I might here ask, if those only who come under the above description are to be considered as citizens, what designation do you mean to give the rest of the people? I allude to that portion of the people on whom the princ.i.p.al part of the labour falls, and on whom the weight of indirect taxation will in the event chiefly press. In the structure of the social fabric, this cla.s.s of people are infinitely superior to that privileged order whose only qualification is their wealth or territorial possessions. For what is trade without merchants? What is land without cultivation? And what is the produce of the land without manufactures?

But to return to the subject.

In the first place, this article is incompatible with the three first articles of the Declaration of Rights, which precede the Const.i.tutional Act.

The first article of the Declaration of Rights says:

"The end of society is the public good; and the inst.i.tution of government is to secure to every individual the enjoyment of his rights."

But the article of the Const.i.tution to which I have just adverted proposes as the object of society, not the public good, or in other words, the good of _all_, but a partial good; or the good only of a _few_; and the Const.i.tution provides solely for the rights of this few, to the exclusion of the many.

The second article of the Declaration of Rights says:

"The Rights of Man in society are Liberty, Equality, Security of his person and property."

But the article alluded to in the Const.i.tution has a direct tendency to establish the reverse of this position, inasmuch as the persons excluded by this _inequality_ can neither be said to possess liberty, nor security against oppression. They are consigned totally to the caprice and tyranny of the rest.

The third article of the Declaration of Rights says:

"Liberty consists in such acts of volition as are not injurious to others."

But the article of the Const.i.tution, on which I have observed, breaks down this barrier. It enables the liberty of one part of society to destroy the freedom of the other.

Having thus pointed out the inconsistency of this article to the Declaration of Rights, I shall proceed to comment on that of the same article which makes a direct contribution a necessary qualification to the right of citizenship.

A modern refinement on the object of public revenue has divided the taxes, or contributions, into two cla.s.ses, the _direct_ and the_ indirect_, without being able to define precisely the distinction or difference between them, because the effect of both is the same.

Those are designated indirect taxes which fall upon the consumers of certain articles, on which the tax is imposed, because, the tax being included in the price, the consumer pays it without taking notice of it.

The same observation is applicable to the territorial tax. The land proprietors, in order to reimburse themselves, will rack-rent their tenants: the farmer, of course, will transfer the obligation to the miller, by enhancing the price of grain; the miller to the baker, by increasing the price of flour; and the baker to the consumer, by raising the price of bread. The territorial tax, therefore, though called _direct_, is, in its consequences, _indirect_.

To this tax the land proprietor contributes only in proportion to the quant.i.ty of bread and other provisions that are consumed in his own family. The deficit is furnished by the great ma.s.s of the community, which comprehends every individual of the nation.

From the logical distinction between the direct and in-direct taxation, some emolument may result, I allow, to auditors of public accounts, &c., but to the people at large I deny that such a distinction (which by the by is without a difference) can be productive of any practical benefit. It ought not, therefore, to be admitted as a principle in the const.i.tution.

Besides this objection, the provision in question does not affect to define, secure, or establish the right of citizenship. It consigns to the caprice or discretion of the legislature the power of p.r.o.nouncing who shall, or shall not, exercise the functions of a citizen; and this may be done effectually, either by the imposition of a _direct or indirect_ tax, according to the selfish views of the legislators, or by the mode of collecting the taxes so imposed.

Neither a tenant who occupies an extensive farm, nor a merchant or manufacturer who may have embarked a large capital in their respective pursuits, can ever, according to this system, attain the preemption of a citizen. On the other hand, any upstart, who has, by succession or management, got possession of a few acres of land or a miserable tenement, may exultingly exercise the functions of a citizen, although perhaps neither possesses a hundredth part of the worth or property of a simple mechanic, nor contributes in any proportion to the exigencies of the State.

The contempt in which the old government held mercantile pursuits, and the obloquy that attached on merchants and manufacturers, contributed not a little to its embarra.s.sments, and its eventual subversion; and, strange to tell, though the mischiefs arising from this mode of conduct are so obvious, yet an article is proposed for your adoption which has a manifest tendency to restore a defect inherent in the monarchy.

I shall now proceed to the second article of the same t.i.tle, with which I shall conclude my remarks.

The second article says, "Every French soldier, who shall have served one or more campaigns in the cause of liberty, is deemed a citizen of the republic, without any respect or reference to other qualifications."(1)

It would seem, that in this Article the Committee were desirous of extricating themselves from a dilemma into which they had been plunged by the preceding article. When men depart from an established principle they are compelled to resort to trick and subterfuge, always shifting their means to preserve the unity of their objects; and as it rarely happens that the first expedient makes amends for the prost.i.tution of principle, they must call in aid a second, of a more flagrant nature, to supply the deficiency of the former. In this manner legislators go on acc.u.mulating error upon error, and artifice upon artifice, until the ma.s.s becomes so bulky and incongruous, and their embarra.s.sment so desperate, that they are compelled, as their last expedient, to resort to the very principle they had violated. The Committee were precisely in this predicament when they framed this article; and to me, I confess, their conduct appears specious rather than efficacious.(2)

1 This article eventually stood: "All Frenchmen who shall have made one or more campaigns for the establishment of the Republic, are citizens, without condition as to taxes."-- _Editor._

2 The head of the Committee (eleven) was the Abbe Sieves, whose political treachery was well known to Paine before it became known to the world by his services to Napoleon in overthrowing the Republic.--_Editor._

It was not for himself alone, but for his family, that the French citizen, at the dawn of the revolution, (for then indeed every man was considered a citizen) marched soldier-like to the frontiers, and repelled a foreign invasion. He had it not in his contemplation, that he should enjoy liberty for the residue of his earthly career, and by his own act preclude his offspring from that inestimable blessing. No! He wished to leave it as an inheritance to his children, and that they might hand it down to their latest posterity. If a Frenchman, who united in his person the character of a Soldier and a Citizen, was now to return from the army to his peaceful habitation, he must address his small family in this manner: "Sorry I am, that I cannot leave to you a small portion of what I have acquired by exposing my person to the ferocity of our enemies and defeating their machinations. I have established the republic, and, painful the reflection, all the laurels which I have won in the field are blasted, and all the privileges to which my exertions have ent.i.tled me extend not beyond the period of my own existence!" Thus the measure that has been adopted by way of subterfuge falls short of what the framers of it speculated upon; for in conciliating the affections of the _Soldier_, they have subjected the _Father_ to the most pungent sensations, by obliging him to adopt a generation of Slaves.

Citizens, a great deal has been urged respecting insurrections. I am confident that no man has a greater abhorrence of them than myself, and I am sorry that any insinuations should have been thrown out upon me as a promoter of violence of any kind. The whole tenor of my life and conversation gives the lie to those calumnies, and proves me to be a friend to order, truth and justice.

I hope you will attribute this effusion of my sentiments to my anxiety for the honor and success of the revolution. I have no interest distinct from that which has a tendency to meliorate the situation of mankind.

The revolution, as far as it respects myself, has been productive of more loss and persecution than it is possible for me to describe, or for you to indemnify. But with respect to the subject under consideration, I could not refrain from declaring my sentiments.

In my opinion, if you subvert the basis of the revolution, if you dispense with principles, and subst.i.tute expedients, you will extinguish that enthusiasm and energy which have hitherto been the life and soul of the revolution; and you will subst.i.tute in its place nothing but a cold indifference and self-interest, which will again degenerate into intrigue, cunning, and effeminacy.

But to discard all considerations of a personal and subordinate nature, it is essential to the well-being of the republic that the practical or organic part of the const.i.tution should correspond with its principles; and as this does not appear to be the case in the plan that has been presented to you, it is absolutely necessary that it should be submitted to the revision of a committee, who should be instructed to compare it with the Declaration of Rights, in order to ascertain the difference between the two, and to make such alterations as shall render them perfectly consistent and compatible with each other.

XXVI. THE DECLINE AND FALL OF THE ENGLISH SYSTEM OF FINANCE.(1)

"On the verge, nay even in the gulph of bankruptcy."

1 This pamphlet, as Paine predicts at its close (no doubt on good grounds), was translated into all languages of Europe, and probably hastened the gold suspension of the Bank of England (1797), which it predicted. The British Government entrusted its reply to Ralph Broome and George Chalmers, who wrote pamphlets. There is in the French Archives an order for 1000 copies, April 27, 1796, nineteen days after Paine's pamphlet appeared. "Mr. Cobbett has made this little pamphlet a text-book for most of his elaborate treatises on our finances.... On the authority of a late Register of Mr.

Cobbett's I learn that the profits arising from the sale of this pamphlet were devoted [by Paine] to the relief of the prisoners confined in Newgate for debt."--"Life of Paine,"

by Richard Carlile, 1819.--_Editor._.

Debates in Parliament.

Nothing, they say, is more certain than death, and nothing more uncertain than the time of dying; yet we can always fix a period beyond which man cannot live, and within some moment of which he will die. We are enabled to do this, not by any spirit of prophecy, or foresight into the event, but by observation of what has happened in all cases of human or animal existence. If then any other subject, such, for instance, as a system of finance, exhibits in its progress a series of symptoms indicating decay, its final dissolution is certain, and the period of it can be calculated from the symptoms it exhibits.

Those who have hitherto written on the English system of finance, (the funding system,) have been uniformly impressed with the idea that its downfall would happen _some time or other_. They took, however, no data for their opinion, but expressed it predictively,--or merely as opinion, from a conviction that the perpetual duration of such a system was a natural impossibility. It is in this manner that Dr. Price has spoken of it; and Smith, in his Wealth of Nations, has spoken in the same manner; that is, merely as opinion without data. "The progress," says Smith, "of the enormous debts, which at present oppress, and will in the long run _most probably ruin_, all the great nations of Europe [he should have said _governments_] has been pretty uniform." But this general manner of speaking, though it might make some impression, carried with it no conviction.

It is not my intention to predict any thing; but I will show from data already known, from symptoms and facts which the English funding system has already exhibited publicly, that it will not continue to the end of Mr. Pitt's life, supposing him to live the usual age of a man. How much sooner it may fall, I leave to others to predict.

Let financiers diversify systems of credit as they will, it _is_ nevertheless true, that every system of credit is a system of paper money. Two experiments have already been had upon paper money; the one in America, the other in France. In both those cases the whole capital was emitted, and that whole capital, which in America was called continental money, and in France a.s.signats, appeared in circulation; the consequence of which was, that the quant.i.ty became so enormous, and so disproportioned to the quant.i.ty of population, and to the quant.i.ty' of objects upon which it could be employed, that the market, if I may so express it, was glutted with it, and the value of it fell. Between five and six years determined the fate of those experiments. The same fate would have happened to gold and silver, could gold and silver have been issued in the same abundant manner that paper had been, and confined within the country as paper money always is, by having no circulation out of it; or, to speak on a larger scale, the same thing would happen in the world, could the world be glutted with gold and silver, as America and France have been with paper.

The English system differs from that of America and France in this one particular, that its capital is kept out of sight; that is, it does not appear in circulation. Were the whole capital of the national debt, which at the time I write this is almost one hundred million pounds sterling, to be emitted in a.s.signats or bills, and that whole quant.i.ty put into circulation, as was done in America and in France, those English a.s.signats, or bills, would soon sink in value as those of America and France have done; and that in a greater degree, because the quant.i.ty of them would be more disproportioned to the quant.i.ty of population in England, than was the case in either of the other two countries. A nominal pound sterling in such bills would not be worth one penny.

But though the English system, by thus keeping the capital out of sight, is preserved from hasty destruction, as in the case of America and France, it nevertheless approaches the same fate, and will arrive at it with the same certainty, though by a slower progress. The difference is altogether in the degree of speed by which the two systems approach their fate, which, to speak in round numbers, is as twenty is to one; that is, the English system, that of funding the capital instead of issuing it, contained within itself a capacity of enduring twenty times longer than the systems adopted by America and France; and at the end of that time it would arrive at the same common grave, the Potter's Field of paper money.

The datum, I take for this proportion of twenty to one, is the difference between a capital and the interest at five per cent. Twenty times the interest is equal to the capital. The acc.u.mulation of paper money in England is in proportion to the acc.u.mulation of the interest upon every new loan; and therefore the progress to the dissolution is twenty times slower than if the capital were to be emitted and put into circulation immediately. Every twenty years in the English system is equal to one year in the French and American systems.

Having thus stated the duration of the two systems, that of funding upon interest, and that of emitting the whole capital without funding, to be as twenty to one, I come to examine the symptoms of decay, approaching to dissolution, that the English system has already exhibited, and to compare them with similar systems in the French and American systems.

The English funding system began one hundred years ago; in which time there have been six wars, including the war that ended in 1697.

1. The war that ended, as I have just said, in 1697.

2. The war that began in 1702.