[Footnote 210-3: In this way _Voltaire_, Siècle de Louis

XIV., ch. 30, excuses for instance the extravagant (?)

buildings at Versailles; and in a very similar way Catharine

II. expressed herself in speaking to the Prince de Ligne:

Mémoires et Mélanges par le Prince de Ligne, 1827, II, 358.

_v. Schröder_ even thinks that the Prince might consume as

much and even more than "the entire capital" of the country

amounted to; only, he would have him "let it get quickly

among the people again." He is also in favor of the utmost

splendor in dress, provided the public see to it that

nothing was worn in the country which was not made in the

country. (Fürstl. Schatz- u. Rentkammer, 47, 172.) Similarly

even _Botero_, Della Ragion di Stato VII, 85; VIII, 191; and

recently _v. Struensee_, Abhandlungen I, 190. The principle

of Polycrates in _Herodotus_ is nearly to the same effect.

Compare, per contra, _Ferguson_, Hist. of Civil Society, V,

5.]

[Footnote 210-4: With the exception of the profit made by

the manufacturers.]

[Footnote 210-5: Strikingly ignored by _Sismondi_, N. P.,

IV, ch. II.]

[Footnote 210-6: _Bastiat_, Sophismes économiques, 1847, ch.

IV. Everything which, in the long run, either promotes or

injures production, "steps over the producer and turns in

the end to the gain or loss of the consumer." Only for this

principle, inequality and dissensions among men would keep

growing perpetually. All that the systems of Saint Simonism

and communism contain that is relatively true is thus

realized.]

SECTION CCXI.

NATURE AND KINDS OF CONSUMPTION.--PRODUCTIVE CONSUMPTION.

There is no production possible without consumption. The embodiment of a

special utility into any substance is a limitation of its general

utility. Thus, for instance, when corn is baked into bread, it can no

longer be used for the manufacture of brandy or of starch.[211-1]

When, therefore, consumption is a condition (outlay) to production it is

called productive (reproductive).[211-2] Here, indeed, the form of the

consumed goods is destroyed, but the value of the goods lives on in the

new product.

There are different degrees of productiveness in consumption also. Thus,

to a scholar, his outlay for books in his own branch is immediately

productive; but nevertheless, books in departments of literature very

remote from his own, pleasure trips, etc. may serve as nutrition and as

a stimulus to his mind. According to § 52, we are compelled to consider

all consumption productive which constitutes a necessary means towards

the satisfaction of a real economic want. We may, indeed, distinguish

between productive consumption in aid of material goods, of personal

goods and useful relations; but in estimating the productiveness of

these different sorts of consumption we are concerned not so much with

the nature of the consumption as the results in relation to the nation's

wants. The powder that explodes when a powder magazine burns is consumed

unproductively; but the powder shot away in war may be productively

consumed just as that used to explode a mine may be unproductively

consumed; for instance, when the war is a just and victorious one and

the mining enterprise has failed.[211-3]

The maintenance or support of those workmen whom they themselves

acknowledge to be productive is presumably accounted productive

consumption by all political economists. Why not, therefore, the cost of

supporting and educating our children, who, it is to be hoped, will grow

up later to be productive workmen. Man's labor-power is, doubtless, one

of the greatest of all economic goods. But without the means of

subsistence, it would die out in a few days. Hence we may, and even

without an atomistic enumeration of the individual services and products

of labor, consider the continued duration of that labor-power itself as

the continued duration of the value of the consumed means of

subsistence.[211-4]

[Footnote 211-1: Even when air-dried bricks are made from

water and clay which cost nothing; when purely occupatory

work is done, and purely intellectual labor performed, some

consumption of the means of subsistence by the workmen is

always necessary.]

[Footnote 211-2: Chrêmatistikai in contradistinction to

analôtikai, according to _Plato_, De Rep., VIII, 559.

Temporary consumption. (_Umpfenbach._)]

[Footnote 211-3: _Storch_, Handbuch, II, 450.]

[Footnote 211-4: Against the difference formerly usually

assumed between productive and unproductive consumption, see

_Jacob_, Grundsätze der Nat. Oek., II, 530. It is because of

a too narrow view that _Hermann_ (II, Aufl., 311), instead

of reproductive consumption, speaks of technic consumption.]

SECTION CCXII.

UNPRODUCTIVE CONSUMPTION.

Moreover, unproductive consumption embraces not only every economic

loss, every outlay for injurious purposes,[212-1] but also every

superfluous outlay for useful purposes.[212-2] Yet, not to err in our

classification here, it is necessary to possess the impartiality and

many-sidedness of the historian, which enable one to put himself in the

place of others and feel after them as they felt. The man, for instance,

who, in cities like Regensburg and especially Rome, sees numberless

churches often, so to speak, elbowing one another, cannot fail to

recognize the difference between the buildings of to-day for business,

political, educational and recreative purposes, and the medieval, for

the satisfaction of spiritual wants. The latter also may, in their own

sphere, and in their own time, have, as a rule, operated productively,

as the former operate, often enough, by way of exception unproductively;

as in the case of railway and canal speculations which have ended in

failure. It would be difficult to decide between the relative value of

the two kinds of wants, because the parties to the controversy do not,

for the most part, share the want (_Bedürfniss_) of their respective

opponents, frequently do not even understand it, and therefore despise

it. Thus, there are semi-barbarous nations, who can entertain that

respect for the laws which is necessary even from an economic point of

view only to the extent that they see the person whose duty it is to

cause them to be observed seated on a throne and surrounded by

impressive splendor. Hence, such splendor here could not be considered

merely unproductive consumption.[212-3]

We must, moreover, remark in this place as we did above, § 54, that it

is easiest to pass the boundary line between productive and unproductive

consumption in personal services. In 1830, the expenses of the state, in

Spain, amounted to 897,000,000 of reals per annum; the outlay of

municipal corporations, to 410,000,000, and that for external purposes

of religion, 1,680,000,000. (_Borrego._) This is certainly no salutary

proportion; but it is scarcely evidence of a worse economic condition

than the fact that in Prussia it would require a basin one Prussian mile

in length, thirty-three and eight-tenths feet broad, and ten feet deep

to hold all the brandy drunk in the country (_Dieterici_); or this

other, that the British people spend yearly £68,000,000 sterling for

taxes and £100,000,000 yearly for spirituous liquors.[212-4] Berkeley

rightly says that the course practiced in Ireland, with its famishing

proletarian population, of exporting the means of subsistence and

exchanging them against delicate wines, etc., is as if a mother should

sell her children's bread to buy dainties and finery for herself with

the proceeds.[212-5] [212-6]

[Footnote 212-1: Thus, for instance, food which spoils

unused, and food which is stolen and which puts a thief in a

condition to preserve his strength to steal still more.]

[Footnote 212-2: So far _Senior_, Outlines, 66, is right:

the richer a nation or a man becomes, the greater does the

national or personal productive consumption become.]

[Footnote 212-3: Such gigantic constructions as the palaces,

pyramids, etc. of Egypt, Mexico or Peru are a certain sign

of the oppression of the people by rulers, priests or

nobles. One of the Egyptian pyramids is said to have

occupied 360,000 men for twenty years. (_Diodor._, I, 63;

_Herodot._, II, 175; _Prescott_, History of Mexico, I, 153,

History of Peru, I, 18.)]

[Footnote 212-4: Edinburg Rev., Apr., 1873, 399.]

[Footnote 212-5: _Berkeley_, Querist, 168, 175, says that

the national wants should be the guiding rule of commerce,

and that besides, the most pressing wants of the majority

should be first considered.]

[Footnote 212-6: _Ricardo_, Principles, p. 475, was of

opinion that an outlay of the national or of private income

in the payment of personal services increased the demand for

labor and the wages of labor in a higher degree than an

equal outlay for material things. The error at the

foundation of this is well refuted by _Senior_, Outlines,

160 ff.

The first to zealously advocate and treat the theory of

productive consumption was _J. B. Say_, Traité, III, ch. 2,

seq.; Cours pratique, II, 265. But the germs of the doctrine

are to be found in _Dutot_, Réflexions politiques sur le

Commerce et les Finances, 1738, 974, _éd_. Daire. His

distinctions are in part drawn with great accuracy. Thus he

says that, among others, a manufacturer of cloth,

productively consumes the results of his workmen, but that

the workmen themselves who exchange these results for bread,

consume the latter unproductively. _Say_ is guilty of the

inconsistency of claiming that only that consumption is

productive which contributes directly to the creation of

material exchangeable goods, spite of the fact that he gave

the productiveness of labor a much wider scope. _Rau_,

Lehrbuch, I, § 102 ff., 323 seq., is more consistent in so

far as he applies the same limitation in both cases.

(Compare also § 333, 336.) _Hermann_, Staatsw.

Untersuchungen, 170 seq., 231 ff., would prefer to see the

idea of productive consumption banished from the science,

for the reason that if the value of the thing alleged to be

consumed continues, there can be no such thing as its

consumption. But, I would rejoin: in a good national

economy, there would be, according to this, scarcely any

consumption whatever, because the aggregate value of that

which I have called above productive consumption is

unquestionably preserved, and continues in the aggregate

value of the national products.

Productive consumption is ultimately a stage of production,

just as production itself is ultimately a means to an end,

consumption, and therefore a preparation for the latter.

Both ideas may be rigorously kept apart from each other,

just as the expenses and receipts of a private business man,

who makes a great portion of his outlay simply with the

intention of reaping receipts therefrom, may be. Every one

desires his production to be as large as possible, and his

productive consumption, so far it does not fail of its

object, as small as possible. _Riedel_ rightly says that the

theory of reproductive consumption serves Political Economy

as the bridge which closes the circle formed by the action

of production, distribution and consumption. (Nat. Oek. III,

49.) One of the chief fore-runners of the view we advocate

was _McCulloch_, Principles, IV, 3 ff. _Gr. Soden_, Nat.

Oek., distinguishes economic consumption, un-economic and

anti-economic consumption. (Nat. Oek., I, 147.)]

SECTION CCXIII.

EQUILIBRIUM BETWEEN PRODUCTION AND CONSUMPTION.

In all cases economic production is a means to some kind of consumption

as its end.[213-1] The sharpest spur to productive activity is the

feeling of want.[213-2] "Want teaches art, want teaches prayer, blessed

want!" Well too has it been said: "Necessity is the mother of

invention!" Leaving mere animals out of consideration,[213-3] those men

who experience very few wants, with the exception of some rare and

highly intellectual natures, prefer rest to labor. Therefore, when

European merchants desire to engage in trade with a savage nation they

have uniformly to begin by sending them their nails, axes,

looking-glasses, brandy, etc., as gifts. Not until the savage has

experienced a new enjoyment does the want of continuing it make itself

felt; or is he prepared to produce for purposes of commerce.[213-4] In a

state of normal development, the complete and continuing satisfaction of

the coarser wants should constitute the foundation for the

higher.[213-5]

[Footnote 213-1: We should not, indeed, say, on this

account, with _Adam Smith_, IV, ch. 8, that "consumption is

the sole end and purpose of all production," for labor and

saving, besides their economic object have a higher one,

imperishable and personal. Compare _Knies_, Polit. Oek. 129,

and _supra_, § 30.]

[Footnote 213-2: According to _Sir F. M. Eden_, State of the

Poor, I, 254, it is one of the most unambiguous symptoms of

advanced civilization when families eat regularly at the

same table; so also sleeping in real beds. "Bed and board!"

It is said that the regularity of meal times was introduced

among the Greeks by Palamedes. _Athen._ I, 11, after

_Æschylus_.]

[Footnote 213-3: Hibernating animals have supplies and

dwellings, that is something analogous to capital.]

[Footnote 213-4: This advance is generally observed to be

introduced by the _jus fortioris_. _Steuart_, Principles I,

ch. 7. (Compare §§ 45-6-8.) In this way, the earliest

oriental despotisms have unwittingly been of great service

to mankind. What the sultan here accomplished with his few

favorites was done in the lower stages of civilization of

the west by the aristocracy of great vassals, in a manner

more worthy of human beings, and in a much more stable form.

(_J. S. Mill_, Principles I, 14 ff.)]

[Footnote 213-5: _Banfield_, Organization of Industry, 1848,

11.]

SECTION CCXIV.

CAUSES OF AN INCREASE OF PRODUCTION.

Only when wants increase does production increase also.[214-1] The old

maxim: _Si quem volueris esse divitem, non est quod augeas divitias, sed

minuas cupiditates (Seneca)_, would, if consistently carried out, have

thwarted the advance of civilization and frustrated the improvement of

man's condition. On the other hand, most political economists, without

more ado, assume that individuals, and still more nations, are wont to

extend the aggregate of their enjoyments just as far as there is a

possibility of satisfying their wants. But they forget here how great a

part is played in the world, as men are constituted, by the principle of

inertia.[214-2] At the first blush, what seems more natural than that

the less labor a people need employ to obtain the most indispensable

means of subsistence, the more time and taste would remain to them to

satisfy their more refined wants. According to this, we should expect to

discover a more refined civilization, especially, in intellectual

matters, in the earliest periods, when population is small, when land

exists in excess and is not yet exhausted. But, in reality, precisely

the reverse is the case. In the earliest stages of civilization

accessible to our observation, we find materialism prevailing in its

coarsest form, and life absorbed entirely by the lowest physical wants.

(Tropical lands.) Where bread grows on the trees, and one needs only to

reach out his hand and pluck it; where all one wants to cover his

nakedness is a few palm leaves, ordinary souls find no incentive to an

ant-like activity, or to a union among themselves for economic

purposes.[214-3] When a Mexican countryman earns enough to keep himself

and his family from absolute want by two days' labor in a week, he idles

away the other five. It never occurs to him that he might devote his

leisure time to putting his hut or his household furniture, etc., in

better shape. The necessity of foresight even is almost unknown; and in

the most luxuriantly fertile country in the world, a bad harvest

immediately leads to the most frightful famine. Humboldt was assured

that there was no hope of making the people more industrious except by

the destruction of the banana plantations.[214-4] But, indeed, there

would be little gained by such compulsory industry. To work for any

other end than satiation, it is necessary that man should feel wants

beyond the want created by mere hunger.[214-5] There are so many

conditions precedent (and mutually limiting one another) to a general

advance in civilization, that such an advance can, as a rule, take place

only very gradually. Let us suppose, for instance, a single Indian in

Mexico, perfectly willing to work six days in the week, and in this way

to cultivate a piece of land three times as great as his fellow Indians.

Where would he get the land? He would, for a time find no purchasers for

his surplus, and therefore not be in a condition to pay the landlord as

much as the latter hitherto received from the pasturage alone. Not until

cities are built and offer the rural population the products of industry

in exchange for theirs, can they be incited to, or become capable of

effecting a better cultivation of the land. This incentive and this

capacity, are inseparably connected with each other. Where the

agricultural population produce no real surplus, but after the fashion

of medieval times, produce everything they want themselves, and consume

all their own products with the exception of the part paid to the state

as a tax, there can scarcely be an industrial class, a commercial class,

or a class devoted to science, art, etc. And, conversely, it is only the

higher civilization which finds expression in the development of these

classes, that, by a more skillful guidance of the national labor, can

call forth its productiveness to an extent sufficient to yield a

considerable surplus of agricultural commodities over and above the most

immediate wants of the cultivators of the soil themselves. Hence, we

find that precisely in those countries which are most advanced in the

economic sense, there is relatively the smallest number of men engaged

in agriculture, and relatively the largest number in production of a

finer kind.[214-6] It is here as in private housekeeping: the poorer a

man is, the greater is the portion of his income which he is wont to lay

out for indispensable necessities.[214-7] [214-8]

[Footnote 214-1: There is obviously here supposed besides

the want thus increased, a capacity for development. Thus,

for instance, the inhabitants of New Zealand brought with

them, in what concerns clothing, dwellings, etc., the

customs of a tropical into a colder country, and did not

understand how to oppose the rigor of the new climate,

except by building immoderately large fires, until they

became acquainted with European teachers. (Edinb. Review,

April, 1850, 466.)]

[Footnote 214-2: Compare _R. S. Zachariä_, Vierzig Bücher

vom Staate, VII, 37. Men in the lower stages of civilization

cherish a greater contempt for those more advanced than they

are themselves visited with by the latter. Thus it was

customary for the Siberian hunting races to utter a

malediction: May your enemy live like a Tartar, and have the

folly to engage in the breeding of cattle. (_Abulghazi

Bahadur_, Histoire généalogique des Tartares.) Nomadic races

look upon the inhabitants of cities as for the most part

prisoners.]

[Footnote 214-3: The "happy, contented negroes," as Lord

John Russel called them, work in Jamaica, on an average,

only one hour a day since their emancipation. (Colonial

Magazine, Nov. 1849, 458.) Egypt, India, etc., from time

immemorial, the classic lands of monkish laziness. Compare

_Hume_, Discourses, No. 1, on Commerce. On the other hand,

the person who has six months before him for which he must

labor and lay up a store, if he would not famish or freeze,

must necessarily be active and frugal; and there are other

virtues which go along with these. (_List_, System der

polit. Oek., I, 304.) According to _Humboldt_, the change of

seasons compels man to get accustomed to different kinds of

food, and thus fits him to migrate. The inhabitants of

tropical countries are, on the other hand, like

caterpillars, which cannot emigrate nor be made to emigrate,

on account of the uniform nature of their food.]

[Footnote 214-4: _Humboldt_, N. Espagne, IV, ch. 9, II, ch.

5. Similarly among the coarser Malayan tribes, the facility

with which fish is caught and the cheapness of sago are the

principal causes of their inertia and of their unprogressive

uncivilization. (_Crawfurd._)]

[Footnote 214-5: _Le travail de la faim est toujours borné

comme elle. (Raynal.)_]

[Footnote 214-6: Compare _Adam Smith_, I, ch. 11, 2;

_supra_, § 54. In Russia, nearly 80 per cent. of the

population live immediately from agriculture; in Great

Britain, in 1835, only 35; in 1821, only 33; in 1831, only

31-1/2; in 1841, only 26 per cent. (_Porter._) According to

_Marshall_, there were, in 1831, in British Europe,

1,116,000 persons who lived from their rents, etc. In

Ireland, there were, in 1831, over 65 per cent. of the

population engaged in agriculture (_Porter_); in 1841, even

66 per cent.]

[Footnote 214-7: In Paris, in 1834, the average income per

capita was estimated to be 1,029.9 francs, of which 46

francs were paid out for service; 55.7 for education; 11.5

for physicians' services, etc.; 7 on theatrical shows; 36

for washing; 13.6 for public purposes. (_Dingler_, Polyt.

Journal, LIII, 464.) According to _Ducpétiaux_, Budgets

économiques des Classes ouvrières en Belgique, 1855, and

_Engel_, Sächs. Statist. Ztschr., 1857, 170, the

proportional percentage of family expenses for the following

articles of consumption is:

=======================+=========================================

| EXPENSES OF

+--------------------+----------+---------

| _a laborer's_ | _family_ |_a well-_

| _family_ | _of the_ |_to-do_

_Consumption Purpose._ | _in comfortable_ | _middle_ |_family._

| _circumstances._ | _class._ |

+----------+---------+----------+---------

| _In_ | _In_ | _In_ | _In_

|_Belgium._|_Saxony._|_Saxony._ |_Saxony._

| _per_ | _per_ | _per_ | _per_

| _cent._ | _cent._ | _cent._ | _cent._

-----------------------+----------+---------+----------+---------

Food, | 61 \ | 62 \ | 55 \ | 50 \

Clothing, | 15 } | 16 } 95 | 18 } 90 | 18 } 85

Shelter, | 10 } 95 | 12 } | 12 } | 12 }

Heating and lighting, | 5 } | 5 / | 5 / | 5 /

Utensils and tools, | 4 / | | |

| | | |

Education, instruction,| 2 \ | 2 \ | 3.5 \ | 5.5 \

Public security, | 1 } 5 | 1 } 5 | 2 } 10 | 3 } 15

Sanitary purposes, | 1 } | 1 } | 2 } | 3 }

Personal services, | 1 / | 1 / | 2.5 / | 3.5 /

=======================+==========+=========+==========+=========

Hence _Engel_ thinks that when the articles of food,

clothing, shelter, heating and lighting have become dearer

by 50 per cent., and other wants have not, and it is desired

to proportionately increase the salaries of officials,

salaries of 300, 600 and 1,000 thalers should be raised to

427.5, 800 and 1,275 thalers respectively. (Preuss. Statist.

Zeitschr., 1875.) _E. Herrmann_, Pricipien der Wirthsch.,

106, estimates that in all Europe, 45.6 of all consumption

is for food, 13.2 for clothing, 5.7 for shelter, 4.6 for

furnishing, 5.3 for heating and lighting, 2.6 for tools and

utensils, 13.3 for public security, 6.6 for purposes of

recreation. Compare _Leplay_, Les Ouvriers Européens, 1855,

and _v. Prittwitz_, Kunst reich zu werden, 487 ff. The

expenses for shelter, service and sociability are specially

apt to increase with an increase of income.]

[Footnote 214-8: The necessity of an equilibrium between

production and consumption was pretty clear to many of the

older political economists. Thus, for instance, _Petty_

calls the coarse absence of the feeling of higher wants

among the Irish the chief cause of their idleness and

poverty. Similarly _Temple_, Observations on the N.

Provinces, ch. 6, in which Ireland and Holland are compared

in this relation. _North_, Discourses upon Trade, 14 seq.;

Potscr. _Roscher_, Zur Geschichte der english.

Volswirthschaftslehre, 83, 91, 127 ff. _Becher_, polit.

Discurs., 1668, 17 ff., was of opinion that the principal

cause keeping the three great estates together, the very

soul of their connection, was consumption. Hence the peasant

lived from the tradesman, and the tradesman from the

merchant. (_Boisguillebert_, Détail de la France, I, 4, II,

9, 21.) According to _Berkeley_, Querist, No. 20, 107, the

awakening of wants is the most probable way to lead a people

to industry. And so _Hume_, loc. cit., _Forbonnais_,

Eléments du Commerce, I, 364. The Physiocrates were in favor

of active consumption. Thus _Quesnay_, Maximes générales, 21

seq.; _Letrosne_, De l'Interêt social, I, 12. _La

reproduction et la consommation sont réciproquement la

mesure l'une de l'autre._ Some of them considered

consumption even as the chief thing (_Mirabeau_, Philosophie

rurale, ch. 1), which could never be too great. Further,

_Verri_, Meditazioni, I, 1-4. _Büsch_, Geldumlauf, III, 11

ff.

The moderns have frequently inequitably neglected the

doctrine of consumption. Thus it appears to be a very

characteristic fact that in _Adam Smith's_ great book, there

is no division bearing the title "consumption," and in the

Basel edition of 1801, that word does not occur in the

index. _Droz_ says that in reading the works of certain of

his followers, one might think that products were not made

for the sake of man, but man for their sake. But, on the

other hand, there came a strong reaction with _Lauderdale_,

Inquiry, ch. 5; _Sismondi_, N. Principes, L., II, passim;

_Ganilh_, Dictionnaire Analytique, 93 ff., 159 ff.; but

especially, and with important scientific discoveries,

_Malthus_, Principles, B. II. _St. Chamans_, Nouvel Essai

sur la Richesse des Nations, 1824, is an exaggerated

caricature of the theory of consumption. For instance, he

resolves the income of individuals into foreign demand or

the demand of strangers (29); considers the first condition

of public credit to lie in the making of outlay (32); and

even calls entirely idle consumers productive, for the

reason that they elevate by their demand a _utilité

possible_, to the dignity of a _utilité réelle_ (286 ff.)

The view advocated by Mirabeau, and referred to above, again

represented by _E. Solly_, Considerations on Political

Economy, 1814, and by _Weishaupt_, Ueb. die Staatsausgaben

und Auflagen, 1819. And so according to _Carey_, Principles,

ch. 35, § 6, the real difficulty does not lie in production,

but in finding a purchaser for the products. But he

overlooks the fact here that only the possessor of other

products can appear as a purchaser. From another side, most

socialists think almost exclusively of the wants of men, and

scarcely consider it worth their while to pay any attention

to the means of satisfying them.]

SECTION CCXV.

NECESSITY OF THE PROPER SIMULTANEOUS DEVELOPMENT OF PRODUCTION AND

CONSUMPTION.

Hence, one of the most essential conditions of a prosperous national

economy is that the development of consumption should keep equal pace

with that of production, and supply with demand.[215-1] The growth of a

nation's economy naturally depends on this: that production should

always be, so to speak, one step in advance of consumption, just as the

organism of the animal body grows from the fact that the secretions

always amount to something less than the amount of additional nutrition.

A preponderance of secretions would here be disease; but so would be a

too great preponderance of nutrition. Now, the politico-economical

disease which is produced by the lagging behind of consumption and by

the supply being much in advance of the demand, is called a commercial

(market) crisis. Its immediate consequence is, that for a great many

commodities produced, no purchasers can be found. The effect of this is

naturally to lower prices. The profit of capital and wages diminish. A

transition into another branch of production, not overcrowded, is either

not possible at all or is attended with care, great difficulties and

loss. It is very seldom that all these disadvantages are confined to the

one branch in which the disease had its original seat. For, since the

resources of the one class of producers have diminished, they cannot

purchase as much from others as usual. The most distant members of the

politico-economic body may be thereby affected.[215-2]

[Footnote 215-1: _Boisguillebert_ lays the greatest weight

on the harmony of the different branches of commerce.

_L'équilibre l'unique conservateur de l'opulence générale_;

this depends on there being always as many sales as

purchases. The moment one link in the great chain suffers,

all the others sympathise. Hence he opposes all taxation of

commodities which would destroy this harmony. (Nature des

Richesses, ch. 4, 5, 6; Factum de la France, ch. 4; Tr. des

Grains I, 1.) _Canard_ Principes d'E. politique, ch. 6,

compares the relation between production and consumption in

national economy with that between arteries and veins in the

animal body. On the other hand, _Sismondi_, N. Principes I,

381, describes the bewilderment and want which are wont to

arise when one wheel of the great politico-economical

machine turns round more rapidly than the others.]

[Footnote 215-2: Thus, for instance, an occasional

stagnation of the cotton factories of Lancashire has

frequently the effect of "making all England seem like a

sick man twisting and turning on his bed of pain." (_L.

Faucher._)]

SECTION CCXVI.

COMMERCIAL CRISES IN GENERAL.--A GENERAL GLUT.

The greater number of such crises are doubtless special; that is, it is

only in some branches of trade that supply outweighs demand. Most

theorists deny the possibility of a general glut, although many

practitioners stubbornly maintain it.[216-1] J. B. Say relies upon the

principle that in the sale of products, as contradistinguished from

gifts, inheritances, etc., payment can always be made only in other

products. If, therefore, in one branch there be so much supplied that

the price declines; as a matter of course, the commodity wanted in

exchange will command all the more, and, therefore, have a better vent.

In the years 1812 and 1813, for instance, it was almost impossible to

find a market for dry goods and other similar products. Merchants

everywhere complained that nothing could be sold. At the same time,

however, corn, meat and colonial products were very dear, and,

therefore, paid a large profit to those who supplied them.[216-2] Every

producer who wants to sell anything brings a demand into the market

exactly corresponding to his supply. (_J. Mill._) Every seller is _ex vi

termini_ also a buyer; if, therefore production is doubled, purchasing

power is also doubled. (_J. S. Mill._) Supply and demand are in the last

analysis, really, only two different sides of one and the same

transaction. And as long as we see men badly fed, badly clothed, etc.,

so long, strictly speaking, shall we be scarcely able to say that too

much food or too much clothing has been produced.[216-3]

[Footnote 216-1: When those engaged in industrial pursuits

speak of a lasting and ever-growing over-production, they

have generally no other reason for their complaints than the

declining of the rate of interest and of the undertaker's

profit which always accompany an advance in civilization.

Compare _J. S. Mill_, Principles, III, ch. 14, 4. However,

the same author, I, 403, admits the possibility of something

similar to a general over-production.]

[Footnote 216-2: _Say's_ celebrated Théorie des Débouchés,

called by McCulloch his chief merit, Traité, I, ch. 15. At

about the same time the same theory was developed by _J.

Mill_, Commerce defended, 1808. _Ricardo's_ express

adhesion, Principles, ch. 21. Important germs of the theory

may be traced much farther back: _Mélon_, Essai politique

sur le Commerce, 1734, ch. 2; _Tucker_, On the

Naturalization Bill, 13; Sketch of the Advance and Decline

of Nations, 1795, 182.]

[Footnote 216-3: Precisely the same commercial crisis, that

of 1817 seq., which more than anything else led _Sismondi_

to the conclusion that too much had been produced in all

branches of trade, may most readily be reduced to _Say's_

theory.

There was then a complaint, not only in Europe but also in

America, Hindoostan, South Africa and Australia, of the

unsaleableness of goods, overfull stores, etc.; but this,

when more closely examined, was found to be true only of

manufactured articles and raw material, of clothing and

objects of luxury; while the coarser means of subsistence

found an excellent market, and were sold even at the highest

prices. Hence, in this case, there was by no means any such

thing as over-production. The trouble was that in the

cultivation of corn and other similar products, too little

was produced. There was a bad harvest even in 1816.

The most important authorities in favor of the possibility

of a general glut are _Sismondi_, N. Principes, IV, ch. 4,

and in the Revue encyclopédique, Mai, 1824: Sur la Balance

des Consommations avec les Productions. Opposed by Say in

the same periodical (Juilliet, 1824); where the controversy

was afterwards reopened in June and July, 1827, by

_Sismondi_ and _Dunoyer_. Compare Etudes, vol. I; _Ganilh_,

Théorie, II, 348 ff.; _Malthus_, Principles, II, ch. 1, 8.

Compare _Rau_, _Malthus_ and Say, über die Ursachen der

jetzigen Handelsstockung, 1821. _Malthus'_ views were

surpassed by _Chalmers_, On Political Economy in Connexion

with the moral State of Society, 1832. But even _Malthus_

himself in his Definitions, ch. 10, No. 55, later, so

defined a "general glut" that there could be no longer

question of his holding to its universality. For an

impartial criticism, see especially _Hermann_, Staatsw.

Untersuchungen, 251, and _M. Chevalier_, Cours, 1, Leçon,

3.]

SECTION CCXVII.

COMMERCIAL CRISES IN GENERAL.

All these allegations are undoubtedly true, in so far as the whole world

is considered one great economic system, and the aggregate of all goods,

including the medium of circulation, is borne in mind. The consolation

which might otherwise lie herein is made indeed to some extent

unrealizable by these conditions. It must not be forgotten in practice

that men are actuated by other motives than that of consuming as much as

possible.[217-1] As men are constituted, the full consciousness of this

possibility is not always found in connection with the mere power to do,

to say nothing of the will to do.[217-2] There are, everywhere, certain

consumption-customs corresponding with the distribution of the national

income. Every great and sudden change in the latter is therefore wont to

produce a great glut of the market.[217-3] The party who in such case

wins, is not wont to extend his consumption as rapidly as the loser has

to curtail his; partly for the reason that the former cannot calculate

his profit as accurately as the latter can his loss.[217-4]

Thus laws, the barriers interposed by tariffs, etc., may hinder the

too-much of one country to flow over into the too-little of another.

England, for instance might be suffering from a flood of manufactured

articles and the United States from an oppressive depreciation in the

value of raw material; but the tariff-laws places a hermetic dike

between want on one side and superfluity on the other. Strong national

antipathies and great differences of taste stubbornly adhered to may

produce similar effects; for instance between the Chinese and Europeans.

Even separation in space, especially when added to by badness of the

means of transportation may be a sufficient hinderance especially when

transportation makes commodities so dear that parties do not care to

exchange. In such cases, it is certainly imaginable that there should be

at once a want of proper vent or demand for all commodities; provided,

we look upon each individual class of commodities the world over as one

whole, and admit the exception that in individual places, certain parts

of the whole more readily find a market because of the general crisis.

Lastly, the mere introduction of trade by money destroys as it were the

use of the whole abstract theory.[217-5] So long as original barter

prevailed, supply and demand met face to face. But by the intervention

of money, the seller is placed in a condition to purchase only after a

time, that is, to postpone the other half of the exchange-transaction as

he wishes. Hence it follows that supply does not necessarily produce a

corresponding demand in the real market. And thus a general crisis may

be produced, especially by a sudden diminution of the medium of

circulation.[217-6] And so, many very abundant harvests, which have

produced a great decline in the value of raw material, and no less so a

too large fixation of capital which stops before its completion,[217-7]

may lead to general over-production. In a word, production does not

always carry with itself the guaranty that it shall find a proper

market, but only when it is developed in all directions, where it is

progressive and in harmony with the whole national economy. To use

Michel Chevalier's expression, the saliant angles of the one-half must

correspond to the re-entrant angles of the other, or confusion will

reign everywhere. Even in individual industrial enterprises, the proper

combination of the different kinds of labor employed in them is an

indispensable condition of success. Let us suppose a factory in which

there are separate workmen occupied with nothing but the manufacture of

ramrods. If these now exceed the proper limits of their production and

have manufactured perhaps ten times as many ramrods as can be used in a

year, can their colleagues, employed in the making of the locks or

butt-ends of the gun, profit by their outlay? Scarcely. There will be a

stagnation of the entire business, because part of its capital is

paralyzed, and all the workmen will suffer damage.[217-8] [217-9]

[Footnote 217-1: As _Ferguson_, History of Civil Society,

says, the person who thinks that all violent passions are

produced by the influence of gain or loss, err as greatly as

the spectators of Othello's wrath who should attribute it to

the loss of the handkerchief.]

[Footnote 217-2: If all the rich were suddenly to become

misers, live on bread and water, and go about in the

coarsest clothing, etc., it would not be long before all

commodities, the circulating medium excepted, would feel the

want of a proper market--all, including even the most

necessary means of subsistence, because a multitude of

former consumers, having no employment, would be obliged to

discontinue their demand. Over-production would be greater

yet if a great and general improvement in the industrial

arts or in the art of agriculture had gone before. Compare,

_Lauderdale_ Inquiry, 88. This author calls attention to the

fact that a market in which the middle class prevails must

put branches of production in operation very different from

those put in operation where there are only a few over-rich

people, and numberless utterly poor ones: England, the

United States--the East Indies, and France before the

Revolution. (Ch. 5, especially p. 358.)]

[Footnote 217-3: If England, for instance, became bankrupt

as a nation, the country would not therefore become richer

or poorer. The national creditors would lose about

£28,000,000 per annum, but the taxpayers would save that sum

every year. Now, of the former, there are not 300,000

families; of the latter there are at least 5,000,000. Hence,

the loss would there amount to £100 a family per annum, and

the gain here to not £6 per family. We may therefore assume

with certainty that the two items would not balance each

other as to consumption. The creditors of the nation, a

numerous, and hitherto a largely consuming class, now

impoverished, would be obliged to curtail their demand for

commodities of every kind to a frightful extent; while a

great many taxpayers would not feel justified in basing an

immediate increase of their demand on so small a saving.

Other revolutions, more political in character, may operate

in the same direction by despoiling a brilliant court, a

luxurious nobility or numerous official classes of their

former income.]

[Footnote 217-4: The above truth has been exaggerated by

Malthus and his school into the principle that a numerous

class of "unproductive consumers," who consume more than

they produce, is indispensable to a flourishing national

economy. From this point of view, the magnitude of England's

debt especially has been made a subject of congratulation.

Compare _Malthus_, Principles, II, ch. 1, 9. Similarly

_Ortes_, E. N., III, 17, to whom even the _impostori

mezzani_ and _ladri_ seem to be a kind of necessity. (III,

23.) _Chalmers_, Political Economy, III ff. If it was only

question of consumption here, all that would be needed would

be to throw away the commodities produced in excess. Those

writers forget that a consumer, to be desirable, should be

able to offer counter-values.]

[Footnote 217-5: _Malthus_, Principles, II, ch. 1, 3.]

[Footnote 217-6: Let us suppose a country which has been

used to effecting all its exchanges by means of

$100,000,000. All prices have been fixed, or have regulated

themselves accordingly. Let us now suppose that there has

been a sudden exportation of $10,000,000, and under such

circumstances as to delay the rapid filling up of the gap

thus created. In the long run, the demand of a country for a

circulation may be satisfied just as well with $90,000,000

as with $100,000,000; only it is necessary in the first

instance that the circulation should be accelerated or that

the price of money should rise 10 per cent. But neither of

these accommodations is possible immediately. In the

beginning, sellers will refuse to part with their goods 10

per cent. cheaper than they have been wont to. But so long

as those engaged in commercial transactions have not become

completely conscious of the revolution which has taken place

in prices, and do not act accordingly, there is evidently a

certain ebb in the channels of trade, and simultaneously in

all. Demand and supply are kept apart from each other by the

intervention of a generally prevailing error concerning the

real price of the medium of circulation, and there must be,

although only temporarily, buyers wanted by every seller,

except the seller of money. In a country with a paper

circulation, every great depreciation of the value of the

paper money not produced by a corresponding increase of the

same, may produce such results. _Say_ is wrong when he says

that a want of instruments of exchange may be always

remedied immediately and without difficulty.]

[Footnote 217-7: Suppose a people, the country population of

which produce annually $100,000,000 in corn over and above

their own requirements, and thus open a market for those

engaged in industrial pursuits to the extent of

$100,000,000. And suppose that in consequence of three

plentiful harvests, and because of an inability to export,

the market should grow to be over-full, to such an extent

that the much greater stores of corn have now (§ 5, 103) a

much smaller value in exchange than usual. The latter may

have declined to $70,000,000. Hence the country people now

can buy from the cities only $70,000,000 of city wares. The

cities, therefore, suffer from over-production. That people

dispensing with the use of money should establish an

immediate trade between wheat and manufactured articles, in

which case the latter would exchange against a large

quantity of the former, is not practicable, because no one

can extend his consumption of corn beyond the capacity of

his stomach, and the storage of wheat with the intention of

selling it when the price advances is attended with the

greatest difficulties.]

[Footnote 217-8: If, for instance, there are too many

railroads in process of construction, all other commodities

may in consequence lose in demand, and when the further

construction begins to be arrested on account of a

superfluity of roads, the new rail factories, etc. are

involved in the crisis.]

[Footnote 217-9: On the special pathology and therapeutics

of this economic disease, compare _Roscher_, Die

Productionskrisen, mit besonderer Rücksicht auf die letzen

Jahrzente in the Gegenwart, Brockhaus, 1849, Bd., III, 721

ff., and his Ansichten der Volkswirthschaft, 1861, 279 ff.]

SECTION CCXVIII

PRODIGALITY AND FRUGALITY.

Prodigality is less odious than avarice, less irreconcilable with

certain virtues, but incomparably more detrimental to a nation's

economy. The miser's treasures, even when they have been buried, may be

employed productively, at least, after his death; but prodigality

_destroys_ resources. So, too, avarice is a repulsive vice, extravagance

a seductive one. The practice of frugality[218-1] in every day life is

as far removed from one extreme as the other. It is the "daughter of

wisdom, the sister of temperance and the mother of freedom." Only with

its assistance can liberality be true, lasting and successful. It is, in

short, reason and virtue in their application to consumption.[218-2]

[218-3]

[Footnote 218-1: Negatively: the principle of sparing;

positively: the principle of making the utmost use of

things. (_Schäffle_, Kapitalismus und Socialismus, 27.)]

[Footnote 218-2: Admirable description of economy in _B.

Franklin's_ Pennsylvanian Almanac, How poor Rich. Saunders

got rich; also in _J. B. Say_, Traité, III, ch. 5. _Adam

Smith_, W. of N., II, ch. 3, endeavors to explain why it is

that, on the whole and on a large scale, the principle of

economy predominates over the seductions of extravagance.

This, however, is true only of progressive nations.]

[Footnote 218-3: The Savior Himself in His miracles, the

highest pattern of economy: _Matth._, 14, 20; _Mark_, 6, 43;

8, 8; _Luke_, 9, 17; _John_, 6, 12. That He did not intend

to prohibit thereby all noble luxury is shown by passages

such as _Matth._, 26, 6 ff.; _John_, 2, 10.]

SECTION CCXIX.

EFFECT OF PRODIGALITY.

Prodigality destroys goods which either were capital or might have

become capital. But, at the same time, it either directly or indirectly

increases the demand for commodities. Hence, for a time, it raises not

only the interest of capital, but the prices of many commodities.

Consumers naturally suffer in consequence; many producers make a profit

greater than that usual in the country until such time as the

equilibrium between supply and demand has been restored by an increase

of the supply of the coveted products. But the capital of spendthrifts

is wont to be suddenly exhausted; demand suddenly decreases, and

producers suffer a crisis. As Benjamin Franklin says, he who buys

superfluities will at last have to sell necessities. Thus the

extravagance of a court may contribute to the rapid prosperity of a

place of princely residence.[219-1] But it should not be forgotten that

all the food-sap artificially carried there had to be previously

withdrawn from the provinces. The clear loss caused by the destruction

of wealth should also be borne in mind.[219-2] [219-3]

[Footnote 219-1: A rapid change of hands by money, as it is

called in every day life. See, _per contra_, _Tucker_,

Sermons, 31, 1774.]

[Footnote 219-2: Only the superficial observer is apt to

notice this apparent prosperity of the capital much more

readily than the decline of the rest of the country, which

covers so much more territory. In like manner, many wars

have had the appearance of promoting industry, for the

reason that some branches grew largely in consequence of the

increased demand of the state; but they grew at the expense

of all others which had to meet the increased taxes. Compare

_Jacob_ in _Lowe_, England nach seinem gegenwartigen

Zustande, 1823, cap. 2, 3; _Nebenius_, Oeffentlicher Credit,

I, Aufl., 419 ff.; _Hermann_, department of the Seine,

amounted, in 1850, to 497,000,000 francs; in the department

of the Bouches du Rhone, to 39,000,000 francs; in 1855, on

the other hand, they were, on account of the war,

887,000,000 francs and 141,000,000. (Journal des Econ.,

Juil., 1857, 32 ff.)]

[Footnote 219-3: The Journal des Economistes for March,

1854, very clearly shows, in opposition to the

state-sophists who recommended extravagant balls, etc. as a

means of advancing industry, and who even advocated the

paying officials higher salaries on this account, and making

greater outlays by them compulsory, that such luxury when it

comes of itself may be a symptom of national wealth, but

that it is a very bad means to produce prosperity

artificially.]

SECTION CCXX.

WHEN SAVING IS INJURIOUS.

The act of saving, if the consumption omitted was a productive one, is

detrimental to the common good; because now a real want of the national

economy remains unsatisfied.[220-1] The effecting of savings by

curtailing unproductive consumption may embarrass those who had

calculated on its continuance. But its utility or damage to the whole

national economy will depend on the application or employment of what is

saved. Here two different cases are possible.

A. It is stored up and remains idle. If this happens to a sum of money,

the number of instruments of exchange in commerce is diminished. Hence,

in consequence, there may be either a general fall in the price of

commodities, or some commodities may remain unsold; that is, according

to § 217, a commercial crisis of greater or smaller extent.[220-2] If it

be objects of immediate consumption that are stored up and lie idle,

articles of food or clothing, for instance, the price of such

commodities is wont to be raised by the new and unusual demand for them,

precisely as it is lowered afterwards when the stores are suddenly

opened and thrown upon the market.[220-3]

B. If the saving effected be used to create fixed capital, there is as

much consumption of goods, the same support of employed workmen, the

same sale for industrial articles as in the previous unproductive

consumption; only, there the stream is usually conducted into other

channels. If a rich man now employs in house-building what he formerly

paid out to mistresses; masons, carpenters, etc. earn what was formerly

claimed by hair-dressers, milliners, etc.: there is less spent for

truffles and champagne and more for bread and meat. The last result is a

house which adds permanently either to personal enjoyment, or

permanently increases the material products of the nation's

economy.[220-4] And it is just so when the wealth saved is used as

circulating capital. Here, the wealth saved is consumed in a shorter or

longer time; and to superficial observers, this saving might seem like

destruction; but it is distinguished from the last by this, that it

always reproduces its full equivalent and more. However, the whole

quantity of goods brought into the market by such new capital cannot be

called its product. Only the use (_Nützung_) of the new capital can be

so called; that is the holding together or the development in some other

way of other forces which were already in existence until their

achievements are perfected and ready for sale.[220-5] [220-6]

[Footnote 220-1: What evil influences such saving can have

may be seen from Prussian frugality in its military system

before 1806.]

[Footnote 220-2: The custom of burying treasure is produced

by a want of security (compare _Montanari_, Delia Moneta,

1683-87, 97 Cust.), and by an absence of the spirit which

leads to production. As _Burke_ says, where property is not

sacred, gold and silver fly back into the bosom of the earth

whence they came. Hence, in the middle ages, this custom was

frequent, and is yet, in most oriental despotic countries.

(_Montesquieu_, E. des L., XXII, 2.) And so in Arabia: _d'Arvieux_,

_Rosenmüller's_ translation, 61 seq. _Fontanier_, Voyage dans l'Inde

et dans le Golfe persique, 1644, I, 279. A Persian governor on his

death bed refused to give any information as to where he had buried

his treasure. His father had always murdered the slave who helped him

to bury his money or any part of it. (_Klemm_, Kulturgeschichte, VII,

220.) In lower stages of civilization, it is a very usual luxury to

have one's treasures buried with the corpse. In relation to David's

grave, see _Joseph._, Ant. Jud., VII, 15,3, XIII, 8, 4; XVI, 7, 1.

Hence the orientals believe that _every_ unknown ruin hides a

treasure, that every unintelligible inscription is a talisman to

discover it by, and that every scientific traveler is a

treasure-digger, (_v. Wrede_, R. in Hadhramaut, 113, 182 and

_passim_.) Similarly in Sicily. (_Rehfues_, Neuester Zustand von S.,

1807, I, 99.) In the East Indies every circumstance that weakens

confidence in the power of the government increases the frequency of

treasure-burial, as was noticed, for instance, after the Afghan

defeat. Treasure-burial by the Spanish peasantry (_Borrego_,

translated by Rottenkamp, 81), in Ireland (_Wakefield_, Account of I.

I, 593), in the interior of Russia (_Storch_, Handbuch, I, 142), and

among the Laplanders. The custom was very much strengthened among the

latter when, in 1813, they lost 80 per cent. by the bankruptcy of the

state through its paper money. (_Brooke_, Winter in Lapland, 1829,

119; compare _Blom_, Statistik von Norwegen, II, 205.) As during the

Thirty Years' War, so also in 1848, it is said that large amounts of

money were burned by the Silesian and Austrian peasantry. Much of it

is lost forever, but, on the whole, much treasure is wont to be found

where much is buried; governments there make it a regal right to

search for it.]

[Footnote 220-3: If the hoarding takes place in a time of superfluity,

and the restitution of the stores in a time of want, there is of

course no detrimental disturbance, but on the contrary the consequence

is a beneficent equilibrium of prices. This is the fundamental idea in

the storage of wheat.]

[Footnote 220-4: In the construction of national buildings, etc., we

have the following course of things: compulsory contributions made by

taxpayers, or an invitation to the national creditors to desist

somewhat from their usual amount of consumption, and to employ what is

saved in the building of canals, roads etc. In France, for instance,

after 1835, 100,000,000 francs per annum. (_M. Chevalier_, Cours, I,

109.) The higher and middle classes of England saved, not without much

trouble, however, between 1844 and 1858, £134,500,000 in behalf of

railway construction. _Tooke-Newmarch_.]

[Footnote 220-5: Such savings have sometimes been prescribed

by the state. In ancient Athens many prohibitions of

consumption in order to allow the productive capital to

first attain a certain height. Thus it was forbidden to

slaughter sheep until they had lambed, or before they were

shorn. (_Athen._, IX, 375, I. 9.) Similarly the old

prohibition of the exportation of figs. (Ibid., III, 74.)

Compare Petit. Leges. Atticae, V, 3. _Boeckh_,

Staatshaushaltung, I, 62 seq.]

[Footnote 220-6: The process of the transformation of

savings from a money-income, in a money-economy

(_Geldwirthschaft_), into other products, more closely

analyzed in _v. Mangoldt_, V. W. L., 152 ff.]

SECTION CCXXI.

LIMITS TO THE SAVING OF CAPITAL.

It may be seen from the foregoing, that the mere saving of capital, if

the nation is to be really enriched thereby, has its limits. Every

consumer likes to extend his consumption-supply and his capital in use

(_Gebrauchskapitalien_); but not beyond a certain point.[221-1] Besides,

as trade becomes more flourishing, smaller stores answer the same

purpose. And no intelligent man can desire his productive capital

increased except up to the limit that he expects a larger market for his

enlarged production. What merchant or manufacturer is there who would

rejoice or consider himself enriched, if the number of his customers and

their desire to purchase remaining the same, he saw his stores of

unsaleable articles increase every year by several thousands?

This is another difference between national resources or world resources

and private resources. The resources of a private person, which are only

a link in the whole chain of trade, and which are, therefore, estimated

at the value in exchange of their component parts should, indeed, always

be increased by savings made. (§ 8.) For even the most excessive

increase of supply in general, which largely lowers the price of a whole

class of commodities, will never reduce the price of individual

quantities of that commodity below zero, and scarcely to zero. It is

quite otherwise in the case of national or world resources which must be

estimated according to the value in use of their component parts. Every

utility supposes a want. Where, therefore, the want of a commodity has

not increased, and notwithstanding there is a continuing increase in the

supply, the only result must be a corresponding decrease in the utility

of each individual part.[221-2]

If a people were to save all that remained to them over and above their

most urgent necessities, they would soon be obliged to seek a wider

market in foreign countries, or loan their capital there; but they would

make no advance whatever in higher culture nor add anything to the

gladness of life.[221-3] On the other hand, if they would not save at

all, they would be able to extend their enjoyments only at the expense

of their capital and of their future. Yet these two extremes find their

correctives in themselves. In the former case, a glut of the market

would soon produce an increased consumption and a diminished production;

in the latter the reverse. The ideal of progress demands that the

increased outlay with increased production should be made only for

worthy objects, and chiefly by the rich, while the middle and lower

classes should continue to make savings and thus contribute to wipe out

differences of fortune.[221-4]

[Footnote 221-1: Up to this point, indeed, wants increase

with the means of their satisfaction. The man who has two

shirts always strives to get a dozen, while the person who

has none at all, very frequently does not care for even one.

And so the person who has silver spoons generally desires

also to possess silver candle-sticks and silver plates. On

Lucullus' 5,000 chlamydes, see _Horat._, Epist., I, 6, 40

ff.]

[Footnote 221-2: That consumption and saving are not two

opposites which exclude each other is one of _Adam Smith's_

most beautiful discoveries. See Wealth of Nat., II, ch. 3.

But compare _Pinto_, Du Crédit et de la Circulation, 1771,

335. Before his time most writers who were convinced of the

necessity of consumption were apologists of extravagance.

Thus _v. Schröder_, F. Schatz- und Rentkammer, 23 seq. 47,

172. Louis XIV.'s saying: "A King gives alms when he makes

great outlays." According to _Montesquieu_, Esprit des Louis

VII., 4, the poor die of hunger when the rich curtail their

expenses. This view, which must have found great favor among

the imitators of Louis XIV. and Louis XV. was entertained to

some extent by the Physiocrates; for instance, _Quesnay_,

Maximes générales, 21 seq. Compare _Turgot_, Oeuvres, éd,

_Dare_, 424 ff. On the other hand, _Adam Smith_, loc. cit.

says that the spendthrift is a public enemy, and the person

who saves a public benefactor. _Lauderdale_, Inquiry, 219,

reacts so forcibly against the one-sidedness which this

involves that he believes no circumstance possible "which

could so far change the nature of things as to turn

parsimony into a means of increasing wealth." In his polemic

against Pitts' sinking fund as inopportune and excessive, he

assumes that all sums saved in that way are completely

withdrawn from the national demand. See per contra

_Hufeland_ n. Grundlegung I, 32, 238. _Sismondi_, N. P. II,

ch. 6, with his distinction between _production_ and

_revenu_, is more moderate; the former is converted into the

latter only in as much as it is "realized," that is, finds a

consumer who desires it, and pays for it. Now only can the

producer rely on anything; can he restore his productive

capital, estimate his profit, and use it in consumption, and

lastly begin the whole business over again.... A stationary

country must remain stationary in everything. It cannot

increase its capital and widen its market while its

aggregate want remains unaltered. (IV, ch. 1.)]

[Footnote 221-3: Thus _John Stuart Mill_ thinks that the

American people derive from all their progress and all their

favorable circumstances only this advantage: "that the life

of the whole of one sex is devoted to dollar-hunting, and of

the other to breeding dollar-hunters." (IV, ch. 6, 2.) In

the popular edition of 1865, after the experience of the

American civil war, he materially modified this judgment.]

[Footnote 221-4: _Storch_, Nationaleinkommen, 125 ff. That

there is at least not too much to be feared from the making

of too great savings is shown by _Hermann_, St. Untersuch.,

371 seq. On the other hand, there is less wealth destroyed

by spendthrifts than is generally supposed, for spendthrifts

are most frequently cheated by men who make savings

themselves. (_J. S. Mill_, Principles, I, ch. 5, 5.)]

SECTION CCXXII.

SPENDTHRIFT NATIONS.

As there are extravagant and frugal individuals, so also are there

extravagant and frugal nations. Thus, for instance, we must ascribe

great national frugality to the Swiss. In many well-to-do families in

that country, it is a principle acted upon to require the daughters to

look to the results of their white sewing, instead of giving them

pin-money; to gather up the crumbs after coffee parties in the presence

of the guests, and to make soup of them afterwards, etc. Sons are

generally neither supported nor helped to any great extent by their

parents in their lifetime, and are required to found their own homes.

They, therefore, grow rich from inheritance only late in years, when

they are accustomed to a retired and modest mode of life, and have

little desire, from mere convenience sake, to change it for another. And

so Temple informs us that it never occurs to the Dutch that their outlay

should equal their income; and when this is the case they consider that

they have spent the year in vain. Such a mode of life would cost a man

his reputation there as much as vicious excess does in other countries.

The greatest order and the most accurate calculation of all outlay in

advance is found in union with this; so that Temple assures us he never

heard of a public or private building which was not finished at the time

stipulated for in advance.[222-1]

On the other hand, the Englishman lives rather luxuriantly. He is so

used to enjoying comparative abundance, that when English travelers see

the peasantry of the continent living in great frugality, they generally

attribute it to poverty and not to their disposition to make savings. If

England has grown rich, it is because of the colossal magnitude of its

production, which is still more luxuriant and abundant than its

consumption.[222-2] This contrast may be the effect in part of

nationality and climate;[222-3] but it is certainly the effect in part

also of a difference in the stage of civilization which these countries

have respectively reached. The elder Cato had a maxim that a widow

might, indeed, allow her fortune to diminish, but that it was a man's

duty to leave more behind him than he had inherited.[222-4] And how

prodigally did not the lords of the universe live in later times!

[Footnote 222-1: _Temple_, Observations on the U. Provinces,

Works, I, 136, 138 seq., 179. _Roscher_, Geschichte der

engl. Volkswirthschaftsl., 129. Thus, for instance, the

Richesse de Hollande, I, 305, describes a rich town near

Amsterdam in which a man with an income of 120,000 florins a

year expended probably only 1,000 florins per annum on

himself.]

[Footnote 222-2: As early a writer as _D. Defoe_, Giving

Alms no Charity! 1704, says: the English get estates; the

Dutch save them. An Englishman at that time with weekly

wages of 20 shillings just made ends meet; while a Dutchman

with the same grew rich, and left his children behind him in

very prosperous circumstances, etc. _L. Faucher_ draws a

similar contrast between his fellow countrymen and the

English. _Goethe's_ ingenuous observations (Werke, Bd., 23,

246, ed. of 1840) in his Italian journey, show that the

Italians, too, know how to save. _Molti pochi fanno un

assai!_ And so in Bohemia, the Czechs have a good reputation

for frugality, sobriety, etc. as workmen. They are more

frugal than the Germans, although all the larger businesses

belong to Germans, because when the Czech has saved

something, he prefers to return to his village to putting

his savings in jeopardy by speculation.]

[Footnote 222-3: Drunkenness a common vice of northern

people: thus in antiquity the Thracians (_Athen._, X, 42;

_Xenoph._, Exp. Cyri, VII, 3, 32), the Macedonians, for

instance, Philips (_Demosth._, Olynth., II, 23) and

Alexander's (_Plutarch_, Alex., 70; De Adulat, 13). To drink

like a Scythian, meant, among the Greeks, to drink like a

beast. (_Athen._, X, 427; _Herod._, VI, 84.) On North German

drunkenness in the 16th century, see _Seb. Münster_,

Cosmogr., 326, 730. _Kantzow_, Pomerania, II, 128.]

[Footnote 222-4: _Plutarch_, Cato, I, 21.]

SECTION CCXXIII.

THE MOST DETRIMENTAL KIND OF EXTRAVAGANCE.

The kind of extravagance which it is most natural we should desire to

see put an end to, is that which procures enjoyment to no one. I need

call attention only to the excessive durability and solidity of certain

buildings. It is more economical to build a house that will last 60

years for $10,000, than one which will last 400 years for $20,000; for

in 60 years the interest saved on the $10,000 would be enough to build

three such houses.[223-1] This is, of course, not applicable to houses

built as works of art, or only to produce an imposing effect. The object

the ancient Egyptians had in view in building their obelisks and

pyramids continues to be realized even in our day.

I might also call attention to the premature casting away of things

used. Our national economy has saved incredible sums since rags have

been manufactured into paper. In Paris 4,000 persons make a living from

what they pick up in the streets.[223-2]

[Footnote 223-1: Compare _Minard_, Notions élémentaires

d'Economie politique appliquée aux Travaux publics, 1850, 71

ff. He calls to mind the many strong castles of the age of

chivalry, the Roman aqueducts, theaters, etc., which are

still in a good state of preservation, but which can be used

by no one; so many bridges too narrow for our purposes, and

so many roads too steep. The sluices at Dunkirk, made 12.60

metres in width by Vauban, were made 16 meters wider in

1822, and still are too narrow for Atlantic steamships. In

England, private individuals have well learned to take all

this into account. Compare _J. B. Say_, Cours pratique,

translated by Morstadt, I, 454 ff.]

[Footnote 223-2: _Fregier_, Die gefährlichen Klassen,

translated 1840, I, 2, 38. In Yorkshire it is said that

woolen rags to the amount of £52,000,000 a year are

manufactured into useful articles. (_Tooke_,

Wool-Production, 196.) Compare The Use of Refuse: Quart.

Rev., April, 1868. On the ancient Greek ragpickers the

so-called spermologois, see _St. John_, The Hellenes, III,

91; on the Roman _Centonariis_: _Cato_, R. R., 135;

_Columella_, R. R., I, 8, 9; _Marquardt_, II, 476, V, 2,

187.]

CHAPTER II.

LUXURY.

SECTION CCXXIV.

LUXURY IN GENERAL.

The idea conveyed by the word luxury is an essentially relative one.

Every individual calls all consumption with which he can dispense

himself, and every class that which seems not indispensable to

themselves, luxury. The same is true of every age and nation. Just as

young people ridicule every old fashion as pedantry, every new fashion

is censured by old people as luxury.[224-1]

But (§ I) a higher civilization always finds expression in an increased

number and an increased urgency of satisfied wants. Yet, there is a

limit at which new or intensified wants cease to be an element of higher

civilization, and become elements of demoralization. Every immoral and

every unwise want exceeds this limit.[224-2] Immoral wants are not only

those the satisfaction of which wounds the conscience, but also those in

which the necessities of the soul are postponed to the affording of

superfluities to the body; and where the enjoyment of the few is

purchased at the expense of the wretchedness of the many. And not only

those are unwise or imprudent for which the voluntary outlay is greater

than one's income, but those also where the indispensable is made to

suffer for the dispensable.

Thus it was in Athens, in the time of Demosthenes, when the festivities

of the year cost more than the maintenance of the fleet; when Euripides'

tragedies came dearer to the people than the Persian war in former

times. There was even a law passed (Ol. 107,4) prohibiting the

application of the dramatic fund to purposes of war under pain of

death.[224-3]

In the history of any individual people, it may be shown with

approximate certainty at what point luxury exceeded its salutary limits.

But in the case of two different nations, it is quite possible that what

was criminal prodigality with the one, may have been a salutary

enjoyment of life with the other; in case their economic

(_wirthschaftlichen_) powers are different. Precisely as in the case of

individuals, where for instance, the daily drinking of table wine may be

simplicity in the rich and immoral luxury in the case of a poor father

of a family.[224-4] Healthy reason has this peculiarity, that where

people will not listen to it, it never hesitates to make itself felt.

(_Benjamin Franklin._)[224-5]

However, the luxury of a period always throws itself, by way of

preference, on those branches of commodities which are cheapest.

[Footnote 224-1: _Stuart_, Principles, II, ch. 30,

_Ferguson_, History of Civil Society, VI, 2. Thus

_Dandolus_, Chron. Venet., 247, tells of the wife of a doge

at Constantinople who was so given to luxury that she ate

with a golden fork instead of her fingers. But she was

punished for this outrage upon nature: her body began to

stink even while she was alive. In the introduction to

_Hollinshed's_ Chronicon, 1557, there is a bitter complaint

that, a short time previous, so many chimneys had been

erected in England, that so many earthen and tin dishes had

been introduced in the place of wooden ones. Another author

finds fault that oak was then used in building instead of

willow, and adds that formerly the men were of oak but now

of willow. _Slaney_, On rural Expenditure, 41. Compare

_Xenoph._, Cyrop., VIII, 8, 17.]

[Footnote 224-2: Biblically determined: _Romans_, 13, 14.]

[Footnote 224-3: _Plutarch_, De Gloria Athen., 348.

_Athen._, XIV, 623. Petit. Legg. Att., 385.]

[Footnote 224-4: _Livy_, XXXIV, 6 ff.]

[Footnote 224-5: Most writers who have treated of luxury at

all have generally confined themselves to inquiring whether

it was salutary or reprehensible. Aristippus and

Antisthenes, Diogenes, etc.; Epicureans and Stoics. The

latter were reproached with being bad citizens, because

their moderation in all things was a hindrance to trade.

(_Athen._, IV, 163.) The Aristotelian _Herakleides_ declared

luxury to be the principal means to inspire men with

noble-mindedness; inspired by luxury, the Athenians

conquered at Marathon. (_Athen._, XII, 512.) _Pliny_ was one

of the most violent opponents of luxury. See _Pliny_, N. N.,

XXXIII, 1, 4, 13, and other places. The controversy has been

renewed by the moderns, especially since the beginning of

the 18th century, after luxury of every kind had previously

(for the most part on theological grounds, but also by

Hutten, for instance) been one-sidedly condemned. Among its

defenders were _Mandeville_, The Fable of the Bees, 1706,

who, however, calls everything a luxury which exceeds the

baldest necessities of life; _Voltaire_ in Le Mondain, the

Apologie du Luxe, and Sur L'Usage de la Vie; _Mélon_, Essai

politique sur le Commerce, ch. 9; _Hume_, Discourses, No. 2,

On Refinement in the Arts; _Dumont_, Théorie du Luxe, 1771;

_Filangieri_, Delle Leggi politiche ed economiche, II, 37;

and the majority of the Mercantile school and of the

Physiocrates. Among the opponents of luxury, _J. J.

Rousseau_ towers over almost all others. Further, _Fénélon_,

Télémaque, 1699, L. XXII; _Pinto_, Essai sur le Luxe, 1762.

The reasons and counter-reasons advanced by those writers

apply not only to luxury but to the lights and shades of

high civilization in general. When a political economist

declares for or against luxury in general, he resembles a

doctor who should declare for or against the nerves in

general. There has been luxury in every country and in every

age. Among a healthy people, luxury is also healthy, an

essential element in the general health of the nation. Among

an unhealthy people luxury is a disease, and

disease-engendering.

For an impartial examination of the question, see

_Ferguson_, History of Civil Society, towards the end; see

also _Beckmann_, in _Justis'_ Grundsätzen der Polizei, 1782,

§ 308; _Rau_, Ueber den Luxus, 1817; _Roscher_, Ueber den

Luxus, in the Archiv der Politischen Oekonomie, 1843, and in

his Ansichten der Volkswirthschaft, 1861, 399 ff.]

SECTION CCXXV.

THE HISTORY OF LUXURY.--IN THE MIDDLE AGES.

During the middle ages, industry and commerce had made as yet but little

progress. Hence it was as difficult then for luxury to be ministered to

by fine furniture as by the products of foreign countries. Individual

ornamental pieces, especially arms and drinking cups,[225-1] were wont

to be the only articles of luxury. We have inventories of the domains of

Charlemagne from which we find that in one of them, the only articles of

linen owned were two bed-sheets, a table-cloth and a pocket

handkerchief.[225-2] Fashion is here very constant; because clothing was

comparatively dearer than at present. And so now in the East. In the

matter of dwellings, too, more regard was had to size and durability,

than to elegance and convenience. The palaces of Alfred the Great were

so frailly built that the walls had to be covered with curtains as a

protection against the wind, and the lights to be inclosed in

lanterns.[225-3]

Hence the disposition to use the products of the home soil as articles

of luxury was all the greater, but more as to quantity than to

quality.[225-4] Since the knight could personally neither eat nor drink

a quantity beyond the capacity of his own stomach, he kept a numerous

suite to consume his surplus. It is well known what a great part was

played among the ancient Germans by their retinues of devoted servants

(_comitatus_), which many modern writers have looked upon as

constituting the real kernel of the migration of nations.

In England, it was a maxim of state policy with Henry VII., whose reign

there terminated the middle age, to prohibit the great liveried suites

of the nobility (19 Henry VII., ch. 14) as Richard II., Henry IV. and

Edward IV. had already attempted to do. But even under James I., we find

ambassadors accompanied by a suite of 500 persons or 300

noblemen.[225-5]

The rich man welcomed every opportunity which enabled him to make others

share in a dazzling manner the magnitude of his superfluous wealth:

hence the numberless guests at weddings who were frequently entertained

for weeks.[225-6] These festivities are memorable not because of the

delicacies or great variety of the dishes, but because of their colossal

magnitude. Even William of Orange, 1561, entertained at his wedding

guests who had brought with them 5,647 horses; and he appeared himself

with a suite of 1,100 men on horseback. There were consumed on the

occasion 4,000 bushels of wheat, 8,000 of rye, 11,300 of oats, 3,600

_eimers_ of wine, 1,600 barrels of beer.[225-7] In the ordinance of

Münden regulating weddings, promulgated in the year 1610, it is

provided, that, at a large wedding there should not be over 24 tables,

nor at a small one over 14, with 10 persons at each table.[225-8]

The hospitality of the lower stages of civilization[225-9] must be

ascribed as well to this peculiar kind of luxury as to mere good nature.

Arabian chiefs have their noon-day table set in the street and welcome

every passer-by to it.[225-10] (_Pococke._) And so, distinguished

Indians keep an open cauldron on the fire cooking all the time, from

which every person who comes in may help himself. (_Catlin._)

Compared with this luxury of the rich, the poverty found side by side

with it appears less oppressive. There is no great gap between the modes

of life of the different classes.[225-11] This is the golden age of

aristocracy, when no one questions its legitimateness. When, later, the

nobleman, instead of keeping so many servants, begins to buy costly

garments for himself, he, indeed, supports indirectly just as many and

even more men; but these owe him nothing. Besides, in this last kind of

luxury, it is very easily possible for him to go beyond his means, which

is scarcely ever the case in the former.[225-12]

[Footnote 225-1: Here, as a rule, the value of the metal was

greater than the form-value; and hence the medieval

monasteries frequently made loans of silver vessels, where

of course, the form could not be taken into consideration.

On the other hand, in the case of the table service,

presented by the king of Portugal to Lord Wellington, the

metal cost £85,000 and the workmanship £86,000. (_Jacob_,

Gesch. der edlen Metalle, translated by Kleinschrod, II, 5.)

Compare _Hume_, History of England, ch. 44, App. 3.

Similarly under Louis XIV. (_Sismondi_, Hist. des Français,

XXVII, 45.) When Rome was highly civilized, C. Gracchus paid

for very good silver ware, 15 times the value of the metal,

and L. Crassus, (consul 95 before Christ) 18 times its

value. _Mommsen_, R. Gesch. II, 383.]

[Footnote 225-2: _Specimen breviarii fiscalium Caroli

Magni_; compare _Anton_, Gesch. der deutschen Landwirthsch.

244 ff.]

[Footnote 225-3: _Turner_, History of the Anglo Saxons, VII,

ch. 6.]

[Footnote 225-4: In _Homer_, the kings live on nothing but

meat, bread and wine: compare _Athen._, I, 8. In the

saga-poetry of Iceland, _H. Leo_ does not remember to have

heard any other food mentioned except oat-pap, milk, butter

and cheese, fish, the flesh of domestic animals, and beer.

(_Raumer's_ Taschenbuch, 1835, 491)]

[Footnote 225-5: _Hume_, History of England, ch. 49, Append.

Similarly among all nations which have still preserved much

of the medieval. Thus the duke of Alba, about the end of the

last century, had not a single commodious hall in his

immense palace, but 400 rooms for his servants, since at

least all his old servants, and even their widows and

families, continued to live with him. In Madrid alone, he

paid £1,000 a month wages to his servants; and the son of

the duke, Medina-Celi, £4,000 per annum. (_Townsend_, II,

155, 158.) In many palaces in Moscow, previous to 1812,

there were 1,000 and more servants, unskillful, clad for the

most part as peasants, badly fed, and with so little to do

that perhaps one had no service to perform but to fetch

drinking water at noon, and another in the evening. Even

poor noblemen kept 20 and 30 servants, (_v. Haxthausen_,

Studien, I, 59.) _Forster_, Werke, VII, 347, explains Polish

luxury in servants, by the poorness of the servants there: a

good German maid could do more than three Polish servants.

Thus, in Jamaica, it was customary to exempt from the

slave-tax persons who kept fewer than 7 negroes. (_B.

Edwards_, History of the W. Indies, I, 229.) Compare _Livy_,

XXXIX, 11. The luxury of using torch-bearers instead of

candelabra lasted until Louis XIV.'s time. (_Rocquefort_,

Hist. de la Vie privée des Français, III, 171.) Compare _W.

Scott_, Legend of Montrose, ch. 4.]

[Footnote 225-6: A Hungarian magnate, under king Sigismund,

celebrated his son's wedding for a whole year. (_Fessler_,

Gesch. von Ungarn, IV, 1267.)]

[Footnote 225-7: _Müller_, Annal. Saxon, 68. Several

examples in _Sckweinichen's_ Leben von Büsching, I, 320 seq.

_Krünitz_, Enclycopædie, Bd. 82, 84 ff. The wedding of the

niece of Ottakar II. in 1264, has long been considered a

most brilliant event in the history of medieval luxury.

(_Palacky_, Gesch. von Böhmen, II, 191 ff.) Even yet, in

Abyssinia, on the occasion of royal feasts, only meat and

bread are eaten and mead drunk; but not only the great, but

even common soldiers are entertained one after the other.

(Ausland, 1846, No. 79.) Magnificent as was the table of a

West Indian planter, it was in some respects very simple. A

large ox was slaughtered for the feast, and everything had

to be prepared from that: roast beef, beef steaks, beef

pies, stews, etc. (_Pinckard_, Notes on the W. Indies, II.

100 ff.)]

[Footnote 225-8: _Spittler_, Geschichte Hanovers, I, 381.]

[Footnote 225-9: _Tacitus_, Germ., 21 Leg., says of the

Germans: _Convictibus et hospitiis non alia gens effusius

indulget. Quemcunque mortalium arcere tecto, nefas habetur.

Diem noctemque continuare potando, nulli probrum._]

[Footnote 225-10: Entirely the same among the ancient

Romans: _Valer. Max._, II, 5. Compare per _contra_,

_Euripid._, Herc. fur., 304 seq.]

[Footnote 225-11: Think of nomadic races especially, where

the rich can employ their wealth only to increase the number

of their partisans, for war purposes, etc.]

[Footnote 225-12: _Ferguson_, Hist. of Civil Society, VI, 3;

_Adam Smith_, Wealth of Nat., IV, ch. 4. Compare _Contzen_,

Politicorum, 1629, 662. As to how in the lower stages of

civilization, guests are used to supply the place of the

post-office service, see _Humboldt_, Relation hist., II,

61.]

SECTION CCXXVI.

LUXURY IN BARBAROUS TIMES.

The luxury of that uncivilized age shows itself for the most part on

particular occasions, and then all the more ostentatious, while in the

periods following it, it rather permeates the whole of life. Even J.

Möser excuses our forefathers for their mad celebration of their

_kirmesses_ and carnivals: _dulce est desipere in loco_, as Horace says,

and that they sometimes carried it to the extent of drowning

reason.[226-1] Among ourselves, the common man drinks brandy every day;

in Russia, seldom, but then, to the greatest excess.[226-2] The well

known peculiarity of feudal castles, that, besides one enormous hall,

they were wont to have very small and inconvenient rooms for every day

life, is accounted for in part by the great importance to them of festal

occasions, and in part by the cordiality of the life led in them, in

which lord and servants constituted one family. Nothing can be more

erroneous than to ascribe great temperance in general to people in a low

stage of civilization. Their simplicity is a consequence of their

ignorance rather than of their self-control. When nomadic races have

once tasted the cup of more delicate enjoyment, it is wont to hurry them

to destruction.[226-3]

[Footnote 226-1: _Möser_, Patr. Ph. IV, 7. On the feast of

fools and the feast of asses of the middle ages, compare

_Dutillet_, Mémoire pour sevir à l'Histoire de la Fête des

Fous; _D. Sacchi_, Delle Feste popolari del medio Evo.

During the latter half of the 16th century, the first

Hannoverian minister received only 200 thalers salary and

pieces of clothing, while the wedding of a certain von

Saldern cost 5,600 thalers. (_Spittler_, Gesch. Hannovers,

I, 333.)]

[Footnote 226-2: _v. Haxthausen_, Studien, II, 450, 513.

Thus, in 1631, of those who had died suddenly, there were

957 who died of drunkenness. (_Bernouilli_, Populationistik,

303.) According to _v. Lengefeldt_, Russland im 19. Jahrh.,

42, the number is now 1,474 to 1,911 per annum. On Poland,

see _Klebs_, Landeskulturgesetzgebung in Posen, 78. When the

South American Indians begin to drink, they do not stop

until they fall down senseless. (_Ulloa_, Noticias

Americanas, ch. 17.) The old Romans considered all

barbarians to be drunkards. (_Plato_, De Legg., I, 638.) In

eating, also, uncivilized people are extremely irregular. A

Jackute or Tunguse consumes 40 pounds of meat; three men

devour a whole reindeer at a meal. (_Cochrane_, Fussreise,

156.) One ate in 24 hours the back quarter of a large ox, or

1/2 a _pud_ of fat, and drank an equal quantity of melted

butter. (_Klemm_, Kulturgeschichte, III, 18.) Similarly

among hunting races. See _Klemm_, I, 243, 339; II, 13, 255.

On the South Sea Islanders, see _Hawkesworth_, III, 505;

_Forster_, I, 255.]

[Footnote 226-3: Rapid degeneration of almost all barbaric

dynasties as soon as they have subjugated civilized

countries.]

SECTION CCXXVII.

INFLUENCE OF THE CHURCH AND OF THE CITY.

The change in this situation takes place first of all in the churches

and in the cities. The Church has passed through almost every stage of

development in advance of the State; and civilization, both in the good

and bad sense of the term, has become general, and gradually acclimated

in the rural districts, through the influence of the cities. In the

Church, the earliest art endeavored to reach the beautiful. There, we

first find music, painting, sculpture, foreign perfumes, incense and

variegated garments.[227-1] In the cities, growing industry introduces a

more attractive style of clothing and a more ornamental style of

household furniture. Commerce, beginning to thrive, raises foreign

commodities into wants,[227-2] and thus the old luxury of feudal times

is modified.[227-3] The large number of idle servants is diminished. All

the more refined pleasures are extended downward to wider circles of the

people. Instead of individual bards, rhapsodists, skalds and

minnesingers, we have the beginnings of the theater, and instead of

tournaments, the shooting matches. (_Freischiessen._)

But it is remarkable how much earlier here pomp and splendor are

considered than convenience. The Spanish _romanceros_ of the 12th

century display wonderful splendor in their descriptions of the Cid, and

the trousseau of his daughters. But, on the other hand, the wife of

Charles VII. seems to have been the only French woman in the 15th

century who had more than two linen chemises. Even in the 16th century,

it frequently happened that a princess made a present to a prince of a

single shirt. At this time the German middle class were wont to sleep

naked.[227-4]

Even now, half-civilized nations look more to the outward appearance of

commodities than to their intrinsic value. Thus, for instance, in

Russia, we find large numbers of porcelain services extravagantly

painted and gilded, awkward, the material of which is full of blisters;

damaskeened knives, gilt sad-irons and candle-snuffers with landscapes

engraved on them: but nothing fits into anything else; the angles are

vicious, the hinges lame, and the whole soon goes to pieces. And so,

among export merchants in Bremen, for instance, it is a rule, on all

their wares intended for America, to put a label made of very beautiful

paper, with their coat-of-arms or firm-name in real silver, and to do

the packing in as elegant a manner as possible.[227-5] Cloths intended

for America are usually exceedingly light, destitute of solidity, but

very well dressed. The cotton-printers who work for the African market

prefer to employ false but cheap and dazzling colors.[227-6]

[Footnote 227-1: The use of window-glass in churches in

England dates from 674, in private houses from 1180.

(_Anderson_, Origin of Commerce, s. a.) Even in 1567, it was

so rare that during the absence of the lords from their

country seats, the panes were taken out and stored for safe

keeping. (_Eden_, State of the Poor, I, 77.) As to how

Scotland developed in this respect still later, see

_Buckle_, History of Civilization in England, II, 172.]

[Footnote 227-2: In our day, at the breakfast of a German of

the middle class, may be found East Indian coffee, Chinese

tea, West Indian sugar, English cheese, Spanish wine, and

Russian caviar, without any surprising degree of luxury.

Compare _Gellius_, N. A., VII, 16.]

[Footnote 227-3: In England, the transition is noticeable,

especially under Elizabeth: _Hume_ History, ch. 44, app. 3.

In France, under Louis XIV.; _Voltaire_, Siècle de Louis,

XIV., ch. 29.]

[Footnote 227-4: Poesias Castellanas anteriores al Siglo XV;

Tom. I, 347, 327. _Roscher_, loc. cit. _J. Voight_, in

_Raumer's_ historischem Taschenbuche, 1831, 290; 1835, 324,

seq. Thus, one of Henry VIII's wives, in order to get salad,

had first to send for a gardener from Flanders; while at the

time, a single ship imported into England from 3,000 to

4,000 pieces of clothing in gold brocade, satin or silk.

(_Anderson_, a. 1509, 1524, 4; Henry VIII, c. 6.)]

[Footnote 227-5: Irish linen, worth from 30 to 35 shillings,

is often provided with a label which cost 5 shillings.

(_Kotelmann_, Statistische Uebersicht der landwirthschaftl.

und industriellen Verhältnisse von Oestereich und dem

Zollverein, 215.)]

[Footnote 227-6: Compare _Kohl_, Reise in Deutschland, II,

18, 250. _Roscher_, in the Göttinger Studien, 1845, II, 403,

ff. About 1777, _Büsch_ described the difference of goods

manufactured in England "for the continent and home

consumption," as being just the same as the difference now

between goods for Africa and goods for Europe. (Darstellung

der Handlung, Zusatz, 89.)]

SECTION CCXXVIII.

HISTORY OF LUXURY IN HIGHLY CIVILIZED TIMES.

The direction which luxury takes in times when civilization is advanced,

is towards the real, healthy and tasteful enjoyment of life, rather than

an inconvenient display. This tendency is exceedingly well expressed by

the English word _comfort_, and it is in modern England that the luxury

of the second period has found it happiest development. It is found side

by side with frugality; and it frequently even looks like a return to

the unaffected love of nature.[228-1]

Thus, since Rousseau's time,[228-2] the so-called English gardens have

dropped the former Versailles-Harlem style. Thus, too, modern fashion

despises the awkward long wig, powdering etc.[228-3] Instead of garments

embroidered, or faced with fur or lace, and instead of the galloon hat

worn under Louis XIV. and Louis XV., the French revolution has

introduced the simple citizen frock-coat and the round silk hat. The

"exquisite" may even with these outshine others by the form he selects,

the material he wears, or by frequent change, but much less strikingly

than before.[228-4] Since every one, in the purchase of household

furniture, etc., looks more to its use than to the honor of being sole

possessor of an article or having something in advance of everybody

else, it becomes possible for industry to manufacture its products in

much larger quantities, and after the same model, and thus to furnish a

much better article for the same price.[228-5] Besides, more recent

industry has produced a multitude of cheap substitutes for costly

objects of luxury: plated silver-leafing, cotton-velvet goods,

etc.;[228-6] besides the many steel engravings, lithographs etc., which

have exerted so beneficent an influence on æsthetic education.

In the England of our days, the houses are comparatively small, but

convenient and attractive, and the salutary luxury of spending the

pleasant season in the country very general.[228-7] The country-roads

are narrow but kept in excellent order and provided with good

inns.[228-8] More value is here attached to fine linen cloth than to

lace;[228-9] to a few but nourishing meat-dishes than to any number of

sauces and confections of continental kitchens.[228-10] Especially is

the luxury of cleanliness, with its morally and intellectually

beneficial results found only in well-to-do and highly cultured nations.

As formerly in Holland, so now in England, it is carried to the highest

point of development. In the latter country, the tax on soap is

considered a tax on an indispensable article.[228-11] The reverse is the

case in North America, if we can believe the most unprejudiced and

friendly observers.[228-12] The person who lives in a log-house must, to

feel at ease within his four walls, first satisfy a number of necessary

wants.[228-13]

[Footnote 228-1: The reformation of the sixteenth century

had a remarkable tendency towards natural and manful

fashions, as contradistinguished from the immediately

preceding and the immediately following periods. Compare _J.

Falke_, Deutsche Trachten und Modenwelt, II, 1858.]

[Footnote 228-2: _J. J. Rousseau_, N. Héloise, II, L. 11.

Compare _Keysler_, Reise, I, 695.]

[Footnote 228-3: That a similar transition marked an epoch

in the history of Grecian morals was recognized even by

_Thucydides_, I, 6; compare _Asios_, in _Athen._, XII, 528.]

[Footnote 228-4: It will always remain a want to own clothes

for every day wear and festal occasions. The frock coat

satisfies this want in the cheapest way. As soon as people

cease to distinguish clothing for festal occasions by the

cut, gold-embroidery, fur-facing, etc. will appear again,

which would necessarily prove a great hardship to the

propertyless classes of the educated, and even to the higher

classes.]

[Footnote 228-5: On the striking contrast presented in this

respect by the English and French, and even Russian customs,

see _Storch_, Handbuch, II, 179 ff. _J. B. Say_, Cours

pratique, translated into German by _Morstadt_, I, 435 ff.;

Deutsche Vierteljahrsschrift, 1853, I, 182.]

[Footnote 228-6: Paper-hangings, instead of costly gobelins

and leather hangings, were not known in France until after

1760, nor in the rest of Europe until much later. Busts of

plaster were (_Martial_, IX, 17, and _Juvenal_, II, 4) usual

among those who were less well off.]

[Footnote 228-7: Similarly even in _Giov. Villani_, XI, 93,

the villas of the highly cultured Florentines appear finer

than their city houses, while in Germany, at that time, even

the richest citizens lived only in the city.]

[Footnote 228-8: Sidewalks in the cities, recommended by _J.

J. Rousseau_, as a popular convenience and as a safeguard

against the carriage-aristocracy.]

[Footnote 228-9: In France, the luxury of lace was conquered

by Marie Antoinette, but still more effectually by the

Revolution. Previous to that time, many Parisians wore four

manchettes to each shirt. (_Palliser_, History of Lace,

1865.)]

[Footnote 228-10: During the middle ages, strongly seasoned

food, ragouts, etc., were more in favor than in even France

to-day; compare _Legrand d'Aussy et Roquefort_, Histoire de

la Vie priveé des Français, passim. The wine even, at that

time, used to be mixed with roots: _vin de romarin_,

_clairet_, _hippocras_, (_W. Wackernagel_, Kl. Schriften I,

86, 7.) The French kitchen became simpler and more natural,

only after the middle of the 18th century. (_Roquefort_,

III, 343.)]

[Footnote 228-11: The taxed consumption of soap amounted in

England in 1801 to 4.84 and in 1845, 9.65 pounds per capita.

(_Porter_, Progress of the Nation, V, 5, 579.) Soap-boiling

in London dates from 1520 only. Before that time, all white

soap was obtained from the continent. (_Howell_,

Londinopolis, 208.) _Erasmus_ charged that England, in his

time, was an exceedingly dirty country. The Italians, on the

other hand, were at that time greatly distinguished above

northern people, especially the Germans, by their

cleanliness. (_Buckhardt_, Kultur der Renaissance, 295.) The

Vienna river-baths after 1870, _Nicolai_, Reise, III, 17,

mentions as something deserving special note. The Leipzig

river-baths date from 1774.]

[Footnote 228-12: _Birkbeck_, Notes on America, 39. Even in

New York, it is not very long since there were no common

sewers. Just as characteristic is the uncleanliness of the

South African _boers_ (_Mauch_, in _Petermann's_

Mittheilungen, Ergänz-Heft, XXVII, 23), when compared with

the celebrated cleanliness of the old Dutch.

Americans will certainly not agree with the "friendly

and unprejudiced" observers mentioned in the text; for

no one acquainted with genuine American home-life can

deny that cleanliness is an American characteristic. It

is only justice to the author to say that the above

note (12), so far as it relates to America, appeared in

the second edition of his work, and probably in the

first; and that he is not so much to be blamed for it

as the unfriendly and prejudiced, if not ignorant

observers. It may be said, however, that, from the use

of the word "log-house," in the context, the author

does not intend to apply this remark to the older

settlements.--TRANSLATOR.]

[Footnote 228-13: The most frightful uncleanliness prevails

among the inhabitants of polar countries, who never bathe,

because of the climate, avoid all ventilation, and because

of the leathern clothing which they smear with grease, etc.

The Tunguses consider the after-birth cooked or roasted as a

great delicacy. "Fathers and mothers wipe their children's

noses with their mouth, and gulp the secretion down."

(_Georgi_, Beschreib. aller Nationen des russ. Reiches, I,

287.) Among the Koruks, the suitor rinses his mouth with his

sweetheart's water. (loc. cit., I, 349, 353.) Compare

_Klemm_, Kulturgeschichte, III, 24, 57. In warmer climates,

even less civilized nations are clean, for instance in the

East and South-Sea Islands, etc. All the more surprising is

the uncleanliness of the Hottentots and Bushmen, where the

natural color is observable only under the eyes, where the

tears produced by too much smoke has washed away the crust

of dirt which, with this exception, covers the whole body.

(_Klemm_, Kulturgeschichte, 333.) How long it takes for

cleanliness to become a national trait, may be inferred from

the history of water-closets, when, for instance, their

introduction into every house during the 16th and even the

17th century, had to be provided for by law in Paris.

(_Beckmann_, Beiträge, II, 358 ff.) The Göttingen statutes

of 1342 had to expressly prohibit persons to _merdare_ in

public wine-cellars where persons ate and drank together.

(_Spittler_, Gesch. Hannovers, I, 57.) Similarly in the

courts of the German princes. On the other hand,

universality of water-closets in England to-day.

In ancient times, too, the uncleanliness of the Spartans in

body and clothing was very surprising to the Athenians:

_Xenoph._, Resp. Laced., II, 4; _Plutarch_, Lycurg, 16.

_Just._, Lac., 5. Still more that of many barbarians, for

instance of the Illyrians: _Stobaeus_, V, 51, 132; _Gaisf.

Aelian._, V, H. IV, 1. The ancient Romans bathed only once a

week (_Seneca_, Epist., 86), while under the Empire, "the

baths embraced and filled up the whole life of man and all

his wishes." (_Gerlach._) Compare _Becker_, Gallus, II, 10

ff.; _Lamprid_, V, Comm., 11.]

SECTION CCXXIX.

EXTENT OF LUXURY IN HIGHLY CIVILIZED TIMES.

The luxury of this second period fills the whole of life and permeates

every class of people. Hence we may most easily determine the degree of

development a people have attained by the quantity of commodities of a

finer quality which are, indeed, not indispensable to life, but which it

is desirable should be consumed on as extensive a scale as possible by

the nation, for the sake of the fullness of life and the

freshness[229-1] of life to which they minister.

Thus, for instance, as civilization has advanced, there has been almost

everywhere a transition to a finer quality of the material of which

bread is made. The number of consumers of white bread in France in 1700,

was 33 per cent. of the population; in 1760, 40; in 1764, 39; in 1791,

37; in 1811, 42; in 1818, 45; in 1839, 60 per cent.[229-2] About 1758,

in England and Wales, 3,750,000 of people lived on wheat bread; on

barley bread, 739,000; on rye bread, 888,000; on oat bread, 623,000. The

cultured southeastern population had almost nothing but wheat bread,

while in the north and northwest, oat bread continued to be used a long

time; and in Wales only 10 per cent. of the population ate wheat bread.

This condition of things in England has since been much improved. But,

at the extremities of the Hebrides, nine-tenths of the population still

live on barley bread; and in Ireland it was estimated, in 1838, that

with 8,000,000 inhabitants, potatoes were the chief article of food of

5,000,000, and oat bread of 2,500,000.[229-3]

And so, the consumption of meat in cities is uniformly much larger than

in the country. In the cities of the Prussian monarchy and subject to

the slaughter-house tax, it amounted in 1846, per capita: in East

Prussia, to 61 lbs.; in Pommerania, to 66; in Posen, to 70; in West

Prussia, to 71; in Saxony, to 75; in the Rhine Province, to 83; in

Silesia, to 86; in Brandenburg, to nearly 104; in Berlin alone, to 114:

an average in the whole country, however, of scarcely 40 lbs. per

capita. (_Dietrici._) In the kingdom of Saxony, the average consumption

of beef and pork was, shortly before 1866, about 50 lbs.; in Dresden

alone, 86.7; in Leipzig, 136.9 lbs.[229-4] The consumption of meat in

England is exceedingly great, so that, for instance, in several orphan

asylums in London, the daily meat ration amounts to an average of from

0.23 to 0.438 lbs. The meat-consumption of a well-to-do family, children

and servants included, Porter estimates at 370 lbs. per capita per

annum. The meat ration of soldiers in the field amounts in England to

676 grammes a day; in France, to 350.[229-5]

The consumption of sugar in 1734, in England, was about 10 lbs. per

capita; in 1845, in the whole of the British Empire, 20-1/3 lbs.; in

1849, almost 25 lbs.; in 1865, over 34 lbs.; but it must not be

overlooked here, that in Ireland the consumption of sugar per capita was

scarcely over 8 lbs.[229-6] In the German Zollverein, the consumption of

sugar, in 1834, amounted to an average of 2-1/2 lbs. per capita; in

1865, to more than 9 lbs. In France, the consumption of the same article

rose from 1.33 kilogrammes, the average from 1817 to 1821, to 7.35 lbs.

in 1865.[229-7] The population of the Zollverein rose 25.8 per cent.

between 1834 and 1847, while the importation of coffee increased 117.5

per cent.; of spices, 58.2; southern fruits, 34.5, and cocoa, 246.2 per

cent.[229-8]

A great many of vegetables and fruits, which seem to us to be almost

indispensable articles of subsistence, have been cultivated only a short

time. Thus the English have been acquainted with artichokes, asparagus,

several kinds of beans, salad, etc. only since 1660.[229-9] Even in

France, the finer kinds of fruits have appeared on the tables of the

middle class only since the beginning of the last century.

The per capita consumption of wool in England, about a generation ago,

amounted to about 4 lbs. a year; in Prussia to 1.67; of cloth, to 5.76

and 2.17 ells; of leather, to 3.03 and 2.22 lbs. respectively.[229-10]

Of silk goods, England consumes half as much as the rest of all Europe,

and an Englishman from 5 to 6 times as much as a Frenchman, although

England does not produce a single pound of raw silk.[229-11]

[Footnote 229-1: Thus, for instance, the modern enjoyments

of coffee, tea, newspapers, tobacco etc., promote

domesticity with which antiquity was so little acquainted.

_Zaccharia_, Vierzig Bücher, VI, 60.]

[Footnote 229-2: The food of the French people has improved

also in point of quantity. At the beginning of the

eighteenth century, of cereals there were 472 liters per

capita, at present there are 541 liters; and in addition,

now, 240 liters of potatoes and vegetables more than then.

Compare _Moreau de Joannès_, Statistique de l'Agriculture de

la France, 1848, and the same writer's Statistique céréale

de la France, in the Journal des Economistes, 1842, Janv. On

the recent decrease or increase in the consumption of meat,

see the very different estimates of _M. Chevalier_, Cours.,

I, 113 seq., and Journal des Economistes, Mars, 1856, 438

ff.]

[Footnote 229-3: _Ch. Smith_, Tracts on the Corn Trade,

1758, 182. _Eden_, State of the Poor, I, 563, seq. In

_McCulloch_, Statist, I, 316, 466 ff., 548. Moreover,

_Rogers_ says that English workmen in the middle ages, for

the most part, consumed wheat bread. (Statist. Journal,

1864, 73.) About the middle of the 13th century, only from

11 to 12 _malters_ of wheat were produced on the estates of

the bishop of Osnabrück; about 470 of oats, 300 of rye, and

120 of barley. (_J. Möser_, Osnabrück, Gesch., Werke, VII,

2. 166.) Even beer was brewed from oats in the earlier part

of the middle ages. (_Guérard_, Polyptiques, I, 710 ff.) The

ancients, also, in their lower stages of civilization, lived

on barley bread by way of preference, and went over to wheat

only at a later period; compare _Plin._, H. N. XVIII, 14.

_Heracl._, Pont, fr. 2. _Athen._, IV., 137, 141. _Plutarch_,

Alcib., 23. As to how, in Rome, the transition from _far_ to

the much more costly _triticum_, was connected with the

extension of the hide of land from 2 to 7 _jugera_, see _M.

Voigt_ in the Rhein. Museum f. Philol., 1868.]

[Footnote 229-4: To this, in Saxony, must be added about

from 6 to 7 pounds of veal and mutton. The recent increase

in the consumption of meat in Saxony is very encouraging:

1840, about 30 lbs. of beef and pork per capita; 1851-57, 40

lbs. (Sächs. Statist. Ztschr., 1867, 143 seq.) On the other

hand, _Schmoller_ estimated the consumption of meat in

general in Prussia, in 1802, at 33.8; in 1816, at 22.5; in

1840, at 34.6; in 1867, at 34.9 lbs. (_Fühling_, N. Landw.

Zeitg., XIX; Jahrg. Heft., 9 seq.) Paris consumed, in 1850,

145 pounds of butcher's meat per capita; in 1869, 194

pounds. In the year of the revolution, 1848, the consumption

declined 45 per cent.; the consumption of wine in barrels,

16 per cent.; in bottles, 44 per cent.; of sea-fish, 25 per

cent.; of oysters, 24 per cent.; of beer, 20 per cent.; of

eggs, 19 per cent.; of butter, 13 per cent.; of fowl, 6 per

cent. (_Cl. Juglar_, in the Journal des Economistes, March,

1870.)]

[Footnote 229-5: _Porter_, Progress of the Nation, V, 5, 591

ff.; _Hildesheim_, Normaldiet, 52 ff. Well-known English

popular song: "Oh, the roast beef of old England" etc. Even

at the end of the 17th century one-half of the nation

partook of fresh meat scarcely once or twice a week; most of

that consumed was salted. (_Macaulay_, History of England,

ch. 3.) But even _Boisguillebert_, Traité des Grains, II, 7,

characterizes the English as great beer-drinkers and

meat-eaters, from the highest class to the lowest, while the

French consumed almost nothing but bread. Similarly _J. J.

Becher_, Physiologie, 1678, 202, 248, on the great

consumption of meat and sugar in England.]

[Footnote 229-6: _Anderson_, Origin of Commerce, a. 1743;

_Porter_, Progress, V, 4, 350 ff.; Meidinger, 154 ff.;

Memorandum respecting British Commerce, etc., before and

since the Adoption of Free Trade, 1866. On men-of-war each

man gets 35-45 lbs. a year; in the poorhouse, old men

22-3/4. (_Porter._)]

[Footnote 229-7: In Henry IV.'s time, in France, sugar was

sold by the apothecaries by the ounce!]

[Footnote 229-8: _Deiterici_, Statist. Uebersicht des

Verkehrs, etc. im Zollvereine, 4; Fortsetzung, 168 ff., 208,

265, 599. Thus, in Great Britain, the population between

1816 and 1828 grew, from 13-1/2 million to nearly 16

million. On the other hand, consumption, when the average

from 1816 to 1819 is compared with that from 1824 to 1828,

increased in a much greater proportion: soap, from 67-3/4 to

100 million pounds; coffee, from 7,850,000 to 12,540,000

pounds; starch, from 3-1/5 to 6-1/3 million pounds. (Quart.

Rev., Nov., 1829, 518.) The consumption of tea per capita in

1801 was 1.5 lbs., in 1871, 3.93 lbs. (Statist. Journ.,

1872, 243.) In the matter of illumination, a very beneficent

luxury has been obtained, inasmuch as, spite of the fact

that gas-light is so generally used in recent times, i. e.,

since 1804, the consumption of oil has very much increased,

on account of the lamps now so much in favor; and that of

candles also has increased, relatively speaking, more

rapidly than the population. The illumination produced is

much richer now than formerly, a fact which, besides its

sanitary advantages, has had a good influence in diminishing

street robberies. (_Julius_, Gefängnisskunde, XXII.) During

the middle ages, candles were very dear; according to

_Rogers_ (I, 415) 1-1/3 to 2 shillings per pound.]

[Footnote 229-9: Present state of England, 1683, III, 529;

compare _Storch_, Handbuch, II, 337 seq.]

[Footnote 229-10: _Dieterici_, Statist. Uebersicht, 321 ff.,

363, 399.]

[Footnote 229-11: _Bernouilli_, Technologie, II, 223. It is

a striking symptom of the wealth or ostentation of the later

period of the Empire that, according to _Ammian. Marcell_,

(XXIII, 258-ed. Paris, 1636) silk goods were a want even

among the lower classes, notwithstanding the fact that they

had to be imported from China.]

SECTION CCXXX.

EQUALIZING TENDENCY OF LATER LUXURY.

The whole social character of this luxury has something

equalizing[230-1] in it; but it supposes particularly that there is not

too marked a difference in the resources of the people.

A proper gradation of national wants is best guarantied by a good

distribution of the national resources.[230-2] The more unequal the

latter is, the more is there spent on vain wants instead of on real

ones; and the more numerous are the instances of rapid and even immoral

consumption. Where there are only a few over-rich men, more foreign

products and products of capital are wont to be called for than home

products and productions of labor; and luxury especially despises all

those commodities manufactured in large institutions.[230-3] Every

change in the consumption-customs of a people, in this respect, should

be most carefully observed; thus, for instance, whether brandy is

exchanged for beer, tobacco for meat, cotton for cloth, or the

reverse.[230-4]

One of the characteristics of this period is the endeavor to possess the

best quality of whatever is possessed at all, and to be satisfied with

less of it rather than purchase more of an inferior quality. This is,

essentially, to practice frugality, inasmuch as certain

production-services remain the same whether the commodity is of the best

or the worst quality, and that commodities of the best quality are more

superior to the worst in intrinsic goodness than they are in price. But

this course supposes a certain well-being already existing.

In this period, also, the luxury of the state is wont to take the

direction of those enjoyments which are accessible to all.[230-5]

[Footnote 230-1: Formerly the dress of citizens was a weak

imitation of the court costume: at present the reverse is

the case, and the court costume is only a heightening of the

citizen costume. Compare _Riehl_, Bürgerl. Gesellschaft,

191.]

[Footnote 230-2: _Helvetius_, De l'Homme, 1771. sec. VI, ch.

5.]

[Footnote 230-3: _J. B. Say_, Traité, II, 4; _Sismondi_, N.

P., IV, ch. 4. As early a writer as _Lauderdale_, Inquiry,

358 ff., thought the social leveling of modern times would

promote English industry. In the East Indies, on the other

hand, only the most expensive watches, rifles, candelabras

etc. were sold, because the nabobs were the only persons who

created any demand for European commodities (312 ff.). _Adam

Smith_, Wealth of Nat., II, ch. 3, draws a very correct

distinction between the luxury of durable goods and that of

those which perish rapidly; the former is less calculated to

impoverish an individual or a whole nation; and hence it is

much more closely allied to frugality. Similarly even

_Isocrates_, ad Niccol., 19; _Livy_, XXIV, 7; _Plin._, H.

N., XIII, 4; _Mariana_, 1598, De Rege et Regis Institutione,

III, 10; _Sir W. Temple_, Works, I, 140 seq., who found this

better kind of luxury in Holland: _Berkeley_, Querist, No.

296 ff.]

[Footnote 230-4: _Schmoller_, loc. cit., considers it no

favorable symptom, that in Prussia, between 1802 and 1867,

the per capita consumption of milk decreased and that of

wool increased. According to _L. Levi_, the consumption of

brandy in England decreased from 1854 and 1870, from 1.13 to

1.01 gallons per capita; but, on the other hand, the

consumption of malt increased from 1.45 to 1.84 bushels, and

the consumption of wine from 0.23 to 0.45 gallons. The

number of licenses to retail spirituous liquors was, in

1830, 6.30 per thousand of the population; in 1860-69, only

5.57. (Statist. Journal, 1872, 32 ff.)]

[Footnote 230-5: Compare _Cicero_, pro Murena, 36. The

Athenians under Pericles, in times of peace, spent more than

one-third of their state-income on plastic and architectural

works of art. The annual state-income amounted to 1,000

talents (_Xenoph._, Exp. Cyri, VII, 1, 27), while the

propylea alone cost, within 5 years, 2,012 talents.

(_Böckh_, Staatsh., I, 283.) On the other hand,

_Demosthenes_ complains of the shabbiness of public

buildings, and the magnificence of private ones in his time.

(adv. Aristocr., 689, Syntax., 174 seq.)

_Demetrius Phalereus_ blames even Pericles, on account of

his extravagance on the propylea, although Lycurgus had

been, not long before, addicted to luxury after the manner

of Pericles. (_Cicero_, De Off., II, 17.)]

SECTION CCXXXI.

THE ADVANTAGES OF LUXURY.

The favorable results which many writers ascribe to luxury in general

are true evidently only of this period. And thus luxury, inasmuch as it

is a spur to emulation, promotes production in general; just as the

awarding of prizes in a school, although they can be carried away only

by a few, excites the activity of all its attendants. A nation which

begins to consume sugar will, as a rule, unless it surrenders some

previous enjoyment, increase its production.[231-1] In countries where

there is little or no legal security, in which, therefore, people must

keep shy of making public the good condition they are in, this

praise-worthy side of luxury is for the most part wanting.[231-2]

All rational luxury constitutes a species of reserve fund for a future

day of need. This is especially true of these luxuries which take the

form of capital in use (_Nutzkapitalien_.) Where it is customary for

every peasant girl to wear a gold head-dress,[231-3] and every

apprentice a medal, a penny for a rainy day is always laid by among the

lower classes. The luxury which is rapidly consumed has a tendency in

the same direction. Where the majority of the population live on

potatoes, as in Ireland, where, therefore, they are reduced to the

smallest allowance of the means of subsistence, there is no refuge in

case of a bad harvest. A people on the other hand, who live on wheat

bread may go over to rye bread, and a people who live on rye bread to

potatoes. The corn that in good years is consumed in the making of

brandy may, in bad years, be baked into bread.[231-4] And the oats

consumed by horses kept as luxuries may serve as food for man.

Pleasure-gardens (_Lustgärten_) may be considered as a kind of last

resort for a whole people in case of want of land.[231-5] [231-6]

[Footnote 231-1: Compare _Benjamin Franklin's_ charming

story, Works I, 134 ff.; ed. Robinson. _Colbert_ recommended

luxury chiefly on account of its service to production.]

[Footnote 231-2: Turkish magnates who keep several

magnificent equipages ride to the sultan's in a very bad

one. Risa Pascha, when at the height of his power, had his

house near a villa of the sultan painted in the plainest and

most unsightly manner possible. The walls of a park in

Constantinople painted half in red and half in blue, to give

it the appearance of being two _gardens_. (Alg. Zeitung, 16

Juli, 1849.) In Saxony, between 1847 and 1850, the number of

luxury horses diminished from 6.11 to 5.64 per cent. of the

total number of horses in the kingdom. (_Engel_, Jahrbuch,

I, 305.) In the same country there were coined in 1848 over

64,000 silver marks, derived from other sources than the

mines. (_Engel_, Statis. Zeitschr. I, 85.) In England, on

the other hand, the number of four-wheeled carriages

increased more than 60 per cent. between 1821 and 1841,

while the population increased only 30 per cent. (_Porter_,

Progress, V, 3, 540.)]

[Footnote 231-3: Such a head-dress may very easily be worth

300 guldens in Friesland. Gold crosses worn by the peasant

women about Paris. (_Turgot_, Lettre sur la Liberté du

Commerce des Grains.)]

[Footnote 231-4: So far it is of some significance, that

nearly all not uncivilized nations use their principal

article of food to prepare drinks that are luxuries. Thus,

the Indians use rice, the Mexicans mais, the Africans the

ignam-root. It is said that in ancient Egypt, beer-brewing

was introduced by Osiris. (_Diodor._, I, 34.) Compare

_Jeremy Bentham_, Traité de Législation, I, 160. _Malthus_,

Principle of Population, I, ch. 12; IV, ch. 11.]

[Footnote 231-5: While in thinly populated North America,

space permits the beautiful luxury in cemeteries of

ornamenting surroundings of each grave separately (_Gr.

Görtz_, Reise, 24), the Chinese garden-style seeks to effect

a saving in every respect. In keeping with this is the fact

that animal food has there been almost abolished. Compare,

besides, _Verri_, Meditazioni, XXVI, 3.]

[Footnote 231-6: _Garve_ thinks that luxury, when it takes

the direction of a great many trifles, little conveniences,

etc., has the effect of distracting the people. Here there

are few men of towering ambition or of inextinguishable

revenge, but at the same time, few entirely unselfish and

incorruptible patriots. (_Versuche_, I, 232.)]

SECTION CCXXXII.

LUXURY IN DECLINING NATIONS.

In declining nations, luxury assumes an imprudent and immoral character.

Enormous sums are expended for insignificant enjoyments. It may even be

said that costly consumption is carried on there for its own sake. The

beautiful and the true enjoyment of life makes place for the monstrous

and the effeminate.

Rome, in the earlier part of the empire, affords us an example of such

luxury on the most extensive scale.[232-1] Nero paid three hundred

talents for a murrhine vase. The two acres (_Morgen_) of land which

sufficed to the ancient citizens for a farm (_Acker_) were not now

enough to make a fish-pond for imperial slaves. The sums carried by the

exiles with them, to cover their traveling expenses and to live on for a

time, were now greater than the fortunes of the most distinguished

citizens had been in former times.[232-2] There was such a struggle

among the people to surpass one another in procuring the freshest

sea-fish that, at last, they would taste only such as they had seen

alive on the table. We have the most exalted descriptions of the

beautiful changes of color undergone by the dying fish; and a special

infusion was invented to enable the epicure better to enjoy the

spectacle.[232-3] Of the transparent garments of his time, Seneca says

that they neither protected the body nor covered the nakedness of

nature. People kept herds of sheep dyed in purple, although their

natural white must have been much more agreeable to any one with an eye

for the tasteful.[232-4] Not only on the roofs of houses were fish-ponds

to be seen, but gardens even hanging on towers, and which must have been

as small, ugly and inconvenient as they were costly.[232-5] Especially

characteristic of the time was the custom of dissolving pearls in wine,

not to make it more palatable, but more expensive.[232-6] The emperor

Caligula, from simple caprice, caused mountains to be built up and cut

away: _nihil tam efficere concupiscebat, quam, quod posse effici

negaretur_.[232-7] This is the real maxim of the third period of luxury!

People changed their dress at table, inconvenient as it was to do so,

occasionally as often as eleven times. Perfumes were mixed with the wine

that was drunk, much as it spoiled its taste, only that the drinkers

might emit sweet odors from every pore. There were many so used to being

waited on by slaves that they required to be reminded by them at what

times they should eat and when they should sleep. It is related of one

who affected superiority over others in this respect, that he was

carried from his bath and placed on a cushion, when he asked his

attendant: "Am I sitting down now?"[232-8] It is no wonder, indeed, that

an Apicius should reach out for the poisoned cup when his fortune had

dwindled to only _centies sestertium_, _i. e._, to more than half a

million thalers.[232-9]

In this last period, the coarse debauchery of the earlier periods is

added to the refined. Swarms of servants, retinues of gladiators who

might be even politically dangerous,[232-10] monster banquets, at which

Cæsar, for instance, entertained the whole Roman people, colossal

palaces such as Nero's _aurea domus_, which constituted a real city;

annoying ostentation in dress[232-11] again becomes the order of the

day. The more despotic a state becomes, the more is the craving for

momentary enjoyment wont to grow; and for the same reason that great

plagues diminish frugality and morality.[232-12]

[Footnote 232-1: _Meierotto_, Sitten und Lebensart des

Römer, II, 1776; _Boettiger_, Sabina, II, 1803;

_Friedländer_, Darstellungen aus der Sittengeschichte Roms,

Bd. III, 1868; which latter work has been written with the

aid of all that modern science can afford.]

[Footnote 232-2: _Plin._, H. N., XXXVII, 7; XVIII, 2;

_Seneca_, Quaest. Natur., I, 17; Consol. ad. Helviam, 12.]

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