760 REPORT— 1888. 



6. A-gricultural, Commercial, Industrial, and Banking Statistics. 

 By Wm. Botly, M.B.A.8.E. 



f 'omparative statistics are given of the leading features of industries and interests 

 above mentioned, showing the high position occupied by the United Kingdom a? 

 compared with other nations. It is shown that the capital of the United Kingdom 

 employed in banking was, in 1882, 840,000,000/., or 29,000,000/. more than the 

 amount so employed by France, Germany, Austria, and Russia combined, and that 

 Great Britain has nearly 10 per cent, of her national wealth engaged in banking. 



FRIDAY, SEPTEMBER 7. 

 The following Papers were read : — 



1. An Analysis of the Current Conception of State Socialism. 

 By Professor Henet Sidgwick, M.A. 



The present tendency of opinion is towards increased interference of Govern- 

 ment. The results of this are often lumped together and referred to • State- 

 Socialism,' as opposed to ' Individualism,' or Laisser Faire — the principle that 

 ' individuals if secured from interference can take better care of their own interests 

 than Government can for them.' 



My present object is to distinguish different issues that are liable to be con- 

 founded in this opposition. 



I. A great deal of recent extension of governmental interference is really 

 individualistic in principle ; its aim is the more effective protection of individuals 

 from mischief to person or estate caused by action of other men, intentionally or 

 carelessly. 



Most individualists recognise that it is the duty of Government to prevent this 

 kind of mischief; and it is easy to see how the progress of civilised states brings 

 new occasions for interfering in this way, either 



(a) From new or increased dangers due to the closer massing of human 

 beings and the more complicated relations which development of indus- 

 try and civilisation bring with it ; or 

 (U) Increased insight into such dangers ; or 



(c) New knowledge of possible remedies due to progress of science. 

 Illustration — Sanitary interference. 



II. Even when Governmental interference, actual or proposed, cannot be based 

 on the individualistic principle, it does not necessarily imply a denial of the propo- 

 sition that ' the individual is the best guardian of his own interest ' ; but only of 

 the quite diflerent proposition that ' the common welfare is best attained by each 

 seeking his own interest intelligently.' 



This latter proposition I hold to be largely true; but there are many exceptional 

 cases, as I pointed out two years ago at Birmingham — e.g. : 



(1) AVhere the individual cannot adequately appropriate and sell the utility he 



might render to society ; or 



(2) Where the process of sale is wasteful of time and labour ; or 



(3) Where a business tends to become a monopoly, since a monopolist may 



often get better pay for less service ; or 



(4) AVhere uniformity of action or inaction is specially important. 



Much of the actual industrial intervention of Government is justified on one or 

 other of these grounds — e.ij. regulation of forests, fisheries, management of con- 

 veyance and communication, currency, provision of gas and water. 



Ts all this to be called Socialistic, when its aim is to benefit the community as 

 a whole, not one class at the expense of another ? Certainly ' Socialistic ' is often 

 understood to imply a design of benefiting the poor at the expense of the rich. 



