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demand and supply might find itself at the eleventh hour, and some minutes over, in want of carts and horses; and we ventured so far to interfere with the divine principle as to provide carts and horses, with haste which proved, happily, in time for the need; but not a moment in advance of it. It was farther recognized by the committee that the divine principle of demand and supply would commence its operations by charging the poor of Paris twelve-pence for a penny's worth of whatever they wanted; and would end its operations by offering them twelve-pence worth for a penny, of whatever they didn't want. Whereupon it was concluded by the committee that the tiny knot, on this special occasion, was scarcely "dignus vindice," by the divine principle of demand and supply: and that we would venture, for once, in a profane manner, to provide for the poor of Paris what they wanted, when they wanted it. Which, to the value of the sums entrusted to us, it will be remembered we succeeded in doing.

But the fact is that the so-called "law," which was felt to be false in this case of extreme exigence, is alike false in cases of less exigence. It is false always, and everywhere. Nay to such an extent is its existence imaginary, that the vulgar economists are not even agreed in their account of it; for some of them mean by it, only that prices are regulated by the relation between demand and supply, which is partly true; and others mean that the relation itself is one with the process of which it is unwise to interfere; a statement which is not only, as in the above instance, untrue; but accurately the reverse of the truth: for all wise economy, political or domestic, consists in the resolved maintenance of a given relation between supply and demand, other than the instinctive, or (directly) natural, one.

Similarly, vulgar political economy asserts for a "law" that wages are determined by competition.

Now I pay my servants exactly what wages I think necessary to make them comfortable. The sum is not determined at all by competition; but sometimes by my notions of their comfort and deserving, and sometimes by theirs. If I were to become penniless to-morrow, several of them would certainly still serve me for nothing.

In both the real and supposed cases the so-called "law" of vulgar political economy is absolutely set at defiance. But I cannot set the law of gravitation at defiance, nor determine that in my house I will not allow ice to melt, when the temperature is above thirty-two degrees. A true law outside of my house, will remain a true one inside of it. It is not, therefore, a law of Nature that wages are determined by competition. Still less is it a law of State, or we should not now be disputing about it publicly, to the loss of many millions of pounds to the country. The fact which vulgar economists have been weak enough to imagine a law, is only that, for the last twenty years a number of very senseless persons have attempted to determine wages in that manner; and have, in a measure, succeeded in occasionally doing so.

Both in definition of the elements of wealth, and in statement of the laws which govern its distribution, modern political economy has been thus absolutely incompetent, or absolutely false. And the following treatise is not, as it has been asserted with dull pertinacity, an endeavour to put sentiment in the place of science; but it contains the exposure of what insolently pretended to be a science; and the definition, hitherto unassailed—and I do not fear to assert, unassailable—of the material elements with which political economy has to deal, and the moral principles in which it consists; being not itself a science, but "a system of conduct founded on the sciences, and impossible, except under certain conditions of moral culture." Which is only to say, that industry, frugality, and discretion, the three foundations of economy, are moral qualities, and cannot be attained without moral discipline: a flat truism, the reader may think, thus stated, yet a truism which is denied both vociferously, and in all endeavour, by the entire populace of Europe; who are at present hopeful of obtaining wealth by tricks of trade, without industry; who, possessing wealth, have lost in the use of it even the conception,—how much more the habit?—of frugality; and who, in the choice of the elements of wealth, cannot so much as lose—since they have never hitherto at any time possessed,—the faculty of discretion.

Now if the teachers of the pseudo-science of economy had ventured to state distinctly even the poor conclusions they had reached on the subjects respecting which it is most dangerous for a populace to be indiscreet, they would have soon found, by the use made of them, which were true, and which false.

But on main and vital questions, no political economist has hitherto ventured to state one guiding principle. I will instance three subjects of universal importance. National Dress. National Rent. National Debt.

Now if we are to look in any quarter for a systematic and exhaustive statement of the principles of a given science, it must certainly be from its Professor at Cambridge.

Take the last edition of Professor Fawcett's Manual of Political Economy, and forming, first clearly in your mind these three following questions, see if you can find an answer to them.

I. Does expenditure of capital on the production of luxurious dress and furniture tend to make a nation rich or poor?

II. Does the payment, by the nation, of a tax on its land, or on the produce of it, to a certain number of private persons, to be expended by them as they please, tend to make the nation rich or poor?

III. Does the payment, by the nation, for an indefinite period, of interest on money borrowed from private persons, tend to make the nation rich or poor?

These three questions are, all of them, perfectly simple, and primarily vital. Determine these, and you have at once a basis for national conduct in all important particulars. Leave them undetermined, and there is no limit to the distress which may be brought upon the people by the cunning of its knaves, and the folly of its multitudes.

I will take the three in their order.

I. Dress. The general impression on the public mind at this day is, that the luxury of the rich in dress and furniture is a benefit to the poor. Probably not even the blindest of our political economists would venture to assert this in so many words. But where do they assert the contrary? During the entire period of the reign of the late Emperor it was assumed in France, as the first principle of fiscal government, that a large portion of the funds received as rent from the provincial labourer should be expended in the manufacture of ladies' dresses in Paris. Where is the political economist in France, or England, who ventured to assert the conclusions of his science as adverse to this system? As early as the year 1857 I had done my best to show the nature of the error, and to give warning of its danger;[7] but not one of the men who had the foolish ears of the people intent on their words, dared to follow me in speaking what would have been an offence to the powers of trade; and the powers of trade in Paris had their full way for fourteen years more,—with this result, to-day,—as told us in precise and curt terms by the Minister of Public Instruction,—[8]

"We have replaced glory by gold, work by speculation, faith and honour by scepticism. To absolve or glorify immorality; to make much of loose women; to gratify our eyes with luxury, our ears with the tales of orgies; to aid in the manœuvres of public robbers, or to applaud them; to laugh at morality, and only believe in success; to love nothing but pleasure, adore nothing but force; to replace work with a fecundity of fancies; to speak without thinking; to prefer noise to glory; to erect sneering into a system, and lying into an institution—is this the spectacle that we have seen?—is this the society that we have been?"

Of course, other causes, besides the desire of luxury in furniture and dress, have been at work to produce such consequences; but the most active cause of all has been the passion for these; passion unrebuked by the clergy, and, for the most part, provoked by economists, as advantageous to commerce; nor need we think that such results have been arrived at in France only; we are ourselves following rapidly on the same road. France, in her old wars with us, never was so fatally our enemy as she has been in the fellowship of fashion, and the freedom of trade: nor, to my mind, is any fact recorded of Assyrian or Roman luxury more ominous, or ghastly, than one which came to my knowledge a few weeks ago, in England; a respectable and well-to-do father and mother, in a quiet north country town, being turned into the streets in their old age, at the suit of their only daughter's milliner.

II. Rent. The following account of the real nature of rent is given, quite accurately, by Professor Fawcett, at page 112 of the last edition of his Political Economy:—

"Every country has probably been subjugated, and grants of vanquished territory were the ordinary rewards which the conquering chief bestowed upon his more distinguished followers. Lands obtained by force had to be defended by force; and before law had asserted her supremacy, and property was made secure, no baron was able to retain his possessions, unless those who lived on his estates were prepared to defend them....[9] As property became secure, and landlords felt that the power of the State would protect them in all the rights of property, every vestige of these feudal tenures was abolished, and the relation between landlord and tenant has thus become purely commercial. A landlord offers his land to any one who is willing to take it; he is anxious to receive the highest rent he can obtain. What are the principles which regulate the rent which may thus be paid?"

These principles the Professor goes on contentedly to investigate, never appearing to contemplate for an instant the possibility of the first principle in the whole business—the maintenance, by force, of the possession of land obtained by force, being ever called in question by any human mind. It is, nevertheless, the nearest task of our day to discover how far original theft may be justly encountered by reactionary theft, or whether reactionary theft be indeed theft at all; and farther, what, excluding either original or corrective theft, are the just conditions of the possession of land.

III. Debt. Long since, when, a mere boy, I used to sit silently listening to the conversation of the London merchants who, all of them good and sound men of business, were wont occasionally to meet round my father's dining-table; nothing used to surprise me more than the conviction openly expressed by some of the soundest and most cautious of them, that "if there were no National debt they would not know what to do with their money, or where to place it safely." At the 399th page of his Manual, you will find Professor Fawcett giving exactly the same statement.

"In our own country, this certainty against risk of loss is provided by the public funds;"

and again, as on the question of rent, the Professor proceeds, without appearing for an instant to be troubled by any misgiving that there may be an essential difference between the effects on national

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