New-York daily tribune. [volume] (New-York [N.Y.]) 1842-1866, 1843-05-17

sale Redelds Of BekGnal and Nassau-rsts ana
al the Office OF the Tribune.
Reason why Profits are divided between
Labor. Capital and Skill:
We have stated tina: the Product or Profits III
the Combined Order viii be divided between Ld6or
Capital and Skill. Suppose group OF twenty
persons IN an Association, who are engaged IN
growing grain or manufacturing some article OF
produce which is valued at 900. THIS sum
will be divided into three parts which viii be pad
to Labor, Capital and Skill Scven-twelfths, or
$1,000. will be divided among those who perform
ed the labor two-twelfths, or $4,000, among the
most slilful members of the Group, and three
twcIfths. or $4,000, will be taken 10 pay the IN
,crest upon the capital invested in the As$ocla-
ton These proportions can be varied, II pract-
cal experience requires it. 1t may appear to many
that the amount paid to capital Is too large; but
it must be recollcctcd that the members OF the AS
ISOLATION will be the capitalists and that all vii
be to a greater or less extent owners of stock IN
the Association, so that The part pad as interest
upon the stock or capital will return to those
who performed the labor. Besides the richer mem
bers of an Association will take PRIDE from cor
!
connected with Industry and their Associations
the same as members of accompanies now take
pride in embeshing their fire engines, 50 that
that the interest upon their capital or their IN
comes, will be expended mainly for useful public
purposes
We will extract from our pamphlet, entitled 4
Concise Exposition Of the Doctrine Of 1Saoci0-
H. L,
ion Of profits
The division of Profits between Labor. Capital
and Skill by skill we understand acquired expo
rence and talent is based upon the principle that
whatever is produced should be divided among
the producing Powers and Capital, Labor, and
Skill being the three sources of Production, or the
powers that create wealth, they entitled to the
wealth which is produced. Let us explain tins.
Capital is the accumulated product OF past La
Jor or of LqJ9r done. To understand this, it is
necessary to know in what Capital consists. 1t
consists in works, products and improvements o
all kinds, (editiccs manufactures. clcarngs OF the
soil. vessels railroads, tools, implements, macnn
crv, metals, focks, etc. etc. which are the results
of human Industry. In speaking oil Capital IN
connection with Labor and Skill, we will eau 1t
what it really is, past LaboT as 1t will make our
explanations more easily understood.
When past Labor facilitates the performance
and increases the productivcncss of present La
Dor. it should receive a part of its product We
will make use of an illustration to prove this
clearly Suppose a body OF men settle upon
tract of land in a wild state. which is covered
with forest, and that with labor they clear IT.
BRING If under CIVILIZATIONS erect buildings upon IT,
construct Implements rear focks, and render 1t
productive and valuable. These Improvements
are the results Of past Labor, and constitute Cap
;tal When this work is accomplished, suppose q
second body of men JOIN the first, and live with
them upon the land they find houses to nhablt,
teams and implements to work with. and the soil
prepared for cultivation with the aid of these nm
provemcnts, which are the products OF past La
Dor. they can produce easily and abundanty from
it, whereas, had they come upon 1t IN the wild
state, without any Improvements and facilities
for applying their (prcsent( Labor, they could
have produced nothing from 1t.
Would it not be just that the new corners should
rive to those who had preceded and prepared all
these facilities for Them share OF the product vi
their labor? Undoubtedly, for the past Labor
of the first settlers created in reality part of the
product.
What should this share be that is what por-
ton of the product, should present Labor give to
pQst Labor for the aid lent to it The answer to
| this question determines the rate OF interest to
which CAPITAL is entitled From our remarks on
property and the division of profits, 1t will be seen
! that we estimate this share at about one quarter.
or thrcc-twclfths.
If a Stock Company furnishes capital with
which to buy the lanG for an Association, to erect
buildings upon and stock it, those who enter the
/ Association will hold the same relation to the
Company as the new corners did, i'll the case
above to those who had prepared and improved
the wild lands by their labor, and they should give
10 the Company an equal share of the product or
profits of their labor-that is, about one quarter
Thus Capital or past La6or Is entitled to a
share of the product, becauSelt aids and facilitates
present Labor in creating this product It's right
TO part of the product is perfectly legitimate
and they who contest 1t, do not understand clear
" the sources of production.
We will explain III connection why Labor and
! Skill should receive each J. part OF the general
product To do this, we Will rccur again to a
practical illustration. Suppose number of per
sons, forming Group of graln-growers, are en-
ragged III cultivating wheat Labor, which con-
sists in poughmg, sowing, rcaplng and threshng
is the principal means Of production, and should
receive, in consequence, the largest share OF the
product, which we estimate at about seven
twcll,hs.
In the Group there are some members who
we Will suppose, possess superior knowledge and
skill; BY means OF their directions and advice
such excellent methods Of cultivation are followed
and the Labor OF the Group is SO judiciously d.
rectcd and efficiently applied, that ii produces a
great deal more than it would have done, had not
knowledge and SKILL lent their aid. The mem
bcrs OF whom we speak may have spent years IN
acquiring The experience and skill which they