Monday, August 27, 2012


Jean-Baptiste Say

BY the term labour I shall designate that continuous action, exerted to perform any one of the operations of industry, or a part only of one of those operations.
Labour, upon whichever of those operations it be bestowed, is productive, because it concurs in the creation of a product. Thus the labour of the philosopher, whether experimental or literary, is productive; the labour of the adventurer or master-manufacturer is productive, although he perform no actual manual work; the labour of every operative workman is productive, from the common day-labourer in agriculture, to the pilot that governs the motion of a ship.
Labour of an unproductive kind, that is to say, such as does not contribute to the raising of the products of some branch of industry or other, is seldom undertaken voluntarily; for labour, under the definition above given, implies trouble, and trouble so bestowed could yield no compensation or resulting benefit: wherefore, it would be mere folly or waste in the person bestowing it. When trouble is directed to the stripping another person of the goods in his possession by means of fraud or violence, what was before mere extravagance and folly, degenerates to absolute criminality; and there results no production, but only a forcible transfer of wealth from one individual to another.
Man, as we have already seen, obliges natural agents, and even the products. of his own previous industry, to work in concert with him in the business of production. There will, therefore, be no

difficulty in comprehending the terms labour or productive service of nature, and labour or productive service of capital.
The labour performed by natural agents, and that executed b) pre-existent products, to which we have given the name of capital, are closely analogous, and are perpetually confounded one with the other: for the tools and machines which form a principal item of capital, are commonly but expedients more or less ingenious, for turning natural powers to account. The steam engine is but a complicated method of taking advantage of the alternation of the elasticity of water reduced to vapour, and of the weight of the atmosphere. So that, in point of fact, a steam engine employs more productive agency, than the agency of the capital embarked in it: for that machine is an expedient for forcing into the service of man a variety of natural agents, whose gratuitous aid may perhaps infinitely exceed in value the interest of the capital invested in the machine.
It is in this light that all machinery must be regarded, from the simplest to the most complicated instrument, from a common file to the most expensive and complex apparatus. Tools are but simple
machines, and machines but complicated tools, whereby we enlarge the limited powers of our hands and fingers; and both are,in many respects, mere means of obtaining the co-operation of natural agents.
Their obvious effect is to make less labour requisite for the raising the same quantity of produce, or, what comes exactly to the same thing, to obtain a larger produce from the same quantity of human
labour.—And this is the grand object and the acme of industry.
Whenever a new machine, or a new and more expeditious process is substituted in the place of human labour previously in activity, part of the industrious human agents, whose service is thus ingeniously dispensed with, must needs be thrown out of employ. Whence many objections have been raised against the use of machinery, which has been often obstructed by popular violence, and sometimes
by the act of authority itself.
To give any chance of wise conduct in such cases, it is necessary beforehand to acquire a clear notion of the economical effect resulting from the introduction of machinery.
A new machine supplants a portion of human labour, but does not diminish the amount of the product; if it did, it would be absurd to adopt it. When water-carriers are relieved in the supply of a city by any kind of hydraulic engine, the inhabitants are equally well supplied with water. The revenue of the district is at least as great, but it takes a different direction. That of the water-carriers is reduced, while that of the mechanists and capitalists, who furnish the funds, is increased. But, if the superior abundance of the product and the inferior charges of its production, lower its exchangeable value, the revenue of the consumers is benefited; for to them every saving of expenditure is so much gain.
This new direction of revenue, however advantageous to the community at large, as we shall presently see, is always attended with some painful circumstances. For the distress of a capitalist, when his funds are unprofitably engaged or in a state of inactivity, is nothing to that of an industrious population deprived of the means of subsistence.
Inasmuch as machinery produces that evil, it is clearly objectionable. But there are circumstances that commonly accompany its introduction, and wonderfully reduce the mischiefs, while at the same time they give full play to the benefits of the innovation. For,
1. New machines are slowly constructed, and still more slowly
brought into use; so as to give time for those who are interested, to
take their measures, and for the public administration to provide a
2. Machines cannot be constructed without considerable labour,
which gives occupation to the hands they throw out of employ. For
.nstance, the supply of a city with water by conduits gives increased
occupation to carpenters, masons, smiths, paviours, &c. in the construction of the works, the laying down the main and branch pipes,
&c. &c.
3. The condition of consumers at large, and consequently,
amongst them, of the class of labourers affected by the innovation,
is improved by the reduced value of the product that class was
occupied upon.

Besides- it would be vain to attempt to avoid the transient evil, consequent il upon the invention of a new machine, by prohibiting its employment. If beneficial, it is or will be introduced somewhere or other; its products will be cheaper than those of labour conducted on the old principle; and sooner or later that cheapness will run away with the consumption and demand. Had the cotton spinners on the old principle, who destroyed the spinning-jennies on their introduction into Normandy, in 1789, succeeded in their object France must have abandoned the cotton manufacture; every body would have bought the foreign article, or used some substitute; and the spinners of Normandy, who, in the end, most of them, found employment in the new establishments, would have been yet worse off for employment.

So much for the immediate effect of the introduction of machinery.
The ultimate effect is wholly in its favour.
Indeed if by its means man makes a conquest of nature, and compels the powers of nature and the properties of natural agents to work for his use and advantage, the gain is too obvious to need illustration. There must always be an increase of product, or a diminution in the cost of production. If the sale-price of a product do not fall, the acquisition redounds to the profit of the producer; and that without any loss to the consumer. If it do fall, the consumer is benefited to the whole amount of the fall, without any loss to the producer.
The multiplication of a product commonly reduces its price, that reduction extends its consumption; and so its production, though become more rapid, nevertheless gives employment to more hands
than before. It is beyond question, that the manufacture of cot ton now occupies more hands in England, France, and Germany, than it did before the introduction of the machinery that has abridged and perfected this branch of manufacture in so remarkable a degree.
Another striking example of a similar effect is presented by the machine used to multiply with rapidity the copies of a literary per formance,—I mean the printing press.
Setting aside all consideration of the prodigious impulse given by the art of printing to the progress of human knowledge and civilization, I will speak of it merely as a manufacture, and in an economical point of view. When printing was first brought into use, a multitude of copyists were of course immediately deprived of occupation ; for it may be fairly reckoned, that one journeyman printer does the business of two hundred copyists. We may, therefore, conclude, that 199 out of 200 were thrown out of work. What followed? Why, in a little time, the greater facility of reading printed than written books, the low price to which books fell, the stimulus this invention gave to authorship, whether devoted to amusement or instruction, the combination, in short, of all these causes, operated so effectually as to set at work, in a very little time, more journeymen printers than there were formerly copyists. And if we could now calculate with precision, besides the number of journeymen printers, the total number of other industrious people that the press finds occupation for, whether as type-founders and moulders, paper-makers, carriers, compositors, bookbinders, booksellers, and the like, we should probably find, that the number of persons occupied in the manufacture of books is now 100 times what
it was before the art of printing was invented.
It may be allowable to add, that viewing human labour and machinery in the aggregate, in the supposition of the extreme case, that machinery should be brought to supersede human labour altogether, yet the numbers of mankind would not be thinned; for the sum total of products would be the same, and there would probably be less suffering to the poorer and labouring classes to be appreciated; for in that case the momentary fluctuations, that distress the different branches of industry, would principally affect machinery which, and not human labour, would be paralyzed ; and machinery cannot die of hunger ; it can only cease to yield profit to its employers, who are generally farther removed from want than mere labourers.
But however great may be the advantages, which the adventurers in industry, and even the operative classes, may ultimately derive from the employment of improved machinery, the great gain accrues to the consumers, which is always the most important class, because it is the most numerous; because it comprehends every description of producers whatever; and because the welfare of this
class, wherein all others are comprised, constitutes the general wellbeing and prosperity of a nation. I repeat, that it is the consumers who draw the greatest benefit from machinery; for though the invei/or may indeed for some years enjoy the exclusive advantage of his invention, which it is highly just and proper he should, yet there is no instance of a secret remaining long undivulged. Nothing can long escape publicity, least of all what people have a personal interest in discovering, especially if the secret be necessarily confided to the discretion of a number of persons employed in constructing or in working the machine. The product is thenceforward cheapened by competition to the full extent of the saving in the cost of production; and thenceforward begins the full advantage to the consumer.—The grinding of corn is probably not more profitable to the miller now than formerly; but it costs infinitely less to the consumer.
Nor is cheapness the sole benefit that the consumer reaps from the introduction of more expeditious processes: he generally gains in addition the greater perfection of the product. Painters could undoubtedly execute with the brush or pencil the designs that ornament our printed calicoes and furniture papers, but the copperplates and rollers employed for that purpose give a regularity of pattern, ana uniformity of colour, which the most skilful artist could never equal.
The close pursuit of this inquiry through all the arts of industry would show, that the advantage of machinery is not limited to the bare substitution of it for human labour, but that, in fact- it gives a
positive new product, inasmuch as it gives a degree of perfection before unknown. The flatting-mill and the die execute products, that the utmost skill and attention of the human hand could never
In fine, machinery does still more; it multiplies products with which it has no immediate connexion. Without taking the trouble; to reflect, one perhaps would scarcely imagine that the plough, the
harrow, and other similar machines, whose origin is lost in the night
of ages, 'rave powerfully contributed to procure for mankf id, besides the absolute necessaries of life, a vast number of the superfluities they now enjoy, whereof they would otherwise never have had any conception. Yet, if the different dressings the soil requires could be no otherwise given, than by the spade, the hoe, and other such simple and tardy expedients, if we were unable to* make available in agricultural production those domestic animals, that, in the eye of political economy, are but a kind of machines, it is most likely that the whole mass of human labour, now applicable to the arts of industry, would be occupied in raising the bare necessary subsistence of the actual population. Thus, the plough has been instrumental in releasing a number of hands for the prosecution of the arts, even of the most frivolous kind; and what is of more importance, for the cultivation of the intellectual faculties.
The ancients were unacquainted with water or wind-mills. In their time, the wheat their bread was made of, was pounded by the labour of the hand: so that perhaps no less than twenty individuals
were occupied in pounding as much wheat as one mill can grind.
Now a single miller, or two at the most, is enough to feed nnd superintend a mill. By the aid, then, of this ingenious piece of mechanism, two persons are as productive as twenty were in the dnys of Coesar. Wherefore, in every one of our mills, we make the wind, or a current of water, do the work of eighteen persons; which eighteen extra persons are just as well provided with subsistence; for the mill has in no respect diminished the general produce of the community: and whose exertions may be directed to the creation of new products, to be given by them in exchange for the produce of the mill; thereby augmenting the general wealth of the community.

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