No doubt the proprietor will now get £5 more (I assume the rate of
interest to be 5 per cent.); but he gets this addition at the expense
of nobody. On the contrary, the purchaser will derive a still greater
profit. [p349]
The field we have supposed having been formerly at a distance from
the market, was made to produce little, and on account of the
difficulty of transit what was sent to market sold at a high price.
Now, production is stimulated, and transport made cheaper, a greater
quantity of wheat comes to market, and comes there at less cost, and
is sold cheaper. Whilst yielding the proprietor a total profit of £5,
its purchaser, as we have already said, may realize a still greater
profit.
In short, an economy of power has been realized. For whose benefit?
For the benefit of both of the contracting parties. According to what
law is this gain distributed? According to the law which we have
described in the case of capital, seeing that this augmentation of
value is itself capital.
When capital increases, the portion falling to the proprietor or
capitalist increases in absolute value and diminishes in relative
value; while the portion falling to the labourer (or consumer)
increases both in absolute and relative value. . . . .
Observe how this takes place. In proportion as civilisation
advances, lands which are situated near populous centres rise in
value. Productions of an inferior kind in such places give way to
productions of a superior description. First of all, pasture gives
way to cereal crops, then cereal crops give way to market gardening.
Products are brought from a greater distance at less cost, so that
(and this in point of fact is incontestable) meat, bread, vegetables,
even flowers, are sold in such places cheaper than in neighbourhoods
less advanced, although manual labour costs more. . . . . . .