Page:Bismarck and the Foundation of the German Empire (1899).djvu/483

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1887]
Economic Reform.
419

serve in the army; when so large a proportion of the population earned their livelihood in the railways, the post-office, the customs, the administration—the State had already a power and influence which many besides the Liberals regarded with alarm. What would it be when every working man looked forward to receiving, after his working days were over, a free gift from the Government? Could not this power be used for political measures also; could not it become a means for checking the freedom of opinions and even for interfering in the liberty of voting?

He had to raise the money he wanted in another way, and, in 1879, he began the great financial change that he had been meditating for three years; he threw all his vigour into overthrowing Free Trade and introducing a general system of Protection.

In this he was only doing what a large number of his countrymen desired. The results of Free Trade had not been satisfactory. In 1876 there was a great crisis in the iron trade; owing to overproduction there was a great fall of prices in England, and Germany was being flooded with English goods sold below cost price. Many factories had to be closed, owners were ruined, and men thrown out of work; it happened that, by a law passed in 1873, the last duty on imported iron would cease on the 31st of December, 1876. Many of the manufacturers and a large party in the Reichstag petitioned that the action of the law might at any rate be suspended. Free-Traders, however, still had a majority, for the greater portion of the National Liberals be-