A history of economic doctrines : $b from the time of the physiocrats to the present dayGide, Charles
History
A history of economic doctrines : $b from the time of the physiocrats to the present day
Gide, Charles
Economics -- History
The most solid argument, in their opinion—at least the one that was
most frequently used—is that these proprietors are either the men who
cleared and drained the land or else their rightful descendants. They
have incurred or they are incurring expenditure in clearing the land,
enclosing it and building upon it—what the Physiocrats call the _avances
foncières_.[50] They never get their revenues through some one else
as the manufacturers do, and they are anything but parasites. Their
portion is _optimo jure_, in virtue of a right prior and superior even to
that of the cultivators, for although the cultivators help to make the
product, the proprietors help to make the land. The three social classes
of the Physiocratic scheme may be likened to three persons who get their
water from the same well. It is drawn from the well by members of the
productive class in bucketfuls, which are passed on to the proprietors,
but the latter class gives nothing in return for it, for the well is of
their making. At a respectable distance comes the sterile class, obliged
to buy water in exchange for its labour.[51]
The Physiocrats failed to notice the contradiction involved in this. If
the revenue which the proprietor draws represents the remuneration for
his outlay and the return for his expenditure it is no longer a gift of
nature, and the net product vanishes, for, by definition, it represented
what was left of the gross product after paying all initial expenses—the
excess over cost of production. If we accept this explanation of the
facts there is no longer any surplus to dispose of. It is as capitalists
pure and simple and not as the representatives of God that proprietors
obtain their rents.
Must we really believe that although these outlays afford some
explanation of the existence of private property they supply no means of
measuring or of limiting its extent? Is there no connection between these
outlays and the revenues which landed proprietors draw?
Or must we distinguish between the two portions of the revenue—the one,
indispensable, representing the reimbursement of the original outlay, and
in every respect comparable to the revenue of the farmer, and the other,
being a true surplus, constituting the net product? How can they justify
the appropriation of the latter?
There is another argument held in reserve, namely, that based upon social
utility. They point out that the cultivation of land would cease and the
one source of all wealth would become barren if the pioneer were not
allowed to reap the fruits of his labour.
The new argument is a contradiction of the old. In the former case land
was appropriated because it had been cultivated. In the present case land
must be appropriated before it can be cultivated. In the former labour
is treated as the efficient cause, in the latter as the final cause of
production.
Public-domain text, read in full here on John Shaqi.
Reviews
Reviews
No reviews yet
Be the first to share your thoughts on this work.
Join the Discussion
Join the discussion
Sign in to leave a comment or review.
Sign InorCreate an account