READ STUDY GUIDE: Chapters 8-14
Dr. and Mrs. Leete were evidently not a little startled to learn, when they presently appeared, that I had been all over the city alone that morning, and it was apparent that they were agreeably surprised to see that I seemed so little agitated after the experience.
"Your stroll could scarcely have failed to be a very interesting one," said Mrs. Leete, as we sat down to table soon after. "You must have seen a good many new things."
"I saw very little that was not new," I replied. "But I think what surprised me as much as anything was not to find any stores on Washington Street, or any banks on State. What have you done with the merchants and bankers? Hung them all, perhaps, as the anarchists wanted to do in my day?"
"Not so bad as that," replied Dr. Leete. "We have simply dispensed with them. Their functions are obsolete in the modern world."
"Who sells you things when you want to buy them?" I inquired.
"There is neither selling nor buying nowadays; the distribution of goods is effected in another way. As to the bankers, having no money we have no use for those gentry."
"Miss Leete," said I, turning to Edith, "I am afraid that your father is making sport of me. I don't blame him, for the temptation my innocence offers must be extraordinary. But, really, there are limits to my credulity as to possible alterations in the social system."
"Father has no idea of jesting, I am sure," she replied, with a reassuring smile.
The conversation took another turn then, the point of ladies' fashions in the nineteenth century being raised, if I remember rightly, by Mrs. Leete, and it was not till after breakfast, when the doctor had invited me up to the house-top, which appeared to be a favorite resort of his, that he recurred to the subject.
"You were surprised," he said, "at my saying that we got along without money or trade, but a moment's reflection will show that trade existed and money was needed in your day simply because the business of production was left in private hands, and that, consequently, they are superfluous now."
"I do not at once see how that follows," I replied.
"It is very simple," said Dr. Leete. "When innumerable different and independent persons produced the various things needful to life and comfort, endless exchanges between individuals were requisite in order that they might supply themselves with what they desired. These exchanges constituted trade, and money was essential as their medium. But as soon as the nation became the sole producer of all sorts of commodities, there was no need of exchanges between individuals that they might get what they required. Everything was procurable from one source, and nothing could be procured anywhere else. A system of direct distribution from the national storehouses took the place of trade, and for this money was unnecessary."
"How is this distribution managed?" I asked.
"On the simplest possible plan," replied Dr. Leete. "A credit corresponding to his share of the annual product of the nation is given to every citizen on the public books at the beginning of each year, and a credit card issued him with which he procures at the public storehouses, found in every community, whatever he desires whenever he desires it. This arrangement, you will see, totally obviates the necessity for business transactions of any sort between individuals and consumers. Perhaps you would like to see what our credit cards are like.
"You observe," he pursued as I was curiously examining the piece of pasteboard he gave me, "that this card is issued for a certain number of dollars. We have kept the old word, but not the substance. The term, as we use it, answers to no real thing, but merely serves as an algebraical symbol for comparing the values of products with one another. For this purpose they are all priced in dollars and cents, just as in your day. The value of what I procure on this card is checked off by the clerk, who pricks out of these tiers of squares the price of what I order."
"If you wanted to buy something of your neighbor, could you transfer part of your credit to him as consideration?" I inquired.
"In the first place," replied Dr. Leete, "our neighbors have nothing to sell us, but in any event our credit would not be transferable, being strictly personal. Before the nation could even think of honoring any such transfer as you speak of, it would be bound to inquire into all the circumstances of the transaction, so as to be able to guarantee its absolute equity. It would have been reason enough, had there been no other, for abolishing money, that its possession was no indication of rightful title to it. In the hands of the man who had stolen it or murdered for it, it was as good as in those which had earned it by industry. People nowadays interchange gifts and favors out of friendship, but buying and selling is considered absolutely inconsistent with the mutual benevolence and disinterestedness which should prevail between citizens and the sense of community of interest which supports our social system. According to our ideas, buying and selling is essentially anti-social in all its tendencies. It is an education in self-seeking at the expense of others, and no society whose citizens are trained in such a school can possibly rise above a very low grade of civilization."
"What if you have to spend more than your card in any one year?" I asked.
"The provision is so ample that we are more likely not to spend it all," replied Dr. Leete. "But if extraordinary expenses should exhaust it, we can obtain a limited advance on the next year's credit, though this practice is not encouraged, and a heavy discount is charged to check it. Of course if a man showed himself a reckless spendthrift he would receive his allowance monthly or weekly instead of yearly, or if necessary not be permitted to handle it all."
"If you don't spend your allowance, I suppose it accumulates?"
"That is also permitted to a certain extent when a special outlay is anticipated. But unless notice to the contrary is given, it is presumed that the citizen who does not fully expend his credit did not have occasion to do so, and the balance is turned into the general surplus."
"Such a system does not encourage saving habits on the part of citizens," I said.
"It is not intended to," was the reply. "The nation is rich, and does not wish the people to deprive themselves of any good thing. In your day, men were bound to lay up goods and money against coming failure of the means of support and for their children. This necessity made parsimony a virtue. But now it would have no such laudable object, and, having lost its utility, it has ceased to be regarded as a virtue. No man any more has any care for the morrow, either for himself or his children, for the nation guarantees the nurture, education, and comfortable maintenance of every citizen from the cradle to the grave."
"That is a sweeping guarantee!" I said. "What certainty can there be that the value of a man's labor will recompense the nation for its outlay on him? On the whole, society may be able to support all its members, but some must earn less than enough for their support, and others more; and that brings us back once more to the wages question, on which you have hitherto said nothing. It was at just this point, if you remember, that our talk ended last evening; and I say again, as I did then, that here I should suppose a national industrial system like yours would find its main difficulty. How, I ask once more, can you adjust satisfactorily the comparative wages or remuneration of the multitude of avocations, so unlike and so incommensurable, which are necessary for the service of society? In our day the market rate determined the price of labor of all sorts, as well as of goods. The employer paid as little as he could, and the worker got as much. It was not a pretty system ethically, I admit; but it did, at least, furnish us a rough and ready formula for settling a question which must be settled ten thousand times a day if the world was ever going to get forward. There seemed to us no other practicable way of doing it."
"Yes," replied Dr. Leete, "it was the only practicable way under a system which made the interests of every individual antagonistic to those of every other; but it would have been a pity if humanity could never have devised a better plan, for yours was simply the application to the mutual relations of men of the devil's maxim, 'Your necessity is my opportunity.' The reward of any service depended not upon its difficulty, danger, or hardship, for throughout the world it seems that the most perilous, severe, and repulsive labor was done by the worst paid classes; but solely upon the strait of those who needed the service."
"All that is conceded," I said. "But, with all its defects, the plan of settling prices by the market rate was a practical plan; and I cannot conceive what satisfactory substitute you can have devised for it. The government being the only possible employer, there is of course no labor market or market rate. Wages of all sorts must be arbitrarily fixed by the government. I cannot imagine a more complex and delicate function than that must be, or one, however performed, more certain to breed universal dissatisfaction."
"I beg your pardon," replied Dr. Leete, "but I think you exaggerate the difficulty. Suppose a board of fairly sensible men were charged with settling the wages for all sorts of trades under a system which, like ours, guaranteed employment to all, while permitting the choice of avocations. Don't you see that, however unsatisfactory the first adjustment might be, the mistakes would soon correct themselves? The favored trades would have too many volunteers, and those discriminated against would lack them till the errors were set right. But this is aside from the purpose, for, though this plan would, I fancy, be practicable enough, it is no part of our system."
"How, then, do you regulate wages?" I once more asked.
Dr. Leete did not reply till after several moments of meditative silence. "I know, of course," he finally said, "enough of the old order of things to understand just what you mean by that question; and yet the present order is so utterly different at this point that I am a little at loss how to answer you best. You ask me how we regulate wages; I can only reply that there is no idea in the modern social economy which at all corresponds with what was meant by wages in your day."
"I suppose you mean that you have no money to pay wages in," said I. "But the credit given the worker at the government storehouse answers to his wages with us. How is the amount of the credit given respectively to the workers in different lines determined? By what title does the individual claim his particular share? What is the basis of allotment?"
"His title," replied Dr. Leete, "is his humanity. The basis of his claim is the fact that he is a man."
"The fact that he is a man!" I repeated, incredulously. "Do you possibly mean that all have the same share?"
The readers of this book never having practically known any other arrangement, or perhaps very carefully considered the historical accounts of former epochs in which a very different system prevailed, cannot be expected to appreciate the stupor of amazement into which Dr. Leete's simple statement plunged me.
"You see," he said, smiling, "that it is not merely that we have no money to pay wages in, but, as I said, we have nothing at all answering to your idea of wages."
By this time I had pulled myself together sufficiently to voice some of the criticisms which, man of the nineteenth century as I was, came uppermost in my mind, upon this to me astounding arrangement. "Some men do twice the work of others!" I exclaimed. "Are the clever workmen content with a plan that ranks them with the indifferent?"
"We leave no possible ground for any complaint of injustice," replied Dr. Leete, "by requiring precisely the same measure of service from all."
"How can you do that, I should like to know, when no two men's powers are the same?"
"Nothing could be simpler," was Dr. Leete's reply. "We require of each that he shall make the same effort; that is, we demand of him the best service it is in his power to give."
"And supposing all do the best they can," I answered, "the amount of the product resulting is twice greater from one man than from another."
"Very true," replied Dr. Leete; "but the amount of the resulting product has nothing whatever to do with the question, which is one of desert. Desert is a moral question, and the amount of the product a material quantity. It would be an extraordinary sort of logic which should try to determine a moral question by a material standard. The amount of the effort alone is pertinent to the question of desert. All men who do their best, do the same. A man's endowments, however godlike, merely fix the measure of his duty. The man of great endowments who does not do all he might, though he may do more than a man of small endowments who does his best, is deemed a less deserving worker than the latter, and dies a debtor to his fellows. The Creator sets men's tasks for them by the faculties he gives them; we simply exact their fulfillment."
"No doubt that is very fine philosophy," I said; "nevertheless it seems hard that the man who produces twice as much as another, even if both do their best, should have only the same share."
"Does it, indeed, seem so to you?" responded Dr. Leete. "Now, do you know, that seems very curious to me? The way it strikes people nowadays is, that a man who can produce twice as much as another with the same effort, instead of being rewarded for doing so, ought to be punished if he does not do so. In the nineteenth century, when a horse pulled a heavier load than a goat, I suppose you rewarded him. Now, we should have whipped him soundly if he had not, on the ground that, being much stronger, he ought to. It is singular how ethical standards change." The doctor said this with such a twinkle in his eye that I was obliged to laugh.
"I suppose," I said, "that the real reason that we rewarded men for their endowments, while we considered those of horses and goats merely as fixing the service to be severally required of them, was that the animals, not being reasoning beings, naturally did the best they could, whereas men could only be induced to do so by rewarding them according to the amount of their product. That brings me to ask why, unless human nature has mightily changed in a hundred years, you are not under the same necessity."
"We are," replied Dr. Leete. "I don't think there has been any change in human nature in that respect since your day. It is still so constituted that special incentives in the form of prizes, and advantages to be gained, are requisite to call out the best endeavors of the average man in any direction."
"But what inducement," I asked, "can a man have to put forth his best endeavors when, however much or little he accomplishes, his income remains the same? High characters may be moved by devotion to the common welfare under such a system, but does not the average man tend to rest back on his oar, reasoning that it is of no use to make a special effort, since the effort will not increase his income, nor its withholding diminish it?"
"Does it then really seem to you," answered my companion, "that human nature is insensible to any motives save fear of want and love of luxury, that you should expect security and equality of livelihood to leave them without possible incentives to effort? Your contemporaries did not really think so, though they might fancy they did. When it was a question of the grandest class of efforts, the most absolute self-devotion, they depended on quite other incentives. Not higher wages, but honor and the hope of men's gratitude, patriotism and the inspiration of duty, were the motives which they set before their soldiers when it was a question of dying for the nation, and never was there an age of the world when those motives did not call out what is best and noblest in men. And not only this, but when you come to analyze the love of money which was the general impulse to effort in your day, you find that the dread of want and desire of luxury was but one of several motives which the pursuit of money represented; the others, and with many the more influential, being desire of power, of social position, and reputation for ability and success. So you see that though we have abolished poverty and the fear of it, and inordinate luxury with the hope of it, we have not touched the greater part of the motives which underlay the love of money in former times, or any of those which prompted the supremer sorts of effort. The coarser motives, which no longer move us, have been replaced by higher motives wholly unknown to the mere wage earners of your age. Now that industry of whatever sort is no longer self-service, but service of the nation, patriotism, passion for humanity, impel the worker as in your day they did the soldier. The army of industry is an army, not alone by virtue of its perfect organization, but by reason also of the ardor of which animates its members.
"But as you used to supplement the motives of patriotism with the love of glory, in order to stimulate the valor of your soldiers, so do we. Based as our industrial system is on the principle of requiring the same unit of effort from every man, that is, the best he can do, you will see that the means by which we spur the workers to do their best must be a very essential part of our scheme. With us, diligence in the national service is the sole and certain way to public repute, social distinction, and official power. The value of a man's services to society fixes his rank in it. Compared with the effect of our social arrangements in impelling men to be zealous in business, we deem the object-lessons of biting poverty and wanton luxury on which you depended a device as weak and uncertain as it was barbaric. The lust of honor even in your sordid day notoriously impelled men to more desperate effort than the love of money could."
"I should be extremely interested," I said, "to learn something of what these social arrangements are."
"The scheme in its details," replied the doctor, "is of course very elaborate, for it underlies the entire organization of our industrial army; but a few words will give you a general idea of it."
At this moment our talk was charmingly interrupted by the emergence upon the aerial platform where we sat of Edith Leete. She was dressed for the street, and had come to speak to her father about some commission she was to do for him.
"By the way, Edith," he exclaimed, as she was about to leave us to ourselves, "I wonder if Mr. West would not be interested in visiting the store with you? I have been telling him something about our system of distribution, and perhaps he might like to see it in practical operation."
"My daughter," he added, turning to me, "is an indefatigable shopper, and can tell you more about the stores than I can."
The proposition was naturally very agreeable to me, and Edith being good enough to say that she should be glad to have my company, we left the house together.