.

      What has become of the many commercial houses in Bayonne whose sole activity in days gone by was to export our wines and spirits to Belgium, Holland, Prussia, Denmark, Sweden, and the towns of the Hanseatic League? What has become of the inland navigation system, which we have seen so active and which incontestably gave rise to the many concentrations of population established on the left bank of the Adour? What has become of the proliferating trade investment in a product that because of its property of improving with age would under normal conditions increase in value with time, a product that was effectively a savings bank for our forefathers, spread a comfortable existence among the working classes of the time, and was the traditionally acknowledged source of all the wealth that still survives in Chalosse? All of that has disappeared together with freedom of production and trade.

      In the face of this twin assault on our property by the protectionist regime and overbearing taxation, faced with a burden so straightforwardly explained by the obstacles that block our domestic and foreign outlets, nothing surprises us more than the haste with which the tax authorities seek to find the cause of our sufferings elsewhere, unless it is the credulity of the general public in being taken in by their sophisms.

      This, however, is what we witness every day. The tax authorities claim

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      that too many vines have been planted and each person repeats, “If we are suffering, it is not because we lack trade or because the weight of taxes is suffocating us, but because we have planted too many vines.”

      I have in previous times attacked this assertion, but it expresses an opinion that is too widespread and the tax authorities have made it too deadly a weapon against us for me not to return to my refutation in a few words.

      First of all, I would very much like our opponents to set the limits they intend to impose on the growing of vines! I never hear reproaches made that wheat, flax, or orchards invade too high a proportion of our territory. The comparison of supply and demand and costs compared with sale prices are the limits between which the expansion or contraction of industries operates. Why would vine growing, contrary to this general law, extend more widely as it becomes more ruinous?

      People will say all that is theory. Well then, let us see what the facts reveal.

      Through the offices of a minister of finance,³ we learn that the wine-growing area of France was 1,555,475 hectares in 1788 and 1,993,307 hectares in 1828. The increase is therefore in the ratio of 100 to 128. In the same period of time, the population of France, which according to Necker⁴ had been 24 million, increased to 32 million, a ratio of 100 to 133. The cultivation of vines, far from expanding unreasonably, has not even kept up with the increase in numbers of the population.

      We could check this result through research into consumption if we had statistical data relating to this. As far as we know, this has been done only for Paris and has provided the following result:

	Population	Total Consumption	Consumption per Inhabitant
1789	599,5665	687,500 hectoliters6	114 liters
1836	909,1257	922,364 hectoliters8	101 liters

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      Thus, sirs, it is undeniable that in this half-century and while all branches of production have made such remarkable progress, the most natural thing we produce has remained at the very least stationary.

      We should conclude that the so-called encroachment of vines is based on allegations as contrary to logic as to fact, and after we have been assured that we are not mistaken in attributing our suffering to the administrative measures that have limited all of our outlets, let us examine the character and effects of these measures more closely.

      At the top of the list, we should place the indirect tax on wines and spirits and the duties on circulation, dispatch, consumption, license, transportation, entry, and retail—a sorry and incomplete list of the subtle inventions by which the tax authorities are paralyzing our industry and greedily extracting from it, indirectly, more than one hundred million every year. Far from giving any hint of a foreseeable lessening in these rigors, they redouble them from year to year and although, in 1830, they were obliged in a revolutionary spirit,⁹ so to speak, to agree to a reduction of forty million, a reduction that has ceased to be noticeable, they have never allowed a session to be completed without expressing their regret and complaining about it.

      It has to be said that the wine-producing populations have rarely brought a practical business attitude to bear in their efforts to escape from this regime of arbitrary exceptions. Driven by the more immediate impact of their own sufferings or by the necessities of the time, either they have demanded, vehemently, the total abolition of all consumption taxes, or they have bowed unreservedly under a system they considered monstrous but irremediable, thus swinging from blind confidence to cowardly demoralization.

      The pure and simple abolition of indirect contributions is obviously an illusion. Demanded in the name of equality of duties, it implies the abolition of all consumption taxes, from those imposed on salt and tobacco to those bearing on wines and spirits, and what bold reformer would succeed in decreasing budgeted public expenditure immediately to the level of budgeted income reduced to the four headings of direct taxation? No doubt the time will come, and we should hasten its coming through our efforts as well as our hopes, when private industry, with a morale lifted by experience and expanded by a sense of association, will encroach on the domain of public

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      services; and government, reduced to its essential function, the maintaining of internal and external security, will require only the resources to meet this sphere of activity, thus enabling a host of taxes that undermine the liberty and equality of our citizens to be removed from our financial system. But how far from this trend are the views of those who govern us and the all-powerful forces of public opinion! We are being drawn inexorably and perhaps providentially in opposite directions. We ask everything from the state: roads, canals, railways, encouragement, protection, monuments, education, conquests, colonies, and military, maritime, and diplomatic supremacy; we want to civilize Africa and Oceania and what else? Like England, we are obeying a force for expansion that is directing all our resources to be centralized in the hands of the state; we cannot therefore avoid seeking, like England, the exercise of power in taxes on consumption, the most fruitful, regularly increasing, and even the most tolerable of all taxes, when properly understood, since it is then mingled with the act of consumption itself.

      But should we conclude from this that all is well with the current situation, or at least that our ills are irremediable? I do not think so. On the contrary, I think that the time has come to subject indirect taxation, still in its infancy, to a revolution similar to that which the land register and equalization have brought to taxes on land.

      I in no sense aspire here to the formulation of an entire system of indirect taxes, since this would require knowledge and experience, which I am far from possessing. However, I hope that you will not find it out of place for me to lay down a few principles if only to give you a glimpse of the huge field awaiting your consideration.

      I have said that indirect taxation was still in its infancy. Perhaps it will be felt that it is somewhat presumptuous to judge a work of Napoléon in this way. However, it must be realized that a tax system is always of necessity imperfect at its outset, since it is established under the influence of some urgent need. Is it to be imagined that if a need for funds gave rise to a land tax in a country in which this type of public revenue was unknown, it would be possible at the first try to achieve the perfection that has been achieved in France only at the cost of fifty years of work and a hundred million