Year: 1877

The sympathy which the great strike at
first excited, the excuses which. in some
quarters, have been made for the rioters, the
altogether unwarranted expectations of good
results to come from the action of the strikers,
and the talk about necessary conflict be-
tween capital and labor, show that with very
many people the relations of capital and labor
are entirely misunderstood. 1t would be
wise investment for capitalists to distribute
among the men in their employ some simple
treatise on the first principles of economic
law. book for example like Mr.. Charles
Nordhof's Politics for Young Ameri-
cans, Va work which should be in every
school in the land. There the reader will
find set forth in the clearest way the exact
nature of the relation between capital and
labor.


Mr.. Nordhof writes for boys, but those
men who are unacquainted with the first
principles of political economy and so make
abundant mistakes in reasoning and are easi-
ly led to embrace fallacious theories will de-
rive much needed information from his pages.
Let us see how he states the case; If man,
by the exercise of industry and self-denial
produces more than he consumes he has
surplus which is called property or capital. If
the workman saves enough from his earnings
to buy spade or chest of tools, or house,
he becomes to that extent capitalist. If he
saves much he becomes capitalist on
larger scale and may purchase farm or build
factory or lend his money to other men who
desire to do these things but have not yet
the acquired surplus. By means of this sur
plus, schools, shops, factories, railroads can be
built, for unless there was some accumulation
of property each person would be busy pro-
viding food for himself; but by means of this
capital, food, shelter and clothing can be pro-
vided for laborers while they are engaged in
constructing these great public works, and
surplus can be given to them so that they
gladly engage in labor, cheered by the hope
that they too in time may accumulate some
capital and gain leisure in which to take their
pleasure or acquire means with which to pro-
vide for others than themselves. Unless
there is some surplus fund no laboring force
could be diverted to public works, because no
means would be at hand 10 support such
force while it was laying brick walk or roll
ing rail, which at the close OF the day they
could neither eat nor clothe themselves with.


The spirit of accumulation-of industry
and selfdenial-being once aroused in a
people, and encouraged by their security in
the enjoyment of property, it is clear, consid-
1rlOp the diffaraDaa in hQipu
weak of body, less persistent, less ingenious,
or less self-denying than others-that newt
ably some will accumulate less property than
others; and that many will, in fact, accumu-
late nothing, but consume all they produce,
and as fast as they produce it. But in many
emergencies of mans life it is absolutely
necessary that he shall have some surplus to
start with. Take as an instance the gold
hunters in the early days of California. A
multitude of men rushed to the rich placer
diggings hopeful of speedy fortune; but;
large part of them presently discovered that
they must eat and drink and be clothed and
sheltered, while they looked for and dug out
gold; and not having surplus sufficient to
provide themselves with food, clothing and
shelter in this emergency, what should they
do? Die? No; man who found himself
in that situation sought out another who had
a surplus and said to him, give me food,
clothing and shelter, or the means of getting
these, and will give you my strength and
skill until have saved by self-denial sur
plus sufficient to enable me to prospect and
dig on my own account. That is to say he
became laborer for hire, or wages. Sup
pose now he could have found no one thus
ready to hire him or give him wages. Sup
pose every man who had surplus this sur
plus being capitaD had laid it away in
strong box, and refused to use it in paying
wages for the labor of the man without sur
plus? The sufferer in this case would be
the man without surplus, and in need of food
and other necessaries of life, which he could
get only by wages or theft


Here we have the whole question OF capita
and labor, and he who says there is natural
antagonism between them is an ignoramus.