Excerpt from The Effect of Tariffs on Unemployment
In connection with the tariff controversy there is no question more important than that of the bearing of tariffs on employment, for unemployment is one of the gravest social troubles of the present time. Opinions upon this question may be divided into (i) those which are based upon a scientific analysis of the causes of unemployment, and (2) those which are not. Opinions of the former class I shall expound and examine first; afterwards I shall criticise the more naive opinions.
I must begin my task by indicating the causes of unemployment which numerous investigations have revealed. Without a knowledge of these causes it is patently impossible to say how tariffs will affect employment; for if tariffs can affect it, they certainly must do so by operating upon these causes.
Causes of Unemployment
The unemployed may be broadly divided into the "employable" and the "unemployable." Now it is evident that tariffs neither make nor mar physical efficiency, or character, directly, and therefore that our inquiries must relate mainly to the unemployment of the "employable." I say "mainly," and not "exclusively," because many of the unemployable are recruited from the employable. An efficient man after long or repeated periods of searching vainly for work is apt to lose his efficiency.
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