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SECTION CLXXVIII.. Wages-Policy.--Minimum of Wages.

Principles of Political Economy, Vol. 2 · Wilhelm Roscher — chapter 35 of 143 · ~697 words · public domain

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WAGES-POLICY.--MINIMUM OF WAGES.

The demand[178-1] so frequently heard recently, that the state should guaranty an "equitable" minimum of wages, could be granted where the natural rate of wages has fallen below that minimum, only on condition that some of the working class in the distribution of the wages capital (no longer sufficient in all the less profitable branches of business) should go away entirely empty handed. Hence, as a rule, in addition to that wages-guaranty, the guaranty of the right to labor is also required. But as useful labor always finds purchasers (the word "useful" being here employed in the sense of the entire economy of a people, and understood in the light of the proper gradation of wants and the means of satisfying them), such a right to labor means no more and no less than that the state should force labor which no one can use, upon others.[178-2] Something similar is true of Louis Blanc's proposition that the rate of wages of the workmen should be determined and regulated by their own votes and among themselves.[178-3]

All such measures are injurious in proportion as they, by extending aid and the amount of the minimum, go beyond the limits of benevolence, and approach those of a community of goods. (§ 81 ff.) However, if they would be lasting and not pull workmen rapidly down to the very depths of universal and irremediable misery, these measures should be accompanied by the bestowal of power on the guarantor to hold the further increase of the human family within bounds.[178-4]

The condition of workmen can be continued good or materially improved only on condition that their numbers increase less rapidly than the capital destined for wages. The latter increases usually and most surely by savings. But only the middle classes are really saving. In England, for instance, the national capital increases every year by at least £50,000,000, while the working classes spend at least £60,000,000 in tobacco and spirituous liquors, i. e., in numberless instances, only for a momentary injurious enjoyment by the adult males of the class, one in which their families have almost no share. According to this, every compulsory rise in wages would be a taking away from the saving class and a giving to a class that effect no savings. Is not this to act after the manner of the savages who cut down a fruit tree in order more conveniently to relish its fruit?[178-5]

Benjamin Franklin calls out to workmen and says: If any one tells you that you can become rich in any other way than through industry and frugality, do not listen to him; he is a poisoner! And, in fact, only those changes permanently improve the condition of the working classes which are useful to the whole people: enhanced productiveness of every branch of business in the country, increased capital, the growth (also relative) of the industrial middle classes, the greater education, strength of character, skill and fidelity in labor of workmen themselves. Much especially depends upon their foresight and self-control as regards bringing children into the world. Without this latter virtue even the favorable circumstances would be soon trifled away.[178-6]

John Stuart Mill, II, ch. 13. Against the "philanthropists" who find it hard to preach to the poor, the only efficacious means of improving their condition, Dunoyer, L. du T., IV, ch. 10, says: The rich do employ it, although they have much less need of it! Even Marlo admits that a guaranty of the right to labor, without any measures to limit population, would, in a short time, and irredeemably lead the country to destruction. (Weltökonomie, I, 2, 357.) von Thünen, der isolirte Staat., II, 1, 81 ff., would take a leap out of the vicious circle that those who live by the labor of their hands can produce no rise in their wages, because they are too little educated to hold their increase properly in check; and that, on the other hand, they cannot give their children a decent education, because their wages are too low; by suggesting that educational institutions should be established by the state, and that these should elevate the subsequent generation of workmen intellectually.]

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