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Leader (1850-1860), 27th November 1858, Edition 1 of 2, Page 1295

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      Untitled Article

      ANTI-FBEE-TBADE THOUGHTS AND LAWS . The Emperor of the French , who has recently been much praised for his sagacit y by a Protectionist shipowner , has ordered all the bakers , in towns where the trade of a baker is regulated by ordinance , to lay in and keep by them a stock of flour or wheat equal to their consumption in three months . The population of the towns embraced by this decree is estimated at upwards of 7 , 000 , 000 , and the money which will be required by the bakers to buy the three months' stock at 2 , 500 , 000 / . Whether the bakers have the money or not , they must buy this stock , and the Minister of

      Agriculture and Commerce kindly informs them that it will be a profitable speculation to borrow , and insinuates that capitalists will be wanting in patriotism who do not help the bakers and share ¦ wi th them the advantages to be derived from keeping so much grain or flour on hand . Fired with the noble ambition of always keeping a vast population provided with bread , the Emperor or his Minister , or the two together , propose to extend this scheme to all the chief towns of departments and arrbndissements not included in the present ordinance , and so secure a permanent supply for three months in the possession of every baker in

      who adopt it , the Times can . encourage the folly of opposing free trade by declaring that " people have a strong pecuniary interest in attacking free trade . " They may erroneously suppose they have such an interest , but they never have ; free trade is the law of nature , like the diffusion of air and sunlight , and is full of health , gladness strength , and rejoicing for all . Defective thoughts and inconsistent writing flow from a want of faith in . principles , and encourage inconsistent claims in . shipowners , and others . They excite , too , the insertion of futile clauses in . Acts of Parliament . In the very Act which repealed the old navigation laws , because these laws were injurious to the nation , a clause is inserted which implies , contrary to the whole tenor of the Act . that restriction

      is beneficial , and encourages the shipowners to demand that restriction be reimposed . They are taught by the law , in the teeth of all modern experience , that they can be enriched and benefited by procuring restrictions on their fellowcitizens because the ignorant American and French Governments impose restrictions on their people . While we English are full of exultation at the great success which has followed our little improvement in commercial legislation , few or none of us are duly , impressed with the great truth that all the benefits have flowednot from any special

      , law-making , but froni the freedom which the abolition pf restrictions , similar to those still imposed on banking , permitted to come into activity . Few , or none of as are duly impressed with the fact that this freedom is alike beneficial to eacli and all ; is beneficial in its own nature , and . confers only benefits on those who adopt it . The laissez faire which our contemporary now advocates is r iot limited to bakers , it is true of every art , of every business , and every science , and to comprehend it in all its magnitude might fill some of its nominal advocates with grief and despair .

      the empire . Adam Smith , about eighty years ago , demonstrated that no statesman was so unfit to direct the people how to employ their capital arid labour as he who had the presumption to think he could do it ; and now we have the Emperor and Ms Minister acting as if this truth had never been recognised . To suppose they can set at naught the laws which regulate the industry of society is like supposing the ; y can despise gravity or see without light . A deficiency of capital is characteristic cf France , and the sagacious Emperor and his wise Minister intend that some three or four millions

      • shall be misapplied under their special control . They dictate how it is to be employed . At every period of the year , just before an abundant harvest , just after a very scanty one , whatever may be the condition of the new wheat or of the old , the poor bakers must have a three months' stock on their hands , and must be placed , by the compulsion to have it , at the mercy of the growers and importers . They must lose by the scheme * which is generally received with contempt and mockery by all reflecting

      persons . By looking at oureelves by the light of their conduct it may be of" some advantage to us . The Times has justly held up this emanation of imperial sagacity to the reprobation of its readers , and John Bull is no doubt delighted to find his neighbour so open to ridicule . If ho look sharp at home he may find some of his own trudo laws not much superior to those of the Emperor of the French . Our contemporary for many months has made himself conspicuous by advocating in leaders , and still more elaborately in his City intelligence , the Act of 1844 , and nearly every word whiqh he says against the Emperor ' s decree as to bakers may be applied to this wonderful piece of parliamentary wisdom . The Times says : —

      Is the keeping of a reserve of corn and flour by every baker in one hundred and sixty towns of France , equal to three months' consumption for his interest as a private trader , or is it not ? If it be , « uch a decree is a mere superfluity , just as much eo as if the Emperor had commanded the bakers tp buy their flour as cheap And sell their bread as dear as possible . In such a point of view it would bo Bimply ridiculous . But if , as wo apprehendsuch a

      , decree must bo injurious to -very considerable numbers ampng the bakers , then , wo ai > k , on what principle is a particular class selected to bear a burden which is imposed on some notion , however erroneous , of obtaining ft general benefit for all ? What have the bakers done that Government should insist upon taking their trade out of their own hands , and forcing them by arbitrary decrees to carry it on on principles contrary to their own Private interest ?

      Change the word bakor in tho paragraph for ™» ftn 4 see how ifc will illustrate the Act of A 0 , 44 . Is the keeping of a reserve of gold by every ? o x / or his interest as a private trade or is it notP If it lo , the Aofc of 1844 which oompels him to Keep a BUTn of gOid proportionate to the notos ho issues is a more superfluity . If suoh ft regulation

      must be injurious to a considerable number of bankers , then we ask on what principle a particular class is selected to bear a burden—the expense of holding so much gold—imposed on some notion , however erroneous , of obtaining a general benefit for all ? To the jBanks of Scotland alone—the Act of 1 S 45 which applies to Scotland the Act of 1844—this regulation costs at least 40 , 000 / . a year . Their average circulation is about 4 , 200 , 000 / . ; prudent banking requires them to keep bullion to the amount of one-third of the sum , or 1 , 400 , 000 / . They might with safety keep even less . The law , however , compels them , to keep about 2 , 400 , 000 / ., or 1 , 000 , 000 / . more than is necessary . At 4 per cent ., this gives 40 , 000 / . per annum which the law wastes , and the cost of which falls eventually on

      the community or the customers of the banks . As the circulation of the English and Irish banks together is about 1 , 000 , 000 / ., the total certain loss to the community by . the regulations interfering with the business of bankers is at least 100 , 000 / . a { rear , a sum far greater , we believe , than will be ost to the bankers and people of Prance by the silly decree of the Emperor . What have the bankers done that Government should insist on taking their trade put of their hands , and force them to carry it on on principles contrary to their own private interest ? "The decree , " our contemporary continues , " obviously imposes a burden on the bakers ( bankers ) , it tends to diminish or annihilate their profits ; they must recompense themselves by raising the price . The direct effect of Government interference will therefore be to

      increase the price of bread ( of money or ci'edit ) -to the consumer . " ~ " Yet more , " says the Times ; " there are in every civilised country a number of capitalists ready to buy up corn or other articles which happen to be cheap , and hold out a reasonable hope on a resale of obtaining a fair profit . " Why should a French Government enter the lists against this class of persons ? " In our country there are many capitalists of good character ready to become bankers were they allowed to manage their own business as they thought , fit , and why should the Government enter the lists against this class of persons , give a . monopoly to the existing issuers of notes , and prevent the extension of a most useful business ? The decree about the bakers in

      France is absurd , and we rejoice to see the Times lash the scandalous interference with the business of individuals , but nearly every word it says against the Emperor ' s decree is strictly applicable , mtitatis mutandi s to our own similar law concerning bankers and bunking . As long as that scandalous infraction of free trade , passed by nominal free traders , remains on our statute book , it becomes every Englishman , whenever an act or decree is passed abroad which rcsCmbles it in principle or detail , to hang his head with shame , that the sad example of his popular legislature , while professing free trade , should encourage and justify similar interference with freedom by the foolish despots of tho Continent .

      Bold as our contemporary is in exposing the antifree trade follies of the JDinperor and his Ministers , he is not » whoriy exempt from such follies in his own reasoning ; . One of the unexpected results to tho protectionists of free trade is groat pecuniary advantages to tho farmers , shipowners , llock masters , silk manufacturers , &c , who most dreaded its offeots . Truly estimating its spirit and effects one day , the Times says , in reference- to our repeal of tho navigation laws : — What we have obtained Is n really fair and free trade , the right for our merchants and passengers to obtain the conveyance of their goods or themselves by sea on tho very cheapest terms which tho market of the world can afford . Wha . t tho Americans have retained in the power of limiting tho competition of tho carriers by sea from one Dart of thoir coast to the other , and ,

      consequently , of enhancing tho freight nnd raising tlio price of all consumable articles against themselves . Tho great advantage tho Americana have secured is tho power to tax thomaelves for the benefit of thoir shipping interest ; and if there is anything unfair in this proceeding wo must any that tho unfaimoas is ratlior to tho American consumer than to tho English shipowner . Yot in spite of Ihoso faqta and this reasoning , whioh show that froo trade is beneficial to all

      Untitled Article

      TRADE OF TEN MONTHS . INDIRECT TAXATION . In the usual place the reader will find our complete abstract of the trade of tea months for the two years 1857-1858 . Froni it he will learn the total quantities of all the articles imported from foreign countries and our colonies and re-exported , the value of all our manufactures and native productions exported , and the total quantity of shipping employed in our foreign trade , with the ports from and to which the vessels sailed . He will see also the total quantity of tonnage engaged in our coastingtrade , and on all these pomts may compare the trade of 1858 with that of 1857 . He will see the total quantity of bullion imported and exported in

      the present year , but cau make no comparison in this case with the previous year , because no such returns were made m 1857 . One noticeable feature in the table is that the imports of silver have this year increased , as well as the imports of gold , above the exports , and the total imports of both above the exports is no less than 11 , 145 , 840 / ., which compels an increase of almost double this amount in the quantity of legal money issued in obedience to our very absurd monetary laws . A close inspection ol the whole tables in detail as published enables us to lay some additional items of information before our readers .

      The quantities of tho articles imported in the month , with the exception of animals , cocoa , metals , provisions , sugar , molasses , tea , are very generally considerably less than tho quantities imported in the corresponding month of 1857 , aud the shipping entered inwards in the month is SI 7 , 620 tons , against 855 , 689 tons . Again , tho value of the articles exported , with the quantities , generally decreased , was 10 , 208 , 797 / ., against 10 , 985 , 789 / . in the corresponding month of 18 » 7 ; and tho tonnage oleared was 788 , 700 , against 949 , 049 . Such facts serve in part to explain tho complaints of our slupowners of decreased employment . Tho trade w Uotobor , 185 8 , and consequently tho shipping roaiurod , was loss , both import and export , tlian m Ootolior , 1857 , and wo may add than in October , 1850 . Such a declension , the oonsoquonco pf trade artinouUlT stimulated , mid of war occurring m conjunction , witli

      G O Mm E R O I A L.

      G O MM E R O I A L .

      Untitled Article

      No . 453 , November 27 , 1868 . ] THE I . EA . DEB . 1295 ^_^ ' i ' ^^^^——— ^ mimm—¦ i ^—i ^^^^^^^^^^ ^^^^^^^ ... • ¦ ¦ . . -

  • Citation
    • Leader (1850-1860), Nov. 27, 1858, page 1295, in the Nineteenth-Century Serials Edition (2008; 2018) ncse-os.kdl.kcl.ac.uk/periodicals/l/issues/vm2-ncseproduct2270/page/23/