, 1874-07-15
THE WAGES QUESTI0N.

TIE WAGES QUESTION.
Con. TranoiB A. Walker, late Superintendent
OF the Census, delivorod m address ut Amherst
College Commencement on the Wages question,
in which ho sought to ovortnrn the hltherto-es-
tablishod maxim that tho rate Of wagea is tho
quotient obtainod by dividing tho whole an1onnt
OF circulating capital (aometimoa callod wages
fund) by the whole number Of 1aborors employ
Cd or aesking employment. Gen. Walkers at
tack upon this theory ia ingenious, and he In
trolucos somo facts that have escaped the atton-
tion OF previous economists but whother lle haa
done moro than to change the form OF tho prop
osition, without altering its nature, may bs aor
oualy doubted.
The question what Ia fair rate Of wages
probably interests more poople than any other
ons thing in tAo univorae. Mr. Wallsor docs full
Justice to tho subject when he says 1t is quos-
tion Of happiness or mieery to uucounted mill
ions Of our race. Surely anY man will deserve
we'll, not moroly OF Lis own generation, but Of
tho remotest postority. who shall discover
"binon,la1 thoorom" applicable to labor md
capital, and capable Of awarding to each Its
equitable portion Of tho joint product. This.
afr. Walker docs not claim to havo done.
For, afrer attacking, md Us hc believes over
throwing, tho old equation sanctioned by all tho
English economists, from Adam Smith to Cairnea
aud Fawcott, lie merely pointa out tho advau-
tngos Of creator freedom and higher education 10
tho lRborer as moans to the advancement OF
his wages. This ia all very we'll, but it doea not
help us to nscortain what is fair rate Of wages.
It does not aubsttuso anything in ths place Of
the wago-fund theory Of tile economists.
hfr. Walker frat quotes tho theory to le de-
mollBhed, IN tho words Of Prof. Fawcett: s'That
tho circulating capital Of country is it's rage
fund. Hence, 1t we dosire to calculate tho nror-
age money nagos received by each lnboror, no
have simply to divide tho amount Of tLis capital
by tho number Of tie laboring population. It ia
evident, therefore, that the average money
wagoa cannot bo increased, unleas either tho
circulating capital ID augmented or the number
Of the laboriug population diminished" Or, rs
arguing agaiust ono Of Lie four funda-
mental ruioH Of arithmetic. Tho question
Of wages is question Of diviGion." The
error in this theory, Mr. Waller contcudB,
consists In confountling tho laboror'a mere
subsistence while the product is being fashioned
for tho market with the wages he ia entitled to
receive over and aboyo lia aubsateuca OF
course, the 1aborer requires to bo fed aud
clothed Nhilo tho JOINT operation OF labor aud
capital ID going On, and before Tho joint product
ia sold; a1ld IN most caaea 1t IL necessary that
this should bs furn!Hhod by tho employer.
Whether tho employer furnishes it out Of Lin
own reHourcsu, or borrowg it from bank, or gets
it Ill tho way Of credit from tho groco. md tho
merchant, III immatorial. It IL portion of tho
circulating capital Of the country, and may
properly bo called wagoa-fuud, Binoo from It
must 10 derived that part OF tho }aboreY'a cotn-
pensation which Is conaunled "a 10 goes
oyor md above his uocsauary uubaistonco,
lii. Walker shown Ia really advanced by tho
laborox himself To tho capitalist. to DO ropail out
OF tho aalo Of the product. This ia the caaa with
A"' "t'o ~'o '''1 -' '01'' "''4
'oal-'.4'Ae'S WV NV pau oAo' t'4'o'4'' "'sa
'n"nu'actut'ns u"''oS "''o "te pau 'uce "ooh
1'o IL VII tne'e 'aa''. wv @'oiot aaFa''s'9 '''o
"asos 'ot 'oneos u enos's' fet'oa ~ sao a'an'
ufacturer, and tsltos hls pay When tAs wheat.
'ns ooa'' 'ao sooaS ''e no'a' 4h'0' Alf' "Sl'ef
tn'''1a' eo's'''use' s1fsp"' pa''nessn'p pos"oe"
'aooi ano oapls"'' ano 'n''''es 'ns 'ofmer 70 ~
eouu'"etea ~ '"' ''en' VI p"e'nss'
"alS'ng tue a"oat'on OF paT'neshap. or ad-
"''"ns 'aaE ILL., "'oAes III ootFoc1 ~ 'o ens''
~ae@ oaso W. ea'neo' no~ tar haFe va goho
In tho WAY Oh aIbo1tlng tue oio MoofSs ID Il
so5 tne 1eos tFae tnA' THO ia'e OF "asos Is oe'
tefmll'oa ny lilo ratlo existing between tho o'r-