March 2, 1885,] 



THE TROPICAL AGRICULTURIST. 



711 



OVERPRODUCTION. 



At a recent meeting at St. James's Hall, London, 

 crowded with Radicals, Democrats, Socialists, Land 

 Reformers, et hoc genus omne, Mr. Henry George was 

 discussing, as is his wont, the wrongs of the thousands 

 of unemployed in our wealthy cities and the various 

 causes to which, by different authorities, the want 

 of sufficient employment for all is attributed. 

 Among these causes he enumerated Overproduction : 

 "Overproduction," he shouted, "that is, Buch 

 lots of corn and meat that tens of thousands must 

 needs go hungry." 



Now, anyone nursed in the tenets of the older 

 school of political economists from Adam Smith to 

 John Stuart Mill is apt to feel but scanty sympathy 

 with the pronounced teachings of Mr. Henry George. 

 But the above simple paradox can hardly fail to 

 appeal, at least, to the commonsense of all, what- 

 ever be their views on political economy, while to 

 hundreds ef men of business it runs on all-fours with 

 their daily experience for the last few years. 

 In nearly every trade the position is the same : 

 one hears of abundant supplies, very low prices and 

 general consequent depression. The puzzle is : How 

 can a time of almost universal abundance be really 

 aud actually, as nearly all are holding it to be, a 

 bad time '! What is the explanation ? It lies iu a 

 flat contradiction. 



It is not a bad time'; on the contrary, taking the 

 whole population of the United Kingdom into account, 

 never was so good a time. While all necessaries of 

 life are abundant and cheap to a degree imknown 

 for many years, wages have fallen by no means in 

 pioportion to the fall in prices of commodities}; 

 and the result is, that, while among the few millions 

 of capitalists, merchants, farmers, &c, there is the 

 much-complained-of depression, among the many 

 millions of wage-earners there is a steadily, nay, 

 rapidly increasing consumption of all that goes to 

 make life tolerable, if not comfortable. The con- 

 clusion is, that never before were the people of 

 the United Kingdom, taking them all round, so well 

 off as they have been during the last few years of 

 so-called mercantile depression. 



It is true, that, during this year, the fall of prices 

 has been aggravated to such a degree in some branches 

 of trade as to react on the power of giving employment 

 to labour, and it may probably be necessary that 

 wages be now lowered to meet the pressure of low 

 prices. Again in other branches of trade, such as 

 ship-building, there is a reaction from the excessive 

 activity of the last few years. But these are excep- 

 tions to the rule, and Mr. Henry George would find 

 it difficult to show, that, taking all the working folks 

 of the United Kingdom, there was not a distinct in- 

 ert a-e of well-being in the aggregate. In favour of 

 our view we have the authority of Mr. John Bright, 

 and still more to the purpose the Poor Law returns 

 which show a very great reduction in the percentage 

 of pauperism to population siuce 1874, when the fall 

 in prices may be .-aid to have begun. 



But we may have some of our readers saying, 

 ■' What is all this about overproduction and abundant 

 supplies ? It is little we have to complain of iu that 

 way." Alas ! no, Ceylon has been a sad exception to the 

 rule of abundant production. But the consideration of 

 the plight of others who have been more fortunate 

 in that respect may well be a warning for the future. 

 The coffee-growers of Brazil, the corn-growers of 

 India and America, the sugar-growers of Europe (with 

 their bouutics) : how have these fared with their 



abundant crops ? They all find themselves in the same 

 position as the planters of Ceylon, inasmuch as they 

 havo to sell their produce at a loss for the benefit 

 of the consumer. 



Much has been said in the writings of political 

 economists of the "unearned increment," and it has 

 been the custom to lay down as an axiom that value 

 is ruled by cost of production. It seems to have 

 been overlooked that there may be times when there 

 is a corresponding " decrement " in value, when the 

 cost of production cannot be obtained in any market. 

 At this moment, while Mr. George is declaiming to 

 British workmen as to their lawful share in the un- 

 earned increment in the value of the land of England, 

 not a word does he tell them as to how they are 

 enjoying in their bread and sugar the unearned decre- 

 ment in the value of the products of the labour of 

 thousands iu other lands. 



The problem then before the planters in Ceylon is 

 so to direct their course that they may not in the 

 future find themselves compelled to hand over tho 

 whole fruits of their labours to the consumer. 

 Has anyone tried to realize what would have now 

 been the position of affairs, had all the Cinchona 

 planted ccme to maturity ? It makes one shiver to 

 think of it. 



The best chance for the future, lying as it does 

 in tea cultivation, would seem to be summed up 

 with the utmost brevity in the three words : — 

 Quality not Quantity. 



A CRISIS IN THE BRAZIL COFFEE 

 CULTURE. 



Mr. John S. Vans Eeesema writes to us from South 

 Wynaad :— " While Indian aud Ceylon coffee planters have 

 been struggling against low prices and leaf-disease for the 

 last few years, it appears that all is not " couleur de rose " 

 in other parts of the world, and that the coffee culture in 

 Brazil is handicapped with even more crushing penalties 

 than those we labour under. The following translation of 

 a cutting sent me speaks for itself, and from other sources 

 I learn that unless some immediate and very sweeping re- 

 form takes place in the supply and condition of labor in 

 the Brazil planting districts very large deficiencies in crop 

 will be the result: as much as a million bags within the 

 last two years is stated to be the probable or possible de- 

 crease. I need hardly point out how this would affect our 

 market: — 



" Mr. Antony Kessler has written an elaborate review, 

 (in the organ of the Indo-Dutch Association of Industry 

 and Agriculture of a report published last year by the 

 Brazilian Professor Conty, ou the origin of the present de- 

 pressed position of the coffee cultivation in that Empire. 

 He condenses the report and the conclusions at which 

 arrives as follows : — 



1. That the present position of coffee cultivation in 

 Brazil is very deplorable owing to the high cost and in- 

 efficiency of slave labor. 



2. That the supply of this expensive but indispensable 

 labor, is even now insufficient, whilst tho heavy yearly 

 mortality among the slaves rapidly diminishes the number 

 available. 



3. That neither free slaves nor Cabales can be used for 

 the work in the factories, and therefore a supply of other 

 laborers must be obtainable. 



-!. That the importation of Chinese coolies cannot re- 

 medy this, as they are even more expensive than slaves. 



6. That only European immigration can avail, and that 

 this is not practicable owing to the social distinctions in 

 the Empire. 



All depends at present whether planters can be speedily 

 induced to admit the necessity of such radical changes as 

 according to Dr. Conty, are necessary to induce 5C0,U00 

 European to settle in Brazil within a comparatively short 

 time. In spite of Dr. Couty's exertions this appears highly 

 improbable. Were it merely a question of developing a 

 new industry it might be easy to attract necessary laborers 

 by offering liberal terms : the extension of new openings 

 would then keep pace with the average immigration; aud al> 



