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again; how much to chance; to destiny; to fortune?



    Let Charles V and Henry VIII change places; and; in consequence



of a villanous divorce trial; it is conceivable (the reader will



understand why we say 'conceivable') that Germany and the



Netherlands might have become what England and Spain have become。



Place in the position of Elizabeth; a weak woman allying herself to



a Philip II; and how would it have fared with the power; the



civilisation; and the liberties of Great Britain?



    If the force of national character will alone account for



everything in this mighty revolution; must not then the greatest



share of its beneficial results have accrued to the nation from



which it sprang; namely; to Germany? Instead of that; it is just



the German nation which reaped nothing save trouble and weakness



from this movement in the direction of progress。



    In no European kingdom is the institution of an aristocracy



more judiciously designed than in England for securing to the



nobility; in their relation to the Crown and the commonalty;



individual independence; dignity; and stability; to give them a



Parliamentary training and position; to direct their energies to



patriotic and national aims; to induce them to attract to their own



body the 閘ite of the commonalty; to include in their ranks every



commoner who earns distinction; whether by mental gifts;



exceptional wealth; or great achievements; and; on the other hand;



to cast back again amongst the commons the surplus progeny of



aristocratic descent; thus leading to the amalgamation of the



nobility and the commonalty in future generations。 By this process



the nobility is ever receiving from the Commons fresh accessions of



civic and patriotic energy; of science; learning; intellectual and



material resources; while it is ever restoring to the people a



portion of the culture and of the spirit of independence peculiarly



its own; leaving its own children to trust to their own resources;



and supplying the commonalty with incentives to renewed exertion。



In the case of the English lord; however large may be the number of



his descendants; only one can hold the title at a time。 The other



members of the family are commoners; who gain a livelihood either



in one of the learned professions; or in the Civil Service; in



commerce; industry; or agriculture。 The story goes that some time



ago one of the first dukes in England conceived the idea of



inviting all the blood relations of his house to a banquet; but he



was fain to abandon the design because their name was legion;



notwithstanding that the family pedigree had not reached farther



back than for a few centuries。 It would require a whole volume to



show the effect of this institution upon the spirit of enterprise;



the colonisation; the might and the liberties; and especially upon



the forces of production of this nation。(9*)



    The geographical position of England; too; has exercised an



immense influence upon the independent development of the nation。



England in its relation to the continent of Europe has ever been a



world by itself; and was always exempt from the effects of the



rivalries; the prejudices; the selfishness; the passions; and the



disasters of her Continental neighbours。 To this isolated condition



she is mainly indebted for the independent and unalloyed growth of



her political constitution; for the undisturbed consummation of the



Reformation; and for the secularisation of ecclesiastical property



which has proved so beneficial to her industries。 To the same cause



she is also indebted for that continuous peace; which; with the



exception of the period of the civil war; she has enjoyed for a



series of centuries; and which enabled her to dispense with



standing armies; while facilitating the early introduction of a



consistent customs system。



    By reason of her insular position; England not only enjoyed



immunity from territorial wars; but she also derived immense



advantages for her manufacturing supremacy from the Continental



wars。 Land wars and devastations of territory inflict manifold



injury upon the manufactures at the seat of hostilities; directly;



by interfering with the farmer's work and destroying the crops;



which deprives the tiller of the soil of the means wherewithal to



purchase manufactured goods; and to produce raw material and food



for the manufacturer; indirectly; by often destroying the



manufactories; or at any rate ruining them; because hostilities



interfere with the importation of raw material and with the



exportation of goods; and because it becomes a difficult matter to



procure capital and labour just at the very time when the masters



have to bear extraordinary imposts and heavy taxation; and lastly



the injurious effects continue to operate even after the cessation



of the war; because both capital and individual effort are ever



attracted towards agricultural work and diverted from manufactures;



precisely in that proportion in which the war may have injured the



farmers and their crops; and thereby opened up a more directly



profitable field for the employment of capital and of labour than



the manufacturing industries would then afford。 While in Germany



this condition of things recurred twice in every hundred years; and



caused German manufactures to retrograde; those of England made



uninterrupted progress。 English manufacturers; as opposed to their



Continental competitors; enjoyed a double and treble advantage



whenever England; by fitting out fleets and armies; by subsidies;



or by both these means combined; proceeded to take an active part



in foreign wars。



    We cannot agree with the defenders of unproductive expenditure;



namely; of that incurred by wars and the maintenance of large



armies; nor with those who insist upon the positively beneficial



character of a public debt; but neither do we believe that the



dominant school are in the right when they contend that all



consumption which is not directly reproductive  for instance;



that of war  is absolutely injurious without qualification。 The



equipment of armies; wars; and the debts contracted for these



purposes; may; as the example of England teaches; under certain



circumstances; very greatly conduce to the increase of the



productive powers of a nation。 Strictly speaking; material wealth



may have been consumed unproductively; but this consumption may;



nevertheless; stimulate manufacturers to extraordinary exertions;



and lead to new discoveries and improvements; especially to an



increase of productive powers。 This productive power then becomes



a permanent acquisition; it will increase more and more; while the



expense of the war is incurred only once for all。(10*) And thus it



may come to pass; under favouring conditions such as have occurred



in England; that a nation has gained immeasurably more than it has



lost from that very kind of expenditure which theorists hold to be



unproductive。 That such was really the case with England; may be



shown by figures。 For in the course of the war; that country had



acquired in the cotton manufacture alone a power of production



which yields annually a much larger return in value than the amount



which the nation has to find to defray the interest upon the



increased national debt; not to mention the vast development of all



other branches of industry; and the additions to her colonial



wealth。



    Most conspicuous was the advantage accruing to the English



manufacturing interest during the Continental wars; when England



maintained army corps o

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