Problems of Poverty: An Inquiry into the Industrial Condition of the Poor — John Shaqi
Problems of Poverty: An Inquiry into the Industrial Condition of the PoorHobson, J. A. (John Atkinson)
History
Problems of Poverty: An Inquiry into the Industrial Condition of the Poor
Hobson, J. A. (John Atkinson)
Poor -- Great Britain; Sweatshops -- Great Britain; Working class -- Great Britain
But since dependence upon wages for the support of life will be found
closely related to the question of poverty, it is convenient to throw
some preliminary light on the measure of poverty, by figures bearing on
the general industrial condition of the wage-earning class. To measure
poverty we must first measure wealth. What is the national income, and
how is it divided? will naturally arise as the first questions. Now
although the data for accurate measurement of the national income are
somewhat slender, there is no very wide discrepancy in the results
reached by the most skilful statisticians. For practical purposes we may
regard the sum of £1,800,000,000 as fairly representing the national
income. But when we put the further question, "How is this income
divided among the various classes of the community?" we have to face
wider discrepancies of judgment. The difficulties which beset a fair
calculation of interest and profits, have introduced unconsciously a
partisan element into the discussion. Certain authorities, evidently
swayed by a desire to make the best of the present condition of the
working-classes, have reached a low estimate of interest and profits,
and a high estimate of wages; while others, actuated by a desire to
emphasize the power of the capitalist classes, have minimized the share
which goes as wages. At the outset of our inquiry, it might seem well to
avoid such debatable ground. But the importance of the subject will not
permit it to be thus shirked. The following calculation presents what
is, in fact, a compromise of various views, and can only claim to be a
rough approximation to the truth.
Taking the four ordinary divisions: Rent, as payment for the use of
land, for agriculture, housing, mines, etc.; Interest for the use of
business capital; Profit as wages of management and superintendence; and
Wages, the weekly earnings of the working-classes, we find that the
national income can be thus fairly apportioned--
Rent £200,000,000.
Interest £450,000,000.
Profits £450,000,000.
Wages £650,000,000.[1]
Total £1750,000,000.
Professor Leone Levi reckoned the number of working-class families as
5,600,000, and their total income £470,000,000 in the year 1884.[2] If
we now divide the larger money, minus £650,000,000, among a number of
families proportionate to the increase of the population, viz.
6,900,000, we shall find that the average yearly income of a working-
class family comes to about £94, or a weekly earnings of about 36s. This
figure is of necessity a speculative one, and is probably in excess of
the actual average income of a working family.
This, then, we may regard as the first halting-place in our inquiry. But
in looking at the average money income of a wage-earning family, there
are several further considerations which vitally affect the measurement
of the pressure of poverty.
Public-domain text, read in full here on John Shaqi.
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