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Friedrich List: Excerpt from National System of Political Economy (1841)

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By economical conditions, we understand an advanced stage of agriculture, which cannot be sensibly stimulated by the export of its products; by moral conditions, a high moral culture among individuals; by social conditions, we mean legal security to citizens for their persons and properties, and the free exercise of their moral and physical faculties; institutions regulating and facilitating trade, and suppressing all restraints upon industry, liberty, intelligence, and morality, as for instance, feudal institutions.

It is of the utmost concern for a nation uniting such advantages, first fully to supply its own wants, its own consumption, with the products of its own manufactures, then to form direct connections progressively with the countries of the torrid zone, transmitting to them, upon its own vessels, its manufactured products, receiving in exchange their commodities.

In comparison with this exchange of the manufactured products of the temperate, for the agricultural productions of the torrid zone, other international trade is of a secondary importance, if we but except the trade in a few special articles; wine, for instance.

The production of raw materials and commodities among the great nations of temperate climes, has no real importance but in regard to internal trade. An uncultivated nation may at the beginning advance its agriculture by the exportation of wheat, wine, flax, hemp, and wool; but no great nation ever arrived at wealth, civilization, and power, by such policy.

It may be stated as a principle, that a nation is richer and more powerful, in proportion as it exports more manufactured products, imports more raw materials, and consumes more tropical commodities.

Productions of the tropics serve to manufacturing countries of temperate climes, not only as raw materials and alimentary commodities, but also, and especially, as stimulants for agricultural and industrial labor. The nation which consumes the greatest quantity of tropical commodities, will always be that of which the agricultural and manufacturing production is relatively the most considerable, and that which consumes the greatest quantity of its own products.

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