[Bismarck and the Foundation of the German Empire by James Wycliffe Headlam]@TWC D-Link book
Bismarck and the Foundation of the German Empire

CHAPTER XVI
19/47

Men did not wish to see so many thousands enrolled in the army of officials, already too great; they did not desire a new check on the freedom of life and occupation, nor that the Government should have the uncontrolled use of so great a sum of money.

And then the use he proposed to make of the proceeds: if the calculations were correct, if the results were what he foretold, if from this monopoly they would be able to pay not only the chief expenses of the Government but also assign an old-age pension to every German workman who reached the age of seventy--what would this be except to make the great majority of the nation prospective pensioners of the State?
With compulsory attendance at the State schools; with the State universities as the only entrance to public life and professions; when everyone for three years had to serve in the army; when so large a proportion of the population earned their livelihood in the railways, the post-office, the customs, the administration--the State had already a power and influence which many besides the Liberals regarded with alarm.

What would it be when every working man looked forward to receiving, after his working days were over, a free gift from the Government?
Could not this power be used for political measures also; could not it become a means for checking the freedom of opinions and even for interfering in the liberty of voting?
He had to raise the money he wanted in another way, and, in 1879, he began the great financial change that he had been meditating for three years; he threw all his vigour into overthrowing Free Trade and introducing a general system of Protection.
In this he was only doing what a large number of his countrymen desired.
The results of Free Trade had not been satisfactory.

In 1876 there was a great crisis in the iron trade; owing to overproduction there was a great fall of prices in England, and Germany was being flooded with English goods sold below cost price.

Many factories had to be closed, owners were ruined, and men thrown out of work; it happened that, by a law passed in 1873, the last duty on imported iron would cease on the 31st of December, 1876.


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