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¡¨Progress¡¡and¡¡Poverty¡¨¡¡continues£º
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¡¡¡¡¡¡¡¡¡¡¡¡¡¡¡¡¡¡¡¡¡¡capital¡¡plus¡¡the¡¡difference¡¡in¡¡value¡¡between¡¡the
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¡¡¡¡¡¡¡¡¡¡¡¡¡¡¡¡¡¡¡¡¡¡upon£¿¡¡£¨p£»¡¡34£©¡£
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for¡¡the¡¡shoesit¡¡is¡¡these¡¡two¡¡conditions£»¡¡alone£»¡¡which¡¡prevent¡¡the
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much¡¡as¡¡if¡¡he¡¡had¡¡spent¡¡his¡¡time¡¡in¡¡chopping¡¡up¡¡the¡¡leather¡¡into
minute¡¡fragments¡£
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of¡¡the¡¡doctrine¡¡that¡¡labour¡¡bestowed¡¡upon¡¡manufacture£»¡¡without¡¡any
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Smith¡¡which¡¡is¡¡quoted¡¡in¡¡its¡¡favour¡¡£¨p¡£¡¡34£©
¡¡¡¡¡¡¡¡¡¡¡£¡¡¡£¡¡¡£¡¡¡¨The¡¡produce¡¡of¡¡labour¡¡constitutes¡¡the¡¡natural¡¡recompense
¡¡¡¡¡¡¡¡¡¡¡¡¡¡¡¡¡¡¡¡¡¡or¡¡wages¡¡of¡¡labour¡£¡¡In¡¡that¡¡original¡¡state¡¡of¡¡things¡¡which
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¡¡¡¡¡¡¡¡¡¡¡¡¡¡¡¡¡¡¡¡¡¡accumulation¡¡of¡¡stock£»¡¡the¡¡whole¡¡produce¡¡of¡¡labour¡¡belongs
¡¡¡¡¡¡¡¡¡¡¡¡¡¡¡¡¡¡¡¡¡¡to¡¡the¡¡labourer¡£¡¡He¡¡has¡¡neither¡¡landlord¡¡nor¡¡master¡¡to
¡¡¡¡¡¡¡¡¡¡¡¡¡¡¡¡¡¡¡¡¡¡share¡¡with¡¡him¡¨¡¡£¨¡¨Wealth¡¡of¡¡Nations£»¡¨¡¡ch¡£¡¡viii£©¡£
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Physiocrats¡¡by¡¡whom¡¡Adam¡¡Smith¡¡was¡¡inspired£»¡¡at¡¡their¡¡worst£»¡¡that¡¡is¡¡to
say£»¡¡when¡¡they¡¡most¡¡completely¡¡forsook¡¡the¡¡ground¡¡of¡¡experience¡¡for¡¡a
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state¡¡of¡¡men¡¡before¡¡the¡¡¡¨appropriation¡¡of¡¡land¡¨¡¡and¡¡the¡¡¡¨accumulation
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the¡¡supposition£»¡¡nobody¡¡would¡¡have¡¡possessed¡¡land£»¡¡certainly¡¡no¡¡man
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terms£»¡¡like¡¡mother¡¡and¡¡child¡£¡¡As¡¡¡¨child¡¨¡¡implies¡¡¡¨mother£»¡¨¡¡so¡¡does
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¡¨wages¡¨¡¡only¡¡in¡¡a¡¡figurative¡¡sense£»¡¡as¡¡one¡¡sees¡¡if¡¡the¡¡term¡¡¡¨hire£»¡¨
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labourer£»¡¡in¡¡that¡¡model¡¡age£»¡¡appropriated¡¡the¡¡produce¡¡in¡¡equal¡¡shares£¡
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the¡¡hunting¡¡state£»¡¡man¡¡is¡¡not¡¡even¡¡an¡¡accessory¡¡of¡¡production¡¡of¡¡vital
capital£»¡¡he¡¡merely¡¡consumes¡¡what¡¡nature¡¡produces¡£
According¡¡to¡¡the¡¡author¡¡of¡¡¡¨Progress¡¡and¡¡Poverty¡¨¡¡political¡¡economists
have¡¡been¡¡deluded¡¡by¡¡a¡¡¡¨fallacy¡¡which¡¡has¡¡entangled¡¡some¡¡of¡¡the¡¡most
acute¡¡minds¡¡in¡¡a¡¡web¡¡of¡¡their¡¡own¡¡spinning¡£¡¨
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procurement¡¡of¡¡more¡¡wealthof¡¡wealth¡¡in¡¡the¡¡hands¡¡of¡¡employers¡¡as
distinguished¡¡from¡¡labourers¡¨¡¡£¨p¡£¡¡40£©¡£
£§182£§¡¡I¡¡am¡¡by¡¡no¡¡means¡¡concerned¡¡to¡¡defend¡¡the¡¡political¡¡economists¡¡who
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puts¡¡his¡¡saved¡¡shillings¡¡week¡¡by¡¡week¡¡into¡¡the¡¡Savings¡¡Bank£»¡¡the
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of¡¡degree¡£
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¡¡¡¡¡¡¡¡¡¡¡¡¡¡¡¡¡¡¡¡¡¡amounts¡¡to¡¡many¡¡years¡£¡¡And¡¡hence£»¡¡if¡¡first¡¡principles¡¡are
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¡¡¡¡¡¡¡¡¡¡¡¡¡¡¡¡¡¡¡¡¡¡that¡¡wages¡¡are¡¡advanced¡¡by¡¡capital¡¨¡¡£¨p¡£¡¡44£©¡£
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except¡¡perhaps¡¡for¡¡a¡¡fire¡wood¡¡merchant£¿¡¡What¡¡price¡¡will¡¡any¡¡one¡¡who
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one¡¡port¡¡to¡¡anothergive¡¡for¡¡the¡¡unfinished¡¡vessel¡¡which¡¡would¡¡take
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his¡¡advances£¿
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materials¡£¡¡¡¡Therefore£»¡¡though¡¡the¡¡assertion¡¡that¡¡¡¨the¡¡creation¡¡of
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true¡¡under¡¡certain¡¡circumstances£»¡¡it¡¡need¡¡not¡¡be¡¡and¡¡is¡¡not¡¡always
true¡£¡¡And£»¡¡if¡¡it¡¡is¡¡meant¡¡to¡¡imply¡¡or¡¡suggest¡¡that¡¡the¡¡creation¡¡of
value¡¡in¡¡a¡¡manufactured¡¡article¡¡does¡¡not¡¡depend¡¡upon¡¡the¡¡finishing¡¡of
that¡¡article£»¡¡a¡¡more¡¡serious¡¡error¡¡could¡¡hardly¡¡be¡¡propounded¡£
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persons£»¡¡the¡¡value¡¡of¡¡the¡¡unfinished¡¡product¡¡may¡¡be¡¡nothing£»¡¡or¡¡even¡¡a
minus¡¡quantity¡£¡¡A¡¡house¡timber¡¡merchant£»¡¡for¡¡example£»¡¡might¡¡consider
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capital¡¡while¡¡the¡¡great¡¡St¡£¡¡Gothard¡¡tunnel¡¡was¡¡cut¡£¡¡Suppose¡¡that£»¡¡as
the¡¡Swiss¡¡and¡¡the¡¡Italian¡¡ha