----------------- HES POSTING ----------------- The theory of exchange, that is, comparative advantage, and the Specie Flow Mechanism, are short, or at most, medium run propositions. There have always been very long run development theories to justify tariffs: Hamilton, in the United States in the late eighteenth century; Carey in the United States at mid nineteenth century; List in Germany, also at mid nineteenth century; and John Rae, wherever you want to locate him, in the early nineteenth century. And there was also the need for revenue as government activity increased, and income and sales taxes were still either administratively or politically non-feasible. Robin Neill ------------ FOOTER TO HES POSTING ------------ For information, send the message "info HES" to [log in to unmask]