Capitalism; Imperialism; Saving and investment; Socialism
It is no more than to be expected, therefore, that Prof. Diehl should
declare Rodbertus a pioneer of economic theory on the strength of his
'new theory of income' and of the distinction between the logical and
the historical categories of capital (capital properly so-called in
contrast to individual capital), that Prof. Adolf Wagner should call him
the 'Ricardo of economic socialism', proving himself ignorant at once of
Ricardo, Rodbertus and socialism alike. Lexis even judges that Rodbertus
is at least the equal of 'his British rival' in power of abstract
thinking, and by far his superior in 'virtuosity to lay bare the
phenomena in their ultimate connections', in 'imaginative vitality', and
above all in his 'ethical approach to economic life'. Rodbertus' real
achievements in economic theory however, other than his critique of
Ricardo's ground rent, his at times quite clear-cut distinction between
surplus value and profit, his treatment of the surplus value as a whole
in deliberate contrast with its partial manifestations, his critique of
Smith's dogma concerning the analysis of commodities in terms of value,
his precise formulation of the periodical character of the crises and
his analysis of their manifestations--all these attempts to carry the
investigation beyond Smith, Ricardo and Say, promising as such, though
doomed to failure because of the confused basic concepts, are rather
above the heads of Rodbertus' official admirers. As Franz Mehring
already pointed out, it was Rodbertus' strange fortune to be lauded to
heaven for his alleged prowess in economics by the same people who
called him to task for his real merits in politics. This contrast
between economic and political achievements, however, does not concern
us here: in the realm of economic theory, his admirers built him a
grand memorial on the barren field he had dug with the hopeless zeal of
the visionary, while the modest beds where he had sown a few fertile
seeds, were allowed to be smothered with weeds and forgotten.[276]
It cannot be said that the problem of accumulation had on the whole been
much advanced beyond the first controversy by this Prusso-Pomeranian
treatment. If in the interim the economic theory of harmony had dropped
from the level of Ricardo to that of a Bastiat-Schultze, social
criticism had correspondingly declined from Sismondi to Rodbertus.
Sismondi's critique of 1819 had been an historical event, but Rodbertus'
ideas of reform, even on their first appearance, were a miserable
regression--still more so on their subsequent reiteration.
In the controversy between Sismondi on the one hand and Say and Ricardo
on the other, one party proved that accumulation was impossible because
of the crises, and therefore warned against full development of the
productive forces. The other party proved that crises were impossible
and advocated an unlimited development of accumulation. Though all
argued from wrong premises, each was logically consistent.
Public-domain text, read in full here on John Shaqi.
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