Some people are of opinion that the factors to be taken account of in economic investigation are so numerous that progress on these lines is impossible. It would certainly be impossible if we had to begin _de novo_ to construct the whole fabric of economic science. But, as we shall see, it is no more necessary to do this in the world of science than it is in the world of business or politics. There is in existence a vast store of accumulated knowledge, and few, if any, departments of economics have been left quite unilluminated by the researches of former generations. Progress is the result of adaptation rather than reconstruction. It must be remembered also that economic work in modern times is carried on by consciously or unconsciously associated effort, and although it must always require high qualities of judgment, capacity and energy, many of the difficulties which at first sight appear so insuperable give way when they are attacked. In some ways also the study of highly developed organizations like the modern industrial state is simpler than that of earlier forms of society.
Ancient and modern conditions in England.
In the earliest times for which we have abundant material the economic life of England had already reached in certain directions a high degree of complexity. Even in the rural districts, manorial records reveal the existence of a great variety of classes and groups of persons engaged in the performance of economic functions. The lord of the manor with his officials and retainers, the peasantry bound to him by ties of personal dependence and mutual rights and obligations, constituted a little world, in which we can watch the play of motives and passions not so dissimilar as we are sometimes led to believe from those of the great modern world. In many a country district the gradations of social rank were more continuous, the opportunities of intercourse more frequent, and the capacity for organization greater than in modern times. The manorial accounts were kept with precision and detail, and we are told that a skilled official could estimate to the utmost farthing the value of the services due from the villein to his lord. The manor was indeed self-sufficient and independent in the sense that it could furnish everything required by the majority of the inhabitants, and that over the greater part of rural England production was not carried on with a view to a distant market. But in the earliest times the manor was subjected to external influences of great importance. Vast areas of the country were in fact under the single control of a territorial lord or an ecclesiastical foundation. Every manor composing these great fiefs was likely to be affected by the policy or the character of the administration of the feudal lord, and he, again, by the policy or the difficulties, the strength or the weakness, of the central government. Foreign trade and foreign intercourse were undeveloped, but their influence was in historical times never entirely absent, while the influence of Roman law and the Christian Church constantly tended to modify the manorial organization. In the towns the division of labour had proceeded much further than in the rural districts, and there were in existence organized bodies, such as the Gild Merchant and the crafts, whose functions were primarily economic. But one of the most striking characteristics of town life in the middle ages was the manner in which municipal and industrial privileges and responsibilities were interwoven. In modern times the artisan, however well trained, efficient and painstaking he may be, does not, in virtue of these qualities, enjoy any municipal or political privileges. By means of his trade union, co-operative society or club he may gain some experience in the management of men and business, and in so far as the want of a sufficient income does not constitute an insuperable difficulty, he may share in the public life of the country. But in his character as artisan he enjoys no municipal or political privileges. In the middle ages this differentiation of the industrial, municipal and political life had not taken place, and in order to understand the working of at first sight purely economic regulations it is necessary to make a close study of the functions of local government. But this, after all, does not carry us very far. From the very nature of the records in which we study the town life of the middle ages, it follows that we obtain from them only a one-sided view. No one knows what proportion of the industrial population was included in the organized gilds, or how complete was the control exercised by these bodies over their members. Elaborate regulations were in force, but no one knows how elastic they were in practice.