8。Anotherkindoflabour，usuallyclassedasmental，but
　　conducingtotheultimateproductasdirectly，thoughnotso
　　immediately，asmanuallabouritself，isthelabourofthe
　　inventorsofindustrialprocesses。Isay，usuallyclassedas
　　mental，becauseinrealityitisnotexclusivelyso。Allhuman
　　exertioniscompoundedofsomementalandsomebodilyelements。
　　Thestupidesthodman，whorepeatsfromdaytodaythemechanical
　　actofclimbingaladder，performsafunctionpartly
　　intellectual;somuchso，indeed，thatthemostintelligentdog
　　orelephantcouldnot，probably，betaughttodoit。Thedullest
　　humanbeing，instructedbeforehand，iscapableofturningamill;
　　butahorsecannotturnitwithoutsomebodytodriveandwatch
　　him。Ontheotherhand，thereissomebodilyingredientinthe
　　labourmostpurelymental，whenitgeneratesanyexternalresult。
　　NewtoncouldnothaveproducedthePrincipiawithoutthebodily
　　exertioneitherofpenmanshiporofdictation;andhemusthave
　　drawnmanydiagrams，andwrittenoutmanycalculationsand
　　demonstrations，whilehewaspreparingitinhismind。Inventors，
　　besidesthelabouroftheirbrains，generallygothroughmuch
　　labourwiththeirhands，inthemodelswhichtheyconstructand
　　theexperimentstheyhavetomakebeforetheirideacanrealize
　　itselfsuccessfullyinact。Whethermental，however，orbodily，
　　theirlabourisapartofthatbywhichtheproductionisbrought
　　about。ThelabourofWattincontrivingthesteam—enginewasas
　　essentialapartofproductionasthatofthemechanicswhobuild
　　ortheengineerswhoworktheinstrument;andwasundergone，no
　　lessthantheirs，intheprospectofaremunerationfromthe
　　produce。Thelabourofinventionisoftenestimatedandpaidon
　　theverysameplanasthatofexecution。Manymanufacturersof
　　ornamentalgoodshaveinventorsintheiremployment，whoreceive
　　wagesorsalariesfordesigningpatterns，exactlyasothersdo
　　forcopyingthem。Allthisisstrictlypartofthelabourof
　　production;asthelabouroftheauthorofabookisequallya
　　partofitsproductionwiththatoftheprinterandbinder。
　　Inanational，oruniversalpointofview，thelabourofthe
　　savant，orspeculativethinker，isasmuchapartofproduction
　　intheverynarrowestsense，asthatoftheinventorofa
　　practicalart;manysuchinventionshavingbeenthedirect
　　consequencesoftheoreticdiscoveries，andeveryextensionof
　　knowledgeofthepowersofnaturebeingfruitfulofapplications
　　tothepurposesofoutwardlife。Theelectro—magnetictelegraph
　　wasthewonderfulandmostunexpectedconsequenceofthe
　　experimentsofOErstedandthemathematicalinvestigationsof
　　Amp鑢e:andthemodernartofnavigationisanunforeseen
　　emanationfromthepurelyspeculativeandapparentlymerely
　　curiousenquiry，bythemathematiciansofAlexandria，intothe
　　propertiesofthreecurvesformedbytheintersectionofaplane
　　surfaceandacone。Nolimitcanbesettotheimportance，even
　　inapurelyproductiveandmaterialpointofview，ofmere
　　thought。Inasmuch，however，asthesematerialfruits，thoughthe
　　result，areseldomthedirectpurposeofthepursuitsofsavants，
　　noristheirremunerationingeneralderivedfromtheincreased
　　productionwhichmaybecausedincidentally，andmostlyaftera
　　longinterval，bytheirdiscoveries;thisultimateinfluencedoes
　　not，formostofthepurposesofpoliticaleconomy，requiretobe
　　takenintoconsideration;aregenerallyclassedastheproducers
　　onlyofbooks，orotheruseableorsaleablearticles，which
　　directlyemanatefromthem。Butwhen（asinpoliticaleconomyone
　　shouldalwaysbepreparedtodo）weshiftourpointofview，and
　　considernotindividualacts，andthemotivesbywhichtheyare
　　determined，hutnationalanduniversalresults，intellectual
　　speculationmustbelookeduponasamostinfluentialpartofthe
　　productivelabourofsociety，andtheportionofitsresources
　　employedincarryingonandinremuneratingsuchlabour，asa
　　highlyproductivepartofitsexpenditure。
　　9。Intheforegoingsurveyofthemodesofemployinglabour
　　infurtheranceofproduction，Ihavemadelittleuseofthe
　　populardistinctionofindustryintoagricultural，manufacturing，
　　andcommercial。For，intruth，thisdivisionfulfilsverybadly
　　thepurposesofaclassification。Manygreatbranchesof
　　productiveindustryfindnoplaceinit，ornotwithoutmuch
　　straining;forexample（nottospeakofhuntersorfishers）the
　　miner，theroad—maker，andthesailor。Thelimit，too，between
　　agriculturalandmanufacturingindustrycannotbeprecisely
　　drawn。Themiller，forinstance，andthebaker—aretheytobe
　　reckonedamongagriculturists，oramongmanufacturers？Their
　　occupationisinitsnaturemanufacturing;thefoodhasfinally
　　partedcompanywiththesoilbeforeitishandedovertothem:
　　this，however，mightbesaidwithequaltruthofthethresher，
　　thewinnower，themakersofbutterandcheese;operationsalways
　　countedasagricultural，probablybecauseitisthecustomfor
　　themtobeperformedbypersonsresidentonthefarm，andunder
　　thesamesuperintendenceastillage。Formanypurposesallthese
　　persons，themillerandbakerinclusive，mustbeplacedinthe
　　sameclasswithploughmenandreapers。Theyareallconcernedin
　　producingfood，anddependfortheirremunerationonthefood
　　produced;whentheoneclassaboundsandflourishes，theothers
　　dosotoo;theyformcollectivelythe"agriculturalinterest;"
　　theyrenderbutoneservicetothecommunitybytheirunited
　　labours，andarepaidfromonecommonsource。Eventhetillersof
　　thesoil，again，whentheproduceisnotfood，butthematerials
　　ofwhatarecommonlytermedmanufactures，belonginmanyrespects
　　tothesamedivisionintheeconomyofsocietyasmanufacturers。
　　Thecotton—planterofCarolina，andthewool—growerofAustralia，
　　havemoreinterestsincommonwiththespinnerandweaverthan
　　withthecorngrower。But，ontheotherhand，theindustrywhich
　　operatesimmediatelyuponthesoilhas，asweshallsee
　　hereafter，somepropertiesonwhichmanyimportantconsequences
　　depend，andwhichdistinguishitfromallthesubsequentstages
　　ofproduction，whethercarriedonbythesamepersonornot;from
　　theindustryofthethresherandwinnower，asmuchasfromthat
　　ofthecotton—spinner。WhenIspeak，therefore，ofagricultural
　　labour，Ishallgenerallymeanthis，andthisexclusively，unless
　　thecontraryiseitherstatedorimpliedinthecontext。Theterm
　　manufacturingistoovaguetobeofmuchusewhenprecisionis
　　required，andwhenIemployit，Iwishtobeunderstoodas
　　intendingtospeakpopularlyratherthanscientifically。
　　NOTES:
　　1。Theableandfriendlyreviewerofthistreatiseinthe
　　EdinburghReview（October1848）conceivesthedistinctionbetween
　　materialsandimplementsratherdifferently;proposingto
　　considerasmaterials"allthingswhich，afterhavingundergone
　　thechangeimpliedinproduction，arethemselvesmatterof
　　exchange，"andasimplements（orinstruments）"thethingswhich
　　areemployedinproducingthatchange，butdonotthemselves
　　becomepartoftheexchangeableresult。"Accordingtothese
　　definitions，thefuelconsumedinamanufactorywouldbe
　　considered，notasamaterial，butasaninstrument。Thisuseof
　　thetermsaccordsbetterthatthatproposedinthetext，withthe
　　primitivephysicalmeaningoftheword"material";butthe
　　distinctiononwhichitisgroundedisonealmostirrelevantto
　　politicaleconomy。
　　ThePrinciplesofPoliticalEconomy
　　byJohnStuartMill
　　Book1，Chapter3
　　OfUnproductiveLabour
　　1。Labourisindispensabletoproduction，buthasnotalways
　　productionforitseffect。Thereismuchlabour，andofahigh
　　orderofusefulness，ofwhichproductionisnottheobject。
　　LabourhasaccordinglybeendistinguishedintoProductiveand
　　Unproductive。Therehasbeennotalittlecontroversyamong
　　politicaleconomistsonthequestion，whatkindsoflabourshould
　　bereputedtobeunproductive;andtheyhavenotalways
　　perceived，thattherewasinrealitynomatteroffactindispute
　　betweenthem。
　　Manywritershavebeenunwillingtoclassanylabouras
　　productive，unlessitsresultispalpableinsomematerial
　　object，capableofbeingtransferredfromonepersontoanother。
　　Thereareothers（amongwhomareMr。M’CullochandM。Say）who
　　lookinguponthewordunproductiveasatermofdisparagement，
　　remonstrateagainstimposingituponanylabourwhichisregarded
　　asuseful—whichproducesabenefitorapleasureworththecost。
　　Thelabourofofficersofgovernment，ofthearmyandnavy，of
　　physicians，lawyers，teachers，musicians，dancers，actors，
　　domesticservants，&c。，whentheyreallyaccomplishwhattheyare
　　paidfor，andarenotmorenumerousthanisrequiredforits
　　performance，oughtnot，saythesewriters，tobe"stigmatized"as
　　unproductive，anexpressionwhichtheyappeartoregardas
　　synonymouswithwastefulorworthless。Butthisseemstobea
　　misunderstandingofthematterindispute。Productionnotbeing
　　thesoleendofhumanexistence，thetermunproductivedoesnot
　　necessarilyimplyanystigma;norwaseverintendedtodosoin
　　thepresentcase。Thequestionisoneofmerelanguageand
　　classification。Differencesoflanguage，however，arebynomeans
　　unimportant，evenwhennotgroundedondifferencesofopinion;
　　forthougheitheroftwoexpressionsmaybeconsistentwiththe
　　wholetruth，theygenerallytendtofixattentionupondifferent
　　partsofit。Wemustthereforeenteralittleintothe
　　considerationofthevariousmeaningswhichmayattachtothe
　　wordsproductiveandunproductivewhenappliedtolabour。
　　Inthefirstplace，eveninwhatiscalledtheproductionof
　　materialobjects，itmustberememberedthatwhatisproducedis
　　notthemattercomposingthem。Allthelabourofallthehuman
　　beingsintheworldcouldnotproduceoneparticleofmatter。To
　　weavebroadclothisbuttorearrange，inapeculiarmanner，the
　　particlesofwool;togrowcornisonlytoputaportionof
　　mattercalledaseed，intoasituationwhereitcandrawtogether
　　particlesofmatterfromtheearthandair，toformthenew
　　combinationcalledaplant。Thoughwecannotcreatematter，we
　　cancauseittoassumeproperties，bywhich，fromhavingbeen
　　uselesstous，itbecomesuseful。Whatweproduce，ordesireto
　　produce，isalways，asM。Sayrightlytermsit，anutility。
　　Labourisnotcreativeofobjects，butofutilities。Neither，
　　again，doweconsumeanddestroytheobjectsthemselves;the
　　matterofwhichtheywerecomposedremains，moreorlessaltered
　　inform:whathasreallybeenconsumedisonlythequalitiesby
　　whichtheywerefittedforthepurposetheyhavebeenappliedto。
　　Itis，therefore，pertinentlyaskedbyM。Sayandothers—since，
　　whenwearesaidtoproduceobjects，weonlyproduceutility，why
　　shouldnotalllabourwhichproducesutilitybeaccounted
　　productive？Whyrefusethattitletothesurgeonwhosetsalimb，
　　thejudgeorlegislatorwhoconferssecurity，andgiveittothe
　　lapidarywhocutsandpolishesadiamond？Whydenyittothe
　　teacherfromwhomIlearnanartbywhichIcangainmybread，
　　andaccordittotheconfectionerwhomakesbonbonsforthe
　　momentarypleasureofasenseoftaste。
　　Itisquitetruethatallthesekindsoflabourare
　　productiveofutility;anthequestionwhichnowoccupiesus
　　couldnothavebeenaquestionatall，iftheproductionof
　　utilitywereenoughtosatisfythenotionwhichmankindhave
　　usuallyformedofproductivelabour。Production，andproductive，
　　areofcourseellipticalexpressions，involvingtheideaofa
　　somethingproduced;butthissomething，incommonapprehension，I
　　conceivetobe，notutility，butWealth。Productivelabourmeans
　　labourproductiveofwealth。Wearerecalled，therefore，tothe
　　questiontoucheduponinourfirstchapter，whatWealthis，and
　　whetheronlymaterialproducts，orallusefulproducts，aretobe
　　includedinit。
　　2。Nowtheutilitiesproducedbylabourareofthreekinds。
　　Theyare，
　　First，utilitiesfixedandembodiedinoutwardobjects;by
　　labouremployedininvestingexternalmaterialthingswith
　　propertieswhichrenderthemserviceabletohumanbeings。Thisis
　　thecommoncase，andrequiresnoillustration。
　　Secondly，utilitiesfixedandembodiedinhumanbeings;the
　　labourbeinginthiscaseemployedinconferringonhumanbeings，
　　qualitieswhichrenderthemserviceabletothemselvesandothers。
　　Tothisclassbelongsthelabourofallconcernedineducation;
　　notonlyschoolmasters，tutors，andprofessors，butgovernments，
　　sofarastheyaimsuccessfullyattheimprovementofthepeople;
　　moralists，andclergymen，asfarasproductiveofbenefit;the
　　labourofphysicians，asfarasinstrumentalinpreservinglife
　　andphysicalormentalefficiency;oftheteachersofbodily
　　exercises，andofthevarioustrades，sciences，andarts，
　　togetherwiththelabourofthelearnersinacquiringthem;and
　　alllabourbestowedbyanypersons，throughoutlife，inimproving
　　theknowledgeorcultivatingthebodilyormentalfacultiesof
　　themselvesorothers。
　　Thirdlyandlastly，utilitiesnotfixedorembodiedinany
　　object，butconsistinginamereservicerendered;apleasure
　　given，aninconvenienceorapainaverted，duringalongerora
　　shortertime，butwithoutleavingapermanentacquisitioninthe
　　improvedqualitiesofanypersonorthing;thelabourbeing
　　employedinproducinganutilitydirectly，not（asinthetwo
　　formercases）infittingsomeotherthingtoaffordanutility。
　　Such，forexample，isthelabourofthemusicalperformer，the
　　actor，thepublicdeclaimerorreciter，andtheshowman。Some
　　goodmaynodoubtbeproduced，andmuchmoremightbeproduced，
　　beyondthemoment，uponthefeelingsanddisposition，orgeneral
　　stateofenjoymentofthespectators;orinsteadofgoodthere
　　maybeharm;butneithertheonenortheotheristheeffect
　　intended，istheresultforwhichtheexhibitorworksandthe
　　spectatorpays;nothingbuttheimmediatepleasure。Such，again，
　　isthelabourofthearmyandnavy;they，atthebest，preventa
　　countryfrombeingconquered，orfrombeinginjuredorinsulted，
　　whichisaservice，butinallotherrespectsleavethecountry
　　neitherimprovednordeteriorated。Such，too，isthelabourof
　　thelegislator，thejudge，theofficerofjustice，andallother
　　agentsofgovernment，intheirordinaryfunctions，apartfromany
　　influencetheymayexertontheimprovementofthenationalmind。
　　Theservicewhichtheyrender，istomaintainpeaceandsecurity;
　　thesecomposetheutilitywhichtheyproduce。Itmayappearto
　　some，thatcarriers，andmerchantsordealers，shouldbeplaced
　　inthissameclass，sincetheirlabourdoesnotaddany
　　propertiestoobjects:butIreplythatitdoes:itaddsthe
　　propertyofbeingintheplacewheretheyarewanted，insteadof
　　beinginsomeotherplace:whichisaveryusefulproperty，and
　　theutilityitconfersisembodiedinthethingsthemselves，
　　whichnowactuallyareintheplacewheretheyarerequiredfor
　　use，andinconsequenceofthatincreasedutilitycouldbesold
　　atanincreasedprice，proportionedtothelabourexpendedin
　　conferringit。Thislabour，therefore，doesnotbelongtothe
　　thirdclass，buttothefirst。
　　3。Wehavenowtoconsiderwhichofthesethreeclassesof
　　labourshouldbeaccountedproductiveofwealth，sincethatis
　　whatthetermproductive，whenusedbyitself，mustbeunderstood
　　toimport。Utilitiesofthethirdclass，consistinginpleasures
　　whichonlyexistwhilebeingenjoyed，andserviceswhichonly
　　existwhilebeingperformed，cannotbespokenofaswealth，
　　exceptbyanacknowledgedmetaphor。Itisessentialtotheidea
　　ofwealthtobesusceptibleofaccumulation:thingwhichcannot，
　　afterbeingproduced，bekeptforsometimebeforebeingused，
　　arenever，Ithink，regardedaswealth，sincehowevermuchof
　　themmaybeproducedandenjoyed，thepersonbenefitedbythemis
　　noricher，isnowiseimprovedincircumstances。Butthereisnot
　　sodistinctandpositiveaviolationofusageinconsideringas
　　wealthanyproductwhichisbothusefulandsusceptibleof
　　accumulation。Theskill，andtheenergyandperseverance，ofthe
　　artisansofacountry，arereckonedpartofitswealth，noless
　　thantheirtoolsandmachinery。（1*）Accordingtothisdefinition，
　　weshouldregardalllabourasproductivewhichisemployedin
　　creatingpermanentutilities，whetherembodiedinhumanbeings，
　　orinanyotheranimateorinanimateobjects。ThisnomenclatureI
　　have，inaformerpublication，（2*）recommended，asmostconducive
　　totheendsofclassification;andIamstillofthatopinion。
　　Butinapplyingthetermwealthtotheindustrialcapacities
　　ofhumanbeing，thereseemsalways，inpopularapprehension，to
　　beatacitreferencetomaterialproducts。Theskillofan
　　artisanisaccountedwealth，onlyasbeingthemeansofacquiring
　　wealthinamaterialsense;andanyqualitiesnottendingvisibly
　　tothatobjectarescarcelysoregardedatall。Acountrywould
　　hardlybesaidtobericher，exceptbyametaphor，however
　　preciousapossessionitmighthaveinthegenius，thevirtues，
　　ortheaccomplishmentsofitsinhabitants;unlessindeedthese
　　werelookeduponasmarketablearticles，bywhichitcould
　　attractthematerialwealthofothercountries，astheGreeksof
　　old，andseveralmodernnationshavedone。While，therefore，I
　　shouldprefer，wereIconstructinganewtechnicallanguage，to
　　makethedistinctionturnuponthepermanenceratherthanupon
　　thematerialityoftheproduct，yetwhenemployingtermswhich
　　commonusagehastakencompletepossessionof，itseemsadvisable
　　sotoemploythemastodotheleastpossibleviolencetousage;
　　sinceanyimprovementinterminologyobtainedbystrainingthe
　　receivedmeaningofapopularphrase，isgenerallypurchased
　　beyonditsvalue，bytheobscurityarisingfromtheconflict
　　betweennewandoldassociations。
　　Ishall，therefore，inthistreatise，whenspeakingof
　　wealth，understandbyitonlywhatiscalledmaterialwealth，and
　　byproductivelabouronlythosekindsofexertionwhichproduce
　　utilitiesembodiedinmaterialobjects。Butinlimitingmyselfto
　　thissenseoftheword，Imeantoavailmyselfofthefullextent
　　ofthatrestrictedacceptation，andIshallnotrefusethe
　　appellationproductive，tolabourwhichyieldsnomaterial
　　productasitsdirectresult，providedthatanincreaseof
　　materialproductsisitsultimateconsequence。Thus，labour
　　expendedintheacquisitionofmanufacturingskill，Iclassas
　　productive，notinvirtueoftheskillitself，butofthe
　　manufacturedproductscreatedbytheskill，andtothecreation
　　ofwhichthelabouroflearningthetradeisessentially
　　conducive。Thelabourofofficersofgovernmentinaffordingthe
　　protectionwhich，affordedinsomemannerorother，is
　　indispensabletotheprosperityofindustry，mustbeclassedas
　　productiveevenofmaterialwealth，becausewithoutit，material
　　wealth，inanythinglikeitspresentabundance，couldnotexist。
　　Suchlabourmaybesaidtobeproductiveindirectlyormediately，
　　inoppositiontothelabouroftheploughmanandthe
　　cotton—spinner，whichareproductiveimmediately。Theyareall
　　alikeinthis，thattheyleavethecommunityricherinmaterial
　　productsthantheyfoundit;theyincrease，ortendtoincrease，
　　materialwealth。
　　4。ByUnproductiveLabour，onthecontrary，willbe
　　understoodlabourwhichdoesnotterminateinthecreationof
　　materialwealth;which，howeverlargelyorsuccessfully
　　practised，doesnotrenderthecommunity，andtheworldatlarge，
　　richerinmaterialproducts，butpoorerbyallthatisconsumed
　　bythelabourerswhilesoemployed。
　　Alllabouris，inthelanguageofpoliticaleconomy，
　　unproductive，whichendsinimmediateenjoyment，withoutany
　　increaseoftheaccumulatedstockofpermanentmeansof
　　enjoyment。Andalllabour，accordingtoourpresentdefinition，
　　mustbeclassedasunproductive，whichterminatesinapermanent
　　benefit，howeverimportant，providedthatanincreaseofmaterial
　　productsformsnopartofthatbenefit。Thelabourofsavinga
　　friend’slifeisnotproductive，unlessthefriendisa
　　productivelabourer，andproducesmorethanheconsumes。Toa
　　religiouspersonthesavingofasoulmustappearafarmore
　　importantservicethanthesavingofalife;buthewillnot
　　thereforecallamissionaryoraclergymanproductivelabourers，
　　unlesstheyteach，astheSouthSeaMissionarieshaveinsome
　　casesdone，theartsofcivilizationinadditiontothedoctrines
　　oftheirreligion。Itis，onthecontrary，evidentthatthe
　　greaternumberofmissionariesorclergymenanationmaintains，
　　thelessithastoexpendonotherthings;whilethemoreit
　　expendsjudiciouslyinkeepingagriculturistsandmanufacturers
　　atwork，themoreitwillhaveforeveryotherpurpose。Bythe
　　formeritdiminishes，caeterisparibus，itsstockofmaterial
　　products;bythelatter，itincreasesthem。
　　Unproductivemaybeasusefulasproductivelabour;itmaybe
　　moreuseful，eveninpointofpermanentadvantage;oritsusemay
　　consistonlyinpleasurablesensation，whichwhengoneleavesno
　　trace;oritmaynotaffordeventhis，butmaybeabsolutewaste。
　　Inanycasesocietyormankindgrownoricherbyit，butpoorer。
　　Allmaterialproductsconsumedbyanyonewhileheproduces
　　nothing，aresomuchsubtracted，forthetime，fromthematerial
　　productswhichsocietywouldotherwisehavepossessed。Butthough
　　societygrowsnoricherbyunproductivelabour，theindividual
　　may。Anunproductivelabourermayreceiveforhislabour，from
　　thosewhoderivepleasureorbenefitfromit，aremuneration
　　whichmaybetohimaconsiderablesourceofwealth;buthisgain
　　isbalancedbytheirloss;theymayhavereceivedafull
　　equivalentfortheirexpenditure，buttheyaresomuchpoorerby
　　it。Whenatailormakesacoatandsellsit，thereisatransfer
　　ofthepricefromthecustomertothetailor，andacoatbesides
　　whichdidnotpreviouslyexist;butwhatisgainedbyanactoris
　　ameretransferfromthespectator’sfundstohis，leavingno
　　articleofwealthforthespectator’sindemnification。Thusthe
　　communitycollectivelygainsnothingbytheactor’slabour;and
　　itloses，ofhisreceipts，allthatportionwhichheconsumes，
　　retainingonlythatwhichhelaysby。Acommunity，however，may
　　addtoitswealthbyunproductivelabour，attheexpenseofother
　　communities，asanindividualmayattheexpenseofother
　　individuals。ThegainsofItalianoperasingers，German
　　governesses，Frenchballetdancers，&c。，areasourceofwealth，
　　asfarastheygo，totheirrespectivecountries，iftheyreturn
　　thither。ThepettystatesofGreece，especiallytheruderand
　　morebackwardofthosestates，werenurseriesofsoldiers，who
　　hiredthemselvestotheprincesandsatrapsoftheEasttocarry
　　onuselessanddestructivewars，andreturnedwiththeirsavings
　　topasstheirdecliningyearsintheirowncountry……thesewere
　　unproductivelabourers，andthepaytheyreceived，togetherwith
　　theplundertheytook，wasanoutlaywithoutreturntothe
　　countrieswhichfurnishedit;but，thoughnogaintotheworld，
　　itwasagaintoGreece。Atalaterperiodthesamecountryand
　　itscoloniessuppliedtheRomanempirewithanotherclassof
　　adventurers，who，underthenameofphilosophersorof
　　rhetoricians，taughttotheyouthofthehigherclasseswhatwere
　　esteemedthemostvaluableaccomplishments:theseweremainly
　　unproductivelabourers，buttheiramplerecompensewasasource
　　ofwealthtotheirowncountry。Innoneofthesecaseswasthere
　　anyaccessionofwealthtotheworld。Theservicesofthe
　　labourers，ifuseful，wereobtainedatasacrificetotheworld
　　ofaportionofmaterialwealth;ifuseless，allthatthese
　　labourersconsumedwastotheworldwaste。
　　Tobewasted，however，isaliabilitynotconfinedto
　　unproductivelabour。Productivelabourmayequallybewasted，if
　　moreofitisexpendedthanreallyconducestoproduction。If
　　defectofskillinlabourers，orofjudgmentinthosewhodirect
　　them，causesamisapplicationofproductiveindustry;ifafarmer
　　persistsinploughingwiththreehorsesandtwomen，when
　　experiencehasshownthattwohorseandonemanaresufficient，
　　thesurpluslabour，thoughemployedforpurposesofproduction，
　　iswasted。Ifanewprocessisadoptedwhichprovesnobetter，or
　　notsogoodasthosebeforeinuse，thelabourexpendedin
　　perfectingtheinventionandincarryingitintopractice，though
　　employedforaproductivepurpose，iswasted。Productivelabour
　　mayrenderanationpoorer，ifthewealthitproduces，thatis，
　　theincreaseitmakesinthestockofusefuloragreeablethings，
　　beofakindnotimmediatelywanted:aswhenacommodityis
　　unsaleable，becauseproducedinaquantitybeyondthepresent
　　demand;orwhenspeculatorsbuilddocksandwarehousesbefore
　　thereisanytrade。SomeoftheStatesofNorthAmerica，by
　　makingprematurerailwaysandcanals，arethoughttohavemade
　　thiskindofmistake;anditwasforsometimedoubtfulwhether
　　England，inthedisproportionatedevelopmentofrailway
　　enterprise，hadnot，insomedegree，followedtheexample。Labour
　　sunkinexpectationofadistantreturn，whenthegreat
　　exigenciesorlimitedresourcesofthecommunityrequirethatthe
　　returnberapid，mayleavethecountrynotonlypoorerinthe
　　meanwhile，byallwhichthoselabourersconsume，butlessrich
　　evenultimatelythanifimmediatereturnshadbeensoughtinthe
　　firstinstance，andenterprisesfordistantprofitpostponed。
　　5。ThedistinctionofProductiveandUnproductiveis
　　applicabletoconsumptionaswellastolabour。Allthemembers
　　ofthecommunityarenotlabourers，hutallareconsumers，and
　　consumeeitherunproductivelyorproductively。Whoever
　　contributesnothingdirectlyorindirectlytoproduction，isan
　　unproductiveconsumer。Theonlyproductiveconsumersare
　　productivelabourers;thelabourofdirectionbeingofcourse
　　included，aswellasthatofexecution。Buttheconsumptioneven
　　ofproductivelabourersisnotallofitproductiveconsumption。
　　Thereisunproductiveconsumptionbyproductiveconsumers。What
　　theyconsumeinkeepinguporimprovingtheirhealth，strength，
　　andcapacitiesofwork，orinrearingotherproductivelabourers
　　tosucceedthem，isproductiveconsumption。Butconsumptionon
　　pleasuresorluxuries，whetherbytheidleorbytheindustrious，
　　sinceproductionisneitheritsobjectnorisinanywayadvanced
　　byit，mustbereckonedunproductive:withareservationperhaps
　　ofacertainquantumofenjoymentwhichmaybeclassedamong
　　necessaries，sinceanythingshortofitwouldnotbeconsistent
　　withthegreatestefficiencyoflabour。Thataloneisproductive
　　consumption，whichgoestomaintainandincreasetheproductive
　　powersofthecommunity;eitherthoseresidinginitssoil，in
　　itsmaterials，inthenumberandefficiencyofitsinstrumentsof
　　production，orinitspeople。
　　Therearenumerousproductswhichmaybesaidnottoadmitof
　　beingconsumedotherwisethanunproductively。Theannual
　　consumptionofgoldlace，pineapples，orchampagne，mustbe
　　reckonedunproductive，sincethesethingsgivenoassistanceto
　　production，noranysupporttolifeorstrength，butwhatwould
　　equallybegivenbythingsmuchlesscostly。Henceitmightbe
　　supposedthatthelabouremployedinproducingthemoughtnotto
　　beregardedasproductive，inthesenseinwhichthetermis
　　understoodbypoliticaleconomists。Igrantthatnolabourtends
　　tothepermanentenrichmentofsociety，whichisemployedin
　　producingthingsfortheuseofunproductiveconsumers。The
　　tailorwhomakesacoatforamanwhoproducesnothing，isa
　　productivelabourer;butinafewweeksormonthsthecoatis
　　wornout，whilethewearerhasnotproducedanythingtoreplace
　　it，andthecommunityisthennoricherbythelabourofthe
　　tailor，thanifthesamesumhadbeenpaidforastallatthe
　　opera。Nevertheless，societyhasbeenricherbythelabourwhile
　　thecoatlasted，thatis，untilsociety，throughoneofits
　　unproductivemembers，chosetoconsumetheproduceofthelabour
　　unproductively。Thecaseofthegoldlaceorthepineappleisno
　　furtherdifferent，thanthattheyarestillfurtherremovedthan
　　thecoatfromthecharacterofnecessaries。Thesethingsalsoare
　　wealthuntiltheyhavebeenconsumed。
　　6。Wesee，however，bythis，thatthereisadistinction，
　　moreimportanttothewealthofacommunitythaneventhat
　　betweenproductiveandunproductivelabour;thedistinction，
　　namely，betweenlabourforthesupplyofproductive，andforthe
　　supplyofunproductive，consumption;betweenlabouremployedin
　　keepinguporinaddingtotheproductiveresourcesofthe
　　country，andthatwhichisemployedotherwise。Oftheproduceof
　　thecountry，apartonlyisdestinedtobeconsumedproductively;
　　theremaindersuppliestheunproductiveconsumptionofproducers，
　　andtheentireconsumptionoftheunproductiveclasses。Suppose
　　thattheproportionoftheannualproduceappliedtothefirst
　　purposeamountstohalf;thenone—halftheproductivelabourers
　　ofthecountryareallthatareemployedintheoperationson
　　whichthepermanentwealthofthecountrydepends。Theotherhalf
　　areoccupiedfromyeartoyearandfromgenerationtogeneration
　　inproducingthingswhichareconsumedanddisappearwithout
　　return;andwhateverthishalfconsumeisascompletelylost，as
　　toanypermanenteffectonthenationalresources，asifitwere
　　consumedunproductively。Supposethatthissecondhalfofthe
　　labouringpopulationceasedtowork，andthatthegovernmentor
　　theirparishesmaintainedtheminidlenessforawholeyear:the
　　firsthalfwouldsufficetoproduce，astheyhaddonebefore，
　　theirownnecessariesandthenecessariesofthesecondhalf，and
　　tokeepthestockofmaterialsandimplementsundiminished:the
　　unproductiveclasses，indeed，wouldbeeitherstaredorobliged
　　toproducetheirownsubsistence，andthewholecommunitywould
　　bereducedduringayeartobarenecessaries;butthesourcesof
　　productionwouldbeunimpaired，andthenextyeartherewouldnot
　　necessarilybeasmallerproducethanifnosuchintervalof
　　inactivityhadoccurred;whileifthecasehadbeenreversed，if
　　thefirsthalfofthelabourershadsuspendedtheiraccustomed
　　occupations，andthesecondhalfhadcontinuedtheirs，the
　　countryattheendofthetwelvemonthwouldhavebeenentirely
　　impoverished。
　　Itwouldbeagreaterrortoregretthelargeproportionof
　　theannualproduce，whichinanopulentcountrygoestosupply
　　unproductiveconsumption。Itwouldbetolamentthatthe
　　communityhassomuchtosparefromitsnecessities，forits
　　pleasuresandforallhigheruses。Thisportionoftheproduceis
　　thefundfromwhichallthewantsofthecommunity，otherthan
　　thatofmereliving，areprovidedfor;themeasureofitsmeans
　　ofenjoyment，andofitspowerofaccomplishingallpurposesnot
　　productive。Thatsogreatasurplusshouldbeavailableforsuch
　　purposes，andthatitshouldbeappliedtothem，canonlybea
　　subjectofcongratulation。Thethingstoberegretted，andwhich
　　arenotincapableofbeingremedied，aretheprodigious
　　inequalitywithwhichthissurplusisdistributed，thelittle
　　worthoftheobjectstowhichthegreaterpartofitisdevoted，
　　andthelargesharewhichfallstothelotofpersonswhorender
　　noequivalentserviceinreturn。
　　NOTES:
　　1。Someauthoritieslookuponitasanessentialelementinthe
　　ideaofwealth，thatitshouldbecapablenotsolelyofbeing
　　accumulatedbutofbeingtransferred;andinasmuchasthe
　　valuablequalities，andeventheproductivecapacities，ofa
　　humanbeing，cannotbedetachedfromhimandpassedtosomeone
　　else，theydenytothesetheappellationofwealth，andtothe
　　labourexpendedinacquiringthemthenameofproductivelabour。
　　Itseemstome，however，thattheskillofanartisan（for
　　instance）beingbothadesirablepossession，andoneofacertain
　　durability（nottosayproductiveevenofnationalwealth），there
　　isnobetterreasonforrefusingtoitthetitleofwealth
　　becauseitisattachedtoaman，thantoacoalpitormanufactory
　　becausetheyareattachedtoaplace。Besides，iftheskill
　　itselfcannotbepartedwithtoapurchaser，theuseofitmay;
　　ifitcannotbesold，itcanbehired;anditmaybe，andis，
　　soldoutrightinallcountrieswhoselawspermitthattheman
　　himselfshouldbesoldalongwithit。Itsdefectof
　　transferabilitydoesnotresultfromanaturalbutfromalegal
　　andmoralobstacle。Thehumanbeinghimself（asformerly
　　observed）Idonotclassaswealth。Heisthepurposeforwhich
　　wealthexists。Buthisacquiredcapacities，whichexistonlyas
　　means，andhavebeencalledintoexistencebylabour，fall
　　rightly，asitseemstome，withinthatdesignation。
　　2。EssaysonsomeUnsettledQuestionsofPoliticalEconomy。Essay
　　III。OnthewordsProductiveandUnproductive。
　　ThePrinciplesofPoliticalEconomy
　　byJohnStuartMill
　　Book1，Chapter4
　　OfCapital
　　1。Ithasbeenseenintheprecedingchaptersthatbesides
　　theprimaryanduniversalrequisitesofproduction，labourand
　　naturalagents，thereisanotherrequisitewithoutwhichno
　　productiveoperations，beyondtherudeandscantybeginningsof
　　primitiveindustry，arepossible:namely，astock，previously
　　accumulated，oftheproductsofformerlabour。Thisaccumulated
　　stockoftheproduceoflabouristermedCapital。Thefunctionof
　　Capitalinproduction，itisoftheutmostimportancethoroughly
　　tounderstand，sinceanumberoftheerroneousnotionswithwhich
　　oursubjectisinfested，originateinanimperfectandconfused
　　apprehensionofthispoint。
　　Capital，bypersonswhollyunusedtoreflectonthesubject，
　　issupposedtobesynonymouswithmoney。Toexposethis
　　misapprehension，wouldbetorepeatwhathasbeensaidinthe
　　introductorychapter。Moneyisnomoresynonymouswithcapital
　　thanitiswithwealth。Moneycannotinitselfperformanypart
　　oftheofficeofcapital，sinceitcanaffordnoassistanceto
　　production。Todothis，itmustbeexchangedforotherthings;
　　andanything，whichissusceptibleofbeingexchangedforother
　　things，iscapableofcontributingtoproductioninthesame
　　degree。Whatcapitaldoesforproduction，istoaffordthe
　　shelter，protection，toolsandmaterialswhichtheworkrequires，
　　andtofeedandotherwisemaintainthelabourersduringthe
　　process。Thesearetheserviceswhichpresentlabourrequires
　　frompast，andfromtheproduceofpast，labour。Whateverthings
　　aredestinedforthisuse——destinedtosupplyproductivelabour
　　withthesevariousprerequisites——areCapital。
　　Tofamiliarizeourselveswiththeconception，letusconsider
　　whatisdonewiththecapitalinvestedinanyofthebranchesof
　　businesswhichcomposetheproductiveindustryofacountry。A
　　manufacturer，forexample，hasonepartofhiscapitalinthe
　　formofbuildings，fittedanddestinedforcarryingonhisbranch
　　ofmanufacture。Anotherparthehasintheformofmachinery。A
　　thirdconsists，ifhebeaspinner，ofrawcotton，flax，orwool;
　　ifaweaver，offlaxen，woollen，silk，orcotton，thread;andthe
　　like，accordingtothenatureofthemanufacture。Foodand
　　clothingforhisoperatives，itisnotthecustomofthepresent
　　agethatheshoulddirectlyprovide;andfewcapitalists，except
　　theproducersoffoodorclothing，haveanyportionworth
　　mentioningoftheircapitalinthatshape。Insteadofthis，each
　　capitalisthasmoney，whichhepaystohisworkpeople，andso
　　enablesthemtosupplythemselves:hehasalsofinishedgoodsin
　　hiswarehouses，bythesaleofwhichheobtainsmoremoney，to
　　employinthesamemanner，aswellastoreplenishhisstockof
　　materials，tokeephisbuildingsandmachineryinrepair，andto
　　replacethemwhenwornout。Hismoneyandfinishedgoods，
　　however，arenotwhollycapital，forhedoesnotwhollydevote
　　themtothesepurposes:heemploysapartoftheone，andofthe
　　proceedsoftheother，insupplyinghispersonalconsumptionand
　　thatofhisfamily，orinhiringgroomsandvalets，or
　　maintaininghuntersandhounds，orineducatinghischildren，or
　　inpayingtaxes，orincharity。Whatthenishiscapital？
　　Preciselythatpartofhispossessions，whateveritbe，whichis
　　toconstitutehisfundforcarryingonfreshproduction。Itisof
　　noconsequencethatapart，oreventhewholeofit，isinaform
　　inwhichitcannotdirectlysupplythewantsoflabourers。
　　Suppose，forinstance，thatthecapitalistisahardware
　　manufacturer，andthathisstockintrade，overandabovehis
　　machinery，consistsatpresentwhollyinirongoods。Irongoods
　　cannotfeedlabourers。Nevertheless，byamerechangeofthe
　　destinationoftheseirongoods，hecancauselabourerstobe
　　fed。Supposethatwithaportionoftheproceedsheintendedto
　　maintainapackofhounds，oranestablishmentofservants;and
　　thathechangeshisintention，andemploysitinhisbusiness，
　　payingitinwagestoadditionalworkpeople。Theseworkpeopleare
　　enabledtobuyandconsumethefoodwhichwouldotherwisehave
　　beenconsumedbythehoundsorbytheservants;andthuswithout
　　theemployer’shavingseenortouchedoneparticleofthefood，
　　hisconducthasdeterminedthatsomuchmoreofthefoodexisting
　　inthecountryhasbeendevotedtotheuseofproductive
　　labourers，andsomuchlessconsumedinamannerwholly
　　unproductive。Nowvarythehypothesis，andsupposethatwhatis
　　thuspaidinwageswouldotherwisehavebeenlaidoutnotin
　　feedingservantsorhounds，butinbuyingplateandjewels;and
　　inordertorendertheeffectperceptible，letussupposethat
　　thechangetakesplaceonaconsiderablescale，andthatalarge
　　sumisdivertedfrombuyingplateandjewelstoemploying
　　productivelabourers，whomweshallsupposetohavebeen
　　previously，liketheIrishpeasantry，onlyhalfemployedandhalf
　　fed。Thelabourers，onreceivingtheirincreasedwages，willnot
　　laythemoutinplateandjewels，butinfood。Thereisnot，
　　however，additionalfoodinthecountry;noranyunproductive
　　labourersoranimals，asintheformercase，whosefoodisset
　　freeforproductivepurposes。Foodwillthereforebeimportedif
　　possible;ifnotpossible，thelabourerswillremainforaseason
　　ontheirshortallowance:buttheconsequencesofthischangein
　　thedemandforcommodities，occasionedbythechangeinthe
　　expenditureofcapitalistsfromunproductivetoproductive，is
　　thatnextyearmorefoodwillbeproduced，andlessplateand
　　jewellery。Sothatagain，withouthavinghadanythingtodowith
　　thefoodofthelabourersdirectly，theconversionbyindividuals
　　ofaportionoftheirproperty，nomatterofwhatsort，froman
　　unproductivedestinationtoaproductive，hashadtheeffectof
　　causingmorefoodtobeappropriatedtotheconsumptionof
　　productivelabourers。Thedistinction，then，betweenCapitaland
　　Not—capital，doesnotlieinthekindofcommodities，butinthe
　　mindofthecapitalist——inhiswilltoemploythemforone
　　purposeratherthananother;andallproperty，howeverill
　　adaptedinitselffortheuseoflabourers，isapartofcapital，
　　sosoonasit，orthevaluetobereceivedfromit，issetapart
　　forproductivereinvestment。Thesumofallthevaluesso
　　destinedbytheirrespectivepossessors，composesthecapitalof
　　thecountry。Whetherallthosevaluesareinashapedirectly
　　applicabletoproductiveuses，makesnodifference。Theirshape，
　　whateveritmaybe，isatemporaryaccident:butoncedestined
　　forproduction，theydonotfailtofindawayoftransforming
　　themselvesintothingscapableofbeingappliedtoit。
　　2。Aswhateveroftheproduceofthecountryisdevotedto
　　productioniscapital，so，conversely，thewholeofthecapital
　　ofthecountryisdevotedtoproduction。Thissecondproposition，
　　however，mustbetakenwithsomelimitationsandexplanations。A
　　fundmaybeseekingforproductiveemployment，andfindnone，
　　adaptedtotheinclinationsofitspossessor:ittheniscapital
　　still，butunemployedcapital。Orthestockmayconsistofunsold
　　goods，notsusceptibleofdirectapplicationtoproductiveuses，
　　andnot，atthemoment，marketable:these，untilsold，areinthe
　　conditionofunemployedcapital。Again，artificialoraccidental
　　circumstancesmayrenderitnecessarytopossessalargerstock
　　inadvance，thatis，alargercapitalbeforeenteringon
　　production，thanisrequiredbythenatureofthings。Suppose
　　thatthegovernmentlaysataxontheproductioninoneofits
　　earlierstages，asforinstancebytaxingthematerial。The
　　manufacturerhastoadvancethetax，beforecommencingthe
　　manufacture，andisthereforeunderanecessityofhavinga
　　largeraccumulatedfundthanisrequiredfor，orisactually
　　employedin，theproductionwhichhecarrieson。Hemusthavea
　　largercapital，tomaintainthesamequantityofproductive
　　labour;or（whatisequivalent）withagivencapitalhemaintains
　　lesslabour。Thismodeoflevyingtaxes，therefore，limits
　　unnecessarilytheindustryofthecountry:aportionofthefund
　　destinedbyitsownersforproductionbeingdivertedfromits
　　purpose，andkeptinaconstantstateofadvancetothe
　　government。
　　Foranotherexample:afarmermayenteronhisfarmatsucha
　　timeoftheyea，thathemayberequiredtopayone，two，oreven
　　threequarters’rentbeforeobtaininganyreturnfromthe
　　produce。This，therefore，musthepaidoutofhiscapital。Now
　　rent，whenpaidforthelanditself，andnotforimprovements
　　madeinitbylabour，isnotaproductiveexpenditure。Itisnot
　　anoutlayforthesupportoflabour，orfortheprovisionof
　　implementsormaterialstheproduceoflabour。Itistheprice
　　paidfortheuseofanappropriatednaturalagent。Thisnatural
　　agentisindeedasindispensable（andevenmoreso）asany
　　implement:butthehavingtopayapriceforit，isnot。Inthe
　　caseoftheimplement（athingproducedbylabour）apriceof
　　somesortisthenecessaryconditionofitsexistence:butthe
　　landexistsbynature。Thepaymentforit，therefore，isnotone
　　oftheexpensesofproduction;andthenecessityofmakingthe
　　paymentoutofcapital，makesitrequisitethatthereshouldbea
　　greatercapital，agreaterantecedentaccumulationoftheproduce
　　ofpastlabour，thanisnaturallynecessary，orthanisneeded
　　wherelandisoccupiedonadifferentsystem。Thisextracapital，
　　thoughintendedbyitsownersforproduction，isinreality
　　employedunproductively，andannuallyreplaced，notfromany
　　produceofitsown，butfromtheproduceofthelaboursupported
　　bytheremainderofthefarmer’scapital。
　　Finally，thatlargeportionoftheproductivecapitalofa
　　countrywhichisemployedinpayingthewagesandsalariesof
　　labourers，evidentlyisnot，allofit，strictlyand
　　indispensablynecessaryforproduction。Asmuchofitasexceeds
　　theactualnecessariesoflifeandhealth（anexcesswhichinthe
　　caseofskilledlabourersisusuallyconsiderable）isnot
　　expendedinsupportinglabour，butinremuneratingit，andthe
　　labourerscouldwaitforthispartoftheirremunerationuntil
　　theproductioniscompleted;itneedsnotnecessarilypre—exist
　　ascapital:andiftheyunfortunatelyhadtoforegoit
　　altogether，thesameamountofproductionmighttakeplace。In
　　orderthatthewholeremunerationofthelabourersshouldbe
　　advancedtothemindailyorweeklypayments，theremustexistin
　　advance，andbeappropriatedtoproductiveuse，agreaterstock，
　　orcapital，thanwouldsufficetocarryontheexistingextentof
　　production:greater，bywhateveramountofremunerationthe
　　labourersreceive，beyondwhattheself—interestofaprudent
　　slave—masterwouldassigntohisslaves。Intruth，itisonly
　　afteranabundantcapitalhadalreadybeenaccumulated，thatthe
　　practiceofpayinginadvanceanyremunerationoflabourbeyonda
　　baresubsistence，couldpossiblyhavearisen:sincewhateveris
　　sopaid，isnotreallyappliedtoproduction，buttothe
　　unproductiveconsumptionofproductivelabourers，indicatinga
　　fundforproductionsufficientlyampletoadmitofhabitually
　　divertingapartofittoamereconvenience。
　　ItwillbeobservedthatIhaveassumed，thatthelabourers
　　arealwayssubsistedfromcapital:andthisisobviouslythe
　　fact，thoughthecapitalneedsnotnecessarilybefurnishedbya
　　personcalledacapitalist。Whenthelabourermaintainshimself
　　byfundsofhisown，aswhenapeasant—farmerorproprietorlives
　　ontheproduceofhisland，oranartisanworksonhisown
　　account，theyarestillsupportedbycapital，thatis，byfunds
　　providedinadvance。Thepeasantdoesnotsubsistthisyearon
　　theproduceofthisyear’sharvest，butonthatofthelast。The
　　artisanisnotlivingontheproceedsoftheworkhehasinhand，
　　butonthoseofworkpreviouslyexecutedanddisposedof。Eachis
　　supportedbyasmallcapitalofhisown，whichheperiodically
　　replacesfromtheproduceofhislabour。Thelargecapitalistis，
　　inlikemanner，maintainedfromfundsprovidedinadvance。Ifhe
　　personallyconductshisoperations，asmuchofhispersonalor
　　householdexpenditureasdoesnotexceedafairremunerationof
　　hislabouratthemarketprice，mustbeconsideredapartofhis
　　capital，expended，likeanyothercapital，forproduction:and
　　hispersonalconsumption，sofarasitconsistsofnecessaries，
　　isproductiveconsumption。
　　3。Attheriskofbeingtedious，Imustaddafewmore
　　illustrations，tobringoutintoastillclearerandstronger
　　lighttheideaofCapital。AsM。Saytrulyremarks，itisonthe
　　veryelementsofoursubjectthatillustrationismostusefully
　　bestowed，sincethegreatesterrorswhichprevailinitmaybe
　　tracedtothewantofathoroughmasteryovertheelementary
　　ideas。Noristhissurprising:abranchmaybediseasedandall
　　theresthealthy，butunsoundnessattherootdiffuses
　　unhealthinessthroughthewholetree。
　　Letusthereforeconsiderwhether，andinwhatcases，the
　　propertyofthosewholiveontheinterestofwhattheypossess，
　　withoutbeingpersonallyengagedinproduction，canberegarded
　　ascapital。Itissocalledincommonlanguage，and，with
　　referencetotheindividual，notimproperly。Allfundsfromwhich
　　thepossessorderivesanincome，whichincomehecanusewithout
　　sinkinganddissipatingthefunditself，aretohimequivalentto
　　capital。Buttotransferhastilyandinconsideratelytothe
　　generalpointofview，propositionswhicharetrueofthe
　　individual，hasbeenasourceofinnumerableerrorsinpolitical
　　economy。Inthepresentinstance，thatwhichisvirtuallycapital
　　totheindividual，isorisnotcapitaltothenation，according
　　asthefundwhichbythesuppositionhehasnotdissipated，has
　　orhasnotbeendissipatedbysomebodyelse。
　　Forexample，letpropertyofthevalueoftenthousandpounds
　　belongingtoA，belenttoB，afarmerormanufacturer，and
　　employedprofitablyinB’soccupation。Itisasmuchcapitalas
　　ifitbelongedtoB。Aisreallyafarmerormanufacturer，not
　　personally，butinrespectofhisproperty。Capitalworthten
　　thousandpoundsisemployedinproduction——inmaintaining
　　labourersandprovidingtoolsandmaterials;whichcapital
　　belongstoA，whileBtakesthetroubleofemployingit，and
　　receivesforhisremunerationthedifferencebetweentheprofit
　　whichityieldsandtheinteresthepaystoA。Thisisthe
　　simplestcase。