, 1873-12-28

No, oertain!y, II tho borrower puts the bng Of
E100 on tho shelf. In auoll a'oasc, noithor tho
plane, nor tho sack Of corn, would reproduce
s 1u + i hne not for ho ano sao Of 'y Az
hools. That they aro borrowed. Tho plano Ia bor-
rowod TO- be uBod, or tho money To- procure .
PLANE. Aud # 1t is clearly proved that thts tool
onab'es the borrower to obtain profits which ho
would not hnvo mnde without Il, II 1t is proved
that the lender Ina ronouncod creRting for him
solf ttia oxoosB Of profits, We may understand
how the stipulation OF q pnrt Of this oxooss OF
profits In favor Of tho lender iH equitable and
lawful.
Ignorance Of tho true part which cash playa In
human transactions, iB tho source OF
THE MOTT FATAL EnRoRB.
intend dovoting an entire, pamphlet to this sub
ings Of III. proudhon, TINT whicl, has led him to
think TINT grntuitouB oro1it was q logical ard
definite consequence OF Rocial progress, is tho
observation Of the phenomenon. which shows n
to the rata Of civilization. III. barbaro,ia times
It is, 10 fact, 100 por cont and moro. Then: it
doscentla to SO, 0o 90, 40, 20, 10, i, and por
cont: In Holland, i has eyon bonn as lev aa 2
portion as socfoty comes to perfection,
1t will descend to zero by the timo civilization ID
complete. In othor words, that which ohar-
aoterizeB social perfection is tho gratuitousnoas
iahod interest, we ehall havo roacled the last
Htep Of progroas." Thia is moro soplistry, and
aa such falao nrgutng may contribute to render
popular the unjust, dangerous, and
DESTRUCTIVE DOGMA
TINT credit should 10 gratuitous, by representing
1t as cofncident with social perfection. with tho
reatlers permission I will examine, in a few
words, this now view Ct tho question.
What ia tnterestF II ia tho service rendered,
efter froo bargain! By ths borrower to tho
received by tho loan. BY what law is tho rate
Of these romunorativo services established 2
By tho general law which regulates the equivl-
lent Of all services; that is, by tho Inv Of supply
and domnnd.
Tho more easily thing Ii! procured, tho
smaller is the aoryice rendered by yeldingi 1t or
1onding it.. Tho man who givos me q glaaa Of
,sater tn the Pyrenoes does not render mo go
desort OF Sahara. II there nre mnny planoB,
aaoks of corn, or houses, In country, tho uso OF
them is obtained, other things being equal, on
more favorable conditions than II thoy were
fow; for the simple reaHon, that the lcnder ren-
ders in this case . smaller relatiue seruico.
It is not surprising, therefore, that the more
abundant capitals arc, tho lower Is tho intercBt
ls this saying TINT It will ovorreaoh zero No !;
because, I repeat 1t, tue principle Of remunera-
ton is in tho loan. To say TINT
INTEREST WILL BE ANN1H1LATED,
is to soy TINT thero will mover DO any motive for
saving, for denying ourselves, in ordor to form
now capitals, nor oven to preaorvo tho old onos.
In this caso, tho waste would Immediately bring
d void, and interest would directly reappear.
| In that, tho naturo of tho services Of which wo
are speaking docs not differ from any other.
Thanks to industrial progress, u pair Of
stockings. which used to bo worth Six
francs, has successiyoly been worth only
| four, three, aud two. No ono eau say
| to what point this value will descend but NO
Gun Affirm that it will never reach zero, unloss
tho stockings finish by producing themselves
spontaneously. Why7' Because the principle
Of remuneration is In labor; because ho who
| works for another rondors service, and ought
| to receive service. If no one paid for stock
| ings thoy would cease to be made; ind, with
tho scarcity, the price would not fail to re-
appear.
| There are countries where people apply them
selves to increasing tho size Of horses, or dimin
| isling in sheep tho aizo Of the head. It il i'm
possible to say precisely to what point they will
arrive IN this. No ono can Hay TINT he 1as soen
tho largest horse, or tho smallest eheop's head
TINT will ever appear In tho world. But he may
safely Hny TINT tho sizo Of horses will mover at
tain to inanity, nor the hoads Of sheep to moth
ing.
In tho Rarno way, no one can aay to what point
tho prco of stockings nor the intorost OF capt.
tolls will como down but we may eafoly affirm,
when VIC know tho nature of things, that neither
the one nor the otlcr will ever arrive ut zero,
for labor aud capital can no more live without
recompeuse than sheep without q head.
The argumonts Of II. proudhon reduce thom-
solves. then, to this: since the most skillful
agrioulturiRts nro those who hayo reduced tho
heads Of sheep to the smallest size, we Bhall
hayo arrived ut the highest agricultural perfoc-
ton when sheep have no longer any heads.
Therefore, in order to realize the perfection, lot
rlB hBhead tleno