#37. Labour cannot be Capital.# It is not uncommon to hear it said that
#labour is the poor man's capital#; and then it is argued that the poor
man has just as much right to live upon his capital as the rich man upon
his. And so he has, if he can do it. If a labourer can go and produce
any kind of wealth, and exchange it for food and necessaries, of course
he may do so. But, as a general rule, he cannot do this without working
for a length of time, waiting till the produce is finished and sold. In
order to do this he wants something more than his labour, namely, his
food in the meantime, besides materials and tools. These form the
required capital, and there is no good in calling labour capital when it
is really quite a different thing. At other times I have heard it said
that #land is capital, intelligence is capital#, and so forth. These are
all misleading expressions. The intended meaning seems to be that some
people live upon what they get from land, or from intelligence, as other
people live upon what they get as interest upon capital. Nevertheless,
land is not capital, nor is intelligence capital. Production requires,
as we have seen, three distinct things, namely, land, labour, and
capital; and there is much harm in confusing things together by giving
them the same name when they are not the same thing.
CHAPTER VI.
DISTRIBUTION OF WEALTH.
#38. How Wealth is Shared.# We have learned what wealth is, how it is to
be used, and how it may be produced in the greatest quantities, with the
least possible labour, but we have yet to enter on the more difficult
parts of our subject. We must now try to make out how wealth is shared
among those who have a hand in producing it. The requisites of
production, as we have seen, are land, labour, and capital; if these
were all supplied by the same person, no doubt the produce ought all to
belong to him, with the exception of what is taken by the government as
taxes. But, in a state of society such as exists at present, the
labourer seldom owns all the land and capital he uses; he goes to work
on another man's farm, or in another man's factory; he lives in another
man's house, and often eats another man's food; he derives benefits from
other men's inventions, and discoveries; and he uses roads, railways,
public buildings, &c., furnished at the cost of the community.
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