Equality by Edward Bellamy (good books to read in english .txt) 📕

lack of the bare necessaries of life was an illustration of inhumanity that would seem incredible on the part of civilized people were not the facts so well substantiated. Imagine a company of persons sitting down with enjoyment to a banquet, while on the floors and all about the corners of the banquet hall were groups of fellow-beings dying with want and following with hungry eyes every morsel the feasters lifted to their mouths. And yet that precisely describes the way in which the rich used to spend their profits in the great cities of America, France, England, and Germany before the Revolution, the one difference being that the needy and the hungry, instead of being in the banquet room itself, were just outside on the street."

"It was claimed, was it not, by the apologists of the luxurious expenditure of the capitalists that they thus gave employment to many who would otherwise have lacked it?"

"And why would they have lacked employment? Why were the people glad to find employment in catering to the luxurious pleasures and indulgences of the capitalists, selling themselves to the most frivolous and degrading uses? It was simply because the profit taking of these same capitalists, by reducing the consuming power of the people to a fraction of its producing power, had correspondingly limited the field of productive employment, in which under a rational system there must always have been work for every hand until all needs were satisfied, even as there is now. In excusing their luxurious expenditure on the ground you have mentioned, the capitalists pleaded the results of one wrong to justify the commission of another."

"The moralists of all ages," said the teacher, "condemned the luxury of the rich. Why did their censures effect no change?"

"Because they did not understand the economics of the subject. They failed to see that under the profit system the absolute waste of the excess of profits in unproductive expenditure was an economic necessity, if production was to proceed, as you showed in comparing it with the cistern. The waste of profits in luxury was an economic necessity, to use another figure, precisely as a running sore is a necessary vent in some cases for the impurities of a diseased body. Under our system of equal sharing, the wealth of a community is freely and equally distributed among its members as is the blood in a healthy body. But when, as under the old system, that wealth was concentrated in the hands of a portion of the community, it lost its vitalizing quality, as does the blood when congested in particular organs, and like that becomes an active poison, to be got rid of at any cost. Luxury in this way might be called an ulcer, which must be kept open if the profit system was to continue on any terms."

"You say," said the teacher, "that in order that production should go on it was absolutely necessary to get the excess of profits wasted in some sort of unproductive expenditure. But might not the profit takers have devised some way of getting rid of the surplus more intelligent than mere competition to displace one another, and more consistent with humane feeling than wasting wealth upon refinements of sensual indulgence in the presence of a needy multitude?"

"Certainly. If the capitalists had cared at all about the humane aspect of the matter, they could have taken a much less demoralizing method in getting rid of the obstructive surplus. They could have periodically made a bonfire of it as a burnt sacrifice to the god Profit, or, if they preferred, it might have been carried out in scows beyond soundings and dumped there."

"It is easy to see," said the teacher, "that from a moral point of view such a periodical bonfire or dump would have been vastly more edifying to gods and men than was the actual practice of expending it in luxuries which mocked the bitter want of the mass. But how about the economic operation of this plan?"

"It would have been as advantageous economically as morally. The process of wasting the surplus profits in competition and luxury was slow and protracted, and meanwhile productive industry languished and the workers waited in idleness and want for the surplus to be so far reduced as to make room for more production. But if the surplus at once, on being ascertained, were destroyed, productive industry would go right on."

"But how about the workmen employed by the capitalists in ministering to their luxuries? Would they not have been thrown out of work if luxury had been given up?"

"On the contrary, under the bonfire system there would have been a constant demand for them in productive employment to provide material for the blaze, and that surely would have been a far more worthy occupation than helping the capitalists to consume in folly the product of their brethren employed in productive industry. But the greatest advantage of all which would have resulted from the substitution of the bonfire for luxury remains to be mentioned. By the time the nation had made a few such annual burnt offerings to the principle of profit, perhaps even after the first one, it is likely they would begin to question, in the light of such vivid object lessons, whether the moral beauties of the profit system were sufficient compensation for so large an economic sacrifice."

CHARLES REMOVES AN APPREHENSION.

"Now, Charles," said the teacher, "you shall help us a little on a point of conscience. We have, one and another, told a very bad story about the profit system, both in its moral and its economic aspects. Now, is it not possible that we have done it injustice? Have we not painted too black a picture? From an ethical point of view we could indeed scarcely have done so, for there are no words strong enough to justly characterize the mock it made of all the humanities. But have we not possibly asserted too strongly its economic imbecility and the hopelessness of the world's outlook for material welfare so long as it should be tolerated? Can you reassure us on this point?"

"Easily," replied the lad Charles. "No more conclusive testimony to the hopelessness of the economic outlook under private capitalism could be desired than is abundantly given by the nineteenth-century economists themselves. While they seemed quite incapable of imagining anything different from private capitalism as the basis of an economic system, they cherished no illusions as to its operation. Far from trying to comfort mankind by promising that if present ills were bravely borne matters would grow better, they expressly taught that the profit system must inevitably result at some time not far ahead in the arrest of industrial progress and a stationary condition of production."

"How did they make that out?"

"They recognized, as we do, the tendency under private capitalism of rents, interest, and profits to accumulate as capital in the hands of the capitalist class, while, on the other hand, the consuming power of the masses did not increase, but either decreased or remained practically stationary. From this lack of equilibrium between production and consumption it followed that the difficulty of profitably employing capital in productive industry must increase as the accumulations of capital so disposable should grow. The home market having been first, glutted with products and afterward the foreign market, the competition of the capitalists to find productive employment for their capital would lead them, after having reduced wages to the lowest possible point, to bid for what was left of the market by reducing their own profits to the minimum point at which it was worth while to risk capital. Below this point more capital would not be invested in business. Thus the rate of wealth production would cease to advance, and become stationary."

"This, you say, is what the nineteenth-century economists themselves taught concerning the outcome of the profit system?"

"Certainly. I could, quote from their standard books any number of passages foretelling this condition of things, which, indeed, it required no prophet to foretell."

"How near was the world--that is, of course, the nations whose industrial evolution had gone farthest--to this condition when the Revolution came?"

"They were apparently on its verge. The more economically advanced countries had generally exhausted their home markets and were struggling desperately for what was left of foreign markets. The rate of interest, which indicated the degree to which capital had become glutted, had fallen in England to two per cent and in America within thirty years had sunk from seven and six to five and three and four per cent, and was falling year by year. Productive industry had become generally clogged, and proceeded by fits and starts. In America the wage-earners were becoming proletarians, and the farmers fast sinking into the state of a tenantry. It was indeed the popular discontent caused by these conditions, coupled with apprehension of worse to come, which finally roused the people at the close of the nineteenth century to the necessity of destroying private capitalism for good and all."

"And do I understand, then, that this stationary condition, after which no increase in the rate of wealth production could be looked for, was setting in while yet the primary needs of the masses remained unprovided for?"

"Certainly. The satisfaction of the needs of the masses, as we have abundantly seen, was in no way recognized as a motive for production under the profit system. As production approached the stationary point the misery of the people would, in fact, increase as a direct result of the competition among capitalists to invest their glut of capital in business. In order to do so, as has already been shown, they sought to reduce the prices of products, and that meant the reduction of wages to wage-earners and prices to first producers to the lowest possible point before any reduction in the profits of the capitalist was considered. What the old economists called the stationary condition of production meant, therefore, the perpetuation indefinitely of the maximum degree of hardship endurable by the people at large."

"That will do, Charles; you have said enough to relieve any apprehension that possibly we were doing injustice to the profit system. Evidently that could not be done to a system of which its own champions foretold such an outcome as you have described. What, indeed, could be added to the description they give of it in these predictions of the stationary condition as a programme of industry confessing itself at the end of its resources in the midst of a naked and starving race? This was the good time coming, with the hope of which the nineteenth-century economists cheered the cold and hungry world of toilers--a time when, being worse off than ever, they must abandon forever even the hope of improvement. No wonder our forefathers described their so-called political economy as a dismal science, for never was there a pessimism blacker, a hopelessness more hopeless than it preached. Ill indeed had it been for humanity if it had been truly a science.

ESTHER COUNTS THE COST OF THE PROFIT SYSTEM.

"Now, Esther," the teacher pursued, "I am going to ask you to do a little estimating as to about how much the privilege of retaining the profit system cost our forefathers. Emily has given us an idea of the magnitude of the two great wastes of profits--the waste of competition and the waste of luxury. Now, did the capital wasted in these two ways represent all that the profit system cost the people?"

"It did not give a faint idea of it, much less represent it," replied the girl Esther. "The aggregate wealth wasted respectively in competition and luxury, could it have been distributed equally for consumption among the