sumers--which is the direct effect of the co-operative system-a vast number of hands will be set free for production, and the capital which feeds and the gains which remunerate them will be applied to feed and remunerate producers. This great economy of the world's resources would be realized, even if co-operation stopped at as sociations for purchase and consumption, without extending to production.

The other mode in which co-operation tends, still more efficaciously, to increase the productiveness of labour, consists in the vast atimulus given to productive energies, by placing the labourers, as a mass, in a relation to their work which would make it their principle and their interest-at present it is neither-to do the utmost instead of the least possible in exchange for their remuneration. It is scarcely possible to rate too highly this material benefit, which yet is as nothing compared with the moral revolution in society that would accompany it: the healing of the standing feud between capital and labour; the transformation of human life, from a conflict of classes struggling for opposite interests, to a friendly rivalry in the pursuit of a good common to all; the elevation of the dignity of labour, a new sense of security and independence in the labouring class, and the conversion of each human being's daily occupation into a school of the social sympathies and the practical intelli

gence.

Such is the noble ideal which the promoters of Co-operation should have before them. But to attain, in any degree, these objects, it is indispensable that all, and not some only, of those who do the work, should be identified in interest with the prosperity of the undertaking. Associations which, when they have been successful, renounce the essential principle of the system, and become joint-stock companies of a limited number of shareholders, who differ from those of other companies only in being working men; associations which employ hired labourers without any interest in the

profits (and I grieve to say that the Manufacturing Society even of Rochdale has thus degenerated), are, no doubt, exercising a lawful right in honestly employing the existing system of society to improve their position as individuals: but it is not from them that anything needs be expected towards replacing that system by a better. Neither will such societies, in the long run, succeed in keeping their ground against individual competition. Individual management by the one person principally interested, has great advantages over every description of collective management: co-operation has but one thing to oppose to those advantages-the common interest of all the workers in the work. When individual capitalists, as they will certainly do, add this to their other points of advantage; when, even if only to increase their gains, they take up the practice which these co-operative societies have dropped, and connect the pecuniary interest of every person in their employment with the most efficient and most economical manage ment of the concern; they are likely to gain an easy victory over societies which retain the defects, while they cannot possess the full advantages, of the old system.

Under the most favourable supposi tion it will be desirable, and perhaps for a considerable length of time, that individual capitalists associating their workpeople in the profits, should coexist with even those co-operative societies which are faithful to the cooperative principle. Unity of authority makes many things possible, which could not, or would not, be undertaken, subject to the chance of divided councils, or changes in the management. A private capitalist, exempt from the control of a body, if he is a person of capacity, is considerably more likely than almost any association to run judicious risks, and originate costly improvements. Co-operative societies may be depended on for adopting im provements after they have been tested by success: but individuals are more likely to commence things previously untried. Even in ordinary business,

the competition of capable persons who in the event of failure are to have all the loss, and in case of success the greater part of the gain, will be very useful in keeping the managers of cooperative societies up to the due pitch of activity and vigilance.

When, however, co-operative societies shall have sufficiently multiplied, it is not probable that any but the least valuable workpeople will any longer consent to work all their lives for wages merely and both private capitalists and associations will gradually find it necessary to make the entire body of Mabourers participants in profits. Eventually, and in perhaps a less remote future than may be supposed, we may, through the co-operative principle, see our way to a change in society, which would combine the freedom and independence of the individual, with the moral, intellectual, and economical advantages of aggregate production; and which, without violence or spoliation, or even any sudden disturbance of existing habits and expectations, would realize, at least in the industrial department, the best aspirations of the democratic spirit, by putting an end to the division of society into the industrious and the idle, and effacing all social distinctions but those fairly earned by personal services and exertions. Associations like those which we have described, by the very process of their success, are a course of education in those moral and active qualities by which alone success can be either deserved or attained. As associations multiplied, they would tend more and more to absorb all workpeople, except those who have too little understanding, or too little virtue, to be capable of learning to act on any other system than that of narrow selfishness. As this change proceeded, owners of capital would gradually find it to their advantage, instead of maintaining the struggle of the old system with workpeople of only the worst description, to lend their capital to the associations; to do this at a diminishing rate of interest, and at last, perhaps, even to exchange their capital for terminable annuities. In this or some such mode,

the existing accumulations of capital might honestly, and by a kind of spontaneous process, become in the end the joint property of all who participate in their productive employment: a transformation which, thus effected, (and assuming of course that both sexes participate equally in the rights and in the government of the association)* would be the nearest approach to social justice, and the most beneficial ordering of industrial affairs for the universa) good, which it is possible at present to foresee.

$ 7. I agree, then, with the Socialist writers in their conception of the form which industrial operations tend to assume in the advance of improvement; and I entirely share their opinion that the time is ripe for com mencing this transformation, and that it should by all just and effectual means be aided and encouraged. But while I agree and sympathize with Socialists in this practical portion of their aims, I utterly dissent from the most conspicuous and vehement part of their teaching, their declamations against competition. With moral conceptions in many respects far ahead of the existing arrangements of society, they have in general very confused and erroneous notions of its actual working; and one of their greatest errors, as I conceive, is to charge upon competition all the economical evils which at present exist. They forget that wherever competition is not, monopoly is;

In this respect also the Rochdale Society has given an example of reason and justice, worthy of the good sense and good feeling manifested in their general proceedings. "renders incidental but valuable aid towards "The Rochdale Store," says Mr. Holyoake, realizing the civil independence of women. Women may be members of this Store, and vote in its proceedings. Single and married women join. Many married women become members because their husbands will not take the trouble, and others join in it in selfdefence, to prevent the husband from spending their money in drink. The husband cannot withdraw the savings at the Store standing in the wife's name, unless she signs the order. Of course, as the law still stands, the husband could by legal process get possession the husband gets sober and thinks better of of the money. But a process takes time, and it before the law can move,"

not to bolster up old customs, whereby limited classes of labouring people obtain partial gains which interest them in keeping up the present organization of society, but to introduce new general practices beneficial to all; and there is reason to rejoice at whatever makes the privileged classes of skilled artisans

feel, that they have the same interests, and depend for their remuneration on the same general causes, and must resort for the improvement of their condition to the same remedies, as the less fortunately circumstanced and compa ratively helpless multitude.