﻿Cabeutheks. 
  — 
  On 
  some 
  of 
  the 
  Terms 
  used 
  in 
  Political 
  Economy. 
  17 
  

  

  capital; 
  we 
  will 
  therefore 
  examine 
  liis 
  four 
  fundamental 
  propositions 
  as 
  

   given 
  in 
  chap, 
  v., 
  to 
  see 
  whether 
  he 
  means 
  any 
  or 
  all 
  of 
  the 
  three 
  requisites 
  

   of 
  production 
  above 
  given. 
  

  

  His 
  first 
  proposition 
  is, 
  that 
  " 
  Industry 
  is 
  limited 
  by 
  capital," 
  and 
  con- 
  

   versely, 
  " 
  every 
  increase 
  of 
  capital 
  gives, 
  or 
  is 
  capable 
  of 
  giving, 
  additional 
  

   employment 
  to 
  industry, 
  and 
  this 
  without 
  assignable 
  hmit." 
  

  

  The 
  whole 
  wealth 
  produced 
  by 
  the 
  community 
  belongs 
  to 
  the 
  capitalists. 
  

   The 
  labourers 
  have 
  no 
  share 
  in 
  its 
  ownership. 
  Theoretically, 
  the 
  capitalists 
  

   could 
  store 
  it 
  in 
  then* 
  warehouses 
  and 
  keep 
  it 
  for 
  their 
  own 
  exclusive 
  use, 
  

   leaving 
  the 
  workmen 
  to 
  starve 
  ; 
  practically, 
  they 
  do 
  not, 
  nor 
  would 
  they 
  

   be 
  allowed 
  to 
  do 
  so. 
  It 
  is 
  their 
  interest 
  to 
  keep 
  only 
  a 
  certain 
  share 
  for 
  them- 
  

   selves, 
  and 
  to 
  give 
  the 
  balance 
  to 
  the 
  workmen 
  to 
  induce 
  them 
  to 
  work 
  for 
  

   them 
  and 
  produce 
  new 
  wealth. 
  If 
  they 
  acted 
  together 
  as 
  a 
  class, 
  or 
  if 
  no 
  

   individual 
  capitahst 
  wanted 
  to 
  get 
  more 
  than 
  the 
  share 
  he 
  was 
  abeady 
  

   entitled 
  to 
  of 
  the 
  total 
  product, 
  they 
  need 
  never 
  give 
  the 
  labourers 
  more 
  

   than 
  the 
  bare 
  necessaries 
  of 
  life. 
  All 
  that 
  could 
  be 
  produced 
  beyond 
  that, 
  

   they 
  might 
  themselves 
  consume. 
  The 
  labourers 
  would 
  then 
  be 
  divided 
  into 
  

   two 
  classes 
  ; 
  one 
  engaged 
  in 
  producing 
  the 
  necessaries 
  of 
  life 
  for 
  themselves 
  

   and 
  for 
  the 
  other 
  class 
  ; 
  the 
  other 
  engaged 
  in 
  producing 
  luxuries 
  for 
  the 
  

   rich, 
  and 
  new 
  and 
  improved 
  implements, 
  which 
  would 
  still 
  further 
  increase 
  

   those 
  luxuries. 
  It 
  is 
  obvious 
  that 
  if 
  the 
  wealthy 
  then 
  reduced 
  the 
  share 
  

   of 
  wealth 
  which 
  they 
  gave 
  to 
  the 
  producers 
  of 
  necessaries, 
  some 
  of 
  the 
  

   labourers 
  would 
  starve, 
  and 
  industry 
  would 
  thus 
  be 
  lessened 
  as 
  the 
  number 
  

   of 
  labourers 
  was 
  lessened. 
  The 
  theorem 
  is 
  correct 
  only 
  when 
  the 
  conditions 
  

   are 
  such 
  as 
  are 
  here 
  indicated, 
  when 
  the 
  labourers 
  get 
  only 
  the 
  bare 
  

   necessaries 
  of 
  life, 
  and 
  when 
  capital 
  means 
  these 
  necessaries. 
  Industry 
  is 
  

   then 
  limited 
  by 
  capital, 
  but 
  not 
  otherwise. 
  

  

  Fortunately, 
  capitalists 
  do 
  not 
  act 
  together 
  as 
  a 
  class 
  ; 
  each 
  individual 
  

   tries 
  to 
  get 
  more 
  than 
  his 
  allotted 
  share 
  of 
  the 
  wealth 
  of 
  the 
  community, 
  

   and 
  all 
  try 
  to 
  entice 
  workmen 
  from 
  the 
  others 
  by 
  giving 
  higher 
  rewards, 
  

   that 
  is, 
  they 
  " 
  employ 
  more 
  of 
  their 
  capital 
  in 
  reproductive 
  investment." 
  

   The 
  result 
  is 
  not, 
  however, 
  an 
  increase 
  of 
  industry 
  as 
  stated 
  in 
  the 
  theorem, 
  

   but 
  higher 
  wages 
  for 
  the 
  labourers. 
  

  

  The 
  second 
  theorem 
  is, 
  that 
  "Capital 
  is 
  the 
  result 
  of 
  saving." 
  The 
  

   meaning 
  of 
  saving 
  in 
  this 
  sentence 
  is 
  not 
  that 
  which 
  it 
  usually 
  bears. 
  It 
  

   means 
  the 
  saving 
  made 
  by 
  the 
  capitalist, 
  that 
  is, 
  giving 
  to 
  the 
  working 
  

   classes 
  some 
  of 
  the 
  wealth 
  which 
  the 
  cajpitalist 
  might, 
  had 
  he 
  so 
  chosen, 
  

   have 
  consumed 
  himself. 
  He 
  says, 
  by 
  way 
  of 
  illustration 
  of 
  the 
  theorem,- 
  — 
  ■ 
  

   " 
  If 
  all 
  persons 
  were 
  to 
  expend 
  in 
  personal 
  indulgences 
  all 
  that 
  they 
  pro- 
  

   duce, 
  and 
  all 
  the 
  income 
  they 
  receive 
  from 
  what 
  is 
  produced 
  by 
  others, 
  

  

  