The Economics and Philosophy of Henry
George 1839-1897:
Being Memorable Passages from his
Writings and Addresses
FIFTH EDITION
Originally published in 1912 by A. C.
Fifield, London, under the title Gems
from Henry George.
Republished in 1930 by the Henry George Foundation of
Great Britain; reprinted 1931.
New edition and title, Henry George on Economic
Justice, produced by offset litho and published by Land
& Liberty Press Ltd, 1949.
This edition, The Economics and Philosophy of Henry
George, published 1980 by Land & Liberty Press
Ltd.
Selected and Arranged by Arthur C. Auchmuty, with a
Foreword by Fred Harrison.
LAND & LIBERTY PRESS LTD
177 VAUXHALL BRIDGE ROAD
WESTMINSTER, LONDON, S.W.1 1980
Fred Harrison's FOREWORD (1980)
THIS book contains the distilled wisdom of Henry George.
The selection of extracts from George's books was
compiled and arranged by the Rev. Arthur Compton
Auchmuty, who until his death in 1917 was one of a small
group of British country clergymen preaching the cause of
radical land reform.
Why, a century after George's main writings were
published — and, to judge by the wide sales,
popularly received — should we still be interested
in them? Why, when the popularity acquired by many
philosophers is eclipsed by new fashions, are the works
of this writer still published and carefully
scrutinized?* The short answer is that the philosophy
Henry George sought to promote is close to the hearts of
most people: a philosophy which has at its heart the
ideas of freedom, justice and truth.
*The American Economic
Association, the professional and scientific organization
of North American economists, devoted a session of its
annual meeting at Atlanta, Georgia, on Dec. 30, 1979, to
celebrate the centenary of the publication of
Progress and Poverty, Henry George's most
influential book.
These concepts, of course, are used to defend a wide
range of ideologies, and the passages in this book will
introduce the reader to the merits of Henry George's
philosophy and his practical proposals for social and
economic change.
Henry George did not enjoy a formal education above the
rudimentary level. But he acquired multi-disciplinary
skills, which he deployed ruthlessly to expose the
deficiencies of industrial society. The single crucial
structural defect, he discovered, was the monopolization of
nature by a minority of citizens. He argued that social
conflicts and economic instability were nurtured by this
crippling defect that was present in a system which was
technically capable of providing everybody with a rising standard of
living.
Combining the skills of the economist, the politician and
the journalist he documented the problems and defined the
elements necessary for a program of corrective
reforms. No area of knowledge was neglected.
Using history and anthropology, he compared the lot of
working men in modern society with the generally happier
condition of people in pre-industrial societies.
- The "primitive" Amerindian and the European peasant,
he noted, worked shorter hours, were physically stronger
and were of a happier demeanor:
why?
- Men were not genetically predisposed to crime, yet
many of them were deviant and pursued anti-social
behavior: why?
- Men were rational beings, yet the majority were
persuaded to adopt opinions and institutions contrary to
their individual and collective interests:
why?
- While a few men acquired riches without themselves
adding one iota to the wealth of nations, a growing
number were condemned to eke out a bare subsistence in
the meanest of conditions:
why?
His answers were based largely on theoretical
reasoning. The vast accumulation of empirical
knowledge on which today's social scientists can draw was
not available to Henry George, yet he singlemindedly
explored those contradictions which did not disturb most of
the complacent thinkers of his time. Thus, his
perceptions are rich with analogies, sharpened by satire
and meticulously recorded by paying due respect to the
meaning of words (a method of advancing knowledge which is
today associated with the Oxford school of linguistic
philosophy).
For the student, the books of Henry George provide a wide
range of hypotheses with which to grapple. Few of these
insights into the working of society and its economy would
fail to stand up to empirical testing. But this is not to
say that his views are uncontroversial: one mark of a
successful commentator and reformer is that he is able to
challenge conventional wisdom. An example, which
illuminates the contemporary relevance of George's
writings, concerns the population question.
Henry George adopted an optimistic and anti-Malthusian
position. If he were alive today he would seriously
question the orthodox view that a principal way to cure
poverty in the Third World was to increase the distribution
of intrauterine devices and the pill. In his view, people
were hungry not for procreative reasons (he saw each pair
of hands as an exciting opportunity, not something to be
feared for the burden allegedly placed on the carrying
capacity of earth). The real problem, he argued, was that
people were actively prevented from gaining access to the
natural resources with which to provide themselves with
their daily bread. Today, he would contend that, if we paid
greater attention to appropriate land reforms, the
characteristics which are identified as part of a
demographic problem, such as malnutrition, would be
solved.
History is on George's side. Apart from those periods of
famine caused by drought, men in the past were able to
order their cultural patterns to conform neatly with their
ecological environment. Today, however, with all the
developments of technology and science, poverty and hunger
not only remain, but are frequently aggravated by these
very developments.
The problems of contemporary society are multiplying in
number and magnifying in scale to an extent which seems
almost incomprehensible to the human mind. Yet solutions
have to be found if we are to avoid ecological chaos and
survive territorial conflicts. That is why the critique
offered by Henry George is crucial. The power of his logic
and his prose penetrate our complacency, compel us to
confront uncomfortable facts.
- If we want to be free, we cannot justify sectional
privileges which circumscribe the rights of others.
- If we want the economy to function smoothly, we
cannot expect barriers to be put up in order to protect
our limited interests.
- If we want society to live in harmony with the
ecological environment, we cannot claim the right to
abuse nature for our private, short-term interests.
But how do we re-synthesize culture to produce the
results which we all, in our rare moments of altruism,
concede as desirable? How do we protect natural rights,
such as individual liberty and free speech, while
establishing a well-functioning political order? How do
we achieve a distribution of income which reflects both
equal opportunity and the individual contributions of men
and women of varying talents and industry?
This volume provokes these questions. The book's primary
purpose is to encourage readers to turn to the full
texts. There, they will find the answers with which we
must, sooner or later, come to terms if we are to begin
the process of reconstructing society into a state which
might be accorded the status of "civilization."
Editor, FRED HARRISON
Land & Liberty March 1980
Progress and Poverty
• The Savage and the Modern Workman
• Poverty Unnatural
• Nature Inexhaustible
• More Men, More Yield
Social Study
• "Wise" and "Babes"
• Economic Terms:
Land, Labor, Capital, Value, Wealth, Wages, Rent • How Society creates its Rent
Laws of Social Life
• The "Greater Leviathan"
• Civilization •
Production •
Distribution •
Cooperation •
Competition
Society an Organism
• "Socialism" •
Functions of Government
• "Protection" •
True Free Trade
Unemployed
• The Natural Right to Self-Employment
• The Earth for All
• What is Property?
• Ownership of Land, Ownership of Men
Robbery of Labor, and how to stop it
• Collect the Rent-Taxation
• "The Single Tax"
• "Rich" and "Poor"
• Compensation
Beneficent Effects of Single Tax
• Liberation of Higher Qualities
• The Law of Progress, the Moral Law
• The Office of Religion
• The Call of Liberty
• The Liberators
• The Glow of Dawn
These quotes are excerpted from the following sources:
Progress and Poverty (1879)
The (Irish) Land Question (1881)
Social Problems (1883)
The Reduction to Iniquity (a reply to the Duke of
Argyll), The Nineteenth Century, July,
1884
Protection or Free Trade (1885)
The Condition of Labor, an Open Letter to Pope Leo
XIII (1891)
A Perplexed Philosopher (1892)
The Science of Political Economy, edited by Henry George,
Jr. (1898), after Henry George's death
Speeches and Addresses, at various dates
COULD a man of a century ago* — a Franklin or a
Priestley — have seen, in a vision of the future, the
steamship taking the place of the sailing vessel, the
railroad train of the wagon, the reaping machine of the
scythe, the threshing machine of the flail; could he have
heard the throb of the engines that in obedience to human
will, and for the satisfaction of human desire, exert a
power greater than that of all the men and all the beasts
of burden of the earth combined; could he have seen the
forest tree transformed into finished lumber into doors,
sashes, blinds, boxes or barrels, with hardly the touch of
a human hand; the great workshops where boots and shoes are
turned out by the case with less labor than the
old-fashioned cobbler could have put on a sole; the
factories where, under the eye of a girl, cotton becomes
cloth faster than hundreds of stalwart weavers could have
turned it out with their hand-looms; could he have seen
steam hammers shaping mammoth shafts and mighty anchors,
and delicate machinery making tiny watches; the diamond
drill cutting through the heart of the rocks, and coal oil
sparing the whale; could he have realized the enormous
saving of labor resulting from improved facilities of
exchange and communication — sheep killed in
Australia eaten fresh in England, and the order given by
the London banker in the afternoon executed in San
Francisco in the morning of the same day; could he have
conceived of the hundred thousand improvements which these
only suggest, what would he have inferred as to the social
condition of mankind?
* Written in 1877.
It would not have seemed like an inference; further than
the vision went, it would have seemed as though he saw, and
his heart would have leaped and his nerves would have
thrilled, as one who from a height beholds just ahead of
the thirst-stricken caravan the living gleam of rustling
woods and the glint of laughing waters. Plainly, in the
sight of the imagination, he would have beheld these new
forces elevating society from its very foundations, lifting
the very poorest above the possibility of want, exempting
the very lowest from anxiety for the material needs of
life; he would have seen these slaves of the lamp of
knowledge taking on themselves the traditional curse, these
muscles of iron and sinews of steel making the poorest
laborer's life a holiday, in which every high quality and
noble impulse could have scope to grow. And out of these
bounteous material conditions he would have seen arising,
as necessary sequences, moral conditions realizing the
golden age of which mankind have always dreamed. Youth no
longer stunted and starved; age no longer harried by
avarice; the child at play with the tiger; the man with the
muck-rake drinking in the glory of the stars! Foul things
fled, fierce things tame; discord turned to harmony! For
how could there be greed where all had enough? How could
the vice, the crime, the ignorance, the brutality, that
spring from poverty and the fear of poverty, exist where
poverty had vanished? Who should crouch where all were
freemen, who oppress where all were peers? —
Progress & Poverty
— Introductory: The Problem
THIS fact — the great fact that poverty and all its
concomitants show themselves in communities just as they
develop into the conditions toward which material progress
tends — proves that the social difficulties existing
wherever a certain stage of progress has been reached, do
not arise from local circumstances, but are, in some way or
another, engendered by progress itself.
And, unpleasant as it may be to admit it, it is at last
becoming evident that the enormous increase in productive
power which has marked the present
century1, and is
still going on with accelerating ratio, has no tendency to
extirpate poverty or to lighten the burdens of those
compelled to toil. It simply widens the gulf between Dives
and Lazarus, and makes the struggle for existence more
intense. The march of invention has clothed mankind with
powers of which a century ago the boldest imagination could
not have dreamed. But in factories where labor-saving
machinery has reached its most wonderful development,
little children, are at work; wherever the new forces are
anything like fully utilized, large classes are maintained
by charity or live on the verge of recourse to it; amid the
greatest accumulations of wealth, men die of starvation,
and puny infants suckle dry breasts; while everywhere the
greed of gain, the worship of wealth, shows the force of
the fear of want. The promised land lies before us like the
mirage. The fruits of the tree of knowledge turn as we
grasp them to apples of Sodom that crumble at the
touch.
1. Written in
1877.
It is true that wealth has been greatly increased, and
that the average of comfort, leisure, and refinement has.
been raised; but these gains are not general. In them the
lowest class do not share. I do not mean that the condition
of the lowest class has nowhere nor in anything been
improved; but that there is nowhere any improvement which
can be credited to increased productive power. I mean that
the tendency of what we call material progress is in nowise
to improve the condition of the lowest class in the
essentials of healthy, happy human life. Nay, more, that it
is to still further depress the condition of the lowest
class. The new forces, elevating in their nature though
they be, do not act upon the social fabric from underneath,
as was for a long time hoped and believed, but strike it at
a point intermediate between top and bottom. It is as
though an immense wedge were being forced, not underneath
society, but through society. Those who are above the point
of separation are elevated, but those who are below are
crushed down. —
Progress & Poverty
— Introductory: The Problem
THREE thousand years of advance, and still the moan goes
up, "They have made our lives bitter with hard bondage, in
mortar and in brick, and in all manner of service!" Three
thousand years of advance! and the piteous voices of little
children are in the moan. We progress and we progress; we
girdle continents with iron roads and knit cities together
with the mesh of telegraph wires; each day brings some new
invention; each year marks a fresh advance — the
power of production increased, and the avenues of exchange
cleared and broadened. Yet the complaint of "hard times" is
louder and louder; everywhere are men harassed by care, and
haunted by the fear of want. With swift, steady strides and
prodigious leaps, the power of human hands to satisfy human
wants advances and advances, is multiplied and multiplied.
Yet the struggle for mere existence is more and more
intense, and human labor is becoming the cheapest of
commodities. Beside glutted warehouses human beings grow
faint with hunger and shiver with cold; under the shadow of
churches festers the vice that is born of wants. —
Speech: Moses
IF it were possible to express in figures the direct
pecuniary loss which society suffers from the social
mal-adjustments which condemn large classes to poverty and
vice, the estimate would be appalling. England maintains
over a million paupers on official charity; the city of New
York alone spends over seven million dollars a year in a
similar way. But what is spent from public funds, what is
spent by charitable societies, and what is spent in
individual charity, would, if aggregated, be but the first
and smallest item in the account. The potential earnings of
the labor thus going to waste, the cost of the reckless,
improvident and idle habits thus generated, the pecuniary
loss (to consider nothing more) suggested by the appalling
statistics of mortality, and especially infant mortality,
among the poorer classes; the waste indicated by the gin
palaces or low groggeries which increase as poverty
deepens; the damage done by the vermin of society that are
bred of poverty and destitution — the thieves,
prostitutes, beggars, and tramps; the cost of guarding
society against them, are all items in the sum which the
present unjust and unequal distribution of wealth takes
from the aggregate which, with present means of production,
society might enjoy. —
Progress & Poverty
— Book IX, Chapter 2: Effects of the Remedy, upon
distribution and thence on production
FIVE centuries ago the wealth-producing power of England,
man for man, was small indeed compared with what it is now.
Not merely were all the great inventions and discoveries
which since the Introduction of steam have revolutionized
mechanical industry then undreamed of, but even agriculture
was far ruder and less productive. Artificial grasses had
not been discovered. The potato, the carrot, the turnip,
the beet, and many other plants and vegetables which the
farmer now finds most prolific, had not been introduced.
The advantages which ensue from rotation of crops were
unknown. Agricultural implements consisted of the spade,
the sickle, the flail, the rude plow and the harrow. Cattle
had not been bred to more than one-half the size they
average now, and sheep did not yield half the fleece.
Roads, where there were roads, were extremely bad, wheel
vehicles scarce and rude, and places a hundred miles from
each other were, in difficulties of transportation,
practically as far apart as London and Hong Kong, or San
Francisco and New York, are now.
Yet patient students of those times tell us that the
condition of the English laborer was not only relatively,
but absolutely better in those rude times than it is in
England today, after five centuries of advance in the
productive arts. They tell us that the workingman did not
work so hard as he does now, and lived better; that he was
exempt from the harassing dread of being forced by loss of
employment to want and beggary, or of leaving a family that
must apply to charity to avoid I starvation. Pauperism as
it prevails in the rich England of the nineteenth century
was in the far poorer England of the fourteenth century
absolutely unknown. Medicine was empirical and
superstitious, sanitary regulations and precautions were
all but unknown. There were frequently plague and
occasionally famine, for, owing to the difficulties of
transportation, the scarcity of one district could not "be
relieved by the plenty of another. But men did not as they
do now, starve in the midst of abundance; and what is
perhaps the most significant fact of all is that not only
were women and children not worked as they are today, but
the eight-hour system, which even the working classes of
the United States, with all the profusion of labor-saving
machinery and appliances have not yet attained, was then
the common system! — Protection or Free
Trade — Chapter 22: The Real Weakness of Free
Trade. abridged
•
econlib
The Savage and the Modern Workman
THE aggregate produce of the labor of a savage tribe is
small, but each member is capable of an independent life.
He can build his own habitation, hew out or stitch together
his own canoe, make his own clothing, manufacture his own
weapons, snares, tools and ornaments. He has all the
knowledge of nature possessed by his tribe — knows
what vegetable productions are fit for food, and where they
maybe found; knows the habits and resorts of beasts, birds,
fishes and insects; can pilot himself by the sun or the
stars, by the turning of blossoms or the mosses on the
trees; is, in short, capable of supplying all his wants. He
may be cut off from his fellows and still live; and thus
possesses an independent power which makes him a free
contracting party in his relations to the community of
which he is a member.
Compare with this savage the laborer in the lowest ranks of
civilized society, whose life is spent in producing but one
thing, or oftener but the infinitesimal part of one thing,
out of the multiplicity of things that constitute the
wealth of society and go to supply even the most primitive
wants; who not only cannot make even the tools required for
his work, but often works with tools that he does not own,
and can never hope to own. Compelled to even closer and
more continuous labor than the savage, and gaining by it no
more than the savage gets — the mere necessaries of
life — he loses the independence of the savage. He is
not only unable to apply his own powers to the direct
satisfaction of his own wants, but, without the concurrence
of many others, he is unable to apply them indirectly to
the satisfaction of his wants. He is a mere link in an
enormous chain of producers and consumers, helpless to
separate himself, and helpless to move, except as they
move. The worse his position in society, the more dependent
is he on society; the more utterly unable does he become to
do anything for himself. The very power of exerting his
labor for the satisfaction of his wants passes from his own
control, and may be taken away or restored by the actions
of others, or by general causes over which he has no more
influence than he has over the motions of the solar system.
The primeval curse comes to be looked upon as a boon, and
men think, and talk, and clamor, and legislate as though
monotonous manual labor in itself were a good and not an
evil, an end and not a means. Under such circumstances, the
man loses the essential quality of manhood — the
godlike power of modifying and controlling conditions. He
becomes a slave, a machine, a commodity — a thing, in
some respects, lower than the animal.
I am no sentimental admirer of the savage state. I do not
get my ideas of the untutored children of nature from
Rousseau, or Chateaubriand, or Cooper. I am conscious of
its material and mental poverty, and its low and narrow
range. I believe that civilization is not only the natural
destiny of man, but the enfranchisement, elevation, and
refinement of all his powers, and think that it is only in
such moods as may lead him to envy the cud-chewing cattle,
that a man who is free to the advantages of civilization
could look with regret upon the savage state. But,
nevertheless, I think no one who will open his eyes to the
facts, can resist the conclusion that there are in the
heart of our civilization large classes with whom the
veriest savage could not afford to exchange. It is my
deliberate opinion that if, standing on the threshold of
being, one were given the choice of entering life as a
Terra del Fuegan, a black fellow of Australia, an Esquimaux
in the Arctic Circle, or among the lowest classes in such a
highly civilized country as Great Britain, he would make
infinitely the better choice in selecting the lot of the
savage. For those classes who in the midst of wealth are
condemned to want, suffer all the privations of the savage,
without his sense of personal freedom; they are condemned
to more than his narrowness and littleness, without
opportunity for the growth of his rude virtues; if their
horizon is wider, it is but to reveal blessings that they
cannot enjoy. —
Progress & Poverty
— Book V, Chapter 2: The Problem Solved: The
Persistence of Poverty Amid Advancing Wealth
Poverty Unnatural
OR let him go to Edinburgh, the "modern Athens," of which
Scotsmen speak with pride, and in buildings from
whose roofs a bowman might strike the spires of twenty
churches he will find human beings living as he would not
keep his meanest dog. Let him toil up the stairs of one of
those monstrous buildings, let him enter one of those "dark
houses," let him close the door, and in the blackness think
what life must be in such a place. Then let him try the
reduction to iniquity. And if he go to that good charity
(but, alas! how futile is Charity without Justice!) where
little children are kept while their mothers are at work,
and children are fed who would otherwise go hungry, he may
see infants whose limbs are shrunken from want of
nourishment. Perhaps they may tell him, as they told me, of
that little girl, barefooted, ragged, and hungry, who, when
they gave her bread, raised her eyes and clasped her hands,
and thanked our Father in Heaven for His bounty to her.
They who told me that never dreamed, I think, of its
terrible meaning. But I ask the Duke of Argyll, did that
little child, thankful for that poor dole, get what our
Father provided for her? Is He so niggard? If not, what is
it, who is it, that stands, between such children and our
Father's bounty? If it be an institution, is it not our
duty to God and to our neighbor to rest not till we destroy
it? If it be a man, were it not better for him that a
millstone were hanged about his neck and he were cast into
the depths of the sea? — The Reduction to
Iniquity (a reply to the Duke of Argyll), The Nineteenth
Century, July, 1884
WE are so accustomed to poverty that even in the most
advanced countries we regard it as the natural lot of the
great masses of the people; that we take it as a matter of
course that even in our highest civilization large classes
should want the necessaries of healthful life, and the vast
majority should only get a poor and pinched living by the
hardest toil. There are professors of political
economy who teach that this condition of things is the
result of social laws of which it is idle to
complain! There are ministers of religion who preach
that this is the condition which an all-wise, all-powerful
Creator intended for His children! If an architect were to
build a theater so that not more than one-tenth of the
audience could see and hear, we should call him a bungler
and a botcher. If a man were to give a feast and provide so
little food that nine-tenths of his guests must go away
hungry, we should call him a fool, or worse. Yet so
accustomed are we to poverty, that even the preachers of
what passes for Christianity tell us that the great
Architect of the Universe, to whose infinite skill all
nature testifies, has made such a botch job of this world
that the vast majority of the human creatures whom He has
called into it are condemned by the conditions he has
imposed to want, suffering, and brutalizing toil that gives
no opportunity for the development of mental powers —
must pass their lives in a hard struggle to merely live!
—
Social Problems — Chapter 8: That We All Might Be
Rich
Nature Inexhaustible
THAT man cannot exhaust or lessen the powers of nature
follows from the indestructibility of matter and the
persistence of force. Production and consumption are only
relative terms. Speaking absolutely, man neither produces
nor consumes. The whole human race, were they to labor to
infinity, could not make this rolling sphere one atom
heavier or one atom lighter, could not add to or diminish
by one iota the sum of the forces whose everlasting
circling produces all motion and sustains all life. As the
water that we take from the ocean must again return to the
ocean, so the food we take from the reservoirs of nature
is, from the moment we take it, on its way back to those
reservoirs. What we draw from a limited extent of land may
temporarily reduce the productiveness of that land, because
the return may be to other land, or may be divided between
that land and other land, or perhaps, all land; but this
possibility lessens with increasing area, and ceases when
the whole globe is considered. —
Progress & Poverty
— Book II, Chapter 3: Population and Subsistence:
Inferences from Analogy
LIFE does not use up the forces that maintain life. We come
into the material universe bringing nothing; we take
nothing away when we depart. The human being, physically
considered, is but a transient form of matter, a changing
mode of motion. The matter remains and the force persists.
Nothing is lessened, nothing is weakened. And from this it
follows that the limit to the population of the globe can
only be the limit of space. —
Progress & Poverty
— Book II, Chapter 3: Population and Subsistence:
Inferences from Analogy
More Men, More Yield
DOES not the fact that all of the things
which furnish man's subsistence have the power to multiply
many fold — some of them many thousand fold, and some
of them many million or even billion fold — while he
is only doubling his numbers, show that, let human beings
increase to the full extent of their reproductive power,
the increase of population can never exceed subsistence?
This is clear when it is remembered that though in the
vegetable and animal kingdoms each species, by virtue of
its reproductive power, naturally and necessarily presses
against the conditions which limit its further increase,
yet these conditions are nowhere fixed and final. No
species reaches the ultimate limit of soil, water, air, and
sunshine; but the actual limit of each is in the existence
of other species, its rivals, its enemies, or its food.
Thus the conditions which limit the existence of such of
these species as afford him subsistence man can extend
(in some cases his mere appearance will extend them), and
thus the reproductive forces of the species which supply
his wants, instead of wasting themselves against their
former limit, start forward in his service at a pace which
his powers of increase cannot rival. If he but shoot hawks,
food-birds will increase: if he but trap foxes the wild
rabbits will multiply; the bumble bee moves with the
pioneer, and on the organic matter with which man's
presence fills the rivers, fishes feed. —
Progress & Poverty
— Book II, Chapter 3: Population and Subsistence:
Inferences from Analogy
IF bears instead of men had been shipped from Europe to the
North American continent, there would now be no more bears
than in the time of Columbus, and possibly fewer, for bear
food would not have been increased nor the conditions of
bear life extended, by the bear immigration, but probably
the reverse. But within the limits of the United States
alone, there are now forty-five millions of men where then
there were only a few hundred thousand, and yet there is
now within that territory much more food per capita for the
forty-five millions than there was then for the few hundred
thousand. It is not the increase of food that has caused
this increase of men; but the increase of men that has
brought about the increase of food. There is more food,
simply because there are more Man. —
Progress & Poverty
— Book II, Chapter 3: Population and Subsistence:
Inferences from Analogy
TWENTY men working together will, where nature is
niggardly, produce more than twenty times the wealth that
one man can produce where nature is most bountiful. The
denser the population the more minute becomes the
subdivision of labor, the greater the economies of
production and distribution, and, hence, the very reverse
of the Malthusian doctrine is true; and, within the limits
in which we have any reason to suppose increase would still
go on, in any given state of civilization a greater number
of people can produce a larger proportionate amount of
wealth and more fully supply their wants, than can a
smaller number. —
Progress & Poverty
— Book II, Chapter 4: Population and Subsistence:
Disproof of the Malthusian Theory
Social
Study
I BELIEVE that in a really Christian community, in a
society that honored, not with the lips but with the act,
the doctrines of Jesus, no one would have occasion to worry
about physical needs any more than do the lilies of the
field. There is enough and to spare. The trouble is that,
in this mad struggle, we trample in the mire what has been
provided in sufficiency for us all; trample it in the mire
while we tear and rend each other. — The Crime of Poverty
WHOSE fault is it that social conditions are such that men
have to make that terrible choice between what conscience
tells them is right, and the necessity of earning a living?
I hold that it is the fault of society; that it is the
fault of us all. Pestilence is a curse. The man who would
bring cholera to this country, or the man who, having the
power to prevent its coming here, would make no effort to
do so, would be guilty of a crime. Poverty is worse than
cholera; poverty kills more people than pestilence, even in
the best of times. Look at the death statistics of our
cities; see where the deaths come quickest; see where it is
that the little children die like flies — it is in
the poorer quarters. And the man who looks with careless
eyes upon the ravages of this pestilence; the man who does
not set himself to stay and eradicate it, he, I say, is
guilty of a crime. — The Crime of Poverty
SOCIAL progress makes the well-being of all more and more
the business of each; it binds all closer and closer
together in bonds from which none can escape. He who
observes the law and the proprieties, and cares for his
family, yet takes no interest in the general weal, and
gives no thought to those who are trodden underfoot, save
now and then to bestow alms, is not a true Christian. Nor
is he a good citizen. —
Social Problems —
Chapter 1, the Increasing Importance of Social
Questions
WE cannot safely leave politics to politicians, or
political economy to college professors. The people
themselves must think, because the people alone can act.
—
Social Problems —
Chapter 1, the Increasing Importance of Social
Questions
"Wise" and
"Babes"
IT is as bad for a man to think that he can know nothing as
to think he knows all. There are things which it is given
to all possessing reason to know, if they will but use that
reason. And some things it may be there are, that —
as was said by one whom the learning of the time sneered
at, and the high priests persecuted, and polite society,
speaking through the voice of those who knew not what they
did, crucified — are hidden from the wise and prudent
and revealed unto babes. — A Perplexed Philosopher
(Conclusion)
THAT thought on social questions is so confused and
perplexed, that the aspirations of great bodies of men,
deeply though vaguely conscious of injustice, are in all
civilized countries being diverted to futile and dangerous
remedies, is largely due to the fact that those who assume
and are credited with superior knowledge of social and
economic laws have devoted their powers, not to showing
where the injustice lies but to hiding it; not to clearing
common thought but to confusing it. — A Perplexed Philosopher
(Conclusion)
POLITICAL economy is the simplest of the sciences. It is
but the intellectual recognition, as related to social
life, of laws which in their moral aspect men instinctively
recognize, and which are embodied in the simple teachings
of him whom the common people heard gladly. But, like
Christianity, political economy has been warped by
institutions which, denying the equality and brotherhood of
man, have enlisted authority, silenced objection, and
ingrained themselves in custom and habit of thought.
— Protection or Free Trade, Chapter 1
econlib
Power of Thought
THE power of a special interest, though
inimical to the general interest, so to influence common
thought as to make fallacies pass as truths, is a great
fact, without which neither the political history of our
own time and people, nor that of other times and peoples,
can be understood. A comparatively small number of
individuals brought into virtual though not necessarily
formal agreement of thought and action by something that
makes them individually wealthy without adding to the
general wealth, may exert an influence out of all
proportion to their numbers. A special interest of this
kind is, to the general interests of society, as a standing
army is to an unorganized mob. It gains intensity and
energy in its specialization, and in the wealth it takes
from the general stock finds power to mold opinion. Leisure
and culture and the circumstances and conditions that
command respect accompany wealth, and intellectual ability
is attracted by it. On the other hand, those who suffer
from the injustice that takes from the many to enrich the
few, are in that very thing deprived of the leisure to
think, and the opportunities, education, and graces
necessary to give their thought acceptable expression. They
are necessarily the "unlettered," the "ignorant," the
"vulgar," prone in their consciousness of weakness to look
up for leadership and guidance to those who have the
advantages that the possession of wealth can give. —
The Science of Political Economy — Book II,
Chapter 2, The Nature of Wealth: Causes of Confusion as to
the Meaning of Wealth
unabridged • abridged
WE may be wise to distrust our knowledge; and, unless we
have tested them, to distrust what we may call our
reasonings; but never to distrust reason itself. . . . That
the powers with which the human reason must work are
limited and are subject to faults and failures, our reason
itself teaches us as soon as it begins to examine what we
find around us and to endeavor to look in upon our own
consciousness. But human reason is the only reason that men
can have, and to assume that in so far as it can see
clearly it does not see truly, is in the man who does it
not only to assume the possession of a superior to human
reason, but it is to deny the validity of all thought and
to reduce the mental world to chaos. —
The Science of Political Economy
— Book III, Chapter 5, The Production of Wealth: Of
Space and Time (unabridged)
SOCIAL reform is not to be secured by noise and shouting;
by complaints and denunciation; by the formation of
parties, or the making of revolutions; but by the awakening
of thought and the progress of ideas. Until there be
correct thought, there cannot be right action; and when
there is correct thought, right action will follow. Power
is always in the hands of the masses of men. What oppresses
the masses is their own ignorance, their own short-sighted
selfishness. —
Social Problems
— Chapter 22: Conclusion
LET no one imagine that he has no influence. Whoever he may
be, and wherever he may be placed, the man who thinks
becomes a light and a power. —
Social Problems
— Chapter 22: Conclusion
— of Women as of
Men
I AM convinced that we make a great mistake
in depriving one sex of voice in public matters, and that
we could in no way so increase the attention, the
intelligence and the devotion which may be brought to the
solution of social problems as by enfranchising our women.
Even if in a ruder state of society the intelligence of one
sex suffices for the management of common interests, the
vastly more intricate, more delicate and more important
questions which the progress of civilization makes of
public moment, require the intelligence of women as of men,
and that we never can obtain until we interest them in
public affairs. And I have come to believe that very much
of the inattention, the flippancy, the want of conscience,
which we see manifested in regard to public matters of the
greatest moment, arises from the fact that we debar our
women from taking their proper part in these matters.
Nothing will fully interest men unless it also interests
women. There are those who say that women are less
intelligent than men; but who will say that they are less
influential? —
Social Problems
— Chapter 22: Conclusion
THE power to reason correctly on general subjects is not to
be learned in schools, nor does it come with special
knowledge. It results from care in separating, from caution
in combining, from the habit of asking ourselves the
meaning of the words we use and making sure of one step
before building another on it — and above all, from
loyalty to truth. —
A Perplexed Philosopher
(Introduction: The Reason for this Examination)
Economic Terms: Land
THE term Land in political economy means the natural or
passive element in production, and includes the whole
external world accessible to man, with all its powers,
qualities, and products, except perhaps those portions of
it which are for the time included in man's body or in his
products, and which therefore temporarily belong to the
categories, man and wealth, passing again in their
reabsorption by nature into the category, land. —
The Science of Political Economy —
unabridged: Book III, Chapter 14: The Production of Wealth,
Order of the Three Factors of Production •
abridged:
Part III, Chapter 10: Order of the Three Factors of
Production
THAT land is only a passive factor in production must be
carefully kept in mind. . . . Land cannot act, it can only
be acted upon. . . . Nor is this principle changed or
avoided when we use the word land as expressive of the
people who own land. . . .
That the persons whom we call landowners may contribute
their labor or their capital to production is of course
true, but that they should contribute to production as
landowners, and by virtue of that ownership, is as
ridiculously impossible as that the belief of a lunatic in
his ownership of the moon should be the cause of her
brilliancy. — The Science of Political
Economy
unabridged: Book III, Chapter 15, The Production of Wealth:
The First Factor of Production — Land •
abridged:
Part III, Chapter 10: Order of the Three Factors of
Production
I AM writing these pages on the shore of Long Island,
where the Bay of New York contracts to what is called the
Narrows, nearly opposite the point where our legalized
robbers, the Custom-House officers, board incoming steamers
to ask strangers to take their first American swear, and
where, if false oaths really colored the atmosphere the air
would be bluer than is the sky on this gracious day. I turn
from my writing-machine to the window, and drink in, with a
pleasure that never seems to pall, the glorious
panorama.
"What do you see?" If in ordinary talk I were asked
this, I should of course say, "I see land and water and
sky, ships and houses, and light clouds, and the sun
drawing to its setting over the low green hills of Staten
Island and illuminating all."
But if the question refer to the terms of political
economy, I should say, "I see land and wealth." Land, which
is the natural factor of production; and wealth, which is
the natural factor so changed by the exertion of the human
factor, labor, as to fit it for the satisfaction of human
desires. For water and clouds, sky and sun, and the stars
that will appear when the sun is sunk, are, in the
terminology of political economy, as much land as is the
dry surface of the earth to which we narrow the meaning of
the word in ordinary talk. And the window through which I
look; the flowers in the garden; the planted trees of the
orchard; the cow that is browsing beneath them; the Shore
Road under the window; the vessels that lie at anchor near
the bank, and the little pier that juts out from it; the
trans-Atlantic liner steaming through the channel; the
crowded pleasure-steamers passing by; the puffing tug with
its line of mud-scows; the fort and dwellings on the
opposite side of the Narrows; the lighthouse that will soon
begin to cast its far-gleaming eye from Sandy Hook; the big
wooden elephant of Coney Island; and the graceful sweep of
the Brooklyn Bridge, that may be discovered from a little
higher up; all alike fall into the economic term wealth
— land modified by labor so as to afford satisfaction
to human desires. All in this panorama that was before man
came here, and would remain were he to go, belongs to the
economic category land; while all that has been produced by
labor belongs to the economic category wealth, so long as
it retains its quality of ministering to human
desire.
But on the hither shore, in view from the window, is a
little rectangular piece of dry surface, evidently
reclaimed from the line of water by filling in with rocks
and earth. What is that? In ordinary speech it is land, as
distinguished from water, and I should intelligibly
indicate its origin by speaking of it as "made land." But
in the categories of political economy there is no place
for such a term as "made land." For the term land refers
only and exclusively to productive powers derived wholly
from nature and not at all from industry, and whatever is,
and in so far as it is, derived from land by the exertion
of labor, is wealth. This bit of dry surface
raised above the level of the water by filling in stones
and soil, is, in the economic category, not land but
wealth. It has land below it and around it, and the
material of which it is composed has been drawn from land;
but in itself it is, in the proper speech of political
economy, wealth; just as truly as the ships I behold are
not land but wealth, though they too have land below them
and around them and are composed of material drawn from
land. — The Science of Political Economy
unabridged: Book IV, Chapter 6, The Distribution of Wealth:
Cause of Confusion as to Property • abridged
Labor
THE term Labor includes all human exertion in
the production of wealth, whatever its mode. In common
parlance we often speak of brain labor and hand labor as
though they were entirely distinct kinds of exertion, and
labor is often spoken of as though it involved only
muscular exertion. But in reality any form of labor, that
is to say, any form of human exertion in the production of
wealth above that which cattle may be applied to doing,
requires the human brain as truly as the human hand, and
would be impossible without the exercise of mental
faculties on the part of the laborer. Labor in fact is only
physical in external form. In its origin it is mental or on
strict analysis spiritual. — The Science of
Political Economy
unabridged: Book III, Chapter 16: The Production of Wealth,
The Second Factor of Production — Labor
• abridged:
Part III, Chapter 10: Order of the Three Factors of
Production
IT seems to us that your Holiness misses its real
significance in intimating that Christ in becoming the son
of a carpenter and Himself working as a carpenter showed
merely that "there is nothing to be ashamed of in seeking
one's bread by labor." To say that is almost like saying
that by not robbing people He showed that there is nothing
to be ashamed of in honesty. If you will consider how true
in any large view is the classification of all men into
working-men, beggar-men and thieves, you will see that it
was morally impossible that Christ during His stay on earth
should have been anything else than a working-man, since He
who came to fulfill the law must by deed as well as word
obey God's law of labor.
See how fully and how beautifully Christ's life on earth
illustrated this law. Entering our earthly life in the
weakness of infancy, as it is appointed that all should
enter it, He lovingly took what in the natural order is
lovingly rendered, the sustenance, secured by labor, that
one generation owes to its immediate successors. Arrived at
maturity, He earned His own subsistence by that common
labor in which the majority of men must and do earn it.
Then passing to a higher — to the very highest-sphere
of labor. He earned His subsistence by the teaching of
moral and spiritual truths, receiving its material wages in
the love offerings of grateful hearers, and not refusing
the costly spikenard with which Mary anointed his feet. So,
when He chose His disciples, He did not go to land-owners
or other monopolists who live on the labor of others but to
common laboring men. And when He called them to a higher
sphere of labor and sent them out to teach moral and
spiritual truths He told them to take, without
condescension on the one hand, or sense of degradation on
the other, the loving return for such labor, saying to them
that the "laborer is worthy of his hire," thus showing,
what we hold, that all labor does not consist in what is
called manual labor, but that whoever helps to add to the
material, intellectual, moral, or spiritual fulness of life
is also a laborer. - The Condition of
Labor
NOR should it be forgotten that the investigator, the
philosopher, the teacher, the artist, the poet, the priest,
though not engaged in the production of wealth, are not
only engaged in the production of utilities and
satisfactions to which the production of wealth is only a
means, but by acquiring and diffusing knowledge,
stimulating mental powers and elevating the moral sense,
may greatly increase the ability to produce wealth. For man
does not live by bread alone. He is not an engine, in which
so much fuel gives so much power. On a capstan bar or a
topsail halyard a good song tells like muscle, and a
"Marseillaise" or a "Battle Hymn of the Republic" counts
for bayonets. A hearty laugh, a noble thought, a perception
of harmony, may add to the power of dealing even with
material things.
He who by any exertion of mind or body adds to the
aggregate of enjoyable wealth, increases the sum of human
knowledge or gives to human life higher elevation or
greater fulness — he is, in the large meaning of the
words, a "producer," a "working-man," a "laborer," and is
honestly earning honest wages. But he who without doing
aught to make mankind richer, wiser, better, happier, lives
on the toil of others — he, no matter by what name of
honor he may be I called, or how lustily the priests of
Mammon may swing their censers before him, is in the last
analysis but a beggarman or a thief. — Protection
or Free Trade, Chapter 7
econlib
"Capital"
CAPITAL, which is not in itself a distinguishable element,
but which it must always be kept in mind consists of wealth
applied to the aid of labor in further production, is not a
primary factor. There can be production without it, and
there must have been production without it, or it could not
in the first place have appeared. It is a secondary and
compound factor, coming after and resulting from the union
of labor and land in the production of wealth. It is in
essence labor raised by a second union with land to a third
or higher power. But it is to civilized life so necessary
and important as to be rightfully accorded in political
economy the place of a third factor in production. —
The Science of Political Economy
unabridged: Book III, Chapter 17, The Production of Wealth:
The Third Factor of Production — Capital •
abridged:
Part III, Chapter 10: Order of the Three Factors of
Production
IT is to be observed that capital of itself can do nothing.
It is always a subsidiary, never an initiatory, factor. The
initiatory factor is always labor. That is to say, in the
production of wealth labor always uses capital, is never
used by capital. This is not merely literally true, when by
the term capital we mean the thing capital. It is also true
when we personify the term and mean by it not the thing
capital, but the men who are possessed of capital. The
capitalist pure and simple, the man who merely controls
capital, has in his hands the power of assisting labor to
produce. But purely as capitalist he cannot exercise that
power. It can be exercised only by labor. To utilize it he
must himself exercise at least some of the functions of
labor, or he must put his capital, on some terms, at the
use of those who do. — The Science of Political
Economy
unabridged: Book III, Chapter 17, The Production of Wealth:
The Third Factor of Production — Capital •
abridged:
Part III, Chapter 10: Order of the Three Factors of
Production
THUS we must exclude from the category of capital
everything that may be included either as land or labor.
Doing so, there remain only things which are neither land
nor labor, but which have resulted from the union of these
two original factors of production. Nothing can be properly
capital that does not consist of these — that is to
say, nothing can be capital that is not wealth. —
Progress & Poverty
— Book I, Chapter 2: Wages and Capital: The Meaning
of the Terms
THUS, a government bond is not capital, nor yet is it the
representative of capital. The capital that was once
received for it by the government has been consumed
unproductively — blown away from the mouths of
cannon, used up in war ships, expended in keeping men
marching and drilling, killing and destroying. The bond
cannot represent capital that has been destroyed. It does
not represent capital at all. It is simply a solemn
declaration that the government will, some time or other,
take by taxation from the then existing stock of the
people, so much wealth, which it will turn over to the
holder of the bond; and that, in the meanwhile, it will,
from time to time, take, in the same way, enough to make up
to the holder the increase which so much capital as it some
day promises to give him would yield him were it actually
in his possession. The immense sums which are thus taken
from the produce of every modern country to pay interest on
public debts are not the earnings or increase of capital
— are not really interest in the strict sense of the
term, but are taxes levied on the produce of labor and
capital, leaving so much less for wages and so much less
for real interest. —
Progress & Poverty
— Book III, Chapter 4: The Laws of Distribution: Of
Spurious Capital and of Profits Often Mistaken For
Interest
CAPITAL, as we have seen, consists of wealth used for
the procurement of more wealth, as distinguished from
wealth used for the direct satisfaction of desire; or, as I
think it may be defined, of wealth in the course of
exchange.
Capital, therefore, increases the power of labor to produce
wealth: (1) By enabling labor to apply itself in more
effective ways, as by digging up clams with a spade instead
of the hand, or moving a vessel by shoveling coal into a
furnace, instead of tugging at an oar. (2) By enabling
labor to avail itself of the reproductive forces of nature,
as to obtain corn by sowing it, or animals by breeding
them. (3) By permitting the division of labor, and thus, on
the one hand, increasing the efficiency of the human factor
of wealth, by the utilization of special capabilities, the
acquisition of skill, and the reduction of waste; and, on
the other, calling in the powers of the natural factor at
their highest, by taking advantage of the diversities of
soil, climate and situation, so as to obtain each
particular species of wealth where nature is most favorable
to its production.
Capital does not supply the materials which labor works up
into wealth, as is erroneously taught; the materials of
wealth are supplied by nature. But such materials partially
worked up and in the course of exchange are capital.
—
Progress & Poverty
— Book I, Chapter 5: Wages and Capital: The Real
Functions of Capital
"Value"
THE phenomena of value are at bottom illustrations of one
principle. The value of everything produced by labor, from
a pound of chalk or a paper of pins to the elaborate
structure and appurtenances of a first-class ocean steamer,
is resolvable on analysis into an equivalent of the labor
required to reproduce such a thing in form and place; while
the value of things not produced by labor, but nevertheless
susceptible of ownership, is, in the same way, resolvable
into an equivalent of the labor which the ownership of such
a thing enables the owner to obtain or save. —
A
Perplexed Philosopher (Mr.
Spencer's Confusion As To Value)
"Wealth"
WHEN we speak of a community increasing in wealth we do not
mean to say that there is more land, or that the natural
powers of the land are greater, or that there are more
people (for when we wish to express that idea we speak of
increase of population) or that the debts or dues owing by
some of these people to others of their number have
increased; but we mean that there is an increase of certain
tangible things, having an actual and not merely a relative
value — such as buildings, cattle, tools, machinery,
agricultural and mineral products, manufactured goods,
ships, wagons, furniture and the like. . . . The common
character of these things is that they consist of natural
substances or products which have been adapted by human
labor to human use or gratification, their value depending
on the amount of labor which upon the average would be
required to produce things of like kind.—
Progress & Poverty
— Book I, Chapter 2: Wages and Capital: The Meaning
of the Terms
WEALTH is not the sole object of labor, for labor is also
expended in ministering directly to desire; but it is the
object and result of what we call productive labor —
that is, labor which gives value to material things.
Nothing which nature supplies to man without his labor is
wealth, nor yet does the expenditure of labor result in
wealth unless there is a tangible product which has and
retains the power of ministering to desire. —
Progress & Poverty
— Book I, Chapter 2: Wages and Capital: The Meaning
of the Terms
IT will be well for a moment to consider this idea of
accumulated wealth. The truth is, that wealth can be
accumulated but to a slight degree, and that communities
really live, as the vast majority of individuals live, from
hand to mouth. Wealth will not bear much accumulation;
except in a few unimportant forms it will not keep. The
matter of the universe, which, when worked up by labor into
desirable forms, constitutes wealth, is constantly tending
back to its original state. Some forms of wealth will last
for a few hours, some for a few days, some for a few
months, some for a few years; and there are very few forms
of wealth that can be passed from one generation to
another. Take wealth in some of its most useful and
permanent forms — ships, houses, railways, machinery.
Unless labor is constantly exerted in preserving and
renewing them, they will almost immediately become useless.
Stop labor in any community, and wealth would vanish almost
as the jet of a fountain vanishes when the flow of water is
shut off. Let labor again exert itself, and wealth will
almost as immediately reappear. Accumulated wealth seems to
play just about such a part in relation to the social
organism as accumulated nutriment does to the physical
organism. Some accumulated wealth is necessary, and to a
certain extent it may be drawn upon in exigencies; but the
wealth produced by past generations can no more account for
the consumption of the present than the dinners he ate last
year can supply a man with present strength. —
Progress & Poverty
— Book II, Chapter 4: Population and Subsistence:
Disproof of the Malthusian Theory
"Wages"
THE term labor includes all human exertion in the
production of wealth, and wages, being that part of the
produce which goes to labor, includes all reward for such
exertion. There is, therefore, in the politico-economic
sense of the term wages no distinction as to the kind of
labor, or as to whether its reward is received through an
employer or not, but wages means the return received for
the exertion of labor, as distinguished from the return
received for the use of capital, and the return received by
the landholder for the use of land. —
Progress & Poverty
— Book I, Chapter 2: Wages and Capital: The Meaning
of the Terms
I AM aware that the theorem that wages are drawn from
capital is one of the most fundamental and apparently best
settled of current political economy, and that it has been
accepted as axiomatic by all the great thinkers who have
devoted their powers to the elucidation of the science.
Nevertheless, I think it can be demonstrated to be a
fundamental error — the fruitful parent of a long
series of errors, which vitiate most important practical
conclusions. —
Progress & Poverty
— Book I, Chapter 3: Wages and Capital: Wages not
drawn from capital, but produced by the labor
THE fundamental truth, that in all economic reasoning must
be firmly grasped and never let go, is that society in its
most highly developed form is but an elaboration of society
in its rudest beginnings, and that principles obvious in
the simpler relations of men are merely disguised and not
abrogated or reversed by the more intricate relations that
result from the division of labor and the use of complex
tools and methods. . . . And so, if we reduce to their
lowest terms all the complex operations of modern
production, we see that each individual who takes part in
this infinitely subdivided and intricate network of
production and exchange is really doing what the primeval
man did when he climbed the trees for fruit or followed the
receding tide for shellfish — endeavoring to obtain
from nature by the exertion of his powers the satisfaction
of his desires. If we keep this firmly in mind, if we look
upon production as a whole — as the co-operation of
all embraced in any of its great groups to satisfy the
various desires of each, we plainly see that the reward
each obtains for his exertions comes as truly and as
directly from nature as the result of that exertion, as did
that of the first man.
To illustrate: In the simplest state of which we can
conceive, each man digs his own bait and catches his own
fish. The advantage of the division of labor soon becomes
apparent, and one digs bait while the others fish. Yet
evidently the one who digs bait is in reality doing as much
toward the catching of fish as any of those who actually
take the fish. So when the advantages of canoes are
discovered, and instead of all going a-fishing, one stays
behind and makes and repairs canoes, the canoe-maker is in
reality devoting his labor to the taking of fish as much as
the actual fishermen, and the fish which he eats at night
when the fishermen come home, are as truly the product of
his labor as of theirs. And thus when the division of labor
is fairly inaugurated, and instead of each attempting to
satisfy all of his wants by direct resort to nature, one
fishes, another hunts, a third picks berries, a fourth
gathers fruit, a fifth makes tools, a sixth builds huts,
and a seventh prepares clothing — each one is, to the
extent he exchanges the direct product of his own labor for
the direct product of the labor of others, really applying
his own labor to the production of the things he uses
— is in effect satisfying his particular desires by
the exertion of his particular powers; that is to say, what
he receives he in reality produces. —
Progress & Poverty
— Book I, Chapter 1: Wages and Capital: The Current
Doctrine of Wages — Its Insufficiency
How the Worker Creates His Wages
THE laborer who receives his wages in money (coined or
printed, it may be, before his labor commenced) really
receives in return for the addition his labor has made to
the general stock of wealth, a draft upon that general
stock, which he may utilize in any particular form of
wealth that will best satisfy his desires; and neither the
money, which is but the draft, nor the particular form of
wealth which he uses it to call for, represents advances of
capital for his maintenance, but on the contrary represents
the wealth, or a portion of the wealth, his labor has
already added to the general stock. —
Progress & Poverty
— Book I, Chapter 1: Wages and Capital: The Current
Doctrine of Wages — Its Insufficiency
THE miner who, two thousand feet underground in the heart
of the Comstock, is digging out silver ore, is in effect;
by virtue of a thousand exchanges, harvesting crops in
valleys five thousand feet nearer the earth's center;
chasing the whale through Arctic icefields; plucking
tobacco leaves in Virginia; picking coffee berries in
Honduras; cutting sugar cane on the Hawaiian Islands;
gathering cotton in Georgia or weaving it in Manchester or
Lowell; making quaint wooden toys for his children in the
Hartz Mountains; or plucking amid the green and gold of Los
Angeles orchards the oranges which, when his shift is
relieved, he will take home to his sick wife. The wages
which he receives on Saturday night at the mouth of the
shaft, what are they but the certificate to all the world
that he has done these things — the primary exchange
in the long series which transmutes his labor into the
things he has really been laboring for? —
Progress & Poverty
— Book I, Chapter 1: Wages and Capital: The Current
Doctrine of Wages — Its Insufficiency
LABOR always precedes wages. This is as universally true of
wages received by the laborer from an employer as it is of
wages taken directly by the laborer who is his own
employee. In the one class of cases as in the other, reward
is conditioned upon exertion. Paid sometimes by the day,
oftener by the week or month, occasionally by the year, and
in many branches of production by the piece, the payment of
wages by an employer to an employee always implies the
previous rendering of labor by the employee for the benefit
of the employer, for the few cases in which advance
payments are made for personal services are evidently
referable either to charity or to guarantee and purchase.
—
Progress & Poverty
— Book I, Chapter 3: Wages and Capital: Wages not
drawn from capital, but produced by the labor
THE payment of wages always implies the previous rendering
of labor. Now, what does the rendering of labor in
production imply? Evidently the production of wealth,
which, if it is to be exchanged or used in production, is
capital. Therefore, the payment of capital in wages
pre-supposes a production of capital by the labor for which
the wages are paid. And as the employer generally makes a
profit, the payment of wages is, so far as he is concerned,
but the return to the laborer of a portion of the capital
he has received from the labor. So far as the employee is
concerned, it is but the receipt of a portion of the
capital his labor has previously produced. As the value
paid in the wages is thus exchanged for a value brought
into being by the labor, how can it be said that wages are
drawn from capital or advanced by capital? As in the
exchange of labor for wages the employer always gets the
capital created by the labor before he pays out capital in
the wages, at what point is his capital lessened even
temporarily? —
Progress & Poverty
— Book I, Chapter 3: Wages and Capital: Wages not
drawn from capital, but produced by the labor
To recapitulate: The man who works for himself gets his
wages in the things he produces, as he produces them, and
exchanges this value into another form whenever he sells
the produce. The man who works for another for stipulated
wages in money, works under a contract of exchange. He also
creates his wages as he renders his labor, but he does not
get them except at stated times, in stated amounts and in a
different form. In performing the labor he is advancing in
exchange; when he gets his wages the exchange is completed.
During the time he is earning the wages he is advancing
capital to his employer, but at no time, unless wages are
paid before work is done, is the employer advancing capital
to him. Whether the employer who receives this produce in
exchange for the wages, immediately re-exchanges it, or
keeps it for awhile, no more alters the character of the
transaction than does the final disposition of the product
made by the ultimate receiver, who may, perhaps, be in
another quarter of the globe and at the end of a series of
exchanges numbering hundreds. —
Progress & Poverty
— Book I, Chapter 3: Wages and Capital: Wages not
drawn from capital, but produced by the labor
Rate of Wages — How
Determined
THE fundamental principle of human action — the law
that is to political economy what the law of gravitation is
to physics — is that men seek to gratify their
desires with the least exertion. . . . Now, under this
principle, what, in conditions of freedom, will be the
terms at which one man can hire others to work for him?
Evidently, they will be fixed by what the men could make if
laboring for themselves. The principle which will prevent
him from having to give anything above this except what is
necessary to induce the change, will also prevent them from
taking less. Did they demand more, the competition of
others would prevent them from getting employment. Did he
offer less, none would accept the terms, as they could
obtain greater results by working for themselves. Thus,
although the employer wishes to pay as little as possible,
and the employee to receive as much as possible, wages will
be fixed by the value or produce of such labor to the
laborers themselves. If wages are temporarily carried
either above or below this line, a tendency to carry them
back at once arises. —
Progress & Poverty
Book III, Chapter 6 — The Laws of Distribution: Wages
and the Law of Wages
THE effect of all the circumstances which give rise to the
differences between wages in different occupations may be
included as supply and demand, and it is perfectly correct
to say that the wages in different occupations will vary
relatively according to differences in the supply and
demand of labor — meaning by demand the call which
the community as a whole makes for services of the
particular kind, and by supply the relative amount of labor
which, under the existing conditions, can be determined to
the performance of those particular services. But though
this is true as to the relative differences of wages, when
it is said, as is commonly said, that the general rate of
wages is determined by supply and demand, the words are
meaningless. For supply and demand are but relative terms.
The supply of labor can only mean labor offered in exchange
for labor, or the produce of labor, and the demand for
labor can only mean labor or the produce of labor offered
in exchange for labor. Supply is thus demand, and demand
supply, and in the whole community, one must be coextensive
with the other. —
Progress & Poverty
Book III, Chapter 6 — The Laws of Distribution: Wages
and the Law of Wages
THUS, although they may from time to time alter in relation
to each other, as the circumstances which determine
relative levels change, yet it is evident that wages in all
strata must ultimately depend upon wages in the lowest and
widest stratum — the general rate of wages rising or
falling as these rise or fall.
Now, the primary and fundamental occupations, upon which,
so to speak, all others are built up, are evidently those
which procure wealth directly from nature; hence the law of
wages in them must be the general law of wages. And, as
wages in such occupations clearly depend upon what labor
can produce at the lowest point of natural productiveness
to which it is habitually applied; therefore, wages
generally depend upon the margin of cultivation, or, to put
it more exactly, upon the highest point of natural
productiveness to which labor is free to apply itself
without the payment of rent. —
Progress & Poverty
Book III, Chapter 6 — The Laws of Distribution: Wages
and the Law of Wages
"Rent"
WHEREVER land has an exchange value there is rent in the
economic meaning of the term. Wherever land having a value
is used, either by owner or hirer, there is rent actual;
wherever it is not used, but still has a value, there is
rent potential. It is this capacity of yielding rent which
gives value to land. . . . No matter what are its
capabilities, land can yield no rent and have no value
until some one is willing to give labor or the results of
labor for the privilege of using it; and what anyone will
thus give, depends not upon the capacity of the land, but
upon its capacity as compared with that of land that can be
had for nothing. —
Progress & Poverty
Book III, Chapter 2 — The Laws of Distribution: Rent
and the Law of Rent
STATED reversely, the law of rent is necessarily the law of
wages and interest taken together, for it is the assertion,
that no matter what be the production which results from
the application of labor and capital, these two factors
will only receive in wages and interest such part of the
produce as they could have produced on land free to them
without the payment of rent — that is the least
productive land or point in use. —
Progress & Poverty
Book III, Chapter 2 — The Laws of Distribution: Rent
and the Law of Rent
Origin of Rent ...
How Society Creates Its Rent
HERE, let us imagine, is an unbounded savannah, stretching
off in unbroken sameness of grass and flower, tree and
rill, till the traveler tires of the monotony. Along comes
the wagon of the first immigrant. Where to settle he cannot
tell — every acre seems as good as every other acre.
As to wood, as to water, as to fertility, as to situation,
there is absolutely no choice, and he is perplexed by the
embarrassment of richness. Tired out with the search for
one place that is better than another, he stops —
somewhere, anywhere — and starts to make himself a
home. The soil is virgin and rich, game is abundant, the
streams flash with the finest trout. Nature is at her very
best. He has what, were he in a populous district, would
make him rich; but he is very poor. To say nothing of the
mental craving, which would lead him to welcome the
sorriest stranger, he labors under all the material
disadvantages of solitude. He can get no temporary
assistance for any work that requires a greater union of
strength than that afforded by his own family, or by such
help as he can permanently keep. Though he has cattle, he
cannot often have fresh meat, for to get a beefsteak he
must kill a bullock. He must be his own blacksmith,
wagonmaker, carpenter, and cobbler — in short a "jack
of all trades and master of none." He cannot have his
children schooled, for, to do so, he must himself pay and
maintain a teacher. Such things as he cannot produce
himself, he must buy in quantities and keep on hand, or
else go without, for he cannot be constantly leaving his
work and making a long journey to the verge of
civilization; and when forced to do so, the getting of a
vial of medicine or the replacement of a broken auger may
cost him the labor of himself and horses for days. Under
such circumstances, though nature is prolific, the man is
poor. It is an easy matter for him to get enough to eat;
but beyond this, his labor will only suffice to satisfy the
simplest wants in the rudest way.
Soon there comes another immigrant. Although every quarter
section of the boundless plain is as good as every other
quarter section, he is not beset by any embarrassment as to
where to settle. Though the land is the same, there is one
place that is clearly better for him than any other place,
and that is where there is already a settler and he may
have a neighbor. He settles by the side of the first comer,
whose condition is at once greatly improved, and to whom
many things are now possible that were before impossible,
for two men may help each other to do things that one man
could never do.
Another immigrant comes, and, guided by the same
attraction, settles where there are already two. Another
and another, until around our first comer there are a score
of neighbors. Labor has now an effectiveness which, in the
solitary state, it could not approach. If heavy work is to
be done, the settlers have a log-rolling, and together
accomplish in a day what singly would require years. When
one kills a bullock the others take part of it, returning
when they kill, and thus they have fresh meat all the time.
Together they hire a schoolmaster, and the children of each
are taught for a fractional part of what similar teaching
would have cost the first settler. It becomes a
comparatively easy matter to send to the nearest town, for
some one is always going. But there is less need for such
journeys. A blacksmith and a wheelwright soon set up shops,
and our settler can have his tools repaired for a small
part of the labor they formerly cost him. A store is opened
and he can get what he wants as he wants it; a post-office,
soon added, gives him regular communication with the rest
of the world. Then comes a cobbler, a carpenter, a
harnessmaker, a doctor; and a little church soon arises.
Satisfactions become possible that in the solitary state
were impossible. There are gratifications for the social
and the intellectual nature — for that part of the
man that rises above the animal. The power of sympathy, the
sense of companionship, the emulation of comparison and
contrast, open a wider and fuller and more varied life. In
rejoicing, there are others to rejoice; in sorrow, the
mourners do not mourn alone. There are husking bees, and
apple parings, and quilting parties. Though the ballroom be
unplastered and the orchestra but a fiddle, the notes of
the magician are yet in the strain, and Cupid dances with
the dancers. At the wedding, there are others to admire and
enjoy; in the house of death, there are watchers; by the
open grave, stands human sympathy to sustain the mourners.
Occasionally, comes a straggling lecturer to open up
glimpses of the world of science, of literature, or of art;
in election times, come stump speakers, and the citizen
rises to a sense of dignity and power, as the cause of
empires is tried before him in the struggle of John Doe and
Richard Roe for his support and vote. And, by and by, comes
the circus, talked of months before, and opening to
children, whose horizon has been the prairie, all the
realms of the imagination — princes and princesses of
fairy tale, mail-clad crusaders and turbaned Moors,
Cinderella's fairy coach, and the giants of nursery lore;
lions such as crouched before Daniel, or in circling Roman
amphitheater tore the saints of God; ostriches who recall
the sandy deserts; camels such as stood around when the
wicked brethren raised Joseph from the well and sold him
into bondage; elephants such as crossed the Alps with
Hannibal, or felt the sword of the Maccabees; and glorious
music that thrills and builds in the chambers of the mind
as rose the sunny dome of Kubla Khan.
Go to our settler now, and say to him: "You have so many
fruit trees which you planted; so much fencing, such a
well, a barn, a house — in short, you have by your
labor added so much value to this farm. Your land itself is
not quite so good. You have been cropping it, and by and by
it will need manure. I will give you the full value of all
your improvements if you will give it to me, and go again
with your family beyond the verge of settlement." He would
laugh at you. His land yields no more wheat or potatoes
than before, but it does yield far more of all the
necessaries and comforts of life. His labor upon it will
bring no heavier crops, and, we will suppose, no more
valuable crops, but it will bring far more of all the other
things for which men work. The presence of other settlers
— the increase of population — has added to the
productiveness, in these things, of labor bestowed upon it,
and this added productiveness gives it a superiority over
land of equal natural quality where there are yet no
settlers. If no land remains to be taken up, except such as
is as far removed from population as was our settler's land
when he first went upon it, the value or rent of this land
will be measured by the whole of this added capability. If,
however, as we have supposed, there is a continuous stretch
of equal land, over which population is now spreading, it
will not be necessary for the new settler to go into the
wilderness, as did the first. He will settle just beyond
the other settlers, and will get the advantage of proximity
to them. The value or rent of our settler's land will thus
depend on the advantage which it has, from being at the
center of population, over that on the verge. In the one
case, the margin of production will remain as before; in
the other, the margin of production will be raised.
Population still continues to increase, and as it increases
so do the economies which its increase permits, and which
in effect add to the productiveness of the land. Our first
settler's land, being the center of population, the store,
the blacksmith's forge, the wheelwright's shop, are set up
on it, or on its margin, where soon arises a village, which
rapidly grows into a town, the center of exchanges for the
people of the whole district. With no greater agricultural
productiveness than it had at first, this land now begins
to develop a productiveness of a higher kind. To labor
expended in raising corn, or wheat, or potatoes, it. will
yield no more of those things than at first; but to labor
expended in the subdivided branches of production which
require proximity to other producers, and, especially, to
labor expended in that final part of production, which
consists in distribution, it will yield much larger
returns. The wheat-grower may go further on, and find land
on which his labor will produce as much wheat, and nearly
as much wealth; but the artisan, the manufacturer, the
storekeeper, the professional man, find that their labor
expended here, at the center of exchanges, will yield them
much more than if expended even at a little distance away
from it; and this excess of productiveness for such
purposes the landowner can claim, just as he could an
excess in its wheat-producing power. And so our settler is
able to sell in building lots a few of his acres for prices
which it would not bring for wheat growing if its fertility
had been multiplied many times. With the proceeds he builds
himself a fine house, and furnishes it handsomely. That is
to say, to reduce the transaction to its lowest terms, the
people who wish to use the land, build and furnish the
house for him, on condition that he will let them avail
themselves of the superior productiveness which the
increase of population has given the land.
Population still keeps on increasing, giving greater and
greater utility to the land, and more and more wealth to
its owner. The town has grown into a city — a St.
Louis, a Chicago, or a San Francisco — and still it
grows. Production is here carried on upon a great scale,
with the best machinery and the most favorable facilities;
the division of labor becomes extremely minute, wonderfully
multiplying efficiency; exchanges are of such volume and
rapidity that they are made with the minimum of friction
and loss. Here is the heart, the brain, of the vast social
organism that has grown up from the germ of the first
settlement; here has developed one of the great ganglions
of the human world. Hither run all roads, hither set all
currents, through all the vast regions round about. Here,
if you have anything to sell, is the market; here, if you
have anything to buy, is the largest and the choicest
stock. Here intellectual activity is gathered into a focus,
and here springs that stimulus which is born of the
collision of mind with mind. Here are the great libraries,
the storehouses and granaries of knowledge, the learned
professors, the famous specialists. Here are museums and
art galleries, collections of philosophical apparatus, and
all things rare and valuable, the best of their kind. Here
come great actors, and orators, and singers, from all over
the world. Here, in short, is a center of human life, in
all its varied manifestations.
So enormous are the advantages which this land now offers
for the application of labor, that, instead of one man with
a span of horses scratching over acres, you may count in
places thousands of workers to the acre, working tier on
tier, on floors raised one above the other, five, six,
seven, and eight stories from the ground, while underneath
the surface of the earth engines are throbbing with
pulsations that exert the force of thousands of horses. All
these advantages adhere to the land; it is on this land,
and no other, that they can be utilized, for here is the
center of population — the focus of exchanges, the
market-place and workshop of the highest forms of industry.
The productive powers which density of population has
attached to this land are equivalent to the multiplication
of its original fertility by the hundredfold and the
thousandfold. And rent, which measures the difference
between this added productiveness and that of the least
productive land in use, has increased accordingly. Our
settler, or whoever has succeeded to his right to the land,
is now a millionaire. Like another Rip Van Winkle, he may
have lain down and slept; still he is rich — not from
anything he has done, but from the increase of population.
There are lots from which for every foot of frontage the
owner may draw more than an average mechanic can earn;
there are lots that will sell for more than would suffice
to pave them with gold coin. In the principal streets are
towering buildings, of granite, marble, iron, and
plate-glass, finished in the most expensive style, replete
with every convenience. Yet they are not worth as much as
the land upon which they rest — the same land, in
nothing changed, which, when our first settler came upon
it, had no value at all. That this is the way in which the
increase of population powerfully acts in increasing rent,
whoever, in a progressive country, will look around him,
may see for himself. The process is going on under his
eyes. The increasing difference in the productiveness of
the land in use, which causes an increasing rise in rent,
results not so much from the necessities of increased
population compelling the resort to inferior land, as from
the increased productiveness which increased population
gives to the lands already in use. The most valuable lands
on the globe, the lands which yield the highest rent, are
not lands of surpassing natural fertility, but lands to
which a surpassing utility has been given by the increase
of population. —
Progress & Poverty
— Book IV, Chapter 2: Effect of Material Progress on
the Distribution of Wealth: The Effect of Increase of
Population upon the Distribution of Wealth
"Sic Nos non Nobis" ["Thus we labour, but not for ourselves" or "thus do
we, but not for ourselves"]
"Interest"
WITH profits this inquiry has manifestly nothing to do. We
want to find what it is that determines the division of
their joint produce between land, labor, and capital, and
profits is not a term that refers exclusively to anyone of
these three divisions. Of the three parts into which
profits are divided by political economists — namely,
compensation for risk, wages of superintendence, and return
for the use of capital — the latter falls under the
term interest, which includes all the returns for the use
of capital, and excludes everything else; wages of
superintendence falls under the term wages, which includes
all returns for human exertion, and excludes everything
else; and compensation for risk has no place whatever, as
risk is eliminated when all the transactions of a community
are taken together. —
Progress & Poverty
— Book III, Chapter 1: The Laws of Distribution: The
Inquiry Narrowed to the Laws of Distribution — The
Necessary Relation of these Laws
INTEREST, as an abstract term in the distribution of
wealth, differs in meaning from the word as commonly used,
in this: That it includes all returns for the use of
capital, and not merely those that pass from borrower to
lender; and that it excludes compensation for risk, which
forms so great a part of what is commonly called interest.
Compensation for risk is evidently only an equalization of
return between different employments of capital. —
Progress & Poverty
— Book III, Chapter 3: The Laws of Distribution: Of
Interest and the Cause of Interest
The
Laws of Social Life
TAKE now some hard-headed businessman, who
has no theories, but knows how to make money. Say to him:
"Here is a little village; in ten years it will be a great
city — in ten years the railroad will have taken the
place of the stagecoach, the electric light of the candle;
it will abound with all the machinery and improvements that
so enormously multiply the effective power of labor. Will,
in ten years, interest be any higher?"
He will tell you, "No!"
"Will the wages of common labor be any higher; will it be
easier for a man who has nothing but his labor to make an
independent living?"
He will tell you, "No; the wages of common labor will not
be any higher; on the contrary, all the chances are that
they will be lower; it will not be easier for the mere
laborer to make an independent living; the chances are that
it will be harder."
"What, then, will be higher?" " Rent; the value of land.
Go; get yourself a piece of ground, and hold
possession."
And if, under such circumstances, you take his advice, you
need do nothing more. You may sit down and smoke your pipe;
you may lie around like the lazzaroni of Naples or the
leperos of Mexico: you may go up in a balloon, or down a
hole in the ground; and without doing one stroke of work,
without adding one iota to the wealth of the community, in
ten years you will be rich! In the new city you may have a
luxurious mansion; but among its public buildings will be
an almshouse. —
Progress & Poverty
— Book V, Chapter 2: The Problem Solved: The
Persistence of Poverty amid Advancing Wealth
THERE may be disputes as to whether there is yet a science
of political economy, that is to say, whether our knowledge
of the natural economic laws is as yet so large and well
digested as to merit the title of science. But among those
who recognize that the world we live in is in all its
spheres governed by law, there can be no dispute as to the
possibility of such a science. — The Science of
Political Economy —
unabridged: Book I, Chapter 14, The Meaning of Political
Economy: Political Economy as Science and as Art
• abridged:
Part 1, Chapter 12: Political Economy as Science and
Art
THE domain of law is not confined to physical nature. It
just as certainly embraces the mental and moral universe,
and social growth and social life have their laws as fixed
as those of matter and of motion. Would we make social life
healthy and happy, we must discover those laws, and seek
our ends in accordance with them. —
Social Problems
— Chapter 22: Conclusion
The Fundamental Law
POLITICAL economy is not a set of dogmas. It is the
explanation of a certain set of facts. It is the science
which, in the sequence of certain phenomena, seeks to trace
mutual relations and to identify cause and effect, just as
the physical sciences seek to do in other sets of
phenomena. It lays its foundations upon firm ground. The
premises from which it makes its deductions are truths
which have the highest sanction; axioms which we all
recognize; upon which we safely base the reasoning and
actions of every-day life, and which may be reduced to the
metaphysical expression of the physical law that motion
seeks the line of least resistance — viz. that men
seek to gratify their desires with the least exertion.
Proceeding from a basis thus assured, its processes, which
consist simply in identification, and separation, have the
same certainty. In this sense it is as exact a science as
geometry, which, from similar truths relative to space,
obtains its conclusions by similar means, and its
conclusions when valid should be as self-apparent. —
Progress & Poverty
— Book I, Chapter 1, Wages and Capital: The Current
Doctrine of Wages — Its Insufficiency
WHETHER it proceed from experience of the irksomeness of
labor and the desire to avoid it, or, further back than
that, have its source in some innate principle of the human
constitution, this disposition of men to seek the
satisfaction of their desires with the minimum of exertion
is so universal and unfailing, that it constitutes one of
those invariable sequences that we denominate laws of
nature, and from which we may safely reason. It is this law
of nature that is the fundamental law of political economy
— the central law from which its deductions and
explanations may with certainty be drawn, and, indeed, by
which alone they become possible. It holds the same place
in the sphere of political economy that the law of
gravitation does in physics. Without it there could be no
recognition of order, and all would be chaos. . . . It is
no more affected by the selfishness or unselfishness of our
desires than is the law of gravitation. It is simply a
fact. — The Science of Political Economy
—
unabridged: Book I, Chapter 12, The Meaning of Political
Economy: Fundamental Low of Political Economy •
abridged:
Chapter 10: The Fundamental Law of Political
Economy
The "Greater Leviathan"
THE famous treatise in which the English philosopher
Hobbes, during the revolt against the tyranny of the
Stuarts in the seventeenth century, sought to give the
sanction of reason to the doctrine of the absolute
authority of kings, is entitled Leviathan. It thus
begins: "Nature, the art whereby God hath made and governs
the world, is by the art of man, as in many other things,
so in this also imitated, that it can make an artificial
animal. . . For by art is created that great Leviathan
called a commonwealth or state, in Latin civitas, which is but an artificial man;
though of greater stature and strength than the natural,
for whose protection and defense it was intended. .
."
Without stopping now to comment further on Hobbes's
suggestive analogy, there is, it seems to me, in the system
or arrangement into which men are brought in social life by
the effort to satisfy their material desires — an
integration which goes on as civilization advances —
something which even more strongly and more clearly
suggests the idea of a gigantic man, formed by the union of
individual men, than any merely political integration. This
Greater Leviathan is to the political structure or
conscious commonwealth what the unconscious functions of
the body are to the conscious activities. It is not made by
pact or covenant, it grows; as the tree grows, as the man
himself grows, by virtue of natural laws inherent in human
nature and in the constitution of things. . . . It is this
natural system or arrangement, this adjustment of means to
ends, of the parts to the whole and the whole to the parts,
in the satisfaction of the material desires of men living
in society, which, in the same sense as that in which we
speak of the economy of the solar system, is the economy of
human society, or what in English we call political
economy. It is as human units, individuals or families,
take their place as integers of this higher man, this
Greater Leviathan, that what we call civilization begins
and advances. . . . The appearance and development of the
body politic, the organized state, the Leviathan of Hobbes,
is the mark of civilization already in existence. —
The Science of Political Economy —
unabridged: Book I, Chapter 3, The Meaning of Political
Economy: How Man's Powers Are Extended • abridged:
Chapter 2: The Greater Leviathan
Civilization, through Trade
LET us try to trace the genesis of
civilization. Gifted alone with the power of relating cause
and effect, man is among all animals the only producer in
the true sense of the term. . . . But the same quality of
reason which makes him the producer, also, wherever
exchange becomes possible, makes him the exchanger. And it
is along this line of exchanging that the body economic is
evolved and develops, and that all the advances of
civilization are primarily made. . . . With the beginning
of exchange or trade among men this body economic begins to
form, and in its beginning civilization begins. . . . To
find an utterly uncivilized people, we must find a people
among whom there is no exchange or trade. Such a people
does not exist, and, as far as our knowledge goes, never
did. To find a fully civilized people, we must find a
people among whom exchange or trade is absolutely free, and
has reached the fullest development to which human desires
can carry it. There is, as yet, unfortunately, no such
people. — The Science of Political Economy
—
unabridged: Book I, Chapter 5, The Meaning of Political
Economy: The Origin and Genesis of Civilization •
abridged:
Chapter 4, The Origin and Genesis of Civilization
WHEN we, come to analyze production, we find it to fall
into three modes, viz::
ADAPTING, or changing natural products either in form or in
place so as to fit them for the satisfaction of human
desire.
GROWING, or utilizing the vital forces of nature, as by
raising vegetables or animals.
EXCHANGING, or utilizing, so as to add to the general sum
of wealth, the higher powers of those natural forces which
vary with locality, or of those human forces which vary
with situation, occupation, or character. —
Progress & Poverty
— Book III, Chapter 3, The Laws of Distribution: of
Interest and the Cause of Interest
THESE modes seem to appear and to assume importance, in the
development of human society, much in the order here given.
They originate from the increase of the desires of men with
the increase of the means of satisfying them, under
pressure of the fundamental law of political economy, that
men seek to satisfy their desires with the least exertion.
In the primitive stage of human life the readiest way of
satisfying desires is by adapting to human use what is
found in existence. In a later and more settled stage it is
discovered that certain desires can be more easily and more
fully satisfied by utilizing the principle of growth and
reproduction, as by cultivating vegetables and breeding
animals. And in a still later period of development, it
becomes obvious that certain desires can be better and more
easily satisfied by exchange, which brings out the
principle of co-operation more fully and powerfully than
could obtain among unexchanging economic units. —
The Science of Political Economy
unabridged: Book III, Chapter 2, The Production of Wealth:
The Three Modes of Production • abridged:
Part III, Chapter 2, The Production of Wealth: The Three
Modes of Production
"Production" and "Distribution"
IN the economic meaning of the term production, the
transporter or exchanger, or anyone engaged in any
subdivision of those functions, is as truly engaged in
production as is the primary extractor or maker. A
newspaper-carrier or the keeper of a news-stand would, for
instance, in common speech be styled a distributor. But in
economic terminology he is not a distributor of wealth, but
a producer of wealth. Although his part in the process of
producing the newspaper to the final receiver comes last,
not first, he is as much a producer as the paper-maker or
type-founder, the editor, or compositor, or press-man. For
the object of production is the satisfaction of human
desires, that is to say, it is consumption; and this object
is not made capable of attainment, that is to say,
production is not really complete, until wealth is brought
to the place where it is to be consumed and put at the
disposal of him whose desire it is to satisfy.
— The Science of Political Economy
unabridged: Book III, Chapter 1, The Production of Wealth:
The Meaning of Production • abridged:
Part III, Chapter 1, The Production of Wealth: The Meaning
of Production
PRODUCTION and distribution are not separate things, but
two mentally distinguishable parts of one thing — the
exertion of human labor in the satisfaction of human
desire. Though materially distinguishable, they are as
closely related as the two arms of the syphon. And as it is
the outflow of water at the longer end of the syphon that
is the cause of the inflow of water at the shorter end, so
it is that distribution is really the cause of production,
not production the cause of distribution. In the ordinary
course, things are not distributed because they have been
produced, but are produced in order that they may be
distributed. Thus interference with the distribution of
wealth is interference with the production of wealth, and
shows its effect in lessened production. — The
Science of Political Economy —
unabridged Book IV, Chapter 2, The Distribution of Wealth:
The Nature of Distribution • abridged
Part IV, Chapter 2, The Distribution of Wealth: The Nature
of Distribution
OUR inquiry into the laws of the distribution of wealth is
not an inquiry into the municipal laws or human enactments
which either here and now, or in any other time and place,
prescribe or have prescribed how wealth shall be divided
among men. With them we have no concern, unless it may be
for purposes of illustration. What we have to seek are
those laws of the distribution of wealth which belong to
the natural order — laws which are a part of that
system or arrangement which constitutes the social organism
or body economic, as distinguished from the body politic or
state, the Greater Leviathan which makes its appearance
with civilization and develops with its advance. These
natural laws are in all times and places the same, and
though they may be crossed by human enactment, can never be
annulled or swerved by it. It is more needful to call this
to mind, because, in what have passed for systematic
treatises on political economy, the fact that it is with
natural laws, not human laws, that the science of political
economy is concerned, has, in treating of the distribution
of wealth, been utterly ignored, and even flatly denied.
— The Science of Political Economy —
unabridged: Part IV, Chapter 1, The Distribution of Wealth:
The Meaning of Distribution • abridged:
Part IV, Chapter 1, The Distribution of Wealth: The Meaning
of Distribution
THE distinction between the laws of production and the laws
of distribution is not, as is erroneously taught in the
scholastic political economy, that the one set of laws are
natural laws and the other human laws. Both sets of laws
are laws of nature. The real distinction is that the
natural laws of production are physical laws and the
natural laws of distribution are moral laws. . . . The
moment we turn from a consideration of the laws of the
production of wealth to a consideration of the laws of the
distribution of wealth, the idea of ought or duty becomes
primary. All consideration of distribution involves the
ethical principle, is necessarily a consideration of ought
or duty — a consideration in which the idea of right
or justice is from the very first involved. — The
Science of Political Economy —
unabridged: Book IV, Chapter 4, The Distribution of Wealth:
The Real Difference Between Laws of Production and of
Distribution • abridged:
Part IV, Chapter 3: The Distribution of Wealth: Physical
and Moral Laws
Co-operation
— its Two Modes
ALL increase in the productive power of man over that with
which nature endows the individual comes from the
co-operation of individuals. But there are two ways in
which this co-operation may take place. 1. By the
combination of effort. In this way individuals may
accomplish what exceeds the full power of the individual.
2. By the separation of effort. In this way the individual
may accomplish for more than one what does not require the
full power of the individual. . . . To illustrate: The
first way of co-operation, the combination of labor,
enables a number of men to remove a rock or to raise a log
that would be too heavy for them separately. In this way
men conjoin themselves, as it were, into one stronger man.
Or, to take an example so common in the early days of
American settlement that "log-rolling" has become a term
for legislative combination: Tom, Dick, Harry and Jim are
building near each other their rude houses in the
clearings. Each hews his own trees, but the logs are too
heavy for one man to get into place. So the four unite
their efforts, first rolling one man's logs into place and
then another's, until, the logs of all four having been
placed, the result is the same as if each had been enabled
to concentrate into one time the force he could exert in
four different times. . . . But, while great advantages
result from the ability of individuals, by the combination
of labor to concentrate themselves, as it were, into one
larger man, there are other times and other things in which
an individual could accomplish more if he could divide
himself, as it were, into a number of smaller men. . . .
What the division of labor does, is to permit men, as it
were, so to divide themselves, thus enormously increasing
their total effectiveness. To illustrate from the example
used before: While at times Tom, Dick, Harry and Jim might
each wish to move logs, at other times they might each need
to get something from a village distant two days' journey.
To satisfy this need individually would thus require two
days' effort on the part of each. But if Tom alone goes,
performing the errands for all, and the others each do half
a days' work for him, the result is that all get at the
expense of half a day's effort on the part of each what
otherwise would have required two days' effort. —
The Science of Political Economy —
unabridged: Book III, Chapter 9, The Production of Wealth:
Cooperation — Its Two Ways • abridged:
Part III, Chapter 7, The Production of Wealth:
Co-operation: Its Two Ways
Co-operation — its Two
Kinds
WE have seen that there are two ways or modes in which
co-operation increases productive power. If we ask how
co-operation is itself brought about, we see that there is
in this also a distinction, and that co-operation is of two
essentially different kinds. . .. There is one kind of
co-operation, proceeding, as it were, from without, which
results from the conscious direction of a controlling will
to a definite end. This we may call directed or conscious
co-operation. There is another kind of co-operation,
proceeding, as it were, from within, which results from a
correlation in the actions of independent wills, each
seeking but its own immediate purpose, and careless, if not
indeed ignorant, of the general result. This we may call
spontaneous or unconscious co-operation. The movement of a
great army is a good type of co-operation of the one kind.
Here the actions of many individuals are subordinated to,
and directed by, one conscious will, they becoming, as it
were, its body and executing its thought. The providing of
a great city with all the manifold things which are
constantly needed by its inhabitants is a good type of
co-operation of the other kind. This kind of co-operation
is far wider, far finer, far more strongly and delicately
organized, than the kind of co-operation involved in the
movements of an army, yet it is brought about not by
subordination to the direction of one conscious will, which
knows the general result at which it aims, but by the
correlation of actions originating in many independent
wills, each aiming at its own small purpose without care
for, or thought of; the general result. The one kind of
co-operation seems to have its analogue in those related
movements of our body which we are able consciously to
direct. The other kind of co-operation seems to have its
analogue in the correlation of the innumerable movement, of
which we are unconscious, that maintain the bodily frame
— motions which in their complexity, delicacy and
precision far transcend our powers of conscious direction,
yet by whose perfect adjustment to each other and to the
purpose of the whole, that co-operation of part and
function, that makes up the human body and keeps it in life
and vigor, is brought about and supported. — The
Science of Political Economy —
unabridged: Book III, Chapter 10, The Production of Wealth:
Cooperation — Its Two Kinds • abridged:
Part III, Chapter 8, Cooperation: Its Two Kinds
To attempt to apply that kind of co-operation which
requires direction from without to the work proper for that
kind of co-operation which requires direction from within,
is like asking the carpenter who can build a chicken-house
to build a chicken also. — The Science of
Political Economy —
unabridged: Book III, Chapter 10, The Production of Wealth:
Cooperation — Its Two Kinds • abridged:
Part III, Chapter 8, Cooperation: Its Two Kinds
Co-operation and Commerce
ALL living things that we know of co-operate in some kind
and to some degree. So far as we can see, nothing that
lives can live in and for itself alone. But man is the only
one who co-operates by exchanging, and he may be
distinguished from all the numberless tribes that with him
tenant the earth as the exchanging animal. . . . Exchange
is the great agency by which what I have called the
spontaneous or unconscious co-operation of men in the
production of wealth is brought about, and economic units
are welded into that social organism which is the Greater
Leviathan. To this economic body, this Greater Leviathan,
into which it builds the economic units, it is what the
nerves or perhaps the ganglions are to the individual body.
Or, to make use of another illustration, it is to our
material desires and powers of satisfying them what the
switchboard of a telegraph or telephone, or other electric
system, is to that system, a means by which exertion of one
kind in one place may be transmitted into satisfaction of
another kind in another place, and thus the efforts of
individual units be conjoined and correlated so as to yield
satisfactions in most useful place and form, and to an
amount enormously exceeding what otherwise would be
possible. — The Science of Political Economy
—
unabridged: Book III, Chapter 11, The Production of Wealth:
The Office of Exchange in Production • unabridged
Chapter 9, The Office of Exchange in Production
Co-operation and Competition
MANY if not most of the writers on political economy have
treated exchange as a part of distribution. On the
contrary, it belongs to production. It is by exchange, and
through exchange, that man obtains, and is able to exert,
the power of co-operation which, with the advance of
civilization, so enormously increases his ability to
produce wealth. — The Science of Political
Economy —
unabridged: Book III, Chapter 11, The Production of Wealth:
The Office of Exchange in Production • unabridged
Chapter 9, The Office of Exchange in Production
THEY who, seeing how men are forced by competition to the
extreme of human wretchedness, jump to the conclusion that
competition should be abolished, are like those who, seeing
a house burn down, would prohibit the use of fire.
The air we breathe exerts upon every square inch of our
bodies a pressure of fifteen pounds. Were this pressure
exerted only on one side, it would pin us to the ground and
crush us to a jelly. But being exerted on all sides, we
move under it with perfect freedom. It not only does not
inconvenience us, but it serves such indispensable purposes
that, relieved of its pressure, we should die.
So it is with competition. Where there exists a class
denied all right to the element necessary to life arid
labor, competition is one-sided, and as population
increases must press the lowest class into virtual slavery,
and even starvation. But where the natural rights of all
are secured, then competition, acting on every hand —
between employers as between employed, between buyers as
between sellers — can injure no one.
On the contrary it becomes the most simple, most extensive,
most elastic, and most refined system of co-operation that,
in the present stage of social development, and in the
domain where it will freely act, we can rely on for the
co-ordination of industry and the economizing of social
forces.
In short, competition plays just such a part in the social
organism as those vital impulses which are beneath
consciousness do in the bodily organism. With it, as with
them, it is only necessary that it should be free. The line
at which the state should come in is that where free
competition becomes impossible — a line analogous to
that which in the individual organism separates the
conscious from the unconscious functions. There is such a
line, though extreme socialists and extreme individualists
both ignore it. The extreme individualist is like the man
who would have his hunger provide him food; the extreme
socialist is like the man who would have his conscious will
direct his stomach how to digest it. — Protection
or Free Trade, chapter 28
econlib
Society, an Organism
IMAGINE an aggregation of men which it was
attempted to secure by the external direction involved in
socialistic theories that division of labor which grows, up
naturally in society where men are left free. For the
intelligent direction thus required an individual man or
individual men must be selected, for even if there be
angels and archangels in the world that is invisible to us,
they are not at our command. Taking no note of the
difficulties which universal experience shows always to
attend the choice of the depositories of power, and
ignoring the inevitable tendency to tyranny and oppression,
of command over the actions of others, simply consider,
even if the very wisest and best of men were selected for
such purposes, the task that would be put upon them in the
ordering of the when, where, how and by whom, that would be
involved in the intelligent direction and supervision of
the almost infinitely complex and constantly changing
relations and adjustments involved in such division of
labor as goes on in a civilized community. It is evidently
as much beyond the ability of conscious direction as the
correlation of the processes that maintain the human body
in health and vigor is beyond it. — The Science
of Political Economy
unabridged: Book III, Chapter 10, The Production of Wealth:
Cooperation — Its Two Kinds • abridged:
Part III, Chapter 8, Cooperation: Its Two Kinds
THE ideal of socialism is grand and noble; and it is, I am
convinced, possible of realization, but such a state of
society cannot be manufactured — it must grow.
Society is an organism, not a machine. It can only live by
the individual life of its parts. And in the free and
natural development of all the parts will be secured the
harmony of the whole. —
Progress & Poverty
— Book VI, Chapter 1, The Remedy: The Insufficiency
of Remedies Currently Advocated; V.—From Governmental
Direction and Interference
SOCIALISM in all its phases looks on the evils of our
civilization as springing from the inadequacy or in harmony
of natural relations, which must be artificially organized
or improved. In its idea there devolves on the State the
necessity of intelligently organizing the industrial
relations of men, the construction as it were of a great
machine, whose complicated parts shall properly work
together under the direction of human intelligence. —
The Condition of
Labor, an Open Letter to Pope Leo XIII
Not a Machine
ON the other hand, we, who call ourselves
single-tax men (a name which expresses merely our practical
propositions), see in the social and industrial relations
of men not a machine which requires construction, but an
organism which needs only to be suffered to grow. We see in
the natural, social and industrial laws such harmony as we
see in the adjustments of the human body, and that as far
transcends the power of man's intelligence to order and
direct as it is beyond man's intelligence to order and
direct the vital movements of his frame. We see in these
social and industrial laws so close a relation to the moral
law as must spring from the same Authorship, and that
proves the moral law to be the sure guide of man where his
intelligence would wander and go astray. . . . Looking on
the bodily organism as the analogue of the social organism,
and on the proper functions of the State as akin to those
which in the human organism are discharged by the conscious
intelligence while the play of individual impulse and
interest performs functions akin to those discharged in the
bodily organisms by the unconscious instincts and
involuntary motions, the Anarchists seem to us like men who
would try to get along without heads, and the Socialists
like men who would try to rule the wonderfully complex and
delicate internal relations of their frames by conscious
will. — The
Condition of Labor, an Open Letter to Pope Leo
XIII
"Socialism" Not Radical Enough
BUT it seems to us the vice of Socialism in all its degrees
is its want of radicalism, of going to the root. . .. It
assumes that the tendency of wages to a minimum is the
natural law, and seeks to abolish wages; it assumes that
the natural result of competition is to grind down workers,
and seeks to abolish competition by restrictions,
prohibitions, and extensions of governing power. Thus
mistaking effects for causes, and childishly blaming the
stone for hitting it, it wastes strength in striving for
remedies that when not worse are futile. Associated though
it is in many places with democratic aspiration, yet its
essence is the same delusion to which the Children of
Israel yielded when, against the protest of their prophet,
they insisted on a king; the delusion that has everywhere
corrupted democracies and enthroned monarchs — that
power over the people can be used for the benefit of the
people; that there may be devised machinery that through
human agencies will secure for the management of individual
affairs more wisdom and more virtue than the people
themselves possess. — The Condition of Labor, an
Open Letter to Pope Leo XIII
JUMPING to conclusions without effort to discover causes,
it fails to see that oppression does not come from the
nature of capital, but from the wrong that robs labor of
capital by divorcing it from land, and that creates a
fictitious capital that is really capitalized monopoly. It
fails to see that it would be impossible for capital to
oppress labor were labor free to the natural material of
production; that the wage system in itself springs from
mutual convenience, being a form of co-operation in which
one of the parties prefers a certain to a contingent
result; and that what it calls the "iron law of wages," is
not the natural law of wages, but only the law of wages in
that unnatural condition in which men are made helpless by
being deprived of the materials for life and work. It fails
to see that what it mistakes for the evils of competition
are really the evils of restricted competition — are
due to a one-sided competition to which men are forced when
deprived of land. While its methods, the organization of
men into industrial armies, the direction and control of
all production and exchange by governmental or
semi-governmental bureaus, would, if carried to full
expression, mean Egyptian despotism. —The Condition of Labor, an
Open Letter to Pope Leo XIII
IN socialism as distinguished from individualism there is
an unquestionable truth — and that a truth to which
(especially by those most identified with free-trade
principles) too little attention has been paid. Man is
primarily an individual — a separate entity,
differing from his fellows in desires and powers, and
requiring for the exercise of those powers and the
gratification of those desires individual play and freedom.
But he is also a social being, having desires that
harmonize with those of his fellows, and powers that can
only be brought out in concerted action. There is thus a
domain of individual action and a domain of social action
— some things which can best be done when each acts
for himself, and some things which can best be done when
society acts for all its members. And the natural tendency
of advancing civilization is to make social conditions
relatively more important, and more and more to enlarge the
domain of social action. This has not been sufficiently
regarded, and at the present time, evil unquestionably
results from leaving to individual action functions that by
reason of the growth of society and the developments of the
arts have passed into the domain of social action; just as,
on the other hand, evil unquestionably results from social
interference with what properly belongs to the individual.
Society ought not to leave the telegraph and the railway to
the management and control of individuals; nor yet ought
society to step in and collect individual debts or attempt
to direct individual industry. — Protection or
Free Trade, Chapter 28
econlib
Functions of Government
THE primary purpose and end of government
being to secure the natural rights and equal liberty of
each, all businesses that involve monopoly are within the
necessary province of governmental regulation, and
businesses that are in their nature complete monopolies
become properly functions of the State. As society
develops, the State must assume these functions, in their
nature co-operative, in order to secure the equal rights
and liberty of all. That is to say, as, in the process of
integration, the individual becomes more and more dependent
upon and subordinate to the all, it becomes necessary for
government, which is properly that social organ by which
alone the whole body of individuals can act, to take upon
itself, in the interest of all, certain functions which
cannot safely be left to individuals. —
Social Problems
— Chapter 17, The Functions of
Government
IT is not the business of government to make men virtuous
or religious, or to preserve the fool from the consequences
of his own folly. Government should be repressive no
further than is necessary to secure liberty by protecting
the equal rights of each from aggression on the part of
others, and the moment governmental prohibitions extend
beyond this line they are in danger of defeating the very
ends they are intended to serve.—
Social Problems
— Chapter 17, The Functions of
Government
ALL schemes for securing equality in the conditions of men
by placing the distribution of wealth in the hands of
government have the fatal defect of beginning at the wrong
end. They pre-suppose pure government; but it is not
government that makes society; it is society that makes
government; and until there is something like substantial
equality in the distribution of wealth, we cannot expect
pure government. — Protection or Free Trade,
Chapter 28
econlib
"Protection"
WE should keep our own market for our own
producers, seems by many to be regarded as the same
kind of a proposition as, We should keep
our own pasture for our own cows; whereas, in truth,
it is such a proposition as, We should
keep our own appetites for our own cookery, or,
We should keep our own transportation for
our own legs.— Protection or Free
Trade, Chapter 11: The Home Market and Home Trade -
econlib
THE protection of the masses has in all times been the
pretense of tyranny — the plea of monarchy, of
aristocracy, of special privilege of every kind. The slave
owners justified slavery as protecting the slaves. British
misrule in Ireland is upheld on the ground that it is for
the protection of the Irish. But, whether under a monarchy
or under a republic, is there an instance in the history of
the world in which the "protection" of the laboring masses
has not meant their oppression? The protection that those
who have got the law-making power into their hands have
given labor, has at best always been the protection that
man gives to cattle — he protects them that he may
use and eat them. — Protection or Free Trade
— Chapter 2, Clearing Ground
econlib
IT is never intimated that the land-owner or the capitalist
needs protection. They, it is always assumed, can take care
of themselves. It is only the poor workingman who must be
protected. What is labor that it should so need protection?
Is not labor the creator of capital, the producer of all
wealth? Is it not the men who labor that feed and clothe
all others? Is it not true, as has been said, that the
three great orders of society are "workingmen, beggarmen,
and thieves?" How, then, does it come that workingmen alone
need protection? — Protection or Free Trade
— Chapter 2, Clearing Ground
econlib -|- abridged
WHAT should we think of human laws framed for the
government of a country which should compel each family to
keep constantly on their guard against every other family,
to expend a large part of their time and labor in
preventing exchanges with their neighbors, and to seek
their own prosperity by opposing the natural efforts of
other families to become prosperous? Yet the protective
theory implies that laws such as these have been imposed by
the Creator upon the families of men who tenant this earth.
It implies that by virtue of social laws, as immutable as
the physical laws, each nation must stand jealously on
guard against every other nation and erect artificial
obstacles to national intercourse.— Protection or
Free Trade, Chapter 4: Protection as a Universal
Need
econlib
TO attempt to make a nation prosperous by preventing it
from buying from other nations is as absurd as it would be
to attempt to make a man prosperous by preventing him from
buying from other men. How this operates in the case of the
individual we can see from that practice which, since its
application in the Irish land agitation, has come to be
called "boycotting." Captain Boycott, upon whom has been
thrust the unenviable fame of having his name turned into a
verb, was in fact "protected." He had a protective tariff
of the most efficient kind built around him by a
neighborhood decree more effective than act of Parliament.
No one would sell him labor, no one would sell him milk or
bread or meat or any service or commodity whatever. But
instead of growing prosperous, this much-protected man had
to fly from a place where his own market was thus reserved
for his own productions. What protectionists ask us to do
to ourselves in reserving our home market for home
producers, is in kind what the Land Leaguers did to Captain
Boycott. They ask us to boycott ourselves. —
Protection or Free Trade, Chapter 11: The Home
Market and Home Trade -
econlib
WHEN not caused by artificial obstacles, any tendency in
trade to take a certain course is proof that it ought to
take that course, and restrictions are harmful because they
restrict, and in proportion as they restrict. To assert
that the way for men to become healthy and strong is for
them to force into their stomachs what nature tries to
reject, to regulate the play of their lungs by bandages, or
to control the circulation of their blood by ligatures,
would be not a whit more absurd than to assert that the way
for nations to become rich is for them to restrict the
natural tendency to trade. — Protection or Free
Trade, Chapter 6: Trade -
econlib
Trade Natural to
Man
MEN of different nations trade with each other for the same
reason that men of the same nation do — because they
find it profitable; because they thus obtain what they want
with less labor than they otherwise could. —
Protection or Free Trade, Chapter 6: Trade -
econlib -|- abridged
TRADE is not invasion. It does not involve aggression on
one side and resistance on the other, but mutual consent
and gratification. There cannot be a trade unless the
parties to it agree, any more than there can be a quarrel
unless the parties to it differ. England, we say, forced
trade with the outside world upon China and the United
States upon Japan. But, in both cases, what was done was
not to force the people to trade, but to force their
governments to let them. If the people had not wanted to
trade, the opening of the ports would have been useless.
— Protection or Free Trade, Chapter 6: Trade
-
econlib
TRADE does not require force. Free trade consists simply in
letting people buy and sell as they want to buy and sell..
It is protection that requires force, for it consists in
preventing people from doing what they want to do. —
Protection or Free Trade, Chapter 6: Trade -
econlib -|- abridged
IF all the material things needed by man could be produced
equally well at all points on the earth's surface, it might
seem more convenient for man the animal, but how would he
have risen above the animal level? As we see in the history
of social development, commerce has been and is the great
civilizer and educator. The seemingly infinite diversities
in the capacity of different parts of the earth's surface
lead to that exchange of productions which is the most
powerful agent in preventing isolation, in breaking down
prejudice, in increasing knowledge and widening thought.
These diversities of nature, which seemingly increase with
our knowledge of nature's powers, like the diversities in
the aptitudes of individuals and communities, which
similarly increase with social development, call forth
powers and give rise to pleasures which could never arise
had man been placed like an ox in a boundless field of
clover. The "international law of God" which we fight with
our tariffs — so shortsighted are the selfish
prejudices of men — is the law which stimulates
mental and moral progress; the law to which civilization is
due. —
Social Problems — Chapter 19: The First Great
Reform.
Trade not yet Free
"COME with me," said Richard Cobden, as John Bright turned
heart-stricken from a new-made grave. "There are in England
women and children dying with hunger — with hunger
made by the laws. Come with me, and we will not rest until
we repeal those laws."
In this spirit the free trade movement waxed and grew,
arousing an enthusiasm that no mere fiscal reform could
have aroused. And intrenched though it was by restricted
suffrage and rotten boroughs and aristocratic privilege,
protection was overthrown in Great Britain.
And — there is hunger in Great Britain still, and
women and children yet die of it.
But this is not the failure of free trade. When protection
had been abolished and a revenue tariff substituted for a
protective tariff, free trade had only won an outpost. That
women and children still die of hunger in Great Britain
arises from the failure of the reformers to go on. Free
trade has not yet been tried in Great Britain. Free trade
in its fulness and entirety would indeed abolish hunger.
— Protection or Free Trade — Chapter
26: True Free Trade -
econlib -|- abridged
True Free Trade
THE mere abolition of protection — the mere
substitution of a revenue tariff for a protective tariff
— is such a lame and timorous application of the
free-trade principle that it is a misnomer to speak of it
as free trade. A revenue tariff is only a somewhat milder
restriction on trade than a protective tariff.
Free trade, in its true meaning, requires not merely the
abolition of protection but the sweeping away of all
tariffs — the abolition of all restrictions (save
those imposed in the interests of public health or morals)
on the bringing of things into a country or the carrying of
things out of a country.
But free trade cannot logically stop with the abolition of
custom-houses. It applies as well to domestic as to foreign
trade, and in its true sense requires the abolition of all
internal taxes that fall on buying, selling, transporting
or exchanging, on the making of any transaction or the
carrying on of any business, save of course where the
motive of the tax is public safety, health or morals. Thus
the adoption of true free trade involves the abolition of
all indirect taxation of whatever kind, and the resort to
direct taxation for all public revenues.
But this is not all. Trade, as we have seen, is a mode of
production, and the freeing of trade is beneficial because
it is a freeing of production. For the same reason,
therefore, that we ought not to tax anyone for adding to
the wealth of a country by bringing valuable things into
it, we ought not to tax anyone for adding to the wealth of
a country by producing within that country valuable things.
Thus the principle of free trade requires that we should
not merely abolish all indirect taxes, but that we should
abolish as well all direct taxes on things that are the
produce of labor; that we should, in short, give full play
to the natural stimulus to production — the
possession and enjoyment of the things produced — by
imposing no tax whatever upon the production, accumulation
or possession of wealth (the things produced by labor),
leaving everyone free to make exchange, give, spend or
bequeath. — Protection or Free Trade —
Chapter 26: True Free Trade -
econlib -|- abridged
"Laissez faire, laissez aller!"
DWARFED into mere revenue reform the harmony
and beauty of free trade are hidden; its moral force is
lost; its power to remedy social evils cannot be shown, and
the injustice and meanness of protection cannot be
arraigned. The "international law of God" becomes a mere
fiscal question which appeals only to the intellect and not
to the heart, to the pocket and not to the conscience, and
on which it is impossible to arouse the enthusiasm that is
alone capable of contending with powerful interests.
— Protection or Free Trade — Chapter
29: Practical Politics -
econlib
THEY [the Physiocrats) were — what the so-called
"English free-traders" who have followed Adam Smith never
yet have been — free traders in the full sense of the
term. In their practical proposition, the single tax, they
proposed the only means by which the free trade principle
can ever be carried to its logical conclusion — the
freedom not merely of trade but of all other forms and
modes of production, with full freedom of access to the
natural element which is essential to all production. They
were the authors of the motto that in the English use of
the phrase "Laissez faire!" "Let things alone," has been so
emasculated and perverted, but which on their lips was
"Laissez faire, laissez aller!" "Clear the ways and let
things alone." This is said to come from the cry that in
medieval tournaments gave the signal for combat, The
English motto which I take to come closest to the spirit of
the French phrase is, "A fair field and no favor!" —
The Science of Political Economy
HERE is a traveler who, beset by robbers, has been left
bound, blindfolded, and gagged. Shall we stand in a knot
about him and discuss whether to put a piece of
court-plaster on his cheek or a new patch on his coat, or
shall we dispute with each other as to what road he ought
to take, and whether a bicycle, a tricycle, a horse and
wagon, or a railway, would best help him on? Should we not
rather postpone such discussion until we have cut the man's
bonds? Then he can see for himself, speak for himself, and
help himself. Though with a scratched cheek and a torn
coat, he may get on his feet, and if he cannot find a
conveyance to suit him, he will at least be free to
walk.
Very much like such a discussion is a good deal of that now
going on over "the social problem" — a discussion in
which all sorts of inadequate and impossible schemes are
advocated to the neglect of the simple plan of removing
restrictions and giving Labor the use of its powers.
— Protection or Free Trade — Chapter
28: Free Trade and Socialism -
econlib -|- abridged
Unemployed
WE talk about the supply of labor, and the
demand for labor, but, evidently, these are only relative
terms. The supply of labor is everywhere the same —
two hands always come into the world with one mouth,
twenty-one boys to every twenty girls; and the demand for
labor must always exist as long as men want things which
labor alone can procure. We talk about the "want of work,"
but, evidently it is not work that is short while want
continues; evidently, the supply of labor cannot be too
great, nor the demand for labor too small, when people
suffer for the lack of things that labor produces. The real
trouble must be that the supply is somehow prevented from
satisfying demand, that somewhere there is an obstacle
which prevents labor from producing the things that
laborers want.
Take the case of anyone of these vast masses of unemployed
men, to whom, though he never heard of Malthus, it today
seems that there are too many people in the world. In his
own wants, in the needs of his anxious wife, in the demands
for his half cared for, perhaps even hungry and shivering,
children, there is demand enough for labor, Heaven knows!
In his own willing hands is the supply. Put him on a
solitary island, and though cut off from all the enormous
advantages which the co-operation, combination, and
machinery of a civilized community give to the productive
powers of man, yet his two hands can fill the mouths and
keep warm the backs that depend upon them. Yet where
productive power is at its highest development, he cannot.
Why? Is it not because in the one case he has access to the
material and forces of nature, and in the other this access
is denied? —
Progress & Poverty
Book V, Chapter 1, The Problem Solved: The primary cause of
recurring paroxysms of industrial depression
The Natural Right to
Self-Employment
NOW, why is it that men, have to work for such low wages?
Because, if they were to demand higher wages, there are
plenty of unemployed men ready to step into their places.
It is this mass of unemployed men who compel that fierce
competition that drives wages down to the point of bare
subsistence. Why is it that there are men who cannot get
employment? Did you ever think what a strange thing it is
that men cannot find employment? If men cannot find
an employer, why can they not employ themselves? Simply
because they are shut out from the element on which human
labor can alone be exerted; men are compelled to compete
with each other for the wages of an employer, because they
have been robbed of the natural opportunities of employing
themselves; because they cannot find a piece of God's world
on which to work without paying some other human creature
for the privilege. — The Crime of Poverty
WE laud as public benefactors those who, as we say,
"furnish employment." We are constantly talking as though
this "furnishing of employment," this "giving of work" were
the greatest boon that could be conferred upon society. To
listen to much that is talked and much that is written, one
would think that the cause of poverty is that there is not
work enough for so many people, and that if the Creator had
made the rock harder, the soil less fertile, iron as scarce
as gold, and gold as diamonds; or if ships would sink and
cities burn down oftener, there would be less poverty,
because there would be more work to do. —
Social Problems,
Chapter 8 — That We All Might Be Rich
YOU assert the right of laborers to employment and their
right to receive from their employers a certain indefinite
wage. No such rights exist. No one has a right to demand
employment of another, or to demand higher wages than the
other is willing to give, or in any way to put pressure on
another to make him raise such wages against his will.
There can be no better moral justification for such demands
on employers by working-men than there would be for
employers demanding that working-men shall be compelled to
work for them when they do not want to, and to accept wages
lower than they are willing to take. — The Condition of Labor, an
Open Letter to Pope Leo XIII
THE natural right which each man has, is not that of
demanding employment or wages from another man, but that of
employing himself — that of applying by his own labor
to the inexhaustible storehouse which the Creator has in
the land provided for all men. Were that storehouse open,
as by the single tax we would open it, the natural demand
for labor would keep pace with the supply, the man who sold
labor and the man who bought it would become free
exchangers for mutual advantage, and all cause for dispute
between workman and employer would be gone. For then, all
being free to employ themselves, the mere opportunity to
labor would cease to seem a boon; and since no one would
work for another for less, all things considered, than he
could earn by working for himself, wages would necessarily
rise to their full value, and the relations of workman and
employer be regulated by mutual interest and convenience.
— The Condition
of Labor, an Open Letter to Pope Leo XIII
The Earth for All
IF we are all here by the equal permission of
the Creator, we are all here with an equal title to the
enjoyment of His bounty — with an equal right to the
use of all that nature so impartially offers. This is a
right which is natural and inalienable; it is a right which
vests in every human being as he enters the world, and
which, during his continuance in the world, can be limited
only by the equal rights of others. There is in nature no
such thing as a fee simple in land. There is on earth no
power which can rightfully make a grant of exclusive
ownership in land. If all existing men were to unite to
grant away their equal rights, they could not grant away
the right of those who follow them. For what are we but
tenants for a day? Have we made the earth that we should
determine the rights of those who after us shall tenant it
in their turn? The Almighty, who created the earth for man
and man for the earth, has entailed it upon all the
generations of the children of men by a decree written upon
the constitution of all things — a decree which no
human action can bar and no prescription determine, Let the
parchments be ever so many, or possession ever so long,
natural justice can recognize no right in one man to the
possession and enjoyment of land that is not equally the
right of all his fellows. —
Progress & Poverty
— Book VII, Chapter 1, Justice of the Remedy:
Injustice of private property in land
HAS the first comer at a banquet the right to turn back
all the chairs and claim that none of the other guests
shall partake of the food provided, except as they make
terms with him? Does the first man who presents a ticket at
the door of a theater and passes in, acquire by his
priority the right to shut the doors and have the
performance go on for him alone? Does the first passenger
who enters a railroad car obtain the right to scatter his
baggage over all the seats and compel the passengers who
come in after him to stand up?
The cases are perfectly analogous. We arrive and we depart,
guests at a banquet continually spread, spectators and
participants in an entertainment where there is room for
all who come; passengers from station to station, on an orb
that whirls through space — our rights to take and
possess cannot be exclusive; they must be bounded
everywhere by the equal rights of others. Just as the
passenger in a railroad car may spread himself and his
baggage over as many seats as he pleases, until other
passengers come in, so may a settler take and use as much
land as he chooses, until it is needed by others — a
fact which is shown by the land acquiring a value —
when his right must be curtailed by the equal rights of the
others, and no priority of appropriation can give a right
which will bar these equal rights of others. —
Progress & Poverty
— Book VII, Chapter 1, Justice of the Remedy:
Injustice of private property in land
What is Property?
WHAT constitutes the rightful basis of property? What is it
that enables a man to justly say of a thing, "It is mine"?
From what springs the sentiment which acknowledges his
exclusive right as against all the world? Is it not,
primarily, the right of a man to himself, to the use of his
own powers, to the enjoyment of the fruits of his own
exertions? . . . As a man belongs to himself, so his labor
when put in concrete form belongs to him. —
Progress & Poverty
— Book VII, Chapter 1, Justice of the Remedy:
Injustice of private property in land
THERE can be to the ownership of anything no rightful title
which is not derived from the title of the producer and
does not rest upon the natural right of the man to himself.
There can be no other rightful title, because (1st) there
is no other natural right from which any other title can be
derived, and (2nd) because the recognition of any other
title is inconsistent with and destructive of this. —
Progress & Poverty
— Book VII, Chapter 1, Justice of the Remedy:
Injustice of private property in land
HERE are two simple principles, both of which are
self-evident:
I.- That all men have equal rights to the use and enjoyment
of the elements provided by nature.
II.- That each man has an exclusive right to the use and
enjoyment of what is produced by his own labor.
There is no conflict between these principles. On the
contrary they are correlative. To fully secure the
individual right of property in the produce of labor we
must treat the elements of nature as common property.
— Protection or Free Trade — Chapter
26: True Free Trade -
econlib -|- abridged
Moral, and Immoral, Private
Property
NATURE acknowledges no ownership or control in man save as
the result of exertion. In no other way can her treasures
be drawn forth, her powers directed, or her forces utilized
or controlled. She makes no discriminations among men, but
is to all absolutely impartial. She knows no distinction
between master and slave, king and subject, saint and
sinner. All men to her stand upon an equal footing and have
equal rights. She recognizes no claim but that of labor,
and recognizes that without respect to the claimant. If a
pirate spread his sails, the wind will fill them as well as
it will fill those of a peaceful merchantman or missionary
bark; if a king and a common man be thrown overboard,
neither can keep his head above the water except by
swimming; birds will not come to be shot by the proprietor
of the soil any quicker than they will come to be shot by
the poacher; fish will bite or will not bite at a hook in
utter disregard as to whether it is offered them by a good
little boy who goes to Sunday school, or a bad little boy
who plays truant; grain will grow only as the ground is
prepared and the seed is sown; it is only at the call of
labor that ore can be raised from the mine; the sun shines
and the rain falls alike upon just and unjust. The laws of
nature are the decrees of the Creator. There is written in
them no recognition of any right save that of labor; and in
them is written broadly and clearly the equal right of all
men to the use and enjoyment of nature; to apply to her by
their exertions, and to receive and possess her reward.
Hence, as nature gives only to labor, the exertion of labor
in production is the only title to exclusive possession.
—
Progress & Poverty
— Book VII, Chapter 1, Justice of the Remedy:
Injustice of private property in land
PRIVATE property is not of one species, and moral
sanction can no more be asserted universally of it than of
marriage. That proper marriage conforms to the law of God
does not justify the polygamic or polyandric or incestuous
marriages that are in some countries permitted by the civil
law. And as there may be immoral marriage, so may there be
immoral private property. — The Condition of Labor, an
Open Letter to Pope Leo XIII
THAT any species of property is permitted by the State,
does not of itself give it moral sanction. The State has
often made things property that are not justly property but
involve violence and robbery. — The Condition of Labor, an
Open Letter to Pope Leo XIII
TO attach to things created by God the same right of
private ownership that justly attaches to things produced
by labor, is to impair and deny the true rights of
property. For a man, who out of the proceeds of his labor
is obliged to pay another man for the use of ocean or air
or sunshine or soil, all of which are to men involved in
the single term land, is in this deprived of his rightful
property, and thus robbed. — The Condition of Labor, an
Open Letter to Pope Leo XIII
HOW then is it that we are called deniers of the right of
property? It is for the same reason that caused nine-tenths
of the good people in the United States, north as well as
south, to regard abolitionists as deniers of the right of
property; the same reason that made even John Wesley look
on a smuggler as a kind of robber, and on a custom-house
seizer of other men's goods as a defender of law and
order. Where violations of the right of property have
been long sanctioned by custom and law, it is
inevitable that those who really assert the right of
property will at first be thought to deny it. For
under such circumstances the idea of property becomes
confused, and that is thought to be property which is in
reality a violation of property. —
A Perplexed Philosopher (The Right Of Property
And The Right Of Taxation)
LANDLORDS must elect to try their case either by human law
or by moral law. If they say that land is rightly
property because made so by human law, they cannot charge
those who would change that law with advocating
robbery. But if they charge that such change in human
law would be robbery, then they must show that land is
rightfully property irrespective of human law. —
The Reduction to Iniquity (a reply to the Duke of
Argyll), The Nineteenth Century, July, 1884
Private Property in Land, Immoral
PRIVATE property in land, no less than private property in
slaves, is the violation of the true rights of property.
They are different forms of the same robbery — twin
devices, by which the perverted ingenuity of man has sought
to enable the strong and the cunning to escape God's
requirement of labor by forcing it on others. —
The Condition of
Labor, an Open Letter to Pope Leo XIII
ROBINSON CRUSOE, as we all know, took Friday as his slave.
Suppose, however, that instead of taking Friday as his
slave, Robinson Crusoe had welcomed him as a man and a
brother; had read him a Declaration of Independence, an
Emancipation Proclamation and a Fifteenth Amendment, and
informed him that he was a free and independent citizen,
entitled to vote and hold office; but had at the same time
also informed him that that particular island was his
(Robinson Crusoe's) private and exclusive property. What
would have been the difference? Since Friday could not fly
up into the air nor swim off through the sea, since if he
lived at all he must live on the island, he would have been
in one case as much a slave as in the other. Crusoe's
ownership of the island would be equivalent of his
ownership of Friday. —
Social Problems
— Chapter 15, Slavery and Slavery
THEY no longer have to drive their slaves to work; want and
the fear of want do that more effectually than the lash.
They no longer have the trouble of looking out for their
employment or hiring out their labor, or the expense of
keeping them when they cannot work. That is thrown upon the
slaves. The tribute that they still wring from labor seems
like voluntary payment. In fact, they take it as their
honest share of the rewards of production — since
they furnish the land! And they find so-called political
economists, to say nothing of so-called preachers of
Christianity, to tell them so. —
Social Problems
— Chapter 15, Slavery and Slavery
IF the two young Englishmen I have spoken of had come over
here and bought so many American citizens, they could not
have got from them so much of the produce of labor as they
now get by having bought land which American citizens are
glad to be allowed to till for half the crop. And so, even
if our laws permitted, it would be foolish for an English
duke or marquis to come over here and contract for ten
thousand American babies, born or to be born, in the
expectation that when able to work he could get out of them
a large return. For by purchasing or fencing in a million
acres of land that cannot run away and do not need to be
fed, clothed or educated, he can, in twenty or thirty
years, have ten thousand full-grown Americans, ready to
give him half of all that their labor can produce on his
land for the privilege of supporting themselves and their
families out of the other half. This gives him more of the
produce of labor than he could exact from so many chattel
slaves. — Protection or Free Trade —
Chapter 25: The Robber That Takes All That Is Left -
econlib
OF the two systems of slavery, I think there can be no
doubt that upon the same moral level, that which makes
property of persons is more humane than that which results
from making private property of land. The cruelties which
are perpetrated under the system of chattel slavery are
more striking and arouse more indignation because they are
the conscious acts of individuals. But for the suffering of
the poor under the more refined system no one in particular
seems responsible. . . . But this very fact permits
cruelties that would not be tolerated under the one system
to pass almost unnoticed under the other. Human beings are
overworked, are starved, are robbed of all the light and
sweetness of life, are condemned to ignorance and
brutishness, and to the infection of physical and moral
disease; are driven to crime and suicide, not by other
individuals, but by iron necessities for which it seems
that no one in particular is responsible.
To match from the annals of chattel slavery the horrors
that day after day transpire unnoticed in the heart of
Christian civilization, it would be necessary to go back to
ancient slavery, to the chronicles of Spanish conquest in
the New World, or to stories of the Middle passage. —
Social Problems
— Chapter 15, Slavery and Slavery
Ownership of Land
— Ownership of
Men
THE general subjection of the many to the few, which we
meet with wherever society has reached a certain
development, has resulted from the appropriation of land as
individual property. It is the ownership of the soil that
everywhere gives the ownership of the men that live upon
it. It is slavery of this kind to which the enduring
pyramids and the colossal monuments of Egypt yet bear
witness, and of the institution of which we have, perhaps,
a vague tradition in the biblical story of the famine
during which the Pharaoh purchased up the lands of the
people. It was slavery of this kind to which, in the
twilight of history, the conquerors of Greece reduced the
original inhabitants of that peninsula, transforming them
into helots by making them pay rent for their lands. It was
the growth of the latifundia, or
great landed estates, which transmuted the population of
ancient Italy from a race of hardy husbandmen, whose robust
virtues conquered the world, into a race of cringing
bondsmen; it was the appropriation of the land as the
absolute property of their chieftains which gradually
turned the descendants of free and equal Gallic, Teutonic
and Hunnish warriors into colonii and villains, and which
changed the independent burghers of Sclavonic village
communities into the boors of Russia and the serfs of
Poland; which instituted the feudalism of China and Japan,
as well as that of Europe, and which made the High Chiefs
of Polynesia the all but absolute masters of their fellows.
How it came to pass that the Aryan shepherds and warriors
who, as comparative philology tells us, descended from the
common birth-place of the Indo-Germanic race into the
lowlands of India, were turned into the suppliant and
cringing Hindoo, the Sanscrit verse which I have before
quoted gives us a hint. The white parasols and the
elephants mad with pride of the Indian Rajah are the
flowers of grants of land. —
Progress & Poverty
— Book VII, Chapter 1, Justice of the Remedy:
Injustice of private property in land
TRACE to their root the causes that are thus producing want
in the midst of plenty, ignorance in the midst of
intelligence, aristocracy in democracy, weakness in
strength — that are giving to our civilization a
one-sided and unstable development, and you will find it
something which this Hebrew statesman three thousand years
ago perceived and guarded against. Moses saw that the real
cause of the enslavement of the masses of Egypt was, what
has everywhere produced enslavement, the possession by a
class of the land upon which, and from which, the whole
people must live. He saw that to permit in land the same
unqualified private ownership that by natural right
attaches to the things produced by labor, would be
inevitably to separate the people into the very rich and
the very poor, inevitably to enslave labor — to make
the few the masters of. the many, no matter what the
political forms, to bring vice and degradation, no matter
what the religion.
And with the foresight of the philosophic statesman who
legislates not for the need of a day, but for all the
future, he sought, in ways suited to his times and
conditions, to guard against this error. — Moses
THE women who by the thousands are bending over their
needles or sewing machines, thirteen, fourteen, sixteen
hours a day; these widows straining and striving to bring
up the little ones deprived of their natural bread-winner;
the children that are growing up in squalor and
wretchedness, under-clothed, under-fed, under-educated,
even in this city without any place to play — growing
up under conditions in which only a miracle can keep them
pure — under conditions which condemn them in advance
to the penitentiary or the brothel — they suffer,
they die, because we permit them to be robbed, robbed
of their birthright, robbed by a system which disinherits
the vast majority of the children that come into the world.
There is enough and to spare for them. Had they the equal
rights in the estate which their Creator has given them,
there would be no young girls forced to unwomanly toil to
eke out a mere existence, no widows finding it such a
bitter, bitter struggle to put bread in the mouths of their
little children; no such misery and squalor as we may see
here in the greatest of American cities; misery and squalor
that are deepest in the largest and richest centers of our
civilization today. — Thou
Shalt Not Steal
Land-Ownership
the Cause of Poverty and Degradation
THE poverty to which in advancing
civilization great masses of men are condemned, is not the
freedom from distraction and temptation which sages have
sought and philosophers have praised: it is a degrading and
embruting slavery, that cramps the higher nature, dulls the
finer feelings, and drives men by its pain to acts which
the brutes would refuse. It is into this helpless, hopeless
poverty, that crushes manhood and destroys womanhood, that
robs even childhood of its innocence and joy, that the
working classes are being driven by a force which acts upon
them like a resistless and unpitying machine. The Boston
collar manufacturer who pays his girls two cents an hour
may commiserate their condition, but he, as they, is
governed by the law of competition, and cannot pay more and
carry on his business, for exchange is not governed by
sentiment. And so, through all intermediate gradations, up
to those who receive the earnings of labor without return,
in the rent of land, it is the inexorable laws of supply
and demand, a power with which the individual can no more
quarrel or dispute than with the winds and the tides, that
seem to press down the lower classes into the slavery of
want.
But, in reality, the cause is that which always has, and
always must result in slavery — the monopolization by
some of what nature has designed for all. . . . Private
ownership of land is the nether millstone. Material
progress is the upper millstone. Between them; with an
increasing pressure, the working classes are being ground.
—
Progress & Poverty —
Book VII, Chapter 2, Justice of the Remedy: Enslavement of
laborers the ultimate result of private property in
land
IT is not in the relations of capital and labor; it is
not in the pressure of population against subsistence that
an explanation of the unequal development of our
civilization is to be found. The great cause of inequality
in the distribution of wealth is inequality in the
ownership of land. The ownership of land is the great
fundamental fact which ultimately determines the social,
the political and, consequently, the intellectual and moral
condition of a people. And it must be so. For land is the
habitation of man, the storehouse upon which he must draw
for all his needs, the material to which his labor must be
applied for the supply of all his desires; for even the
products of the sea cannot be taken, the light of the sun
enjoyed, or any of the forces of nature utilized, without
the use of land or its products. On the land we are born,
from it we live, to it we return again — children of
the soil as truly as is the blade of grass or the flower of
the field. —
Progress & Poverty
— Book V, Chapter 2: The Problem Solved: The
persistence of poverty amid advancing wealth
THERE is nothing strange or inexplicable in the phenomena
that are now perplexing the world. It is not that material
progress is not in itself a good, it is not that nature has
called into being children for whom she has failed to
provide; it is not that the Creator has left on natural
laws a taint of injustice at which even the human mind
revolts, that material progress brings such bitter fruits.
That amid our highest civilization men faint and die with
want is not due to the niggardliness of nature, but to the
injustice of man. Vice and misery, poverty and pauperism,
are not the legitimate results of increase of population
and industrial development; they only follow increase of
population and industrial development because land is
treated as private property — they are the direct and
necessary results of the violation of the supreme law of
justice, involved in giving to some men the exclusive
possession of that which nature provides for all men.
—
Progress & Poverty
— Book VII, Chapter 1, Justice of the Remedy:
Injustice of private property in land
The Robbery of
Labor
IN the Old Testament we are told that, when the Israelites
journeyed through the desert, they were hungered, and that
God sent down out of the heavens — manna. There was
enough for all of them, and they all took it and were
relieved. But, supposing that desert had been held as
private property, as the soil of Great Britain is held; as
the soil even of our new states is being held. Supposing
that one of the Israelites had a square mile, and another
one had twenty square miles, and another one had a hundred
square miles, and the great majority of the Israelites did
not have enough to set the soles of their feet upon, which
they could call their own — what would become of the
manna? What good would it have done to the majority? Not a
whit. Though God had sent down manna enough for all, that
manna would have been the property of the landholders; they
would have employed some of the others, perhaps, to gather
it up in heaps for them, and would have sold it to the
hungry brethren. Consider it: this purchase and sale of
manna might have gone on until the majority of the
Israelites had given up all they had, even to the clothes
off their backs. What then? Well, then they would not have
had anything left with which to buy manna, and the
consequence would have been that while they went hungry the
manna would be lying in great heaps, and the landowners
would be complaining about the over-production of manna.
There would have been a great harvest of manna and hungry
people, just precisely the Phenomenon that we see today.
— The Crime of
Poverty
PROPERTY in land, like property in slaves, is essentially
different from property in things that are the result of
labor. Rob a man or a people of money, or goods, or cattle,
and the robbery is finished there and then. The lapse of
time does not, indeed, change wrong into right, but it
obliterates the effects of the deed. That is done; it is
over; and, unless it be very soon righted, it glides away
into the past, with the men who were parties to it, so
swiftly that nothing save omniscience can trace its
effects; and in attempting to right it we would be in
danger of doing fresh wrong. The past is forever beyond us.
We can neither punish nor recompense the dead. But rob a
people of the land on which they must live, and the robbery
is continuous. It is a fresh robbery of every succeeding
generation — a new robbery every year and every day;
it is like the robbery which condemns to slavery the
children of the slave. To apply to it the statute of
limitations, to acknowledge for it the title of
prescription, is not to condone the past; it is to legalese
robbery in the present, to justify it in the future.
— The (Irish) Land
Question
How to Stop it
LABOR may be likened to a man who as he
carries home his earnings is waylaid by a series of
robbers. One demands this much, and another that much, but
last of all stands one who demands all that is left, save
just enough to enable the victim to maintain life and come
forth next day to work. So long as this last robber
remains, what will it benefit such a man to drive off any
or all of the other robbers?
Such is the situation of labor today throughout the
civilized world. And the robber that takes all that is
left, is private property in land. Improvement, no matter
how great, and reform, no matter how beneficial in itself,
cannot help that class who, deprived of all right to the
use of the material elements, have only the power to labor
— a power as useless in itself as a sail without
wind, a pump without water, or a saddle without a horse.
— Protection or Free Trade — Chapter
25: The Robber That Takes All That Is Left -
econlib | abridged
THERE is but one way to remove an evil — and that is,
to remove its cause. Poverty deepens as wealth increases,
and wages are forced down while productive power
grows, because land, which is the source of all wealth and
the field of all labor, is monopolized. To extirpate
poverty, to make wages what justice commands they should
be, the full earnings of the laborer, we must therefore
substitute for the individual ownership of land a common
ownership. Nothing else will go to the cause of the evil
— in nothing else is there the slightest hope.
—
Progress & Poverty
— Book VI, Chapter 2, The Remedy: The True
Remedy
Collect the
Rent
IF two men find a diamond they do not march to a lapidary
to have it cut in two. If three sons inherit a ship they do
not proceed to saw her into three pieces; nor do they agree
that if this cannot be done equal division is impossible.
Nor yet is there no other way to secure the rights of the
owners of a railway than by breaking up rail, engines,
rolling stock and stations into as many separate bits as
there are shareholders. And so it is not necessary in order
to secure equal rights to land to make an equal division of
land. All that it is necessary to do is to collect rent for
the common benefit. —
Social Problems
— Chapter 19, The First Great Reform
WE would simply take for the community what belongs to the
community, the value that attaches to land by the growth of
the community; leave sacredly to the individual all that
belongs to the individual; and, treating necessary
monopolies as functions of the State, abolish all
restrictions and prohibitions save those required for
public health, safety, morals and convenience. —
The Condition of
Labor, an Open Letter to Pope Leo XIII
MAN is driven by his instincts and needs to form society.
Society, thus formed, has certain needs and functions for
which revenue is required. These needs and functions
increase with social development, requiring a larger and
larger revenue. Now, experience and analogy, if not the
instinctive perceptions of the human mind, teach us that
there is a natural way of satisfying every natural want.
And if human society is included in nature, as it surely
is, this must apply to social wants as well as to the wants
of the individual, and there must be a natural or right
method of taxation, as there is a natural or right method
of walking. —Social
Problems
— Chapter 19, The First Great Reform
Taxation of Private Property
THE mode of taxation is quite as important as
the amount. As a small burden badly placed may distress a
horse that could carry with ease a much larger one properly
adjusted, so a people may be impoverished and their power
of producing wealth destroyed by taxation, which, if levied
in another way, could be borne with ease. —
Progress & Poverty
— Book VIII, Chapter 3, Application of the Remedy:
The Proposition Tried by the Canons of Taxation
IF we impose a tax upon buildings, the users of
buildings must finally pay it, for the erection of
buildings will cease until building rents become high
enough to pay the regular profit and the tax besides. If we
impose a tax upon manufactures or imported goods, the
manufacturer or importer will charge it in a higher price
to the jobber, the jobber to the retailer, and the retailer
to the consumer. Now, the consumer, on whom the tax thus
ultimately falls, must not only pay the amount of the tax,
but also a profit on this amount to everyone who has thus
advanced it — for profit on the capital he has
advanced in paying taxes is as much required by each dealer
as profit on the capital he has advanced in paying for
goods. —
Progress & Poverty
— Book VIII, Chapter 3, Application of the Remedy:
The Proposition Tried by the Canons of Taxation
THE way taxes raise prices is by increasing the cost of
production, and checking supply. But land is not a thing of
human production, and taxes upon rent cannot check supply.
Therefore though a tax on rent compels the landowners to
pay more, it gives them no power to obtain more for the use
of their land, as it in no way tends to reduce the supply
of land. On the contrary, by compelling those who hold land
on speculation to sell or let for what they can get, a tax
on land values tends to increase the competition between
owners, and thus to reduce the price of land. —
Progress & Poverty
— Book VIII, Chapter 3, Application of the Remedy:
The Proposition Tried by the Canons of Taxation
"Taxation" — of Rent, the
Common Property
THE tax upon land values is the most just and equal of all
taxes. It falls only upon those who receive from society a
peculiar and valuable benefit, and upon them in proportion
to the benefit they receive. It is the taking by the
community, for the use of the community, of that value
which is the creation of the community. It is the
application of the common property to common uses. When all
rent is taken by taxation for the needs of the community,
then will the equality ordained by nature be attained. No
citizen will have an advantage over any other citizen save
as is given by his industry, skill, and intelligence; and
each will obtain what he fairly earns. Then, but not till
then, will labor get its full reward, and capital its
natural return. —
Progress & Poverty
— Book VIII, Chapter 3, Application of the Remedy:
The Proposition Tried by the Canons of Taxation
HERE is a provision made by natural law for the increasing
needs of social growth; here is an adaptation of nature by
virtue of which the natural progress of society is a
progress toward equality not toward inequality; a
centripetal force tending to unity growing out of and ever
balancing a centrifugal force tending to diversity. Here is
a fund belonging to society as a whole, from which without
the degradation of alms, private or public, provision can
be made for the weak, the helpless, the aged; from which
provision can be made for the common wants of all as a
matter of common right to each. —
Social Problems
— Chapter 19, The First Great Reform
NOT only do all economic considerations point to a tax
on land values as the proper source of public revenues; but
so do all British traditions. A land tax of four shillings
in the pound of rental value is still nominally enforced in
England, but being levied on a valuation made in the reign
of William III, it amounts in reality to not much over a
penny in the pound. With the abolition of indirect taxation
this is the tax to which men would naturally turn. The
resistance of landholders would bring up the question of
title, and thus any movement which went so far as to
propose the substitution of direct for indirect taxation
must inevitably end in a demand for the restoration to the
British people of their birthright. — Protection
or Free Trade— Chapter 27: The Lion in the Way -
econlib
THE feudal system, which is not peculiar to Europe but
seems to be the natural result of the conquest of a settled
country by a race among whom equality and individuality are
yet strong, clearly recognized, in theory at least, that
the land belongs to society at large, not to the
individual. Rude outcome of an age in which might stood for
right as nearly as it ever can (for the idea of right is
ineradicable from the human mind, and must in some shape
show itself even in the association of pirates and
robbers), the feudal system yet admitted in no one the
uncontrolled and exclusive right to land. A fief was
essentially a a trust, and to enjoyment was annexed
obligation. The sovereign, theoretically the representative
of the collective power and rights of the whole people, was
in feudal view the only absolute owner of land. And though
land was granted to individual possession, yet in its
possession were involved duties, by which the enjoyer of
its revenues was supposed to render back to the
commonwealth an equivalent for the benefits which from the
delegation of the common right he received. —
Progress &Poverty
— Book VII, Chapter 4, Justice of the Remedy: Private
Property in Land Historically Considered
THE abolition of the military tenures in England by the
Long Parliament, ratified after the accession of Charles
II, though simply an appropriation of public revenues by
the feudal landowners, who thus got rid of the
consideration on which they held the common property of the
nation, and saddled it on the people at large in the
taxation of all consumers, has been long characterized, and
is still held up in the law books, as a triumph of the
spirit of freedom. Yet here is the source of the immense
debt and heavy taxation of England. Had the form of these
feudal dues been simply changed into one better adapted to
the changed times, English wars need never have occasioned
the incurring of debt to the amount of a single pound, and
the labor and capital of England need not have been taxed a
single farthing for the maintenance of a military
establishment. All this would have come from rent, which
the landholders since that time have appropriated to
themselves — from the tax which land ownership levies
on the earnings of labor and capital. The landholders of
England got their land on terms which required them even in
the sparse population of Norman days to put in the field,
upon call, sixty thousand perfectly equipped horsemen, and
on the further condition of various fines and incidents
which amounted to a considerable part of the rent. It would
probably be a low estimate to put the pecuniary value of
these various services and dues at one-half the rental
value of the land. Had the landholders been kept to this
contract and no land been permitted to be inclosed except
upon similar terms, the income accruing to the nation from
English land would today be greater by many millions than
the entire public revenues of the United Kingdom. England
today might have enjoyed absolute free trade. There need
not have been a customs duty, an excise, license or income
tax, yet all the present expenditures could be met, and a
large surplus remain to be devoted to any purpose which
would conduce to the comfort or well-being of the whole
people. —
Progress &Poverty
— Book VII, Chapter 4, Justice of the Remedy: Private
Property in Land Historically Considered
"The Single Tax"
WHAT the people of England are entitled to by natural
right, and what we propose by the single tax to take for
their use, is the value of land as it
is, exclusive of the value or improvements
as they are in or on the land
privately owned. What would thus be left to the landowners
would be their personal or moveable property, the value of
all existing improvements in or on their land, and their
equal share with all other citizens in the land value
resumed. This is perfectly clear, and if not perfectly
fair, is only so because it would leave to the landowners
in their personal property and the value of their
improvements much not due to any exertion of labor by
themselves or their ancestors, but which has come to them
through the unjust appropriation of the proceeds of others'
labor. — A Perplexed
Philosopher (Justice
On The Right To Land)
Loss and Gain
AND while in the nature of things any change
from wrong-doing to right-doing must entail loss upon those
who profit by the wrong-doing, and this can no more be
prevented than can parallel lines be made to meet; yet it
must also be remembered that in the nature of things the
loss is merely relative, the gain absolute. Whoever will
examine the subject will see that in the abandonment of the
present unnatural and unjust method of raising public
revenues and the adoption of the natural and just method
even those who relatively lose will be enormous gainers.
— A
Perplexed Philosopher (Compensation)
MANY landholders are laborers of one sort or another. And
it would be hard to find a landowner not a laborer, who is
not also a capitalist — while the general rule is,
that the larger the landowner the greater the capitalist.
So true is this that in common thought the characters are
confounded. Thus, to put all taxes on the value of land,
while it would be to largely reduce all great fortunes,
would in no case leave the rich man penniless. The Duke of
Westminster, who owns a considerable part of the site of
London, is probably the richest landowner in the world. To
take all his ground rents by taxation would largely reduce
his enormous income, but would still leave him his
buildings and all the income from them, and doubtless much
personal property in various other shapes. He would still
have all he could by any possibility enjoy, and a much
better state of society in which to enjoy it. —
Progress & Poverty
— Book IX, Chapter 3, Effects of the Remedy: Of the
Effect Upon Individuals and Classes
THE existence of private property in land is a great social
wrong from which society at large suffers and of which the
very rich and the very poor are alike victims, though at
the opposite extremes.
Seeing this, it seems to us like a violation of Christian
charity to speak of the rich as though they individually
were responsible for the sufferings of the poor. Yet, while
you do this, you insist that the cause of monstrous wealth
and degrading poverty shall not be touched. Here is a man
with a disfiguring and dangerous excrescence. One physician
would kindly, gently, but firmly remove it. Another insists
that it shall not be removed, but at the same time holds up
the poor victim to hatred and ridicule. Which is right- ?
— The Condition
of Labor, an Open Letter to Pope Leo XIII
Rich and Poor Alike Gainers
THE evil is not in wealth in itself —
in its command over material things; it is in the
possession of wealth while others are steeped in poverty;
in being raised above touch with the life of humanity, from
its work and its struggles, its hopes and its fears, and
above all, from the love that sweetens life, and the kindly
sympathies and generous acts that strengthen faith in man
and trust in God. Consider how the rich see the meaner side
of human nature; how they are surrounded by flatterers and
sycophants; how they find ready instruments not only to
gratify vicious impulses, but to prompt and stimulate them;
how they must constantly be on guard lest they be swindled;
how often they must suspect an ulterior motive behind
kindly deed or friendly word; how, if they try to be
generous, they are beset by shameless beggars and scheming
impostors; how often the family affections are chilled for
them, and their deaths anticipated with the ill-concealed
joy of expectant possession. The worst evil of poverty is
not in the want of material things, but in the stunting and
distortion of the higher qualities. So, though in another
way, the possession of unearned wealth likewise stunts and
distorts what is noblest in man.
God's commands cannot be evaded with impunity. If it be
God's command that men shall earn their bread by labor, the
idle rich must suffer. And they do. — The Condition of Labor, an
Open Letter to Pope Leo XIII
IT seems to me that in a condition of society in which no
one need fear poverty, no one would desire great wealth
— at least no one would take the trouble to strive
and to strain for it as men do now. For, certainly, the
spectacle of men who have only a few years to live, slaving
away their time for the sake of dying rich, is in itself so
unnatural and absurd, that in a state of society where the
abolition of the fear of want had dissipated the envious
admiration with which the masses of men now regard the
possession of great riches, whoever would toil to acquire
more than he cared to use would be looked upon as we would
now look on a man who would thatch his head with half a
dozen hats, or walk around in the hot sun with an overcoat
on. When everyone is sure of being able to get enough, no
one will care to make a packhorse of himself. —
Progress & Poverty
— Book IX, Chapter 2: Effects of the Remedy, upon
distribution and thence on production
MEN instinctively admire virtue and truth, but the sting of
want and the fear of want make them even more strongly
admire the rich and sympathize with the fortunate. It is
well to be honest and just, and men will commend it; but he
who by fraud and injustice gets him a million dollars will
have more respect and admiration and influence, more eye
service and lip service, if not heart service, than he who
refuses it. The one may have his reward in the future; he
may know that his name is writ in the Book of Life, and
that for him is the white robe and the palm branch of the
victor against temptation; but the other has his reward in
the present. His name is writ in the list of "our
substantial citizens;" he has the courtship of men and the
flattery of women; the best pew in the church and the
personal regard of the eloquent clergyman, who in the name
of Christ preaches the Gospel of Dives, and tones down into
a meaningless flower of. eastern speech the stern metaphor
of the camel and the needle's eye. He may be a patron of
arts, a Maecenas to men of letters; may profit by the
converse of the intelligent, and be polished by the
attrition of the refined. His alms may feed the poor, and
help the struggling, and bring sunshine into desolate
places; and noble public institutions commemorate, after he
is gone, his name and his fame. It is not in the guise of a
hideous monster, with horns and tail, that Satan tempts the
children of men, but as an angel of light. His promises are
not alone of the kingdoms of the world, but of mental and
moral principalities and powers. He appeals not only to the
animal appetites, but to the cravings that stir in man
because he is more than an animal. —
Progress & Poverty —
Book IX, Chapter 4, Effects of the Remedy: Of the Changes
that would be Wrought in Social Organization and Social
Life
The Poor and the Kingdom
"THE poor ye have always with you." If ever a scripture has
been wrested to the devil's service, this is that
scripture. How often have these words been distorted from
their obvious meaning to soothe conscience into
acquiescence in human misery and degradation — to
bolster that blasphemy, the very negation and denial of
Christ's teachings, that the All Wise and Most Merciful,
the Infinite Father, has decreed that so many of His
creatures must be poor in order that others of His
creatures to whom He wills the good things of life should
enjoy the please and virtue of doling out alms! "The
poor ye have always with you," said Christ; but all His
teachings supply the limitation, "until the coming of the
Kingdom." In that kingdom of God on
earth, that kingdom of justice and love for which He
taught His followers to strive and pray, there will be no
poor. —
Social Problems — Chapter 8: That We All Might Be
Rich.
WE naturally despise poverty; and it is reasonable that we
should. I do not say — I distinctly repudiate it
— that the people who are poor are poor always from
their own fault, or even in most cases; but it ought to be
so. If any good man or woman had the power to create a
world, it would be a sort of a world in which no one would
be poor unless he was lazy or vicious. But that is just
precisely the kind of a world that this is; that is just
precisely, the kind of a world that the Creator has made.
Nature gives to labor, and to labor alone; there must be
human work before any article of wealth can be produced;
and, in a natural state of things, the man who toiled
honestly and well would be the rich man, and he who did not
work would be poor. We have so reversed the order of
nature, that we are accustomed to think of a working-man as
a poor man. — The
Crime of Poverty
"Rich" and "Poor"
Defined
BUT is there not some line the recognition of which will
enable us to say with something like scientific precision
that this man is rich and that man is poor; some line of
possession which will enable us truly to distinguish
between rich and poor in all places and conditions of
society; a line of the natural mean or normal possession,
below which in varying degrees is poverty, and above which
in varying degrees is wealthiness? It seems to me that
there must be. And if we stop to think of it, we may see
that there is. If we set aside for the moment the narrower
economic meaning of service, by which direct service is
conveniently distinguished from the indirect service
embodied in wealth, we may resolve all the things which
directly or indirectly satisfy human desire into one term
service, just as we resolve fractions into a common
denominator. Now is there not a natural or normal line of
the possession or enjoyment of service? Clearly there is.
It is that of equality between giving and receiving. This
is the equilibrium which Confucius expressed in the golden
word of his teaching that in English we translate into
"reciprocity." Naturally the services which a member
of a human society is entitled to receive from other
members are the equivalents of those he renders to others.
Here is the normal line from which what we call wealthiness
and what we call poverty take their start. He who can
command more service than he need render, is rich. He is
poor, who can command less service than he does render or
is willing to render: for in our civilization of today we
must take note of the monstrous fact that men willing to
work cannot always find opportunity to work. The one has
more than he ought to have; the other has less. Rich and
poor are thus correlatives of each other; the existence of
a class of rich involves the existence of a class of poor,
and the reverse; and abnormal luxury on the one side and
abnormal want on the other have a relation of necessary
sequence. To put this relation into terms of morals, the
rich are the robbers, since they are at least sharers in
the proceeds of robbery; and the poor are the robbed. This
is the reason, I take it, why Christ, Who was not really a
man of such reckless speech as some Christians deem Him to
have been, always expressed sympathy with the poor and
repugnance of the rich. In His philosophy it was better
even to be robbed than to rob. In the kingdom of right
doing which He preached, rich and poor would be impossible,
because rich and poor in the true sense are the results of
wrong-doing. And when He said, "It is easier for a camel to
pass through the eye of a needle than for a rich man to
enter the kingdom of heaven," He simply put in the emphatic
form of Eastern metaphor a statement of fact as coldly true
as the statement that two parallel lines can never meet.
Injustice cannot live where justice rules, and even if the
man himself might get through, his riches — his power
of compelling service without rendering service —
must of necessity be left behind. If there can be no poor
in the kingdom of heaven, clearly there can be no rich. And
so it is utterly impossible in this, or in any other
conceivable world, to abolish unjust poverty, without at
the same time abolishing unjust possessions. This is a hard
word to the softly amiable philanthropists, who, to speak
metaphorically, would like to get on the good side of God
without angering the devil. But it is a true word
nevertheless. — The Science of Political
Economy
unabridged: Book II, Chapter 19, The Nature of Wealth:
Moral Confusions as to Wealth • abridged:
Part II, Chapter 15, The Nature of Wealth: Moral Confusions
as to Wealth
John Stuart Mill
GREAT as John Stuart Mill was and pure as he
was — warm heart and noble mind — he yet never
saw the true harmony of economic laws, nor realized how
from this one great fundamental wrong flow want and misery,
and vice and shame. Else he could never have written this
sentence: "The land of Ireland, the land of every country,
belongs to the people of that country. The individuals
called landowners have no right in morality and justice to
anything but the rent, or compensation for its salable
value."
In the name of the Prophet — figs! If the land of any
country belong to the people of that country, what right,
in morality and justice, have the individuals called
landowners to the rent? If the land belong to the people,
why in the name of morality and justice should the people
pay its salable value for their own?
Herbert Spencer says: "Had we to deal with the parties who
originally robbed the human race of its heritage, we might
make short work of the matter?" Why not make short work of
the matter anyhow? For this robbery is not like the robbery
of a horse or a sum of money, that ceases with the act. It
is a fresh and continuous robbery, that goes on every day
and every hour. It is not from the produce of the past that
rent is drawn; it is from the produce of the present. It is
a toll levied upon labor constantly and continuously. Every
blow of the hammer, every stroke of the pick, every thrust
of the shuttle, every throb of the steam engine pay it
tribute. It levies upon the earnings of the men who, deep
underground, risk their lives, and of those who over white
surges hang to reeling masts; it claims the just reward of
the capitalist and the fruits of the inventor's patient
effort; it takes little children from play and from school,
and compels them to work before their bones are hard or
their muscles are firm; it robs the shivering of warmth;
the hungry, of food; the sick, of medicine; the anxious, of
peace. It debases, and embrutes, and embitters. —
Progress & Poverty
— Book VII, Chapter 3, Justice of the Remedy: Claim
of Landowners to Compensation
Compensation
THE common law we are told is the perfection
of reason, and certainly the landowners cannot complain of
its decision, for it has been built up by and for
landowners. Now what does the law allow to the innocent
possessor when the land for which he paid his money is
adjudged to rightfully belong to another? Nothing at
all. That he purchased in good faith gives him no right or
claim whatever. The law does not concern itself with the
"intricate question of compensation" to the innocent
purchaser. The law does not say, as John Stuart Mill says:
"The land belongs to A, therefore B who has thought himself
the owner has no right to anything but the rent, or
compensation for its salable value." For that would be
indeed like a famous fugitive slave case decision in which
the Court was said to have given the law to the North and
the nigger to the South. The law simply says: "The land
belongs to A, let the Sheriff put him in possession! "
—
Progress & Poverty
— Book VII, Chapter 3, Justice of the Remedy: Claim
of Landowners to Compensation
COMPENSATED for what? For giving up what has been unjustly
taken? The demand of land-owners for compensation is not
that. We do not seek to spoil the Egyptians. We do not ask
that what has been unjustly taken from laborers shall be
restored. We are willing that bygones should be bygones,
and to leave dead wrongs to bury their dead. We propose to
let those who, by the past appropriation of land-value,
have taken the fruits of labor, retain what they have thus
got. We merely propose that for the future such robbery of
labor shall cease. — NOW, is the State called on to
compensate men for the failure of their expectations as to
its action, even where no moral element is involved? If it
make peace, must it compensate those who have invested on
the expectation of war. If it open a shorter highway, is it
morally bound to compensate those who may lose by the
diversion of travel from the old one? If it promote the
discovery of a cheap means of producing electricity
directly from heat, is it morally bound to compensate the
owners of all the steam engines thereby thrown out of use
and all who are engaged in making them? If it develop the
air-ship, must it compensate those whose business would be
injured? Such a contention would be absurd. —
The Condition of
Labor
Yet the contention we are considering is worse. It is that
the State must compensate for disappointing the
expectations of those who have counted on its continuing to
do wrong. — A Perplexed
Philosopher (Compensation)
COMPENSATION implies equivalence. To compensate for the
discontinuance of a wrong is to give those who profit by
the wrong the pecuniary equivalent of its continuance. Now
the State has nothing that does not belong to the
individuals who compose it. What it gives to some it must
take from others. Abolition with compensation is therefore
not really abolition, but continuance under a different
form — on one side of unjust deprivation, and on the
other side of unjust appropriation. — A Perplexed
Philosopher (Compensation)
The Innocent Purchaser
INNOCENT purchasers of what involves wrong to
others! Is not the phrase absurd? If, in our legal
tribunals, "ignorance of the law excuseth no man," how much
less can it do so in the tribunal of morals — and it
is this to which compensationists appeal.
And innocence can only shield from the punishment due to
conscious wrong; it cannot give right. If you innocently
stand on my toes, you may fairly ask me not to be angry;
but you gain no right to continue to stand on them. —
A Perplexed
Philosopher (Compensation)
WHEN a man exchanges property of one kind for property of
another kind he gives up the one with all its incidents and
takes in its stead the other with its incidents. He cannot
sell bricks and buy hay, and then complain because the hay
burned when the bricks would not. The greater liability of
the hay to burn is one of the incidents he accepted in
buying it. Nor can he exchange property having moral
sanction for property having only legal sanction, and claim
that the moral sanction of the thing he sold attaches now
to the thing he bought. That has gone with the thing to the
other party in the exchange. Exchange transfers, it cannot
create. Each party gives up what right he had and
takes what right the other party had. The last holder
obtains no moral right that the first holder did not have.
— A
Perplexed Philosopher (Compensation)
Compensation
"CAVEAT emptor" is the maxim of the law — "Let the
buyer beware!" If a man buys a structure in which the law
of gravity is disregarded or mechanical laws ignored, he
takes the risk of those laws asserting their sway. And so
he takes the risk in buying property which contravenes the
moral law. When he ignores the moral sense, when he gambles
on the continuance of a wrong, and when at last the general
conscience rises to the point of refusing to continue that
wrong, can he then claim that those who have refrained from
taking part in it, those who have suffered from it, those
who have borne the burden and heat and contumely of first
moving against it, shall share in his losses on the ground
that as members of the same state they are equally
responsible for it? And must not the acceptance of this
impudent plea tend to prevent that gradual weakening and
dying out of the wrong, which would otherwise occur as the
rise of the moral sense against it lessened the prospect of
its continuance; and by promise of insurance to investors
tend to maintain it in strength and energy till the last
minute? — A Perplexed
Philosopher (Compensation)
ALL pleas for compensation on the abolition of unequal
rights to land are excuses for avoiding right and
continuing wrong; they all, as fully as the original wrong,
deny that equalness which is the essential of justice.
Where they have seemed plausible to any honestly-minded
man, he will, if he really examines his thought, see that
this has been so because he has, though perhaps
unconsciously, entertained a sympathy for those who seem to
profit by injustice which he has refused to those who have
been injured by it. He has been thinking of the few whose
incomes would be cut off by the restoration of equal right.
He has forgotten the many, who are being impoverished,
degraded, and driven out of life by its denial. If he once
breaks through the tyranny of accustomed ideas and truly
realizes that all men are equally entitled to the use of
the natural opportunities for the living of their lives and
the development of their powers, he will see the injustice,
the wickedness, of demanding compensation for the abolition
of the monopoly of land. He will see that if anyone is to
be compensated on the abolition of a wrong, it is those who
have suffered by the wrong, not those who have profited by
it. — A
Perplexed Philosopher (Compensation)
Justice
JUSTICE in men's mouths is cringingly humble when she first
begins a protest against a time-honored wrong, and we of
the English-speaking nations still wear the collar of the
Saxon thrall, and have been educated to look upon the
"vested rights" of landowners with all the superstitious
reverence that ancient Egyptians looked upon the crocodile.
But when the times are ripe for them, ideas grow, even
though insignificant in their first appearance. One day,
the Third Estate covered their heads when the king put on
his hat. A little while thereafter, and the head of a son
of St. Louis rolled from the scaffold. The anti-slavery
movement in the United States commenced with talk of
compensating owners, but when four millions of slaves were
emancipated, the owners got no compensation, nor did they
clamor for any. And by the time the people of any such
country as England or the United States are sufficiently
aroused to the injustice and disadvantages of individual
ownership of land to induce them to attempt its
nationalization, they will be sufficiently aroused to
nationalize it in a much more direct and easy way than by
purchase. They will not trouble themselves about
compensating the proprietors of land. —
Progress & Poverty
— Book VII, Chapter 3, Justice of the Remedy: Claim
of Landowners to Compensation
IT requires reflection to see that manifold effects
result from a single cause, and that the remedy for a
multitude of evils may lie in one simple reform. As in the
infancy of medicine, men were disposed to think each
distinct symptom called for a distinct remedy, so when
thought begins to turn to social subjects there is a
disposition to seek a special cure for every ill, or else
(another form of the same short-sightedness) to imagine the
only adequate remedy to be something which presupposes the
absence of those ills; as, for instance, that all men
should be good, as the cure for vice and crime; or that all
men should be provided for by the State, as the cure for
poverty. — Protection or Free Trade —
Chapter 28: Free Trade and Socialism -
econlib
The Single Tax
TO abolish the taxation which, acting and reacting, now
hampers every wheel of exchange and presses upon every form
of industry, would be like removing an immense weight from
a powerful spring. Imbued with fresh energy, production
would start into new life, and trade would receive a
stimulus which would be felt to the remotest arteries. The
present method of taxation operates upon exchange like
artificial deserts and mountains; it costs more to get
goods through a custom house than it does to carry them
around the world. It operates upon energy, and industry,
and skill, and thrift, like a fine upon those qualities. If
I have worked harder and built myself a good house while
you have been contented to live in a hovel, the
tax-gatherer now comes annually to make me pay a penalty
for my energy and industry, by taxing me more than you. If
I have saved while you wasted, I am mulct, while you are
exempt. If a man build a ship we make him pay for his
temerity, as though he had done an injury to the state; if
a railroad be opened, down comes the tax collector upon it,
as though it were a public nuisance; if a manufactory be
erected, we levy upon it an annual sum which would go far
towards making a handsome profit. We say we want capital,
but if anyone accumulate it, or bring it among us, we
charge him for it as though we were giving him a privilege.
We punish with a tax the man who covers barren fields with
ripening grain; we fine him who puts up machinery, and him
who drains a swamp. —
Progress & Poverty
— Book IX, Chapter 1, Effects of the Remedy: Of the
Effect upon the Production of Wealth
Its Beneficent
Effects
AND will not the community gain by thus refusing to kill
the goose that lays the golden eggs; by thus refraining
from muzzling the ox that treadeth out the corn; by thus
leaving to industry, and thrift, and skill, their natural
reward, full and unimpaired? For there is to the community
also a natural reward. The law of society is, each for all,
as well as all for each. No one can keep to himself the
good he may do, any more than he can keep the bad. Every
productive enterprise, besides its return to those who
undertake it, yields collateral advantages to others. If a
man plant a fruit tree, his gain is that he gathers the
fruit in its time and season. But in addition to his gain,
there is a gain to the whole community. Others than the
owner are benefited by the increased supply of fruit; the
birds which it shelters fly far and wide; the rain which it
helps to attract falls not alone on his field; and, even to
the eye which rests upon it from a distance, it brings a
sense of beauty. And so with everything else. The building
of a house, a factory, a ship, or a railroad, benefits
others besides those who get the direct profits. Nature
laughs at a miser. He is like the squirrel who buries his
nuts and refrains from digging them up again. Lo! they
sprout and grow into trees. In fine linen, steeped in
costly spices, the mummy is laid away. Thousands and
thousands of years thereafter, the Bedouin cooks his food
by a fire of its encasings, it generates the steam by which
the traveler is whirled on his way, or it passes into
far-off lands to gratify the curiosity of another race. The
bee fills the hollow tree with honey, and along comes the
bear or the man. —
Progress & Poverty
— Book IX, Chapter 1, Effects of the Remedy: Of the
Effect upon the Production of Wealth
CONSIDER the effect of such a change upon the labor
market. Competition would no longer be one-sided, as now.
Instead of laborers competing with each other for
employment, and in their competition cutting down wages to
the point of bare subsistence, employers would everywhere
be competing for laborers, and wages would rise to the fair
earnings of labor. For into the labor market would have
entered the greatest of all competitors for the employment
of labor, a competitor whose demand cannot be satisfied
until want is satisfied — the demand of labor itself.
The employers of labor would not have merely to bid against
other employers, all feeling the stimulus of greater trade
and increased profits, but against the ability of laborers
to become their own employers upon the natural
opportunities freely opened to them by the tax which
prevented monopolization. —
Progress & Poverty
— Book IX, Chapter 1, Effects of the Remedy: Of the
Effect upon the Production of Wealth
Effect of Release
from Fear of Want
THAT the masses now festering in the tenement houses of our
cities, under conditions which breed disease and death, and
vice and crime, should each family have its healthful home,
set in its garden; that the working farmer should be able
to make a living with a daily average of two or three
hours' work, which more resembled healthy recreation than
toil; that his home should be replete with all the
conveniences yet esteemed luxuries; that it should be
supplied with light and heat, and power if needed, and
connected with those of his neighbors by the telephone;
that his family should be free to libraries, and lectures,
and scientific apparatus and instruction; that they should
be able to visit the theater, or concert, or opera, as
often as they cared to do so, and occasionally to make
trips to other parts of the country or to Europe; that, in
short, not merely the successful man, the one in a
thousand, but the man of ordinary parts and ordinary
foresight and prudence, should enjoy all that advancing
civilization can bring to elevate and expand human life,
seems, in the light of existing facts, as wild a dream as
ever entered the brain of hasheesh eater. Yet the powers
already within the grasp of man make it easily
possible. —
Social Problems — Chapter 21: City and
Country.
GIVE labor a free field and its full earnings; take for the
benefit of the whole community that fund which the growth
of the community creates, and want and the fear of want
would be gone. The springs of production would be set free,
and the enormous increase of wealth would give the poorest
ample comfort. Men would no more worry about finding
employment than they worry about finding air to breathe;
they need have no more care about physical necessities than
do the lilies of the field. The progress of science, the
march of invention, the diffusion of knowledge, would bring
their benefits to all.
With this abolition of want and the fear of want, the
admiration of riches would decay, and men would seek the
respect and approbation of their fellows in other modes
than by the acquisition and display of wealth. In this way
there would be brought to the management of public affairs
and the administration of common funds the skill, the
attention, the fidelity and integrity, that can now only be
secured for private interests, and a railroad or gas works
might be operated on public account, not only more
economically and efficiently than, as at present, under
joint stock management, but as economically and efficiently
as would be possible under a single ownership. The prize of
the Olympian games, that called forth the most strenuous
exertions of all Greece, was but a wreath of wild olive;
for a bit of ribbon men have over and over again performed
services no money could have bought. —
Progress & Poverty
— Book IX, Chapter 4— Effects of the Remedy: Of
the Changes that Would be Wrought in Social Organization
and Social Life
Liberation of Higher Qualities
SHORT-SIGHTED is the philosophy which counts on selfishness
as the master motive of human action. It is blind to facts
of which the world is full. It sees not the present, and
reads not the past aright. If you would move men to action,
to what shall you appeal? Not to their pockets, but to
their patriotism; not to selfishness but to sympathy.
Self-interest is, as it were, a mechanical force —
potent, it is true; capable of large and wide results. But
there is in human nature what may be likened to a chemical
force; which melts and fuses and overwhelms; to which
nothing seems impossible. "All that a man hath will he give
for his life" — that is self-interest. But in loyalty
to higher impulses men will give even life.
It is not selfishness that enriches the annals of every
people with heroes and saints. It is not selfishness that
on every page of the world's history; bursts out in sudden
splendor of noble deeds or sheds the soft radiance of
benignant lives. It was not selfishness that turned
Gautama's back to his royal home or bade the Maid of
Orleans lift the sword from the altar; that held the Three
Hundred in the Pass of Thermopylae, or gathered into
Winkelried's bosom the sheaf of spears; that chained
Vincent de Paul to the bench of the galley, or brought
little starving children during the Indian famine tottering
to the relief stations with yet weaker starvelings in their
arms! Call it religion, patriotism, sympathy, the
enthusiasm for humanity, or the love of God — give it
what name you will; there is yet a force which overcomes
and drives out selfishness; a force which is the
electricity of the moral universe; a force beside which all
others are weak. Everywhere that men have lived it has
shown its power, and today, as ever, the world is full of
it. To be pitied is the man who has never seen and never
felt it. Look around! among common men and women, amid the
care and the struggle of daily life in the jar of the noisy
street and amid the squalor where want hides —
everywhere, and there is the darkness lighted with the
tremulous play of its lambent flames. He who has not seen
it has walked with shut eyes. He who looks may see, as says
Plutarch, that "the soul has a principle of kindness in
itself, and is born to love, as well as to perceive, think,
or remember."
And this force of forces — that now goes to waste or
assumes perverted forms — we may use for the
strengthening and building up and ennobling of society, if
we but will, just as we now use physical forces that once
seemed but powers of destruction. All we have to do is but
to give it freedom and scope. —
Progress & Poverty
— Book IX, Chapter 4— Effects of the Remedy: Of
the Changes that Would be Wrought in Social Organization
and Social Life
THE efficiency of labor always increases with the habitual
wages of labor — for high wages mean increased
self-respect, intelligence, hope and energy. Man is not a
machine, that will do so much and no more; he is not an
animal, whose powers may reach thus far and no further. It
is mind, not muscle, which is the great agent of
production. The physical power evolved in the human frame
is one of the weakest of forces, but for the human
intelligence the resistless currents of nature flow, and
matter becomes plastic to the human will. To increase the
comforts, and leisure, and independence of the masses is to
increase their intelligence; it is to bring the brain to
the aid of the hand; it is to engage in the common work of
life the faculty which measures the animalcule and traces
the orbits of the stars! —
Progress & Poverty
— Book IX, Chapter 2: Effects of the Remedy, upon
distribution and thence on production
OUT upon nature, in upon him himself, back through the
mists that shroud the past, forward into the darkness that
overhangs the future, turns the restless desire that arises
when the animal wants slumber in satisfaction. Beneath
things he seeks the law; he would know how the globe was
forged, and the stars were hung, and trace to their sources
the springs of life. And then, as the man develops his
nobler nature, there arises the desire higher yet —
the passion of passions, the hope of hopes — the
desire that he, even he, may somehow aid in making life
better and brighter, in destroying want and sin, sorrow and
shame. He masters and curbs the animal; he turns his back
upon the feast and renounces the place of power; he leaves
it to others to accumulate wealth, to gratify pleasant
tastes, to bask themselves in the warm sunshine of the
brief day. He works for those he never saw and never can
see; for a fame, or it may be but for a scant justice, that
can only come long after the clods have rattled upon his
coffin lid. He toils in the advance, where it is cold, and
there is little cheer from men, and the stones are sharp
and the brambles thick.
Amid the scoffs of the present and the sneers that stab
like knives, he builds for the future; he cuts the trail
that progressive humanity may hereafter broaden into a
highroad. Into higher, grander spheres desire mounts and
beckons, and a star that rises in the east leads him on.
Lo! the pulses of the man throb with the yearnings of the
god — he would aid in the process of the suns!
—
Progress & Poverty
— Book II, Chapter 3, Population and Subsistence:
Inferences from Analogy
The Law of Progress
MENTAL power is the motor of progress, and
men tend to advance in proportion to the mental power
expended in progression — the mental power which is
devoted to the extension of knowledge, the improvement of
methods, and the betterment of social conditions. —
Progress & Poverty
— Book X, Chapter 3, The Law of Human
Progress
To compare society to a boat. Her progress through
the water will not depend upon the exertion of her crew,
but upon the exertion devoted to propelling her. This will
be lessened by any expenditure of force required for
baling, or any expenditure of force in fighting among
themselves or in pulling in different directions.
Now, as in a separated state the whole powers of man are
required to maintain existence, and mental power is only
set free for higher uses by the association of men in
communities, which permits the division of labor and all
the economies which come with the co-operation of increased
numbers, association is the first essential of progress.
Improvement becomes possible as men come together in
peaceful association, and the wider and closer the
association, the greater the possibilities of improvement.
And as the wasteful expenditure of mental power in conflict
becomes greater or less as the moral law which accords to
each an equality of rights is ignored or is recognized,
equality (or justice) is the second essential of
progress.
Thus association in equality is the law of progress.
Association frees mental power for expenditure in
improvement, and equality (or justice, or freedom —
for the terms here signify the same thing, the recognition
of the moral law) prevents the dissipation of this power in
fruitless struggles. —
Progress & Poverty
— Book X, Chapter 3, The Law of Human
Progress
The Moral Law
THE law of human progress, what is it but the moral law?
Just as social adjustments promote justice, just as they
acknowledge the equality of right between man and man, just
as they insure to each the perfect liberty which is bounded
only by the equal liberty of every other, must civilization
advance. Just as they fail in this, must advancing
civilization come to a halt and recede. Political economy
and social science cannot teach any lessons that are not
embraced in the simple truths that were taught to poor
fishermen and Jewish peasants by One who eighteen hundred
years ago was crucified — the simple truths which,
beneath the warpings of selfishness and the distortions of
superstition, seem to underlie every religion that has ever
striven to formulate the spiritual yearnings of man.
—
Progress & Poverty
— Book X, Chapter 3, The Law of Human
Progress
THE poverty which in the midst of abundance pinches and
embrutes men, and all the manifold evils which flow from
it, spring from a denial of justice. In permitting the
monopolization of the opportunities which nature freely
offers to all, we have ignored the fundamental law of
justice — for, so far as we can see, when we view
things upon a large scale, justice seems to be the supreme
law of the universe. But by sweeping away this injustice
and asserting the rights of all men to natural
opportunities, we shall conform ourselves to the law
— we shall remove the great cause of unnatural
inequality in the distribution of wealth and power; we
shall abolish poverty; tame the ruthless passions of greed;
dry up the springs of vice and misery; light in dark places
the lamp of knowledge; give new vigor to invention and a
fresh impulse to discovery; substitute political strength
for political weakness; and make tyranny and anarchy
impossible. —
Progress & Poverty
— Book X, Chapter 5, The Law of Human Progress: The
Central Truth
Justice, the Foundation
THAT justice is the highest quality in the
moral hierarchy I do not say; but that it is the first.
That which is above justice must be based on justice, and
include justice, and be reached through justice. It is not
by accident that, in the Hebraic religious development
which through Christianity we have inherited, the
declaration, "The Lord thy God is a just God," precedes the
sweeter revelation of a God of Love. Until the eternal
justice is perceived, the eternal love must be hidden. As
the individual must be just before he can be truly
generous, so must human society be based upon justice
before it can be based on benevolence. —
Social Problems
— Chapter 9, First Principles
It is, something grander than Benevolence, something more
august than Charity — it is Justice herself that
demands of us to right this wrong. Justice that will not be
denied; that cannot be put off — Justice that with
the scales carries the sword. Shall we ward the stroke with
liturgies and prayers? Shall we avert the decrees of
immutable law by raising churches when hungry infants moan
and weary mothers weep?
Though it may take the language of prayer, it is blasphemy
that attributes to the inscrutable decrees of Providence
the suffering and brutishness that come of poverty; that
turns with folded hands to the All-Father and lays on Him
the responsibility for the want and crime of our great
cities. We degrade the Everlasting. We slander the Just
One. —
Progress & Poverty
— Book X, Chapter 5, The Law of Human Progress: The
Central Truth
WE see that God in His dealings with men has not been a
bungler or a niggard; that He has not brought too many men
into the world; that He has not neglected abundantly to
supply them; that He has not intended that bitter
competition of the masses for a mere animal existence, and
that monstrous aggregation of wealth which characterizes
our civilization; but that these evils, which lead so many
to say there is no God, or yet more impiously to say that
they are of God's ordering, are due to our denial of His
moral law. We see that the law of justice, the law of the
Golden Rule, is not a mere counsel of perfection, but
indeed the law of social life. We see that, if we were only
to observe it, there would be work for all, leisure for
all, abundance for all; and that civilization would tend to
give to the poorest not only necessaries, but all comforts
and reasonable luxuries as well. We see that Christ was not
a mere dreamer when He told men that, if they would seek
the kingdom of God and its right doing, they might no more
worry about material things than do the lilies of the field
about their raiment; but that He was only declaring what
political economy, in the light of modern discovery, shows
to be a sober truth. — The Condition of Labor, an
Open Letter to Pope Leo XIII
"The Man of the People"
NEAR nineteen hundred years ago, when another civilization
was developing monstrous inequalities, when the masses
everywhere were being ground into hopeless slavery, there
arose in a Jewish village an unlearned carpenter, who,
scorning the orthodoxies and ritualisms of the time,
preached to laborers and fishermen the gospel of the
Fatherhood of God, of the equality and brotherhood of men,
who taught His disciples to pray for the coming of the
kingdom of heaven on earth. The college professors sneered
at Him, the orthodox preachers denounced Him. He was
reviled as a dreamer, as a disturber, as a "communist,"
and, finally, organized society took the alarm, and He was
crucified between two thieves. But the word went forth,
and, spread by fugitives and slaves, made its way against
power and against persecution till it revolutionized the
world, and out of the rotting old civilization brought the
germ of the new. Then the privileged classes rallied again,
carved the effigy of the man of the people in the courts
and on the tombs of kings, in His name consecrated
inequality, and wrested His gospel to the defense of social
injustice. But again the same great ideas of a common
fatherhood, of a common brotherhood, of a social state in
which none shall be overworked and none shall want, begin
to quicken in common thought. —
Social Problems
— Chapter 4, Two Opposing Tendencies
The Office of Religion
WHAT is the office of religion if not to point out the
principles that ought to govern the conduct of men towards
each other; to furnish a clear, decisive rule of right
which shall guide men in all the relations of life —
in the workshop, in the mart, in the forum and in the
senate, as well as in the church; to supply, as it were, a
compass by which, amid the blasts of passion, the
aberrations of greed and the delusions of a short-sighted
expediency men may safely steer? What is the use of a
religion that stands palsied and paltering in the face of
the most momentous problems? What is the use of a religion
that whatever it may promise for the next world can do
nothing to prevent injustice in this? Early Christianity
was not such a religion, else it would never have
encountered the Roman persecutions; else it would never
have swept the Roman world. The skeptical masters of Rome,
tolerant of all gods, careless of what they deemed vulgar
superstitions, were keenly sensitive to a doctrine based on
equal rights; they feared instinctively a religion that
inspired slave and proletarian with a new hope; that took
for its central figure a crucified carpenter; that taught
the equal fatherhood of God and the equal brotherhood of
men; that looked for the speedy reign of justice, and that
prayed, "Thy Kingdom come on Earth! " — The Condition of Labor, an
Open Letter to Pope Leo XIII
The Call of Liberty
— "Shall we not Trust
her?"
WE honor Liberty in name and
in form. We set up her statues and sound her praises. But
we have not fully trusted her. And with our growth so grow
her demands. She will have no half service!
Liberty! it is a word to conjure with, not to vex the ear
in empty boastings. For liberty means justice, and justice
is the natural law — the law of health and symmetry
and strength, of fraternity and co-operation. They who look
upon liberty as having accomplished her mission when she
has abolished hereditary privileges and given men the
ballot, who think of her as having no further relations to
the everyday affairs of life, have not seen her real
grandeur — to them the poets who have sung of her
must seem rhapsodists, and her martyrs fools! As the sun is
the lord of life as well as of light; as his beams not
merely pierce the clouds, but support all growth, supply
all motion, and call forth from what would otherwise be a
cold and inert mass, all the infinite diversities of being
and beauty, so is liberty to mankind. It is not for an
abstraction that men have toiled and died; that in every
age the witnesses of Liberty have stood forth, and the
martyrs of Liberty have suffered. Only in broken gleems and
partial light has the sun of Liberty yet beamed among men,
but all progress hath she called forth. Liberty came to a
race of slaves crouching under Egyptian whips, and led them
forth from the House of Bondage. She hardened them in the
desert and made of them a race of conquerors. The free
spirit of the Mosaic law took their thinkers up to heights
where they beheld the unity of God, and inspired their
poets with strains that yet phrase the highest exaltations
of thought. Liberty dawned on the Phoenician coast, and
ships passed the Pillars of Hercules to plough the unknown
sea. She shed a partial light on Greece, and marble grew to
shapes of ideal beauty, words became the instruments of
subtlest thought, and against the scanty militia of free
cities the countless hosts of the Great King broke like
surges against a rock. She cast her beams on the four-acre
farms of Italian husbandmen, and born of her strength a
power came forth that conquered the world. They glinted
from shields of German warriors, and Augustus wept for his
legions. Out of the night that followed her eclipse, her
slanting rays fell again on free cities, and a lost
learning revived, modem civilization began, a new world was
unveiled; and as Liberty grew, so grew art, wealth, power,
knowledge, and refinement. In the history of every nation
we may read the same truth. It was the strength born of
Magna Charta that won Crecy and Agincourt. It was the
revival of Liberty from the despotism of the Tudors that
glorified the Elizabethan age. It was the spirit that
brought a crowned tyrant to the block that planted here the
seed of a mighty tree. It was the energy of ancient freedom
that, the moment it had gained unity, made Spain the
mightiest power of the world, only to fall to the lowest
depth of weakness when tyranny succeeded liberty. See, in
France, all intellectual vigor dying under the tyranny of
the Seventeenth Century to revive in splendor as Liberty
awoke in the Eighteenth, and on the enfranchisement of
French peasants in the Great Revolution basing the
wonderful strength that has in our time defied
defeat.
Shall we not trust her? In our time, as in times before,
creep on the insidious forces that, producing inequality,
destroy Liberty. On the horizon the clouds begin to lower.
Liberty calls to us again. We must follow her further; we
must trust her fully. Either we must wholly accept her or
she will not stay. It is not enough that men should vote;
it is not enough that they should be theoretically equal
before the law. They must have liberty to avail themselves
of the opportunities and means of life; they must stand on
equal terms with reference to the bounty of nature. Either
this, or Liberty withdraws her light! Either this, or
darkness comes on, and the very forces that progress has
evolved turn to powers that work destruction. This is the
universal law. This is the lesson of the centuries. Unless
its foundations be laid in justice, the social structure
cannot stand. —
Progress & Poverty
— Book X, Chapter 5, The Law of Human Progress: The
Central Truth
BUT if, while there is yet time, we turn to Justice and
obey her, if we trust Liberty and follow her, the dangers
that now threaten must disappear, the forces that now
menace will turn to agencies of elevation. Think of the
powers now wasted; of the infinite fields of knowledge yet
to be explored; of the possibilities of which the wondrous
inventions of this century give us but a hint. With want
destroyed; with greed changed to noble passions; with the
fraternity that is born of equality taking the place of the
jealousy and fear that now array men against each other;
with mental power loosed by conditions that give to the
humblest comfort and leisure; and who shall measure the
heights to which our civilization may soar? Words fail the
thought! It is the Golden Age of which poets have sung and
high-raised seers have told in metaphor! It is the glorious
vision which has always haunted man with gleams of fitful
splendor. It is what he saw whose eyes at Patmos were
closed in a trance. It is the culmination of Christianity
— the City of God on earth, with its walls of jasper
and its gates of pearl! It is the reign of the Prince of
Peace! —
Progress & Poverty
— Book X, Chapter 5, The Law of Human Progress: The
Central Truth
"Words Fail the
Thought"
TO begin and maintain great popular movements, it is the
moral sense rather than the Intellect that must be appealed
to, sympathy rather than self-interest. For however it may
be with any individual, the sense of justice is with the
masses of men keener and truer than intellectual
perception, and unless a question can assume the form of
right and wrong it cannot provoke general discussion and
excite the many to action. And while material gain or loss
impresses us less vividly the greater the number of those
we share it with, the power of sympathy increases as it
spreads from man to man — becomes cumulative and
contagious. — Protection or Free Trade,
Chapter 29: Practical Politics
econlib
The Liberators
I DO not wish to call upon those my voice may
reach to demand their own rights, so much as to call upon
them to secure the rights of others more helpless. I
believe that the idea of duty is more potent for social
improvement than the idea of interest; that in sympathy is
a stronger social force than in selfishness. I believe that
any great social improvement must spring from, and be
animated by, that spirit which seeks to make life better,
nobler, happier for others, rather than by that spirit
which only seeks more enjoyment for itself. For the Mammon
of Injustice can always buy the selfish whenever it may
think it worth while to pay enough; but unselfishness it
cannot buy. —
Social Problems — Chapter 9: First
Principles
IN the idea of the Incarnation — of the God
voluntarily descending to the help of men, which is
embodied not merely in Christianity, but in other great
religions — lies, I sometimes think, a deeper truth
than perhaps even the Churches teach. This is certain, that
the deliverers, the liberators, the advancers of humanity,
have always been those who were moved by the sight of
injustice and misery rather than those spurred by their own
suffering. As it was a Moses, learned in all the lore of
the Egyptians, and free to the Court of Pharaoh, and not a
tasked slave, forced to make bricks without straw, who led
the Children of Israel from the House of Bondage: as it was
the Gracchi, of patrician blood and fortune, who struggled
to the death against the land-grabbing system which finally
destroyed Rome, so has it always been that the oppressed,
the degraded, the down-trodden have been freed and elevated
rather by the efforts and the sacrifices of those to whom
fortune had been more kind than by their own strength. For
the more fully men have been deprived of their natural
rights, the less their power to regain them. The more men
need help, the less can they help themselves. —
Social Problems — Chapter 9: First
Principles
BUT it is in example as in deed that such lives are
helpful. It is thus that they dignify human nature and
glorify human effort, and bring to those who struggle hope
and trust. The life of Moses, like the institutions of
Moses, is a protest against that blasphemous doctrine,
current now as it was three thousand years ago; that
blasphemous doctrine preached ofttimes even from Christian
pulpits; that the want and suffering of the masses of
mankind flow from a mysterious dispensation of providence,
which we may lament, but can neither quarrel with nor
alter. Let him who hugs that doctrine to himself, him to
whom it seems that the squalor and brutishness with which
the very centers of our civilization abound are not his
affair, turn to the example of that life. For to him who
will look, yet burns the bush; and to him who will hear,
again comes the voice, "The people suffer: who will lead
them forth?" — Moses
The Clarions of Battle
TODAY a wider, deeper, more beneficent revolution is
brooding, not over one country, but over the world. God's
truth impels it, and forces mightier than He has ever
before given to man urge it on. It is no more in the power
of vested wrongs to stay it than it is in man's power to
stay the sun. The stars in. their courses fight against
Sisera, and in the ferment of today, to him who hath ears
to hear, the doom of industrial slavery is sealed.
Where shall the dignitaries of the Church be in the
struggle that is coming, nay, that is already here? On the
side of justice and liberty, or on the side of wrong and
slavery? with the delivered when the timbrels shall sound
again, or with the chariots and the horsemen that again
shall be engulfed in the sea? — The Condition of
Labor
The Muster
Roll
LOOK around today. Lo! here,
now, in our civilized society, the old allegories yet have
a meaning, the old myths are still true. Into the Valley of
the Shadow of Death yet often leads the path of duty,
through the streets of Vanity Fair walk Christian and
Faithful, and on Greatheart's armor ring the clanging
blows. Ormuzd still fights with Ahriman — the Prince
of Light with the Powers of Darkness. He who will hear, to
him the clarions of battle call. How they call, and call,
and call till the heart swells that hears them! Strong soul
and high endeavor, the world needs them now. Beauty still
lies imprisoned, and iron wheels go over the good and true
and beautiful that might spring from human lives. And they
who fight with Ormuzd, though they may not know each other
— somewhere, sometime, will the muster roll be
called. —
Progress & Poverty,
Conclusion: The Problem of Individual Life
IT is the noblest cause in which any human being can
possibly engage. What, after all, is there in life as
compared with a struggle like this? One thing, and only one
thing, is absolutely certain for every man and woman in
this hall, as it is to all else of human kind — that
is death. What will it profit us in a few years how much we
have left? Is not the noblest and the best use we can make
of life to do something to make better and happier the
condition of those who come after us — by warning
against injustice, by the enlightenment of public opinion,
by the doing all that we possibly can do to break up the
accursed system that degrades and embitters the lot of so
many?
We have a long fight and a hard fight before us. Possibly,
probably, for many of us, we may never see it come to
success. But what of that? It is a privilege to be engaged
in such a struggle. This we may know, that it is but a part
of that great, world-wide, long-continued struggle in which
the just and the good of every age have been engaged; and
that we, in taking part in it, are doing something in our
humble way to bring on earth the kingdom of God, to make
the conditions of life for those who come afterward, those
which we trust will prevail in heaven. — Thou Shalt Not Steal
WHAT, when our time comes, does it matter whether we have
fared daintily or not, whether we have worn soft raiment or
not, whether we leave a great fortune or nothing at all,
whether we shall have reaped honors or been despised, have
been counted learned or ignorant — as compared with
how we may have used that talent which has been entrusted
to us for the Master's service? What shall it matter; when
eyeballs glaze and ears grow dull, if out of the darkness
may stretch a hand, and into the silence may come a voice:
—
The Glow of
Dawn
ONLY a little while ago nations were bought and sold,
traded off by treaty and bequeathed by will. Where now is
the right divine of kings? Only a little while ago, and
human flesh and blood were legal property. Where are now
the vested rights of chattel slavery? And shall this wrong,
that involves monarchy, and involves slavery — this
injustice from which both spring — long continue?
Shall the ploughers for ever plough the backs of a class
condemned to toil? Shall the millstones of greed for ever
grind the faces of the poor? Ladies and gentlemen, it is
not in the order of the universe! As one who for
years has watched and waited, I tell you the glow of dawn
is in the sky. Whether it come with the carol of larks or
the roll of the war-drums, it is coming — it will
come. The standard that I have tried to raise tonight may
be tom by prejudice and blackened by calumny; it may now
move forward, and again be forced back. But once loosed, it
can never again be furled! To beat down and cover up the
truth that I have tried tonight to make clear to you,
selfishness will call on ignorance. But it has in it the
germinative force of truth, and the times are ripe for it.
If the flint oppose it, the flint must split or crumble!
Paul planteth, and Apollos watereth, but God giveth the
increase. The ground is ploughed; the seed is set; the good
tree will grow.
So little now, only the eye of faith can see it. So little
now; so tender and so weak. But sometime, the birds of
heaven shall sing in its branches; sometime, the weary
shall find rest beneath its shade! — Speech: Why
Work is Scarce, Wages Low and Labour Restless (1877,
San Francisco)
HENRY GEORGE Henry George,
American economist (1839-1897) was born in Philadelphia on
the eastern seaboard of the United States of America amid a
built-up economy. His family had been American for several
generations but was of English, Scottish and Welsh
descent.
When a youth, Henry George made a voyage as a deckhand
during which the ship circumnavigated the earth, visiting
Melbourne and Calcutta. At the age of 19, he voyaged from
the eastern seaboard to the western seaboard of the
American continent, via the Strait of Magellan, and
undoubtedly it was the change from an established to a
growing economy which gave him the insight into political
economy not shown by other economists of the nineteenth
century.
In California, he became a printer, editor and journalist,
and after writing Progress and
Poverty, Henry George took an editorship in New York
and by this time he was world-renowned as an author and
orator. He lectured in England, Scotland and Ireland, Paris
and South and Western Australia during his later
life.
Henry George divided government into two parts (a)
political and (b) social. Political government would today
consist of the defense of the realm and the sea and
airways; maintenance of a civil police force and the courts
of justice, and suchlike matters, and would be kept at the
minimum necessary to maintain the common right of the
public and the right of the individual to the enjoyment of
the Sovereign's peace under the law of the land.
Social government would concern itself with doing on a
collective basis only the things which it is not
practicable for the individual to do, such as irrigation,
drainage, trunk roads, etc.
Henry George recognized that the ability of an economic
unit such as the United Kingdom to raise taxation is not
something dependent only upon national economic growth but
upon its exchanges with the rest of the world. Thus traders
in London by their exchanges are increasing taxation
potential (the wealth producing capacities of land) in New
Zealand and traders in New Zealand are increasing taxation
potential in the United Kingdom.
Back Cover:
As, when we find that a machine will not work, we infer
that in its construction some law of physics has been
ignored or defied, so, when we find social disease and
political evils, may we infer that in the organization of
society moral law has been defied and the natural rights
of men have been ignored.
THAT we should do unto others as we would have them do to
us — that we should respect the rights of others as
scrupulously as we would have our own rights respected,
is not a mere counsel of perfection to individuals, but
it is the law to which we must conform social
institutions and national policy if we would secure the
blessings of abundance and peace. — Social
Problems, Chapter 10
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