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were exposed to a thousand dangers. But they were free countries; they were in general neither arbitrarily oppressed, nor systematically plundered by their governments. Against other enemies the individual energy which their institutions called forth, enabled them to make successful resistance: their labour, therefore, was eminently productive, and their riches, while they remained free, were constantly on the increase. The Soman despotism, putting an end to wars and internal conflicts throughout the empire, relieved the subject population from much of the former insecurity: but because it left them under the grinding yoke of its own rapacity, they became enervated and impoverished, until they were an easy prey to barbarous but free invaders. They would neither fight nor labour, because they were no longer suffered to enjoy that for which they fought and laboured.

Much of the security of person and property in modern nations is the effect of manners and opinion rather than of law. There are, or lately were, countries in Europe where the monarch was nominally absolute, but where, from the restraints imposed by established usage, no subject felt practically in the smallest danger of having his possessions arbitrarily seized or a contribution levied on them by the government. There must, however, be in such governments much petty plunder and other tyranny by subordinate agents, for which redress is not obtained, owing to the want of publicity which is the ordinary character of absolute governments. In England the people are tolerably well protected, both by institutions and manners, against the agents ofgovernment; but, for the

security they enjoy against other evildoers, they are very little indebted to their institutions. The laws cannot be said to afford protection to property, when they afford it only at such a cost as renders submission to injury in general the better calculation. The security of property in England is owing (except as regards open violence) to opinion, and the fear of exposure, much more than to the direct operation of the law and the courts of justice.

Independently of all imperfection in the bulwarks which society purposely throws round what it recognises as property, there are various other modes in which defective institutions impede the employment of the productive resources of a country to the best advantage. We shall have occasion for noticing many of these in the progress of our subject. It is sufficient here to remark, that the efficiency of industry may be expected to be great, in proportion as the fruits of industry are insured to the person exerting it: and that all social arrangements are conducive to useful exertion, according as they provide that the reward of every one for his labour shall be proportioned as much as possible to the benefit which it produces. All laws or usages which favour ono class or sort of persons to the disadvantage of others; which chain up the efforts of any part of the community in pursuit of their own good, or stand between those efforts and their natural fruits—are (independently of all other grounds of condemnation) violations of the fundamental principles of economical policy; tending to make the aggregate productive powers of the community productive in a less degree -than they would otherwise be.



§ 1. In the enumeration of the circumstances which promote the productiveness of labour, we have left

one untouched, which, because of its importance, and of the many topics of discussion which it involves, requires to be treated apart. This is, co-operation, or the combined action of numbers. Of this great aid to production, a single department, known by the name of Division of Labour, has engaged a large share of the attention of political economists; most deservedly indeed, but to the exclusion of other cases and exemplifications of the same comprehensive law. Mr. Wakefield was, I believe, the first to point out, that a part of the subject had, with injurious effect, been mistaken for the whole; that a more fundamental principle lies beneath that of the division of labour, and comprehends it.

Co-operation, he observes,* is "of two distinct kinds: first, such cooperation as takes place when several persons help each other in the same employment; secondly, such co-operation as takes place when several persons help each other in different employments. These may be termed Simple Co-operation and Complex Co-operation.

"The advantage of simple co-operation is illustrated by the case of two greyhounds running together, which, it is said, will kill more hares than four greyhounds running separately. In a vast number of simple operations performed by human exertion, it is quite obvious that two men working together will do more than four, or four times four men, each of wbom should work alone. In the lifting of heavy weights, for example, in the felling of trees, in the sawing of timber, in the gathering of much hay or corn during a short period of fine weather, in draining a large extent of land during the short season when such a work may be properly conducted, in the pulling of ropes on board ship, in the rowing of large boats, in some mining operations, in the erection of a scaffolding for building, and in the breaking of stones for the repair of a road, so that the whole of the road shall always be kept in good order; in all these simple operations, and thousands more, it is absolutely necessary that many persons should work together, at the same time, in the same

* Note to Wakefield'i edition of Adam Smith, vol. i. p. 26.

place, and in the same way. The savages of New Holland never help each other, even in the most simple operations; and their condition is hardly superior, in some respects it is inferior, to that of the wild animals which they now and then catch. Let any one imagine that the labourers of England should suddenly desist from helping each other in simple employments, and he will see at once the prodigious advantages of simple cooperation. In a countless number of employments, the produce of labour is, up to a certain point, in proportion to such mutual assistance amongst the workmen. This is the first step in social improvement." The second is, when "one body of men having combined their labour to raise more food than they require, another body of men are induced to combine their labour for the purpose of producing more clothes than they require, and with those clothes buying the surplus food of the other body of labourers; while, if both bodies together have produced more food and clothes than they both require, both bodies obtain, by means of exchange, a proper capital for setting more labourers to work in their respective occupations." To simple co-operation is thus superadded what Mr. Wakefield terms Complex Co-operation. The one is the combination of several labourers to help each other in the same set of operations; the other is the combination of several labourers to help one another by a division of operations.

There is "an important distinction between simple and complex co-operation. Of the former, one is always conscious at the time of practising it: it is obvious to the most ignorant and vulgar eye. Of the latter, but a very few of the vast numbers who practise it are in any degree conscious. The cause of this distinction is easily seen. When several men are employed in lifting the same weight, or pulling the same rope, at the same time, and in the same place, there can be no sort of doubt that they co-operate with each other; the fact is impressed on the mind by the mere sense of sight; but when several men, or bodies of men, are employed at different times and places, and in different pursuits, their co-operation with each other, though it may he quite as certain, is not so readily perceived as in the other case: in order to perceive it, a complex operation of the mind is required."

In the present state of society the breeding and feeding of sheep is the occupation of one set of people, dressing the wool to prepare it for the spinner is that of another, spinning it into thread of a third, weaving the thread into broadcloth of a fourth, dyeing the cloth of a fifth, making it into a coat of a sixth, without counting the multitude of carriers, merchants, factors, and retailors put in requisition at the successive stages of this progress. All these persons, without knowledge of one another or previous understanding, co-operate in the production of the ultimate result, a coat. But these are far from being all who co-operate in it; for each of these persons requires food, and many other articles of consumption, and unless he could have relied that other people would produce these for him, he could not have devoted his whole time to one step in the succession of operations which produces one single commodity, a coat. Every person who took part in producing food or erecting houses for this series of producers, has, however unconsciously on his part, combined his labour with theirs. It is by a real, though unexpressed, concert, "that the body who raise more food than they want, can exchange with the body who raise more clothes than they want; and if the two bodies were separated, either by distance or disinclination—unless the two bodies should virtually form themselves into one, for the common object of raising enough food and clothes for the whole—they could not divide into two distinct parts the whole operation of producing a sufficient quantity of food and clothes.''

§ 2. The influence exercised on production by the separation of employments, is more fundamental than, from the mode in which the subject is

usually treated, a reader might be induced to suppose. It is not merely that when the production of different things becomes the sole or principal occupation of different persons, a much greater quantity of each kind of article is produced. The truth is much beyond this. Without some separation of employments, very few things would be produced at all.

Suppose a set of persons, or a number of families, all employed precisely in the same manner; each family settled on a piece of its own land, on which it grows by its labour the food required for its own sustenance, and as there are no persons to buy any surplus produce where all are producers, each family has to produce within itself whatever other articles it consumes. In such circumstances, if the soil was tolerably fertile, and population did not tread too closely on the heels of subsistence, there would be, no doubt, some kind of domestic manufactures; clothing for the family might perhaps be spun and woven within it, by the labour probably of the women (a first step in the separation of employments); and a dwelling of some sort would be erected and kept in repair by their united labour. But beyond simple food (precarious, too, from the variations of the seasons), coarse clothing, and very imperfect lodging, it would be scarcely possible that the family should produce anything more. They would, in general, require their utmost exertions to accomplish so much. Their power even of extracting food from the soil would be kept within narrow limits by the quality of their tools, which would necessarily be of the most wretched description. To do almost anything in the way of producing for themselves articles of convenience or luxury, would require too much time, and, in many cases, their presence in a different place. Very few kinds of industry, therefore, would exist; and that which did exist, namely the production of necessaries, would be extremely inefficient, not solely from imperfect implements, but because, when the ground and the domestic industry fed

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by it had been made to supply the necessaries of a single family in tolerable abundance, there would be little motive, while the numbers of the family remained the same, to make either the land or the labour produce more.

But suppose an event to occur, which would amount to a revolution in the circumstances of this little settlement. Suppose that a company of artificers, provided with tools, and with food sufficient to maintain them for a year, arrive in the country and establish themselves in the midst of the population. These new settlers occupy themselves in producing articles of use or ornament adapted to the taste of a simple people; and before their food is exhausted they have produced these in considerable quantity, and are ready to exchange them for more food. The economical position of the landed population is now most materially altered. They have an opportunity given them of acquiring comforts and luxuries. Things which, while they depended solely on their own labour, they never could have obtained, because they could not have produced, are now accessible to them if they can succeed in producing an additional quantity of food and necessaries. They are thus incited to increase the productiveness of their industry. Among the conveniences for the first time made accessible to them, better tools are probably one ; and apart from this, they have a motive to labour more assiduously, and to adopt contrivances for making their labour more effectual. By these means they will generally succeed in compelling their land to produce, not only food for themselves, but a surplus for the new comers, wherewith to buy from them the products of their industry. The new settlers constitute what is called a market for surplus agricultural produce: and their arrival has enricned the settlement not only by the manufactured articles which they produce, but by the food which would not have been produced unless they had been there to consume it.

There is no inconsistency between

this doctrine, and the proposition we before maintained, that a market for commodities does not constitute employment for labour.* The labour of the agriculturists was already provided with employment; they are not indebted to the demand of the new comers for being able to maintain themselves. What that demand docs for them is, to call their labour into increased vigour and efficiency; to stimulate them, by new motives, to new exertions. Neither do the new comers owe their maintenance and employment to the demand of the agriculturists: with a year's subsistence in store, they could have settled side by side with the former inhabitants, and produced a similar scanty stock of food and necessaries. Nevertheless, we see of what supreme importance to the productiveness of the labour of producers, is the existence of other producers within reach, employed in a different kind of industry. The power of exchanging the products of one kind of labour for those of another, is a condition, but for which, there would almost always be a smaller quantity of labour altogether. When a new market is opened for any product of industry, and a greater quantity of the article is consequently produced, the increased production is not always obtained at the expense of some other product; it is often a new creation, the result of labour which would otherwise have remained unexerted; or of assistance rendered to labour by improvements or by modes of co-operation to which recourse would not have been had if an inducement had not been offered for raising a larger produce.

§ 3. From these considerations it appears that a country will seldom have a productive agriculture, unless it has a large town population, or the only available substitute, a large export trade in agricultural produce to supply a population elsewhere. I use the phrase town population for shortness, to imply a population non-agricultural; which will generally be collected in towns or large villages, for * Supra, pp. 43—55.

the sake of combination of labour. The application of this truth by Mr. Wakefield to the theory of colonization, has excited much attention, and is doubtless destined to excite much more. It is one of those great practical discoveries, which, once made, appear so obvious that the merit of making them seems less than it is. Mr. Wakefield was the first to point out that the mode of planting new settlements, then commonly practised — setting down a number of families side by side, each on its piece of land, all employing themselves in exactly the same manner,—though in favourable circumstances it may assure to those families a rude abundance of mere necessaries, can never be other than unfavourable to great production or rapid growth: and his system consists of arrangements for securing that every colony shall have from the first a town population, bearing due proportion to its agricultural, and that the cultivators of the soil shall not be so widely scattered as to be deprived by distance, of the benefit of that town population as a market for their produce. The principle on which the scheme is founded, does not depend on any theory respecting the superior productiveness of land held in large portions, and cultivated by hired labour. Supposing it true that land yields the greatest produce when divided into small properties and cultivated by peasant proprietors, a town population would be just as necessary to induce those proprietors to raise that larger produce: and if they were too far from the nearest seat of nonagricultural industry to use it as a market for disposing of their surplus, and thereby supplying their other wants, neither that surplus nor any equivalent for it would, generally speaking, be produced.

It is, above all, the deficiency of town population which limits the productiveness of the industry of a country like India. The agriculture of India is conducted entirely on the system of small holdings. There is, however, a considerable amount of combination of labour. The village institutions and

customs, which are the real framework of Indian society, make provision for joint action in the cases in which it is seen to be necessary; or where they fail to do so, the government (when tolerably well administered) steps in, and by an outlay from the revenue, executes by combined labour the tanks, embankments, and works of irrigation, which are indispensable. The implements and processes of agriculture are however so wretched, that the produce of the soil, in spite of great natural fertility and a climate highly favourable to vegetation, is miserably small: and the land might be made to yield food in abundance for many more than the present number of inhabitants, without departing from the system of small holdings. But to this the stimulus is wanting, which a large town population, connected with the rural districts by easy and unexpensive means of communication, would afford. That town population, again, does not grow up, because the few wants and unaspiring spirit of the cultivators (.joined until lately with great insecurity of property, from military and fiscal rapacity) prevent them from attempting to become consumers of town produce. In these circumstances the best chance of an early development of the productive resources of India, consists in the rapid growth of its export of agricultural produce (cotton, indigo, sugar, coffee, &c.) to the markets of Europe. The producers of these articles are consumers of food supplied by their fellow-agriculturists in India; and the market thus opened for surplus food will, if accompanied by good government, raise up by degrees more extended wants and desires, directed either towards European commodities, or towards things which will require for their production in India a larger manufacturing population.

§ 4. Thus far of the separation of employments, a form of the combination of labour without which there cannot be the first rudiments of industrial civilization. But when this separation is thoroughly established; when it has become the general practice for each

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