The Book of History (Vol. 1 of 18): A History of All Nations from the Earliest Times to the PresentVarious
History
The Book of History (Vol. 1 of 18): A History of All Nations from the Earliest Times to the Present
Various
World history
But man’s power of invention increases, and in the higher stage of
industrial evolution the facilities for labour are enormous. We have
but to think of steam and of electricity with all their tremendous
developments of power. Finally the discovery of the unity of force
leads men to look upon Nature as a storehouse of energy and to devise
means by which natural forces may be guided, one form of energy
converted into another and transferred from place to place; and thus
man becomes almost all-powerful. He is not able to create, it is true,
but he may at least mould and shape to his desire that which Nature
has already formed. Thus the discovery how to direct the forces of
Nature enables us again, according to the principle already cited, to
escape the disabilities of human differentiation with its attendant
incongruities.
[Sidenote: Boundless Growth of Commerce]
As already stated, division of labour leads to exchange; exchange leads
to commerce. Commerce is exchange on a large scale, organised into a
system with special regard to the production of a store, or supply. The
latter requires a certain knowledge of trade; the centres of demand
must be sought out, and the goods transported to these centres. In this
way a fruitful reciprocal action develops; and as production influences
trade, so may trade influence production, governing it according to
the fluctuations of demand, and leading to the creation of stores of
commodities for which a future market is to be expected. Thus commerce
presupposes special knowledge and special skill; it develops a special
technique through which it is enabled to execute its complicated
tasks. Men who live by trade become distinct from craftsmen; and the
mercantile class results. Merchants are men whose task is to effect
an organised exchange of natural and manufactured products. Commerce
always displays an impulse to extend itself beyond the borders of
single nations--not to remain inland only, but to become a foreign
trade also; for the products of foreign countries and climates, however
valuable they may be, would be inaccessible except for commerce.
Thus trade becomes both import and export. The first step is for the
tradesman or his representative to travel about peddling goods, or for
an owner of wares or money to offer capital to an itinerant merchant
with the object that the latter may divide the profits with him later
on. This leads to the sending of merchandise to a middleman, who
places it on the market in a distant region--commission business. The
establishment of a branch or agency in a foreign country, in order to
trade there while in immediate connection with the main business house,
follows; and, finally, merchants deal directly with foreign houses
without the intervention of middlemen, thus entering into direct export
trade. This, of course, presupposes a great familiarity with foreign
affairs and confidence in their soundness; consequently it is possible
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