The unrestrained power of capitalism very speedily reduced a large

part of England to a deplorable condition. The Mrs. Jellybys of the

philanthropic world were busy ministering to the wants of Borioboola

Gha by means of tracts and blankets, neither of which were of the

slightest use to those for whom they were intended. But Borioboola Gha

was an earthly paradise compared with civilized England. There was

not a savage in the islands of the Pacific who was not better fed,

happier, healthier, and more contented than the majority of the workers

in the industrial parts of England. Children, it was discovered, were

transferred in large numbers to the north, where they were housed in

pent-up buildings adjoining the factories, and kept to long hours of

labor. The work was carried on day and night without intermission; so

that the beds were said never to become cold, inasmuch as one batch

of children rested while another batch went to the looms, only half

the requisite number of beds being provided for all. Epidemic fevers

were rife in consequence. Medical inspectors reported the rapid spread

of malformation of the bones, curvature of the spine, heart diseases,

rupture, stunted growth, asthma, and premature old age among children

and young persons: the said children and young persons being worked by

manufacturers without any kind of restraint. Manufacturing profits in

Lancashire were being at the same time reckoned at hundreds and even

thousands per cent. The most terrible condition of things existed in

the mines, where children of both sexes worked together, half naked,

often for sixteen hours a day. In the fetid passages, children of

seven, six, and even four years of age, were found at work. Women were

employed underground, many of them even while pregnant, at the most

exhausting labor. After a child was born, its mother was at work again

in less than a week, in an atmosphere charged with sulphuric acid. In

some places women stood all day knee-deep in water and subject to an

intense heat. One woman when examined avowed that she was wet through

all day long, and had drawn coal carts till her skin came off. Women

and young children of six years old drew coal along the passages of

the mines, crawling on all fours with a girdle passing round their

waists, harnessed by a chain between their legs to the cart. A

sub-commissioner in Scotland reported that he “found a little girl,

six years of age, carrying half a cwt., and making regularly fourteen

long journeys a day. The height ascended and the distance along the

road exceeded in each journey the height of St. Paul’s Cathedral.”

“I have repeatedly worked,” said one girl seventeen years of age,

“for twenty-four hours.” The ferocity of the men was worse than that

of wild beasts; and children were often maimed and sometimes killed

with impunity. Drunkenness was naturally general. Short lives and

brutal ones were the rule. The men, it was said, “die off like rotten

sheep; and each generation is commonly extinct soon after fifty.”

Such was a large part of industrial England under the unrestrained

rule of the capitalist. There can be no doubt that far greater misery

prevailed than in the Southern States during the era of slavery. The

slave was property--often valuable property; and it did not pay his

owner to ill-treat him to such a degree as to render him useless as a

wealth-producer. But if the “free” Englishman were injured or killed,

thousands could be had to fill his place for nothing.

Had this state of things continued we should have returned to a state

of nature with a vengeance. Of man thus depicted we may say with

Tennyson:

“Dragons of the prime,

That tare each other in their slime,

Were mellow music match’d with him.”

It was evident that capitalist monopoly must be restrained, reluctant

as English statesmen brought up under the commercial system were to

interfere. The zenith of _laisser faire_ was at the close of the last

century; but a great fabric often looks most imposing shortly before

it begins to collapse. The first piece of labor legislation was the

Morals and Health Act of 1802, which interfered with the accommodation

provided to children by the employers, to which reference has been

made. The Cotton Mills Act was passed in 1819, partly owing to the

exertions of Robert Owen. It limited the age at which children

might work in factories; and it limited the time of their labor to

seventy-two hours per week. Seventy-two hours for a child of nine who

ought to have been playing in the green fields! And even that was a

vast improvement on the previous state of things. Saturday labor was

next shortened by an Act passed by the Radical politician, Sir John

Cam Hobhouse, in 1825. Workmen, Radicals, Tories and Philanthropists

then joined in an agitation under Mr. Richard Oastler, a Conservative

member of Parliament, to secure a Ten Hours’ Bill. Hobhouse tried by

a Bill introduced in 1831 to reduce the time in textile industries;

but he was beaten by the northern manufacturers. However, Althorp, the

Whig leader, who had helped to defeat Hobhouse, was obliged himself

to introduce a measure by which night work was prohibited to young

persons, and the hours of work were reduced to sixty-nine a week.

Cotton-mill owners were at the same time disqualified for acting as

justices in cases of infringement of the law. This measure is regarded

by Dr. E. Von Plener in his useful manual as the first real Factory

Act. Mr. Thomas Sadler, who had succeeded Oastler as leader in the

cause of the factory operatives, brought in a Bill in 1832 limiting the

hours of labor for persons under eighteen; but it was met by a storm of

opposition from manufacturing members and withdrawn.

To Sadler succeeded that excellent man, who has perhaps done more for

the working-classes than any other public man of our time, Lord Ashley,

better known as Lord Shaftesbury. And here let me pause to point out

that it was the Radicals and a large section of the Tories who took

the side of the operatives against the Whigs, official Conservatives

and manufacturing class. The latter class is sometimes regarded as

Liberal. I think the truth is, that it captured and held for some

time the Liberal fort, and made Liberalism identical with its policy

and interests. If the men of this class had the cynical candor of

Mr. Jay Gould, they might have imitated his reply when examined by a

legislative committee: “What are your politics, Mr. Gould?” “Well,

in a Republican district I am Republican, in a Democratic district

I am a Democrat; but I am always an Erie Railroad man.” One of Lord

Ashley’s strong opponents was Sir Robert Peel, the son of a Lancashire

capitalist; but the most bitter and persistent was Mr. John Bright.

Lord Ashley introduced a Ten Hours’ Bill which included adults. Lord

Althorp refused to legislate for adults, but himself passed an Act in

1833 prohibiting night work to those under eighteen; fixing forty-eight

hours per week as the maximum for children, and sixty-nine for young

persons; also providing for daily attendance at school, and certain

holidays in the year. As this Act repealed that of 1831, manufacturers

were again eligible to sit as justices in factory cases; and although

numerous infractions were reported by inspectors, the offenders in many

cases got off scot free. In 1840 Lord Ashley brought to the notice of

Parliament the condition of young people employed in mines; and through

his activity was passed the first Mining Act, prohibiting underground

work by women and by boys under ten. Peel then passed a consolidating

Factory Act in 1844. Lord Ashley proposed to restrict to ten per day

the working hours for young persons; but Peel defeated the proposal by

threatening to resign if it were carried. By the Act of 1844 the labor

of children was limited to six and a half hours per day; and they had

to attend school three hours daily during the first five days of the

week. The next year, 1845, Lord Ashley secured the passage of a Bill

forbidding night work to women. In 1847 Mr. Fielden introduced a Bill

limiting the time of labor for all women and young persons to eleven

hours per day, and after May, 1848, to ten hours. Peel and the factory

owners opposed; but the Bill was carried. The Act of 1850 further

reduced the legal working day for women and young persons; and an Act

of 1853 prohibited the employment of children before 6 A.M. or after 6

P.M. In 1860 bleaching and dyeing works were subjected to the factory

laws. Further legislation on this branch of industry took place in

1870. A Mines Act was passed in 1860, and made more stringent in 1862

with reference to safety and ventilation. Acts with reference to the

lace industry were passed in the years 1861-64, to bakehouses in 1863,

chimney-sweeping and pottery works in 1864. The Workshops Regulation

Act, relating to small trades and handicrafts, was passed in 1867, and

a consolidating Factory and Workshops Act in 1871. The Act now in force

is the Factory and Workshops Act, 1878, modified in respect of certain

industries by the Act of 1883. Further Acts relative to the regulations

of mines were passed in 1872 and 1887.

This brief and imperfect survey of the legislation which has destroyed

the _régime_ of _laisser faire_ is sufficient for my purpose to

prove: (1) That with private property in the necessary instruments of

production, individual liberty as understood by the eighteenth century

reformers must be more and more restricted, _i. e._, that in our

existing economic condition individualism is impossible and absurd.

(2) That even hostile or indifferent politicians have been compelled

to recognize this. (3) That unrestrained capitalism tends as surely to

cruelty and oppression as did feudalism or chattel slavery. (4) That

the remedy has been, as a matter of fact, of a Socialistic character,

involving collective checking of individual greed and the paring of

slices off the profits of capital in the interests of the working

community. These four propositions can scarcely be contested.

The immense development of English industry under the conditions

previously set forth was due in great degree to the fact that England

had secured an immense foreign market in which she had for a long time

no formidable rival. Most of the wars in which England was engaged

during the eighteenth century are quite unintelligible until it is

understood that they were commercial wars intended to secure commercial

supremacy for England. The overthrow of the Stuart monarchy was

directly associated with the rise to supreme power of the rich middle

class, especially the London merchants. The revolution of 1688 marks

the definite advent to political power of this class, which found

the Whig party the great instrument for effecting its designs. The

contrast between the old Tory squire who stood for Church and King,

and the new commercial magnate who stood by the Whigs and the House

of Hanover, is well drawn by Sir Walter Scott in “Rob Roy.” The Banks

of England and Scotland and the National Debt are among the blessings

conferred on their descendants by the new mercantile rulers. They also

began the era of corruption in politics which is always connected

closely with predominance of capitalists in the State, as we see in

France, the United States and the British Colonies. “The desire of

the moneyed classes,” says Mr. Lecky,[52] “to acquire political power

at the expense of the country gentlemen was the first and one of the

chief causes of that political corruption which soon overspread the

whole system of parliamentary government.” What remained of the old

aristocracy often found it convenient to form alliances with the new

plutocracy; and it was this combination which governed England during

the eighteenth century, and which specially determined her foreign

policy. That policy was directed towards the securing of foreign

markets and the extension of English trade. Napoleon’s sneer at the

“nation of shopkeepers” was not undeserved. The conquest of Canada, the

conquest of India under Clive and Warren Hastings--the latter an agent

of a great capitalist body, who illustrated well in his Indian career

the methods of his class--the Colonial policy, the base destruction of

Irish manufactures in the interest of English capitalists, were all

part of the same scheme. The policy was successfully consummated in

the war waged by Pitt against the French Revolution. That revolution

was itself brought about mainly by poverty. Not only was the French

peasantry beggared; but some of the new machinery which had been

brought from England had thrown many persons out of work. It was mainly

unemployed workmen who stormed and captured the Bastille.[53] The chief

counterblast to the Revolution was prepared by Pitt. What were his

motives? The Austrian and Prussian monarchs, the emigrant nobles, the

imbecile English king and the Tory English bishops may perhaps have

seriously believed that England was fighting for altar and throne. But

Pitt was under no such delusion. While he derived from his illustrious

father a real pride in England, his divinities were rather the ledger

and the cash-box. He was no bigot: even while an undergraduate at

Cambridge he was a close student of Adam Smith; he started in public

life as a reformer, and his refusal to bow to the ignorant prejudices

of George III cost him office in 1801. It has been abundantly proved

that at first he felt no violent antipathy to the Revolution. A long

period elapsed before he was brought to join the monarchical alliance.

But he was essentially the great capitalist statesman, the political

successor of Walpole, the political predecessor of Peel. He saw that

French conquest might threaten seriously the English social fabric, and

that if England’s chief rival were struck down, the English commercial

class might gain control of the world’s commerce. To secure that end he

skilfully welded together all the moneyed interests, the contractors,

landlords, financiers and shopkeepers; and he tried to persuade the

simpler portion of the country that he was fighting for the sacred

cause of religion and morality. Those who resisted him he flung into

prison or transported beyond the seas. When the long war was brought to

an end, the working-classes were in a wretched condition; although in

those days also there were sophistical politicians who tried to prove

that never had the people so much reason to be contented. When, in

1823, the Lancashire weavers petitioned Parliament to look into their

grievances, an honorable member, who had presumably dined well if

not wisely, had the audacity to declare that the weavers were better

off than the capitalists--an observation not dissimilar to those we

have heard in more recent times. As a matter of fact, the landlords,

through protection and high rents--the capitalists, through enormous

profits, were enriched “beyond the dreams of avarice.” But the time

had come for a conflict between these two classes: the conflict which

is known as the Free Trade controversy. Protection was no longer

needed by the manufacturers, who had supremacy in the world-market,

unlimited access to raw material, and a long start of the rest of the

world in the development of machinery and in industrial organization.

The landlord class, on the other hand, was absolutely dependent on

Protection, because the economic isolation of England by means of

import duties maintained the high prices of food which were the source

of the high agricultural rents. Capitalist interests, on the contrary,

were bound up with the interaction between England and the rest of the

world; and the time had come when the barriers which had prevented that

interaction must be pulled down. The triumph of Free Trade therefore

signifies economically the decay of the old landlord class pure and

simple, and the victory of capitalism. The capitalist class was

originally no fonder of Free Trade than the landlords. It destroyed in

its own interest the woollen manufacture in Ireland; and it would have

throttled the trade of the Colonies had it not been for the successful

resistance of Massachusetts and Virginia. It was Protectionist so long

as it suited its purpose to be so. But when cheap raw material was

needed for its looms, and cheap bread for its workers: when it feared

no foreign competitor, and had established itself securely in India, in

North America, in the Pacific; then it demanded Free Trade. “Nothing in

the history of political imposture,” says Mr. Lecky, “is more curious

than the success with which, during the Anti-Corn Law agitation, the

notion was disseminated that on questions of Protection and Free Trade

the manufacturing classes have been peculiarly liberal and enlightened,

and the landed classes peculiarly selfish and ignorant. It is indeed

true that when in the present century the pressure of population

on subsistence had made a change in the Corn Laws inevitable, the

manufacturing classes placed themselves at the head of a Free Trade

movement from which they must necessarily have derived the chief

benefit, while the entire risk and sacrifice were thrown upon others.

But it is no less true that there is scarcely a manufacture in England

which has not been defended in the spirit of the narrowest and most

jealous monopoly; and the growing ascendancy of the commercial classes

after the Revolution is nowhere more apparent than in the multiplied

restrictions of the English Commercial Code.”[54]

Cheap raw material having been secured by the English manufacturer

through a series of enactments extending over a generation; and

machinery having been so developed as to enormously increase

production, England sent her textile and metal products all over the

world; and her manufacturers supported exactly that policy which

enabled them to secure markets for their goods or raw produce to work

up in their mills. Cobdenism was in the ascendant; and the State was

more and more regarded from the commercial point of view. The so-called

“Manchester school” was in the main a peace party, because war weakens

that confidence on which commerce is based. But this attachment to

peace principles did not prevent Cobden himself from declaring for a

powerful navy as an instrument of commercial insurance. Nor did it

prevent Manchester from supporting Palmerston’s nefarious Chinese

policy in 1857, or the equally nefarious aggression in Egypt in 1882:

both being regarded as helpful to Manchester trade. In behalf of this

extension of English trade to new markets war has been made on China,

Egypt, the Soudan, Burmah, and Thibet. Germany follows England with

cautious tread. Adventurers like Emin, Stanley, and Bartelott are

employed to “open up” Africa to the gentle influences of civilization

by the agency of rum and revolver, under the pretence of putting down

the slave trade. France, not to be behind, exploits Tonquin in the

interests of Paris speculators. An unscrupulous government in Italy

attempts to divert the attention of the country from domestic reforms

to expeditions in Africa in the interests of moneyed people in Europe.

Perhaps the greatest move is yet to come: the move on the vast market

of China. For this England, America, France, and Germany will compete.

Tentative steps are already being taken. By her absorption of Burmah

and her operations in Thibet, England is approaching nearer to China.

By her acquisition of Tonquin, France has been brought into actual

contact with China. America will probably, by a judicious reduction

of her tariff, compete with England all over the Pacific, and will

send her goods from the Atlantic ports through the Panama or Nicaragua

Canal of the near future. In short, the machinery for the wholesale

exploitation of Asia and Africa is in rapid progress. The whole globe

will soon be the private property of the capitalist class.

The appropriation of the planet has been powerfully aided by the

developments of transport and communication in our time: indeed, it

would have been impossible without them. The mere application of

machinery to production could not have produced the economic results

of to-day but for the shrinkage of the globe caused by railways and

telegraphs. For it is through these inventions that the capitalist

class has become cosmopolitan, has broken up old habits, destroyed

local associations, spared nothing either beautiful or venerable

where profit was concerned. It has assimilated the conditions of life

in various lands, and has brought about a general uniformity which

accounts for much of the ennui felt in modern life.

As England was the first country to develop machine industry, so

was she the first to develop railways and to form a powerful steam

mercantile marine. Through the latter agency she has now in her

hands about sixty-four per cent of the carrying trade of the world.

Within sixty years about 350,000 miles of railway have been built

throughout the globe. Atlantic and Pacific are united by several

lines of steel; while the locomotive has penetrated remote regions

of Africa inhabited by barbarous tribes, and wastes of central Asia

where it confronts the relics of the dead and buried civilizations.

This immense power, the greatest in the modern world, is mainly in

the hands of monopolist corporations, among whom there is the same

necessary tendency to aggregation, only far more marked, as is found

in productive industries. The first small lines built to connect towns

not far off have been added to others bit by bit; as from the original

Stockton and Darlington Railway, less than twenty miles long, we get

the great and wealthy North Eastern Railway of to-day. In America a

single corporation controls as much as 7,000 miles of rail: and the

end of the century will perhaps see the great Siberian Pacific in

actual existence. As in railways, so in steam vessels. Huge fleets

like the Cunard, the Orient, the Messageries Maritimes, are owned by

cosmopolitan capital, and sustain the traffic and commerce, not of a

country, not even of a continent, but of the whole world. Such is the

immense revolution in the methods of distribution effected in our time

by the operation of capitalism.

We must now consider what the term “capitalist” is coming to signify.

Had the term been used half a century ago it would have connoted a

class, unscrupulous perhaps in the main, with low aims, little culture,

and less fine sympathy or imagination. It was nevertheless a socially

useful class, which at that time performed real service. It is a

leading thought in modern philosophy that in its process of development

each institution tends to cancel itself. Its special function is born

out of social necessities: its progress is determined by attractions

or repulsions which arise in society, producing a certain effect which

tends to negate the original function. Thus early society among the

Aryan peoples of Europe develops a leader in war or council who grows,

by processes which in England, _e. g._, can be clearly traced, into a

king with genuine functions, a leader of the people in war like William

I, or a powerful civil ruler and statesman like Henry I. The fact that

such men were brutal or wicked is of little account: the important

fact about them is, that in a barbarous chaotic society they performed

some indispensable services. But the very putting forth of the kingly

power arouses antagonism; then produces armed resistance by a combined

group; and finally leads to overthrow either by the destruction of the

king or by depriving him of all real power and reducing him to a mere

ornamental puppet. The very power originally believed to be beneficent

becomes tyrannical: it needs to be checked more and more, until finally

it practically ceases to exist, and the curious paradox is seen of a

monarch who does not rule. History proves abundantly that men do not

rise and overthrow wicked and corrupt rulers merely because they are

wicked and corrupt. It is part of the terrible irony of history that

a Louis XV dies in his bed, while a William the Silent or a Lincoln

falls a victim to the assassin. What men do not long tolerate is either

obstructiveness or uselessness.

Now, if we apply these ideas to the evolution of the capitalist,

what is it we see? The capitalist was originally an _entrepreneur_,

a manager who worked hard at his business, and who received what

economists have called the “wages of superintendence.” So long as

the capitalist occupied that position, he might be restrained and

controlled in various ways; but he could not be got rid of. His “wages

of superintendence” were certainly often exorbitant; but he performed

real functions; and society, as yet unprepared to take those functions

upon itself, could not afford to discharge him. Yet, like the King, he

had to be restrained by the legislation already referred to; for his

power involved much suffering to his fellows. But now the capitalist is

fast becoming absolutely useless. Finding it easier and more rational

to combine with others of his class in a large undertaking, he has

now abdicated his position of overseer, has put in a salaried manager

to perform his work for him, and has become a mere rent or interest

receiver. The rent or interest he receives is paid for the use of a

monopoly which not he, but a whole multitude of people, created by

their joint efforts.

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