of articles which are not for the most part produced
in this country, but which are largely imported from
abroad. It is urged that although shoes and furniture
and matches ought not to be produced by assisted labour
for the outside market, it is permissible for an agricultural
colony to replace by home products the large imports
in the shape of cheese, fruit, bacon, poultry,
etc.,
which we now receive from abroad. Those who maintain
this position commonly fail to take into consideration
the exports which go out from this country to pay for
these imports. If this export trade is diminished
the trades engaged in manufacturing the exported goods
will suffer, and labour employed in these trades may
be thrown out of employment. This objection may
be met by showing that the goods formerly exported,
or an equivalent quantity of other goods, will be
demanded for the increased consumption of the labourers
in the agricultural colony. This is a valid answer
if the home consumption rises sufficiently to absorb
the goods formerly exported to pay for agricultural
imports. But even where this just balance is
maintained, allowance must be made for some disturbance
of established trades owing to the fact that the new
demand created at home will probably be for different
classes of articles from those which formed the exports
now displaced. The safest use of assisted labour,
where the products are designed for the open market,
is in the production of articles for which there is
a steadily growing demand within this country.
Even in this case the utmost care should be exercised
to prevent the products of assisted labour from so
depressing prices as to injure the wages of outside
labour engaged in similar productions.
Since the existence of an unemployed class who are
unemployed because they are unable, not because they
are unwilling, to get work, is proof of an insufficiency
of employment, it is apparent that nothing is of real
assistance which does not increase the net amount of
employment. Since the amount of employment is
determined by, and varies with, the consumption of
the community, the only sure method of increasing the
amount of employment is by raising the standard of
consumption for the community. Where, as is common
in times of trade depression, unemployment of labour
is attended by unemployment of capital, this joint
excess of the two requisites of production is only
to be explained by the low standard of consumption
of the community. Since the working-classes
form a vast majority of the community, and their standard
of consumption is low compared with that of the upper
classes, it is to a progressive standard of comfort
among the workers that we must look for a guarantee
of increasing employment. It may be urged that
the luxurious expenditure of the rich provides as
much employment as the more necessary expenditure
of the poor. But, setting aside all considerations
of the inutility or noxious character of luxury, there
is one vital difference between the employment afforded