The Kinetic Theory of Economic Crises 25 



the higher psychic quality of the French mind tends to keep the 

 French soil within the momentary materialistic conjuncture. 



The higher, more psychic conjuncture is wider. This means 

 that it gives room for more investment and for more produce. 

 In its crudest form its efficiency consists in literally extending 

 the geographical areas involved — not merely by transporting 

 produce from a more distant place and thus bringing it within 

 the market, but also by adding new areas not previously culti- 

 vated. This is the crudest form of widening the environment. 

 It was the sole means in earlier ages. By migrations and colo- 

 nizations ancient men lengthened their journeys, widened their 

 plans in space and time, broadened their markets ; and thus from 

 the material, geographical side literally widened the environ- 

 ment. They first found the environment, then made use of it. 

 Very little scope now remains on the earth for this primitive 

 method. Argentina is the best example of recent times in the 

 wheat part-market ; Africa, in the gold part-market. But the 

 real test now of the entrance of geographical items into the con- 

 juncture is whether they offer the proper psychic conditions. 

 Thus both France and Argentina, though so unlike in situation 

 and climate, are more permanently in the market than India. It 

 is true that France exports and imports but little; but this little 

 keeps her in the wheat market. 1 Argentina is a simple case of 

 the successful trial of a new field and the discovery that it belongs 

 to the present and coming environment. England, on the con- 

 trary, in order to stay in the agricultural conjuncture at all. has 

 been compelled to change from wheat to beef, and, in the change, 

 to lower greatly the valuation of her agricultural land. Evi- 

 dently, the less favorable soil and climate of England can not 

 compete in the wider, more psychic market, which is seeking out 

 all the potentialities of wheat culture hitherto neglected in the 

 earth's crust. 



Which, now, is the cause of the progress in wheat culture into 

 the larger, more psychic environment, — the crust of the earth or 



1 "Grain prices in France were regulated by the world-market at the pe- 

 riod when that country still supplied, on the whole, its own needs and only 

 occasionally made gooi a slight deficiency from abroad, or exported a light 

 surplus." 'Prof. I. Conrad, Die Stellung der Landtvirthschaftlichen Zolle, 

 p. 131, vSchr. d. Vereins fur Sociaipolitie, LXXXX. 



25 



