۠ٷۢۦ۩ۣЂڷ۠ٷۗۦۣۨۧٱڷۙۜے
ۑٲٱۛҖۦۣۘۛۙғۦۖۡٷۗ۠ۧғٷۢۦ۩ۣ۞ҖҖۃۤۨۨۜ
ẳẰΝẴẾếẺẽẴẮẬặΝẺỀẽẹẬặڷۦۣۚڷ۪ۧۙۗۦۙۧڷ۠ٷۣۢۨۘۘۆ
ۙۦۙۜڷ۟ۗ۠Өڷۃۧۨۦۙ۠ٷڷ۠ٷۡٮ
ۙۦۙۜڷ۟ۗ۠Өڷۃۣۧۢۨۤۦۗۧۖ۩ۑ
ۙۦۙۜڷ۟ۗ۠Өڷۃۧۨۢۦۤۙۦڷ۠ٷۗۦۣۙۡۡӨ
ۙۦۙۜڷ۟ۗ۠Өڷۃڷۙۧ۩ڷۣۚڷۧۡۦۙے
ۗғڷۃٮېٲێیٮڷٯۍڷٮےۆӨۍ۔өۆڷۑۆڷٱےٲیۑڷیۆөۆ
ھڿۂڽڬڼۀہڽ
ІٮۋۆێڷیۆٲۋۋٲەӨҒېۆی
ہۂڽڷҒڷۂۀڽڷۤۤڷۃۀڽڼھڷۜۗۦٷیڷҖڷڽڼڷۙ۩ۧۧٲڷҖڷۀҢڷۙۡ۩ۣ۠۔ڷҖڷ۠ٷۢۦ۩ۣЂڷ۠ٷۗۦۣۨۧٱڷۙۜے
ۀڽڼھڷۺۦٷ۩ۢٷЂڷۂھڷۃۣۙۢ۠ۢڷۘۙۜۧ۠ۖ۩ێڷۃڽڼڽڼڼڼڿڽﯥڿۀھہڽڼڼۑҖۀڽڼڽғڼڽڷۃٲۍө
ڽڼڽڼڼڼڿڽﯥڿۀھہڽڼڼۑٵۨۗٷۦۨۧۖٷۛҖۦۣۘۛۙғۦۖۡٷۗ۠ۧғٷۢۦ۩ۣ۞ҖҖۃۤۨۨۜڷۃۙ۠ۗۨۦٷڷۧۜۨڷۣۨڷ۟ۢۋ
ۃۙ۠ۗۨۦٷڷۧۜۨڷۙۨۗڷۣۨڷۣ۫ٱ
ۗғڷۃٮېٲێیٮڷٯۍڷٮےۆӨۍ۔өۆڷۑۆڷٱےٲیۑڷیۆөۆڷғۀۀڽڼھڿڷІٮۋۆێڷیۆٲۋۋٲەӨҒېۆی
ҖۀڽڼڽғڼڽۃۣۘڷہۂڽҒۂۀڽڷۤۤڷۃۀҢڷۃ۠ٷۢۦ۩ۣЂڷ۠ٷۗۦۣۨۧٱڷۙۜےڷғڷھڿۂڽڬڼۀہڽ
ڽڼڽڼڼڼڿڽﯥڿۀھہڽڼڼۑ
ۙۦۙۜڷ۟ۗ۠Өڷۃڷۣۧۢۧۧۡۦۙێڷۨۧۙ۩ۥۙې
ۀڽڼھڷۢٷЂڷڼڿڷۣۢڷڿھғہۀڽҢғڼڽғہہڷۃۧۧۙۦۘۘٷڷێٲڷۃۑٲٱۛҖۦۣۘۛۙғۦۖۡٷۗ۠ۧғٷۢۦ۩ۣ۞ҖҖۃۤۨۨۜڷۣۡۦۚڷۘۙۘٷۣۣ۠ۢ۫ө
The Historical Journal, , (), pp. – © Cambridge University Press
doi:./SX
ADAM SMITH AS ADVOCATE OF EMPIRE,
c. –*
MARC-WILLIAM PALEN
History Department, University of Exeter and
US Studies Centre, University of Sydney
A B S T R A C T . This article examines how The wealth of nations () was transformed into an
amorphous text regarding the imperial question throughout the late nineteenth and early twentieth
century. Adam Smith had left behind an ambiguous legacy on the subject of empire: a legacy that left
long-term effects upon subsequent British imperial debates. In his chapter on colonies, Smith had
proposed both a scheme for the gradual devolution of the British empire and a theoretical scheme for
imperial federation. In response to the growing global popularity of protectionism and imperial
expansionism, the rapid development of new tools of globalization, and the frequent onset of economic
downturns throughout the late Victorian and Edwardian eras, turn-of-the-century proponents of
British imperial federation formed into a formidable opposition to England’s prevailing free trade
orthodoxy – Cobdenism – a free trade ideology which famously expanded upon the anti-imperial
dimensions of The wealth of nations. Ironically, at the turn of the century many advocates for
imperial federation also turned to Smith for their intellectual inspiration. Adam Smith thus became
an advocate of empire, and his advocacy left an indelible intellectual mark upon the burgeoning
British imperial crisis.
Richard Cobden wrote his first free trade tract, England, Ireland, and America,
in just before embarking upon a fruitful visit to the United States.
He observed in the pamphlet that, sixty years before, Adam Smith had ‘promulgated his doubts of the wisdom and profitableness’ of Britain’s colonial
policy. If Smith had only lived to see the United States become Britain’s ‘largest
and most friendly commercial connection’, Cobden exuberantly concluded,
‘how fully must his opinions have coincided with all that we have urged on this
subject!’ Indeed, within fifteen years after Cobden’s Smithian speculation,
Britain’s imperial policy would become subsumed by the Victorian free trade
ideology known as Cobdenism. Cobdenism of course drew its inspiration from
History Department, University of Exeter, Exeter EX RJ
[email protected]
* I am grateful to Anthony Howe, Duncan Bell, and the journal’s anonymous referees for
their helpful comments and suggestions, to International Security Studies, Yale University, for
its support, and to the British Scholar Conference attendees for their feedback.
Reprinted in George Bennett, ed., The concept of empire: Burke to Attlee, – (London,
; orig. edn, ), pp. –.
MARC-WILLIAM PALEN
Cobden himself, the radical British parliamentarian and prominent leader of
the Anti-Corn-Law League (–). As his comment above suggests, Cobden
idealistically expanded upon the anti-imperial dimensions of Adam Smith’s
The wealth of nations to conclude that international free trade and noninterventionism would ultimately bring about world peace. Correspondingly,
Cobdenism condemned British mercantilism and colonialism for being atavistic,
monopolistic, and unnecessarily expensive enterprises. Aside from the ‘cheap
loaf’, however, many of Cobdenism’s pacific promises went unleavened during
the so-called Pax Britannica – the middle decades of the nineteenth century –
and fewer still in the decades to come. Following a brief flirtation with trade
liberalization in the mid-nineteenth century, much of the Western world began
turning instead to Anglophobia, economic nationalism, agricultural subsidization, and colonial expansionism as preferred prescriptions for the late nineteenth century’s frequent economic ills. In response, proponents of British
imperial union at the turn of the century evolved into a formidable opposition
to the prevailing Cobdenite orthodoxy well into the early decades of the
twentieth century. And many of the most adamant advocates for imperial unity
turned to none other than Adam Smith for their intellectual inspiration.
Duelling Smithian disciplines thus arose. On the one hand, Adam Smith’s
late nineteenth- and early twentieth-century Cobdenite adherents used his
theories to argue for gradual imperial devolution and empire ‘on the cheap’.
On the other hand, various proponents of imperial federation throughout the
Anthony Howe, ‘From Pax Britannica to Pax Americana : free trade, empire, and
globalisation, –’, Bulletin of Asia-Pacific Studies, (), pp. –.
University of Edinburgh Professor J. Shield Nicholson’s Smithian imperial advocacy
notably stands out in the historiography, as I will discuss in greater detail in Section III. For the
idea of ‘Greater Britain’ and the imperial federation movement, see especially Duncan Bell,
The idea of Greater Britain: empire and the future of world order, – (Princeton, NJ, );
Duncan Bell, ed., Victorian visions of global order: empire and international relations in nineteenthcentury political thought (Cambridge, ); Duncan Bell, ‘From ancient to modern in Victorian
imperial thought’, Historical Journal, (), pp. –; E. H. H. Green, ‘The political
economy of empire, –’, in Andrew Porter, ed., Oxford history of the British empire: the
nineteenth century ( vols., New York, NY, ), III, pp. –; Jack Gaston, ‘The free trade
diplomacy debate and the Victorian European common market initiative’, Canadian Journal of
History, (), pp. –; J. E. Tyler, The struggle for imperial unity, – (London,
); Trevor R. Reese, The history of the Royal Commonwealth Society, – (London,
), pp. –; J. E. Kendle, Federal Britain (London and New York, NY, ), ch. ;
J. E. Kendle, The colonial and imperial conferences, – (London, ); and Ged Martin,
‘The idea of imperial federation’, in Ronald Hyam and Ged Martin, eds., Reappraisals in British
imperial history (London, ), pp. –. Martin also traces these ideas of imperial
federalism back to the s and briefly notes that ‘Empire federalists’ cited Smith ‘as a rival
authority’, in ‘Empire federalism and imperial parliamentary union, –’, Historical
Journal, (), pp. , . Alternatively, Kendle begins his study in the s in Federal
Britain. For imperial federation, race, and the non-white British empire, see also
Theodore Koditschek, Liberalism, imperialism, and the historical imagination: nineteenth-century
visions of a Greater Britain (Cambridge, ). For a good summary of the federative schemes
from the s to s, see Seymour Ching-Yuan Cheng, Schemes for the federation of the British
empire (New York, NY, ).
ADAM SMITH AS ADVOCATE OF EMPIRE
British world sought to use Smith’s theories to overturn the predominant
Cobdenite hands-off imperial approach and instead, with a firm grip, bring the
empire closer than ever before, politically, commercially, militarily, or some
combination of the three. These latter efforts were strengthened as Britain’s
economic rivals, especially the United States, Germany, and Russia, increasingly
implemented infant industrial protectionist policies rather than British-style
free trade. Protectionists in the United States and other parts of the globe in
turn came to view transnational Cobdenite efforts with great trepidation. Such
advocacy was frequently viewed as part of a vast British free trade conspiracy that
sought to deluge foreign markets with excess British exports, a conspiratorial
view that spurred protectionism throughout the globe and further undermined
the efforts of the Manchester School to spread Cobdenism abroad.
Even as Cobdenism struggled to gain an international foothold, the rising
tide of economic nationalism, the Franco-Prussian War, the s European
‘Scramble for Africa’, the US acquisition of a colonial empire, and the
Boer War exemplified the fact that protectionism, militarism, and imperial expansionism were alive and well. Making Cobdenite efforts all the more difficult,
the British Lion’s adherence to the gold standard began receiving the lion’s
share of the blame from insurgent bimetallists in Britain and the United States
for the late nineteenth century’s unpredictable price fluctuations and tumultuous boom-and-bust economic cycle. With the predominantly goldbug
For recent studies on imperial networks and the British world, see, inter al., Gary B. Magee
and Andrew S. Thompson, Empire and globalisation: networks of people, goods and capital in the
British world, c. – (Cambridge, ); Carl Bridge and Kent Fedorowich, The British
world: culture, diaspora and identity (London, ); and Philip Buckner and R. Douglas Francis,
eds., Rediscovering the British world (Calgary, ).
Benjamin H. Brown, The Tariff Reform movement in Great Britain, – (New York, NY,
); Marc-William Palen, ‘Protection, federation and union: the global impact of the
McKinley tariff upon the British empire, –’, Journal of Imperial and Commonwealth
History, (), pp. –; Frank Trentmann, ‘The transformation of fiscal reform:
reciprocity, modernization, and the fiscal debate within the business community in early
twentieth-century Britain’, Historical Journal, (), pp. –; Edmund Rogers, ‘The
United States and the fiscal debate in Britain, –’, Historical Journal, (),
pp. –.
Marc-William Palen, ‘The conspiracy of free trade: Anglo-American relations and the
ideological origins of American globalization, –’ (Ph.D. diss., University of Texas at
Austin, ); Marc-William Palen, ‘Foreign relations in the Gilded Age: a British free trade
conspiracy?’, Diplomatic History, (), pp. –; Anthony Howe, Free trade and liberal
England, – (Oxford, ), p. .
E. H. H. Green, ‘Rentiers versus producers? The political economy of the bimetallic
controversy, c. –’, English Historical Review, (), pp. –; A. C. Howe,
‘Bimetallism, c. –: a controversy re-opened?’, English Historical Review, (),
pp. –; Green, ‘The bimetallic controversy’, English Historical Review, (), pp. –
; Howe, Free trade and liberal England, pp. –, . For the American bimetallic reaction,
see Palen, ‘The conspiracy of free trade’. Martin Daunton offers a persuasive argument for the
continued success of the gold standard until the First World War in ‘Presidential address:
Britain and globalisation since : I. creating a global order, –’, Transactions of the
Royal Historical Society, (), pp. –.
MARC-WILLIAM PALEN
Cobdenites increasingly on the defensive, turn-of-the-century proponents of
Greater Britain found Adam Smith’s theoretical speculations on the feasibility
of imperial federation a source of realistic inspiration owing to the ongoing
development of new tools of globalization, particularly steamship lines, transcontinental railroads, trans-oceanic telegraphs, and canals. Such technological
marvels were seemingly eliminating time and space, thereby bringing the
geographically disparate British empire – and the Smithian idea of Greater
Britain – closer than ever before.
The wealth of nations () was transformed into an amorphous text
regarding the imperial question throughout the late nineteenth and early
twentieth century, depending upon whose eyes pored over Smith’s ambiguous
speculative chapter on colonies. Such British imperial attempts to co-opt
Adam Smith’s work from the anti-imperial Cobdenite school have been
touched upon but have yet to receive extensive exploration. In The idea of
greater Britain (), for instance, Duncan Bell notes that Adam Smith was
frequently called upon as an authoritative voice, setting ‘the tone as well as the
terms for much nineteenth-century theorizing’ on the subject of imperial
unity. Donald Winch briefly acknowledges that Smith was claimed as ‘either
an enlightened anti-imperialist or a far-sighted proponent of imperial
For studies of the connection between imperialism and technological advancements, see
Lewis Pyenson, ‘Science and imperialism’, in Robert Cecil Olby and Geoffrey N. Cantor, eds.,
Companion to the history of modern science (London and New York, NY, ); Robert W. D. Boyce,
‘Imperial dreams and national realities: Britain, Canada, and the struggle for a Pacific
telegraph cable, –’, English Historical Review, (), pp. –; Daniel Headrick,
The tools of empire (New York, NY, ); Daniel Headrick, The tentacles of progress: technology
transfer in the age of imperialism, – (Oxford, ); Daniel Headrick, The invisible
weapon: telecommunications and international politics, – (Oxford, ); and
Richard Drayton, ‘Science and the European empires’, Journal of Imperial and Commonwealth
History, (), pp. –.
Bell, Idea of Greater Britain, ch. ; Duncan Bell, ‘Dissolving distance: technology, space,
and empire in British political thought, –’, Journal of Modern History, (),
pp. –. From around –, some Cobdenites also favoured greater imperial
integration owing to these technological developments. See Anthony Howe, ‘British liberalism
and the legacy of St. Simon’, History of Economic Ideas, (), pp. –.
Knorr called Smith’s theories on colonies ‘the most revolutionary advance in the
evolution of British thought’ in his analysis of the subject. See Klaus E. Knorr, British colonial
theories, – (Toronto, ; orig. edn, ), pp. –. Other good summaries of
Adam Smith and imperialism can be found, among others, in Sankar Muthu, Enlightenment
against empire (Princeton, NJ, ); Jennifer Pitts, A turn to empire: the rise of imperial liberalism in
Britain and France (Princeton, NJ, ); Istvan Hont, Jealousy of trade: international competition
and the nation state in historical perspective (Cambridge, MA, ); Andrew S. Skinner, ‘Adam
Smith and the American economic community an essay in applied economics’, Journal of the
History of Ideas, (), pp. –; Donald Winch, Riches and poverty: an intellectual history of
political economy in Britain, – (Cambridge, ); Donald Winch, Classical political
economy and colonies (Cambridge, MA, ); and Donald Winch, Adam Smith’s politics: an essay
in historiographic revision (Cambridge, ).
I should note that the analysis and examples included herein are by no means exhaustive,
but illustrative of the turn-of-the-century usage of Adam Smith’s advocacy of imperial
Bell, Idea of Greater Britain, p. .
federation.
ADAM SMITH AS ADVOCATE OF EMPIRE
federation’. E. A. Benians observed that Smith’s ideas for a united empire
were given new life after around as the federative spirit opened new
‘possibilities, undreamed of by Adam Smith, of preserving the empire’. Klaus
Knorr briefly touched on Smith’s ambiguous colonial theories and the resultant
‘confusion, misunderstanding, and disagreement among his interpreters’.
Donald Wagner in turn observed in passing that both ‘those who attacked and
those who defended the empire took comfort in his writings, for when he
touched imperial questions he was somewhat like the man who . . . mounted his
horse and rode off in opposite directions’. Adding a dash of hyperbole to
Wagner’s equestrian simile, Adam Smith’s intellectual limbs were subsequently
drawn and quartered, ideologically pulled in opposing imperial directions, and
stretched alongside globalization’s newly laid technological tools. In the hands
of turn-of-the-century proponents of Greater Britain, Adam Smith would
become an advocate of empire.
I
Upon the successful overturning of the protectionist Corn Laws in , Britain
ushered in a new era – the so-called Pax Britannica – a hegemonic era dominated by Cobdenite ideology in England, and complemented by a preponderance of British naval and manufacturing power. Cobdenism asserted that the
interdependence of international free trade would ultimately lead to world
peace, and most Cobdenites correspondingly developed a strong anti-imperial
Winch, Smith’s politics, p. .
E. A. Benians, ‘Adam Smith’s project of an empire’, Cambridge Historical Journal, (),
p. . For such imperial interest, see Reese, History of Royal Commonwealth Society, ch. ; and
Edward Beasley, Empire as the triumph of theory: imperialism, information, and the Colonial Society of
(London and New York, NY, ). For studies of Smith’s general legacy, see for instance
Samuel Fleischacker, ‘Adam Smith’s reception among the American founders, –’,
William and Mary Quarterly, (), pp. –; Keith Tribe, ‘The German reception of
Adam Smith’, in Keith Tribe, ed., A critical bibliography of Adam Smith (London, ); John
E. Crowley, ‘Neo-mercantilism and The wealth of nations: British commercial policy after the
American revolution’, Historical Journal, (), pp. –; Emma Rothschild, ‘Adam
Smith and Conservative economics’, Economic History Review, n.s., (), pp. –;
Richard F. Teichgraeber, ‘“Less abused than I had reason to expect”: the reception of the
Wealth of nations in Britain, –’, Historical Journal, (), pp. –;
Knud Haakonssen and Donald Winch, ‘The legacy of Adam Smith’, in Cambridge companion to
Adam Smith, ed. Knud Haakonssen (Cambridge, ); and Winch, Classical political economy
and colonies.
Knorr, British colonial theories, pp. –. Gerard M. Koot points to a more general crisis
over Adam Smith’s legacy during this period in English historical economics, –: the rise of
economic history and neomercantilism (Cambridge, ), pp. –.
Donald O. Wagner, ‘British economists and the empire II’, Political Science Quarterly,
(), p. .
Howe, Free trade and liberal England; Anthony Howe, ‘Free trade and the international
order’, in Fred M. Leventhal and Roland Quinault, eds., Anglo-American attitudes: from revolution
to partnership (Aldershot, ).
MARC-WILLIAM PALEN
strain, one that emphasized non-interventionism in foreign affairs and a
minimalist hands-off colonial policy. Richard Cobden of course had most
famously expounded the new ideological doctrine, with Adam Smith as his
muse. Upon Cobden’s death, his English friends thereafter established the
influential Cobden Club (–) to maintain Cobdenism at home and to
spread it to the globe. As Frank Trentmann has described, Britain was fast
becoming a ‘free trade nation’, a true ‘national and democratic culture,
reaching all classes and regions, mobilizing men, women, and children, and
cutting across party political divides’. Impotent imperial proponents of
Greater Britain – fearing the adverse application of the Manchester School’s
soft touch upon imperial governance – wrung their hands and reluctantly bided
their time.
Adam Smith himself unintentionally had laid the groundwork for his later
ambiguous anti-imperial legacy. He had finished writing The wealth of nations
() as the British Empire’s thirteen American colonies agitated for representation within the imperial government. Smith was somewhat sympathetic
For more on Cobden’s foreign policy outlook see Peter Cain, ‘Capitalism, war, and
internationalism in the thought of Richard Cobden’, British Journal of International Studies,
(), pp. –; William Harbutt Dawson, Richard Cobden and foreign policy: a critical
exposition, with special reference to our day and its problems (London, ); Nicholas C. Edsall,
Richard Cobden, independent radical (Cambridge, ); J. A. Hobson, Richard Cobden: the
international man (New York, NY, ); Howe, Free trade and liberal England; Anthony Howe,
‘Richard Cobden and the Crimean War’, History Today, (), pp. –; Anthony Howe
and Simon Morgan, Rethinking nineteenth-century liberalism: Richard Cobden bicentenary essays
(Aldershot, ); Knorr, British colonial theories, pp. –; Bernard Semmel, Rise of free trade
imperialism: classical political economy and the empire of free trade and imperialism, –
(London and New York, NY, ), pp. –; Oliver MacDonagh, ‘The anti-imperialism of
free trade’, Economic History Review, (), pp. –; David Nicholls, ‘Richard Cobden
and the international peace congress movement, –’, Journal of British Studies,
(), pp. –; Richard Francis Spall, ‘Free trade, foreign relations, and the anti-corn-law
league’, International History Review, (), pp. –; Miles Taylor, ‘Imperium et libertas?
Rethinking the radical critique of imperialism during the nineteenth century’, Journal of
Imperial and Commonwealth History, (), pp. –.
Howe, Free trade and liberal England, pp. –; Anthony Howe, ‘Cobden club (act. –
)’, Oxford dictionary of national biography (Oxford, ); Palen, ‘The conspiracy of free
trade’; Palen, ‘Foreign relations in the Gilded Age’.
Frank Trentmann, Free trade nation: commerce, consumption, and civil society in modern Britain
(Oxford and New York, NY, ), p. ; Frank Trentmann, ‘Political culture and political
economy: interest, ideology and free trade’, Review of International Political Economy, (),
pp. –. For a provocative interpretation of imperialism and British socialism during the
period covered here, see Gregory Claeys, Imperial sceptics: British critics of empire, –
(Cambridge, ). See also H. C. G. Matthew, The liberal imperialists: the ideas and politics of a
post-Gladstonian elite (London, ); Ross McKibbin, The evolution of the Labour party,
– (New York, NY, ); and A. J. A. Morris, Edwardian radicalism, –: some
aspects of British radicalism (Boston, MA, ).
As Anthony Howe describes, ‘only slowly was the discontent of agrarians, manufacturers,
and imperial federationists fused, under the aegis of Britain’s historical economists, into the
Tariff Reform assault on the body of Cobdenism pronounced dead a decade earlier’ in the
s. Howe, Free trade and liberal England, p. .
ADAM SMITH AS ADVOCATE OF EMPIRE
to the colonial demands, and quite critical of Britain’s mercantilist colonial
enterprise. ‘Under the present system of management’, Smith had noted,
‘Great Britain derives nothing but loss from the dominion which she assumes
over her colonies’. He also had pragmatically recognized that England would
likely never voluntarily grant independence to its North American colonies.
Presaging some of the later emotional nationalistic motivation for Greater
Britain, he also had acknowledged that such devolution of colonial control was
inevitably ‘mortifying to the pride of every nation’, a national-imperial pride
that would prove difficult to circumvent for the next century and a half.
One of Adam Smith’s proposed solutions to the colonial problem had
favoured gradual decolonization of the British empire. If Great Britain were to
adopt such a policy – afterward often diminutively referred to as ‘Little
Englandism’ by its critics – the nation would be ‘immediately freed from the
whole annual expense of the peace establishment of the colonies’. Thus, by
‘parting good friends’, Smith had predicted, England would likely even procure
treaties of free trade and military alliances from its former colonies. He was
similarly quite condemnatory of imperial trade preference, as such protectionist
blocs were ‘frequently more hurtful to the countries in favour of which they are
established than to those against which they are established’. Smith also had
foreseen with some prescience the nationalistic obstacles that would face his
Cobdenite successors’ ‘most visionary’ enthusiasm for decolonization.
Adam Smith’s acolytes – anti-imperial and imperial alike – would subsequently become quite selective in their reading of his ambiguous solution to
the colonial problem. Particularly, turn-of-the-century proponents of Greater
Britain throughout the empire would conveniently overlook Smith’s advocacy
of decolonization and his critique of trade preference, even as the empire’s
Cobdenites would gloss over Smith’s proposed scheme of imperial federation.
In contrast to his advocacy of imperial devolution, Smith had suggested as
an alternative that the colonies – should they remain within the imperial
fold – ought to share in the costs of imperial defence, although he had
expressed great doubt that the colonies would ever pay their ‘proper
proportion’ of military expenses. He had also worried that distance, different
constitutions, and a general unwillingness to pay taxes for the defence of
disconnected and disparate colonies would prove too difficult to overcome.
Nevertheless, as a theoretical alternative to gradual decolonization, Smith’s
proposed solution was that of a representative imperial assembly that would
inspect and superintend ‘the affairs of every part of the empire’, while still
Adam Smith, An inquiry into the nature and causes of the wealth of nations (Edinburgh, ;
orig. edn, ), pp. , .
Smith, Wealth of nations, p. .
Goldwin Smith was the most outspoken Cobdenite advocate of British decolonization,
and was prone to referencing Adam Smith to support his argument. Duncan Bell notes that
Goldwin Smith was himself ‘highly selective’ in employing ‘Smithian arguments against the
economic viability of the colonial system’. Bell, Idea of Greater Britain, p. . For such usage, see
for instance Goldwin Smith, The empire (Oxford and London, ), pp. xvi–xvii, –, .
MARC-WILLIAM PALEN
allowing for colonial assemblies to collect revenues for imperial defence.
Smith went further – too far even for many later advocates of Greater
Britain – suggesting that colonial representation ought to be proportional to
its contribution toward imperial revenue, and that the seat of imperial governance should relocate to the centre of greatest revenue: ‘The seat of the empire
would then naturally remove itself to that part of the empire which contributed
most to the general defence and support of the whole.’ Presumably, that ‘part
of the empire’ would eventually have been somewhere within the wealthy and
expansive North American colonies.
Thus, although Adam Smith had expressed many caveats regarding the
feasibility of imperial federation, until as late as he had also offered what
he considered a theoretically viable scheme for imperial union, and had even
suggested that the British constitution could not ‘be hurt by the union of Great
Britain with her colonies’. Rather, the constitution ‘would be completed by it,
and seems to be imperfect without it’. He had granted that ‘great difficulties’ lay
in the way of effective execution, including colonial prejudices, but were not
‘insurmountable’. The colonists across the Atlantic might unnecessarily fear
that the sheer ‘distance from the seat of government’ would inherently lead to
oppressive rule. In theory, however, their proportional representation would
offer colonists easy protection, as ‘the distance could not much weaken the
dependency of the representative upon the constituent’.
After all, Smith had observed in , the world was already rapidly
shrinking. The European discovery of the Cape of Good Hope and the
Americas had become ‘the two greatest and most important events recorded
in the history of mankind . . . By uniting, in some measure, the most distant parts
of the world.’ While certainly an early proponent of globalization and of a
theoretical free-trading Greater Britain, in practice Smith was also fearful that
the fiscal, geographical, and temporal chasms separating the British empire’s
colonies at that time were too imposing to allow for effective colonial
representation within an imperial federative system. Such a theoretical imperial
federation would, however, appear much more practical a century after the first
printing of The wealth of nations.
II
Cobdenism’s mid-century potency within British imperial politics began to lose
some of its punch by around . Thereafter, as the centenary of Adam
Smith’s The wealth of nations neared, Smith’s last chapter on colonies would
Smith, Wealth of nations, pp. , .
Ibid., p. ; G. H. Guttridge, ‘Adam Smith on the American Revolution: an unpublished
memorial’, American Historical Review, (), pp. –; Andrew S. Skinner, ‘Adam Smith
and the American Revolution’, Presidential Studies Quarterly, (), pp. –.
Smith, Wealth of nations, p. .
ADAM SMITH AS ADVOCATE OF EMPIRE
increasingly be touted in support of imperial projects. New non-governmental
organizations like the Fair Trade League (–), the Imperial Federation
League (–), the United Empire Trade League (–), the British
Empire League (founded ), the Tariff Reform League (–c.),
and the Round Table movement (–c.) found their political influence
steadily rising within the empire as the turn of the century witnessed a global
turn away from Cobdenism and its unfulfilled promises of international free
trade and peace, shifting instead toward protectionism – exemplified by the
extreme McKinley Tariff in the United States – and formal imperial
expansionism.
Over the next sixty years, proponents of Greater Britain worked to expel
Cobdenism from its prominent ideological position. Fiscally minded imperial
federationists adapted their imperial visions to fit the times, subtly shifting their
advocacy back and forth between that of a free trade empire, an imperial
customs union, an imperial Zollverein, and an imperial preferential system
complemented by protective tariff barriers. Cobdenite hands-off imperial
policies were also ironically allowing for Britain’s self-governing colonies to
enact their own protectionist policies, even against the motherland and the
other British colonies. Such economic nationalist policies within the colonies
gave renewed strength to the idea of a protectionist, preferential Greater Britain
as the nineteenth century was turning into the twentieth. These same colonial
protective tariff policies would even gain tacit support from the ‘gentlemanly
capitalists’ of the City of London, who were willing to withstand colonial
protectionism if such increased revenue streams meant the colonial governments continued to pay down their mounting debts.
From around , theories of imperial federation therefore became
increasingly popular. Cobdenite Sir Charles Dilke, for example, famously
coined the phrase ‘Greater Britain’ and espoused his liberal vision of imperial
For such early references to Adam Smith’s scheme of imperial unity, see for instance
Australia’s John Edward Jenkins, The colonies and imperial unity, or, the ‘barrel without the hoops’
(London, ), p. ; and Francis Gould Smith, The Australian protectionist (Melbourne,
), p. . Jenkins in fact advocated a free trade empire in the hope of stemming the
movement toward protectionism among the self-governing colonies of Canada and Victoria.
For this early demand for a free trade empire, see also Howe, Free trade and liberal England,
pp. –.
Brown, Tariff Reform movement ; John E. Kendle, The round table movement and imperial union
(Toronto and Buffalo, ); Palen, ‘Protection, federation and union’; Palen, ‘The
conspiracy of free trade’, ch. .
Howe, Free trade and liberal England, pp. –; Luke Trainor, ‘The British government
and imperial economic unity, –’, Historical Journal, (), pp. –.
P. J. Cain and A. G. Hopkins, British imperialism, – (London, ), p. .
The City did not, however, offer the same support to the Tariff Reform League. See also
Andrew Marrison, British business and protection – (Oxford, ); and
Anthony Howe, ‘Liberals and the City, c. –’, in Ranald Michie and
Philip Williamson, eds., The British government and the city of London in the twentieth century
(Cambridge, ).
MARC-WILLIAM PALEN
union in his popular text of the same name at the conclusion of his twoyear tour of the British colonies. The historian, conservative social reformer,
and critic of Gladstonian politics J. Anthony Froude thereafter published
Oceana () to much acclaim following his own fruitful global journey to
South Africa, the United States, and Australasia. Oceana quickly became a
bestseller, offering its readers a racialist snapshot of the Anglo-Saxon ‘empire’
alongside speculation that the British world would prove to be the driving force
behind imperial union and the perpetuation of the British empire. Just a
handful of years before, J. R. Seeley, Regius Professor of Modern History at
Cambridge University, authored his own bestseller, The expansion of England
(), encouraging the unification of a British Anglo-Saxon empire, brought
together through a shared national identity, religion, and imperial interests.
Seeley argued that such a Greater Britain was especially necessary in order to
compete with the rising economic powers of Germany and the United States,
and to solve the interrelated problem of domestic economic decline. The book
would maintain its popularity for more than half a century, both in the United
States and throughout the British empire.
Dedicated advocates of imperial federation, growing in prominence as well as
impatience, got creative. In the mid-s, the London Chamber of Commerce
offered a cash prize for the best essay on imperial federation, with none other
than Greater Britain advocates J. A. Froude, J. R. Seeley, and Sir Rawson
W. Rawson as judges. Exemplifying the incipient return of Adam Smith’s
advocacy of imperial federation, the first and second prizes went to federative
schemes that leaned heavily upon The wealth of nations to support their
arguments.
Charles Dilke, Greater Britain: a record of travel in English-speaking countries (New York, NY,
), pp. –. For more on Dilke, see Stephen M. Gwynn and Gertrude Tuckwell, Sir
Charles W. Dilke ( vols., London, ); and David Nicholls, The lost prime minister: a life of Sir
Charles Dilke (London, ).
See also Waldo Hilary Dunn, James Anthony Froude: a biography ( vols., Oxford, –);
Walter Thompson, James Anthony Froude on nation and empire: a study in Victorian racialism
(London, ); Julia Markus, J. Anthony Froude: the last undiscovered great Victorian (New York,
NY, ); Duncan Bell, ‘Republican imperialism: J. A. Froude and the virtue of empire’,
History of Political Thought, (), pp. –; and Bell, Idea of Greater Britain, ch. .
Ernest R. May, American imperialism: a speculative essay (Chicago, IL, : orig. edn, ),
pp. –, , , , . For more on Seeley, see especially Duncan Bell, ‘Unity and
difference: John Robert Seeley and the political theology of international relations’, Review of
International Studies, (), pp. –; Deborah Wormell, Sir John Seeley and the uses of
history (Cambridge, ); H. S. Jones, Victorian political thought (Basingstoke, ), pp. –;
and Daniel Deudney, ‘Greater Britain or greater synthesis? Seeley, Mackinder, and Wells on
Britain in the global industrial era’, Review of International Studies, (), pp. –.
Rawson W. Rawson, at the inaugural presidential address of the Statistical Society of
London in , argued that Britain’s greatness came primarily from its colonial possessions,
tied together through Anglo-Saxon kinship. He also called for a ‘fixed and unwavering policy
. . . that England and her Colonies are “one and indivisible”’. Rawson W. Rawson, ‘British and
foreign colonies’, Journal of the Statistical Society of London, (), p. .
ADAM SMITH AS ADVOCATE OF EMPIRE
William Greswell, a retired Classics professor from the Cape University in
South Africa, took first prize. In his essay, Greswell used The wealth of nations as
ammunition for his imperial federative salvo, justifying his imperial parliamentary scheme with the knowledge that ‘Adam Smith thought that the assembly
which deliberates and decides concerning the affairs of every part of the empire
ought certainly to have representatives from every part of it’. After all, Greswell
noted, more than a century after Smith’s publication, ‘steam and the great
circle sailing have altered previous ideas about distance, and brought us all
nearer together, so that the Canadian can reach London more quickly now
than a Highlander could fifty years ago’. This scientific revolution undermined
not only Adam Smith’s lingering late eighteenth-century doubts on imperial
federation’s feasibility but also the more recent objection of John Stuart Mill
that ‘countries separated by half the globe do not present the natural conditions
for being under one Government or even members of one Federation’.
Greswell also struck out against the ruling Cobdenite opposition: ‘To a
certain number of politicians, Imperial Federation conveys the idea of a
rampant and crusading imperialism, jingoistic displays and wars all over the
earth. The word federation implies a menace.’ Without any awareness of
contradiction, he brushed aside such cosmopolitan imperial opponents as little
more than ‘parochial politicians’ to whom ‘a British Empire extending its
formal organization over the world is inconceivable and impracticable’.
Doubtless scoring points with at least one of the judges, Greswell also expressed
his fear that Froude’s vision of Oceana might ‘pass away as a wraith upon the
waves’ if the Cobdenites allowed ‘the vision of consolidated greatness to glide
for ever from our eyes, after catching only a brief and tantalizing vision of its
outlines’. Were British imperial unionists ‘to succumb to the charge of being
dreamers and visionaries’, he rhetorically asked, ‘because we aspire to raise a
structure of empire upon the undoubted loyalty, wealth, good sense, and
patriotism of the British race?’
Greswell was at least happy to note that ‘even such violent anti-unionists’ as
Canada’s resident Cobdenite (and formerly Regius Professor at Oxford)
Goldwin Smith ‘have learnt to change in time their ideas upon our imperial
position, and to perceive that when one limb of an empire is severed from it, the
whole body must suffer’. Goldwin Smith’s conversion was only partial, however,
‘as he has always under-rated the most wholesome signs of colonial life, and
attached more importance to the centrifugal than the centripetal forces at work
in the empire’. As a solution to this perceived centrifugal problem, Greswell
suggested that a global voyage might be necessary. After all, much like Froude,
William Greswell, ‘Imperial federation’, in The five best essays on imperial federation submitted
to the London Chamber of Commerce for their prize competition, and recommended for publication by the
judges: J. Anthony Froude, Professor J. R. Seeley, M. A., and Sir Rawson W. Rawson (London, ),
p. ; John Stuart Mill, Considerations on representative government (London, ), p. .
Greswell, ‘Imperial federation’, pp. –.
MARC-WILLIAM PALEN
Howard Vincent – a leading member of the Imperial Federation League in
England – had transformed from an ‘insularis’ to an ‘imperialist’ following his
own travels ‘round the world’ gazing upon the progress of Australasia and
Canada. Greswell also noted further good tidings for a Smithian imperial
federation; the Canadian government had only just overseen the completion of
its transcontinental railroad, and a total of , miles of railroad now traced
throughout – and further connected – the British empire.
C. V. Smith – formerly of Cambridge University – was Froude’s, Seeley’s, and
Rawson’s runner-up essayist on imperial federation. C. V. Smith introduced his
essay with a direct quote from The wealth of nations : that of Adam Smith’s
speculation on how the British constitution would find completion through
imperial union. C. V. Smith further noted that Adam Smith’s ‘objection as to
Space and Time’ had since been overcome. The distance for travelling between
the various parts of the empire, say from New Zealand and Fiji to London, were
indeed ‘greater in the present day’, but
the time occupied in it shorter, than from the American colonies in the days of
Adam Smith . . . by means of the electric telegraph, intelligence can be transmitted
to and from every part of the British dominions with a speed the conception of
which never entered into the wildest dreams of our ancestors in the last century.
C. V. Smith thus called for centralized control of imperial telegraphs, railways,
roads, canals, and steamship lines for strategic, commercial, and federative
purposes.
Greswell and C. V. Smith were among the first of many late nineteenth- and
early twentieth-century Smithian advocates of imperial federation who would
prove adept at wielding the tools of globalization in their ideological battle
against the Manchester School. Adam Smith’s imperial arguments correspondingly proliferated throughout the British world. In , for example, Frederick
Young, British advocate for imperial federation and prominent spokesman for
the Royal Empire League, turned to Smith’s suggestions for an imperial
parliament, as Young found them ‘much in accordance’ with his own principles
following a tour of Canada and meeting with its proponents of Greater
Britain. Canadian imperial federationists like George Robert Parkin in similar
fashion suggested that imperial federation was now ‘a reasonable ideal’, one
that had ‘long since commended itself to the philosophic mind of Adam Smith’,
and one that was ‘infinitely’ more justifiable and attainable in than it had
been in . Theorists in the United States like Arthur T. Hadley, the
Ibid., pp. , –.
C. V. Smith, ‘Imperial federation: suggestions as to the mode in which it can be carried
into effect’, in Five best essays, pp. , , , .
Frederick Young, On the political relations of mother countries and colonies (London, ),
p. .
George Robert Parkin, Imperial federation: the problem of national unity (London, ),
p. .
ADAM SMITH AS ADVOCATE OF EMPIRE
president of Yale University, also turned to Smith’s final chapter for ‘practical
wisdom’ following the US acquisition of a formal colonial empire in .
Imperial federationists like George F. Bowen, William Bousefield, and J. Ellis
Parker in turn extolled the wisdom of Smith’s ‘pregnant words’ on how imperial
union would make the British constitution complete while also creating a
lucrative internal imperial market. And, in , Adam Smith biographer
John Rae argued that Smith had ‘held that there need never be any occasion for
separation . . . and that the sound policy to adopt was really the policy of closer
union – of imperial federation, as we should now call it. He would not say,
“Perish dependencies”, but “Incorporate them.”’ Smith’s Cobdenite legacy
was coming under siege, surrounded by Smithian imperial unionist assailants.
Turn-of-the-century proponents of imperial union found further encouragement following the expression of colonial favour for imperial preference at the
Ottawa Conference, and when Canada’s government unilaterally
instituted a preferential policy for British goods in .
Cambridge University’s historical economist, William Cunningham, began
his study of the decline of Cobdenism by suggesting that any person
‘influenced by the political ideas of Sir John Seeley and is true to the economic
teaching of Adam Smith, should not hesitate’ in supporting an economic
reorganization of the British empire. The globe had not followed England’s
cosmopolitan lead. England’s one-sided free trade was ‘Cobden’s failure’ and
‘artificial’, whereas Seeley and Smith’s idea of Greater Britain was only ‘natural’.
Free trade was a wonderful cosmopolitan ideal that was nevertheless incompatible with the world as it was: a world of nationalism, jingoism, and selfinterest. That same year, under the auspices of the Tariff Reform League,
Cunningham also published a series of lectures arguing that both Adam Smith
and Richard Cobden had been more sympathetic to imperialism and Tariff
Reform than their anti-imperial disciples ‘might have been inclined to suppose’,
and Cunningham correspondingly condemned the ‘self-complacent’ and
‘degenerate’ Edwardian disciples of Cobdenism. Advocates of empire,
Arthur T. Hadley, ed., Adam Smith’s essay on colonies (New York, NY, and London, ),
p. vi.
George Ferguson Bowen, ‘The federation of the British empire’, Proceedings of the Royal
Colonial Institute, (–), p. ; William Bousfield, The government of the empire: a
consideration of means for the representation of the British colonies in an imperial parliament (London,
), p. ; J. Ellis Barker, Great and Greater Britain: the problems of motherland and empire, political
naval, military, industrial, financial, social (New York, NY, ), p. ; Cheng, Schemes for
federation, pp. , .
John Rae, Life of Adam Smith (London, ), pp. –; Knorr, British colonial theories,
pp. –.
Howe, Free trade and liberal England, pp. –, . See for example John Davidson,
Commercial federation and colonial trade policy (London, ), pp. , . New Zealand and
South Africa thereafter instituted imperial preferential policies in , followed by Australia
in .
William Cunningham, The rise and decline of the free trade movement (London,
), preface, pp. –, ; William Cunningham, Richard Cobden and Adam Smith
MARC-WILLIAM PALEN
alongside their attempts to co-opt Adam Smith from the Cobdenites, were now
even attempting to co-opt Cobden himself.
Veteran Australian politician James Jefferis – a long-time and influential
advocate for the federation of both Australia and the British empire – in similar
fashion invoked Adam Smith’s advocacy of empire in his retirement address in
in the wake of Australia’s recent federation. Jefferis drank deeply from the
overflowing river of turn-of-the-century Anglo-Saxonist racial ideology, and even
sought closer ties with the United States, suggesting that a truer name for
Australia’s ‘American cousins’ should be ‘American brothers’. Borrowing both
from Smith and the American Revolution, Jefferis advocated for a representative imperial federation:
Adam Smith spoke wisely when he said: – ‘The Assembly which deliberates and
decides concerning the affairs of every part of the Empire, in order to be properly
informed, ought certainly to have representatives from every part of it’. To this may
be added the aphorism admitted by all – ‘No taxation without representation’.
Smith’s idea was now within reach as governments throughout the globe were
‘learning how to conquer time and space’, Jefferis observed. ‘Steam has not yet
reached its limit of speed. The telephone and wireless telegraphy are only
beginning their beneficent career. On extraordinary occasions’, he suggested,
‘when the Federal Parliament might be suddenly called together to decide on
matters that would brook no delay, why should there not be votes by proxy, or in
some cases even votes by cable?’ Smith’s problem regarding long-distance
colonial representation appeared to have found its solution in the tools of
globalization.
In contrast, under the ‘negative movement’ of the Manchester School, ‘the
constructive task of preserving a colonial empire’ had been ‘completely
reversed’, argued E. Morris Miller, another Australian proponent of imperial
federation, in . As a result, ‘the faith of Adam Smith in the Empire’ had
been ‘discarded’. Miller noted that ‘it is one of the ironies of economic history
that the theories of Adam Smith should have . . . become in the minds of a later
generation indistinguishable from Cobdenism’, when in actuality Adam Smith
‘was an Imperial Federationist, and believed in constructive efforts towards
imperial consolidation. He realized the intimate connection between commercial development and maritime protection, and eulogized the wisdom of the
navigation laws on imperial grounds’. Alternatively, Smith’s delusional
Cobdenite disciples ‘could scarcely claim remembrance as empire-builders . . .
Their objective was the negation of all that union involved’; their cosmopolitan
(London, ), pp. , . For more on Cunningham, see also Koot, English historical economics,
ch. .
James Jefferis, The federation of the British people: a lecture delivered April th, at the opening of
the forty-second yearly session of the North Adelaide Young Men’s Society (Adelaide, ), pp. , .
Ibid., p. .
ADAM SMITH AS ADVOCATE OF EMPIRE
vision inevitably and, according to Miller, unfortunately left no room for a
nationalistic imperial identity.
Why, Miller then asked, had ‘the anticipations of Cobdenism’ never been
realized after holding the empire’s political and ideological reins for so long?
Because Cobdenism ‘had ceased to relate itself constructively to the
maintenance of a world-wide empire’, Miller answered. Instead, Cobdenites
openly ‘admitted that they viewed with complaisance the dismemberment of
the Empire, provided they could secure for themselves the advantages likely to
arise from trade agreements with the colonies when independent’. Proponents
of imperial preference were offering as an alternative not only an imperial tariff
system, Miller pointed out, but a ‘community of interests in commerce and
communication, whether in transportation or posts, telegraphs and cables, and
also affirm its close intimacy with Imperial defence’. He observed that ‘even
leading exponents of freetrade principles are not behindhand in this matter,
and some of them are urging us to study Adam Smith afresh, particularly as
regards his conceptions of the economic bases of empire’.
In particular, Miller noted that the idea of an imperial Zollverein, or ‘internal
free trade within the Empire’, was receiving renewed attention thanks to the
Wealth of nations - inspired writings of Professor Joseph Shield Nicholson at the
University of Edinburgh, who likened the British empire ‘to the contiguous
territory of the United States’. However, it was an idea, Miller observed much as
Froude had a few decades earlier, that had been resurrected from within the
British world rather than Great Britain itself: resuscitated first by imperial
federationists in Canada, thereafter ‘taken up’ by Jan Hofmeyr of South Africa,
and ‘revived’ by Australia’s Liberal prime minister Alfred Deakin in .
Adam Smith’s federative project had certainly found a strong local voice
throughout the global British empire.
E. Morris Miller, Some phases of preference in imperial policy (Melbourne, ), pp. , , .
Andrew Wyatt-Walter has made a similar argument in ‘Adam Smith and the liberal tradition in
international relations’, Review of International Studies, ( J), pp. –.
Miller, Some phases, pp. , , . This Cobdenite logic was of course quite in keeping with
Smith’s proposal for imperial decolonization.
Ibid., pp. –, –. For Deakin’s support of Chamberlain, see also J. A. La Nauze, Alfred
Deakin: a biography (Melbourne, ), pp. –; Howe, Free trade and liberal England, p. .
Similarly, B. R. Wise, once a strong Australian advocate of free trade, became the spokesman of
the Australian Preferential League, a Chamberlain supporter, and even suggested that Cobden
was no ‘Little Englander’, but if alive would have supported Chamberlain’s reforms. See B. R.
Wise, ‘Preferential trade’, Nov. , Sydney, State Library of New South Wales, B. R. Wise
papers, –, ML MSS , vol. , box , fo. ; B. R. Wise, ‘Cobden’s imperial policy’,
London Times, Dec. ; Pall Mall Gazette, Oct. , p. ; and Howe, Free trade and liberal
England, p. .
MARC-WILLIAM PALEN
III
As E. Morris Miller was writing his essay, Joseph Chamberlain’s Tariff
Reform movement was reaching its Edwardian apex. Chamberlain was himself a
onetime Radical Liberal and Cobdenite, having been ‘brought up in the school
of Mr Bright and Mr Cobden’. But Chamberlain gradually converted into a
radical proponent of imperial preference, especially as his hometown of
Birmingham attempted with great difficulty to recover from the global
depression of the s, and as its industries struggled more and more to
compete with the tariff-protected exports of Germany and the United States.
The unwillingness of the empire’s self-governing colonies to turn away from
protective tariffs provided a further impetus to abandon his vision of a free trade
empire for one of imperial preference. In , an ideologically changed
Chamberlain ultimately launched a concerted protectionist campaign for
imperial unity. The new movement’s clarion call to arms also sounded like a
declaration of war upon the Cobdenite order.
Thereafter, the growing popularity of Chamberlain’s Tariff Reform movement proved a mounting threat to Cobdenite orthodoxy in England. Within
England itself, Chamberlain’s Tariff Reform movement found strong support
from the influential Tariff Reform League and myriad other fiscal reform
organizations. The new movement also received the mixed support of centrist
Liberal Imperialists, along with the backing of the Liberal Unionists and a large
segment of Conservatives and the English business community, as well as a wide
swath of social reformers and imperial unionists from throughout the empire
who were disillusioned with the unfulfilled promises of Cobden and his
Edwardian disciples.
Chamberlain, quoted in the London Times, Aug. , p. ; Roland Quinalt, ‘John
Bright and Joseph Chamberlain’, Historical Journal, (), pp. –.
Howe, Free trade and liberal England, pp. , .
Although, fortunately for the latter, the British economy underwent a rapid recovery in
the middle of the first decade of the twentieth century, severely impeding Chamberlain’s
protectionist movement. Correspondingly, various Liberal Unionists (inter al., the duke of
Devonshire and Goschen) became Unionist free traders after .
For the British empire’s long Tariff Reform movement, see Brown, Tariff Reform movement ;
Sydney H. Zebel, ‘Joseph Chamberlain and the genesis of Tariff Reform’, Journal of British
Studies, (), pp. –; D. Porter, ‘Joseph Chamberlain and the origins of the Tariff
Reform movement’, Moirae, (), pp. –; E. H. H. Green, ‘Radical conservatism: the
electoral genesis of Tariff Reform’, Historical Journal, (), pp. –; E. H. H. Green,
The crisis of Conservatism: the politics, economics and ideology of the British Conservative party, –
(London and New York, NY, ); Howe, Free trade and liberal England; Palen,
‘Protection, federation and union’; Palen, ‘Conspiracy of free trade’, ch. ; Matthew, The liberal
imperialists, esp. pp. –, –; Trentmann, ‘Transformation of fiscal reform’; Rogers,
‘United States and the fiscal debate’; A. W. Coats, ‘Political economy and the Tariff Reform
campaign of ’, Journal of Law and Economics, (), pp. –; Bernard Semmel,
Imperialism and social reform: English social imperial thought, – (London, ), p. ;
Peter Fraser, ‘Unionism and Tariff Reform: the crisis of ’, Historical Journal, (),
pp. –; P. J. Cain, ‘Political economy in Edwardian England: the Tariff Reform
controversy’, in A. O’Day, ed., The Edwardian age: conflict and stability, – (London,
ADAM SMITH AS ADVOCATE OF EMPIRE
One such Chamberlain supporter was James Louis Garvin, editor of The
London Observer, who in began filially referring to Adam Smith as ‘the
father of Imperial Federation’. Garvin thereafter called for the application of
‘constructive imperialism’, emphasizing that Adam Smith and Cobden had for
too long been lumped together. Rather, Britons had ‘strictly to choose between
them. Cobden believed and hoped that Free Trade would be the dissolvent of
Empire’, whereas ‘Adam Smith’s position was quite opposite . . . Unlike Cobden,
he desired the British Empire not to be dissolved, but to be strengthened
and perpetuated . . . He desired . . . Imperial Federation and Navigation Laws’.
Smith, the ‘greatest of Free Traders’, was thus ‘in favour of a federated Empire
upon a protectionist basis’. Garvin then suggested that ‘Mr. Chamberlain has
not repudiated the politico-economic ideas of Adam Smith; he has returned to
them’.
Across the globe, a similar Smithian imperial defence arose in from the
Australian editor of The Brisbane Courier. Adam Smith was no blind defender of
free trade as his Cobdenite disciples would have you believe, suggested the
paper’s editor. Instead, those two ‘Little Englanders’ Cobden and Bright had
‘made a fetish of the doctrine’, which in reality made various exceptions for
protectionism. So too had Smith drawn a very different view ‘with respect to the
colonies as compared with his disciples of a later date’. Smith had in fact shown
great far-sightedness in his anticipation of a time when an imperial parliament
might become feasible. Indeed, Smith had laid out in The wealth of nations ‘the
whole course of colonial history from the time of the separation of the
American States down to the Boer War and Mr Chamberlain’s preferential
scheme for the welding together of the component parts of the Empire’. Smith
had in fact put forth Chamberlain’s principle of trade preference, the
Australian editor argued, a principle that stood out in ‘startling contrast’ to
the ‘stiff pedantry of the Manchester school, which regarded the colonies as a
nuisance, and nationalism as a hindrance’. Rather, Adam Smith ‘would have
); Richard A. Rempel, Unionists divided: Arthur Balfour, Joseph Chamberlain and the unionist
free traders (Hamden, CT, ); Julian Amery, Joseph Chamberlain and the Tariff Reform campaign
(The life of Joseph Chamberlain, vols. V and VI (New York, NY, ); Alan Sykes, Tariff Reform in
British politics, – (New York, NY, ); Alan Sykes, ‘The confederacy and the purge
of the unionist free traders, –’, Historical Journal, (), pp. –; Peter Fraser,
Joseph Chamberlain: radicalism and empire, – (London, ); Andrew S. Thompson,
‘Tariff Reform: an imperial strategy, –’, Historical Journal, (), pp. –;
David Brooks, The age of upheaval: Edwardian politics, – (Manchester, ); Marrison,
British business and protection; and Rixford Kinney Snyder, The tariff problem in Great Britain, –
(Stanford, CA, ).
James Louis Garvin, ‘The economics of empire’, National Review, (), p. .
James Louis Garvin, ‘The maintenance of empire: a study in the economics of power’, in
Charles Sydney Goldman, ed., The empire and the century: a series of essays on imperial problems and
possibilities by various writers (London, ), pp. –. For more on Garvin and ‘constructive
imperialism’, see P. J. Cain, ‘The economic philosophy of constructive imperialism’, in
Cornelia Navari, ed., British politics and the spirit of the age: political concepts in action (Keele, ).
MARC-WILLIAM PALEN
subordinated the letter of absolute free-trade for the sake of the spirit of
Imperial unity’. The way to imperial union would likely prove to be a
labyrinthine undertaking, the Courier’s editor warned, but fortunately The wealth
of nations ‘sheds a friendly light on the path, like the glimpse of a home fireside
to a traveller on a stormy night’.
Further Smith-inspired support came from Leo Amery – British Conservative
parliamentarian and social reformer – who attacked the Cobdenite hands-off
policy of imperial governance in The fundamental fallacies of free trade ().
In it, he came to the defence of Chamberlain, noting that the British were only
just beginning their ‘universal education on the lines laid down by Adam
Smith’, although Amery admitted that Smith’s imperial federation scheme yet
appeared out of the range of ‘practical politics’. By , the pro-Chamberlain
editors of the Nineteenth Century similarly warned of the detrimental effects of
the ‘un-English’ policy of Cobdenism’s laissez faire subscribers, praising Tariff
Reform alongside Adam Smith’s support for imperial federation without any
hint of contradiction. So too would globalization’s tools continue to be touted
in favour of Smithian imperial union.
Topping the list of turn-of-the-century voices calling for a Smithian imperial
federation was Professor Joseph Shield Nicholson of the University of
Edinburgh. Nicholson revered Adam Smith, and few if any at that time could
claim to know Smith better. Nicholson’s interpretation of Smith and his own
views on the subject of imperial unity, however, underwent great change
between the last decade of the nineteenth century and the first decades of the
twentieth. In , for instance, although he certainly granted that Adam Smith
had laid out the ‘most definite and most practicable scheme ever yet published
of Imperial Federation’, Nicholson was yet a critic of protectionist schemes of
imperial federation. As late as , he still opposed formal imperial unity,
and created something of a furore when he publicly denounced Chamberlain
for incorrectly listing Nicholson among his early Tariff Reform supporters.
But Nicholson soon began to warm to the idea of realizing Smith’s imperial
federative scheme as well as to the merits of Tariff Reform, an intellectual thaw
that can be gleaned as early as in Nicholson’s insightful introduction to
Brisbane Courier, Jan. , p. .
Garvin, ‘Economics of empire’, p. ; Leopold Amery, The fundamental fallacies of free trade
(London, ), p. ; Duke of Westminster, ‘Practical imperialism’, Nineteenth Century,
(), pp. –. Charles E. T. Stuart-Linton laid out his scheme for imperial federation
during this period, also invoking Adam Smith as inspiration. Stuart-Linton noted as well that
the difficulties of his day that ‘seemed to stand in the way of these ideas’ had been removed
owing to the development of ‘modern inventions’. Charles E. T. Stuart-Linton, The problem of
empire governance (London, ), pp. , .
J. Shield Nicholson, ‘Tariffs and international commerce’, in A. S. White, ed., Britannic
confederation (London, ), p. .
London Times, Aug. , p. , Oct. , p. ; Coats, ‘Political economy and the
Tariff Reform campaign of ’, p. ; John Cunningham Wood, British economists and the
empire (London and Canberra, ), pp. –.
ADAM SMITH AS ADVOCATE OF EMPIRE
the newest edition of Friedrich List’s National system (), an updated
reprinting of imperial federationist S. S. Lloyd’s English translation.
Nicholson – although ever the staunch defender of Adam Smith – nevertheless
now granted that List’s anti-Smithian creed contained ‘real value’ owing to its
profound ‘principles and fundamental ideas’. Nicholson suggested that British
statesmen would ‘always’ have to reckon with List’s ideas, and that they would
force many to reconsider their opposition to tariff retaliation, protectionism,
and imperial union for the sake of British industrial development.
With Nicholson’s grudging allowance for temporary protectionism, in his
work A project of empire: a critical study of the economics of imperialism, with
special reference to the ideas of Adam Smith, he now openly called for the creation of
a Smith-styled imperial parliament and localized tariffs for the collective
defence of the global British empire. His Smithian federative project included
an imperial customs union in imitation of the successful American system of
internal free trade situated within outward-facing high tariff walls. All were
necessary, he put forth, in order to maintain the British empire’s oceanic
supremacy and imperial defence. In doing so, Nicholson now argued that on
the issues of tariffs and imperial expansionism, Adam Smith had not been
nearly the cosmopolitan his Cobdenite disciples would suggest. Rather, Smith
had been ‘intensely nationalist’ and ‘imperial’, whose moral advocacy of empire
led logically to his chapter on colonies within The wealth of nations, wherein
Smith had laid out ‘the most thorough scheme of British imperial union ever
propounded’. According to the Nicholson of , this was Smith’s climactic
‘appeal to British statesmen, and to the British people both in the mother
country and in the colonies to convert the project of empire into reality’.
In the hands of perhaps his most avid Edwardian devotee, Adam Smith now
emerged as a nationalist, an imperialist, and a protectionist.
Nicholson’s defenders noted his and Smith’s defence of an imperial
parliament and customs union, as well as Nicholson’s newfound willingness
‘to concede a certain measure of protection against foreign nations for the sake
of the enormous advantages which union would bring in its train’, thereby
stating the case ‘with the aid of Adam Smith . . . for a “sane” Protection’, a case
that was quite in keeping with Tariff Reform. By the end of the First World
War, as many Cobdenites looked with great alarm upon Britain’s wartime
establishment of protective tariffs and the national flirtation with imperial
J. Shield Nicholson, introduction to Friedrich List, The national system of political economy,
trans. Sampson S. Lloyd (London, ; orig. edn, ), pp. xxvi–xxvii. Koot even places
Nicholson, albeit with caveats, in the English ‘historical economist’ camp and briefly touches
upon his imperial project. Koot, English historical economics, pp. –.
J. Shield Nicholson, A project of empire: a critical study of the economics of imperialism, with special
reference to the ideas of Adam Smith (London, ), pp. x–xi. For criticism of Nicholson’s
nationalist-imperialist interpretation, see especially Knorr, British colonial theories, pp. –.
F. S. Oliver, ‘Mr. Shield Nicholson’s “project of empire”’, London Times, Jan. , p. .
MARC-WILLIAM PALEN
preference, Nicholson arrived at the belief that Smith’s scheme had finally
begun.
The rapid late nineteenth-century development of globalization’s technological tools helped reawaken Adam Smith’s speculative theory of imperial
federation throughout the British world. While such turn-of-the-century
Smithian proponents – running the imperial unionist gamut from a free trade
empire to a system of imperial preference and protective tariff barriers – did not
obtain much substantive success in the late Victorian and Edwardian eras, their
resurrection of Adam Smith’s advocacy of empire would ultimately pay
federative dividends. Smithian imperial proponents could claim more tangible
success soon thereafter. Imperial unionist forces of various stripes had steadily
worn down Britain’s Cobdenite fortress throughout the early decades of the
twentieth century. The continued maintenance of protectionist policies in
the United States, coupled with the onset of the First World War and the
Great Depression’s subsequent arrival, only added fiscal fuel to the imperial
preferential fire. Imperial historian Klaus Knorr observed as late as the s
that a majority of Adam Smith’s ‘more recent reviewers’ were now in agreement
that he had ‘rejected separation in favour of a thoroughgoing reconstruction of
the Empire on the basis of free trade and federation’. Such protectionist
assaults ultimately proved detrimental to the Smith-inspired Cobdenite
legacy when, in , Britain itself turned toward protectionism and imperial
preference. This British political, economic, and ideological shift effectively
demolished what remained of the country’s battered Cobdenite bulwarks. This
about face may be viewed in part as a victory – albeit a Pyrrhic one – for Smith’s
imperial unionist disciples. Smith’s Cobdenite heirs in turn could claim some
vindication of their own in the wake of the Second World War with the
subsequent decolonization of the formal British empire, the US hegemonic
turn to trade liberalization, a steadfast Anglo-American ‘special relationship’,
and continued friendly relations between Britain and its Dominions.
Howe, Free trade and liberal England, pp. –; Wood, British economists, p. .
Trentmann, Free trade nation; Trentmann, ‘The strange death of free trade: the erosion of
the “liberal consensus” in Britain, c. –’, in Eugenio F. Biagini, ed., Citizenship and
community: liberals, radicals, and collective identities in the British isles, – (Cambridge,
), pp. –; Howe, Free trade and liberal England, ch. ; Ralph A. Young, ‘British imperial
preference and the American tariff ’, Annals of the American Academy of Political and Social Science,
(), pp. –.
Knorr, British colonial theories, p. . In , for example, C. R. Fay, professor of
economic history at the University of Toronto, now portrayed Adam Smith as a ‘liberal
imperialist’. C. R. Fay, Great Britain from Adam Smith to the present day (London, ), p. .