Lecture II

One can actually point to a significant moment of modern historical development, to the year 1651, when the ingenious Cromwell with his Navigation Act[^6] brought about that configuration in English navigation and in all English trade which was the foundation for everything in the West which later arose. One can also point to how, for outwardly inexplicable reasons, French merchant shipping suffered its greatest decline just as Napoleon's star was in the ascendant. What takes place in the West takes place out of the forces lying in the actual direction of humanity's development. It takes place out of a completely economic way of thinking, out of the impulses of economic ideas. This is why everything which comes from Central Europe and is conceived not out of economic points of view, but out of political-legal-militaristic ones must succumb to them. We have a crude example of how, based an a political-military standpoint, Napoleon, with his 'Continental System',[^7] tried to counteract from the European continent everything that had resulted from Cromwell's Navigation Act. This Navigation Act was conceived and created entirely out of economic instincts. Napoleon's 'Continental System' at the beginning of the nineteenth century was a political conception. But a political conception is something that projects from earlier times into the modern age—it is antiquated, is actually an anachronism. This is why this political conception could be no match for the modern conception from which the Navigation Act arose. On the other hand, in the West where thinking follows the lines of economics in the sense of the new age, political affairs, even if they take an unfavourable course, do not fundamentally.