THE PHASES OF THE ECONOMIC INTEREST

That the principle of selection is, in the end, the ability to modify behavior through the anticipation of possible consequences, appears from the fact that the category of stimulus and response is otherwise found to be unworkable. It is true that in the simpler forms of behavior stimulus and response may be correlated without practical difficulty. But when we deal with what has been called "delayed overt response," thematter becomes more complicated and the theoretical difficulty becomes more prominent. The behaviorist would not seriously undertake to record everything that happens between stimulus and response. He proceeds selectively, taking the relation of stimulus and response as his clue. He is properly interested in the movements which result from the application of the stimulus only in so far as they constitute response. Otherwise his study is not a study of behavior, but a study of movements. But when does a movement constitute a response? Do we label as stimulus the spoken word which results in overt action a week later, or the visual perception which sets a complicated and long-drawn-out problem, for no other reason than that it appears somewhere as an antecedent in the causal chain of events? If so, there is no obvious reason why the event which occurred just before or immediately after thesoi-disantstimulus should not be regarded as the true stimulus. Unless a satisfactory reason is forthcoming, it would seem better to substitute cause and effect for stimulus and response and to drop the term behavior from our vocabulary. Psychology then becomes a study of certain causal relationships, but is still without a principle for the selection of those causal events which are supposed to constitute its peculiar subject-matter.

Even if we manage to become reconciled to this situation, however, our troubles are not yet at an end. There still remains the difficulty in certain cases of showing that the event which is selected as stimulus or cause bears any significant relationship to the eventwhich figures in our scheme as the response. The stimulus is supposed to have a causal connection with the response, but how are we to know that this is the fact? How are we to know that the engineer who solves a problem for me at my request might not have done so anyway? No behaviorist can possibly show that the air waves set in motion by my vocalization were an indispensable stimulus. We doubtless believe that the spoken word was in fact the spark which lit the fuse and finally exploded the mine, but this belief involves a complication of causes which it is wholly beyond our power to control or to verify.

It is true, of course, that we are able, as a matter of fact, to correlate stimulus and response. I know that it was the spoken word which caused the commission to be executed, for the expert reminds me of the fact and presents a bill. But neither of us makes any pretense that his belief is derived from a scrutiny of the causal sequence. Memory furnishes us with a shortcut to the result. While our present acts are doubtless connected with the past through causation, we do not regard them as simply the effects of antecedent causes. They are rather responses to present stimuli. The expert presents his bill, being moved thereto by a stimulus which may be indicated by saying that it is the spoken-word-constituting-a-commission-now-completed-and-entitling-me-to-compensation. That is, the stimulus cannot be pushed back and anchored at a fixed point in the past, but is a present factor at the moment of response and is operative by virtue of its anticipation of future events.

If, then, psychology is to be regarded as a study of behavior, it is plainly necessary to reinterpret the category of behavior. For example, a purely mechanical response to a light-stimulus may properly be viewed as response to the ether-vibration or wave-length upon which it follows in temporal sequence. But if this stimulation results in what is commonly called consciousness, a different kind of response ensues. The light-stimulus becomes a cause or occasion for the act of looking. But why look, unless it be to secure a new stimulus for further response? We stop to look, precisely because the first stimulus does not run smoothly off the reel. The response will not go forward, but is halted and expends itself in the effort to secure a further stimulus. This is the moment of attention, in which the stimulus undergoes a process of transformation, concomitantly with the process of reorganization in the motor responses, and in the direction of ends or results that are foreshadowed in it. This change in the stimulus takes place under certain specifiable conditions, and the study of these conditions is a study of such processes as perceiving, attending, remembering, and deliberating, which are distinctively psychological in their nature. Processes of this kind, if taken as changes in stimuli, find an objective criterion in the adaptive behavior for the sake of which they occur, and they provide psychology with a distinctive task and subject-matter.

As against the introspectionist, then, the behaviorist is justified in his contention that psychological procedure must be objective and experimental in character.The danger to which he has exposed himself is the failure to differentiate his problem from that of physiology and physics. It is only by a proper recognition of both the objective and the distinctive character of conscious behavior that psychology can free itself of the reproach which is heaped upon it by members of its own household and take the place that rightfully belongs to it in the community of the sciences.

According to the preceding exposition, the current psychological doctrine of focus and margin is an attempt to reduce the changes in the stimulus to terms of static entities denominated sensations and images. By abstracting from change we convert the new stimulus that is already on the way into inert sensory material, which lends itself to purely analytic treatment. In this way the suggested hardness of the rock becomes a "centrally aroused sensation" of a stubbed toe, the heat of the candle becomes an image of a burn, etc. As was said before, the sensations are not existences, but representatives or symbols of our nascent activities; they are the static equivalents of this foreshadowing or reference to the future. The explanation of experience that we find in James and Bergson approximates this view so closely in one respect and departs from it so widely in another as to warrant a brief discussion.

A prominent characteristic of the doctrine advocated by James and Bergson is the emphasis given to the foreshadowings or anticipations of the future. Experiencesof conflict, such as the struggle to recall a name, take on their peculiar coloring, so these writers contend, from their relationship to a beyond, to something which is yet to be. If we are to understand experience as it really is, we must guard against the besetting temptation to translate everything into spatial equivalents. This forward reference is usually read off as a distinction and contrast between simultaneously existing components. Some constituent is first set apart as the nucleus or focus and is then enveloped with an elusive, intangible wraith of meaning, which is called the margin. We have been taught to think of the focus as made up of sensory material of some sort and silhouetted against a background lit up by the fitful, inconsequential heat-lightning of meaning. But this is a perversion of the facts. When we are engaged in a problem it is precisely these unformed meanings that are of interest and importance. They are in the focus of consciousness, in so far as we can speak of a focus at all. They absorb our attention and direct our energies. They inform us of a margin, not by refusing to compete for our attention with more important or more interesting facts, but by bodying forth theunfinishedcharacter of the situation. Hence this beckoning, this tingling with the sense of closeness, this sinking back when our efforts meet with defeat. Focus and margin, in short, have to do with movement, with transition, and not with a static field. These situations are felt as inherently unstable and in process of reconstruction. There is a peculiar sense of activity, of "something doing," of a future knockingon the door of the present. What is thus on its way to the present we can designate only in terms of the object as it is after it has arrived. To call it marginal is to immerse the object in this temporal flux, which embodies perfectly the characteristics of Bergsonian duration.

But this is only a first step. If we turn now to those experiences from which this inner diremption of fact and meaning is absent, we find a process that is essentially the same in kind. They likewise constitute a temporal flow, even though there be no sense of duration or of change as such. The different moments of these experiences are not mechanically juxtaposed, but blend together in much the same way as when the process is experienced as a process. In principle we have the same transition, the same becoming, the same growth from less to more, the same activity of continuous reconstruction. Conscious life, we find, is a continuous adjustment; each of its moments is a "transitive state." The more evenly flowing experiences are likewise endowed with a focus and margin, not in the form of static elements, but as a dynamic relationship of what is with what is to be.

Such an interpretation of experience, moreover, opens the way for a proper valuation of the psychologist's procedure. The concept of sensation is methodology pure and simple. Granted that focus and margin are such as was indicated a moment ago, how are they to be described, unless we resort to someHilfsbegriffsuch as sensations? James's description of the effort to recall a forgotten name is not descriptionat all in a scientific sense, since the "wraith of the name" that we are trying to recover is of too unearthly a fabric to be weighed and measured by accepted scientific standards. It makes us "tingle," it lets us "sink back," but such portrayal is literature rather than science. Our first step must be to resolve our material into components. These components we identify with genuine elements if we can, with pious fictions if we must; but until this is done there can be no exact description. There can be no precision in our statement of the facts and no formulation of the laws that govern their changes.

This view undeniably has a certain plausibility. As long as the results are attained which the psychologist sets out to reach, we need not be hypersensitive on the score of methods. In the field of natural science, at all events, this Jesuitical principle is not incompatible with respectability. If it be true, however, that sensation is but a tool or artifact, a means to an end, what is the end that is to be attained by this device? It is at this point that we come to the parting of the ways. According to the view previously elaborated, the anticipations of the future have to do with the results of our possible acts, and sensations are simply symbols for the various elements in our complex motor responses. In the case of Bergson and James, however, the clue that is furnished by response is discarded. The reference to the future, being dissociated from behavior, is taken as evidence of an abstract or metaphysical duration, so that experience is somehow other than it seems; and sensation is regarded as the translationof duration into the language of space. Associationism is justified in its belief that reality is different from its appearance in our experience, but is criticized for attempting to interpret the real in terms of space rather than time. In both cases the lead of the subject-matter is abandoned in favor of an explanation that is derived from a fourth-dimensional plane of existence.

The suspicion that these two positions have a deep-seated affinity is strengthened if we call to mind that the concept of sensation was originated, not in the interests of methodology, but as the expression of a historic preconception that mistook fiction for fact. The fundamental error back of it was the preposterous notion that consciousness consists of subconscious or unconscious constituents, which by their mechanical or chemical combinations make our experience what it is. The question which it raises and which has afflicted us even to the present day is not primarily the question of fact, but the question of intelligibility, as the controversy over mindstuff abundantly attests. Whether we regard experience as made up of sensory material, however, or as constituted in a Bergsonian fashion, is a matter of detail; the primary question is whether a distinction between consciousness as it appears and as it "really" is has any meaning. In so far as this distinction is maintained, we are beating the thin air of mythology, despite our reinterpretations and justifications. True conversion does not consist in a renaming of old gods, but demands a humble and a contrite heart. To call sensation an artifact, a methodologicaldevice, without a surrender of the metaphysical assumption that lies back of Associationism is not to correct the evil, but is more likely to be treated as an indulgence for sins that are yet to be committed.

This fundamental identity is presumably the reason for certain other similarities, which would perhaps not be readily anticipated. Both doctrines undertake to tell us what is going on behind the scenes, what consciousness or experience "really" is. The descriptions present an astonishing difference of vocabulary, but if we take care not to be misled by superficial differences, we find an equally astonishing agreement as to content. From the one side consciousness is explained as a juxtaposition of elements; from the other as an interpenetration of elements so complete that the parts can be neither isolated nor distinguished from the whole. On the one hand we find a multiplicity without unity, on the other a unity without multiplicity. In the one account the temporal unit is a sensation devoid of internal temporal diversity; in the other duration as such is a unity in which past, present, and future blend into an undifferentiated whole. The one position gathers its facts by a mystifying process called introspection; the other obtains its results from a mystical faculty of intuition. The difference in language remains, but both accounts lead us away into a twilight region where words substitute themselves for facts.

As was suggested a moment ago, the contrast between ordinary experience and something else of which it is the appearance is the result of the failure to give proper recognition to the facts of behavior. If weconnect the forward reference of experience with the operations of our nascent activities, we have no need of a pure duration or of bridging the gulf between reality and its appearances. In the same way, if we construe sensations as just symbols of our responses, we rid ourselves of problems that are insoluble because they are unintelligible. Such problems constitute metaphysics in the bad sense of the word, whether they show themselves in the domain of science or of philosophy. To describe experience by reference to such a real is to explain what we know in terms of what we do not know. The question what is real is absolutely sterile. Our descriptions and explanations must remain on the same plane as the experiences with which they deal, and not seek after a real of a different order. If we are to have an explanation of consciousness at all, the explanation must not take us back to hypothetical sensations that are almost but not quite experienced, nor to a duration in which all distinctions are swallowed up, but must be rendered in terms of other facts that dwell in the light of common day.

By way of conclusion I venture to urge once more that a proper consideration of the facts of behavior will furnish us with a key that will unlock many a door. The conception of stimulus and response gives us a differentia for experience and also enables us to distinguish within experience between consciousness and object. If, however, we disregard behavior, we are bound to lose our way. The distinction between the experienced and the unexperienced is either wiped outor else is permitted to convert itself into a distinction between appearance and reality that leads nowhere and explains nothing. The significance of truth as the successful guidance of behavior, in accordance with the program laid down in the organization of stimulus and response, is lost to sight and recourse is had to a fourth-dimensional truth or reality for the miracle of breathing life into the dead bones of our philosophic abstractions. The study of behavior constitutes a mode of approach that holds out the hope of deliverance from questions that should never have been asked. We are on a different and, let us hope, a higher level when we cease to ask how consciousness can lay hold of passive objects, or how knowledgeüberhauptis possible, and concern ourselves rather with the wondrous activity whereby this plastic dance of circumstance that we call the universe transcends the domain of mechanism and embodies itself in the values of conscious life.

§ 1. In the logic of Instrumentalism, truth has been identified with usefulness and the good with the satisfactory. Classifying critics have seen in this the damaging mark of Utilitarianism, certain of them deeming "Amerikanismus" an even shrewder and more specific diagnosis. The association of these terms together and the aptness of either to express what the critics have in mind are matters of small interest. It is of more importance to discover, behind the reproach implied, the assumptions which may have made the reproach seem pertinent. One cannot, of course, suppose it to express a sheer general aversion to the useful or an ascetic abhorrence of all satisfaction on principle. Puritanism, æstheticism, and pedantry should be last resorts in any search for an interpretative clue.

The distrust of Utilitarianism need be ascribed to none of these. It comes instead from a conception of the true Utilitarian as a dull and dogmatic being with no interests beyond the range of his own uninquiring vision, no aspiration beyond the complacent survey of his own perfections and no standards beyond the inventory of his ownbourgeoistastes and prejudices. The type is indeed not yet extinct in our day: but is it plausible to charge a "new" philosophy with conspiring to perpetuate it? Is Instrumentalism onlyphilistinism called by a more descriptive name? It professes at least to be a logic of hypothesis and experiment, whereas for the perfect philistine there are no ultimate problems and hence no logic but the logic of self-evidence. When Instrumentalism speaks of needs and interests in its analysis of truth and goodness does it then mean the needs and interests that define the individual in what is sometimes invidiously termed a "biological" sense—interests that control him before his conduct becomes in any way a problem for himself? Quite as a matter of course, just this has been the assumption. The satisfactoriness of prompt and cogent classification has had a hand in the vindication of truth's supremacy over satisfaction. In the view of instrumentalism this ready interpretation of its meaning is nothing less than the thinking of the unthinkable and the bodying-forth of what is not. The man who has solved a problem simplyisnot the man he was before—if his problem was a genuine one and it was he who solved it. He cannot measure and judge the outcome by his earlier demands for the very good reason that the outcome of real deliberation empties these earlier demands of their interest and authority for him.

Can the conception thus suggested of personal growth through exercise of creative or constructive intelligence be in any measure verified by a general survey of the economic side of life? Has it any important bearings upon any parts of economic theory? These are the questions to which this essay is addressed.

§ 2. How have the real or fancied needs of the average person of today come to be what they are? For all sorts and conditions of men, the ways and means of living have, during the past century or two—even during the past decade or two—undergone revolutionary changes. It is true that many of these changes have been relatively superficial, touching only certain externalities and entering in no important way into life's underlying and dominant motives. Others, no doubt, may fairly be held to confuse and disperse the energies of men, instead of making for wholeness, sanity and development of human interest and power. And critics of industrial and social progress who have felt the need for reservations of this sort fall easily into a certain mood of historic homesickness for the supposed "simplicity" of an earlier age. But our interest, in this discussion, is in the genesis, the actual process of becoming, of our present "standards of living," not their value as rated by any critical (or uncritical) standard. And accordingly we shall take it for a fact that on the whole the average person of today is reasonably, perhaps unreasonably, well satisfied with his telephone, his typewriter, and his motor-car; with his swift and easy journeyings over land and sea; with his increasingly scientific medical attendance and public sanitation; with his virtually free supplies of literature and information, new and old, and with his electric light or his midnight oil (triple distilled) to aid in the perusal. More than this, he is so well satisfied withall these modern inventions that, historical or æsthetical or other "holidays" apart, he would never for a moment dispense with any one of them as a matter of free choice. Grossly material and humbly instrumental though they are, these things and their like constitute the framework sustaining the whole system of spiritual functions that make up the life we live today, as a society and as individuals. And our present problem simply is the way in which they were first received by those who were to use them, and passed into their present common acceptance. To put the matter in general terms, how is it that novel means of action or enjoyment, despite their novelty, are able to command fair scrutiny and hearing and can contrive to make their way, often very speedily, into a position of importance for industry and life?

There is an easy and not unnatural way of thinking of this process as we see it going on about us that may keep us long unmindful of even the possibility of such a question. In every field of action, we habitually look back upon accomplished changes from some present well-secured vantage-point, and as we trace the steps by which they have come to pass it is almost inevitable that we should first see the sequence as an approach, direct or devious but always sure, to the stage on which we happen to have taken our stand. It seems clear to us that what we have attained is better than aught that has gone before—if it were not distinctly satisfactory on its own merits we should not now be taking it as the standpoint for a survey. But once it is so taken, our recognition of itsappreciable and satisfying superiority passes over insensibly into metaphysics. What we now find good we find ourselves perceiving to have been all the while predestined in the eternal scheme of things! We pause in retrospect like the wayfarer who has reached the turning of a mountain road or the man of middle age who for the first time feels that his professional position is assured. This, we say, justifies the effort it has cost,thisat last is really living! And the next step in retrospective reconstruction follows easily; this was my true goal from the first, the dim and inexpressible hope of which would not let me pause and kept me until now dissatisfied. The end was present in the beginning, provoking the first groping efforts and affording progressively the test and measure by which their results were found ever wanting.

This retrospective logic may explain the presence and perennial charm of those panoramic pages in our encyclopædias purporting to show forth the gradual perfecting of great instrumentalities upon which our modern life depends. We survey the "evolution" of printing, for example, from the wooden blocks of the Chinese or of Laurens Coster down to the Hoe press, the stereotype plate, and the linotype machine. Or we see the forms of written record from pictured papyrus, cuneiform brick, and manuscript scroll down to the printed book and the typewritten page; the means of carriage by land from the ox-cart of the patriarchs to the stage-coach, the Cannonball Limited, the motor-truck, and the twelve-cylinder touring-car. And as one contemplates these cheerfully colored exhibits there is ineach case an almost irresistible suggestion of a constant and compelling need of "universal man" seeking in more and more marvellously ingenious ways an adequate expression and satisfaction. This need seems never to have lapsed or changed its nature. All along both driving power and direction, it has been the one fixed factor in a long process in which all else has been fluctuating, contingent, and imperfect—all else except the nature of the materials and the principles of mechanics, which, too, are seen in the end to have been mutely conspiring toward the result. Essential human nature, it seems clear, does not and happily cannot change. Spiritual progress, in this ultimate optimism, means simply clearer vision, completer knowledge, and a less petulant and self-assertive habit of insistence upon the details of particular purposes as individual "impulse" and "idiosyncrasy" define them. We fortunate beings of today have available, in the various departments of our life, certain instrumentalities, and to these our interests attach. These interests of ours in their proportional strength (so the argument runs) express our native and generic constitution in so far as this constitution has been able as yet to achieve outward expression and embodiment. And accordingly, in interpreting the long history of technological evolution, we take what we conceive ourselves now to be as normative and essential. We project back into the lives of primitive man, of our own racial ancestors, or of our grandfathers, the habits and requirements which we acknowledge in ourselves today and we conceive the men of the past to have been driven forward on the waysof progress by the identical discontent that would presumably beset ourselves if we were to be suddenly carried back to their scale and manner of existence.

§ 3. Whatever else may be thought of it, there is at least this to be said for the cult of historic homesickness to which reference has just been made: it happens to be at one with modern ethnology and history in suggesting that earlier cultures were on the whole not less content and self-satisfied in their condition than our own. It is primitive man, not the modern, who is slow to move and is satisfied, as a matter of course, with the manner of life in which he fancies his people to have lived from time immemorial. Change in early social groups is tragic when it is not insensible. It comes through conquest and enslavement by outsiders or through stress of the dread of these, or by gradual adaptation of custom to failing environmental resources or to increasing wealth. Assent to change is in general grudging or tacit at best and is commonly veiled by some more or less transparent fiction.

And our suspicion of fallacy lurking somewhere in the type of retrospective Idealism we have been considering is strengthened when we come to look a little closely to details. To take a commonplace example—can it be held that the difference between using a typewriter and "writing by hand" is purely and simply a matter of degree—that the machine serves the same purpose and accomplishes the samekindof result as the pen, but simply does the work more easily, rapidly, and neatly? Undoubtedly some such impression may easily be gathered from an external survey of the waysthat men have used at different times for putting their ideas on record. But it ignores important aspects of the case. For one thing, the modern invention effects a saving of the writer's time which can be used in further investigation or in more careful revision or in some way wholly unrelated to literary work, and if the machine makes any part of the writer's task less irksome, or the task as a whole less engrossing, the whole matter of literary effort becomes less forbidding and its place and influence as a social or a personal function may for better or for worse be altered. The difference brought to pass transcends mere technical facility—it ramifies into a manifold of differences affecting the entire qualitative character and meaning of the literary function. And only by an arbitrary sophistication of the facts can this complexity of new outcome be thought of as implicit and dynamic in the earlier stage.

In the same way precisely, the motor-car, as every one knows, has "vanquished distance" and has "revolutionized suburban life." In England it is said to have made acute the issue of plural voting. In America it is hailed by the optimistic as the solution of the vexed problem of urban concentration and the decline of agriculture. Even as a means of recreation it is said by the initiated to transform the whole meaning of one's physical environment, exploiting new values in sky and air and the green earth, which pass the utmost possibilities of family "carry-all" or coach and four. Or consider the ocean steamship and its influence: today we travel freely over the world, for allmanner of reasons, sufficient or otherwise. A hundred years ago distant journeyings by sea or land were arduous and full of peril, undertaken only by the most adventurous or the most curious or for urgent need. Now commodities of every sort can be transported to virtually every quarter of the globe—rails and locomotives, cement and structural steel, machinery of all kinds from the motor and the dynamo to the printing press and the cinematograph, in a word whatever is necessary to recreate the waste places of the earth and to make life in these regions humanly liveable. The sheer scale and magnitude of such operations lifts them above the level of the international trade of five hundred or even a hundred years ago. And their far-reaching results of every sort in the lives of nations and of individuals the world over can in no intelligible sense be understood as mere homogeneous multiples of what trade meant before our age of steam, iron, and electricity. Finally, we may think of modern developments in printing as compared, for example, with the state of the craft in the days when the New England Primer served to induct juvenile America into the pleasant paths of "art and literature." And it is clear that the mechanical art that makes books and reading both widely inviting and easily possible of enjoyment today is not merely a more perfect substitute for the quill and ink-horn of the mediæval scribe or even for the printing press of Caxton or of Benjamin Franklin. The enormously and variously heightened "efficiency" of the mechanical instrumentalities nowadays available has for good and for evil carried forward the whole functionof printing and publication into relations and effects which are qualitatively new and beyond the possible conception of the earlier inventors and readers.

§ 4. The real evolution in such cases of the coming of a new commodity or a new instrument into common and established use is an evolution of a more radical, more distinctly epigenetic type than the pictured stories of the encyclopædia-maker serve to suggest. At each forward step the novelty makes possible not merely satisfactions more adequate as measured by existing requirements or more economical in terms of cost, but new satisfactions also for which no demand or desire before existed or could possibly exist—satisfactions which, once become habitual, make the contentment of former times in the lack of them hard to understand or credit. And indeed the story is perhaps never quite one-sided; the gain we reckon is perhaps never absolutely unmixed. There may be, perhaps must in principle be, not only gain but loss. The books we read have lost something of the charm of the illuminated manuscript; our compositors and linotypers, it may be, have forgotten something of the piety and devotion of the mediæval scribe and copyist. So everywhere in industry the machine depreciates and pushes out the skilled artisan and craftsman, summoning into his place the hired operative whose business is to feed and serve instead of to conceive and execute. For cheapness and abundance, for convenience of repair and replacement we everywhere sacrifice something of artistic quality in the instrumentalities of life and action and something of freedomand self-expression in the processes of manufacture. Thus again, to change the venue, there are those who miss in democratic government or in an ethical type of religion the poignant and exalting spiritual quality of devotion to a personal sovereign or a personal God. Whatever one's judgment may be in particular cases, there can be no reason for disputing that in epigenetic or creative evolution there is, in a sense, loss as well as gain. There is no more reason for supposing that all that was wholesome or ennobling or beautiful in an earlier functionmustsomehow have its specific compensation in kind infallibly present in the new than for supposing that all that is desirable in the new must surely have been present discernibly or indiscernibly in the old.

If we are on the whole satisfied with the new on its intrinsic merits as a present complex fact, we have therein sufficient ground for saying that it marks a stage in progress. This, in fact, is what such a proposition means. And the old then appears more or less widely discontinuous with the new—not merely that it shows, in units of measure, less of the acceptable quality or qualities which thenewfact or situation is found to possess, but that it belongs for us to a qualitatively different level and order of existence. How, we wonder, could our ancestors have found life tolerable in their undrained and imperfectly heated dwellings, without the telephone, the morning's news of the world by cable, and the phonograph? How, again, could feudal homage and fealty have ever been the foundation of social order in countries where todayevery elector is wont to think and to act in his public relations no longer as a subject but as a citizen. And how, in still a different sphere, could the father or the mother of a happy family of children ever have found the freedom and irresponsibility of bachelorhood endurable? Shall we say that in changes like these we have to do simply with the quantitative increase of some quality, present in small measure in the earlier stages and in larger measure in the later? Or shall we evade the issue with the general admission thatof course, as every schoolboy knows, there are in this world many differences of degree that somehow "amount to differences of kind"? As a matter of fact what has happened in every case like these is an actual change of standard, a new construction in the growing system of one's norms of value and behavior. Provisionally, though hopefully, a step has been taken—a real event in personal and in social history has been given place and date. From some source beyond the scope and nature of the earlier function a suggestion or an impulsion has come by which the agent has endeavored to move forward. The change wrought is a transcendence of the earlier level of experience and valuation, not a widening and clarification of vision on that level. And the standards which govern on the new level serve not so much to condemn the old as to seal its consignment to disuse and oblivion. Least of all can a judgment or appraisal of the old from the standpoint of the new be taken for a transcript of the motives which led to the transition.

We must confine ourselves more closely, however, to the sphere of material goods and their uses. And in this sphere objection to the view proposed will run in some such terms as the following: Take our ancestors, for example, and their household arrangements to which invidious reference has been made: why should we suppose that their seeming contentment was anything more (or less) than a dignified composure in which we might well imitate them—an attitude in no way precluding a definite sense of specific discomforts and embarrassments and a distinct determination to be rid of them as soon as might be? And, in fact, if they were satisfied with what they had why did they receive the new when it was offered? If, on the other hand, they were not satisfied, how is the fact intelligible except upon the assumption that they had distinct and definite wants not yet supplied, and were wishing (but patiently) for conveniences and comforts of a sort not yet existent. And this latter hypothesis, it will be urged, is precisely what the foregoing argument has sought to discredit as an account of the moving springs in the evolution of consumption.

§ 5. Any adequate discussion of the central issue thus presented would fall into two parts. In the first place, before a consumption good can come into general acceptance and currency it must have been in some way discovered, suggested or invented, and the psychology of invention is undoubtedly a matter of very great complexity and difficulty. But for the purposes of the present inquiry all this may be passed over. The other branch of a full discussion of our problem has to dowith the reception of the newly invented commodity or process into wider and wider use—and this again is a social phenomenon not less complex than the other. It is this phenomenon of increasing extension and vogue, of widening propagation from person to person, that is directly of present concern for us—and in particular the individual person's attitude toward the new thing and the nature of the interest he takes in it.

It has recently been argued by a learned and acute investigator of economic origins that "invention is the mother of necessity," and not the child.45Such a complete reversal of all our ordinary thought about the matter seems at first sheer paradox. What, one may ask, can ever suggest an invention and what can give it welcome and currency but an existing need—which, if it happens to be for the time being latent and unconscious, needs only the presentation of its appropriate means of satisfaction to "arouse" and "awaken" it fully into action? But this paradox as to invention is at all events not more paradoxical than the view as to the reception of new commodities and the rise of new desires that has been above suggested. What it appears to imply is in principle identical with what has seemed, from our consideration of the other aspect of the general situation, to be the simple empirical fact; neither the existence of the new commodity nor our interest in it when it is presented admits of explanation as an effect on each particular occasion of a preëxisting unsatisfied desire for it. What both sides of the problem bring to view is a certain original bent orconstitutive character of human nature—a predisposition, anélan vitalperhaps, which we must recognize as nothing less than perfectly general and comprehensive—finding expression in inventive effort and likewise in the readiness with which the individual meets a new commodity halfway and gives it opportunity to become for him, if it can, a new necessity and the source of a new type of satisfaction.

From the point of view of "logic," as William James might have said, such a version of psychological fact may seem essentially self-contradictory. Unless, it may be argued, a novelty when presented excites some manner of desire for itself in the beholder, the beholder will make no effort towards it and thus take no step away from his existing system of life to a new system in which a new desire and a new commodity shall have a place. So much would seem clear enough but the question immediately follows: How can a thing that is new arouse desire? In so far as it is new it mustex vi terminibe unknown and wanting definition in terms of remembered past experiences; and how can a thing unknown make that connection with the present character of the individual which must be deemed necessary to the arousal of desire in him? A new thing would seem, then, from this point of view, to be able to arouse desire only in so far as it is able to conceal or subordinate its aspects of novelty and appear as known and well-accredited—either this or there must be in the individual some definite instinctive mechanism ready to be set in action by the thing's presentment. And on neither of thesesuppositions can having to do with the new thing effect any fundamental or radical difference in the individual—it can serve at most only to "bring out" what was already "there" in him in a "latent" or "implicit" status. Whatever new developments of power or desire may be attained and organized into the individual's character through his commerce with the novelty must be new in only a superficial sense—they will be new only as occurrences, only as the striking of the hour by the clock and the resulting abrasion of the bell and hammer are new events. But the clock was made to strike; it is the nature of metal to wear away and likewise these changes in the individual are in deeper truth not new at all but only a disclosure of the agent's character, a further fulfilment along preëstablished and unalterable lines which all along was making headway in the agent's earlier quests and efforts and attainments.

There is a sense, no doubt, in which some such version of the facts as this is unanswerable, but controversial advantage is paid for, here as elsewhere in the logic of absolute idealism, at the cost of tangible meaning and practical importance. Just what does the contention come to? Let us say, for example, that one has learned to use a typewriter. What has happened is like an illiterate person's learning to read and write. Correspondence with one's friends begins to take on new meaning and to acquire new value; one begins to find a new pleasure and stimulation taking the place of the ineffectual drivings of an uneasy conscience. All this, let us say, has come from the moderate outlay fora superior mechanical instrument. And now let it be granted that it would not have come if the fortunate individual had not been "what he was." If it has come it is because the individual and the rest of the world were "of such a sort" that the revival and new growth of interestcouldtake its rise with the provision of the new instrumentality. But what, precisely, does such a statement mean? What sort of verification does it admit of? What fruitful insight into the concrete facts of the case does it convey? Ofwhatsort, prior to the event, does it show the individual to have been?

The truth is, of course, that he was ofnosort, then and there and with reference to the purchase—he was of no sort decisively. He was neither purchaser nor rejector. He was neither a convinced "typist" nor piously confirmed in his predilection for writing "by hand." He was neither wholly weary of his correspondence nor fully cognizant of the importance of intercourse with his friends for his soul's good. He may have been dissatisfied and rebellious or he may have been comfortably persuaded that letter-writing, though an irksome labor, was even at that sufficiently worth while. The most that can be said is simply that he must have been willing and desirous to try the experiment for the sake of any good, imaginable or beyond present imagination, that might come of it. But being of "such a sort" as this could not prejudge the issue—although, undoubtedly, in willingness to raise an issue there lies always the possibility of change. All the plausibility of the dogma we are here considering comes from its hasty inclusion of this general attitude ofconstructively experimental inquiry and effort, this essential character of creative intelligence, asone amongthe concrete interests which constitute and define our particular problems in their inception. To sayex post factothat the individual must have been "of such a sort" as to do what he has in fact done is a purely verbal comment which, whatever may be its uses, can assuredly be of no use whatever in suggesting either solution or method for the next situation to arise. It may be comfortably reassuring afterwards, but it is an empty oracle beforehand.

§ 6. If then "logic" is unable to express the nature of our forward looking interest in the unexperienced and unpredictable, perhaps the empirical fact will speak for itself. We call things new; we recognize their novelty and their novelty excites our interest. But just as we are sometimes told that we can onlyknowthe new in terms of its resemblances to what we have known before, so it may be held that in the end we candesireit only on the like condition. Are we, then, to conclude that the seeming novelty of things new is an illusion, or shall we hold, on the contrary, that novelty need not be explained away and that a spontaneous constructive interest stands more or less constantly ready in us to go out to meet it and possess it?

Unquestionably, let us say the latter. Any new commodity will, of course, resemble in part or in a general way some old one. It is said that bath-tubs are sometimes used in "model tenements" as coal-bins. Old uses persist unchanged in the presence of new possibilities. But in general new possibilities invite interestand effort because our experimental and constructive bent contrives on the whole to make head against habituation and routine. We recognize the new as new. And if it be contended that novelty in its own right cannot be a ground of interest, that novelty must first get restatement as the old with certain "accidents" externally adhering, the answer is that the "accidents" interest us nevertheless. They may prove their right to stand as the very essence of some new "kind" that one may wish to let take form and character for him. Instead of the chips and shavings, they are in fact the raw material of the logical process. For if we can know the newas new, if we can know the "accident"as accidentalin a commodity before us, the fact betrays an incipient interest in the quality or aspect that its novelty or contingency at least does not thwart. And is this quite all? Will it be disputed that arelationof a quality or feature to ourselves which we can know, name, and recognize—like "novelty"—must be known, as anything else is known, through an interest of which it is the appropriate terminus?46

And there is no difficulty in pointing to instances in which the character of novelty seems fundamental. Consider, for example, the interest one feels in spending a day with a friend or in making a new acquaintance or, say, in entering on the cares of parenthood. Or again, take the impulse toward research, artistic creation, or artistic study and appreciation. Or again, take the interest in topography and exploration. That there is in such phenomena as these a certain essentially and irreducibly forward look, a certain residual freedomof our interest and effort from dependence on the detail of prior experience down to date, probably few persons without ulterior philosophical prepossessions will dispute. If we call these phenomena instinctive we are using the term in a far more loose and general sense than it seems to have in the best usage of animal psychology. If we call them attitudes or dispositions, such a term has at least the negative merit of setting them apart from the class of instinctive acts, but it may carry with it a connotation of fixity and unconsciousnessthat after all surrenders the essential distinction. It will suffice to look at a single one of these instances.

In friendship, for example, there is undoubtedly strongly operative a desire for the mere recurrence, in our further friendly intercourse, of certain values that have become habitual and familiar. We may have long known and become attached to a friend's tones of voice, peculiarities of manner and external appearance, turns of speech and thought and the like, which we miss in absence and which give us pleasure when we meet the friend again. But if the friendship is not one of "pleasure" or "utility" simply, but of "virtue"47as well, there is also present on both sides a constructive or progressive or creative interest. And this interest, stated on its self-regarding and introspective side, is more than a desire for the mere grateful recurrence of the old looks and words "recoined at the old mint." It is an interest looking into the "undone vast," an interest in an indefinite prolongation, an infinite series, of joint experiences the end of which cannot and need not be foreseen and the nature of which neither can nor need be forecasted. And there is the same characteristic in all the other instances mentioned in this connection. It is not a desire for recurrent satisfactions of a determinate type, but an interest in the active development of unexperienced and indeterminate possibilities. If finally the question be pressed, how there can be an interest of this seemingly self-contradictory type in human nature, the answer can only be that we must takethe facts as we find them. Is such a conception inherently more difficult than the view that all ramifications and developments of human interest are concretely predetermined and implicita priori? To ignore or deny palpable fact because it eludes the reach of a current type of conceptual analysis is to part company with both science and philosophy. We are in fact here dealing with the essential mark and trait of what is called self-conscious process. If there are ultimates and indefinables in this world of ours, self-consciousness may as fairly claim the dignity or avow the discredit as any other of the list.

§ 7. Does our interest in economic goods on occasion exhibit the trait of which we are here speaking? Precisely this is our present contention. And yet it seems not too much to say that virtually all economic theory, whether the classical or the present dominant type that has drawn its terminology and working concepts from the ostensible psychology of the Austrian School, is founded upon the contradictory assumption. The economic interest, our desire and esteem for solid and matter-of-fact things like market commodities and standardized market services, has been conceived as nothing visionary and speculative, as no peering into the infinite or outreaching of an inexpressible discontent, but an intelligent, clear-eyed grasping and holding of known satisfactions for measured and acknowledged desires. Art and religion, friendship and love, sport and adventure, morality and legislation, these all may be fields for the free play and constructive experimentation of human faculty, but in our economic effortsand relations we are supposed to tread the solid ground of fact. Business is business. Waste not, want not. First a living, then (perhaps) a "good life."48And we are assured one need not recoil from the hard logic of such maxims, for they do not dispute the existence of spacious (and well-shaded) suburban regions fringing the busy areas of industry and commerce.

Such is the assumption. We have said that it precludes the admission of speculation as an economic factor. Speculation for economic theory is a purely commercial phenomenon, a hazarding of capital on the supposition that desires will be found ready and waiting for the commodity produced—with a sufficient offering of purchasing power to afford a profit. And the "creation of demand," where this is part of the program of speculative enterprise, means the arousal of a "dormant" or implicit desire, in the sense above discussed—there is nothing, at all events, in other parts of current theory to indicate a different conception. The economist will probably contend that what the process of the creation of demand maybeis not his but the psychologist's affair; that his professional concern is only whether or not the economic demand, as an objective market fact, be actually forthcoming. But what we here contend for as a fact of economic experience is a speculation that is in the nature of personal adventure and not simply an "adventuring of stock."

§ 8. For what is the nature of the economic "experience"or situation, considered as a certain type of juncture in the life of an individual? It may be shortly described as the process of determining how much of one's time, strength, or external resources of any sort shall be expended for whatever one is thinking of doing or acquiring. Two general motives enter here to govern the estimate and each may show the routine or the innovative phase. In any work there is possible, first, more or less of the workman's interest—an interest not merely in a conventional standard of excellence in the finished result but also in betterment of the standard and in a corresponding heightened excellence of technique and spirit in the execution.49These interests, without reference to the useful result and "for their own sake" (i.e., for the workman's sake, in ways not specifiable in advance), may command a share of one's available time, strength, and resources. In the second place, any work or effort or offer to give in exchange has a nameable result of some kind in view—a crop of wheat, a coat, a musical rendition, or the education of a child. Why are such things "produced" or sought for? Verbally and platitudinously one may answer: For the sake of the "satisfactions" they are expected to afford. But such an answer ignores the contrast of attitudes that both workmanship and productive or acquisitive effort in the ordinary sense display. As the workman may conform to his standard or may be ambitious to surpass it, so the intending consumer may be counting on known satisfactions or hoping for satisfactions of a kind thathe has never known before. Both sorts of effort may be of either the routine or the innovative type. In neither workmanship nor acquisition can one fix upon routine as the "normal" type, hoping to derive or to explain away the inevitable residue of "outstanding cases." For as a matter of fact the outstanding cases prove to be our only clue to a knowledge of how routine is made.50

The above formula will apply, with the appropriate changes of emphasis, to buyers and sellers in an organized market, as well as to the parties to a simple transaction of barter. Two main empirical characteristics of the economic situation are suggested in putting the statement in just these terms. In the first place, the primary problem in such a situation is that of "exchange valuation," the fixation of a "subjective" (or better, a "personal") price ratio between what the agent wishes to acquire and whatever it is that he offers in exchange. The agent thus is engaged in determining what shall be the relative importance for himself oftwocommodities or exchangeable goods. And in the second place these goods get their values determined together and in relation to each other,never singly and with a view tosubsequentcomparison. These values when they have been determined will be measured in terms of marginal utility in accordance with familiar principles, but the marginal utilities that are to express the attained and accepted ratio at which exchange eventually takes place are not known quantities at all in the inception of the process of comparison. If these dogmatic statements seem to issue in hopeless paradox or worse, then let us not fear to face the paradox and fix its lines with all possible distinctness. Can a man decide to offer so much of one commodity for so much of another unless hefirsthas settled what each is worth to him in some intelligible terms or other? And is not this latter in point of fact the real decision—at all events clearly more than half the battle? Does not the exchange ratio to which one can agree "leap to the eyes," in fact, as soon as the absolute values in the case have been once isolated and given numerical expression?

In a single word we here join issue. For the comparison in such a case isconstructive comparison, not a mechanical measuring of fixed magnitudes, as the above objection tacitly assumes. And constructive comparison is essentially a transitive or inductive operation whereby the agent moves from one level to another, altering his standard of living in some more or less important way, embarking upon a new interest, entering upon the formation of a new habit or upon a new accession of power or effectiveness—making or seeking to make, in short, some transformation in his environment and in himself that shall give his life as an entire systema changed tenor and perspective. The term "constructive comparison" is thus intended, among other things, to suggest that the process is in the nature of adventure, not calculation, and, on the other hand, that though adventurous it is not sheer hazard uncontrolled. And the motive dominant throughout the process—the economic motive in its constructive phase—is neither more nor less than a supposition, on the agent's part, that there may be forthcoming for him in the given case in hand just such an "epigenetic" development of new significance and value as we have found actual history to disclose as a normal result of economic innovation. It is the gist of hedonism, in economic theory as in its other expressions, that inevitably the agent's interests and motives are restricted in every case to the precise range and scope of his existing tendencies and desires; he can be provoked to act only by the hope of just those particular future pleasures or means of pleasure which the present constitution of his nature enables him to enjoy. Idealism assumes that the emergent new interest of the present was wrapped up or "implied," in some sense, in the interests of the remote and immediate past—interests of which the agent at the time could of course be but "imperfectly" aware. Such differences as one can discern between the two interpretations seem small indeed—like many others to which idealism has been wont to point in disparagement of the hedonistic world view. For in both philosophies the agent is without initiative and effect; he is in principle but the convergence of impersonal motive powers which it is, inthe one view, absurdly futile, in the other misguidedly presumptuous, to try to alter or control.

§ 9. A commodity sought or encountered may then be of interest to us for reasons of the following three general sorts. In the first place it may simply be the normal and appropriate object of some established desire of ours. We may be seeking the commodity because this desire has first become active, or encountering the commodity in the market may have suddenly awakened the desire. Illustration seems superfluous; tobacco for the habitual smoker, clothing of most sorts for the ordinary person, regular supplies of the household staples—these will suffice. This is the province within which a hedonistic account of the economic motive holds good with a cogency that anti-hedonistic criticism has not been able to dissolve. Our outlays for such things as these may as a rule be held in their due and proper relation to each other—at all events in their established or "normal" relation—simply by recalling at critical times our relative marginal likes and dislikes for them. That these likes and dislikes are not self-explanatory, that they are concrete expectations and not abstract affective elements, does not seem greatly to matter where the issue lies between maintaining or renouncing an existing schedule of consumption. And in this same classification belong also industrial and commercial expenditures of a similarly routine sort. Even where the scale of operations is being enlarged, expenditures for machines, fuel, raw materials, and labor may have been so carefully planned in advance with reference to the desired increase of output or pecuniaryprofit that no special problem of motivation attaches directly to them. And these outlays are so important in industry and commerce that the impression comes easily to prevail that all business undertaking, and then all consumption of finished goods, fall under the simple hedonistic type.

But if we keep to the plane of final consumption, there appears a second sort of situation. Our interest in the commodity before us may be due to a suggestion of some sort that prompts us to take a step beyond the limits that our present formed desires mark out. The suggestion may be given by adroit advertising, by fashion, by the habits of another class to which one may aspire or by a person to whom one may look as guide, philosopher, and friend. An authority of one sort or another invites or constrains us to take the merits of the article on trust. Actual trial and use may show, not so much that it can minister to a latent desire as that we have been able through its use to form a habit that constitutes a settled need.

And, finally, in the third place, there is a more spontaneous and intrinsically personal type of interest which is very largely independent of suggestion or authority. A thing of beauty, a new author, a new acquaintance, a new sport or game, a new convenience or mechanical device may challenge one's curiosity and powers of appreciation, may seem to offer a new facility in action or some unimagined release from labor or restriction. The adventure of marriage and parenthood, the intimate attraction of great music, the mystery of an unknown language or a forbidden country, the disdainfulaloofness of a mountain peak dominating a landscape are conspicuous instances inviting a more spontaneous type of constructive interest that finds abundant expression also in the more commonplace situations and emergencies of everyday life. It is sheer play upon words to speak in such cases of a pleasure of adventurousness, a pleasure of discovery, a pleasure of conquest and mastery, assigning this as the motive in order to bring these interests to the type that fits addiction to one's particular old coat or easy-chair. The specific "pleasure" alleged could not exist were the tendency not active beforehand. While the same is true in a sense for habitual concrete pleasures in relation to their corresponding habits, the irreducible difference in constructive interest as a type lies in thetransitionwhich this type of interest purposes and effects from one level of concrete or substantive desire and pleasure to another. Here one consciously looks to a result that he cannot foresee or foretell; in the other type his interest as interest goes straight to its mark, sustained by a confident forecast.51

§ 10. But constructive interests, whether provoked by suggestion or of the more freely imaginative type, may, as has been said, be held to lie outside the scope of economic theory. How a desire for a certain thing has come to get expression may seem quite immaterial—economically speaking. Economics has no concern with human folly as such or human imitativeness, or human aspiration high or low or any other of the multitude of motives that have to do with secular changes in the "standard of living" and in the ideals of life at large. It has no concern with anything that lies behind the fact that I am in the market with my mind made up to buy orsell a thing at a certain price. And the answer to this contention must be that it first reverses and then distorts the true perspective of our economic experience. Let it be admitted freely—indeed, let it be insisted on—that the definition of a science must be determined by the pragmatic test. If an economist elects to concern himself with the problems of what has been called the "loose mechanics of trade" there can be no question of his right to do so or of the importance of the services he may render thereby, both to theory and to practice. But on the other hand economic theory cannot be therefore, once and for all, made a matter of accounting—to the effacement of all problems and aspects of problems of which the accountant has no professional cognizance. Just this, apparently, is what it means to level down all types of interest to the hedonistic, leaving aside as "extra-economic" those that too palpably resist the operation. It is acknowledged that freshly suggested modes of consumption and ends of effort require expenditure and sacrifice no less than the habitual, that the exploration of Tibet or of the Polar Seas affects the market for supplies not less certainly than the scheduled voyages of oceanic liners. Moreover, behind these scheduled voyages there are all the varied motives that induce people to travel and the desires that lead to the shipment of goods. Shall it be said that all of these motives and desires must be traceable back to settled habits of behavior and consumption? And if this cannot be maintained is it not hazardous to assume that such general problems of economic theory as the determination of market values or of the sharesin distribution require no recognition of the other empirical types of interest? These types, if they are genuine, are surely important; they may well prove to be, in many ways, fundamentally important. For a commodity that has become habitual must once have been new and untried.

§ 11. The economic demands which make up the budget of a particular person at a particular time are clearly interdependent. A man's income or the greater part of it is usually distributed among various channels of expenditure in a certain fairly constant way. In proportion to the definiteness of this distribution and the resoluteness with which it is maintained does the impression gain strength that the man is carrying out a consistent plan of some sort. Such a regular plan of expenditure may be drawn out into a schedule, setting forth the amounts required at a certain price for the unit of each kind. And such a schedule is an expression in detail, in terms of ways and means, of the type of life one has elected to lead. For virtually any income above the level of bare physical subsistence, there will be an indefinite number of alternative budgets possible. A little less may be spent for household conveniences and adornments and a little more for food. Some recreations may be sacrificed for an occasional book or magazine. One may build a house or purchase a motor-car instead of going abroad. And whichever choice is made, related expenditures must be made in consequence for which, on the assumption of a definite amount of income, compensation must be made by curtailment of outlay at other points. What seems clearin general is that one's total budget is relative to the general plan and manner of life one deems for him the best possible and that this plan, more or less definitely formulated, more or less steadily operative, is what really determines how far expenditure shall go in this direction and in that. The budget as a whole will define for the individual an equilibrium among his various recognized wants; if the work of calculating it has been carefully done there will be for the time being no tendency to change in any item.

If, then, we choose to say in such a case that the individual carries his expenditure along each line to the precise point at which the last or marginal utility enjoyed is precisely equal to the marginal utility on every other line, it seems not difficult to grasp what such a statement means. Quite harmlessly, all that it can mean is that the individual has planned precisely what he has planned and is not sorry for it, and for the time being does not think he can improve upon it. As there is one earth drawing toward its center each billiard ball of the dozen in equilibrium in a bowl, so there is behind the budget of the individual one complex personal conception of a way of life that fixes more or less certainly and clearly the kinds and intensities of his wants and assigns to each its share of purchasing power. That the units or elements in equilibrium hold their positions with reference to each other for reasons capable of separate statement for each unit seems a supposition no less impossible in the one case than in the other. To think of each kind of want in the individual's nature as holding separately in fee simple and clamoring forfull and separate "satisfaction" in its separate kind, is the characteristic illusion of a purely formal type of analysis. The permanence of a budget and its carrying out no doubt require the due and precise realization of each plotted marginal utility—to go further than this along any one line would inevitably mean getting not so far along certain others, and thus a distorted and disappointing total attainment in the end. But to say that one actually plans and controls his expenditures along various lines by the ultimate aim of attaining equivalent terminal utilities on each is quite another story. It is much like saying that the square inches of canvas assigned in a picture to sky and sea and crannied wall are arranged upon the principle of identical and equal effects for artist or beholder from the last inches painted of each kind. The formula of the equality of marginal effects is no constructive principle; it is only a concise if indeed somewhat grotesque way of phrasing the essential fact that no change of the qualitative whole is going to be made, because no imperfection in it as a whole is felt.52

§ 12. We come, then, to the problem of the individual's encounter with a new commodity. In general, a purchase in such a case must amount to more or less of a departure from the scheme of life in force and a transition over to a different one. And a new commodity (in the sense in which the term has been used above) is apt to be initially more tempting than an addition along some line of expenditure already represented in the budget. The latter, supposing there has been no change of price and no increase of income, is usually a mere irregularity, an insurgent departure from some one specification of a total plan without preliminary compensating adjustment or appropriate change at other points. The erratic outlay, if considerable,will result in sheer disorder and extravagance—indefensible and self-condemned on the principles of the individual's own economy. But with a new commodity the case stands differently. It is more interesting to consider a really new proposal than to reopen a case once closed when no evidence distinctly new is offered. A sheer "temptation" or an isolated impulse toward new outlay along a line already measured in one's scheme has the force of habit and a presumption of un-wisdom to overcome. If the case is one not of temptation but of "being urged" one is apt to answer, "No, I can make no use of any more ofthat." But a new commodity has the charm of its novelty, a charm consisting in the promise, in positive fashion, of new qualitative values about which a new entire schedule will have to be organized. Partly its strength of appeal lies in its radicalism; it gains ready attention not only by its promise but by its boldness. "Preparedness" gains a more ready acclaim than better schools or the extirpation of disease. The automobile and the "moving picture" probably have a vogue today far surpassing any use of earlier "equivalents" that a mere general augmentation of incomes could have brought about. Indeed, the economic danger of the middle classes in present-day society lies not in mere occasional excess at certain points but in heedless commitment to a showy and thinned-out scheme of life in which the elements are ill-chosen and ill-proportioned and from which, as a whole, abiding satisfaction cannot be drawn. It is where real and thoroughgoing change in the manner of life is hopeless that irregular intemperance of various sortsappears to bulk relatively largest as an economic evil.

Shall we not say, however, that the superior attraction of the new in competition with established lines of expenditure only indicates the greater "satiation" of the wants the latter represent and the comparative freshness of the wants the novelty will satisfy? On the contrary the latter wants are in the full sense not yet existent, the new satisfactions are untried and unmeasured; the older wants have the advantage of position, and if satiated today, will reassert themselves with a predictable strength tomorrow. The new wants, it is true, if they are acquired, will be part of a new system, but the present fact remains that their full meaning cannot be known in advance of trial and the further outlines of the new scheme of uses and values cannot be drawn up until this meaning has been learned. If, then, the new commodity is taken, it is not because the promised satisfaction and the sum of known utilities to be sacrificed are found equal, nor again because the new commodity will fit neatly into a place in the existing schedule that can be vacated for it. This latter is the case of substitution. Such an interpretation of the facts is retrospective only; it is a formal declaration that the exchange has been deemed on the whole worth while, but the reasons for this outcome such a formula is powerless to suggest.


Back to IndexNext