Under the impulse of such ideas men do not become religious or wise or

artistic; for religion and wisdom and art imply the acceptance of

limitations. But they become powerful and rich. They inherit the

earth and change the face of nature, if they do not possess their own

souls; and they have that appearance of freedom which consists in the

absence of obstacles between opportunities for self-advancement and

those whom birth or wealth or talent or good fortune has placed in a

position to seize them. It is not difficult either for individuals or

for societies to achieve their object, if that object be sufficiently

limited and immediate, and if they are not distracted from its {32}

pursuit by other considerations. The temper which dedicates itself to

the cultivation of opportunities, and leaves obligations to take care

of themselves, is set upon an object which is at once simple and

practicable. The eighteenth century defined it. The twentieth century

has very largely attained it. Or, if it has not attained it, it has at

least grasped the possibilities of its attainment. The national output

of wealth per head of population is estimated to have been

approximately $200 in 1914. Unless mankind chooses to continue the

sacrifice of prosperity to the ambitions and terrors of nationalism, it

is possible that by the year 2000 it may be doubled.

{33}

IV

THE NEMESIS OF INDUSTRIALISM

Such happiness is not remote from achievement. In the course of

achieving it, however, the world has been confronted by a group of

unexpected consequences, which are the cause of its _malaise_, as the

obstruction of economic opportunity was the cause of social _malaise_

in the eighteenth century. And these consequences are not, as is often

suggested, accidental mal-adjustments, but flow naturally from its

dominant principle: so that there is a sense in which the cause of its

perplexity is not its failure, but the quality of its success, and its

light itself a kind of darkness. The will to economic power, if it is

sufficiently single-minded, brings riches. But if it is single-minded

it destroys the moral restraints which ought to condition the pursuit

of riches, and therefore also makes the pursuit of riches meaningless.

For what gives meaning to economic activity, as to any other activity

is, as we have said, the purpose to which it is directed. But the

faith upon which our economic civilization reposes, the faith that

riches are not a means but an end, implies that all economic activity

is equally estimable, whether it is subordinated to a social purpose or

not. Hence it divorces gain from service, and justifies rewards for

which no function is performed, or which are out of all proportion to

it. Wealth in modern societies is distributed according to {34}

opportunity; and while opportunity depends partly upon talent and

energy, it depends still more upon birth, social position, access to

education and inherited wealth; in a word, upon property. For talent

and energy can create opportunity. But property need only wait for it.

It is the sleeping partner who draws the dividends which the firm

produces, the residuary legatee who always claims his share in the

estate.

Because rewards are divorced from services, so that what is prized most

is not riches obtained in return for labor but riches the economic

origin of which, being regarded as sordid, is concealed, two results

follow. The first is the creation of a class of pensioners upon

industry, who levy toll upon its product, but contribute nothing to its

increase, and who are not merely tolerated, but applauded and admired

and protected with assiduous care, as though the secret of prosperity

resided in them. They are admired because in the absence of any

principle of discrimination between incomes which are payment for

functions and incomes which are not, all incomes, merely because they

represent wealth, stand on the same level of appreciation, and are

estimated solely by their magnitude, so that in all societies which

have accepted industrialism there is an upper layer which claims the

enjoyment of social life, while it repudiates its responsibilities.

The _rentier_ and his ways, how familiar they were in England before

the war! A public school and then club life in Oxford and Cambridge,

and then another club in town; London in June, when London is pleasant,

the moors in August, and pheasants in October, Cannes in {35} December

and hunting in February and March; and a whole world of rising

bourgeoisie eager to imitate them, sedulous to make their expensive

watches keep time with this preposterous calendar!

The second consequence is the degradation of those who labor, but who

do not by their labor command large rewards; that is of the great

majority of mankind. And this degradation follows inevitably from the

refusal of men to give the purpose of industry the first place in their

thought about it. When they do that, when their minds are set upon the

fact that the meaning of industry is the service of man, all who labor

appear to them honorable, because all who labor serve, and the

distinction which separates those who serve from those who merely spend

is so crucial and fundamental as to obliterate all minor distinctions

based on differences of income. But when the criterion of function is

forgotten, the only criterion which remains is that of wealth, and an

Acquisitive Society reverences the possession of wealth, as a

Functional Society would honor, even in the person of the humblest and

most laborious craftsman, the arts of creation.

So wealth becomes the foundation of public esteem, and the mass of men

who labor, but who do not acquire wealth, are thought to be vulgar and

meaningless and insignificant compared with the few who acquire wealth

by good fortune, or by the skilful use of economic opportunities. They

come to be regarded, not as the ends for which alone it is worth while

to produce wealth at all, but as the instruments of its {36}

acquisition by a world that declines to be soiled by contact with what

is thought to be the dull and sordid business of labor. They are not

happy, for the reward of all but the very mean is not merely money, but

the esteem of their fellow-men, and they know they are not esteemed, as

soldiers, for example, are esteemed, though it is because they give

their lives to making civilization that there is a civilization which

it is worth while for soldiers to defend. They are not esteemed,

because the admiration of society is directed towards those who get,

not towards those who give; and though workmen give much they get

little. And the _rentiers_ whom they support are not happy; for in

discarding the idea of function, which sets a limit to the acquisition

of riches, they have also discarded the principle which alone give

riches their meaning. Hence unless they can persuade themselves that

to be rich is in itself meritorious, they may bask in social

admiration, but they are unable to esteem themselves. For they have

abolished the principle which makes activity significant, and therefore

estimable. They are, indeed, more truly pitiable than some of those

who envy them. For like the spirits in the Inferno, they are punished

by the attainment of their desires.

A society ruled by these notions is necessarily the victim of an

irrational inequality. To escape such inequality it is necessary to

recognize that there is some principle which ought to limit the gains

of particular classes and particular individuals, because gains drawn

from certain sources or exceeding certain amounts are illegitimate.

But such a limitation implies a {37} standard of discrimination, which

is inconsistent with the assumption that each man has a right to what

he can get, irrespective of any service rendered for it. Thus

privilege, which was to have been exorcised by the gospel of 1789,

returns in a new guise, the creature no longer of unequal legal rights

thwarting the natural exercise of equal powers of hand and brain, but

of unequal powers springing from the exercise of equal rights in a

world where property and inherited wealth and the apparatus of class

institutions have made opportunities unequal. Inequality, again, leads

to the mis-direction of production. For, since the demand of one

income of L50,000 is as powerful a magnet as the demand of 500 incomes

of L100, it diverts energy from the creation of wealth to the

multiplication of luxuries, so that, for example, while one-tenth of

the people of England are overcrowded, a considerable part of them are

engaged, not in supplying that deficiency, but in making rich men's

hotels, luxurious yachts, and motorcars like that used by the Secretary

of State for War, "with an interior inlaid with silver in quartered

mahogany, and upholstered in fawn suede and morocco," which was

recently bought by a suburban capitalist, by way of encouraging useful

industries and rebuking public extravagance with an example of private

economy, for the trifling sum of $14,000.

Thus part of the goods which are annually produced, and which are

called wealth, is, strictly speaking, waste, because it consists of

articles which, though reckoned as part of the income of the nation,

either should not have been produced until other articles had already

{38} been produced in sufficient abundance, or should not have been

produced at all. And some part of the population is employed in making

goods which no man can make with happiness, or indeed without loss of

self-respect, because he knows that they had much better not be made;

and that his life is wasted in making them. Everybody recognizes that

the army contractor who, in time of war, set several hundred navvies to

dig an artificial lake in his grounds, was not adding to, but

subtracting from, the wealth of the nation. But in time of peace many

hundred thousand workmen, if they are not digging ponds, are doing work

which is equally foolish and wasteful; though, in peace, as in war,

there is important work, which is waiting to be done, and which is

neglected. It is neglected because, while the effective demand of the

mass of men is only too small, there is a small class which wears

several men's clothes, eats several men's dinners, occupies several

families' houses, and lives several men's lives. As long as a minority

has so large an income that part of it, if spent at all, must be spent

on trivialities, so long will part of the human energy and mechanical

equipment of the nation be diverted from serious work, which enriches

it, to making trivialities, which impoverishes it, since they can only

be made at the cost of not making other things. And if the peers and

millionaires who are now preaching the duty of production to miners and

dock laborers desire that more wealth, not more waste, should be

produced, the simplest way in which they can achieve their aim is to

transfer to the public their whole incomes over (say) $5,000 a year, in

order that it may {39} be spent in setting to work, not gardeners,

chauffeurs, domestic servants and shopkeepers in the West End of

London, but builders, mechanics and teachers.

So to those who clamor, as many now do, "Produce! Produce!" one simple

question may be addressed:--"Produce what?" Food, clothing,

house-room, art, knowledge? By all means! But if the nation is

scantily furnished with these things had it not better stop producing a

good many others which fill shop windows in Regent Street? If it

desires to re-equip its industries with machinery and its railways with

wagons, had it not better refrain from holding exhibitions designed to

encourage rich men to re-equip themselves with motor-cars? What can be

more childish than to urge the necessity that productive power should

be increased, if part of the productive power which exists already is

misapplied? Is not _less_ production of futilities as important as,

indeed a condition of, _more_ production of things of moment? Would

not "Spend less on private luxuries" be as wise a cry as "produce

more"? Yet this result of inequality, again, is a phenomenon which

cannot be prevented, or checked, or even recognized by a society which

excludes the idea of purpose from its social arrangements and

industrial activity. For to recognize it is to admit that there is a

principle superior to the mechanical play of economic forces, which

ought to determine the relative importance of different occupations,

and thus to abandon the view that all riches, however composed, are an

end, and that all economic activity is equally justifiable.

{40}

The rejection of the idea of purpose involves another consequence which

every one laments, but which no one can prevent, except by abandoning

the belief that the free exercise of rights is the main interest of

society and the discharge of obligations a secondary and incidental

consequence which may be left to take care of itself. It is that

social life is turned into a scene of fierce antagonisms and that a

considerable part of industry is carried on in the intervals of a

disguised social war. The idea that industrial peace can be secured

merely by the exercise of tact and forbearance is based on the idea

that there is a fundamental identity of interest between the different

groups engaged in it, which is occasionally interrupted by regrettable

misunderstandings. Both the one idea and the other are an illusion.

The disputes which matter are not caused by a misunderstanding of

identity of interests, but by a better understanding of diversity of

interests. Though a formal declaration of war is an episode, the

conditions which issue in a declaration of war are permanent; and what

makes them permanent is the conception of industry which also makes

inequality and functionless incomes permanent. It is the denial that

industry has any end or purpose other than the satisfaction of those

engaged in it.

That motive produces industrial warfare, not as a regrettable incident,

but as an inevitable result. It produces industrial war, because its

teaching is that each individual or group has a right to what they can

get, and denies that there is any principle, other than the mechanism

of the market, which determines what {41} they ought to get. For,

since the income available for distribution is limited, and since,

therefore, when certain limits have been passed, what one group gains

another group must lose, it is evident that if the relative incomes of

different groups are not to be determined by their functions, there is

no method other than mutual self-assertion which is left to determine

them. Self-interest, indeed, may cause them to refrain from using

their full strength to enforce their claims, and, in so far as this

happens, peace is secured in industry, as men have attempted to secure

it in international affairs, by a balance of power. But the

maintenance of such a peace is contingent upon the estimate of the

parties to it that they have more to lose than to gain by an overt

struggle, and is not the result of their acceptance of any standard of

remuneration as an equitable settlement of their claims. Hence it is

precarious, insincere and short. It is without finality, because there

can be no finality in the mere addition of increments of income, any

more than in the gratification of any other desire for material goods.

When demands are conceded the old struggle recommences upon a new

level, and will always recommence as long as men seek to end it merely

by increasing remuneration, not by finding a principle upon which all

remuneration, whether large or small, should be based.

Such a principle is offered by the idea of function, because its

application would eliminate the surpluses which are the subject of

contention, and would make it evident that remuneration is based upon

service, {42} not upon chance or privilege or the power to use

opportunities to drive a hard bargain. But the idea of function is

incompatible with the doctrine that every person and organization have

an unlimited right to exploit their economic opportunities as fully as

they please, which is the working faith of modern industry; and, since

it is not accepted, men resign themselves to the settlement of the

issue by force, or propose that the State should supersede the force of

private associations by the use of its force, as though the absence of

a principle could be compensated by a new kind of machinery. Yet all

the time the true cause of industrial warfare is as simple as the true

cause of international warfare. It is that if men recognize no law

superior to their desires, then they must fight when their desires

collide. For though groups or nations which are at issue with each

other may be willing to submit to a principle which is superior to them

both, there is no reason why they should submit to each other.

Hence the idea, which is popular with rich men, that industrial

disputes would disappear if only the output of wealth were doubled, and

every one were twice as well off, not only is refuted by all practical

experience, but is in its very nature founded upon an illusion. For

the question is one not of amounts but of proportions; and men will

fight to be paid $120 a week, instead of $80, as readily as they will

fight to be paid $20 instead of $16, as long as there is no reason why

they should be paid $80 instead of $120, and as long as other men who

do not work are paid anything {43} at all. If miners demanded higher

wages when every superfluous charge upon coal-getting had been

eliminated, there would be a principle with which to meet their claim,

the principle that one group of workers ought not to encroach upon the

livelihood of others. But as long as mineral owners extract royalties,

and exceptionally productive mines pay thirty per cent. to absentee

shareholders, there is no valid answer to a demand for higher wages.

For if the community pays anything at all to those who do not work, it

can afford to pay more to those who do. The naive complaint, that

workmen are never satisfied, is, therefore, strictly true. It is true,

not only of workmen, but of all classes in a society which conducts its

affairs on the principle that wealth, instead of being proportioned to

function, belongs to those who can get it. They are never satisfied,

nor can they be satisfied. For as long as they make that principle the

guide of their individual lives and of their social order, nothing

short of infinity could bring them satisfaction.

So here, again, the prevalent insistence upon rights, and prevalent

neglect of functions, brings men into a vicious circle which they

cannot escape, without escaping from the false philosophy which

dominates them. But it does something more. It makes that philosophy

itself seem plausible and exhilarating, and a rule not only for

industry, in which it had its birth, but for politics and culture and

religion and the whole compass of social life. The possibility that

one aspect of human life may be so exaggerated as to overshadow, {44}

and in time to atrophy, every other, has been made familiar to

Englishmen by the example of "Prussian militarism." Militarism is the

characteristic, not of an army, but of a society. Its essence is not

any particular quality or scale of military preparation, but a state of

mind, which, in its concentration on one particular element in social

life, ends finally by exalting it until it becomes the arbiter of all

the rest. The purpose for which military forces exist is forgotten.

They are thought to stand by their own right and to need no

justification. Instead of being regarded as an instrument which is

necessary in an imperfect world, they are elevated into an object of

superstitious veneration, as though the world would be a poor insipid

place without them, so that political institutions and social

arrangements and intellect and morality and religion are crushed into a

mold made to fit one activity, which in a sane society is a subordinate

activity, like the police, or the maintenance of prisons, or the

cleansing of sewers, but which in a militarist state is a kind of

mystical epitome of society itself.

Militarism, as Englishmen see plainly enough, is fetich worship. It is

the prostration of men's souls before, and the laceration of their

bodies to appease, an idol. What they do not see is that their

reverence for economic activity and industry and what is called

business is also fetich worship, and that in their devotion to that

idol they torture themselves as needlessly and indulge in the same

meaningless antics as the Prussians did in their worship of militarism.

For what the military tradition and spirit have done for Prussia, {45}

with the result of creating militarism, the commercial tradition and

spirit have done for England, with the result of creating

industrialism. Industrialism is no more a necessary characteristic of

an economically developed society than militarism is a necessary

characteristic of a nation which maintains military forces. It is no

more the result of applying science to industry than militarism is the

result of the application of science to war, and the idea that it is

something inevitable in a community which uses coal and iron and

machinery, so far from being the truth, is itself a product of the

perversion of mind which industrialism produces. Men may use what

mechanical instruments they please and be none the worse for their use.

What kills their souls is when they allow their instruments to use

_them_. The essence of industrialism, in short, is not any particular

method of industry, but a particular estimate of the importance of

industry, which results in it being thought the only thing that is

important at all, so that it is elevated from the subordinate place

which it should occupy among human interests and activities into being

the standard by which all other interests and activities are judged.

When a Cabinet Minister declares that the greatness of this country

depends upon the volume of its exports, so that France, with exports

comparatively little, and Elizabethan England, which exported next to

nothing, are presumably to be pitied as altogether inferior

civilizations, that is Industrialism. It is the confusion of one minor

department of life with the {46} whole of life. When manufacturers cry

and cut themselves with knives, because it is proposed that boys and

girls of fourteen shall attend school for eight hours a week, and the

President of the Board of Education is so gravely impressed by their

apprehensions, that he at once allows the hours to be reduced to seven,

that is Industrialism. It is fetich worship. When the Government

obtains money for a war, which costs $28,000,000 a day, by closing the

Museums, which cost $80,000 a year, that is Industrialism. It is a

contempt for all interests which do not contribute obviously to

economic activity. When the Press clamors that the one thing needed to

make this island an Arcadia is productivity, and more productivity, and

yet more productivity, that is Industrialism. It is the confusion of

means with ends.

Men will always confuse means with ends if they are without any clear

conception that it is the ends, not the means, which matter--if they

allow their minds to slip from the fact that it is the social purpose

of industry which gives it meaning and makes it worth while to carry it

on at all. And when they do that, they will turn their whole world

upside down, because they do not see the poles upon which it ought to

move. So when, like England, they are thoroughly industrialized, they

behave like Germany, which was thoroughly militarized. They talk as

though man existed for industry, instead of industry existing for man,

as the Prussians talked of man existing for war. They resent any

activity which is not colored by the predominant interest, because it

seems a rival to it. So they {47} destroy religion and art and

morality, which cannot exist unless they are disinterested; and having

destroyed these, which are the end, for the sake of industry, which is

a means, they make their industry itself what they make their cities, a

desert of unnatural dreariness, which only forgetfulness can make

endurable, and which only excitement can enable them to forget.

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