Pictures of the Socialistic Future
By Eugene Richter
Eugene Richter (1838-1906) was a member of a generation of classical liberals who died between the turn of the 19th century and the First World War. This generation included the French economist
Gustave de Molinari (1819-1912), the English sociologist
Herbert Spencer (1820-1903), the English historian Lord Acton (1834-1902), the English radical individualist Auberon Herbert (1838-1906), the American sociologist William Graham Sumner (1840-1910), and the English radical liberal
Thomas Mackay (1849-1912). What died with the passing of this generation was a form of classical liberalism which was based on a strong defence of individual liberty, property rights and self-ownership, free trade and laissez-faire, and opposition to war and imperialism. The “liberalism” which emerged after the catastrophe of the First World War, if one can indeed call it “liberalism”, turned its back on this generation of classical liberals and all that it believed in–with dire consequences for liberty in the 20th century.Richter was born in Duesseldorf and attended universities in Bonn, Heidelberg and Berlin. In the late 1860s, when the German unified nation state was being created by Prussia through a series of wars against other German states and France, Richter first became a member of the German national parliament (the Reichstag). Over several decades he used Parliament as a platform to voice his unwavering opposition to increasing state expenditure, increases in the size and power of the army and the navy, government abuses of individual freedom, and colonial policy. Richter was faced with two major sources of opposition to his form of classical liberalism. On the one hand there were the conservatives led by Otto von Bismarck who cleverly forged an alliance between traditional conservatives, the military, and the working class with his combination of warfare and welfare expenditure and tariff protection. On the other hand, there were the socialists who wanted to maintain the high level of government expenditure, but shift the balance more towards welfare expenditure. As modern electoral politics emerged in Germany in the late 19th century Richter’s never-ending opposition to all government expenditure increasingly came to be seen as mere dogmatism and pig-headed “Manchesterism” (as free trade and free market ideas were called).Pictures of the Socialistic Future (freely adapted from Bebel) (1891), is Richter’s satire of what would happen to Germany if the socialism espoused by the trade unionists, social democrats, and Marxists was actually put into practice. It is thus a late 19th century version of Orwell’s
1984, minus the extreme totalitarianism which Orwell had witnessed in Nazi Germany and Stalinist Russia but which was still inconceivable to 19th century liberals. The main point of the book is to show that government ownership of the means of production and centralised planning of the economy would not lead to abundance as the socialists predicted would happen when capitalist “inefficiency and waste” were “abolished”. The problem of incentives in the absence of profits, the free rider problem, the public choice insight about the vested interests of bureaucrats and politicians, the connection between economic liberty and political liberty, were all wittily addressed by Richter, much to the annoyance of his socialist opponents.Richter’s book is part of a series we are putting together online on late 19th century free market criticism of socialism. It now joins those by
Mackay and
Spencer.Little has been written on Richter. There is a brief excerpt from one of his books and a short bio in
Western Liberalism: A History in Documents from Locke to Croce, ed. E.K. Bramsted and K.J. Melhuish (London: Longman, 1978). There is a long chapter on Richter in Ralph Raico,
Die Partei der Freiheit: Studien zur Geschichte des deutschen Liberalismus (Stuttgart: Lucius, 1999). See also Ralph Raico, “Eugen Richter and Late German Manchester Liberalism: A Reevaluation,”
The Review of Austrian Economics, vol. 4, 1990, pp. 3-25. Online at
http://www.qjae.org/journals/rae/pdf/R4_1.pdf.
David M. Hart
March 1, 2004
Translator/Editor
Henry Wright, trans.
First Pub. Date
1891
Publisher
London: Swan Sonnenschein & Co., Ltd.
Pub. Date
1907
Comments
First published in German. Introduction by Thomas Mackay.
Copyright
The text of this edition is in the public domain.
- Some Press Notices
- Introduction, by Thomas Mackay
- Chapter 1
- Chapter 2
- Chapter 3
- Chapter 4
- Chapter 5
- Chapter 6
- Chapter 7
- Chapter 8
- Chapter 9
- Chapter 10
- Chapter 11
- Chapter 12
- Chapter 13
- Chapter 14
- Chapter 15
- Chapter 16
- Chapter 17
- Chapter 18
- Chapter 19
- Chapter 20
- Chapter 21
- Chapter 22
- Chapter 23
- Chapter 24
- Chapter 25
- Chapter 26
- Chapter 27
- Chapter 28
- Chapter 29
- Chapter 30
- Chapter 31
- Chapter 32
- Chapter 33
- Chapter 34
- Chapter 35
- Postscript, by Henry Wright
Chapter XXXI
MENACING DIPLOMATIC NOTES.
THE socialistic Governments of Russia and France are quite as much at their wits’ ends as we are to know how to overcome the difficulties that are constantly arising. Hence they try to appease the ill-humours of their populations by directing attention to foreign affairs. One of the first acts of the socialistic governments had been to dissolve the Triple Alliance. Austria sees herself threatened at the present moment by Italy, in Istria and the Italian Tyrol. The opportunity of Austria’s being thus engaged on another
side appears a favourable one to Russia and France for their adopting a high tone towards Germany. Accordingly, both powers have addressed simultaneous notes to our Foreign Office, requesting that within ten days, payment be made of the amount due for goods supplied.
Now, how is it that France comes to be in the position of a creditor of ours? As a matter of fact, we have drawn nothing whatever from France except a few million bottles of champagne which were emptied in the first intoxication of delight at the success of the great Revolution, and before the State had taken the regulation of consumption into its own hands. Russia, however, has had the perfidy to cede a part of her claims on us to France, in order to construct a common basis of operations against us. Our indebtedness to Russia has now run up to over a milliard, although our imports of corn, wood, flax, hemp, etc., from that country have only been the same as they were in former times. These are imports which we absolutely cannot do without. But the unfortunate part of the business is, that those manufactures which we had been in the habit of sending to France and Russia, in the way of exchange for imports, have of late nearly all been returned to us, on the pretence of their not being at all up to the mark, of the price being too high, and so forth. If such a thing had happened to us in former times, we should simply have paid the Russians in Russian bonds or their coupons, of which there was then no scarcity in Germany. But having now no bonds, and no stock of noble metals to fall back upon, we are rather bothered by the lack of a convenient means of exchange.
Our good neighbours are only too well aware of
this. Hence they take no great pains in their diplomatic notes to conceal the threat, that in case the claims are not promptly settled, they will be compelled to take possession of parts of Posen and Eastern Prussia, and of Alsace and Lorraine as pledges. Both powers expressed their readiness to waive their claims for payment, provided Germany were disposed to yield up possession of these provinces. Is not that a piece of unparalleled impudence?
There is no lack of well-drilled men, of muskets, powder, and shot in Germany. The former regime took good care to provide an abundance of these materials. But in other respects we are not so well prepared; and it seems that in consequence of the diminution in the out-put of coal, and of the dwindling away of the stocks, there is a scarcity of this material which would most seriously hamper the transport of troops by rail. Great complaints are also made by the military authorities as to the scarcity of meat, flour, oats, and similar stores.
Meantime, France has annexed Luxemburg. At the dissolution of the Custom’s Union, this Duchy had been, so to say, cut quite adrift. One party in the Duchy took advantage of the ill-humour at the severance of the old commercial relations with Germany to call in the French. The latter lost no time in responding to the call, and they soon reached the territory by way of Longwy. It is said that French cavalry has already been seen on the Germano-Luxemburg frontier close to Treves.