Speculations from Political Economy

C. B. Clarke

Description

Project Gutenberg's Speculations from Political Economy, by C. B. Clarke
Copyright laws are changing all over the world. Be sure to check the copyright laws for your country before downloading
or redistributing this or any other Project Gutenberg eBook.
This header should be the first thing seen when viewing this Project Gutenberg file. Please do not remove it. Do not
change or edit the header without written permission.
Please read the "legal small print," and other information about the eBook and Project Gutenberg at the bottom of this
file. Included is important information about your specific rights and restrictions in how the file may be used. You can also
find out about how to make a donation to Project Gutenberg, and how to get involved.
**Welcome To The World of Free Plain Vanilla Electronic Texts**
**eBooks Readable By Both Humans and By Computers, Since 1971**
*****These eBooks Were Prepared By Thousands of Volunteers!*****
Title: Speculations from Political Economy
Author: C. B. Clarke
Release Date: July, 2005 [EBook #8436] [Yes, we are more than one year ahead of schedule] [This file was first posted
on July 10, 2003]
Edition: 10
Language: English
*** START OF THE PROJECT GUTENBERG EBOOK SPECULATIONS FROM POLITICAL ***
Produced by John Hagerson, Jonathan Ingram, and the Online Distributed Proofreading Team.SPECULATIONS
FROM
POLITICAL ECONOMY
BY
C. B. CLARKE, F.R.S.
INTRODUCTION
The following nine articles are "Speculations," by no means altogether ...

Informations

• Publié par: ibbi
• Publié le: 08 décembre 2010
• Nombre de lectures: 72
• Langue: English

Extrait

Project Gutenebgrs'S epucalits onomfrol PicitE laonoc ,ymC yb Cla. B. opyr rke Cl wagith ehc sra anggianr ve olllrow ehtus eB .dce kht eert  ohct laws fcopyrighnuoc yrty ro ruonlowdioafobe dre bitusirtr de gn roany  or thising uG tcejorP rehto Th k.ooeBg ernbte  eb  ehtsrifht t hisdeeashr ldouweni ghtsiP orejing seen when visaelP .eton od eenut Gctil frgbe naeg to hcdetio  r ove  remDo nit.  n termpet ouitwr redhtiweht aeh  legal smad the "elsa eer siisno P . ioatrmfoinr heot dna ",tnirp llat Guojecd Prk anBeooht euo t nba lunc Ie. iisd detnatropmamrofni  erg tenbhe bat t mfotoot f s li t ih d anstrectrinsio ni  woh ehteliftion about your psceficir gith s  ot woh tuoba tun ioaton d akema  .oYsudeb  em ya nd o so fi n alu ca evlo.dteg vni tcG tuneotP orejd how toberg, an

Produced by John Hagerson, Jonathan Ingram, and the Online Distributed Proofreading Team.

*** START OF THE PROJECT GUTENBERG EBOOK SPECULATIONS FROM POLITICAL ***

**Welcome To The World of Free Plain Vanilla Electronic Texts** **eBooks Readable By Both Humans and By Computers, Since 1971** *****These eBooks Were Prepared By Thousands of Volunteers!*****

Title: Speculations from Political Economy Author: C. B. Clarke Release Date: July, 2005 [EBook #8436] [Yes, we are more than one year ahead of schedule] [This file was first posted on July 10, 2003] Edition: 10 Language: English

ow s w ,kr eliheht wo "" rkulwoafd  ten  oomerp yaf or a harder day' l fo rebsreruoba hokLo.  aerevowe pmofdrne tolmy smato a numller

The following nine articles are "Speculations," by no means altogether recommendations. They are from Political Economy, i.e. they have nearly all of them been suggested by considering mere propositions of Political Economy. Some of them are old, or given me by friends: some are, I believe, new: these many persons will set aside as unpractical or impracticable, as that is the approved word by which people indicate that an idea is new to them. The topics of the nine articles have been largely taken from those now under political discussion, but they can hardly be called ephemeral; and, though they do not form a treatise, they will hardly be called disconnected. As they are speculations, no trouble has been taken to work out suggestions in detail, or give the "shillings and pence" correctly.

INTRODUCTION

CONTENTS 1. EFFICIENCY OF LABOUR 2. RECIPROCITY AND RETALIATION 3. UNIVERSAL FREE TRADE 4. THERANSOM OFTHELAND 5. MAKINGTHEMOST OFOUR LAND 6. FREETRADEIN RAILWAYS 7. REFORM IN LAND LAW 8. EQUALISINGOFTAXATION 9. WEALTH OFTHENATION

further. little ucalitevT ehs ep CENOAC LILIT MO OP NS FR ATIOECULSP  FE,.S.R. B YMO  .C Y C .BKRAL PSCELUTA  POLITIC IONS FROM FFE .1 YMONOCE LA OUAB LOFY NCIEIC cenoac lilit .R oPnot ave ts homis giy llbaer vas hohw dna wollof t thaentsrgumnd asea malp exe hht ankmes, shlior wehT . gnE   I sekils much aublish a aeev otp  ev neml  etamitsemi sti dhay he ternd uve yfoeicnuo:rl balookoverfficed e pus eilpem dtiw il Wn,soho was h ponioi nfo dEawdr portance in the  agdria nectr f arickne bif oen: la tliub eb ot s othnglee thg on syd iaylskh  eale days'  the mor pme eyoleyalsi rerew icbr  td, fhe te sdera regize,c parasda  stilalyalcipecoa n  iot yrtnuom fo nw  limited. A walls xif ee tihhgi  liuntemi ed,lompnemy"( tkrow sa )" self r hims fe, hi ehb ,st  rofteet nd an,mela "or fnah-wollstfarcid appears that thetoehsr .tIt uh stht lae urbo ierrom ni eiffeneicht eli y sy ad  eals onricker b few  eht rof tfel sit enymlomp eremo fis verellg te ;nt he wiemployme,deyeht e erolpmyela ars balckri  sa si hi pord aoce thn mpcon eaw tiradetae  hhtked mbar sinin a badir eliapei sra n rrna lowalocti:yb tut ehc paital spent on suc  oinra g aise er siht ni hturt fspech re witviewanovytu p te tot en galerurboin" m eryenoht :om en from t is drawlasi.t hT ehc pati bro klicerayha sa evlur ht en taaid that they haificne:ti  tsis tot eserefine  bt si ti t tni rieh  belghly thaieveyarecilkrouo shtodnorb nT .nL eh Lofdoonsil s desbo  nlaehs burused in ts practia ,edarT gnidliu n B doon Lhe tofe c sat ehdireoCsnrk. e wolarggle  grren mueb rfob ricks he would gtaht fi  ehtcirbaykl lerd ailaa   frbreo   aad cisk hey y; teve beli  yal llaaht eromrtcea n mbnun ai, whatevicklayerikll ,hsreh sis siha,"ngnsai"ct n tarb oe.i ht . y hav  theand;ht h  egar luosa  ela bra y lar ve ellgir eht htiw kci

builders round London compete against each other, so that they carry on their trade on ordinary trade profits. Such a builder is building streets, house after house, each house costing him £800, and selling for £1000 say; and this, after paying his interest at the bank, etc., pays him about 10 to 15 per cent on his own capital embarked. Suppose now that the bricklayers increase their inefficiency either by a trade rule or by a combination to shorten the hours of labour. The cost of each house is increased £50 to him: nothing in the new bricklaying rules or rates affects the purchasers; the builder estimates that his profits will fall to 5 to 8 per cent on his capital. He does not care to pursue so risky a business at this rate of profit; he determines to contract operations. When he goes to his bank, a branch of one of the gigantic London joint-stock banks, at the end of the quarter, the manager of the branch comes forward as usual ready to continue the bank advances; but the builder says simply, "The building trade is not so good as it was," and declines. The increased cost of bricklaying has affected all other speculative builders in much the same way; the consequence is that "gold" accumulates in the branch banks. The secretaries and managers of the great joint-stock banks do not let their capital idly accumulate; they buy New Zealand 6 per cents, or transfer to Frankfort or New York the capital that, but for the rise in cost of bricklaying, would have gone to the London bricklayers. In this case it is easy to see that the quantity of work to be done is not limited. Should the cost of building diminish but a little, the rate of profit of the builders on their own capital (in many cases not one-tenth of the capital they employ) will run up to 20 or 30 per cent, or even more; and at even a 20 per cent profit the bricklayers would find that a perfect rage for building would set in. Every speculative builder in the trade would strain his credit to the utmost, and take up every £100 from his bank that he could induce the bank manager to let him have. A second illustration. Forty years ago, on our farm in the south of England, two men with flails used to begin threshing wheat in the long barn about 1st November, and used to thresh till 1st April. They got eight shillings a week with us, but in adjoining counties seven shillings (and even six) were winter wages. Now the steam threshing- machine will empty that long barn in two short days' work. It takes half a dozen men to do the work, and they get about fifteen shillings a week, though their labour is much shorter and easier than that of the old flail men. At the same time our farmers now are much poorer men than they were forty years ago: they have less capital, they have made for many years past a low rate of profit, and they are frequently themselves complaining that they cannot afford to pay their labourers well, and inferring that they should get Protection back again in some shape or other. The labourers on their part imagine very generally that their increased wages for less work are due to Mr. Arch and agitation; that the employers of labour will never pay more than is wrested from them (this is in large measure true); and that employers must pay whatever agitators are strong enough to demand (this is wholly erroneous). In this case it is evident on the surface that the labourers who thresh with the steam-thresher are more efficient than the flail-men: their labour is worth the half-a-crown a day to the employer, and therefore the employer, however poor, can afford to pay it as he receives it back with a profit. On the other hand, if the flail-men were raised from the dead, no farmer would now pay them even eight shillings a week for threshing; their labour would not be worth even that. One illustration more. Thirty years ago there were few more wretched trades than the shoemakers of Northampton. Wages were low, the labour was severe, the social condition of the workmen was necessarily low also. The sewing- machine, with some special adaptations to make it sew leather, increased about sixfold the bootmaking power of a workman. It is needless to say that the Northampton shoemakers met the introduction of this machine with the fiercest opposition: they said five-sixths of their number must be thrown out of employment. The struggle was won by the machine (as in other cases); shoemakers' wages have ruled 50 to 100 per cent higher ever since, at the same time that the shoemaking population has largely increased; and the social comforts and character of the workpeople have improved vastly too. This is an example that has always puzzled the workmen themselves; but it requires no explanation after what has been said about the efficiency of labour. The puzzle to the shoemakers is what becomes of the additional boots and shoes made. They do not reflect that, even of a necessary of life, only a certain quantity is used at a certain price. Nothing is more necessary in London, especially in winter, than coal; but, when coal some years ago went up to 40s. a ton in London, it was marvellous how people in all ranks managed to reduce their consumption of coal. Much more in the case of boots, which will bear the cost of export to remote countries, did the demand increase as the price fell. A fall of 10 per cent only in the price of boots would cause every wholesale boot exporter to export on the largest scale. No doubt the invention of a self-acting machine which should turn out 1000 pairs of boots an hour at a nominal cost of workmanship per pair would reduce the shoemakers of Northampton to idleness and starvation. But in practice it has rarely happened that any machine has been introduced in any trade that has thus completely choked the increased demand. It has happened often that the workmen who could only work the old way, and were not able to take up the new machine, have been reduced to starvation. Even then, after this generation has passed away, the new machine-workers have been better off than their predecessors. Employers of labour cannot pay as wages more than the labour is worth: no organisation or rules will make them. But employers may pay a good deal less than the labour is worth, and often have done so. However great their profits, there is, according to J. S. Mill, always a tacit understanding among all employers of labour to pay the minimum the labourers can be induced to accept. It is only by combination that the labourers can get the full value of their efficiency. Here Mr. Arch comes in: I have little doubt that the flail-threshers might, under a well-managed large trade combination, have got nine shillings a week instead of eight shillings forty years ago. But every rise in wages gained by the workmen, unless springing from or in conjunction with an increase in efficiency, will tell against themselves; it must increase the price of the article, whether houses, wheat, or boots; this must diminish the demand for the article, and this must throw some of the workmen out of employ. It is difficult to find an example of price of wages which presents any difficulty of explanation when we apply to it the

mug tet ehw aetlh of England: itliw eb l ni  enosecahe tea wh i ltt aha h dno ht tfondiver ils, iduallahs ewekil ni r nean m she tin e desireold if higlb.yW  dtit naay we  wchhierevw sitlaekcerh nold t e cou ch h whi ablbp(oref rarsny)iledpe sryvey g ni dnalgnE ot  wae s gendfumu, orb thgutni ht o the capital of a tsb  eht eus mfoefe thr e ivctfellarap nennam lewhicnd, n beh caat lacipgnalfoE  h dn evaE nialgndesis nticwhreh  w e rodl I . sei  nht countrion other eht esac rehto he tind-anglEnn ei nehl sut  dlpglann Enth iweal eht stcef segaw e  Wd.unsoale set ehhsseoiann taalthl we aff nortnedni sgnE dnalne, heitdir nimi be,ts  oaf a r  sti is held by resi ha temthm ro flyD lanoitaN eht ttionlica appmanyertc eid ees:sw trt hsutevf-enidelba fo era pac  ndividuall the i t ows le sl T . ehes  hsamscui , an aesr ver-s "oat i wheemA ni "decudorppre thl il tcarignaldnf ci eniE 36s. peralls to na( el dauq retricwhith ),sst  a  tha usee exp t th cndereei kesb naiearetcrdin cas  .revocscirga fIulture is, as weh va ealetyls eeitn in,  d areepdessats f ety ro reouab lhe tor(f nellaf meht ni o hiep to kele t ebatob lln  riw cofaphenebet fihw e elolesmht f ofit in  ate of pr )dt—ehr nedef oo i ecudorgnE ni t plyrdha ptos ayi pmesfla  nilse; thlandf itis olla hto i resudnorenusmopu stor so tfol bauo h r sa tries—the real c lahsah lseir ew— raluced gveerenrpdocuitsio ev-rl induston in al at lliw "ycneicif .  . 2 rmfot ha tke ohruht ei  nitno "efour: labs of o prntta .  o ) wIfve ed rera oevirall other industirseh sar sine( ul fre aisat sly ehw —deif  ereht n a st at whenate t eha llrised se reckon h We may tsaril.adei  nuAin0 stve d,an 00£5  ni lgnE01£ 000, 000,e £5g thudinxelco  ridgncnul iasr heit endlagnE ni htlaew si  dsit ehs muo  fwealth of Englan ATERTAIL.NOI  ehT CIREOCPRY ITD AN au lvidiahevam yland Eng ind. Anvidni hcni laudialwee theaf  oth pecuhe sve blati oniwod ,et n nior wofy  neythk na tnuomtilauq dame wages for eig gnt  oigevt ehs tlubs es wbeliildliu sreluowod d  rotfoeft  oewerers klaybric If .ycneiciffe fo nioateridnscoehs ma a eh uosrt in eight and do mtu ,tsoot seht msheveelxe e trt eht htiwum woh mthf  ocheacrine ohciehc ll(  eiwenerin glie al) egaw oh ,s um wt hcy heketan  iorsh est eh yateki  nincreased money   cIn. nenir foe reruobal eht esark t' wooursht hg vin wohtyeah t tlegeo ary abe  egawt ,sgih t  reh rease ins by incffcieicnt ehrie  l utilities) rai nerelayl seestnaialn otl r heduin seslaergaw i se argery ln thly itsyrniud dev( naro pesri gngciduo esac etsudni f  )rol sowlya sodnearly a  seen it guohar hlbavt ,ecos einc, es ias  eap rhtteeh ,hwthisand es, strievah ew sa( snia gdera tarulicrt al eruobc rec nantoupo u in;alt osp orived sht ewhole surplus pr ec a miham niatrf  oinrge urislednw eboyht i eah t icieneffavagnt s  iIttos  orppd.te ht da ta eb etonse of efn increai  nna yificneyc f  out oontiucodlletni eht hcihw isur nd le al aectu  eus srasaes elc enkmanmbs  i),tsennut yae dna slas oal (ailwur r  rif yuo pati ex c dnd aro ptifi bng yb  ruoeics,ecnachines provided ,owkrni giwhtm   sedivorp dna ,yjoent nos oe dgeasavht eci h dhw fooy ofaritegul  ytn r dnaec aiatrurbos erths lae  tneusericne:ti ore effivastly m ril t eh,rt bauo whoheirime le t iwo ,ytiht ot gnfiefine  of cyencieeh wo ,nia  nnucivilised communenetoh d srul foouab Wr.the  sus  civ ourl ofskilersrbauodel lisi teisbssue ar bng  retaerg ehT .ecnng, or oir huntip orividhtreiwesesgire ad anerenno deht pxe edne ythir ane fopric e ag viiwllse singa allseo  tdsnetni eh taht gn fit by s ts to pro ehe pxceu lnse s lita wsto  Npicaga t.niaillei gnm ka notatlb e apay ill rkmaa wos ot stc eht llessleune peexe  h moweah txeecdeni table for a sum sow ea dot dnw ehthg coe  ostthf  arcidnah taht tlhe tchhi wins fton mi ee nsab erh   thet inemenprov ytrraeysal of taibtd nehas  ove ferlaw  aireso ounting ages (ame om sintos seca rep 05 yb )tnec impr  the entsovemfeifi  nyci icnealn thl tre esadora  dnumeht  oT . sum up: No man i nroidanyrb suni ieicy nc ioer ff r e eht pus emasyaw  In the bourers.f ra maltioi nfo edshnimidis has reirrac daor dlothe ver ay oailwybr re srairfoc  om se s tsisne)ylb  (ese thlkbuony  lna dla lraitlc the cost of coa tcurtsniuser eviri austhe ths sealdnE gnre e .hTall  in s ofpart  nfoa b orudtcoing machioot-sewiirru .gnylercco he tnt iusThif,   sact ihne,trec fecto efve nn hairp eht srewol en  p50s otbof  ocefarm labourers; na,da  s m a taet r n  iwelongrihe tnom w yesega fo  as sts hbly ensivodemirpp sot eht,ac fofal fhe tsoc ni loob fo t ages witn more wgnc moepohtub iehe timy edllas ( dlut ebnigaow e ld a wouyersckla  kybw o ro egt rrna y he tt,actron ciatbo noos dluow attnyli pmorev.d There is no dout tbem oaht i ,tthf Loe onndri b  eom ohtffcitse  hoeientwhosrs,  eiciffe e suht ycn ginga anscos et dna rut ruob,srearinlay anthrd oiterylt afll sneng thus nip-hoei gnieoh-pinrut tar ioerup sre and ep rhcaero kehw do t e to   abl are iatmos  ireormp-yadobalreruhW .o by head and haattn ,ht eem nhw  wmetin remoh ita krow swo sih t han  elf told the  oftrc moihsmt  o, remos rneae crih seod eh elihwturnthe re: ultueha ybt eo rpih- dos  mnehi Thas  a ni  cirg  hcunevectical atant pracewero.kdii  sipe devorpcneiciffmoe thy ormp ist .r nI oley ret o drtaino ats im thi v eheula fo  sihbola to ur is hmp e ehl mitit  ohwta he can get is ttut ,tb raekehm of turn he tor tf gnilggih dna nioatinmbcoy  bngs n moteih m yag iabour. Hef his laneico yc ehtiffeprime ovbed o  tclasd a houls, sa t au,l ,naaredans  athidivnd irow eht f ob ,namk e grand object otcylt ah tht enot  Illfos owredimkros'nabal .ruo burinot n poed i yuostb  taj g r erst- ntoinkbak ocno fi ;s edart eis at standstillt ehc patilai  srrcad ie tto mhe tsoumerarenevit as w  v reivec na d bade istradhen   eb tsum ti tuB . erovd teecllcoreoi nnia p-orudtcs at oncll tradeisso:elbsi epmi s  iw noap calit srelaed xe lliw  td,oo ggear lhe a dnes,s yocv re  thetend rcha ir pu -reetxet dnriehonmm rlyheatovr caitnof loolsw , purchases: a re d anp  uofn ioatnretla yrassecen e, wtradlar ticup y ra verei  nodnw he tor wncieofy e ehciffhteht retrade islow. If ihhgo  rmknei  s woe merkarn the nwortuo  e foolpm t, they stop therip ruhcsase ,ht isy plretht ha ta si ere a tsoml a ly on scaargeoTt el .ht eih s rp-rcudona sevo otbo tr s,ontif  o-rrpdocu gsao ev there ition. If era yeht dnif srfiro pnog inak mt ehal,tsif da eealele dlesa who rt aavul efow rotra wages for exos sg nonivixe gontif  oplemeroy s cuerylhtni h a thethats sure ib ,yllan degru eitt Bu k. fi, ay m ose wage gain thohru sotl noeg relerory remoev sw ot   kro c eh)esa peti e com t theven drpocluni gonht, ntieicff eremo erew yeht fI .s