The Corn Laws

Bentham and his followers had long argued that Britain was politically monopolized by self-serving landlords. Many, though by no means all, political economists felt the franchise should be extended to a larger group of men.

During the Napoleonic wars, the costs of provisioning an army and the risk of ocean-going trade had combined to keep corn prices high. With the achievement of peace in 1815 came the prospect of renewed imports that would lower prices but also reduce landlords' incomes. Parliament imme­diately passed legislation prohibiting corn imports unless and until the price exceeded a very high level (about twice pre-war levels). These Corn Laws clearly violated the principles of laissez faire.

Class conflict met the principles of political economy head on. Landlords favored the restrictions in the name of rural tradition and national self­sufficiency. Malthus spoke eloquently on their behalf. In his defense of the Corn Laws, published in 1814, he conceded the abstract benefits of free trade but emphasized the adverse social effects of lowering the price of grain. As those familiar with his previous work might suspect, these included con­cerns about promoting population growth. But they also included appre­hensions about excessively rapid growth of manufacturing, which would not be favorable to ‘‘national quiet and happiness.'' He went on to refer to fluctuations, which naturally tend to generate ‘‘discontent and tumult.''²⁴

Industrial capitalists opposed the restrictions in the name of economic efficiency. Most political economists weighed in on their side, including Robert Torrens, who explained quite clearly how the country could gain from reduced trade barriers. But no one systematized the argument better than Ricardo, in his Principles of Political Economy, published in 1817. As a Member of Parliament between 1819 and 1823, Ricardo had ample opportunity to expound his views and by most accounts, did so quite effectively.

The political influence of capitalists grew along with their pocketbooks, and on this issue their workers gained from coalition with them. With anti­Corn Law efforts centered in the factory city of Manchester, the political economists who favored their repeal were dubbed the Manchester School. Ricardo himself died prematurely in 1823. The continuing growth of the British population and swelling ranks of urban factory employment inten­sified the urgency of reform. Parliamentary debates focused not only on the detailed pros and cons, but also on the best method of relaxing tariffs. After several fits and starts and partial phase-outs, the Corn Laws were abolished in 1845.