Candle Makers’ Petition: What It Is, History in Economics

The “Candle Makers’ Petition” is a satire of protectionist tariffs, written by French economist Frèdèric Bastiat. In many ways, it expanded on the free market argument against mercantilism set forth by Adam Smith, but Bastiat targeted government tariffs that were levied to protect domestic industries from competition.

In Bastiat’s “Petition,” all the people involved in the French lighting industry, including “the manufacturers of candles, tapers, lanterns, sticks, street lamps, snuffers, and extinguishers, and from producers of tallow, oil, resin, alcohol, and generally of everything connected with lighting,” call upon the French government to take protective action against unfair competition from the sun. It argues sarcastically: “We candlemakers are suffering from the unfair competition of a foreign rival.”

Key Takeaways

• The “Candle Makers’ Petition” is a complaint written by French economist Frèdèric Bastiat to his government to oppose import tariffs.
• Bastiat instead favored free markets for international trade and competition and argued that tariffs would have negative unintended consequences.
• Despite the economic theory underlying Bastiat’s argument, protectionism remains a tool used by governments in the global market.

Unintended Consequences

Bastiat argued that forcing people to close “all windows, dormers, skylights, inside and outside shutters, curtains, casements, bull’s-eyes, deadlights, and blinds—in short, all openings, holes, chinks, and fissures through which the light of the sun is wont to enter houses”—would lead to a higher consumption of candles and related products. In turn, he reasoned, the industries that those in the lighting industry depend on for materials would have greater sales, as would their dependent suppliers, and so on—until everyone is better off without the sun.

This satirical essay suggests that forcing people to pay for something when a free alternative is available is often a waste of resources. In this case, the money people spend on additional lighting products would indeed boost the candle makers’ profit, but because this expenditure is not required, it is wasteful and diverts money from other products. Rather than producing wealth, satisfying the candle makers’ petition would lower overall disposable income by needlessly raising everyone’s costs.

Argument Against Tariffs

Similarly, Bastiat argued, using tariffs to force people to pay more for domestic goods when cheaper foreign imports are available allows domestic producers to survive natural competition, but costs everyone as a whole. Additionally, the money put into an uncompetitive company would be more efficiently placed into an industry in which domestic companies have a competitive advantage.

Bastiat concluded with the following remark:

Make your choice, but be logical; for as long as you ban, as you do, foreign coal, iron, wheat, and textiles, in proportion as their price approaches zero, how inconsistent it would be to admit the light of the sun, whose price is zero all day long!

Protectionism Remains

Despite the economic theory in Bastiat’s argument, protectionism remains a tool used by governments in the global market.

Tariffs are just one form of protectionism. Others include import quotas, which are nontariff barriers put in place to limit the number of products that can be imported over a set period of time, and product standards, which are a barrier that limits imports based on a country’s internal controls.

Who Was Frèdèric Bastiat?

Frèdèric Bastiat (1801–1850) was a 19th century philosopher and economist famous for his ideas about the role of the state in economic development. He was known for identifying flaws in protectionism and for his use of satire to shed light on political and economic principles.

What Were Bastiat’s Works?

The “Candle Makers’ Petition” was among a series of essays Bastiat wrote for a book titled “Economic Sophisms,” published in 1845.

Bastiat is also known for two works published in 1850, the year of his death:

• An essay titled “Ce qu’on voit et ce qu’on ne voit pas,” which translates as “What Is Seen and What Is Not Seen,” in which he introduced a concept that would eventually be coined as opportunity cost, by Austrian economist Friedrich von Wieser, 60 years later.
• A book titled “The Law,” in which he outlined how a free society can develop through a just legal system.

What Are Tariffs?

A tariff is a tax imposed by one country on the goods and services imported from another country to influence it, raise revenues, or protect competitive advantages. Tariffs often result in unwanted side effects, such as higher consumer prices.

What Is Protectionism?

Protectionism refers to government policies that restrict international trade to help domestic industries. Protectionist policies are usually implemented with the goal of improving economic activity within a domestic economy, but they can also be implemented for safety or quality concerns.

The Bottom Line

The “Candle Makers’ Petition” is a staple in economics education today. It is often used to teach students about the principles of free trade and the pitfalls of protectionism.

Bastiat’s petition is frequently referenced in discussions about trade policies, thus highlighting the enduring value of its message regarding consideration of broader economic impacts beyond specific industries’ interests.