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When All-Under-Heaven possesses the Way and there is no urgent crisis, all is calm, and the relay couriers are not employed. Therefore Laozi says: 'War horses are turned back to fertilize the fields.'

When All-Under-Heaven lacks the Way, attacks never cease, and armies hold their positions for years on end without relenting. Lice breed in armor and helmets, sparrows and swallows nest in the command tents, yet the troops do not return home. Therefore Laozi says: 'War horses are born in the suburbs.'

A man of the Di people presented the skins of a rich fox and a dark leopard to Duke Wen of Jin. Duke Wen accepted the skins but sighed: 'These creatures brought ruin upon themselves through the beauty of their pelts.'

Among those who govern states, some bring ruin through their titles and fame -- Xu Yan Wang was such a case. Others bring ruin through their cities and land -- Yu and Guo were such cases. Therefore Laozi says: 'No crime is greater than desirable things.'

Zhibo absorbed the Fan and Zhonghang clans and then attacked Zhao without relent. Han and Wei turned against him; his army was defeated at Jinyang, he himself was killed east of Gaoliang, and in the end his territory was divided. His skull was lacquered and made into a drinking vessel. Therefore Laozi says: 'No disaster is greater than not knowing sufficiency.'

The lord of Yu coveted the horses of Quechan and the jade disc of Chuiji. He did not heed Gong Zhiqi, and so his state perished and he himself died. Therefore Laozi says: 'No misery is worse than the desire to obtain.'

For a state, survival is the norm -- and from survival, hegemony is possible. For a person, life is the norm -- and from life, wealth and honor are possible. If one does not harm oneself through desire, the state will not perish and the person will not die. Therefore Laozi says: 'Knowing that sufficiency is sufficient -- this is true sufficiency.'

After King Zhuang of Chu achieved victory, he hunted at Heyong and upon returning rewarded Sun Shuao. Sun Shuao requested the land between the Han Rivers -- a sandy, stony place. By the law of the Chu state, the fiefs of salaried ministers were reclaimed after two generations, yet Sun Shuao's alone remained. The reason his fief was not reclaimed by the state was that it was barren. Thus for nine generations his sacrifices never ceased.

Therefore Laozi says: 'What is well-established cannot be uprooted; what is well-embraced cannot be detached. Sons and grandsons will honor it with sacrifices that never cease, generation after generation.' This describes Sun Shuao.

When control rests with oneself, this is called 'heavy.' When one does not leave one's position, this is called 'still.' Being heavy, one can command the light; being still, one can command the restless. Therefore Laozi says: 'The heavy is the root of the light; the still is the master of the restless.' Therefore: 'The gentleman travels all day without leaving his baggage train.'

The state is the ruler's baggage train. The Lord Father, while still alive, transferred his state to another -- this was abandoning his baggage train. Therefore, though he had the pleasures of Dai and Yunzhong, in an instant Zhao was no longer his.

The Lord Father was the ruler of a state of ten thousand chariots, yet he treated himself lightly before All-Under-Heaven. To be without positional advantage is called 'light'; to leave one's position is called 'restless.' Therefore he was imprisoned while alive and died in captivity.

Therefore Laozi says: 'The light loses its ministers; the restless loses its ruler.' This describes the Lord Father.

Positional advantage and authority are the ruler's deep waters. When a ruler holds authority over his ministers, once lost it cannot be recovered. Duke Jian lost it to Tian Cheng, and the Duke of Jin lost it to the six ministerial houses -- and both perished.

Therefore Laozi says: 'The fish must not leave the deep.'

Rewards and punishments are the state's sharp instruments. When the ruler wields them, they control the ministers; when the ministers wield them, they overpower the ruler. When the ruler is seen to reward, the minister diminishes the reward to claim the beneficence as his own. When the ruler is seen to punish, the minister augments the punishment to claim the authority as his own. When the ruler's rewards are visible, the ministers exploit his positional advantage. When the ruler's punishments are visible, the ministers ride upon his authority.

Therefore Laozi says: 'The state's sharp instruments must not be shown to others.'

The King of Yue entered service as a menial in Wu, then maneuvered Wu into attacking Qi to exhaust itself. Once Wu's troops had defeated Qi at Ailing, Wu was overextended along the Yangtze and Ji Rivers and its strength was spent at Huangchi. Thus Yue was able to overcome Wu at the Five Lakes.

Therefore Laozi says: 'That which is about to contract must first be expanded; that which is about to be weakened must first be strengthened.'

Duke Xian of Jin wished to attack Yu, so he first presented it with jade and horses. Zhibo wished to attack Chouyou, so he first presented it with a great chariot. Therefore Laozi says: 'That which is about to be taken must first be given.'

To initiate affairs from the formless and seize great achievement in All-Under-Heaven -- 'this is called the subtle light.' To abide in smallness and weakness, prizing self-abasement -- this means 'the yielding and weak overcome the hard and strong.'

Among things that have form, the great must originate from the small; among things that endure long, the multitude must originate from the few. Therefore Laozi says: 'The difficult affairs of All-Under-Heaven must begin from the easy; the great affairs of All-Under-Heaven must begin from the minute.' Thus one who wishes to control things must attend to the minute. Therefore: 'Plan for the difficult while it is still easy; accomplish the great while it is still small.'

A dike of a thousand spans can be breached by a mole-cricket's hole. A house of a hundred paces can be burned by a spark from a chimney crack. Thus Bai Gui, when inspecting dikes, sealed every hole; the old man, when guarding against fire, plastered every crack. Therefore Bai Gui suffered no floods and the old man suffered no fires. These all attended to the easy in order to avoid the difficult, and respected the small in order to forestall the great.

Bian Que visited Lord Huan of Cai and stood before him for a moment. Bian Que said: 'My lord, you have an illness in the pores. If not treated, I fear it will go deeper.' Lord Huan said: 'I have no illness.' Bian Que departed. Lord Huan said: 'Physicians love to treat the healthy and claim credit for it.'

After ten days, Bian Que visited again and said: 'My lord's illness is in the flesh. If not treated, it will go deeper still.' Lord Huan did not respond. Bian Que departed. Lord Huan was again displeased.

After ten days, Bian Que visited again and said: 'My lord's illness is in the stomach and intestines. If not treated, it will go deeper still.' Lord Huan did not respond. Bian Que departed. Lord Huan was again displeased.

After ten days, Bian Que gazed at Lord Huan from a distance and turned to flee. Lord Huan sent someone to ask why. Bian Que said: 'When the illness is in the pores, hot compresses can reach it. When in the flesh, acupuncture needles can reach it. When in the stomach and intestines, herbal decoctions can reach it. When in the bone marrow, it belongs to the Arbiter of Fate -- nothing can be done. Now it is in the bone marrow; therefore I make no further requests.'

After five days, Lord Huan's body was wracked with pain. He sent men to find Bian Que, but he had already fled to Qin. Lord Huan thereupon died.

Thus a good physician attacks illness at the pores. These are all cases of contending over what is small. The fortune and misfortune of affairs likewise have their 'pore stage.' Therefore the sage attends to matters early.

In the past, Prince Chong'er of Jin went into exile and passed through Zheng. The lord of Zheng did not receive him with proper courtesy. Shuzhan remonstrated: 'This is a worthy prince. If my lord treats him generously, you can accumulate a store of goodwill.' The lord of Zheng did not listen. Shuzhan remonstrated again: 'If you will not treat him generously, it would be better to kill him, lest he become a future threat.' The lord of Zheng again did not listen. When the prince returned to Jin, he raised an army and attacked Zheng, crushing it and taking eight cities.

Duke Xian of Jin used the jade disc of Chuiji to borrow passage through Yu in order to attack Guo. The minister Gong Zhiqi remonstrated: 'This must not be done. When the lips are gone, the teeth grow cold. Yu and Guo rescue each other not out of mutual affection but out of necessity. If Jin destroys Guo today, Yu will surely follow tomorrow.' The lord of Yu did not listen; he accepted the jade and granted passage. After Jin had taken Guo, it turned and destroyed Yu on the return.

These two ministers were both contending at the stage of the pores, yet both rulers refused to heed them. Thus Shuzhan and Gong Zhiqi were the Bian Que of Yu and Guo. Because the two rulers did not listen, Zheng was broken and Yu was destroyed.

Therefore Laozi says: 'When things are stable, they are easy to hold; when things have not yet shown signs, they are easy to plan for.'

In former times, Zhou of Shang had ivory chopsticks made, and Jizi was filled with dread. He reasoned: ivory chopsticks would surely not be paired with earthen bowls -- they would require cups of rhinoceros horn and jade. Ivory chopsticks and jade cups would surely not be used for bean and vegetable soup -- they would require yak tail, elephant, and leopard embryo. Yak tail, elephant, and leopard embryo would surely not be eaten in coarse cloth beneath a thatched roof -- they would require brocade robes in nine layers, grand halls and lofty terraces. 'I dread where this will end, and so I am terrified at where it begins.'

Five years later, Zhou created gardens of meat, installed the roasting pillar, ascended the mound of wine dregs, and looked down upon the pool of wine. Zhou thereupon perished.

Thus Jizi saw the ivory chopsticks and knew the disaster that would engulf All-Under-Heaven. Therefore Laozi says: 'To perceive the small is called insight.'

Goujian entered service as a menial in Wu, personally bearing shield and halberd as Fuchai's groom. Because of this, he was able to kill Fuchai at Gusu.

King Wen endured insults at the gate of the Shang court without changing his expression, and King Wu subsequently captured Zhou at Muye.

Therefore Laozi says: 'Maintaining yielding is called strength.' The King of Yue's achievement of hegemony was not impaired by his menial service. King Wu's kingship was not impaired by the insults suffered. Therefore Laozi says: 'The sage is not afflicted, because he does not regard these things as afflictions -- therefore he has no affliction.'

A rustic man of Song obtained an uncut jade and presented it to Zihan. Zihan would not accept it. The rustic said: 'This is a treasure -- it is fit to be a gentleman's possession, not for common men to use.' Zihan said: 'You consider jade your treasure; I consider not accepting your jade my treasure.' Thus the rustic desired jade, while Zihan did not desire jade.

Therefore Laozi says: 'Desire not to desire, and do not prize goods that are hard to obtain.'

Wang Shou was traveling carrying books on his back when he met Xu Feng on the road to Zhou. Feng said: 'Affairs are a matter of action; action arises from the times, and the wise man has no fixed affairs. Books are a matter of words; words arise from understanding, and the wise man does not store books. Why do you alone carry them on your back?' At this, Wang Shou burned his books and danced.

Thus the wise do not teach through spoken words, and the perceptive do not store books in boxes. This is what the world passes by, and Wang Shou returned to it. This is learning not to learn.

Therefore Laozi says: 'Learn not to learn, and return to what the multitude passes by.'

Things have their natural form; one should follow and ride upon it to guide them. By following the natural form of things, when still one establishes virtue, and when moving one accords with the Way.

A man of Song carved a mulberry leaf from ivory for his lord. It took three years to complete. The fullness and thinness, the stems and branches, the fine hairs and lustrous surface -- when mixed among real mulberry leaves, it could not be distinguished. This man was thereupon awarded a salary from the state of Song for his achievement.

Liezi heard of this and said: 'If Heaven and Earth took three years to produce a single leaf, how few things would have leaves!' Thus to ignore the resources of Heaven and Earth and rely on one person's body, to disregard the calculations of the Way and principle and study one person's cleverness -- these are all 'single-leaf' undertakings.

When one plows in winter, even Houji cannot make the crop abundant. But in a year of plenty, even a slave cannot make the harvest fail. By one person's strength alone, even Houji falls short; following nature, even a slave has surplus. Therefore Laozi says: 'Rely on the natural course of all things and do not dare to act.'

The openings of the body are the windows and doors of spiritual intelligence. When the ears and eyes are exhausted by sounds and sights, and the vital spirit is exhausted by external appearances, the center has no master. When the center has no master, then even if fortune and misfortune loom as large as hills and mountains, there is no way to perceive them.

Therefore Laozi says: 'Without going out the door, one can know All-Under-Heaven; without peering through the window, one can know the Way of Heaven.' This speaks of the spiritual intelligence not departing from its substance.

Lord Xiang of Zhao studied chariot-driving from Prince Yuqi. Shortly after, he raced against Yuqi, changed horses three times, and fell behind each time. Lord Xiang said: 'Your teaching of driving -- have you not taught me everything?' Yuqi replied: 'The technique has been fully taught, but you are misapplying it. What is valued in driving is this: the horse's body must be at ease with the chariot, and the driver's mind must be attuned to the horse -- only then can one advance quickly and reach far. Now when you fall behind, you want to catch me; when you are ahead, you fear I will catch you. In a race along the road, one is either ahead or behind, yet whether ahead or behind, your mind is fixed on me. How then can your mind be attuned to the horse? This is why you fall behind.'

Bai Gong Sheng was plotting rebellion. After leaving court, he held his walking stick upside down and drove the pointed tip through his own chin, with blood flowing to the ground -- yet he did not notice. The people of Zheng heard of this and said: 'If he can forget his own chin, what will he not forget?'

Therefore Laozi says: 'The farther one goes out, the less one knows.' This means that when one's mind reaches far afield, what is neglected lies close at hand.

For this reason, the sage has no fixed course of action. He can see all at once: therefore, 'Without traveling, one knows.' He can perceive all at once: therefore, 'Without seeing, one discerns.' He follows the times in undertaking affairs, builds achievement upon available resources, and uses the abilities of all things to secure benefit above. Therefore: 'Without acting, one achieves.'

King Zhuang of Chu assumed governance for three years without issuing a single decree or undertaking a single act of government. The Right Marshal attended the throne and addressed the king with a riddle: 'There is a bird perched on a mound in the south. For three years it has not spread its wings, neither flying nor calling, silent without a sound. What is this bird called?'

The king said: 'Three years without spreading its wings -- it is growing its feathers. Not flying and not calling -- it is observing the ways of the people. Though it has not yet flown, when it flies it will soar to the heavens. Though it has not yet called, when it calls it will startle all people. You may set your mind at ease -- I understand.'

After half a year, he personally took charge of governance. He abolished ten measures and initiated nine; he executed five great ministers and elevated six recluses. The state was brought to excellent order. He raised an army to punish Qi and defeated it at Xuzhou; he vanquished Jin at Heyong; he convened the lords at Song and thereupon achieved hegemony over All-Under-Heaven.

King Zhuang did not let small matters obstruct the good; therefore he won a great name. He did not reveal himself early; therefore he achieved great things. Therefore Laozi says: 'The great vessel takes long to complete; the great sound is rarely heard.'

King Zhuang of Chu wished to attack Yue. Du Zi remonstrated: 'Why does Your Majesty wish to attack Yue?' The king said: 'Its governance is disordered and its army is weak.' Du Zi said: 'I fear that wisdom is like the eye -- it can see a hundred paces away but cannot see its own lashes. Your Majesty's army has been defeated by Qin and Jin and has lost several hundred li of territory -- this is military weakness. Zhuang Qiao acts as a brigand within your borders and your officials cannot stop him -- this is disordered governance. Your Majesty's weakness and disorder are no less than Yue's, yet you wish to attack Yue. This is wisdom being like the eye.' The king desisted.

Therefore the difficulty of knowledge lies not in perceiving others but in perceiving oneself. Therefore Laozi says: 'To perceive oneself is called insight.'

Zixia visited Zengzi. Zengzi said: 'How plump you have become!' Zixia replied: 'I have won a battle, and therefore I am plump.' Zengzi said: 'What do you mean?' Zixia said: 'When I entered and beheld the righteousness of the former kings, I honored it. When I went out and saw the pleasures of wealth and honor, I was also drawn to them. The two warred in my breast, and I did not know which would prevail -- so I grew thin. Now the righteousness of the former kings has won, and so I have grown plump.'

Thus the difficulty of resolve lies not in conquering others but in conquering oneself. Therefore Laozi says: 'To conquer oneself is called strength.'

The house of Zhou possessed jade tablets. Zhou of Shang sent Jiao Ge to demand them, but King Wen would not give them. When Fei Zhong came to demand them, King Wen gave them over.

This was because Jiao Ge was worthy while Fei Zhong was unprincipled. Zhou feared what would happen if a worthy man obtained his objectives, and therefore gave to Fei Zhong instead.

King Wen's elevation of the Grand Duke at the Wei River bank -- this showed that he prized him. His giving the jade tablets to Fei Zhong as a resource -- this showed that he loved strategically.

Therefore Laozi says: 'Not prizing one's teacher, not loving one's resources -- though one be wise, this is a great confusion. This is called the essential mystery.'