Year: 1878

Substance of an address read before the
Experimental Farm Club of Chester coun-
ty, Pennsylvania, by a member of the
Club:


There is no distinction in fact between
the capitalist and laborer, or rather that
the distinction is an imaginary one. All
are alike, capitalists in different degrees.
The man who owns his millions in stocks
and bonds is a capitalist The cook in our
kitchen who has saved up few dollars and
loaned them on interest is capitalist, and
the laborer who earns his dollar day and
spends it in the evening is capitalist to a
certain extent. A mans capital is his
stock in trade, whether it be in cash, mer-
chandise, or labor. Whatever he may
have that others wish to purchase, or that
he can sell is his capital, and on this he
bargains and trades. Vanderbilt may have
his millions and is great capitalist. Pat
Murphy may have nothing but the labor
of his muscles to sell, but he is so far a
trader, and that is his capital to work on,
and there is no reason why Pat Murphy
with proper use of his capital may not
at some future day become the great mil
lionaire of his time.


The laws of our State fix six per cent. as
the legal rate of interest on money loaned
This is well, and it is right to have some
standard upon which disputes may be set
tied, but this or any other fixed rate is
often found to be arbitrary. Sometimes
money or capital in shape of dollars and
cents is worth more than six per cent. at
others the owners are willing to take four
per cent or even less, because their money
is worth no more in the market and this is
better than having it lie idly on their
hands. But taking six per cent as the
average rate, the banker having a sum of
money amounting to one hundred thousand
dollars has an income of $4,000 yearly.
The merchant having capital of fifty
thousand dollars represented by his store
goods at the same rates of profit, receives
$4,000 as his income. The laborer whose
yearly wages at one dollar per day and
working three hundred days in the year
would have an income of $500, and this
would be the interest on his capital, which
would be represented by the principal sum
of $4,000. The capital of the skilled me-
chanic who receives five dollars per day
would be represented by the sum of $685.
900, and this is the actual money value of
this man in the community. That is, his
place can only be filed by paying the in
terest on this sum of money.


Capital, whether in money, merchandise
or labor, is liable to depreciation, or may
at times be inflated beyond due proper
tions. Sometimes we see monied men
controlling a large amount of wealth,
boarding it away, refusing to loan it, with
the purpose in view of raising its worth in
the market. 1t is with the same purpose
that laboring men make a strike. They
hoard away labor, refusing to sell at prices
offered in hopes that by making it scarce
they will increase the demand and thus
raise its value. It is the same principle
that governs both parties and induces them
to withhold their capital, desire for gain,
natural instinct that controls the rich
and poor alike. So we say that there is
no "distinction between the capitalist and
laborer," except in the amount and value
of the capital held by each, and this is La
bic to constant and sudden changes.
We have more than once seen parties ex-
change positions.


A person living in Chester Valley some
years since, the owner of good farm and
clear of debt, hired smart young man to
work for him as day laborer. A few
years later shis young man was known as
the proprietor Of the farm, while his old