liberating creative impulses and diminishing 
possessive impulses. 
Of these four purposes the last is the most important. Security is chiefly important as a 
means to it. State socialism, though it might give material security and more justice than 
we have at present, would probably fail to liberate creative impulses or produce a 
progressive society. 
Our present system fails in all four purposes. It is chiefly defended on the ground that it 
achieves the first of the four purposes, namely, the greatest possible production of 
material goods, but it only does this in a very short-sighted way, by methods which are 
wasteful in the long run both of human material and of natural resources. 
Capitalistic enterprise involves a ruthless belief in the importance of increasing material 
production to the utmost possible extent now and in the immediate future. In obedience to 
this belief, new portions of the earth's surface are continually brought under the sway of 
industrialism. Vast tracts of Africa become recruiting grounds for the labor required in 
the gold and diamond mines of the Rand, Rhodesia, and Kimberley; for this purpose, the 
population is demoralized, taxed, driven into revolt, and exposed to the contamination of 
European vice and disease. Healthy and vigorous races from Southern Europe are 
tempted to America, where sweating and slum life reduce their vitality if they do not 
actually cause their death. What damage is done to our own urban populations by the 
conditions under which they live, we all know. And what is true of the human riches of 
the world is no less true of the physical resources. The mines, forests, and wheat-fields of 
the world are all being exploited at a rate which must practically exhaust them at no 
distant date. On the side of material production, the world is living too fast; in a kind of 
delirium, almost all the energy of the world has rushed into the immediate production of 
something, no matter what, and no matter at what cost. And yet our present system is 
defended on the ground that it safeguards progress! 
It cannot be said that our present economic system is any more successful in regard to the
other three objects which ought to be aimed at. Among the many obvious evils of 
capitalism and the wage system, none are more glaring than that they encourage 
predatory instincts, that they allow economic injustice, and that they give great scope to 
the tyranny of the employer. 
As to predatory instincts, we may say, broadly speaking, that in a state of nature there 
would be two ways of acquiring riches--one by production, the other by robbery. Under 
our existing system, although what is recognized as robbery is forbidden, there are 
nevertheless many ways of becoming rich without contributing anything to the wealth of 
the community. Ownership of land or capital, whether acquired or inherited, gives a legal 
right to a permanent income. Although most people have to produce in order to live, a 
privileged minority are able to live in luxury without producing anything at all. As these 
are the men who are not only the most fortunate but also the most respected, there is a 
general desire to enter their ranks, and a widespread unwillingness to face the fact that 
there is no justification whatever for incomes derived in this way. And apart from the 
passive enjoyment of rent or interest, the methods of acquiring wealth are very largely 
predatory. It is not, as a rule, by means of useful inventions, or of any other action which 
increases the general wealth of the community, that men amass fortunes; it is much more 
often by skill in exploiting or circumventing others. Nor is it only among the rich that our 
present rŽgime promotes a narrowly acquisitive spirit. The constant risk of destitution 
compels most men to fill a great part of their time and thought with the economic struggle. 
There is a theory that this increases the total output of wealth by the community. But for 
reasons to which I shall return later, I believe this theory to be wholly mistaken. 
Economic injustice is perhaps the most obvious evil of our present system. It would be 
utterly absurd to maintain that the men who inherit great wealth deserve better of the 
community than those who have to work for their living. I am not prepared to maintain 
that economic justice requires an exactly equal income for everybody. Some kinds of 
work require a larger income for efficiency than others do; but there is economic injustice 
as soon as a man has more than his share, unless it is because his efficiency in his work 
requires it, or as a reward for some definite service. But this point is so obvious that it 
needs no elaboration. 
The modern growth of monopolies    
    
		
	
	
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