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

fact more marvelous than the great inventions themselves, namely, their failure to prove of any considerable benefit to mankind. Surely a phenomenon at once so amazing in itself and involving so prodigious a defeat to the hopes of human happiness must have set a world of rational beings to speculating in a very impassioned way as to what the explanation might be. One would suppose that the facts of this failure with which our ancestors were confronted would have been enough to convince them that there must be something radically and horribly wrong about any economic system which was responsible for it or had permitted it, and that no further argument would have been wanted to induce them to make a radical change in it."

"One would think so, certainly," said the boy, "but it did not seem to occur to our great-grandfathers to hold their economic system to any responsibility for the result. As we have seen, they recognized, however they might dispute as to percentages, that the great inventions had failed to make any notable improvement in the human condition, but they never seemed to get so far as to inquire seriously why this was so. In the voluminous works of the economists of the period we find no discussions, much less any attempt to explain, a fact which to our view absolutely overshadows all the other features of the economic situation before the Revolution. And the strangest thing about it all is that their failure to derive any benefit worth speaking of from the progress of invention in no way seemed to dampen the enthusiasm of our ancestors about the inventions. They seemed fairly intoxicated with the pride of their achievements, barren of benefit as they had been, and their day dreams were of further discoveries that to a yet more amazing degree should put the forces of the universe at their disposal. None of them apparently paused to reflect that though God might empty his treasure house for their benefit of its every secret of use and of power, the race would not be a whit the better off for it unless they devised some economic machinery by which these discoveries might be made to serve the general welfare more effectually than they had done before. They do not seem to have realized that so long as poverty remained, every new invention which multiplied the power of wealth production was but one more charge in the indictment against their economic system as guilty of an imbecility as great as its iniquity. They appear to have wholly overlooked the fact that until their mighty engines should be devoted to increasing human welfare they were and would continue mere curious scientific toys of no more real worth or utility to the race than so many particularly ingenious jumping-jacks. This craze for more and more and ever greater and wider inventions for economic purposes, coupled with apparent complete indifference as to whether mankind derived any ultimate benefit from them or not, can only be understood by regarding it as one of those strange epidemics of insane excitement which have been known to affect whole populations at certain periods, especially of the middle ages. Rational explanation it has none."

"You may well say so," exclaimed the teacher. "Of what use indeed was it that coal had been discovered, when there were still as many fireless homes as ever? Of what use was the machinery by which one man could weave as much cloth as a thousand a century before when there were as many ragged, shivering human beings as ever? Of what use was the machinery by which the American farmer could produce a dozen times as much food as his grandfather when there were more cases of starvation and a larger proportion of half-fed and badly fed people in the country than ever before, and hordes of homeless, desperate vagabonds traversed the land, begging for bread at every door? They had invented steamships, these ancestors of ours, that were miracles, but their main business was transporting paupers from lands where they had been beggared in spite of labor-saving machinery to newer lands where, after a short space, they would inevitably be beggared again. About the middle of the nineteenth century the world went wild over the invention of the sewing-machine and the burden it was to lift from the shoulders of the race. Yet, fifty years after, the business of garment-making, which it had been expected to revolutionize for the better, had become a slavery both in America and Europe which, under the name of the 'sweating system,' scandalized even that tough generation. They had lucifer matches instead of flint and steel, kerosene and electricity instead of candles and whale-oil, but the spectacles of squalor, misery, and degradation upon which the improved light shone were the same and only looked the worse for it. What few beggars there had been in America in the first quarter of the nineteenth century went afoot, while in the last quarter they stole their transportation on trains drawn by steam engines, but there were fifty times as many beggars. The world traveled sixty miles an hour instead of five or ten at the beginning of the century, but it had not gained an inch on poverty, which clung to it as the shadow to the racer."

HELEN GIVES THE EXPLANATION OF THE FACTS.

"Now, Helen," pursued the teacher, "we want you to explain the facts that Harold has so clearly brought out. We want you to tell us why it was that the economic condition of humanity derived but a barely perceptible advantage at most, if indeed any at all, from an inventive progress which by its indefinite multiplication of productive energy should by every rule of reason have completely transformed for the better the economic condition of the race and wholly banished want from earth. What was there about the old system of private capitalism to account for a _fiasco_ so tremendous?"

"It was the operation of the profit principle," replied the girl Helen.

"Please proceed with the explanation."

"The great economic inventions which Harold has been talking about," said the girl, "were of the class of what were called labor-saving machines and devices--that is to say, they enabled one man to produce more than before with the same labor, or to produce the same as before with less labor. Under a collective administration of industry in the equal general interest like ours, the effect of any such invention would be to increase the total output to be shared equally among all, or, if the people preferred and so voted, the output would remain what it was, and the saving of labor be appropriated as a dividend of leisure to be equally enjoyed by all. But under the old system there was, of course, no collective administration. Capitalists were the administrators, being the only persons who were able to carry on extensive operations or take the initiative in economic enterprises, and in what they did or did not do they had no regard to the public interest or the general gain, but to their own profit only. The only motive which could induce a capitalist to adopt an invention was the idea of increasing his profits either by getting a larger product at the same labor cost, or else getting the same product at a reduced labor cost. We will take the first case. Suppose a capitalist in adopting labor-saving machinery calculated to keep all his former employees and make his profit by getting a larger product with the same labor cost. Now, when a capitalist proposed to increase his output without the aid of a machine he had to hire more workers, who must be paid wages to be afterward expended in purchasing products in the market. In this case, for every increase of product there was some increase, although not at all an equal one, in the buying power of the community. But when the capitalist increased his output by the aid of machinery, with no increase in the number of workers employed, there was no corresponding increase of purchasing power on the part of the community to set off against the increased product. A certain amount of purchasing power went, indeed, in wages to the mechanics who constructed the labor-saving machines, but it was small in comparison with the increase in the output which the capitalist expected to make by means of the machinery, otherwise it would have been no object to him to buy the machine. The increased product would therefore tend directly to glut yet more the always glutted market; and if any considerable number of capitalists should introduce machinery in the same way, the glut would become intensified into a crisis and general stoppage of production.

"In order to avert or minimize such a disaster, the capitalists could take one or two courses. They could, if they chose, reduce the price of their increased machine product so that the purchasing power of the community, which had remained stationary, could take it up at least as nearly as it had taken up the lesser quantity of higher-priced product before the machinery was introduced. But if the capitalists did this, they would derive no additional profit whatever from the adoption of the machinery, the whole benefit going to the community. It is scarcely necessary to say that this was not what the capitalists were in business for. The other course before them was to keep their product where it was before introducing the machine, and to realize their profit by discharging the workers, thus saving on the labor cost of the output. This was the course most commonly taken, because the glut of goods was generally so threatening that, except when inventions opened up wholly new fields, capitalists were careful not greatly to increase outputs. For example, if the machine enabled one man to do two men's work, the capitalist would discharge half of his force, put the saving in labor cost in his pocket, and still produce as many goods as ever. Moreover, there was another advantage about this plan. The discharged workers swelled the numbers of the unemployed, who were underbidding one another for the opportunity to work. The increased desperation of this competition made it possible presently for the capitalist to reduce the wages of the half of his former force which he still retained. That was the usual result of the introduction of labor-saving machinery: First, the discharge of workers, then, after more or less time, reduced wages for those who were retained."

"If I understand you, then," said the teacher, "the effect of labor-saving inventions was either to increase the product without any corresponding increase in the purchasing power of the community, thereby aggravating the glut of goods, or else to positively decrease the purchasing power of the community, through discharges and wage reductions, while the product remained the same as before. That is to say, the net result of labor-saving machinery was to increase the difference between the production and consumption of the community which remained in the hands of the capitalists as profit."

"Precisely so. The only motive of the capitalist in introducing labor-saving machinery was to retain as profit a larger share of the product than before by cutting down the share of labor--that is to say, labor-saving machinery which should have banished poverty from the world became the means under the profit system of impoverishing the masses more rapidly than ever."

"But did not the competition among the capitalists compel them to sacrifice a part of these increased profits in reductions of prices in order to get rid of their goods?"

"Undoubtedly; but such reductions in price would not increase the consuming power of the people except when taken out of profits, and, as John explained to us this morning, when capitalists were forced by competition to