Principles of Political Economy, Vol. 1Roscher, Wilhelm
History
Principles of Political Economy, Vol. 1
Roscher, Wilhelm
Economics
Coöperation in time is of equal importance: the principle of the
stability, or of the continuity of labor. When a workman dies, it is
necessary to be able to calculate on a substitute. It is well known that
it is much harder to begin a business, than it is, afterwards, to improve
and enlarge it; and this, the more complicated it is. A new enterprise
will take root easily, only where there are several similar ones already
in existence; a new manufacturing establishment, for instance, where by
the existence of other such establishments, the requisite habits of the
workmen, of capitalists and of the public in general, have been previously
developed. The skill of workmen is propagated especially by observation
and the personal emulation of the young; whence it is, that the
introduction of new industries is best made by the immigration of skilled
workmen.(390) Hence the baleful influence of such interruptions, as for
instance, the repeal of the edict of Nantes. Hence too, it is, that
despotism and the reign of the populace are so unfavorable to the economy
of a country, where there can be no guarantee of a consistent observance
and development of the laws. To the best applications of the principle of
the continuity of labor belong the church-building of the middle ages, the
national canals, the street and fortification systems of modern times; all
of which have been created only by the coöperation of several generations
to the same end.(391) The most striking means by which such a coöperation
has been advanced in modern times is public credit, “a draft on
posterity;” yet, all saving is, in principle, the same. The most powerful
element in the coöperation in time of labor is the economy in common of
the family, although it differs in degree, according to the different
kinds of family inheritance. Where, as among the English middle classes,
it is customary to secure the business property of the family to one child
by will, and to entrust the conduct of the business, during the life of
the father, to the devisee, to provide for the other children by
insurance, by savings etc., made from the surplus of the business, there
may be old firms which remain always new, however; because they combine
the experience of age with the energy of youth, and are never broken up by
a division of the inheritance. But the compulsory equality of heirs, which
actually obtains in France, compels almost every new generation to begin
with a new firm. (See § 85 seq.)(392)
Section LXVI.
Advantage Of Large Enterprises.
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