Progress and Poverty, Volumes I and II: An Inquiry into the Cause of Industrial Depressions and of Increase of Want with Increase of WealthGeorge, Henry
General
Progress and Poverty, Volumes I and II: An Inquiry into the Cause of Industrial Depressions and of Increase of Want with Increase of Wealth
George, Henry
Economics; Single tax
The causes of its triumph, the sources of its strength, are not
obscure. Seemingly backed by an indisputable arithmetical truth—that a
continuously increasing population must eventually exceed the capacity
of the earth to furnish food or even standing room, the Malthusian
theory is supported by analogies in the animal and vegetable kingdoms,
where life everywhere beats wastefully against the barriers that hold
its different species in check—analogies to which the course of modern
thought, in leveling distinctions between different forms of life, has
given a greater and greater weight; and it is apparently corroborated
by many obvious facts, such as the prevalence of poverty, vice, and
misery amid dense populations; the general effect of material progress
in increasing population without relieving pauperism; the rapid growth
of numbers in newly settled countries and the evident retardation of
increase in more densely settled countries by the mortality among the
class condemned to want.
The Malthusian theory furnishes a general principle which accounts
for these and similar facts, and accounts for them in a way which
harmonizes with the doctrine that wages are drawn from capital, and
with all the principles that are deduced from it. According to the
current doctrine of wages, wages fall as increase in the number of
laborers necessitates a more minute division of capital; according
to the Malthusian theory, poverty appears as increase in population
necessitates the more minute division of subsistence. It requires but
the identification of capital with subsistence, and number of laborers
with population, an identification made in the current treatises on
political economy, where the terms are often converted, to make the
two propositions as identical formally as they are substantially.[15]
And thus it is, as stated by Buckle in the passage previously quoted,
that the theory of population advanced by Malthus has appeared to prove
decisively the theory of wages advanced by Smith.
Ricardo, who a few years subsequent to the publication of the “Essay on
Population” corrected the mistake into which Smith had fallen as to the
nature and cause of rent, furnished the Malthusian theory an additional
support by calling attention to the fact that rent would increase as
the necessities of increasing population forced cultivation to less
and less productive lands, or to less and less productive points on
the same lands, thus explaining the rise of rent. In this way was
formed a triple combination, by which the Malthusian theory has been
buttressed on both sides—the previously received doctrine of wages and
the subsequently received doctrine of rent exhibiting in this view but
special examples of the operation of the general principle to which the
name of Malthus has been attached—the fall in wages and the rise in
rents which come with increasing population being but modes in which
the pressure of population upon subsistence shows itself.
Public-domain text, read in full here on John Shaqi.
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