Shall we say that this is an ethical intrusion into the sphere of economics or shall we say that the former economic demand for labor "as such" has given place to an economic demand for labor better circumstanced or better paid? The community at all events is paying the increase of price or a part of the increase. It seems arbitrary to insist that the old price is still the _economic_ price of the commodity and the increase only the price of a quiet conscience. The notion of a strictly economic demand for labor pure and simple seems in fact a concept of accounting. To meet the community's demand for the commodity a number of producers were required. The least capable of these could make both ends meet at the prevailing price only by ignoring all but the severely impersonal aspects of the process. Taking these costs as a base, other more capable or more fortunate producers may have been able to make additional expenditures of the sort in question, charging these perhaps to "welfare" account. The law then intervenes, making labor in effect more expensive for all by requiring the superior conveniences or by compelling employers' insurance against accidents to workmen or by enforcing outright a higher minimum wage. The old basic labor cost becomes thus obsolete. And without prejudging as to the expediency of such legislation in particular industrial or business situations may we not protest against _a priori_ and wholesale condemnation of such legislation as merely irresponsibly "ethical" and "unscientific"? Is it not, rather, economically experimental and constructive, amounting in substance to a simple insistence that henceforth the hiring and paying of labor shall express a wider range of social interests--shall signalize a more clearly self-validating level of comprehension, on the part of employers and consumers, of the social significance of industry than the old? And may we not protest also, as a matter of sheer logic, against carrying over a _producer's_ distinction of accounting between "labor" cost and "welfare" cost into the _consumer's_ valuation of the article? How and to what end shall a distinction be drawn between _his_ "esteem" for the trimmed and isolated article and _his_ esteem for the men who made it--which, taken together, dispose him to pay a certain undivided price for it?
Archaeology Review
Creative Intelligence — Part 170
2026-11-15 06:29:00 · The Daily Ledger
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