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some¡¡of¡¡the¡¡German¡¡states¡¡and¡¡Prussia£»¡¡then¡¡a¡¡union¡¡between¡¡the



middle¡¡German¡¡states£»¡¡lastly£»¡¡and¡¡chiefly¡¡in¡¡consequence¡¡of¡¡the



exertions¡¡of¡¡Freiherr¡¡von¡¡Cotta¡¡to¡¡fuse¡¡the¡¡above¡­named¡¡three



unions¡¡into¡¡a¡¡general¡¡customs¡¡confederation£»¡¡so¡¡that¡¡at¡¡this



present¡¡time£»¡¡with¡¡the¡¡exception¡¡of¡¡Austria£»¡¡the¡¡two¡¡Mecklenburgs£»



Hanover£»¡¡and¡¡the¡¡Hanse¡¡Towns£»¡¡the¡¡whole¡¡of¡¡Germany¡¡is¡¡associated¡¡in



a¡¡single¡¡customs¡¡union£»¡¡which¡¡has¡¡abolished¡¡the¡¡separate¡¡customs



lines¡¡amongst¡¡its¡¡members£»¡¡and¡¡has¡¡established¡¡a¡¡uniform¡¡tariff¡¡in



common¡¡against¡¡the¡¡foreigner£»¡¡the¡¡revenue¡¡derived¡¡from¡¡which¡¡is



distributed¡¡pro¡¡rata¡¡amongst¡¡the¡¡several¡¡states¡¡according¡¡to¡¡their



populations¡£



¡¡¡¡¡¡¡¡The¡¡tariff¡¡of¡¡this¡¡union¡¡is¡¡substantially¡¡the¡¡same¡¡as¡¡that



established¡¡by¡¡Prussia¡¡in¡¡1818£»¡¡that¡¡is¡¡to¡¡say£»¡¡it¡¡is¡¡a¡¡moderate



protectionist¡¡tariff¡£



¡¡¡¡¡¡¡¡In¡¡consequence¡¡of¡¡this¡¡unification¡¡of¡¡customs£»¡¡the¡¡industry£»



trade£»¡¡and¡¡agriculture¡¡of¡¡the¡¡German¡¡states¡¡forming¡¡the¡¡union¡¡have



already¡¡made¡¡enormous¡¡strides¡£











NOTES£º







1¡£¡¡The¡¡system¡¡must¡¡necessarily¡¡have¡¡affected¡¡France¡¡in¡¡a¡¡different



manner¡¡than¡¡Germany£»¡¡because¡¡Germany¡¡was¡¡mostly¡¡shut¡¡out¡¡from¡¡the



French¡¡markets£»¡¡while¡¡the¡¡German¡¡markets¡¡were¡¡all¡¡open¡¡to¡¡the



French¡¡manufacturer¡£







2¡£¡¡Report¡¡of¡¡the¡¡Committee¡¡of¡¡Commerce¡¡and¡¡Manufactures¡¡to¡¡the



House¡¡of¡¡Representatives¡¡of¡¡the¡¡Congress¡¡of¡¡the¡¡United¡¡States£»¡¡Feb¡£



13£»¡¡1816¡£







3¡£¡¡Organ¡¡of¡¡the¡¡German¡¡Commercial¡¡and¡¡Manufacturing¡¡Interests¡£











Chapter¡¡8







The¡¡Russians







¡¡¡¡¡¡¡¡Russia¡¡owes¡¡her¡¡first¡¡progress¡¡in¡¡civilisation¡¡and¡¡industry¡¡to



her¡¡intercourse¡¡with¡¡Greece£»¡¡to¡¡the¡¡trade¡¡of¡¡the¡¡Hanseatic¡¡Towns



with¡¡Novgorod¡¡and¡¡£¨after¡¡the¡¡destruction¡¡of¡¡that¡¡town¡¡by¡¡Ivan



Wassiljewitsch£©¡¡to¡¡the¡¡trade¡¡which¡¡arose¡¡with¡¡the¡¡English¡¡and



Dutch£»¡¡in¡¡consequence¡¡of¡¡the¡¡discovery¡¡of¡¡the¡¡water¡¡communication



with¡¡the¡¡coasts¡¡of¡¡the¡¡White¡¡Sea¡£



¡¡¡¡¡¡¡¡But¡¡the¡¡great¡¡increase¡¡of¡¡her¡¡industry£»¡¡and¡¡especially¡¡of¡¡her



civilisation£»¡¡dates¡¡from¡¡the¡¡reign¡¡of¡¡Peter¡¡the¡¡Great¡£¡¡The¡¡history



of¡¡Russia¡¡during¡¡the¡¡last¡¡hundred¡¡and¡¡forty¡¡years¡¡offers¡¡a¡¡most



striking¡¡proof¡¡of¡¡the¡¡great¡¡influence¡¡of¡¡national¡¡unity¡¡and



political¡¡circumstances¡¡on¡¡the¡¡economic¡¡welfare¡¡of¡¡a¡¡nation¡£



¡¡¡¡¡¡¡¡To¡¡the¡¡imperial¡¡power¡¡which¡¡established¡¡and¡¡maintained¡¡this



union¡¡of¡¡innumerable¡¡Barbaric¡¡hordes£»¡¡Russia¡¡owes¡¡the¡¡foundations



of¡¡her¡¡manufactures£»¡¡her¡¡vast¡¡progress¡¡in¡¡agriculture¡¡and



population£»¡¡the¡¡facilities¡¡offered¡¡to¡¡her¡¡interior¡¡traffic¡¡by¡¡the



construction¡¡of¡¡canals¡¡and¡¡roads£»¡¡a¡¡very¡¡large¡¡foreign¡¡trade£»¡¡and



her¡¡standing¡¡as¡¡a¡¡commercial¡¡power¡£



¡¡¡¡¡¡¡¡Russia's¡¡independent¡¡system¡¡of¡¡trade¡¡dates£»¡¡however£»¡¡only¡¡from



the¡¡year¡¡1821¡£



¡¡¡¡¡¡¡¡Under¡¡Catherine¡¡II¡£¡¡trade¡¡and¡¡manufactures¡¡had¡¡certainly¡¡made



some¡¡progress£»¡¡on¡¡account¡¡of¡¡the¡¡privileges¡¡she¡¡offered¡¡to¡¡foreign



artisans¡¡and¡¡manufacturers£»¡¡but¡¡the¡¡culture¡¡of¡¡the¡¡nation¡¡was¡¡still



too¡¡imperfect¡¡to¡¡allow¡¡of¡¡its¡¡getting¡¡beyond¡¡the¡¡first¡¡stages¡¡in



the¡¡manufacture¡¡of¡¡iron£»¡¡glass£»¡¡linen£»¡¡&c¡££»¡¡and¡¡especially¡¡in¡¡those



branches¡¡of¡¡industry¡¡in¡¡which¡¡the¡¡country¡¡was¡¡specially¡¡favoured¡¡by



its¡¡agricultural¡¡and¡¡mineral¡¡wealth¡£



¡¡¡¡¡¡¡¡Besides¡¡this£»¡¡further¡¡progress¡¡in¡¡manufactures¡¡would¡¡not£»¡¡at



that¡¡time£»¡¡have¡¡been¡¡conducive¡¡to¡¡the¡¡economic¡¡interests¡¡of¡¡the



nation¡£¡¡If¡¡foreign¡¡countries¡¡had¡¡taken¡¡in¡¡payment¡¡the¡¡provisions£»



raw¡¡material£»¡¡and¡¡rude¡¡manufactures¡¡which¡¡Russia¡¡was¡¡able¡¡to



furnish¡¡if£»¡¡further£»¡¡no¡¡wars¡¡and¡¡exterior¡¡events¡¡had¡¡intervened£»



Russia¡¡by¡¡means¡¡of¡¡intercourse¡¡with¡¡nations¡¡more¡¡advanced¡¡than



herself¡¡would¡¡have¡¡been¡¡much¡¡more¡¡prosperous£»¡¡and¡¡her¡¡culture¡¡in



general¡¡would¡¡in¡¡consequence¡¡of¡¡this¡¡intercourse¡¡have¡¡made¡¡greater



progress¡¡than¡¡under¡¡the¡¡manufacturing¡¡system¡£¡¡But¡¡wars¡¡and¡¡the



Continental¡¡blockade£»¡¡and¡¡the¡¡commercial¡¡regulations¡¡of¡¡foreign



nations£»¡¡compelled¡¡her¡¡to¡¡seek¡¡prosperity¡¡in¡¡other¡¡ways¡¡than¡¡by¡¡the



export¡¡of¡¡raw¡¡materials¡¡and¡¡the¡¡import¡¡of¡¡manufactures¡£¡¡In



consequence¡¡of¡¡these£»¡¡the¡¡previous¡¡commercial¡¡relations¡¡of¡¡Russia



by¡¡sea¡¡were¡¡disturbed¡£¡¡Her¡¡overland¡¡trade¡¡with¡¡the¡¡western



continent¡¡could¡¡not¡¡make¡¡up¡¡for¡¡these¡¡losses£»¡¡and¡¡she¡¡found¡¡it



necessary£»¡¡therefore£»¡¡to¡¡work¡¡up¡¡her¡¡raw¡¡materials¡¡herself¡£¡¡After



the¡¡establishiment¡¡of¡¡the¡¡general¡¡peace£»¡¡a¡¡desire¡¡arose¡¡to¡¡return



to¡¡the¡¡old¡¡system¡£¡¡The¡¡Government£»¡¡and¡¡even¡¡the¡¡Emperor£»¡¡were



inclined¡¡to¡¡favour¡¡free¡¡trade¡£¡¡In¡¡Russia£»¡¡the¡¡writings¡¡of¡¡Herr



Storch¡¡enjoyed¡¡as¡¡high¡¡a¡¡reputation¡¡as¡¡those¡¡of¡¡Mons¡¡Say¡¡in



Germany¡£¡¡People¡¡were¡¡not¡¡alarmed¡¡by¡¡the¡¡first¡¡shocks¡¡which¡¡the¡¡home



manufactories£»¡¡which¡¡had¡¡arisen¡¡during¡¡the¡¡Continental¡¡Blockade£»



suffered¡¡owing¡¡to¡¡English¡¡competition¡£¡¡The¡¡theorists¡¡maintained



that¡¡if¡¡these¡¡shocks¡¡could¡¡only¡¡be¡¡endured¡¡once¡¡for¡¡all£»¡¡the



blessings¡¡of¡¡free¡¡trade¡¡would¡¡follow¡£¡¡And¡¡indeed¡¡the¡¡circumstances



of¡¡the¡¡commercial¡¡world¡¡at¡¡the¡¡time¡¡were¡¡uncommonly¡¡favourable¡¡to



this¡¡transition¡£¡¡The¡¡failure¡¡of¡¡crops¡¡in¡¡Western¡¡Europe¡¡caused¡¡a



great¡¡export¡¡of¡¡agricultural¡¡produce£»¡¡by¡¡which¡¡Russia¡¡for¡¡a¡¡long



time¡¡gained¡¡ample¡¡means¡¡to¡¡balance¡¡her¡¡large¡¡importation¡¡of



manufactured¡¡goods¡£



¡¡¡¡¡¡¡¡But¡¡when¡¡this¡¡extraordinary¡¡demand¡¡for¡¡Russian¡¡agricultural



produce¡¡had¡¡ceased£»¡¡when£»¡¡on¡¡the¡¡other¡¡hand£»¡¡England¡¡had¡¡imposed



restrictions¡¡on¡¡the¡¡import¡¡of¡¡corn¡¡for¡¡the¡¡benefit¡¡of¡¡her



aristocracy£»¡¡and¡¡on¡¡that¡¡of¡¡foreign¡¡timber¡¡for¡¡the¡¡benefit¡¡of



Canada£»¡¡the¡¡ruin¡¡of¡¡Russia's¡¡home¡¡manufactories¡¡and¡¡the¡¡excessive



import¡¡of¡¡foreign¡¡manufactures¡¡made¡¡itself¡¡doubly¡¡felt¡£¡¡Although



people¡¡had¡¡formerly£»¡¡with¡¡Herr¡¡Storch£»¡¡considered¡¡the¡¡balance¡¡of



trade¡¡as¡¡a¡¡chimera£»¡¡to¡¡believe¡¡in¡¡the¡¡existence¡¡of¡¡which¡¡was£»¡¡for



a¡¡reasonable¡¡and¡¡enlightened¡¡man£»¡¡no¡¡less¡¡outrageous¡¡and¡¡ridiculous



than¡¡the¡¡belief¡¡in¡¡witchcraft¡¡in¡¡the¡¡seventeenth¡¡century¡¡had¡¡been£»



it¡¡was¡¡now¡¡seen¡¡with¡¡alarm¡¡that¡¡there¡¡must¡¡be¡¡something¡¡of¡¡the



nature¡¡of¡¡a¡¡balance¡¡of¡¡trade¡¡as¡¡between¡¡independent¡¡nations¡£¡¡The



most¡¡enlightened¡¡and¡¡discerning¡¡statesman¡¡of¡¡Russia£»¡¡Count



Nesselrode£»¡¡did¡¡not¡¡hesitate¡¡to¡¡confess¡¡to¡¡this¡¡belief¡£¡¡He¡¡declared



in¡¡an¡¡official¡¡circular¡¡of¡¡1821£º¡¡'Russia¡¡finds¡¡herself¡¡compelled¡¡by



circumstances¡¡to¡¡take¡¡up¡¡an¡¡independent¡¡system¡¡of¡¡trade£»¡¡the



products¡¡of¡¡the¡¡empire¡¡have¡¡found¡¡no¡¡foreign¡¡market£»¡¡the¡¡home



manufactures¡¡are¡¡ruined¡¡or¡¡on¡¡the¡¡point¡¡of¡¡being¡¡so£»¡¡all¡¡the¡¡ready



money¡¡of¡¡the¡¡country¡¡flows¡¡towards¡¡foreign¡¡lands£»¡¡and¡¡the¡¡most



substantial¡¡trading¡¡firms¡¡are¡¡nearly¡¡ruined¡£'¡¡The¡¡beneficial



effects¡¡of¡¡the¡¡Russian¡¡protective¡¡system¡¡contributed¡¡no¡¡less¡¡than



the¡¡injurious¡¡consequences¡¡of¡¡the¡¡re¡­establishment¡¡of¡¡free¡¡trade



had¡¡done¡¡to¡¡bring¡¡into¡¡discredit¡¡the¡¡principles¡¡and¡¡assertions¡¡of



the¡¡theorists¡£¡¡Foreign¡¡capital£»¡¡talent£»¡¡and¡¡labour¡¡flowed¡¡into¡¡the



country¡¡from¡¡all¡¡civilised¡¡lands£»¡¡especially¡¡from¡¡England¡¡and



Germany£»¡¡in¡¡order¡¡to¡¡share¡¡in¡¡the¡¡advantages¡¡offered¡¡by¡¡the¡¡home



manufactories¡£



¡¡¡¡¡¡¡¡The¡¡nobility¡¡imitated¡¡the¡¡policy¡¡of¡¡the¡¡Empire¡¡at¡¡large¡£¡¡As



they¡¡could¡¡obtain¡¡no¡¡foreign¡¡market¡¡for¡¡their¡¡produce£»¡¡they



attempted¡¡to¡¡solve¡¡the¡¡problem¡¡inversely¡¡by¡¡bringing¡¡the¡¡market



into¡¡proximity¡¡with¡¡the¡¡produce¡¡¡¡they¡¡established¡¡manufactories



on¡¡their¡¡estates¡£¡¡In¡¡consequence¡¡of¡¡the¡¡demand¡¡for¡¡fine¡¡wool



produced¡¡by¡¡the¡¡newly¡¡created¡¡woollen¡¡manufactories£»¡¡the¡¡breed¡¡of



sheep¡¡was¡¡rapidly¡¡improved¡£¡¡Foreign¡¡trade¡¡increased£»¡¡instead¡¡of



declining£»¡¡particularly¡¡that¡¡with¡¡China£»¡¡Persia£»¡¡and¡¡other



neighbouring¡¡countries¡¡of¡¡Asia¡£¡¡The¡¡commercial¡¡crises¡¡entirely



ceased£»¡¡and¡¡one¡¡need¡¡only¡¡read¡¡the¡¡latest¡¡reports¡¡of¡¡the¡¡Russian



Minister¡¡of¡¡Commerce¡¡to¡¡be¡¡convinced¡¡that¡¡Russia¡¡owes¡¡a¡¡large



measure¡¡of¡¡prosperity¡¡to¡¡this¡¡system£»¡¡and¡¡that¡¡she¡¡is¡¡increasing



her¡¡national¡¡wealth¡¡and¡¡power¡¡by¡¡enormous¡¡strides¡£



¡¡¡¡¡¡¡¡It¡¡is¡¡foolish¡¡for¡¡Germans¡¡to¡¡try¡¡to¡¡make¡¡little¡¡of¡¡this



progress¡¡and¡¡to¡¡complain¡¡of¡¡the¡¡injury¡¡which¡¡it¡¡has¡¡caused¡¡to¡¡the



north¡­eastern¡¡provinces¡¡of¡¡Germany¡£¡¡Each¡¡nation£»¡¡like¡¡each



individual£»¡¡has¡¡its¡¡own¡¡interests¡¡nearest¡¡at¡¡heart¡£¡¡Russia¡¡is¡¡not



called¡¡upon¡¡to¡¡care¡¡for¡¡the¡¡welfare¡¡of¡¡Germany£»¡¡Germany¡¡must¡¡care



for¡¡Germany£»¡¡and¡¡Russia¡¡for¡¡Russia¡£¡¡It¡¡would¡¡be¡¡much¡¡better£»



instead¡¡of¡¡complaining£»¡¡instead¡¡of¡¡hoping¡¡and¡¡waiting¡¡and¡¡expecting



the¡¡Messiah¡¡of¡¡a¡¡future¡¡free¡¡trade£»¡¡to¡¡throw¡¡the¡¡cosmopolitan



system¡¡into¡¡the¡¡fire¡¡and¡¡take¡¡a¡¡lesson¡¡from¡¡the¡¡example¡¡of¡¡Russia¡£



¡¡¡¡¡¡¡¡That¡¡England¡¡should¡¡look¡¡with¡¡jealousy¡¡on¡¡this¡¡commercial



policy¡¡of¡¡Russia¡¡is¡¡very¡¡natural¡£¡¡By¡¡its¡¡means¡¡Russia¡¡has



emancipated¡¡herself¡¡from¡¡England£»¡¡and¡¡has¡¡qualified¡¡herself¡¡to



enter¡¡into¡¡competition¡¡with¡¡her¡¡in¡¡Asia¡£¡¡Even¡¡if¡¡England



manufactures¡¡more¡¡cheaply£»¡¡this¡¡advantage¡¡will¡¡in¡¡the¡¡trade¡¡with



Central¡¡Asia¡¡be¡¡outweighed¡¡by¡¡the¡¡proximity¡¡of¡¡the¡¡Russian¡¡Empire



and¡¡by¡¡its¡¡political¡¡influence¡£¡¡Although¡¡Russia¡¡may¡¡still¡¡be£»¡¡in



comparison¡¡with¡¡Europe£»¡¡but¡¡a¡¡slightly¡¡civilised¡¡country£»¡¡yet£»¡¡as



compared¡¡with¡¡Asia£»¡¡she¡¡is¡¡a¡¡civilised¡¡one¡£



¡¡¡¡¡¡¡¡Meantime£»¡¡it¡¡cannot¡¡be¡¡denied¡¡that¡¡the¡¡want¡¡of¡¡civilisation¡¡and



political¡¡institutions¡¡will¡¡greatly¡¡hinder¡¡Russia¡¡in¡¡her¡¡further



industrial¡¡and¡¡commercial¡¡progress£»¡¡especially¡¡if¡¡the¡¡Imperial



Government¡¡does¡¡not¡¡succeed¡¡in¡¡harmonising¡¡her¡¡political¡¡conditions



with¡¡the¡¡requirements¡¡of¡¡industry£»¡¡by¡¡the¡¡introduction¡¡of¡¡efficient



municipal¡¡and¡¡provincial¡¡constitutions£»¡¡by¡¡the¡¡gradual¡¡limitation



and¡¡final¡¡abolition¡¡of¡¡serfdom£»¡¡by¡¡the¡¡formation¡¡of¡¡an¡¡educated



middle¡¡class¡¡and¡¡a¡¡free¡¡peasant¡¡class£»¡¡and¡¡by¡¡the¡¡completion¡¡of



means¡¡of¡¡internal¡¡transport¡¡and¡¡of¡¡communication¡¡with¡¡Central¡¡Asia¡£



These¡¡are¡¡the¡¡conquests¡¡to¡¡which¡¡Russia¡¡is¡¡called¡¡in¡¡the¡¡present



century£»¡¡and¡¡on¡¡them¡¡depends¡¡her¡¡further¡¡progress¡¡in¡¡agriculture



and¡¡industry£»¡¡in¡¡trade£»¡¡navigation¡¡and¡¡naval¡¡power¡£¡¡But¡¡in¡¡order¡¡to



render¡¡reforms¡¡of¡¡this¡¡kind¡¡possible¡¡and¡¡practicable£»¡¡the¡¡Russian



aristocracy¡¡must¡¡first¡¡learn¡¡to¡¡feel¡¡that¡¡their¡¡own¡¡material



interests¡¡will¡¡be¡¡most¡¡promoted¡¡by¡¡them¡£







Chapter¡¡9







The¡¡North¡¡Americans







¡¡¡¡¡¡¡¡After¡¡our¡¡historical¡¡examination¡¡of¡¡the¡¡commercial¡¡policy¡¡of



the¡¡European¡¡nations£»¡¡with¡¡the¡¡exception¡¡of¡¡those¡¡from¡¡which¡¡there



is¡¡nothing¡¡of¡¡importance¡¡to¡¡be¡¡learnt£»¡¡we¡¡will¡¡cast¡¡a¡¡glance¡¡beyond



the¡¡Atlantic¡¡Ocean¡¡at¡¡a¡¡people¡¡of¡¡colonists¡¡which¡¡has¡¡been¡¡raising



itself¡¡almost¡¡before¡¡our¡¡eyes¡¡from¡¡the¡¡condition¡¡of¡¡entire



dependence¡¡on¡¡the¡¡mother¡¡country£»¡¡and¡¡of¡¡separation¡¡into¡¡a¡¡number



of¡¡colonial¡¡provinces¡¡having¡¡no¡¡kind¡¡of¡¡political¡¡union¡¡between



themselves£»¡¡to¡¡that¡¡of¡¡a¡¡united£»¡¡well¡­organised£»¡¡free£»¡¡powerful£»



industrious£»¡¡rich£»¡¡and¡¡independent¡¡nation£»¡¡which¡¡will¡¡perhaps¡¡in



the¡¡time¡¡of¡¡our¡¡grandchildren¡¡exalt¡¡itse

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