The New Orleans bulletin. [volume] (New Orleans [La.]) 1874-1876, 1874-06-21
CREDIT vs.. REPUTATION.

with unauthorized assertions, unSOuuu Io"
soning leading to false conclusions, utter
ignorance Of the elementary principles OF
political science, and, withal, SO hurttul III
it's tendency. that am constrained to crave
the use of your columns for the purpose OF
exposing its dangerous sOphistries.
The writer starts out with the assumption
that our principal "needs are capital and
immigration to develop the vast resources OF
this State" but that these are repealed from
coming here BY the clamOr of our own peO-
pie, who are necessarily repining at their
present poverty, Frustrated business, and
hopeless future. He further says that "We
want foreign capital" and condemns, IN no
measured terms, those who are befoullng
our credit" He also says, s. to get capital
ue must have credit and that, ''some peo-
pie have done more to drag our credit in the
mire, than all the fortuitOus circumstances
by which we have been surrounded"
There is some difficulty in knowing where
to begin to unravel this mass of condensed
nonsense. He begins with the fallacy OF
assuming that nations or communities have
no power within themselves of becoming
prosperous but must be indebted to foreign
capital and an influx of foreigners to make
them SO. The absurdity OF this is too mani
fest to need elaboration: for example, it
would mean, that unless England i'm
be Immersed in poverty; and that France,
equally needs an influx of Englishmen
and their capital to rescue her from poverty
or prevent her from falling into tnat cOndi
ton. We must remember that this saplent
writer does not refer to commerce, or the
exchange Of the surplus productions OF ore
community for those of another as contribu
ting to national wealth. but assumes that
to render us at all prosperous, the capital
and Inhabitants OF nations at distance,
must be inveigled herr by false representa-
tiOns of our prosperity else we perish
having no innate powers OF sustenance or
recuperation. This is doleful view to take
of our condition, and in a moral point the
| remedy is still more dreadful than our con-
ditiOn.
This writer, in defiance of reason and ex-
perience, ignorantly assumes that an in
crease Of population would Of itself be a
cause of prosperity, whereas it is always
the effect of prosperity or increased prOduc-
ton, and not the cause.
J. b. Say, the eminent political economist,
says, Book 2, Nothing can permanently in
crease population, except the encourage
nothing can occasion its permanent diminu-
ton but such circumstances as attack its
production in its sources" An increase of
population at this time would, beyond all
doubt, add to our embarrassments, as in
creasing the number of unprOductive con-
sumers. But this error is perhaps of little
consequence, except to exhibit the crude
views of the writer On subject upon which
he presumes to speak er-cethedra.
The writer has not given one jOt OF evil
dence, nor attempted to prove by deductive
reasoning, that the impoverished condition
of the people of Louisiana, is in any degree
dlo fSf ha ISYn of n1 Inv n
clamor or the impotence Of the people
under the Calling yoke of a rapidly increas-
ing poverty. The theory is manifastly alb
surd; if capital could be proftably in
vested here, here it would come impelled
by law as certain and constant in its Oper-
alton as that physical law which causes
water to flow downwards.
Was it mere public report, however loudly
expressed, of the unremunerative character
| of every industrial pursuit in Louisiana,
that induced the European clients of one of
our commercial houses to withdraw three
millions of their Investments from this State
| in less than two years? or was it because
| these investments were rapidly becoming
unremunerative:
Mere clamor never yet drove away capital
| if profitably invested, nor prevented it from
| being embarked in remunerative enterprises
| The Times asserts that 1--WE want foreign
| capital" This assertion must be accepted
with qualification. Capital means that
| portion of the public revenue that is set
aside to be used for reproduction. If we
| borrow it without the means of using it re-
muneratively, we borrow to consume and
defraud. Men may be impelled by blind
unreasoning hope to embark in enterprises
of great risk; but ] appeal to the honest
Judgment of the people, if there is any en-
| nf foff
| that sagaciOus man of business would in
vest his capital in. There is cause for this
| and the cause lies upon the surface, although
studously ignored by the Times. The cause is
taxatiOn-ercessire taxation, plundering tara
ton, and until this evil is removed, there are
no means under heaven that can, in any
sensible degree, restore our prosperity, either
wholly or in part. The first step to the
cure of an ailment is knowledge of its
nature and cause. This known, the remedy
may be applied, but until it is, a cure Ii
hopeless.
The Times, although treating upon sub
ject involving the principles of political
economy, is apparently ignorant that sucf
d science exists. l will give few hints
which may assist it to understand our con
dition and its causes, matters Of vital i'm
portance to the people.
Marcel, page 60, says: "LabOr seems tt
be the natural and immediate cause o
wealth; but it will produce little more thar
he necessaries of life, until its benefits arr
extended by the establishment Of such a gou
ernment as can gre security to property
Again, page 35l 8 The grand object to b.
kept in view in order to promote the genera
prosperity of the country, is the increase o
capital. But it is not in the power of thu
Legislature to promote this end in any othe
way than by proriding for the security o
property"
Ia regard to the effect of taxation, Prof
Wayland, that distinguished writer rpol
political science, says chapter 3, section
"And still more if the value consumed pro
duce no material result, but on the contrary
be employed to promote the purposes o
he of the as se
away, not only without rendering him an,
service, but for the sake of employing othe
men to torment him, and deprive BIN of hi
rights. But the right of property may b
| inlo foJ h,c