Economic well-being

“ But when we come down to practical economics, and face the task of giving to a certain number of human beings, in an extremely backward industrial condition, the opportunity of placing themselves and their families on a basis of permanent well-being, it will be evident that, so far, at any rate, as this particular community is concerned, the mere provision of an economic holding is after all but a part of an economic existence. ”

“ Whatever merits it has consist in its possible ability to promote the national economic interest in a progressively improving general standard of living, in a higher standard of individual work, and in a general efficiency of labor. ”

“ The machinery of government then becomes a part of every person's welfare, and his relation to its maintenance by contribution of his wealth is a part of prudent consumption. The economic question in consumption, then, involves not so much what one can get from society as what he can give to society, since his welfare comes largely through organization in the use of accumulated wealth. ”

“ Likewise, the importance to industry of active and enterprising leadership. Thirdly: the social and economic evil effects of great inequality of wealth. Fourthly: the fact that the health, energy, spirit, and intelligence of the wage earners are 243 factors of high importance in the creation of a stable and effective industrial régime, and that the development and display of these qualities by individuals are affected by their economic conditions and surroundings, here and now. Likewise, the importance of giving the best possible opportunity to all to develop their natural ability. ”

“ And the decisions we make now will determine whether or not we accelerate this progress – whether economic gains flow to a few at the top, or whether a growing economy fuels rising incomes and a thriving middle class. ”

“ The fundamental basis for the maintenance of national standards of living is adequate production, economical distribution, and fair apportionment among the various economic groups which constitute our society. ”

“ And thanks to the grit and resilience of the American people, we’ve begun to lay a foundation for stronger, more durable economic growth. But as any working family will tell you, we’re not where we need to be. ”

“ Increase of production followed by an increased national income has under the present laws—as has been shown in the booming trade of recent years—meant that the rich have become richer. The present income is sufficient to assure the greater health and well-being of the whole population, but the rich must submit to receive a smaller proportion. ”

“ In other words, what are the chief lines of economic change required to bring about a readjustment between modern methods of production and social welfare? The answer to this question requires us to amplify our interpretation of the industrial evolution of the past century by producing into the future the same lines of development that they may be justified by the appearance of consisting with some rational social end. ”

“ We heard from business owners, workers, economists, and many other Americans who are seeing hopeful signs throughout our country. Our economy has come through a lot these past four years and now our people are benefitting from solid economic growth, steady gains in new jobs, record home ownership, and rising family incomes. ”

“ But there is a distinction to be made between industrial efficiency and business prosperity. Americans have hitherto identified prosperity with a furious economic activity, and an ever-increasing economic product—regardless of genuine economy of production and any proper distribution of the fruits. ”

“ We have social welfare as the result of wealth consumed, or used up. Society is interested in all the wealth accumulated, and the methods of its accumulation and its fair distribution are a part of social machinery; yet these have their chief significance in the final consumption. It is not what we have, but what we do with it, that makes society interested in our possessions. It is not what society has, but how it uses it, that settles the chief questions of welfare or illfare. ”

“ Writers of all schools admit that activity in certain departments of national life is a fair indication of prosperity and progress. It is, for instance, generally allowed that an increase in population, a development of agricultural and manufacturing industry, a growth of foreign commerce, an increase in shipping, or an improvement in the public revenue, are all signs of health and well-being ”

“ Living on one's income is becoming as much a part of American economic life as living by factory labor, or by mining, or by manufacturing, or by any other occupation upon which the community depends for its products. ”

“ Whatever we have had, leaving the white collar workers and the farmers in discomfort as it has done, it has not been a tide of prosperity. That there has been a great activity in business is undeniable, but industrial activity and economic prosperity are two different things. ”

“ All of us must advance together. One-fifth of our families now have average annual incomes of less than $850. We must see that our gains in national income are made more largely available to those with low incomes, whose need is greatest. This will benefit us all through providing a stable foundation of buying power to maintain prosperity.
Business, labor, agriculture, and Government, working together, must develop the policies which will make possible the realization of the full benefits of our economic system. ”

“ Production extended.—In all these three directions, or in any combination of them, transporting, transforming and transmuting materials, men seek the production of a supply for meeting anticipated wants, and so contribute directly or indirectly to welfare. No one way of producing what men need, where they need it, and when they need it, has any superior claim to the name production. All are making the material yield up welfare to the one who needs it, and produce wealth just so far as their services are necessary in bringing the welfare. ”

“ Wealth distributed, not welfare.—In considering the principles of fair distribution among all the parties contributing to production of wealth, it is necessary to remember that wealth and not welfare is the subject of thought. ”

“ Today we count among our national blessing a time of unprecedented prosperity, with expanding economy, low rates of poverty and unemployment among our people, limitless opportunities for our children and the future. ”

“ When the workers are society they will regulate their labour, so that the supply and demand shall be genuine, not gambling; the two will then be commensurate, for it is the same society which demands that also supplies; there will be no more artificial famines then, no more poverty amidst over-production, amidst too great a stock of the very things which should supply poverty and turn it into well-being. ”

“ It has not worked miracles, it has not introduced an industrial millennium, the poor are still with us, and it has not saved us from our share of commercial depressions. But, on the whole, national wealth has greatly increased, and, what is more important, national well-being [244] has increased with it, the mass of the population, and especially the working classes, get better wages, work shorter hours, and are better fed, better clothed, and better educated than they were forty years ago. ”

“ Resources of government.—All expenditures of government are as subject to economic laws with reference to consumption of wealth as are those of individuals. Actual result in welfare is the only reason for such expenditure. Hence the same tests of economy are applied. Government makes but few expenditures for the immediate purpose of reproducing and increasing wealth. So far as its investments sustain productive industry, and the products of that industry enter into the world's market, they are subject to the same economic laws of supply and demand that govern all production of wealth. ”

“ We should thereby directly and indirectly have secured enormous economic advantages in the productive industry of the persons saved, and in their contributions to the maintenance of those dependent on them. ”

“ The primary task may be to secure a better adjustment of the economic interests of employer and employee through an improvement of the wage system, but in the larger sense the industrial problem is a social and moral one. ”

“ Even some of the improvements in labor and welfare conditions have been introduced in this way, with a view to securing a more permanent and more efficient labor supply, and thereby aiding the enterprise from the commercial standpoint. ”

“ His very industry gains its reward by certain means in society depending upon economic principles. His motives for accumulating wealth have a distinct place. His uses of accumulated wealth are a part of the general facts which make wealth desirable. So the study of wealth in society must be everybody's study, if each wishes to do best for himself or for his neighbors. In such study of welfare every one finds his interests completely blended with the interests of others. ”

“ All these economic results are being sought not to benefit the rich, but to benefit the people. They are for the purpose of encouraging industry in order that employment may be plentiful. They seek to make business good in order that wages may be good. ”

“ Well, just because you have somebody, if you bring in 1,000 people--and we know that we are going to have to educate the children especially and the youth, we will have to provide health care and housing and nutrition, the food, clothing, and shelter--as I said, 1,000 people could come in, and if one of them does a day's work, that contributes to the GDP, the gross domestic product.
So if the day's work of one in 1,000 contributes to the GDP, they, by their definition, say the economy is growing. ”

“ If we don’t want growth, we can easily imagine a stagnant economy. That said, most economies aspire at a growth in welfare. We can do this by designing new products or by material investments or by creative ways to reorganise production. ”

“ In offering this volume to farmers I do not assume that all questions of wealth and welfare can be settled by rule. I hope to point out the actual trend of facts, the universal principles sustained by the facts, and means of most ready adjustment to circumstances in the evolutions of trade and manufacture. The business sense of farmers is appealed to for the sake of their own welfare. ”

“ Nor is it precisely true that the labor set free by each250 improvement will all be driven to seek employment in the production of more wealth. The increased power of satisfaction, which each fresh improvement gives to a certain portion of the community, will be utilized in demanding leisure or services, as well as in demanding wealth. Some laborers will, therefore, become idlers and some will pass from the ranks of productive to those of unproductive laborers—the proportion of which, as observation shows, tends to increase with the progress of society. ”

“ Effect upon individuals and classes Who can say to what infinite powers the wealth-producing capacity of labour may not be raised by social adjustments that will give to the producers of wealth their fair proportion of its advantages and enjoyments? Every new power engaged in the service of man would improve the condition of all. ”

“ As we are discussing here only economic questions, this means that the end to be sought is that the largest number of people should have secured to them the greatest possible amount of the necessaries and comforts of life; or, more simply, that the total of human happiness to be derived from the world's production of wealth should be the greatest possible. Now for our present purpose we may assume that since all men desire wealth, the greater its production, the greater will be the number [163] of human desires gratified. ”

“ Does an idea expand middle class incomes and opportunities? Does it promote values like family and work, responsibility and community? Does it contribute to strengthening the new economy and to building a better future for all of us? ”

“ I replied, “and ought to meet a fair answer, and I should say that, were our country in a fair ordinary state of prosperity, there would be no reason why our wealth should not flow out for the encouragement of well-directed industry in any part of the world; from this point of view we might look on the whole world as our country, and cheerfully assist in developing its wealth and resources. ”

“ Supposing, therefore, that the actual comforts of the labourer remain the same, profits will fall or rise, according as population, or improvements in the production of food and other necessaries, advance fastest. ”

“ And we set out to rebuild our economy on a new foundation for growth and prosperity by investing in things that grow our middle class – things like jobs, health care, and education.
Today, our businesses have created more than 13 million new jobs over the last five and a half years. ”

“ Just as industry, economy, or skill may improve the condition of the workmen who possess them in superior degree, but cease to have this effect when improvement in those respects becomes general, so a special advantage in procuring supplies, or a special efficiency given to some labour, may secure advantages which would be lost as soon as those improvements became so general as to affect the general relations of distribution. ”

“ It tends to the highest well-being of the community, that is, to its possession of a maximum of vital attraction for individuals, that this industry should supply a variety of sources of income; that is, wages, profits and interest. If the community can retain in its own bounds the owners of its industries, at least in some numbers, and the capitalists whose wealth is invested in these industries, it is [Pg 96] of great service. ”