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and on the other hand of establishing a common trade and
custom…house system for the whole of Germany。
This union was formally organised。 Its articles of association
were submitted to the Diet； and to all the rulers and governments
of the German states for approval。 In every German town a local
correspondent was appointed； each German state had its provincial
correspondent。 All the members and correspondents bound themselves
to promote the objects of the union to the best of their ability。
The city of N黵nberg was selected as the head…quarters of the
union； and authorised to appoint a central committee； which should
direct the business of the union； under the advice of an assessor；
for which office the author of this book was selected。 In a weekly
journal of the union； bearing the title of 'Organ des deutschen
Handels… und Fabrikantenstandes；'（3*） the transactions and measures
of the central committee were made known； and ideas； proposals；
treatises； and statistical papers relating to the objects of the
union were published。 Each year at the spring fair in Frankfort a
general meeting of the union was held； at which the central
committee gave an account of its stewardship。
After this union had presented a petition to the German Diet
showing the need and expediency of the measures proposed by their
organisation； the central committee at N黵nberg commenced
operations。 Deputations were sent to every German Court； and
finally one to the Congress of Plenipotentiaries held at Vienna in
1820。 At this congress so much at least was gained； that several of
the second…class and smaller German states agreed to hold a
separate congress on the subject at Darmstadt。 The effect of the
deliberations of this last…named congress was； first； to bring
about a union between W黵temberg and Bavaria； secondly； a union of
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：
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