The Place of Science in Modern Civilisation, and Other EssaysVeblen, Thorstein
Philosophy
The Place of Science in Modern Civilisation, and Other Essays
Veblen, Thorstein
Economics; Science
There is no wide breach between Adam Smith and the utilitarians, either
in details of doctrine or in the concrete conclusions arrived at as
regards questions of policy. On these heads Adam Smith might well be
classed as a moderate utilitarian, particularly so far as regards his
economic work. Malthus has still more of a utilitarian air,--so much so,
indeed, that he is not infrequently spoken of as a utilitarian. This
view, convincingly set forth by Mr. Bonar,[22] is no doubt well borne
out by a detailed scrutiny of Malthus's economic doctrines. His
humanitarian bias is evident throughout, and his weakness for
considerations of expediency is the great blemish of his scientific
work. But, for all that, in order to an appreciation of the change that
came over classical economics with the rise of Benthamism, it is
necessary to note that the agreement in this matter between Adam Smith
and the disciples of Bentham, and less decidedly that between Malthus
and the latter, is a coincidence of conclusions rather than an identity
of preconceptions.[23]
With Adam Smith the ultimate ground of economic reality is the design of
God, the teleological order; and his utilitarian generalisations, as
well as the hedonistic character of his economic man, are but methods of
the working out of this natural order, not the substantial and
self-legitimating ground. Shifty as Malthus's metaphysics are, much the
same is to be said for him.[24] Of the utilitarians proper the converse
is true, although here, again, there is by no means utter consistency.
The substantial economic ground is pleasure and pain: the teleological
order (even the design of God, where that is admitted) is the method of
its working-out.
It may be unnecessary here to go into the farther implications,
psychological and ethical, which this preconception of the utilitarians
involves. And even this much may seem a taking of excessive pains with a
distinction that marks no tangible difference. But a reading of the
classical doctrines, with something of this metaphysics of political
economy in mind, will show how, and in great part why, the later
economists of the classical line diverged from Adam Smith's tenets in
the early years of the century, until it has been necessary to interpret
Adam Smith somewhat shrewdly in order to save him from heresy.
The post-Bentham economics is substantially a theory of value. This is
altogether the dominant feature of the body of doctrines; the rest
follows from, or is adapted to, this central discipline. The doctrine of
value is of very great importance also in Adam Smith; but Adam Smith's
economics is a theory of the production and apportionment of the
material means of life.[25] With Adam Smith, value is discussed from the
point of view of production. With the utilitarians, production is
discussed from the point of view of value. The former makes value an
outcome of the process of production: the latter make production the
outcome of a valuation process.
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