Pause In Reconstruction And The Dawn Of Modern Socialism
( Originally Published Early 1900's )
The ebb of this tide of Revolution in the world, this tide which had created the great Republic of America and threatened to submerge all European monarchies, was now at hand. It is as if something had thrust up from beneath the surface of human affairs, made a gigantic effort, and for a time spent itself. It swept many obsolescent and evil things away, but many evil and unjust things remained. It solved many problems, and it left the desire for fellowship and order face to face with much vaster problems that it seemed only to have revealed. Privilege of certain types had gone, many tyrannies, much religious persecution. When these things of the ancient régime had vanished, it seemed to if they had never mattered. What did matter was that for all their votes and enfranchisement, and in spite of all their passion and effort, common men were still not free and not enjoying an equal happiness; that the immense promise and air of a new world with which the Revolution had come, rewined unfulfilled.
Yet, after all, this wave of revolution had realized nearly everything that had been clearly thought out before it came. It was not failing now for want of impetus, but for want of finished ideas. Many things that had oppressed mankind were swept away for ever. Now that they were swept away it became apparent how unprepared men were for the creative opportunities this clearance gave them. And periods of revolution are periods of action ; in them men reap the harvests of ideas that have grown during phases of interlude, and they leave the fields cleared for a new season of growth, but they cannot suddenly produce ripened new ideas to meet an unanticipated riddle.
The sweeping away of king and lord, of priest and inquisitor, of landlord and taxgatherer and task-master, left the mass of men face to face for the first time with certain very fundamental aspects of the social structure, relationships they had taken for granted, and had never realized the need of thinking hard and continuously about before. Institutions that had seemed to be in the nature of things, and matters that had seemed to happen by the same sort of necessity that brought round the dawn and springtime, were discovered to be artificial, controllable, were they not so perplexingly intricate, and now that the old routines were abolished and done away with in urgent need of control. The New Order found itself confronted with three riddles which it was quite unprepared to solve: Property, Currency, and International Relationship.
Let us take these three problems in order, and ask what they are and how they arose in human affairs. Every human life is deeply entangled in them, and concerned in their solution. The rest of this history becomes more and more clearly the development of the effort to solve these problems; that is to say, so to interpret property, so to establish currency, and so to control international reactions as to render possible a world wide, progressive and happy community of will. They are the three riddles of the sphinx of fate, to which the human commonweal must find an answer or perish.
The idea of property arises out of the combative instincts of the species. Long before men were men, the ancestral ape was a proprietor. Primitive property is what a beast will fight for. The dog and his bone, the tigress and her lair, the roaring stag and his herd, these are proprietorship blazing. No more nonsensical expression is conceivable in sociology than the term "primitive communism." The Old Man of the family tribe of early Palaeolithic times insisted upon his proprietorship in his wives and daughters, in his tools, in his visible universe. If any other man wandered into his visible universe he fought him, and if he could he slew him. The tribe grew in the course of ages, as Atkinson showed convincingly in his Primal Law, by the gradual toleration by the Old Man of the existence of the younger men, and of heir reprietorship in the wives they captured from outside the tribe, and in the tools and ornaments they made and the game they slew. Human society grew by a compromise between this one's property and that. It was largely a compromise and an alliance forced upon men by the necessity of driving some other tribe out of its visible universe. If the hills and forests and streams were not your land or my land, it was because they had to be our land. Each of us would have preferred to have it my land, but that would not work. In that case the other fellows would have destroyed us. Society, therefore, is from its beginnings the mitigation of ownership. Ownership in the beast and in the primitive savage was far more intense a thing than it is in the civilized world today. It is rooted more strongly in our instincts than in our reason.
In the natural savage and in the untutored man today for it is well to keep in mind that no man today is more than four hundred generations from the primordial savage there is no limitation to the sphere of ownership. Whatever you can fight for, you can own; women-folk, spared captive, captured beast, forest glade, stone pit or what not. As the community grew and a sort of law came to restrain internecine fighting, men developed rough and ready methods of settling proprietorship. Men could own what they were the first to make or capture or claim. It seemed natural that a debtor who could not pay up should become the property of his creditor. Equally natural was it that, after claiming a patch of land ("Bags I," as the schoolboy says), a man should exact payment and tribute from anyone else who wanted to use it. It was only slowly, as the possibilities of organized life dawned on men, that this unlimited property in anything whatever began to be recognized as a nuisance. Men found themselves born into a universe all owned and claimed, nay! they found themselves born owned and claimed. The social struggles of the earlier civilization are difficult to trace now, but the history we have told of the Roman republic shows a community waking up to the idea that debt may become a public inconvenience and should then be repudiated, and that the unlimited ownership of land is also an inconvenience. We find that later Babylonia severely limited the rights of property in slaves. Finally, we find in the teaching of that great revolutionist, Jesus of Nazareth, such an attack upon property as had never been before. Easier it was, he said, for a camel to go through the eye of a needle than for the owner of great possessions to enter the kingdom of heaven. A steady, continuous criticism of the permissible scope of property seems to have been going on in the world for the Iast twenty-five or thirty centuries. Nineteen hundred years after Jesus of Nazareth we find all the world that has come under the Christian teaching persuaded that there could be no property in persons. There has been a turn over in the common conscience in that matter. And also the idea that "a man may do what he likes with his own" was clearly very much shaken in relation to other sorts of property. But this world of the closing eighteenth century was still only in the interrogative stage in this matter. It had got nothing clear enough, much less settled enough, to act upon. One of its primary impulses was to protect property against the greed and waste of kings and the exploitation of noble adventurers. It was to protect private property that the Revolution began. But its equalitarian formulae carried it into a criticism of the very property it had risen to protect. How can men be free and equal when numbers of them have no ground to stand upon and nothing to eat, and the owners will neither feed nor lodge them unless they toil? Excessively the poor complained.
To which riddle the Jacobin reply was to set about "dividing up." They wanted to intensify and universalize property. Aiming at the same end by another route, there were al ready in the eighteenth century certain primitive socialists or, to be more exact, communists who wanted to "abolish" private property altogether. The state (a democratic state was of course understood) was to own all property. It was only as the nineteenth century developed that men began to realize that property was not one simple thing, but a great complex of ownerships of different values and consequences, that many things (such as human beings, the implements of an artist, clothing, toothbrushes) are very profoundly and incurably personal property, and that there is a very great range of things, railways, machinery of various sorts, homes, cultivated gardens, pleasure-boats, for example, which need each to be considered very particularly to determine how far and under what limitations it may come under private ownership, and how far it falls into the public domain and may be administered and let out by the state in the collective interest. On the practical side these questions pass into politics, and the problem of making and sustaining efficient state administration. They open up issues in social psychology, and interact with the enquiries of educational science. We have today the advantage of a hundred and thirty years of discussion over the first revolutionary generation, but even now this criticism of property is still a vast and passionate ferment rather than a science. Under the circumstances it was impossible that eighteenth century France should present any other spectacle than that of vague and confused popular movements seeking to dispossess owners, and classes of small and large owners holding on grimly, demanding, before everything else, law, order, and security, and seeking to increase their individual share of anything whatever that could be legally possessed.
Closely connected with the vagueness of men's ideas about property was the vagueness of their ideas about currency. Both the American and the French republics fell into serious trouble upon this score. Here, again, we deal with something that is not simple, a tangle of usages, conventions, laws, and prevalent mental habits, out of winch arise problems which admit of no solution in simple terms, and which yet are of vital importance to the everyday life of the community. The validity of the acknowledgment a man is given for a day's work is manifestly of quite primary importance to the working of the social machine. The growth of confidence in the precious metals and of coins, until the assurance became practically universal that good money could be trusted to have its purchasing power anywhere, must have been a gradual one in human history. And being fairly established, this assurance was subjected to very considers able strains and perplexities by the action of governments in debasing currency and in substituting paper promises to pay for the actual metallic coins. Every age produced a number of clever people intelligent enough to realize the opportunities for smart operations afforded by the complex of faiths and fictions upon which the money system rested, and sufficiently unsound morally to give their best energies to growing rich and so getting people to work for them, through tricks and tampering with gold coinage, and credit. So soon as serious political and social dislocation occurred the money mechanism began to work stiffly and inaccurately. The United States and the French Republic both started their careers in a phase of financial difficulty. Everywhere governments had been borrowing and issuing paper promises to pay interest, more interest than they could conveniently raise. Both revolutions led to much desperate public spending and borrowing, and at the same time to an interruption of cultivation and production that further diminished real taxable wealth. Both governments, being unable to pay their way in gold, resorted to the issue of paper money, promising to pay upon the security of undeveloped land (in America) or recently confiscated church lands (France). In both cases the amount of issue went far beyond the confidence of men in the new security. Gold was called in, hidden by the cunning ones, or went abroad to pay for imports, and people found themselves with various sorts of bills and notes in the place of coins, all of uncertain and diminishing value.
However complicated the origins of currency, its practical effect and the end it has to serve in the community may be stated roughly in simple terms. The money a man receives for his work (mental or bodily) or for relinquishing his property in some consumable good, must ultimately be able to purchase for him for his use a fairly equivalent amount of consumable goods. ("Consumable goods" is a phrase we would have understood in the widest sense to represent even such things as a journey, a lecture or theatrical entertainment, housing, medical advice, and so forth.) When everyone in a community is assured of this, and assured that the money will not deteriorate in purchasing power, then currency and the distribution of goods by trade is in a healthy and satisfactory state. Then men will work cheerfully, and only then. The imperative need for that stead-fastness and security of currency is the fixed datum from which the scientific study and control of currency must begin. But under the most stable conditions there will always be fluctuations in currency value. The sum total of salable consumable goods in the world and in various countries varies from year to year and from season to season; autumn is probably a time of plenty in comparison with spring; with an increase in the available goods in the world the purchasing power of currency will increase, unless there is also an increase in the amount of currency. On the other hand, if there is a diminution in the production of consumable goods or a great and unprofitable destruction of consumable goods, such as occurs in a war, the share of the total of consumable goods represented by a sum of money will diminish and prices and wages will rise. In modern war the explosion of a single big shell, even if it hits nothing, destroys labour and material roughly equivalent to a comfortable cottage or a year's holiday for a man. If the shell hits anything„ then that further destruction has to be added to the diminution of consumable goods. Every shell that burst in the recent war diminished by a little fraction the purchasing value of every coin in the whole world. If there is also an increase of currency during a period when consumable goods are being used up and not fully replaced and the necessities of revolutionary and war making governments almost always require this then the enhancement of prices and the fall in the value of the currency paid in wages is still greater. Usually also governments under these stresses borrow money, that is to say, they issue interest-bearing paper, secured on the willingness and ability of the general community to endure taxation. Such operations would be difficult enough if they were carried out frankly by perfectly honest men, in the full light of publicity and scientific knowledge. But hitherto this has never been the case; at every point the clever egotist, the bad sort of rich man, is trying to deflect things a little to his own advantage. Everywhere too one finds the stupid egotist ready to take fright and break into panic. Consequently we presently discover the state en cumbered by an excess of currency, which is in effect a non interest-paying debt, and also with a great burthen of interest upon loans. Both credit and currency begin to fluctuate wildly with the evaporation of public confidence. They are, we say, demoralized.
The ultimate consequence of an entirely demoralized currency would be to end all work and all trade that could not be carried on by payment in kind and barter. Men would refuse to work except for food, clothing, housing, and payment in kind. The immediate consequence of a partially demoralized currency is to drive up prices and make trading feverishly adventurous and workers suspicious and irritable. A sharp man wants under such conditions to hold money for as brief a period as possible; he demands the utmost for his reality, and buys a reality again as soon as possible in order to get this perishable stuff, the currency paper, of his hands. All who have fixed incomes and saved accumulations suffer by the rise in prices, and the wage-earners find, with a gathering fury, that the real value of their wages is continually less. Here is a state of affairs where the duty of every clever person is evidently to help adjust and reassure.
But all the traditions of private enterprise, all the ideas of the later eighteenth century, went to justify the action of acute-minded and dexterous people who set themselves to accumulate claims, titles, and tangible property in the storms and dislocations of this currency breakdown. The number of understanding people in the world who were setting themselves sincerely and simply to restore honest and workable currency and credit conditions were few and ineffectual. Most of the financial and speculative people of the time were playing the part of Cornish wreckers not apparently with any conscious dishonesty, but with the completest self approval and the applause of their fellow men. The aim of every clever person was to accumulate as much as he could of really negotiable wealth, and then, and only then, to bring about some sort of stabilizing political process that would leave him in advantageous possession of his accumulation. Here were the factors of a bad economic, atmosphere, suspicious, feverish, greedy, and speculative.
In the third direction in which the Revolution had been unprepared with clear ideas, the problem of international relationships, developments were to occur that interacted disastrously with this state of financial and economic adventure, this scramble and confusion, this preoccupation of men's minds with the perplexing slipperiness of their private property and their monetary position at home. The Republic at its birth found itself at war. For a time that war was waged by the new levies with a patriotism and a zeal unparalled in the world's history. But that could not go on. The Directory found itself at the head of a conquering country, intolerably needy and embarrassed at home, and in occupation of rich foreign lands, full of seizable wealth and material and financial opportunity. We have all double natures, and the French in particular seem to be developed logically and symmetrically on both sides. Into these conquered regions France came as a liberator, the teacher of Republicanism to mankind. Holland and. Belgium became the Batavian Republic, Genoa and its Riviera the Ligurian Republic, north Italy the Cisalpine Republic, Switzerland was rechristened the Helvetian Republic, Mülhausen, Rome, and Naples were designated republics. Grouped about France, these republics were to be a constellation of freedom leading the world. That was the ideal side. At the same time the French government, and French private individuals in concert with the government, proceeded to a complete and exhaustive exploitation of the resources of these liberated lands.
So within ten years of the meeting of the States General, New France begins to take on a singular likeness to the old. It is more flushed, more vigorous ; it wears a cap of liberty instead of a crown; it has a new army but a damaged fleet; it has new rich people instead of the old rich people, a new peasantry working even harder than the old and yielding more taxes, a new foreign policy curiously like the old foreign policy disrobed, and there is no Millennium.