The Vermont watchman. [volume] (Montpelier, Vt.) 1883-1911, 1884-10-08
Aqritrrltural.
T. n. HosKINs, Newport, W., Editor.
Capital and Labor.

General Butler, in recent speech,
declared that the average net proceeds
of each laborer's work in this country is
5000, and that the laborer's share of
this averages 5000. There is a suspi-
cious roundness in these numbers, but
we believe it is quite generally under
stood that, in the division of these pro-
ceeds, whatever the sum may be, CAPT
tai usually gets the lions share. Mr..
Edward Atkinson, however, publishes
tables to show that for the last thirty
years the portion received by the cap
italists, compared with that received by
the operative, in the cotton manufac-
ture in this country, has relatively de-
creased-that is, the rate of profit has
not increased as much as the rate of
wages. He claims that the workman's
share not only increases, but increases
faster than the capitalists share.
The whole question is difficult one
to become well posted in, and no matter
how much one may study it, he finds
continually new points that require to
be taken into consideration. 1t is a
subject that we have long been inter-
ested in, and we read everything we
can get hold of on both sides. We find
great difficulty in the fact that those
who write from the capitalists point of
view are not agreed among themselves.
After reading Mr.. Atkinson's able
paper, in which it is claimed and appar-
emily proved $50 far as the cotton man
ufacture is concerned) that the share of
the joint gain of capital and labor which
is received by the workman is increas-
ing, the next thing we come across is
an article in the Popular Science
Monthly, in which it is declared that
such an increase is impossible. The
argument is as follows:
"We mean that what IS thus given
additional to labor shall come out of in
terest and profit. Good again; but how
will that work? We are now at the very
pith of this thing. To advance wages
along the whole line without increase
in the price of products would transfer
part or all of what is called interest
and profit from capitalists and the oper-
ators of business to the laborers. Ger
tainly that is what we want in order
that laborers may live with dignity and
comfort worthy of human beings. Just
so; no one would be more pleased than
myself if this could be so. But, as /
was going to say, if such an economic
policy could be put in force, then the
aggregate of savings for the establish
ment of industries and the employment
of labor would be smaller than before,
labor would be done in consequence at
an increasing disadvantage, and the
penalty would fall upon all classes, and
would be most severely felt by the
would defeat itself and turn out to be
economical policy cannot be put in
force, because there is no element in
the economical domain capable of exer-
cising any such power"
The argument Gf it can be called
such) here used is, that if larger share
Of the joint profits could be given to the
laborer, the accumulation of capital
would be lessened, to the injury of the
workman in arresting the development
of industry But" says the writer,
"such an economical policy cannot be
put in force" Waving Mr.. Atkinson's
apparently unimpeachable tables show
ing that there is somewhere can ele-
ment in the economical domain capable
of exercising such a power" we would
ask if it is fact of experience that a
lessened income from capital always
and necessarily results in lessened ac-
emulation? II seems to us to be quite
often the other way. When the income
from invested funds falls off it is COM
monty taken as signal to lessen ex
penses, and the rich man who is a pru-
dent man will do that before he will
lessen his savings. When the income
is very large, money is spent freely in
luxuries and wasteful expenses of va.
rious sorts. Let the dividends fall from
six to four per cent, and the new car
riage and horses are not bought, the
new yacht is not built, the trip to Paris
is postponed. So much waste is saved
and the rich man and his family are
really no worse off, while the two percent
which is taken from his income and di.
vided among his workmen enables
them, if they will, to deposit so much
more in the savings bank. If this
should be the result, there would bt
an absolute increase of capital appli
cable to industrial development, so fal
as wasteful and luxurious expenditure
on the part of the employers and his fam
lily becomes savings in the hands of tn,
employe. AS to the sum of human
happiness, certainly the taking away Of
ten million dollars otherwise spent il
luxuries from the few, and contributing
it towards the modest pleasures and
savings of the many, will cause the mos
happiness, particularly when ii is adj
mitted that such a division would be il
itself more equitable than the former