling very greatly in value con1pared with labour, * Prine. of Pol. Econ. ch. "ii. p. 139. 2d edit~ ., SI~C. YIII.J OF THE PROGRESS OF WE·ALTlt. 461 '\Vould obviously . at ~rst diminish the 'po,ver of en1pl?ying the san"e nun1ber of workn1en, and a temporary glut and general ·deficiency of den1and . could not fail to ensue in labour, in produce, and in capital, attended 'vith the usual distress ,vhich a glut must occasion. 1\Tr. Ricardo always views foreign trade in the light of n1eans of obtaini~g cheaper commodities. But this is only looking to one half of its advantages, and I am strongly disposed to think, not the larger half. In our ovvn co1nn1erce at least, this part of the trade is comparatively inconsiderable. The great mass of our in1ports consists of articles as to which there can be no kind of question about their co1nparative cheapness, as raised abroad or at home. If we could not in1port frotn foreign countries our silk, cotton and indigo, our tea, sugar, coffee and tobacco, our port, sherry, claret and champagne, our ahnonrls, raisons, oranges and lemons, our various spices and our various drugs, with n1any other afticles peculiar to foreign clinlates, it is quite certain that we should not have them at all. To estimate the advantage derived fron1 their importation by their cheapness, comparerl with the quantity of labour and capital 'vhich they would have cost, if vve had atten1pted to raise thern at horne, would be perfectly preposterous. In reality, no such atten1pt would have been thought of. If \V"e could by possibility have n1ade fine claret at ten pounds a bottle, few or none \Vould have drunk it; and the actual quantity of labour and capital employed in obtaining these |
