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    An Inquiry into the Principles of Political Economy

    Chap. XXI: Of Physical and Political Necessaries

    James Steuart

    16 min

    After having cleared up our ideas concerning luxury, it follows naturally, to examine what is meant by physical-necessary.

    I have observed in the third chapter of the first book, that in most countries where food is limited to a determinate quantity, inhabitants are fed in a regular progression down from plenty and ample subsistence, to the last period of want, and dying from hunger. It is ample subsistence where no degree of superfluity is implied, which communicates an idea of the physical-necessary. It is the top of this ladder; it is the first rank among men who enjoy no superfluity whatsoever. A man enjoys the physical-necessary as to food, when he is fully fed; if he is likewise sufficiently clothed, and well defended against every thing which may hurt him, he enjoys his full physical-necessary. The moment he begins to add to this, he may be considered as moving upwards into another class, to wit, that of the luxurious, or consumers of superfluity; of which there are to be found, in most countries, as many stages upward, as there are stages downwards, from where he stood before. This is one general idea of the question. Let me now look for another.

    If we examine the state of many animals which have no appetites leading them to excess, we may form a very just idea of a physical-necessary for man. When they are free from labour, and have food at will, they enjoy their full physical-necessary. They are then in the height of beauty, and enjoy the greatest degree of happiness they are capable of. Animals which are forced to labour, prove to us very plainly, that this physical-necessary is not fixed to a point, but that it may vary like most other things: every one perceives the difference between labouring cattle which are well fed, and those which are indifferently, or ill fed; all however, I suppose to live in health, and to work according to their strength. This represents the nature of a physical-necessary for man.

    In all the inferior classes in every nation, we find various degrees of ease among the individuals; and yet upon the whole, it would be hard to determine, which are those who enjoy superfluity; which are those who possess the pure physical-necessary; and which are those who fall below it. The cause of this ambiguity must here be explained.

    The nature of man furnishes him with some desires relative to his wants, which do not proceed from his animal oeconomy, but which are entirely similar to them in their effects. These proceed from the affections of his mind, are formed by habit and education, and when once regularly established, create another kind of necessary, which, for the sake of distinction, I shall call political. The similitude between these two species of necessary, is therefore the cause of ambiguity.

    This political-necessary has for its object, certain articles of physical superfluity, which distinguishes what we call rank in society.

    Rank is determined by birth, education, or habit. A man with difficulty submits to descend from a higher way of living to a lower and when an accidental circumstance has raised him for a while, above the level of that rank where his birth or education had placed him, his ambition prompts him to support himself in his elevation. If his attempt be a rational scheme, he is generally approved of; the common consent of his fellow-citizens prescribes a certain political-necessary for him, proportioned to his ambition; and when at any time this comes to fail, he is considered to be in want.

    If on the other hand, a person either from vanity, or from no rational prospect of success, form a scheme of rising above the rank where birth or education had placed him, his fellow-citizens do not consent to prescribe for him a political-necessary suitable to his ambition; and when this fails him, he is considered to fall back only into the class to which he properly belonged. But if the political-necessary suitable to this rank should come to fail, then he is supposed to be deprived of his political-necessary.

    The measure of this last species of necessary, is determined by general opinion only, and therefore can never be justly ascertained; and as this opinion may have for its object even those who are below the level of the physical-necessary, it often happens, that we find great difficulties in determining its exact limits.

    It may appear absurd, to suppose any one to enjoy superfluity (which we have called the characteristic of political-necessary) to whom any part of the physical-necessary is found wanting. However absurd this may appear, yet nothing is more common among men, and the reason arises from what has been observed above. The desires which proceed from the affections of his mind, are often so strong as to make him comply with them at the expence of becoming incapable of satisfying those which his animal oeconomy necessarily demands.

    From this it happens, that however easy it may be to conceive an accurate idea of a physical-necessary for other animals, nothing is more difficult, than to prescribe the proper limits for it with regard to man.

    This being the case, let us suppose the condition of those who enjoy but little superfluity, and who fill the lower classes of the people, to be distinguished into three denominations; to wit, the highest, middle, and lowest degree of physical-necessary, and then let us ask, how we may form an estimation of the respective value of the consumption implied in each, in order to determine the minimum as to the profits upon industry. This question is of great importance; because we have shewn that the prosperity of foreign trade depends on the cheapness of manufacturing; and this again never can fall below the proportion or value of the physical-necessary for manufacturers.

    One very good method of estimating the value of the total consumption implied by this necessary quantity, is to compute the expence of those who live in communities, such as in hospitals, workhouses, armies, convents, according to the different degrees of ease, severally enjoyed by those who compose them. In running over the few articles of expence in such establishments, it will be easy to discern between those, which relate to the supply of the physical, and those which relate to the supply of the political-necessary: ammunition bread is an example of the first; a monk's hood and long sleeves, are a species of the latter.

    When once the real value of a man's subsistence is found, the statesman may the better judge of the degree of ease, necessary or expedient to allow for the several classes of the laborious and ingenious inhabitants.

    As we have divided this physical-necessary into three degrees; the highest, middle, and lowest; the next question is, which of the three degrees is the most expedient to be established, as the standard value of the industry of the very lowest class of a people?

    I answer, that in a society, it is requisite that the individual of the most puny constitution for labour and industry, and of the most slender genius for works of ingenuity, having no natural defect, and enjoying health, should be able by a labour proportioned to his force, to gain the lowest degree of the physical-necessary; for in this case, by far the greatest part of the industrious will be found in the second class, and the strong and healthy all in the first.

    The difference between the highest class and the lowest, I do not apprehend to be very great. A small quantity added to what is barely sufficient, makes enough: but this small quantity is the most difficult to acquire, and a desire to surmount this difficulty is the most powerful spur to industry. The moment a person begins to live by his industry, let his livelihood be ever so poor, he immediately forms little objects of ambition, compares his situation with that of his fellows who are a degree above him, and considers a shade more of ease, as I may call it, as an advancement, not of his happiness only, but also of his rank.

    There are still more varieties to be met with in the condition of those who are confined to the sphere of the physical-necessary. The labour of a strong man ought to be otherwise recompensed than that of a puny creature. But in every state there is found labour of different kinds, some requiring more, and some less strength, and all must be paid for; but as a weakly person does not commonly require so much nourishment as the strong and robust, the difference of his gains may be compensated by the smallness of his consumption.

    What we mean by the first class of the physical-necessary, is when a person gains wherewithal to be well fed, well clothed, and well defended against the injuries of heat and cold, without any superfluity. This I say, a strong healthy person should be able to gain by the exercise of the lowest denominations of industrious labour, and without a possibility of being deprived of it, by the competition of others of the same profession.

    Could a method be fallen upon to prevent competition among industrious people of the same profession, the moment they come to be reduced within the limits of the physical-necessary, it would prove the best security against decline in a modern state, and the most solid basis of a lasting prosperity.

    But as we have observed in the first book, the thing is impossible, while marriage subsists on the present footing. From this one circumstance, the condition of the industrious of the same profession, is rendered totally-different. Some are loaded with a family, others are not. The only expedient, therefore, for a statesman, is to keep the general principles constantly in his eye, to destroy this competition as much as he can, at least in branches for exportation; to avoid, in his administration, every measure which may tend to promote it, by constituting a particular advantage in favour of some individuals of the same class above others; and if the management of public affairs necessarily implies such inconveniences, he must find out a method of indemnifying those who suffer by the competition.

    We may therefore, in this place, lay down two principles: First, that no competition should be encouraged among those who labour for a physical-necessary: secondly, that in a state which flourishes by her foreign trade, competition is to be encouraged in every branch of manufactures for exportation, until the competitors have reduced one another within the limits of this necessary.

    Farther, I must observe, that this physical-necessary ought to be the highest degree of ease, which any one should be able to acquire with labour and industry, where no peculiar ingenuity is required. This also is a point deserving the attention of a statesman. For how frequently do we find, in great cities, different employments, such as carrying of water, and other burdens, sawing of wood, &c. erected into confraternities, which prevent competition, and raise profits beyond the standard of the physical-necessary? This, I apprehend, to be a discouragement to ingenuity, and have the bad effect of rendering living dear, without answering any one of the intentions of establishing corporations, as shall be shewn in another place. The physical-necessary, therefore, ought to be the reward of labour and industry; whatever any workman gains above this standard, ought to be in consequence of his superior ingenuity.

    It is not at all necessary to ascertain the limits between these two classes; they will sufficiently distinguish themselves by the simple operation of competition. Let a particular person fall upon an ingenious invention, he will profit by it, and rise above the lower classes which are confined to the physical-necessary; but if the invention be such as may be easily copied, he will quickly be rivalled to such a degree as to reduce his profits within the bounds of the physical-necessary; so soon as this comes to be the case, his ingenuity disappears, because it ceases to be peculiar to him.

    Here arises a question: whence does it happen that certain workmen avoid this competition, and make considerable gains by their employment, while others are rivalled in their endeavours to retain a bare physical-necessary?

    There is a combination of several causes to produce these effects, which we shall examine separately; leaving to the reader to judge, how far these causes may extend profits beyond the physical-necessary.

    First, We have said (chap. 9.) that the value of a workman's labour is determined from the quantity performed, in general, by those of his profession, neither supposing them the best or the worst, or as having any advantage or disadvantage, from the place of their abode. A workman therefore, who, to an extraordinary dexterity, joins the advantages of place, must gain more than another.

    Secondly, We have often remarked, that competition between workmen of the same profession, diminishes the profits upon their labour. From this it follows, that in such arts where the least competition is found, there must be the largest profits. Now several circumstances prevent competition. First, An extraordinary dexterity in any art, and especially in those where the whole excellency depends upon great accuracy and a refined taste, such as watch-making, painting of all kinds, making mathematical instruments, and the like; all which set a celebrated artist in a manner above a possibility of rivalship, and make him the master of his price, as experience shews. Secondly, The difficulty of acquiring the dexterity requisite, resulting both from the time and expence of apprenticeships, proves a plain obstacle to a numerous competition. Few there are, who having the stock sufficient to defray the loss of several years fruitless application, have also the turn necessary to lead them to a particular branch of ingenuity. Thirdly, Many there are, who have skill and capacity sufficient to enter into competition, but are obliged to work for others, because of the expensive apparatus of instruments, machines, lodging, and many other things necessary for setting out as a master in the art. These, and similar causes, prevent competition, and support large profits. Fourthly, Masters increase their profits greatly by sharing those of their journeymen: this share, the first have a just title to, from the constant employment they provide for the latter. and the certainty these again have of gaining their physical-necessary, together with a profit proportional to their dexterity, makes them willing to share with their master. The fifth cause of considerable gains, and the last I shall mention, is the most effectual of all, viz. great oeconomy, and parsimonious living. In proportion to the combination of these circumstances, the fortune of the artist will increase, which is the answer to the first part of the question proposed.

    We are next to enquire how it happens that many industrious people are rivalled in an industry which brings no more than a bare physical-necessary. This must proceed from some disadvantage either in their personal or political situation. In their personal situation, when they are loaded with a numerous family, interrupted by sickness, or other accidental avocations. In their political situation, when they happen to be under a particular subordination from which others are free, or to be loaded with taxes which others do not pay.

    I shall only add, that in computing the value of the physical-necessary of the lowest denomination, a just allowance must be made for all interruptions of labour: no person can be supposed to work every free day; and the labour of the year must defray the expence of the year. This is evident. Farther, neither humanity, or policy, that is the interest of a state, can recommend a rigorous oeconomy upon this essential quantity. If the great abuses upon the price of labour be corrected, those which remain imperceptible to the public eye, will prove no disadvantage to exportation; and as long as this goes on with success, the state is in health and vigour. Exportation of work is another pulse of the political body.