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Exchange due to the Division of Labour-Is in Essence the Barter of
Labour-Those who produce Commodities make the Market for
other Commodities, and not those who traffic in them-Examination
of Mr. Mill's Doctrine, that Demand for Commodities is not Demand
for Labour-Advantages of the Division of Labour - It is in them
only that the Benefit of Exchange consists. - Comparison of the
Advantages of Domestic and Foreign Trade-Discrepancy between
Adam Smith and the recent English Economists on this point-
Examination of Ricardo's Views-Influence of the Vicinity of Con-

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CHAPTER IX.

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GOVERNMENT.

Advantages enjoyed by Americans for arriving at the Legitimate Eco-
nomical Functions of Government - The Natural Development of
Governmental Association among Men -- Most general Purpose of
Government, to promote Association among those by whom it is
instituted Elucidation of its true Functions by our Political
Arrangements and History - Self-regulation consistent with the
greatest Aggregate of Freedom - Natural Tendency to Progressive
Restrictions of the Power and Functions of Government-Illustra-
tion from the History of New York-Principles of Taxation-Taxes
should be proportioned to the Services which every Member of the
Community receives from the Government-Direct Taxation in pro-
portion to Property demanded by this Principle-Inequality resulting
from all Modes of Indirect Taxation - Taxes should be so adjusted
as to subserve the Purposes for which Government is instituted -
May be made to operate as in the nature of Penalties for Violation
of Regulations to which the Members of the Community have
agreed -- How far Duties on Imports may operate as Taxes upon
Foreigners-Examination of Mr. Mill's Opinion on this point........ 251

INTRODUCTION.

"We ought to conceive the study of Nature as destined to furnish the true rational basis of the action of man upon Nature; because the knowledge of the laws of phenomena, of which the invariable result is foresight, and that alone, can conduct us in active life to modify the one by the other to our advantage. In short, SCIENCE WHENCE FORESIGHT, FORESIGHT WHENCE ACTION, Such is the simple formula which expresses the general relation of Science and Art."

COMTE.

STARTING from the central highlands of Asia-the loftiest habitable region of the globe, where the great rivers take their rise that flow into the Frozen Ocean, and the Bay of Bengal, the Mediterranean, and the Chinese Sea-the human race has descended in an ever-widening flood, to spread over the earth and to subdue it. Sacred history and Hindoo tradition point to the same region as the cradle of mankind. They are confirmed by the reflection, that it must have been the first to emerge from the primal waste of waters; and the belief, that here it is that wheat and barley are of indigenous growth, and that the animals run wild who have been tamed by man, and have followed him in his migrations through every climethe horse, the ass, the goat, the sheep, the hog, the cat, that clings

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"The limit of perpetual snow is wonderfully raised on the northern slope of the Himalaya, perhaps to 2600 toises, or 16,625 English feet, above the level of the sea. Fields of barley (hordeum hexastichon) are seen in Kunawur up to 2300 toises, or 14,707 English feet; and another variety of barley even much higher. Wheat succeeds extremely well in the Thibetian highlands up to 1880 toises, or 12,022 English feet.”—Humboldt's Aspects of Nature.

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