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Herr List and Herr v. Gülich form <strong>the</strong> limits between which <strong>the</strong><br />

system moves. If it wishes to protect industrial progress, <strong>the</strong>n it at once<br />

sacrifices handicraft production, labour; if it wishes to protect labour, <strong>the</strong>n<br />

industrial progress is sacrificed.<br />

Let us return to <strong>the</strong> protectionists proper, who do not share <strong>the</strong><br />

illusions <strong>of</strong> Herr v. Gülich.<br />

If <strong>the</strong>y speak consciously and openly to <strong>the</strong> working class, <strong>the</strong>n<br />

<strong>the</strong>y summarize <strong>the</strong>ir philanthropy in <strong>the</strong> following words: It is better<br />

to be exploited by one’s fellow-countrymen than by foreigners.<br />

I do not think <strong>the</strong> working class will be for ever satisfied with this<br />

solution, which, it must be confessed, is indeed very patriotic, but<br />

none<strong>the</strong>less a little too ascetic and spiritual for people whose only<br />

occupation consists in <strong>the</strong> production <strong>of</strong> riches, <strong>of</strong> material wealth.<br />

But <strong>the</strong> protectionists will say: “So when all is said and done we at<br />

least preserve <strong>the</strong> present state <strong>of</strong> society. Good or bad, we guarantee <strong>the</strong><br />

labourer work for his hands, and prevent his being thrown on to <strong>the</strong> street<br />

by foreign competition.” I shall not dispute this statement, I accept it. The<br />

preservation, <strong>the</strong> conservation <strong>of</strong> <strong>the</strong> present state <strong>of</strong> affairs is accordingly<br />

<strong>the</strong> best result <strong>the</strong> protectionists can achieve in <strong>the</strong> most favourable<br />

circumstances. Good, but <strong>the</strong> problem for <strong>the</strong> working class is not to<br />

preserve <strong>the</strong> present state <strong>of</strong> affairs, but to transform it into its opposite.<br />

The protectionists have one last refuge. They say that <strong>the</strong>ir system<br />

makes no claim to be a means <strong>of</strong> social reform, but that it is none<strong>the</strong>less<br />

necessary to begin with social reforms in one’s own country, before one<br />

embarks on economic reforms internationally. After <strong>the</strong> protective system<br />

has been at first reactionary, <strong>the</strong>n conservative, it finally becomes<br />

conservative-progressive. It will suffice to point out <strong>the</strong> contradiction<br />

lurking in this <strong>the</strong>ory, which at first sight appears to have something<br />

seductive, practical and rational to it. A strange contradiction! The system<br />

<strong>of</strong> protective tariffs places in <strong>the</strong> hands <strong>of</strong> <strong>the</strong> capital <strong>of</strong> one country <strong>the</strong><br />

weapons which enable it to defy <strong>the</strong> capital <strong>of</strong> o<strong>the</strong>r countries; it increases<br />

<strong>the</strong> strength <strong>of</strong> this capital in opposition to foreign capital, and at <strong>the</strong> same<br />

time it deludes itself that <strong>the</strong> very same means will make that same capital<br />

small and weak in opposition to <strong>the</strong> working class. In <strong>the</strong> last analysis that

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