Benjamin Franklin; Self-Revealed, Volume 2 (of 2): A Biographical and Critical Study Based Mainly on his own WritingsBruce, Wiliam Cabell
History
Benjamin Franklin; Self-Revealed, Volume 2 (of 2): A Biographical and Critical Study Based Mainly on his own Writings
Bruce, Wiliam Cabell
Franklin, Benjamin, 1706-1790
Many years later, he wrote to Benjamin Vaughan, "The making England
entirely a free port would have been the wisest step ever taken for its
advantage." In recent years, his _Wail of a Protected Manufacturer_ has
been reprinted and widely circulated in England by the opponents of the
Fair Trade movement:
Suppose a country, X, which has three
industries--cloth, silk, iron--and supplies three other
countries--A, B, and C--therewith, wishes to increase
the sale and raise the price of cloth in favour of its
cloth-makers.
To that end X prohibits the importation of cloth from
A.
In retaliation A prohibits silks coming from X.
The workers in silk complain of the decline in their
trade.
To satisfy them X excludes silk from B.
B, to retaliate, shuts out iron and hardware against X.
Then the makers of iron and hardware cry out that their
trades are being ruined.
So X closes its doors against iron and hardware from C.
In return C refuses to take cloth from X.
Who is the gainer by all these prohibitions?
Answer
All the four countries have diminished their common
fund of the enjoyments and conveniences of life.
The open ports of the United States, after the conclusion of the American
Revolution, were a source of keen gratification to Franklin. They had
brought in, he thought, a vast plenty of foreign goods, and occasioned a
demand for domestic produce; so that America enjoyed the double advantage
of buying what they consumed cheap, and of selling what they could spare
dear.
The following views in a letter from him to Jared Eliot, as far back as the
year 1747, sound like a recent tariff reform speech in Congress:
First, I imagine that the Five Per Cent Duty on Goods
imported from your Neighbouring Governments, tho' paid
at first Hand by the Importer, will not upon the whole
come out of his Pocket, but be paid in Fact by the
Consumer; for the Importer will be sure to sell his
Goods as much dearer as to reimburse himself; so that
it is only another Mode of Taxing your own People tho'
perhaps meant to raise Money on your Neighbours.
But then follows what a free trader, using Franklin's own coarse phrase,
might call "spitting in the soup." "Yet, if you can make some of the Goods,
heretofore imported, among yourselves, the advanc'd price of five per cent
may encourage your own Manufacture, and in time make the Importation of
such Articles unnecessary, which will be an Advantage."
Public-domain text, read in full here on John Shaqi.
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