Page:Manual of Political Economy.djvu/162

Rh It has been shown that wealth is distributed in three shares, namely, rent, wages and profits: because land, labour and capital are essential to the production of wealth; and rent, wages and profits represent the service which has been rendered by each of these agents of production. It must not be supposed that rent, wages and profits are always received by distinct individuals. In England, as a general rule, there are these three distinct classes of recipients, who are respectively named landlords, labourers and employers. The landlord seldom supplies either capital or labour; the capital is advanced by the employer; and the labourer has very rarely any capital invested in the industry upon which he is employed. But the economic condition of England differs, in this respect, more widely from that of other countries than is usually supposed; in fact, it is rather the exception than the rule, that wealth should be distributed in the form of rent, wages and profits, amongst distinct and separate classes of individuals. In the south of France, in Italy, in Flanders and in other parts of the continent, peasant proprietors occupy a great portion of the land. It is intended to signify by a peasant proprietor, a man who cultivates a small quantity of land which is his own property; he himself supplying all the labour and capital which are required. In such a case, the produce is not distributed into rent, wages and profits, for one individual is entitled to all the produce which is raised, since he owns the land, and has also contributed the labour and capital. Although the whole produce is, as it were, heaped together, without being divided into three portions corresponding to rent, wages and profits, yet the remuneration obtained by the peasant proprietor is composed of three distinct parts. These are combined, but they may be separately estimated in the following manner. If the land cultivated by the peasant proprietor were not his own property, he would be obliged to pay a certain rent for its use. A portion of the produce, therefore, equal in value to the amount which would be thus paid, represents the rent. Again, if the capital employed by the peasant proprietor were borrowed from some one else, a payment must be made for the loan, and therefore a portion of the produce, equal in value Rh