FACTORS OF AGRICULTURAL PRODUCTION 215 



rich and the criminally rich, and unable to see that there may 

 be more criminally poor than criminally rich men, is probably 

 the worst form of government known. 



Again, a weak and inefficient government, unable to hold in 

 check the rapacity of large combinations of wealth, may per- 

 mit conditions which make it hazardous for the small investor. 

 This is, of course, the day of large capitalistic undertakings, 

 the carrying out under one management of vast undertakings 

 requiring more capital than any one can supply. This calls for 

 the combination of many small fortunes, which is effected by 

 the organization of joint-stock companies, or corporations, and 

 by the selling of shares. These shares ought to be, and if the 

 government were honest and efficient they would be, the natural 

 savings bank of the people with small incomes. Any one who 

 has succeeded in saving a hundred dollars, or even less, ought 

 to be able to invest safely in the stocks or bonds of any of 

 the great and well-established railroads, manufacturing plants, 

 mines, etc. But owing to the machinations of the large stock- 

 holders it is, wherever the government particularly the ju- 

 dicial branch is too corrupt or inefficient to control them, 

 extremely hazardous for such a person to invest in this way. 

 This uncertainty is sometimes partially overcome by good laws 

 relating to savings banks, supplemented by excellent banking 

 practice or even by postal savings banks, so that the small 

 capitalist may invest through these institutions. But under a 

 really efficient government there would be comparatively little 

 need for such institutions. 



Taxation. Finally, even though the people be law-abiding 

 and the government efficient, a mistaken theory as to the nature 

 of taxes and their effects upon industry may, when put into 

 practice, act as a hindrance to the effective accumulation of 

 capital. A system of taxation which taxes every such positive 

 accumulation of capital, instead of land and natural advantages, 



