The Social And Industrial Problem : a Brief Introduction to the Study of Social Economics

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There is between the present (call it the factory age or the age of machine industry) and the past (or the age of handicraft) a difference so profound that in ex- amining them we seem to be regarding two different worlds. The problems of the one are not the prob- lems of the other; and yet the elements that shaped the one still govern the character of the other. The primary elements, land and labour, and the secondary element, capital, are the economic factors in both, but they are combined in ...different proportions; and as in physical chemistry so in the chemistry of human 95 The Social and Industrial Problem societies, a change in the proportions of the con- stituent elements may produce a compound possessing quite new and unexpected properties.
In our earlier phase, Land and Labour were the two essential factors in production. By degrees Capital established its value as an aid to the in- dividual in applying his labour. So long as Capital retained its simpler forms which could be produced and used by the individual worker, so long did it remain the useful and obedient handmaid of Labour, aiding it in its tasks and lessening the burden of its hours.


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