Page:The Protestant ethic and the spirit of capitalism.djvu/38

 particular laws, and it is not expedient, however little one can forbid this, to place it in the same category with action which is, in the last analysis, oriented to profits from exchange. Where capitalistic acquisition is rationally pursued, the corresponding action is adjusted to calculations in terms of capital. This means that the action is adapted to a systematic utilization of goods or personal services as means of acquisition in such a way that, at the close of a business period, the balance of the enterprise in money assets (or, in the case of a continuous enterprise, the periodically estimated money value of assets) exceeds the capital, i.e. the estimated value of the material means of production used for acquisition in exchange. It makes no difference whether it involves a quantity of goods entrusted in natura to a travelling merchant, the proceeds of which may consist in other goods in natura acquired by trade, or whether it involves a manufacturing enterprise, the assets of which consist of buildings, machinery, cash, raw materials, partly and wholly manufactured goods, which are balanced against liabilities. The important fact is always that a calculation of capital in terms of money is made, whether by modern book-keeping methods or in any other way, however primitive and crude. Everything is done in terms of balances: at the beginning of the enterprise an initial balance, before every individual decision a calculation to ascertain its probable profitableness, and at the end a final balance to ascertain how much profit has been made. For instance, the initial balances of a commenda transaction would determine an agreed money value of the assets put into