Principles of Political Economy: Abridged with Critical, Bibliographical, and Explanatory Notes, and a Sketch of the History of Political Economy
John Stuart Mill · en
Here is found the germ of the idea, which has been elaborately
worked out by Mr. Cairnes(175) in his theory of non-competing
groups of laborers: “What we find, in effect, is not a whole
population competing indiscriminately for all occupations, but a
series of industrial layers superposed on one another, within each
of which the various candidates for employment possess a real and
effective power of selection, while those occupying the several
strata are, for all purposes of effective competition, practically
isolated from each other.” (Mr. Mill certainly understood this
fully, and stated it clearly again in Book III, Chap. II, § 2.)
The changes, however, now so rapidly taking place in usages and ideas, are
undermining all these distinctions; the habits or disabilities which
chained people to their hereditary condition are fast wearing away, and
every class is exposed to increased and increasing competition from at
least the class immediately below it. The general relaxation of
conventional barriers, and the increased facilities of education which
already are, and will be in a much greater degree, brought within the
reach of all, tend to produce, among many excellent effects, one which is
the reverse: they tend to bring down the wages of skilled labor.
§ 3. Effect on Wages of the Competition of Persons having other Means of
Support.
A modifying circumstance still remains to be noticed, which interferes to
some extent with the operation of the principles thus far brought to view.
While it is true, as a general rule, that the earnings of skilled labor,
and especially of any labor which requires school education, are at a
monopoly rate, from the impossibility, to the mass of the people, of
obtaining that education, it is also true that the policy of nations, or
the bounty of individuals, formerly did much to counteract the effect of
this limitation of competition, by offering eleemosynary instruction to a
much larger class of persons than could have obtained the same advantages
by paying their price.