CHAPTER V

REPUDIATION OF MARX BY MODERN SOCIALISTS.

THEIR RECOGNITION OF DIRECTIVE ABILITY

In saying that, up to the point which our argument has thus far reached,

the more thoughtful among the socialists to-day concede and even assert

its truth, I have evidence in view of a very opposite kind. When I

delivered, as I did recently, a series of addresses on socialism to

various meetings in America, I approached the subject in the manner in

which I have approached it here. I began with the process of production

pure and simple, and I showed how crude and childish, as applied to

production in modern times, was the analysis of Marx and all the earlier

socialists. I showed, as I have shown here, that, the amount of labour

being given, the quantity and quality of wealth that will result from

its exercise depend on the ability with which by means of wage-capital

this labour is directed.

The two addresses in which these points were elaborated had no sooner

been delivered than, from all parts of the country, through newspapers

and private letters, and sometimes by word of mouth, socialists of

various types addressed themselves to the business of replying to me.

These replies, whatever may have been their differences otherwise, all

took the form of a declaration that I was only wasting my time in

exposing the doctrine that labour is the sole producer of wealth, and in

laying such stress on the part played by directive ability; for no

serious socialist of the present day any longer believed the one, or

failed to recognise the other. Thus one of my critics told me that what

I ought to do was "to discuss the principles of socialism as understood

and accepted by the intelligent disciples, and not the worn-out and

discredited theories of Marx." Another was good enough to tell me that I

had "cleverly accomplished the task of exposing the errors of Marx, both

of premise and of logic"; but the leaders of socialistic thought "in its

later developments" had, he proceeded to say, long ago outgrown these. A

third wrote me a letter bristling with all kinds of challenges, and

asked me if I thought, for example, that socialists were such fools as

not to recognise that the talents of an inventor like Mr. Edison

increased the productivity of labour by the new direction which they

gave to it. I might multiply similar quotations, but one more will be

enough here. It is taken from a long article directed against myself by

Mr. Hillquit--a writer to whom my special attention was called as by far

the most accomplished exponent, among the militant socialists of

America, of socialism in its most logical and most highly developed

form. "It requires," said Mr. Hillquit, "no special genius to

demonstrate that all labour is not alike, nor equally productive. It is

still more obvious that common manual labour is impotent to produce the

wealth of modern nations--that organisation, direction, and control are

essential to productive work in the field of modern production, and are

just as much a factor in it as mere physical effort."[3]

But we need not confine ourselves to my own late critics in America. The

general history of socialism as a reasoned theory is practically the

same in one country as in another. The intellectual socialists in

England, among whom Mr. Bernard Shaw and Mr. Sidney Webb are prominent,

express themselves in even plainer terms with regard to the part which

directive ability, as opposed to labour, plays in the modern world.

"Ability," says Mr. Shaw, employing the very word, is often the factor

which determines whether a given industry shall make a loss of five per

cent. or else a profit of twenty; and Mr. Webb, as we shall have

occasion to see presently, carries the argument further, and states it

in greater detail.

Why, then, it may be asked, should a critic of contemporary socialism

think it worth while to expose with so much minuteness a fallacy which

intellectual socialists now all agree in repudiating, and to insist with

such emphasis on facts which they profess to recognise as self-evident?

To this question there are two answers.

One of these I indicated at the close of our opening chapter; and this

at the cost of what in logic is a mere digression, it will be desirable,

for practical purposes, to state it with greater fulness.

Admissions and assertions, such as those which I have just now quoted,

do, no doubt, represent a definite intellectual advance which has taken

place in the theory of socialism, among those who are its most

thoughtful exponents, and in a certain sense its leaders. They represent

what these leaders think and say among themselves, and what they put

forward when disputing with opponents who are competent to criticise

them. But what they do not represent is socialism as still preached to

the populace, or the doctrine which is still vital for socialists as a

popular party. This is still, just as it was originally, the socialism

of Marx in an absolutely unamended form. It is the doctrine that the

manual efforts of the vast multitude of labourers, directed only by the

minds of the individual labourers themselves, produce all the wealth of

the world; that the holding of any of this wealth by any other class

whatever stands for nothing but a system of legalised plunder; and that

the labourers need only inaugurate a legislation of a new kind in order

to secure and enjoy what always was by rights their own. Let me

illustrate this assertion by two examples, one supplied to us by

England, the other by America.

In England the body which calls itself the Social Democratic Federation,

and represents at this moment socialism of the more popular kind, began

its campaign with a manifesto which was headed with the familiar words,

"All wealth is due to labour; therefore to the labourer all wealth is

due." This text or motto was followed by certain figures, with regard to

the total income of Great Britain, and the manner in which it is at

present distributed. Labour was represented as getting less than

one-fourth of the whole, and the labourers were informed that if they

would but "educate themselves, agitate, and organise," the remaining

three-fourths would automatically pass into their possession. This

document, it is true, was issued some twenty years ago;[4] but that the

form which socialism takes, when addressed to the masses of the

population, has not appreciably altered from that day to this, will be

made sufficiently clear by the following pertinent fact. Shortly after

my arrival in America, in the winter of 1907, the most active

disseminator of socialistic literature in New York sent me, by way of a

challenge, a new and very spruce volume, which contained the most

important of his previous leaflets and articles, collected and

republished, and claiming renewed attention. The first of these--and it

was signalised by an accompanying advertisement as fundamental--bore the

impressive title of, "Why the Working Man should be a Socialist," and

the answer to this question is given in the writer's opening words. "You

know," he says, addressing any labourer and the street-worker, "or you

ought to know, that you alone produce all the good things of life; and

you know, or you ought to know, that by so simple a process as that of

casting your ballot intelligently you will be able"--to do what? The

writer explains himself in language which, except for a difference in

his statistics, is almost a verbal repetition of that of his English

predecessors. He specifies two sums, one representing the income which

each working-man in America would receive were the entire wealth of the

country divided equally among the manual labourers; the other

representing the income which, on an average, he actually receives as

wages; and the writer tells every working man that, by "merely casting

his ballot intelligently," he can secure for himself the whole

difference between the larger sum and the less.[5]

But the fact that the Marxian doctrine of the all-productivity of

labour, and the consequent economic nullity of all other forms of

effort, still supplies the main ideas by which popular socialism is

vitalised, is shown perhaps even more distinctly by the popular hopes

and demands which result from this doctrine indirectly than it is by the

direct reassertion of the formal doctrine itself. One of the members of

the Parliamentary Labour party in England celebrated his success at the

polls by a letter to the _Times_, proclaiming that socialism was a

moral quite as much as an economic movement, and that an object which to

socialists was dearer even than the seizure of the riches of the rich,

was the achievement of "economic freedom," or, in other words, the

"emancipation of labour," or, in other words again, the abolition of the

system which he described as "wagedom." I merely mention the particular

letter in question in order to remind the reader of these familiar

phrases, which are current in every country where the theory of

socialism has spread itself.

Now, what does all this talk about the emancipation of labour mean? It

can only mean one or other of two things: either that the economic

prosperity of every nation in the future will depend on the emancipation

of every average mind from the guidance of any minds that are in any way

superior to itself, or are able to enhance the productivity of an

average pair of hands--a proposition so ludicrous that nobody would

consciously assent to it; or else it means a continued assent to the

theory which fails to correlate labour with directive ability at all,

and so never raises the question of whether the latter is necessary or

no.

What, then, becomes of that chorus of vehement protestations, with which

my critics in America were all so eager to overwhelm me, to the effect

that socialists to-day recognise as clearly as I do that "common manual

labour," as Mr. Hillquit puts it, "is impotent to produce the wealth of

modern nations," apart from the "organisation and control" of the minds

most competent to direct it? That the more intellectual socialists of

to-day do recognise this fact--some with greater and some with less

distinctness--is the very point on which I am anxious to insist. We

shall have abundant opportunities for considering it later on. For the

moment, however, I pause to ask them the following question.

Recognising, as they do, and eagerly proclaiming as they do, whenever

they address themselves to those who are capable of serious dispute with

them, that the original theory of socialism, which was the creed of such

bodies as the International, is absolutely false in itself, and in many

of the expectations which it stimulates, why do not they set themselves,

whenever they address the multitude, to expose and repudiate a fallacy

in which they no longer believe? Do they do this? Do they make an

attempt to do this? On the contrary, as a rule, though there are

doubtless many honourable exceptions, they endeavour to hide from the

multitude their intellectual change of front altogether; and, instead of

insisting that the undirected labour of the many is, in the modern

world, impotent to produce anything, they continue to speak of it as

though it produced everything, and as though no class other than the

labouring fulfilled any economic function or had any right to exist.[6]

Let me give the reader an example, which is curiously apt here. It is

taken from Mr. Hillquit's own attack on myself, which filled the front

sheet of a newspaper, and was distributed to the public at the door of

one of the buildings in which I spoke. Of the short passages, amounting

to some twenty lines out of six hundred, in which alone he condescended

to detailed argument, the first is that in which, as we have already

seen, he declares that all socialists know, without any instruction on

my part, that common manual labour, unless it is directed by ability, is

"impotent to produce the wealth of modern nations." But having made this

admission with much blowing of trumpets, he immediately drops it, and

instead of developing its consequences, he diverts the attention of his

readers from it by a long series of irrelevancies; nor does he return to

the question of directive ability at all till he is nearing the end of

his discourse, when he suddenly takes it up again, declaring that he

will meet and refute me on ground which I myself have chosen, and show

that wealth--at all events in the commercial sense--is still produced by

manual labour alone. He refers to my selection of the case of a printed

book, as illustrating, in the manner explained in an earlier chapter,

the part which directive ability plays in modern production. The

economic value of an edition of a printed book, I said, as the reader

will remember, depends in the most obvious way, not on the labour of

compositors, but on the quality of the directions which the author

imposes on this labour through his manuscript--the author's mind being

typical of directive ability generally. And what has Mr. Hillquit--the

intellectual Ajax of the socialists--got to say about this? "Whether a

book," he says, "is a work of genius or mere rubbish will largely affect

its literary or artistic value; but it will have very little bearing on

its economic or commercial value." This, he goes on to argue, will,

despite all my objections, be found to depend on ordinary manual labour,

of which the labour of the hands of the compositors is that which

concerns us most. Nothing, according to him, can be more evident than

this. "For the market price," he says, "of a wretched detective story,

of the same length as Hamlet, and printed in the same way, will be

exactly the same as that of a copy of Hamlet itself."

Now, if we consider Mr. Hillquit as a purely literary critic, we can but

admire his subtlety in discovering that the literary value of a book is

largely affected by the fact of the book's not being rubbish; but when

he descends from pure criticism to economics, it is difficult, unless we

suppose him to have taken leave of his senses, to imagine that he can

himself believe in the medley of nonsense propounded by him. For what

he is here doing--or more probably pretending to do--is to confuse the

cost of producing an edition of a book with the commercial value of that

edition when produced. The labour in question no doubt determines the

price at which the printed paper can be sold at a profit, or without

loss; but the number of copies which the public will be willing to buy,

or, in other words, the value of the edition commercially, depends on

qualities resident in the mind of the author, which render the book

attractive to but few readers, or to many. Whether these qualities

amount to genius in the higher sense of the word, or to nothing more

than a knack of titillating the curiosity of the vulgar, does not affect

the question. In either case--and this is the sole important fact--they

are qualities of the author's mind, and of the author's mind alone; and

the labour of the compositors conduces to the production of a pile of

volumes which is of large, of little, or of no value commercially, not

according to the dexterity with which this labour is performed, but

according to the manner in which the author's mind directs it.

Than any human being who is capable of perceiving that the literary

quality of a book is largely affected by the fact of the book's not

being rubbish, should seriously suppose that the saleable value of

editions--whether they are editions of a popular novel, or of a treatise

on the conchology of Kamchatka, is proportionate to the number of

letters in them arranged in parallel lines--for Mr. Hillquit's argument

means neither more nor less than this--is, let me repeat, incredible.

What, then, is the explanation of his indulging in a performance of this

degrading kind? The explanation is that he, like so many of his

colleagues, though recognising personally that labour among "modern

nations" depends for its higher productivity on the picked men who

direct it, cannot bring himself to renounce, when he is making his

appeal to the masses, the old doctrine that they are the sole producers;

and accordingly having started with the ostentatious admission that

directive ability is as essential to production as labour is, he

endeavours by his verbal jugglery with the case of a printed book to

convey the impression that labour produces all values after all; and he

actually manages to wind up with a repetition of the old Marxian moral

that the profits of ability mean nothing but labour which has not been

paid for.[7]

One of my reasons, then, for beginning the present examination of

socialism with exposing the fallacy of principles which the intellectual

socialists of to-day are so eager to proclaim that they have long since

abandoned, is the fact that these principles are still the principles of

the multitude; that for practical purposes they are those which most

urgently require refutation; and that the intellectual socialists who

have doubtless repudiated them personally, not only do not attempt to

discredit them in the eyes of the ignorant, but themselves continue to

appeal to them as instruments of popular agitation.

My other reason for following the course in question is that the theory

of socialism in its higher and more recent forms, which recognises

directive intellect in addition to manual effort as one of the forces

essential to the production of modern wealth, cannot be understood and

estimated in any profitable way, without a previous examination of those

earlier doctrines and ideas, some of which it still retains, while it

modifies and rejects others.

And now let us take up again the thread of our main argument. We laid

this down early in the present chapter, having emphasised the fact that,

the intellectual socialists of to-day agree, on their own admission,

with one proposition at all events which has been elucidated in this

volume--namely, that labour alone, as one of their spokesmen puts it,

"is impotent to produce the wealth of modern nations," the faculties and

the functions of the minority by whom labour is directed and organised

being no less essential to the result than the labour of the majority

itself. In the following chapter we shall see that this agreement

extends yet further.

FOOTNOTES:

[3] Mr. Hillquit--a lawyer, who has adopted the business of propagating

socialism in America--is unknown in England; but his name, not long ago,

was to be found in the English papers, as that of one of the

representatives sent from America to a recent Socialistic Congress in

Europe. Amongst the socialists of the United States he holds a position

analogous to that enjoyed by Mr. Shaw, Mr. Webb, and Mr. Ramsey

Macdonald in England.

[4] Whilst this work was in the press a "Catechism," lately published in

England, for use of children, was sent me. It was proposed to use this

Catechism on Sundays in the London County Council Schools. The first

economic "lesson" in it begins thus: "Who creates all wealth? The

working-class. Who are the workers? Men who work for wages." All who are

not wage-workers are declared in this catechism to be absolutely idle

and not productive.

[5] The writer of this leaflet, Mr. Wilshire, has subsequently declared

in his published criticisms of myself, that I impute to socialists what

no socialists really say, and contends that, when he thus speaks of

"working-men" and "labourers," he includes all men who contribute

anything to the productive forces of a country--inventors like Mr.

Edison, and millionaire captains of industry, in so far as they are

active agents, and not mere recipients of interest. But that such is not

the meaning which he conveys, or desires to convey, to those to whom his

leaflet addresses itself, is plainly shown by his statistics, if by

nothing else; for the share of the national income, which goes, as he

asserts, to "labour," is avowedly the amount which, according to his

estimate, is paid to-day in America, as weekly wages to the mass of

manual labourers. To say that labour _in its more extended sense_ is the

producer of all wealth, is a mere meaningless platitude. It is to say

that there would be no wealth without effort of some kind. Does Mr.

Wilshire seriously wish us to believe that he is telling Mr. Edison that

"if he will only cast his ballot intelligently" he will be able to

treble his income at the expense of richer men?

[6] This applies to England no less than to America. Whenever any one of

the more educated amongst the socialistic agitators is taxed with

maintaining the popular doctrines of socialism with regard to labour, he

at once repudiates them, and accuses his opponents of imputing to him

and his fellows childish fallacies which no one in his senses would

maintain; but the propagation of these fallacies amongst the more

ignorant sections of the population continues just the same.

[7] According to Mr. Hillquit, Dickens, for example, made his whole

fortune by robbing his compositors.

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