The very fact, indeed, that the state, as a producer, or a renderer of public services, such as letter-carrying, has thus to protect itself against the competition of private enterprise, is sufficient evidence of the difficulties which a state organisation encounters in securing industrial ability which shall be constantly of the highest kind, and also of its inevitable tendency to hamper, if not to stifle, the development and the practical activity of superior ability elsewhere. And if these difficulties and this tendency are appreciable in state-directed industries now, when the area of direction is small and strictly limited, the reader may easily imagine how incalculably more formidable they would become if extended, as socialism would extend them, to the activities of the entire community.
We have thus far been considering the position of the directors of socialised industry on the assumption that they would be free to follow the dictates of their own several intelligences, without any technical interference from officials of any other kind. Let us now consider the alternative which, in any socialistic society, would most closely coincide with fact. This is the assumption that the official directors of labour would not be technical autocrats, but would be subject to the control of their brother officials, the statesmen, who represented the great mass of the people.
Now, no doubt the intervention of a body of this kind might obviate some of the difficulties on which we have just been dwelling. It might lead to the removal of some directors of labour who were not only relatively inefficient, but were positively and notoriously mischievous; but it would introduce difficulties greater than those it obviated. For while the industrial officials would, in exact proportion to their efficiency, embody the special expertness peculiar to a gifted few, the political officials, in proportion as they represented their electorate, would embody the preponderating opinions and the general intelligence of the many. The political officials, therefore, could, from the very nature of the case, never represent any ideas or condition of knowledge which appreciably transcended or conflicted with those of the least intelligent; and the logical result would be that no industrial improvements could in a socialistic community be initiated by the highest intelligence, if they went beyond what could be apprehended and consciously approved of by the lowest.