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LIST, FRIEDRICH (1789-1846) , German economist, was born at Reutlingen, Wurttemberg, on the 6th of August 1789. Unwilling to follow the occupation of his father, who was a prosperous tanner, he became a clerk in the public service, and by 1816 had risen to the post of ministerial under-secretary. In 1817 he was appointed professor of administration and politics at the university of Tubingen, but the fall of the ministry in 1818 compelled him to resign. As a deputy to the Wurttemberg chamber, he was active in advocating administrative reforms. He was eventually expelled from the chamber and in April 1822 sentenced to ten months' imprisonment with hard labour in the fortress of Asperg. He escaped to Alsace
consul
Leipzig
establishment of the Zollverein was due largely to his enthusiasm and ardour. His latter days were darkened by many misfortunes; he lost much of his American property in a financial crisis, ill-health also overtook him, and he brought his life to an end by his own hand on the 3oth of November 1846.List
He refused to Smith's system the title of the industrial, which he thought more appropriate to the mercantile system, and designated the former as " the exchange-value system." He denied the parallelism asserted by Smith between the economic conduct proper to an individual and to a nation, and held that the immediate private interest
standing
List
economic maturity, the three productive powers of agriculture, manufactures and commerce should be alike developed. But the two latter factors are superior in importance, as exercising a more effective and fruitful influence on the whole culture of the nation, as well as on its independence. Navigation, railways, all higher technical arts, connect themselves specially with these factors; whilst in a purely agricultural state there is a tendency to stagnation. But for the growth of the higher forms of industry all countries are not adaptedonly those of the temperate zones, whilst the torrid regions have a natural monopoly in the production of certain raw materials; and thus between these two groups of countries a division of labour and confederation of powers spontaneously takes place. List then goes on to explain his theory of the stages of economic development through which the nations of the temperate zone, which are furnished with all the necessary conditions, naturally pass, in advancing to their normal economic state. These are (1) pastoral
scheme of industrial politics. Every nation, according to him, should begin with free trade, stimulating and improving its agriculture by intercourse with richer and more cultivated nations, importing foreign manufactures and exporting raw products. When it is economically so far advanced that it can manufacture for itself, then a system of protection should be employed to allow the home industries to develop themselves fully, and save them from being overpowered in their earlier efforts by the competition of more matured foreign industries in the home market. When the national industries have grown strong enough no longer to dread this competition, then the highest stage of progress has been reached; free trade should again become the rule, and the nation be thus thoroughly incorporated with the universal industrial union. What a nation loses for a time in exchange values during the protective period she much more than gains in the long run in productive powerthe temporary expenditure being strictly analogous, when we place ourselves at the point of view of the life of the nation, to the cost of the industrialeducationof the individual. The practical conclusion which List drew for Germany was that she needed for her economic progress an extended and conveniently bounded territory reaching to the sea-coast both on north and south, and a vigorous expansion of manufactures and commerce, and that the way to the latter lay through judicious protective legislation with a customs union domprising all German lands, and a German marine with a Navigation Act. The national German spirit, striving after independence and power through union, and the national industry, awaking from its lethargy and eager to recover lost ground, were favourable to the success of List's book, and it produced a great sensation. He ably represented the tendencies and demands of his time in his own country; his work had the effect of fixing the attention, not merely of the speculative and official classes, but of practical men generally, on questions of political economy
See biographies of List by Goldschmidt (Berlin, 1878) and Jentsch (Berlin, 1901), also Fr. List, ein Vorlaufer and ein Opfer fur das Vaterland (Anon., 2 vols., Stuttgart, 1877) ; M. E. Hirst's Life of Friedrich List (London, 1909) contains a bibliography and a reprint of List's Outlines of American Political Economy
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