Wilhelm Roscher

“ The national income of a country is, on the whole, much less affected by a change of fashion than the separate incomes of its people. The same whim which lowers the value of one commodity increases the value of another; and what has ceased to be in fashion among the rich, becomes accessible, properly speaking, to the poorer classes of the community for the first time. [208-5] The want of varying his enjoyments is so peculiar to man, and so intimately connected with his capacity for progress, that it cannot in itself be blamed. ”

“ The reasons and counter-reasons advanced by those writers apply not only to luxury but to the lights and shades of high civilization in general. When a political economist declares for or against luxury in general, he resembles a doctor who should declare for or against the nerves in general. There has been luxury in every country and in every age. Among a healthy people, luxury is also healthy, an essential element in the general health of the nation. ”

“ This is possible between labor and capital, at least in so far as a comparison can be instituted between the sacrifice of human rest there is in labor and the sacrifice of enjoyment in the building up of capital. ”

“ The Socialists of our day would prefer to see the whole net income of a people employed in the satisfaction of the necessary wants of an ever increasing population. By this procedure, as a natural consequence, we should witness first the curtailing of the taxing power, of the funds for the satisfaction of the more refined wants and of the saving of capital, nor would it be long before even the existing generation would experience the bitterness of this "living from hand to mouth." After a time, even the possibility of progress and even of mere increase of population would cease. ”

“ 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. ”

“ Thus John Stuart Mill thinks that the American people derive from all their progress and all their favorable circumstances only this advantage: "that the life of the whole of one sex is devoted to dollar-hunting, and of the other to breeding dollar-hunters." ”

“ No man who manages his own affairs well, or those of a household, lives on the capital or income of another man; but every one lives on his own income, by the things he has himself produced; although with every further development of the division of labor, it becomes rarer that any one puts the finishing stroke to his own products, and can satisfy himself by their immediate consumption alone. ”

“ So long as we do not even know whether we live in one of the first or one of the last decades of humanity, every system of universal history in which each nation and period is made to take its place in due subordination to its superiors, can be only a castle in the air ”

“ The direction which luxury takes in times when civilization is advanced, is towards the real, healthy and tasteful enjoyment of life, rather than an inconvenient display. This tendency is exceedingly well expressed by the English word comfort, and it is in modern England that the luxury of the second period has found it happiest development. It is found side by side with frugality; and it frequently even looks like a return to the unaffected love of nature. ”

“ The new is always attractive, by reason of its newness; but at the same time, we hold to the old too precisely because of its age: and the force of inertia would always turn the scales in favor of the latter. This inertia, both physical and mental is so general, that perhaps the majority of mankind would continue forever satisfied with their traditional field of occupation and with their traditional circle of food, were it not that an impulse as powerful and universal as the sexual and that of the love of children compelled them to extend the limits of both. ”

“ An uncivilized nation will frequently not care to increase its consumption of our manufactures, if to do so it becomes necessary to carry on its agriculture more industriously. Another nation that has already tasted of the fruit of the tree of economic knowledge may not be satisfied with the mere production of raw material forever. In time it may want to carry on commerce and industry itself, and hence consider the breaking of its commercial course with us as a species of emancipation from us. ”

“ The national-economic advantage of insurance consists in this, that the damage which is divided among many, and which, therefore, is felt but lightly by each one, is probably made up for, not by an inroad upon the body of still existing original resources, but by savings made from income. This, indeed, is unconditionally true only of such damage as does not depend at all on the will of man, such as, for instance, the damage caused by hail. ”

“ It always supposes a high degree of intelligence and self-restraint among the lower classes, when an increase in the thing-value, or the real value of wages, does not produce an increase in the number of workmen, but in their well-being. The individual is too apt to think that it matters little to the whole community whether he brings children into the world or not, a species of egotism which has done most injury to the interests in common of mankind. As a rule, it requires a great and palpable enhancement of wages to make workmen, as a class, raise their standard of living. ”

“ All that can be called by the name of tradition, the political faith of a people, and the national feeling of right, had, in the Grecian world, been transformed into mere reasoning and concerned itself, with frightful exclusiveness, to the contrast existing between rich and poor. ”

“ Capital takes the place of men, and is valued more than men. All life is made to depend on the state, that its masters, the great money-men, may control it as they will. The falling away of all restrictions on trade, and of all uncommercial considerations relating to persons and circumstances, gives full play to capital, and speculators seek to win all that can be won. ”

“ Foreign trade, that great means of coöperation of labor among different nations, affords such a remedy in a very special manner. It very frequently happens that the undertakers of one country, when a certain factor of production seems too dear at home, borrow it elsewhere. Thus, for instance, a country with a high rate of wages draws on another for labor, and one with a high rate of interest on another for capital. ”

“ America needs a protective tariff more than any other nation, because of its dear workmen and capital. In Europe, the upper classes rob labor of its product, while in America, labor itself enjoys its products. ”

“ It is but seldom that the workmen will be in a condition to stop work for more than a few months, without feeling the sting of hunger. The purchaser of labor can live longer on his capital; and the victory here belongs to the party who, in the struggle, holds out longest. Hence, a strike that lasts more than six weeks may, for that reason alone, be considered a failure. The employers of labor, on account of their smaller number and greater education, make their counter-coalition much more secret and effective. ”

“ The maintenance or support of those workmen whom they themselves acknowledge to be productive is presumably accounted productive consumption by all political economists. Why not, therefore, the cost of supporting and educating our children, who, it is to be hoped, will grow up later to be productive workmen. Man's labor-power is, doubtless, one of the greatest of all economic goods. But without the means of subsistence, it would die out in a few days. ”

“ The ratio which net income bears to gross income is a very important element to enable us to judge of the advantageousness of any method of production. If every producer should succeed in consequence of keeping his books in this manner, in determining exactly the cost to him of each of his products, this would be an economic [Pg 5] progress similar to that of general spread of good chemical knowledge in the arts. On the amount of free income, on the other hand, depends all the higher enjoyment of life, all rational beneficence, and the progressive enrichment of mankind. ”

“ There is a public opinion which fixes the gradation of the different classes of labor and their appropriate reward, which is slow to change, and which both determines, and is determined by the relation of supply and demand. There is an equilibrium between the pleasantness of work and the rate of wages only in the case of such kinds of labor as are on the same social footing. It frequently happens, however, that the most repulsive work has to be performed by those who are forced to accept any pay and to be satisfied with it. ”

“ It is just as absurd to fear that the three branches of income in the same country's economy should be all relatively high at the same time, and competition with foreign countries be thus made more difficult. ”

“ In the case of a whole people, indeed, even the many-years' average of the duration of life of those deceased expresses the true average duration of life only when (a rare case) the aggregate population remains stationary. For, when the population is increasing, the average age of the deceased is smaller than the average duration of life, and, when population is decreasing, larger. In the saddest case of all, when there are no births whatever, and the nation is gradually dying out, there would be an increase from year to year of the average age. ”

“ Since the protective system forces capital and labor away from the production of raw material and into industry, it exerts a great influence on the relations of the classes or estates of a country to one another. The immense preponderance possessed in medieval times by the nobility, agriculture, the country in general as contradistinguished from the city, by the aristocratic and conservative elements, is curtailed in favor of the bourgeoisie, of industry, of the cities generally, and of the democratic and progressive elements. ”

“ Here the sacrifice is imposed on all the consumers of the "protected" commodity, that is, on the entire people, to the extent that they come in contact with the commodity in question. Export duties on raw materials, on the other hand, compel one single class of the people to make sacrifices in order to advance the favored industry. [A3-8-2] Export premiums for commodities on which labor has been expended are distinguished from import duties as the offensive from the defensive: the former promote the artificial trade, the trade which has gone beyond its natural basis, the latter curtail it. ”

“ The person who calls a good doctor or a good judge unproductive should, to be consistent, call those who by their greater intelligence are fitted to superintend agricultural and industrial enterprises unproductive, also, as is done by the coarser socialists with their apotheosis of mere manual labor. Unfortunately, such a settlement as is above contemplated among the different factors of production, whose owners are desirous to divide the common product among them, is possible only where the factors of production are either of the same kind, or can be reduced to a common denominator. ”

“ As the purchase of a piece of land [154-1] is no more and no less than its exchange against a portion of capital in the shape of money, [154-2] its purchase price depends generally on the amount it will rent for as compared with the interest on the capital to be given in exchange for it. The rate of interest remaining the same, it rises and falls with its rent. And vice versa, the rent remaining the same it rises and falls inversely as the rate of interest. [154-3] A rise in the price of land is not always a proof of the growing wealth of a people. ”

“ In reality, however, we as seldom meet with interest [179-3] pure and simple, as we do with rent pure and simple. A person who works with his own capital can, at best, by a comparison with others, determine where, in the returns of his business, wages stop and interest begins. [179-4] And even in the loaning of capital, it depends largely on supply and demand, whether the creditor shall suffer a deduction in consequence of the absence of care and labor attending his gain, and whether the debtor, in order to get some capital at all, shall sacrifice a part of the wages of his labor. ”

“ In addition to this there is the striving after the new for the sake of novelty; a striving promotive of progress in itself, and without which the full development of the forces of civilization would probably not be possible. But if the genius of no nation is possessed of infinite capacities, it must happen, at last, that, in case the best has been attained, and the demand for novelty continues, men will go over to that which is worse. ”