Mathematical Psyc Edgeworth

MATHEMATICAL PSYCHICS
AN ESSAY ON THE
APPLICATION OF MATHEMATICS TO
THE MORAL SCIENCES
BY
F.
Y.
EDGEWOfiTH,
BARRISTER-AT-LAW
M.A.
LONDON
C.
KEGAN PAUL &
CO., 1
PATERNOSTER SQUARE
1881
(The rights of translation and of reproduction are reserved)
INTBODUCTOKY
DESCRIPTION OF
CONTENTS.
Mathematical Psychics may be divided into two parts Theoretical and Applied.
In the First Part (1) it is attempted to illustrate the possibility of Mathematical reasoning without numerical data (pp. 1-7)
afforded
(2)
;
without more precise data than are

is
quantity of pleasure (pp. 7-9). suggested between the Principles of Greatest Happiness, Utilitarian or Egoistic, which con-
by estimates of
An
analogy
stitute the first principles of Ethics
those Principles of Maximum the highest generalisations of Physics, and in virtue of
and Economics, and Energy which are among

is
which mathematical reasoning
applicable to physical
phenomena quite as complex as human life (pp. 9-15). The Calculus of Pleasure (Part II.) may be divided the Economical and the Utilitarian into two species
the principle of division suggesting an addition to Mr.
Sidgwick's 'ethical methods' (p. 16). The first species of Calculus (if so ambitious a
for brevity
title
be applied to short studies in Mathemay matical Economics) is developed from certain Definitions
VI
INTRODUCTORY DESCRIPTION OF CONTENTS.
of loading conceptions, in particular of those connected Then (a) a mathematical with Competition (pp. 17-19).
theory of Contract unqualified by Competition is given A mathematical theory of Contract de(pp. 20-30). (/3)
termined by Competition in a perfect Ma7*ket
least
is
is
given, or at
promised (pp. 30-33, and pp. 38-42). Eeference made to other mathematical theories of Market, and
'
'
to
is
What a argued that Market imperfect, minate the following

trated on the question
is
is
Mr. Sidgwick's recent article on the Wages-Fund (pp. 32, 33, and Appendix V.) (y) attention is concenperfect
Market?
is
It
Contract
indeter-
in
cases
(i.)
When
the
number of competitors
is
limited
(pp. 37, 39).

(n.)
In a certain similar case likely to occur in con-
tracts for personal service (pp. 42, 46).

(i.
and
ii.)
When
the articles of
contract are not
perfectly divisible (p. 42, 46). (in.) In case of Combination, Unionism
in
which
case
it
is
submitted that
to
(in
general and abstractly
speaking) unionists stand
gain in senses contradicted or ignored by distinguished economists (pp. 44, 47, 48). (iv.) In a certain case similar to the last, and likely
to occur in Co-operative Association (pp. 45, 49).
The
affect
indeterminateness likely from these causes to
Commercial Contracts, and certainly affecting all sorts of Political Contracts, appears to postulate a principle of arbitration (pp.
50-52).
It is
the basis
argued from mathematical considerations that

of arbitration between contractors
utility
is the
greatest
first
possible
of
all
concerned;
the Utilitarian
principle,
which can of course
afford
only a general

direction
Vll
yet,
as
employed by Bentham's school, has
afforded some direction in practical affairs (pp. 53-56). The Economical thus leads up to the Utilitarian
species of Hedonics
l
;
some
title
studies
in
which already
'
published the species being designated by the generic title) are reprinted here by the kind permission of the Editor of Mind.'
(under the
of
'
Hedonical Calculus
Of the
Utilitarian Calculus (pp.
56-82) the central
conception is Greatest Happiness, the greatest possible sum-total of pleasure summed through all time and over all sentience. Mathematical reasonings are em-
ployed partly to confirm Mr. Sidgwick's proof that Greatest Happiness is the end of right action partly to
;
deduce middle axioms, means conducive

This deduction
tive,
is is
;
to that end.
character
of a very abstract, perhaps only neganegativing the assumption that Equality

For,
if
necessarily implied in Utilitarianism.
differ in
Capacity for happiness under

classes of sentients
[e.g.
sentients
similar circum-
stances
some
experiencing on an
average more pleasure
of imagination and symof fatigue) than others there pathy) and less pain {e.g. is no presumption that equality of circumstances is the
most
felicific
arrangement
especially
when account
is
taken of the interests of posterity.
Such are the principal topics handled
in this essay
or tentative study. Many of the topics, tersely treated in the main body of the work, are more fully illustrated
in
the
course
of seven
:
supplementary chapters, or
appendices, entitled
Mind, July 1879,
Vlll

Unnumerical Mathematics the Importance of Hedonical Calculus Hedonimetry
.
I.
On II. On III. On IV. On V. On VI. On VII. On
....
.
PAGES
Mixed Modes of Utilitarianism Professor Jevons's Formulae of Exchange the Errors of the dyew/xtrp^roj the Present Crisis in Ireland
.
83-93 93-98 98-102 102-104 104-116 116-125 126-148
Discussions too
are re-united
much broken up by this arrangement
the Index
by references to the principal headings, in which also refers to the definitions of terms
also contains the theories, bearing in the course of
used in a technical sense.
The Index names of many eminent men whose upon the subject, have been noticed
these pages.
In so Dissent has often been expressed. it has not been terse a composition possible always to
express,
what has always been
felt,
the deference due to
the
men and
the diffidence proper to the subject.
MATHEMATICAL PSYCHICS.
ON THE APPLICATION OF MATHEMATICS TO THE MORAL SCIENCES.
application of mathematics to Belief, the calculus of Probabilities, has been treated by many distinguished writers the calculus of Feeling, of Pleasure and Pain,
;
The
is
the less familiar, but not in reality subject of this essay.
more paradoxical
subject divides itself into two parts ; concerned respectively with principle and practice, root and fruit,
the applicability and the application of Mathematics to
The
Sociology.
PAET
In the
first
I.
attempted to prove an affinity between the moral and the admittedly mathematical sciences from their resemblance as to (1) a certain
part
it
is
general complexion, (2) a particular salient feature. is not alien to the (1) The science of quantity study of man, it will be generally admitted, in so far as actions
and
way
desires can be numerically measured by that is, very far, as Professor Jevons 2 of statistics
effective
anticipates.
1
But
in so far as
our data
may
consist of
Cf. Jevons, Theory, p. 9. Introduction to Theory of Political
Economy.
'
MATHEMATICAL rSYCHICS.
estimates other than numerical, observations that some conditions are accompanied with greater or less pleasure than others, it is necessary to realise that mathematical
reasoning
supposed, limited to numerical data are attainable. Where subjects where there are data which, though not numerical are quanis
not,
as
commonly
titative
for
example, that a quantity
is
greater or less
than another, increases or decreases, is positive or negaa maximum or minimum, there mathematical tive,
b, and b is c. Here is greater than c, therefore a is mathematical reasoning applicable to quantities which
:
reasoning is possible and take a trivial instance a
may be
is
indispensable.
To
greater than greater than
may
The not be susceptible of numerical evaluation. instance is less trivial, analogous indeed to an following
a given quantity
2
important social problem.

of fuel,
required to distribute so as to obtain the greatest

It is
possible quantity of available energy, set of engines, which differ in efficiency
among
a given
efficiency
thus defined
if,
one engine
is
more
efficient
being than another
former
consumed by the consumed by the latter, the total quantity of energy yielded by the former is greater than that yielded by the latter.
whenever the
is
total quantity of fuel
equal to that
In the distribution, shall a larger portion of fuel be given to the more efficient engines ? always, or only in some cases ? and, if so, in what sort of cases ? Here is
a very simple problem involving no numerical data, yet
The popular view pervades much of what Mill (in his Logic), after Comte, says about Mathematics applied to Sociology. There is a good expression of this view in the Saturday Review (on Professor Jevons's The view adopted in these pages is expressed Theory, November 11, 1871.)
1
by Cournot,
8
Recherches.) Or, a given quantity per unit of time, with corresponding modification
of definition and problem.
UNNUMERICAL MATHEMATICS.
requiring,
it
3
for
its
may
be safely
said,
mathematics
complete investigation.
The
latter statement
may be
disputed in so far as
such questions may be solved by reasoning, which, though not symbolical, is strictly mathematical
answered more informally, yet

ciplined
correctly,
by undis-
common
sense.
But,
firstly,
the advocate of
mathematical reasoning in social science is not concerned to deny that mathematical reasoning in social, as well as in physical, science may be divested of symbol. Only it must be remembered that the question how far
mathematics can with safety or propriety be divested of her peculiar costume is a very delicate question, only to be decided by the authority and in the presence of
Mathematics
ficiency of
at least
herself.
And, secondly,
as
to
the
suf-
common
sense, the worst of such unsymbolic,
unmethodic, calculations as we meet in popular economics is that they are apt to miss the characteristic
advantages of deductive reasoning. He that will not verify his conclusions as far as possible by mathematics, as it were bringing the ingots of common sense
be assayed and coined at the mint of the sovereign science, will hardly realize the full value of what he
to
holds, will
want a measure of what

altered
it
will
be worth in
a
however
slightly
circumstances,
means of
conveying and making
When the given it current. conditions are not sufficient to determinate the problem a case of great importance in Political Economy
ay(o[jLeTpr)To<s
is less
the
less
likely to suspect this deficiency,
competent to correct it by indicating what conAll this is evident ditions are necessary and sufficient. of mathematics, but at a glance through the instrument to the naked eye of common sense partially and obB 2
scurely, and, as Plato says of unscientific knowledge, in a state between genuine Being and Not-Being.
The preceding problem,

tity of
its
to distribute a given quan-
material in order to a
maximum
of energy, with
starting point loose quantitative relations rather
numerical
data
the
than
its
necessitating fairly well the
slippery though short path almost support of mathematics illustrates
1 To problem of utilitarian distribution. illustrate the economical problem of exchange, the maze of many dealers contracting and competing with each 2 other, it is possible to imagine a mechanism of many parts where the law of motion, which particular part moves
off
not precisely given with symbols, arbitrary functions, representing not merely not numerical knowledge but 3 ignorance where, though the
is
with which,
mode
of motion towards equilibrium is indeterminate, the position of equilibrium is mathematically deter-
mined.
Examples not made

exactly.
to order, taken
from the common

fit
stock of mathematical physics, will of course not
so
is
But they may be found
in abundance,
it
mathematical
Tait
4
submitted, illustrating the property under consideration
reasoning without numerical data. In Hydrodynamics, for instance, we have a Thomson or

'
reasoning
principles
will be given later.
determining P and Q In the meantime it is obvious that

'
for
'
each decreases as
'
motion show and he goes on

1
X increases.
Hence the equations of to draw a conclusion of

2
See
p. 64.
See
p. 34.
Ignoration of Co-ordinates
edition), is appropriate in
(Thomson and
social
2nd
4
many
Tait, Natural Philosophy, problems where we only know in
part.
The
tive,
Tait, Treatise on Natural Philosophy, p. 320, 2nd edition. which are ours, call attention to the unnumerical, loose quantitarelation which constitutes the datum of the mathematical reasoning.
italics,
Thomson and
momentous
an infinite incompressible fluid were attracted to each other.

higher Hydrodynamics,
perfect fluid,
in
interest that balls (properly) projected in will move as if they
And
generally in the
that
boundless ocean of
vortices,
swum through by
where the
first principles of Physics are to be sought, is not a similar unnumerical, or hyper arithmetical method there pursued ? If a portion of perfect fluid so moves at any
deep
time that each particle has no motion of rotation, then that portion of the fluid will retain that property for
all
time
x
;
here
is
no application of the numerical

be objected that
these
;
measuring-rod.
No doubt
it
may
hydro-
dynamical problems employ some precise data

tinuity.
the very definition of Force, the conditions of fluidity and con-
But
:
so
also
have our
social
problems some
precise data
for example, the property of uniformity

;
or rather the (approximately of price in a market realised) conditions of which that property is the deducible effect, and which bears a striking resemblance to
the data of hydrodynamics 2 (1) the fulness of the market: that there continues to be up to the conclusion of the deal:
ing an indefinite number of dealers (2) the fluidity of the market, or infinite dividedness of the dealers' interests.
;
Given this property of uniform price, Mr. Marshall and M. Walras deduce mathematically, though not arithmetically, an interesting theorem, which Mill and Thornton failed with unaided reason to discern, though they were quite close to it the theorem that the equation
of supply to demand, though a necessary, cient condition of market price.
is
not a
suffi-
To attempt
1
to select representative instances from each

Stokes, Mathematical Papers, p. 112.
See
p. 18.
recognised branch of mathematical inquiry would exceed the limits of this paper and the requirements of the argu-
ment.
It
must
suffice, in
conclusion, to direct atten-
tion to one species of Mathematics which seems largely affected with the property under consideration, the
Calculus of
Variations.
Maxima and Minima, or (in a wide sense) of The criterion of a maximum l turns, not
upon the amount, but upon the

2
tity.
We
tainment
sign of a certain quanare continually concerned 3 with the ascerof a certain loose quantitative relation, the
Now, this is decrease-of-rate-of-increase of a quantity. the very quantitative relation which it is proposed to employ in mathematical sociology given in such data
;
as the law of diminishing returns
to
capital
and
labour,
the law of diminishing utility, the law of increasing the very same irregular, unsquared material fatigue which constitutes the basis of the Economical and the
;
Utilitarian Calculus.
remarkable that the principal inquiries in may be viewed as maximum-problems. For Economics investigates the arrangements between
Now,
it is
Social Science
agents each tending to his own maximum utility and Politics and (Utilitarian) Ethics investigate the arrangements which conduce to the maximum sum total of
;
Maximum in this paper is employed according to the context for (1) Maximum in the proper mathematical sense (2) Greatest possible (3) sta1
;
tionary ; (4) where minimum (or least possible) might have been expected ; upon the principle that every minimum is the correlative of a maximum. Thus Thomson's Minimum theorem is correlated with Bertrand's Maximum
(Watson and Burhury.) This liberty is taken, not only for ' brevity, but also for the sake of a certain suggestiveness. Stationary] for fails to suggest the superlativeness which it connotes. instance, 2 The second term of Variation. It may be objected that the other contheorem.
dition of a
maximum
equation of the
first
term to zero
92.
is
of a
more
precise
character.
3
See, however,
Appendix
I., p.
E.g.,
Todhunter's Researches on Calculus of Variations, pp. 21-30, 80,
117, 286, &c.
HEDONIMETRY.
utility.
Since, then, Social Science, as compared with the Calculus of Variations, starts from similar data loose quantitative relations and travels to a similar con-
clusion
determination of maximum why should

Tait) a potentiality,
it
not
pursue the same method, Mathematics ? There remains the objection that in Physical Calculus there is always (as in the example quoted above from
Thomson and
measurement
;
an expectation, of
first
while Psychics want the
condition
is
of calculation, a unit.
diffidently offered.
The following
Jevons
2
brief answer
Utility, as Professor
sions, intensity
says, has
two dimenis
and
time.
3
The
unit in each dimension
the just perceivable increment. The implied equation to each other of each minimum sensibile is a first principle
It resembles the equation to each incapable of proof. other of undistinguishable events or cases, 4 which con-
stitutes the first principle of the
mathematical calculus
of
belief.
It is doubtless
course of evolution.
intensity
units,
The implied
a principle acquired in the equatability of timein
irrespective of distance
time and
kind of pleasure, is still imperfectly evolved. the unit of economical calculus.
Such
is
required the happiness of one person with the happicompare ness of another, and generally the happiness of groups
;
For moral calculus a further dimension
is
to
of different
members and different average happiness. Such comparison can no longer be shirked, if there
For a
fuller discussion, see
Appendix
;
III.
2
3
'
In reference to Economics, Theory,
p. 51.
lich
finite
Cf. Wundt, Physiological Psychology below, p. minim is to be regarded not as an infinitesimal
60.
Our
'
differential,
ebenmerkbut as a
small difference
a conception which
p. 7.
is
consistent with a (duly cau-
tious)
1
employment of
Laplace, Essai
Probabilities,
infinitesimal notation.
8
is
to be
any systematic morality

;
at
all.
by distributive justice.
;
It is postulated
postulated the population by
It is
question that horizon in which every moral prospect terminates which is presented to the far-seeing at every turn, on the most sacred and the most trivial occasions.
You cannot spend
sixpence utilitarianly, without having whether your action tends to increase the considered comfort of a limited number, or numbers with limited without having compared such alternative comfort
;
utilities.
In virtue of what unit

It is here
is
such comparison possible

is
submitted
one.'
l
Any
individual experiencing a
to
;
unit of pleasure-intensity during a unit of time

'
count for
Utility, then,
'
has three dimensions

is
mass of
utility,
it
lot
of pleasure,'
greater than
another
when
and
The
third dimension
;
has more intensity-time-number units. is doubtless an evolutional acquifar
sition
Looking back
difficulty
census.
from perfectly evolved. scale, we find no peculiar about the third dimension. It is an affair of The second dimension is an affair of clockis still
at
our triple
work
assuming that the distinction here touched, between subjective and objective measure of time, is of minor importance. But the first dimension, where we
;
leave the safe ground of the objective, equating to unity
each minimum
ties.
sensibile,
presents indeed peculiar difficul-
Atoms of pleasure are not easy to distinguish and discern more continuous than sand, more discrete than as it were nuclei of the just-perceivable, emliquid bedded in circumambient semi-consciousness.
; ;
We cannot
number the
1
'
count the golden sands of life we cannot innumerable smile of seas of love but we
;
'
In the Pure, for a fraction, in the Impure, imperfectly evolved, Utilitarianism. See p. 16.
MAXIMUM ENERGY.
seem
to be capable of observing that there
less,
is
here a
greater, there a
multitude of pleasure-units, mass of

is
happiness
(2)
and that
enough.
soul
is
application of mathematics to the world of countenanced by the hypothesis (agreeable to the
The
general hypothesis that every psychical phenomenon is the concomitant, and in some sense the other side of a
physical phenomenon), the particular hypothesis adopted in "these pages, that Pleasure is the concomitant of
Energy. Energy may be regarded as the central idea of Mathematical Physics maximum energy the object of
;
the principal investigations in that science. By aid of this conception we reduce into scientific order physical
phenomena, the complexity of which may be compared with the complexity which appears so formidable in
Social Science.
Imagine a material Cosmos, a mechanism as composite as possible, and perplexed with all manner of wheels, pistons, parts, connections, and whose mazy
complexity might far transcend in its entanglement the webs of thought and wiles of passion nevertheless, if
;
any given impulses be imparted to any definite points in the mechanism at rest, it is mathematically deducible that each part of the great whole will move off with a
velocity such that the energy of the whole may be the l the greatest possible consistent with greatest possible
the given impulses

'
and existing construction. If we know something about the construction of the mechanism, if it is a mighty maze, but not without a plan if we have some quantitative though not numerical datum about the construction, we may be able to deduce For a similarly indefinite conclusion about the motion.
'
instance,
any number of cases may be imagined

1
in
BertrancTs Theorem.
10
which,
if
a
datum about
the construction
1
is
that certain
parts are
less stiff
than others, a conclusion about the

take on
motion would be that those parts

than their
stiller
more energy
fellows.
mathematical reasoning is on a subsequent page, 2 that

possible
This rough, indefinite, yet analogous to the reasoning

in
sum
total
of happiness, the
order to the greatest more capable of

of
a
pleasure shall take more means, more happiness. In the preceding illustration the motion
mechanism was supposed instantaneously generated by

the application of given impulses at definite points (or but similar general views are over definite surfaces)
;
attainable in the not so dissimilar case in
which we
suppose motion generated in time by finite forces acting upon, and interacting between, the particles of which This supposition includes the mechanism is composed.
the celebrated problem of Many Bodies (attracting each other according to any function of the distance) ; in
reference to which one often hears
it
asked what can
be expected from Mathematics in social science, when she is unable to solve the problem of Three Bodies in her own department. But Mathematics can solve the problem of many bodies not indeed numerically and explicitly, but practically and philosophically, affording approximate measurements, and satisfying the soul of
the philosopher with the grandest of generalisations. By a principle discovered or improved by Lagrange, each
particle of the
however complex whole is continually so that the accumulation of energy, which is constimoving tuted by adding to each other the energies of the mechanism existing at each instant of time (technically termed the time-integral of Energy) should be a 3 maxiAction
Of.
Watson and Burbury, Generalised

s
Co-ordinates,
3
A.rt.
30,
p. 6.
and pre-
ceding.
P. 64.
See note,
MAXIMUM PLEASURE.
11
l
discovery of Sir William Eowan Hamilton the subordination of the parts to the whole is more
mum. By the
usefully expressed, the velocity of each part is regarded the action is as derivable from the action of the whole
;
connected by a single, although not an explicit or in general easily interpretable, relation with the given law of
force.
The many unknown are reduced

is
to one
un-
known, the one unknown
connected with the known.
Now
this
accumulation (or time-integral) of energy

is
which thus becomes the principal object of the physical

investigation
analogous
to
that
accumulation
of
pleasure which is constituted by bringing together in prospect the pleasure existing at each instant of time,
the
end of rational action, whether
self-interested or
benevolent.
(in virtue
The
central conception of
Dynamics and
of pervading analogies it may be said) in of Mathematical Physics is other-sidedly identical general with the central conception of Ethics and a solution
;
practical and philosophical, although not numerical and precise, as it exists for the problem of the interaction of bodies, so is possible for the problem of the
interaction of souls.
This general solution, it may be thought, at most is applicable to the utilitarian problem of which the object is the greatest possible sum total of universal happiness.
But
deserves consideration that an object of Economics also, the arrangement to which contracting agents
it
actuated only by self-interest tend is capable of being regarded upon the psychophysical hypothesis here entertained as the realisation of the maximum sumtotal of happiness, the relative maximum? or that There is consistent with certain conditions.
which
dimly
to
is
discerned
1
the
Divine
idea
of
power tending
:
Philosophical Transactions, 1834-5.
See pp. 24, 142.
12
l the greatest possible quantity of happiness under conwhether the condition of that perfect disinteditions
;
gration
and unsympathetic isolation abstractedly assumed in Economics, or those intermediate 2 conditions of what Herbert Spencer might term integration on to that perfected utilitarian sympathy in which the pleasures of another are accounted equal with one's own. There are
diversities of conditions,
but one
'
maximum-principle
many stages of evolution, but one increasing purpose.' Mecanique Sociale may one day take her place
1
'
along with Mecanique Celeste,' throned each upon the double-sided height of one maximum principle, 3 the
'
supreme pinnacle of moral as of physical science. As the movements of each particle, constrained or loose, in a material cosmos are continually subordinated to one maximum sum-total of accumulated energy, so the movements of each soul, whether selfishly isolated or
linked
sympathetically, may continually be realising the maximum energy of pleasure, the Divine love of
'
the universe.
Mecanique
sister, is less
Sociale,' in
comparison with her elder
she
is
attractive to the vulgar worshipper in that The discernible by the eye of faith alone.
;
statuesque beauty of the one is manifest but the fairylike features of the other and her fluent form are
2 See p. 16. reminded that upon the principles of Lagrange the whole of (conservative) Dynamics may be presented as a Maximum-Problem if without gain, at any rate without loss.
1
on Nature and Religion. The mathematical reader does not require

Cf. Mill, Essays
to be
And
the great principle of
Thomson (Thomson &
Tait, arts.
Cf.
Vortices,
by Thomson, Royal Society, Edinburgh, 1865), with
allied
Theory of maxi-
mum-principles, dominating the theory of fluid motion, dominates Mathematical Physics with a more than nominal supremacy, and most indispensably
Similarly, it may be conjectured, the ordinary moral rules are equivalently expressed by the Intuitivist in the (grammatically-speaking), But for the higher positive degree, by the Utilitarian in the superlative.
efficacious power.
moral problems the conception of
maximum
is
indispensable.
mecanique sociale.
13
But Mathematics has long walked by the veiled. evidence of things not seen in the world of atoms (the methods whereof, it may incidentally be remarked, statistical and rough, may illustrate the possibility of
social mathematics).
is
The
invisible
energy of electricity
;
l grasped by the marvellous methods of Lagrange the invisible energy of pleasure may admit of a similar
handling.
As in a system of conductors carrying electrical currents the energy due to electro- magnetic force is to be distinguished from the energy due to ordinary dynamical forces, e.g., gravitation acting upon the conductors, so the energy of pleasure is to be distinguished not only
from the gross energy of the limbs, but also from such nervous energy as either is not all represented in consciousness {pace G. H. Lewes), or is represented by
intensity of consciousness
not intensity of pleasure. As electro -magnetic force tends to a maximum energy, so also pleasure force tends to a maximum energy. The
energy generated by pleasure force is the physical concomitant and measure of the conscious feeling of delight.
Imagine an electrical circuit consisting of two rails from the earth connected at one extremity by a galvanic battery and bridged over at the other extremity
isolated
2 by a steam-locomotive.
When
a current of electricity
is
is
sent through the circuit, there
an electro-magnetic
force tending to move the circuit or any moveable part of it in such a direction that the number of lines of force
(due to the magnetism of the earth) passing through the

circuit in
positive
direction
may be a maximum.
move
the
The
1
electro -magnetic force therefore tends to
See Clerk Maxwell, Electricity and Magnetism, on the use of Lagrange's
Generalised Co-ordinates, Part iv., chaps. 5 and 6. a Clerk Maxwell has a similar construction.
14
MATHEMATICAL TSYCHICS.
rails in
locomotive alono; the

delicate force
that direction.
Now
this
may well be unable to move
the ponderous
locomotive, but it may be adequate to press a spring and turn a handle and let on steam and cause the loco-
motive to be moved by the steam-engine in

of the electro-magnetic force, either
the direction
according to the direction in

rent flows.
in
backwards or forwards which the electrical curis
The
delicate electro-magnetic force
placed
such a commanding position that she sways the movements of the steam-engine so as to satisfy her own
yearning towards maximum. Add now another degree of freedom

l
and
let
the
steam-car governed move upon a plane in a direction tending towards the position of Minimum Potential
Electro-Magnetic Energy.
Complicate this conception
modify
it
by
;
substituting for the principle of
Minimum
Force-Potential the principle of Minimum 2 MomentumPotential imagine a comparatively gross mechanism of
innumerable degrees of freedom governed, in the sense adumbrated, by a more delicate system itself, however
inconceivably diversified its degrees of freedom, obedient still to the great Maximum Principles of Physics, and
amenable
mathematical demonstration, though at first sight as hopelessly incalculable as whatever is in life as the smiles of beauty and the capricious and irregular
to
waves of passion.
Similarly pleasure in the course
of evolution has
become throned among grosser subject energies as it were explosive engines, ready 3 to go off at the pressure
1
See
p. 24.
Momentum-Potential upon the analogy of Velocity-Potential (Thomson on Vortex Motion, 31) and Minimum, as I venture to think, in virtue of certaia analogies hetween theories about Energy and about Action. 3 See the account of the Mechanism of Life, in Balfour Stewart's Con;
sprnation of Eneran.
MAN A PLEASURE-MACHINE.
15
of a hair-spring. Swayed by the first principle, she the subject energies so as to satisfy her own yearnsways her every air Of gesture and ing towards maximum
'
;
least
a a law of Force to governed systems fluent form, a Fairy Queen guiding a most complicated chariot, wheel within wheel, the speculative and active
motion
'
'
motor nerves, the limbs and the environment on which they act. A system of such charioteers and chariots is what constitutes the object of Social Science. The attractions between the charioteer forces, the collisions and compacts between the chariots, present an appearance of quantitative regularity in the midst of bewildering cominstruments,' the
plexity resembling in
electricity
its
and magnetism.
general characters the field of To construct a scientific

'
hypothesis seems rather to surpass the powers of the writer than of Mathematics. Sin has ne possim
natural accedere partes Frigidus obstiterit circum prascordia sanguis ; at least the conception of Man as a
'
pleasure machine may justify and facilitate the employment of mechanical terms and Mathematical reasoning
in social science.
PART
II.
Such are some of the preliminary considerations by which emboldened we approach the two fields into which the Calculus of Pleasure may be subdivided, The Econonamely Economics and Utilitarian Ethics.
mical Calculus investigates the equilibrium of a system of hedonic forces each tending to maximum individual
utility
the Utilitarian Calculus, the equilibrium of a system in which each and all tend to maximum uni;
10
versal utility.
the two species of agents eorres} >nd with Mr. Sidgwick's Egoistic and Universalistic Hedonism. But the correspondence is not perfect.
' principle of self limitation of a method, so clearly stated by Mr. Sidgwick, so persistently misunderstood by critics, the Pure Utilitarian might
The motives of
For,
firstly,
upon the
'
most beneficent to sink his benevolence towards competitors and the Deductive Egoist might have need But further, it is possible that of a Utilitarian Calculus. the moral constitution of the concrete agent would be neither Pure Utilitarian nor Pure Egoistic, but finery For it is submitted that Mr. Sidgwick's division of T15. Hedonism the class of Method whose principle of action may be generically defined maximising happiness For between the two extremes is not exhaustive. Pure Egoistic and Pure Universalistic there may be an indefinite number of impure methods wherein the
think
it
;
'
'
happiness of others as compared by the agent (in a calm moment) with his own, neither counts for nothing, not yet counts for one,' but counts for a fraction.
'
1 Deferring controversy, let us glance at the elements of the Economic Calculus observing that the connotation (and some of the reasoning) extends beyond the
;
to the political struggle for power, as well as to the commercial struggle for wealth.
;
usual denotation
ECONOMICAL CALCULUS.
Definitions.
The
first
principle of
Economics
is
that every agent is actuated only by self-interest. The of this principle may be viewed under two workings aspects, according as the agent acts without, or with, the
1
See Appendix IV.

Descriptions rather, but sufficient for the purpose of these tentative
studies.
ECONOMICAL DEFINITIONS.
consent of others
affected
17
In wide
by
:
his actions.
senses, the first species of action may be called v$3r ; the second, contract. Examples (1) general, or fencer,
making moves, a dealer lowering price, without consent

of
rival.
(2)
set of co-operatives (labourers, capital-
manager) agreed nem. con. to distribute the jointproduce by assigning to each a certain function of his
ists,
sacrifice.
The
articles
of contract are in this case the

the principle
amount of
'
sacrifice to
be made by each, and

'
of distribution,
Is
it
peace or war
asks the lover of

:
'
Maud,' of
economic competition, and answers hastily It is both, pax or pact between contractors during contract, war, when some of the contractors without the consent of others Thus an auctioneer having been in contact recontract. with the last bidder (to sell at such a price if no higher So a landlord on bid) recontracts with a higher bidder.
expiry of lease recontracts,
tenant.
it
may
be,
with a new
The field of competition with reference to a contract, or contracts, under consideration consists of all the individuals who are willing and able to recontract about
the articles under consideration.
Thus
in
an auction
the field consists of the auctioneer and
all
who
are
effectively willing to give a higher price than the last bid. In this case, as the transaction reaches determi-
nation, the field continually diminishes and ultimately But this is not the case in general. Suppose vanishes. a great number of auctions going on at the same point
;
or,
what comes
and an
y.
to the
same
thing, a market consisting
of an indefinite
x,
indefinite
number of dealers, say Xs, in commodity number of dealers, say Ys, in com-
modity
In this case, up to the determination of To equilibrium, the field continues indefinitely large.
c
18 be sure
it
may
one chose to define the field of force as the centres of force sensibly acting on a certain system of bodies, then in a continuous medium of
Thus,
if
equilibrium. the definition.
be said to vanish at the position of But that circumstance does not stultify
attracting matter, the

indefinite
extent,
might be continually of might change as the system moved,

field
might be said to vanish when the system reached

equilibrium.
There
is
free
field.
competitive
communication throughout a normal You might suppose the constituent
individuals collected at a point, or connected
phones an
to
by
tele-
mate
ideal supposition, but sufficiently approxiexistence or tendency for the purposes of
abstract science.
perfect field of competition professes in addition certain properties peculiarly favourable to mathematical
calculation
namely, a certain indefinite multiplicity and dividedness, analogous to that infinity and infinitesimality which facilitate so large a portion of Mathematical
;
Physics (consider the theory of Atoms, and all applications of the Differential Calculus). The conditions of
a perfect
field are
four
the
first
pair referrible
to the
heading multiplicity or continuity, the second to dividedness or fluidity.

I.
Any
individual
is
free to recontract
e.g.,
with any out
of an indefinite number,
are an indefinite
II.
in the last
example there
number of Xs and
is
Any
individual
similarly of Ys. free to contract (at the same

;
time) with an indefinite number e.g., any (and simideal with any number of Ys. This conlarly Y) may dition combined with the first appears to involve
1
See
p. 5.
ECONOMICAL DEFINITION'S.
19
the indefinite divisibility of * each article of contract deal with an indefinite number of Ys he must (if any
give each an indefinitely small portion of x) might be erected into a separate condition.
III.
which
Any
individual
is
free to recontract with another
independently of, without the consent being required of, any third party, e.g., there is among the Ys (and similarly
the Xs) no combination or precontract between two or more contractors that none of them will
among
recontract without the consent of
all.
accept the offer of any IV. Any individual
X irrespectively
is
;
Any Y
then
may
of other Ys.
free to contract with
another
independently of a third party e.g., in simple exchange each contract is between two only, but seats in the entangled contract described in the example (p. 17),
where
it may be a condition of production that there should be three at least to each bargain. There will be observed a certain similarity between
the relation of the
first
to the second condition,
and
that of the third to the fourth.
The
failure of the first

;
involves the failure of the second, but not vice versa and the third and fourth are similarly related.
A A
settlement
is
a contract
all
which cannot be varied
with the consent of
final settlement
is
the parties to it. a settlement which cannot be
varied by recontract within the field of competition. Contract is indeterminate when there are an indefinite
number
1
of final settlements.
;
This species of imperfection will not be explicitly treated here

it is
;
partly
because
it
is
perhaps of secondary practical importance and partly because has been sufficiently treated by Prof. Jevons {Theory, pp. 135-lt>7). It
important, as suggested in Appendix V., to distinguish the effects of this imperfection according as the competition is, or is not, supposed perfect
c 2
in other respects.
20
The troblem
in
this
to
which attention
is
introductory
inquiry of more than theoretical imshow not only that indeterminateness portance, tends to prevent widely, but also in what direction an
indeterminate
if
it
an
summary
is
How
specially directed far contract is
escape from its evils Demonstrations.
sought. The general answer

is
is
to
be
(a)
Con-
tract without competition
is
indeterminate,
(/3)
Contract
with perfect competition is perfectly determinate, (7) Contract with more or less perfect competition is less or
more indeterminate. (a) Let us commence with almost the simplest case of contract, two individuals, X and Y, whose interest depends on two variable quantities, which they are agreed not to vary without mutual consent. Exchange
of two commodities is a particular case of this kind of contract. Let x and y be the portions interchanged, as 2 in Professor Jevons's example. Then the utility of one
x) + 9^ (y) and party, say X, may be written $ : (a the utility of the other party, say Y, $ 2 (#) + ^2 ( ~ y) where $ and are the integrals of Professor Jevons's
;
'>
symbols
(f>
and
\Jj.
It is
agreed that x and y shall be

e.g.
varied only
by consent (not
and
If
27,
by
violence).
More
generally.
Let P, the
it
utility of
X, one party,
~F(jsy),
the utility of Y, the other party,

is
inquired at what point they will reach equilibrium, one or both refusing to move the answer further, to what settlement they will consent
$(xy).
now
is
in general that contract by itself does not supply sufficient conditions to determinate the solution ; sup-
plementary conditions as
1
will
appear being supplied by

which
is
Conclusions rather, the mathematical demonstration of
not
fully exhibited.
2
Theory of Political Economy, 2nd
ed., p.
07.
PURE CONTRACT.
21
competition or ethical motives, Contract will supply only one condition (for the two variables), namely
dV_dn __ dVdn d x dy dy d x
(corresponding to Professor Jevons's equation
<f>i
(a
~ x)
it
"
is
<f> 2
(%)
î (y)
$2 (b
y)
Theory
tigate.
p.
108), which
proposed here to invesas a surface,
denoting the length of the ordinate drawn from any point on the plane of x y (say the plane of the paper) to the surface. Consider IT ^ we y) similarly. It is required to find a
(x y)
Consider
PF
point (oey) such that, in whatever direction we take an infinitely small step, P and IT do not increase together,
but that, while one increases, the other decreases. It may be shown from a variety of points of view that the
locus of the required point
is
dv
which locus
curve.
(1)
it
d x dy
is
dn_ dP dn =0#
dy dx
here proposed to call the contractin
Consider
first
what
directions
can take an
indefinitely small step, say of length p, Since the addition to P is (x y).
from any point
p cos
d x, and p sin 6 = dy, it is evident that X will step only on one side of a certain line, the line of indifference, as it might be called its equation being
being
;
22
is
be observed, in passing, that the direction to move, the line of force or line preference, as it may be termed, is perpendicular to t] Similar remarks apply to IT. line of indifference.
to
And it
which
X will prefer
then
sent
we enquire in what directions to move together, the answer
X
is,
and
in
will co
directi<
any
between
their respective lines of indifference, in a dire
tion positive as it may be called for both. At wh then will they refuse to move at all ? When th( point
lines of indifference are coincident (and lines of preferen not only coincident, but in opposite directions) where the necessary (but not sufficient) condition is
;
(d\ fdn\ fdn\ \dx) \dy)~\dy) \dx~J

(2)
/d~P\
~
put.
The same consideration might be thus
L
6
the complete variation of

d~?> ( -j sin
J
be
DP=p [( -^dx'
I
cos
and similarly
for 17.
Then in general
c;
be taken, so that so
DP
should be positive, say
ai
P and
II
both increase together.

rfP
tan. 6
2
dn
dx
= dx dT~
9
a
2
dn
dy
K
dy
But
this solution fails
when
) dx J
dx
dy
) J
(dY\
dy'
In
fact, in this case
TdU\
DP =
-
is
the
same for
all direction
PURE CONTRACT.
then, that
23
If,
common
value of
DP =-
is
negative,
motion
is
impossible in any direction. (3) Or, again, we may consider that motion
as,
is
pos-
one party not losing, the other gains. long The point of equilibrium, therefore, may be described
sible so
as a relative
constant,
is
maximum, the a maximum.

is
point at which
Put P
only
= P
e.g.
IT being-
c (II
IT'),
where
of
IT.
c is
a constant and
a
c
IT' is
the supposed given value
Then P
maximum
clTI
when
dx
W#
d J_
) dx)
dx,
(^
\dg
*E) =
dyJ
whence we have as before the contract-curve. The same result would follow if we supposed Y induced to consent to the variation, not merely by the
guarantee that he should not lose, or gain infmitesimally, but by the understanding that he should gain sensibly
with the gains of P. For instance, let IT = & 2 P where k is a constant, certainly not a very practicable condition.
Or, more generally, let P move subject to the condition = 2 x DIT, where 6 is a function of the cothat
DP
ordinates.
Then DP,
subject to this condition, vanishes
only when
where
c is
a constant
whence
ana
fflCl K dx' v
e)'
cff>
f^) = \dx J
=
g)(i. +
O-^
0;
24
.
.
..
f(tV\ w/JTx before [ -r- ) ( -r K
whence
as
dx J
\a yj
t- ItK \dy/ ax
(
/</l\ fdll\
1
l J
n "-
No doubt
the one theory
which has been thus
dif-
ferently expressed could be presented by a professed mathematician more elegantly and scientifically. What
appears to the writer the most philosophical presentation may be thus indicated.
(4)
Upon
action
the
hypothesis
above shadowed forth,

in
human
generally,
and
particular
the
step
taken by a contractor modifying articles of contract, may be regarded as the working of a gross force governed,
let
on,
From which
is
and directed by a more delicate pleasure-force. it seems to follow upon general dynamical
principles applied to this special case that equilibrium attained when the total pleasure-energy of the contractors
the a maximum relative,- or subject, to conditions conditions being here (i) that the pleasure-energy of and Y considered each as a function of (certain values
is
;
of) the variables x and y should be functions of the same values in the metaphorical language above employed that the charioteer-pleasures should drive their
:
teams
together
team
should
over the plane of xy never be urged in
(ii)
direction
that the jointcon-
trary to the 'preference^ of either individual; that the resultant line of force (and the momentum) of the
gross, the chariot, system
should be
(positive
termediate
lines
between the
respective
continually indirections of the)
pleasure-forces. [We without disadvantage make abstraction of sensible
of
the
may
moof
mentum, and
system
to
suppose
Let
-
the
by
start
the
condition
a
jointline
move towards equilibrium along

it
resultant gross force.

1
from the
origin.
3
And
See pp. lo-lo.
See note,
p. 11.
See
p. '12.
PURE CONTRACT.
let
25
employ an arbitrary function to denote the unknown principle of compromise between the parties supus
;
pose the ratio of the sines of angles made by the resultant line with the respective lines of pleasureforce.]
Then, by reasoning different from the pre-
ceding only in the point of view, it appears that the total utility of the system is a relative maximum at any
point on the pure contract-curve.
It
,
appears from
(1)
and
(2) there is a
U,
portion of the
'
locus
-f
,
sd\ rdn\ fdn\ fd?\ = [(-_.)( \dxJ \dyJ \dxJ \dyJ
where
dp Dn
=-
is
not therefore indicating immobility,
au
contraire, the
impure (part of the) contract-curve, as it might be This might be illustrated by two spheres, each called.
The contract curve

the
centres.
is
having the plane of the paper as a diametral plane. is easily seen to be the line joining
less
centres
Supposing that the distance between the than the less of the radii, part of the contract-curve is impure. If the index, as Mr. Marshall
might call it, be placed anywhere in this portion it will run up to a centre. But between the centres the contract-curve
is
portion
is
immovable
pure; the index placed anywhere in this and if account be taken of the
;
portions of the spheres underneath the plane of the paper, the downward ordinates representing negative
pleasures, similar statements hold, mutatis mutandis. It appears that the pure and impure parts of the
contract-curve are
demarcated by the
.
points
.
where
DP =r
or
Dn
-
changes sign, that e s
is
(in v
general) where either -= ) b d(J
DP
.
<j
[d
being an increment of the length of the

infinite.
contract-curve) either vanishes or becomes Accordingly the maxima and minima of P and
H present
20
demarcating points; for example, the centre of each sphere, which corresponds to a maximum in reference
to the
upper hemisphere, a minimum in reference The impure contract curve the lower hemisphere. relevant to cases where the commodity of one party
a discommodity to the other. But even in the pure contract-curve
all
to
is
is
points do
not in the
same sense indicate immobility.
For, accord-
ing to the consideration (3) [above, p. 23], the contractcurve may be treated as the locus where, IT beingconstant, P is stationary either a maximum or minimum.
',
Thus any point

affords a
in our case of
in
(it
it
maximum
two intersecting spheres relation to the upper hemisphere

is
but the same point be the same point
only an accident that it should would not be the same point if
you suppose
mum
slightly distorted spheres) affords a miniin relation to the lower hemisphere. This pure,
but unstable (part of the) contract-curve is exemplified l in certain cases of that unstable equilibrium of trade,
which has been pointed out by Principal Marshall and

Professor Walras.
P =F
2
Let P = 1 persons and several variables. (x y z) denote the utility of one of three parties, utility and similarly depending on three variables, xy z
several
x
;
The preceding theory may
easily
be extended to
P = F
3
Then
the
contract-settlement,
the
arrangement
for the alteration of
all three parties
of cannot be obtained, will be (subject to

prethe
which
the consent
reservations analogous to those analysed in the
ceding paragraphs)
Eliminant.
d~Px
dx
1
dV dy
dVx
dz
;
Mr. Marshall's figure 9 but not his figure 8 for the delicate relation between the conceptions instability of Trade (where perfect competition is presupposed) and instability of contract in general is not one of identity.
PURE
28
three contract-curves presented
bounded by the
cessively
by
suc-
supposing each pair of individuals to be in contract with respect to x and y. And similarly for
larger
numbers
It is
in hyperspace. not necessary for the
study to carry the analysis further.

fix
purpose of the present To gather up and
our thoughts, let us imagine a simple case Robinson Crusoe contracting with Friday. The articles of contract
:
wages
to be given by the white, labour to be given by the black. Let Eobinson Crusoe =X. Represent y, the labour
given by Friday, by a horizontal line measured northward from an assumed point, and measure x\ the remuneration given
an eastward
line (See
by Crusoe, from the same point along Then accompanying figure 1.).
Fig.
i.
any point between these lines represents a contract. It will very generally be the interest of both parties to vary the articles of any contract taken at random. But there is a class of contracts to the variation of which the consent of both parties cannot be obtained, of settle-
PURE CONTRACT.
merits.
29
These settlements are represented by an indenumber of points, a locus, the contract-curve CC, or finite rather, a certain portion of it which may be supposed to be wholly in the space between our perpendicular lines in a direction trending from south-east to northThis available portion of the contract-curve lies between two points, say rj x north-west, and y southwest.
east
;
which are respectively the intersections with the
1 contract-curve of the curves of indifference for each Thus the utility party drawn through the origin.
is for of the contract represented by >j Friday zero, At or rather, the same as if there was no contract.
27
that point he would as soon be off with the bargain work by himself perhaps.
This simple case brings clearly into view the characteristic evil of indeterminate contract, deadlock, undecidable
2 opposition of interests, aKpirbs e/ns koi the interest of both parties that there It is
Tapa^q. should be some settlement, one of the contracts represented by the contract-curve between the limits. But
is arbitrary in the absence of the interests of the two adversd pugnaiitia arbitration, fronte all along the contract-curve, Y desiring to get as north-west far as possible south-east towards y |
which of these contracts
toward
770^0-
And.
it
analysis that in the case of any
further appears from the preceding number of articles (for
instance,
Eobinson Crusoe to give Friday in the way of Industrial Partnership a fraction of the produce as well as wages, or again, arrangements about the mode of
work), the contract-locus
sort of line,
may
still
be represented as a
along which the pleasure-forces of the conis
tractors are mutually antagonistic. An accessory evil of indeterminate contract

1
the
See
p. 22.
Demosthenes,
De
Corona.
30
full market, towards dissimuand objectionable arts of higgling. As Professor Jevons l says with reference to a similar case, Such a transaction must be settled upon other than strictly The art of bargaining consists economical grounds.
tendency, greater than in a
lation
'
in the
seller
buyer ascertaining the lowest price at which the is willing to part with his object, without disis
closing, if
buyer,
possible, the willing to give.'
highest price which he, the 2 Compare Courcelle-Seneuil's
man
account of the contract between a hunter and a woodin an isolated region.
With
contrasted
this
clogged and underground procedure

'
is
As
the smooth machinery of the open market. (/?) a mesure que le nombre Courcelle-Seneuil says,
des concurrents augmente, les conditions d'echange deviennent plus necessaires, plus impersonelles en quelque
sorte.'
his
You might suppose each dealer to write down demand, how much of an article he would take at
3
;
each price, without attempting to conceal his requirements and these data having been furnished to a sort of
market-machine, the price to be passionlessly evaluated.
That contract
in
a state of perfect competition
is
determined by demand and supply is generally accepted, but is hardly to be fully understood without mathe-
The mathematics of a perfect market have been matics. worked out by several eminent writers, in particular to whose varied culMessrs. Jevons, Marshall, Walras
;
tivation of the
reader
first
is
mathematical science, Catallactics, the referred who wishes to dig down to the root of
principles, to trace out all the branches of a complete system, to gather fruits rare and only to be
reached by a mathematical substructure.

'
Theory, p. 134.
Of.
Traiti,
book
ii.
Walras, Elements, Art. 50.
PERFECT COMPETITION.
31
There emerges amidst the variety of construction and terminology noWcov ovojioltojv [xopcf>r) fxta, an essentially identical graphical form or analytical formula express-
whereof the ing the equation of supply to demand the catallactic molecule, as it might be simplest type, called, is presented in the case above described in the
;
definition of perfect competition.
The
familiar pair of
equations
first
is
deduced
:
by the present writer from the
principle Equilibrium is attained when the exbe varied without recontract isting contracts can neither
with the consent of the existing parties, nor by reconThe advantage tract within the field of competition.
of this general method is that it is applicable to the parwhere the conticular cases of imperfect competition of demand and supply at a price are no longer ceptions
;
appropriate.
The
articles
catallactic
molecule
is
compounded, when we
each of several
;
suppose the
solved
Xs and Ys
dealing in respect
with several
sets
of Zs, As, Bs, &c.

field
a case re-
might be represented each X buying labour entrepreneurs Xs, Ys, Zs, by from among sets of labourers, As, Bs, Cs, use of capital from among sets of capitalists, Js, Ks, Ls, use of land from
sets of
by M. Walras. Thus the actual commercial
among sets of landowners, Ps, ducts among a set of consumers
Qs, Es, and selling proconsisting of the sum of
the three aforesaid classes and the entrepreneurs of a the Ys and Zs. As the demand species different from X,
of the labourer
is
deduci-ble
from considering
his utility
1 It must be carefully remembered that Prof. Jevons's See p. 17. Fomiulse of Exchange apply not to bare individuals, an isolated couple, but to individuals clothed with the (as he himself sufficiently indicates, p. 98),
a typical couple (see properties of a market,

couple, the catallactic atom, 2 See p. 38.
Appendix
V.).
The
isolated
would obey our
(a) law.
32
as a function of
wages received and work done, so the of the entrepreneur is deducible from considering his utility as a function of (1) his expenditures on the agents of production (2) his expenditures in the way
demand
from sale of produce of consumption The last-named (4) his labour of superintendence. but there being is not an article of contract variable
;
(3) his receipts
supposed a definite relation connecting the produce with agents of production and entrepreneur's labour, the This is a very catallactic formula? become applicable.
abstract representation (abstracting e.g. risk, foreign trade, the migration from one employment to another,
Xs becoming Ys, &c), yet more concrete than that of M. Walras, who apparently makes the more abstract
e.g.
supposition of a sort of frictionless entrepreneur,

ni perte ni benefice.'
'
faisant
From
vantage
the point of view just reached may with adbe contemplated one of the domains most
Mr. Sidgwick's recently added to Economic Science to the contribution Fortnightly Eeview,' September, 1879. The indirectness of the relatiori between wages and
'
which Mr. Sidgwick has so clearly demonstrated in words is self-evident in symbols. The predeta minateness of the wage-fund, which has received its coup de grace from Mr. Sidgwick, must always, one would think, have appeared untenable from the humblest mathematiinterest
the consideration of the simplest of perfect competition from which also it must type be added that Mr. Sidgwick'sperhaps inadvertent, 4 here misinterpreted statement, that contract perhaps
cal point of view,
3
;
1 This permeability between employments (such as explained in Economics of Industry with reference to the supply of unskilled and skilled labour and of business power) tends to a level of utility. 3 2 See pp. 17, 31. Elements, Arts. 231, 242, &c. 4 Review, 1879, pp. 410 (end) 411 (beginning). Fortniyhtly
PEKFECT COMPETITION.
33
in
between employer and operative even
the case of
what
is here called perfect competition, is indeterminate, does not, it is submitted, appear tenable. It is further submitted that Mr. Sidgwick's strictures 2 on Prof.
Jevons are hasty for that by a (compound) employment of the Jevonian (or an equivalent catallactic) for;
mula, the complex relations between entrepreneur, capiAnd so there talist, and labourer are best made clear.
'
a priori ground for supposing that industrial competition tends to equalize the rate of profit (as well as
is
interest)
on capitals of
different amount.'
That
'
the
labour of managing capital does not increase in proporis so far from creating any that it is rather of the essence of the peculiar difficulty, theory of exchange quite congruent with the familiar
tion to the
amount managed
;
'
circumstance that the
disutility
of
(common) labour
(labour subjectively estimated) does not increase in proportion to work done (labour objectively estimated).
That the labour of managing capital increases not only not at the same but at a less rate-of-increase than the amount managed, as Mr. Sidgwick seems to imply, is indeed a peculiar circumstance but it is of a sort with which the Jevonian formula, the mathematical theory of catallactics, is quite competent to deal, with which in fact Mr. Marshall has dealt in his second class of Demand-Curves
;
.
See Defin,
p. 18.
2 3
Fortnightly Revieio, pp. 411, 412. As the gain per unit of produce is the same for one
is
X, and the gain per unit of capital lent
so, if
there
is in
the field
X as for another one J as for another in addition to the classes prescinded, a class of
the
same
for
capitalist-entrepreneurs, e.g. (JK)s, the gain per unit of produce is the same for one (J K) as for another (J K). But no equation is made between the even if to simplify gain of a (J K) and the sum of the gains of a J and a
the comparison we abstract rent. (Gain of course in this statement measured objectively, say in money, not subjectively in utility).
T)
34
But
it
is
not the purport of the present study to
attempt a detailed, much less a polemical, discussion of pure Catallactics, but rather (y) to inquire how far conis determinate in cases of imperfect competition. not necessary for this purpose to attack the gmeral problem of Contract qualified by Competition, which is
tract
It is
difficult than the general problem of uncontract already treated. It is not necessary qualified to resolve analytically the composite mechanism of a
much more
It will suffice to proceed synthetically, competitive field. observing in a simple typical case the effect of continually introducing into the field additional com-
petitors.
i.
Let us
start, then,
above put (p. 28), an X x and y. Here x represents the sacrifice objectively measured of X it may be manual work done, or commodity manufactured, or capital abstained from during a certain time. And y is the objectively measured remuneration of X. Hence it may be assumed, accordl ing to the two first axioms of the Utilitarian Calculus, the law of increasing labour, and the law of decreas;
from the abstract typical case and Y dealing respectively in
ing utility, that

continually J
being the utility of X,
(l)
d~P
is
Lh Ju
neqative. J
r
dy
positive-. (2) -f-*, -4o. J v 2' 2'
dx
dy
dxdxf
continually negative. (Attention is solicited to the interpretation of the third condition.) No doubt these latter
conditions are subject to many exceptions, especially in regard to abstinence from capital, and in case of pur1
offered in
2
See these laws stated in the companion calculus. The proofs were Mind, without acknowledgment, because without knowledge, of
the cumidative proofs already adduced by Prof. Jevons.

Of.
Appendix V.
IMPERFECT COMPETITION.
35
chase not for consumption, but with a view to re-sale and in the sort of cases comprised in Mr. Marshall's
;
Class II. curves.
Still, these exceptions, though they the watertightness of many of the reasonings in destroy this and the companion calculus, are yet perhaps of to one taking a general abstract secondary importance
view.
X and
sists
This being premised, let us now introduce a second a second Y so that the field of competition con;
of two
Xs and two
Ys.
And
for the sake of illus-
tration (not of the argument) let us suppose that the new has the same requirements, the same nature as
the old
and similarly that the new
is
equal-
natured with the old.
Then
it is
unless (1) all point is on the contact-curve.
evident that there cannot be equilibrium the field is collected at one point (2) that
;
one couple be at one point, at another point. It will generally be the interest of the of one couple and the Y of the other to rush together,
For (1) if possible and another couple
let
leaving their partners in the lurch. And (2) if the common point is not on the contract-curve, it will be the
interest of all parties to descend to the contract-curve.
points of the contract-curve in the immediate cannot be final neighbourhood of the limits y an d if the system be placed at such a point, settlements. For
The
Vo
say slightly north-west of y o g it will in general be possible for one of the Ys (without the consent of the other) to recontract with the two Xs, so that for all
,
those three parties the recontract is more advantageous than the previously existing contract. For the right
line joining the origin to
(the
neighbourhood of) y g
.
will in
general
curve
drawn
altogether within the indifferenceFor the indiffrom the origin to y 9

lie
D 2
36
ference-curve
its differential
is
in general
is
convex to the
abscissa.
For
equation
_dy =
dx
( ^
d(xy) \
dx
'
d~F(xy)\
(
whence
_ r L
da y dx 2
2
(UL) \ dx J
(M.\Ajl\ dx J
\dxdy)
dF
(
\
dy
) + (11.) r (lil) + ) V d x ) L \dxdy)
d*
F
1
dy
d y~\ dx J
Therefore the indifferenceperfectly positive. curve (so far as we are concerned with it) is convex to the abscissa.
is
which
for
Now, at the contract-curve the two indifference-curves X and Y touch. Jhus the figure 1, page 28, is proved
to be a correct representation, indicating that a point x'y'
can be found both more advantageous for Y than the point on the contract-curve y 1 ^l (on an interior indifference-curve, as it may be said), and also such that its co-ordinates are the sums (respectively) of the co-ordi-
nates of two other points, both
an X.
These
latter points to
more advantageous for be occupied by x and 2
may be
properly regarded (owing to the

as coincident-,
symmetry
and competition)
Further,
will
it
with co-ordinates
~
2
%2*
appears from previous reasonings that there

{x'y')
be a contract-relation between
and (^
^-);
namely y
^
;
.
*,
\
)
(*
(of
where F'
is
put for the P
y\
2/
IMPERFECT COMPETITION.
37
first
partially derived function

this
(y
;
&'.}
When
relation
is
satisfied the
system of three
2 who might remain in the position reached but for has been left out in the cold. He will now strike in,
with the result that the system will be worked down to the contract-curve again to a point at least as favourx u
;
able for the
Xs
as
~-
%r.
Thus the Ys
will
have lost some
of their original advantage tain process of which this
by competition.
is
And
a cer-
an abstract typical repre-
sentation will go on as long as it is possible to find a point x' y' with the requisite properties. Attention to the
problem
joining
will
show
that the process will

,
come
to a stop
if
at a point
it
on the contract-curve y 2 2 such that
a line
to the origin intersect the curve, the supplecontract-curve as it might be called, mentary
&
in the point
*V
x
(x y)
-m
( u) ^2 2 ;
y'
then
<J>
(f3 y 2 )
= 4> (x
?/'),
provided that
f-
falls
within the indifference-curve for
drawn
through (|2 y 2 ).
If otherwise, a slightly different system
be (still equal-natured) the system can be worked field, down to a point 3 y 3 x whose conditions, are obtained x' y' 2 x 2 y' ._ -JL from those just written by substituting for -^
introduced into the
;
of equations must be employed. and third If now a third
For
this represents the last point at
which 2 Ys can
re-
contract with 3
1
Xs
with advantage to all five.

analysis in
Analyti-
Compare the
Appendix VII,
38
cal
will show that this point is lower down (in In tne limit, of the advantage of Y) than 2 2/2respect when the Xs and Ys are indefinitely (equally) multiplied,
geometry
we shall have (x
<t
y')
coincident with
(^
yj), or as
we may
say for convenience (f 77), satisfying one or other of the Item atives corresponding to those just mentioned.
In case of the
first
alternative
we have
h) v ). Whence by difIn the limiting case h is infinitesimal. And the ferentiating the above equation is obtained.
For
4> (|
v)
<J>
{d
y')
0>
(1
h)
(1
second
alternative
\1 _
^L
-j
not falling within the indif-
first in
ference-curve of Y) is not to be distinguished from the the limiting case.

If this reasoning does not seem satisfactory, it would be possible to give a more formal proof; bringing out
the important result that the common tangent to both indiflerence-curves at the point r\ is the vector from the origin.
By a parity of reasoning it may be shown that, if the system had been started at the north-west extremity of (the available portion of) the contract-curve, it would
have been worked down by competition between the Xs determined by the intersection with to the same point / the contract-curve of^F'a? + ^r j,= 0; for the same point is determined by the intersection of either curve with the contract-curve. For the three curves evidently intersect in the same point. Taking account of the two processes which have
;
been described, the competing Ys being worked down for a certain distance towards the north-west, and similarly
the competing
Xs towards
the south-east
we
see that
in
39
any number short of the practically infinite (if such a term be allowed) there is a finite length of contract-curve, from m y m to xm rj m at any point of which if the system is placed, it cannot by contract or recontract be displaced that there are an indefinite number of final settlements, a quantity continually dimigeneral
for
,
;
we approach a perfect market. We are back again to case (/3), on which some further brought remarks have been conveniently postponed to this place.
nishing
as
(For additional illustrations see Appendix V.)
The two
conditions, $'x
77
obtained correspond to Professor Jevons's two equations of exchange. His formulas are to be regarded as representing the transactions of two individuals in, or
0, just
^^
and
YX + ^F^
subject
to,
the
law
of,
a market.
of plurality
Our assumed
nature in the midst
unity of of persons naturally
The represented two brings out the same result. demand- curves, as each expresses curves may be called
the amount of dealing which will afford to one of the dealers the maximum of advantage at a certain rate of
exchange a value of
*L
This
might be elegantly ex-
rate
pressed in polar co-ordinates, tan 9 will then be the of exchange, and, if P be the utility of X,
( =
)
is
the
demand-curve.
By
a well
known
only
property of analysis
/dV\ =
(
represents
not
points, but minimum points ; the lowest depths of valley, as well as the highest elevations, which one moving continually in a fixed right line from the
maximum
origin over the utility -surface
would reach.
This minito
mum
portion of the Marshall's Class II.
demand -curve corresponds
Mr.
We
see that the dealer at
any given
40
rate of exchange, far from resting and having his end at a point on this part of the curve, will tend to move away
from
it.
It
has not the properties of a genuine demand-
curve.
of an individual in an open market, in which there prevails what may be called the law of
The dealing
the relation between the individual's requirements and that quantity coUectively-demanded-at-a-îice, usually designated by the term Demand, between little d and big D in M. Walras's terminology, is elegantly exhibited by that author. Compare also Cournot on
price,
*
Concurrence.'
Here
the
it is
attempted to proceed without postulating

l
phenomenon of uniformity of
price
by the longer
route of contract-curve.
When we
suppose plurality of
natures as well as persons, we have to suppose a plurality of contract-curves (which may be appropriately conceived as grouped, according to the well-known logarithmic law, about an average). Then, by considerations
analogous to those already employed,
it
may
appear
that the quantity of final settlements is diminished as the number of competitors is increased. To facilitate
conception, let us suppose that the field consists of two Xs. not equally, but nearly equally, natured and of two
;
And (as in the. fifth Appendix) similarly related. let the indifference curves consist of families of concenYs
Then, instead of a single contract-curve, a contract-region, or bundle of contract-curves ; namely the four lines joining the centres of the circleC2 2 wherein d, C 2 systems, the lines CjCj, CjC'g,
tric circles.
we have
C^, C
are the centres of
and
2,
supposed close together
and similarly
1
C'x
and
C' 2 for the Ys.

for rate of exchange in general,
ae
The term will sometimes Le used here by M. Walras.
41
the
What
corresponds here to that settlement of

the
whole
field at a single point in
contract-curve,
which we
had under consideration
in
reasoning
about equal-
natured Xs, may thus be indicated. Take a point i\y)\ on one of the contract-lines, say CjC'i and let X x and Y x
;
be placed there. Let X2 Y2 be placed at a neighbouring such that (1) A\r(\ is point, ^''ii/'i, on the line C 2 C'2 outside the two indifference curves drawn for X and Y 1
;
respectively through Wi (2) indifference-curves drawn for

;
^'ii/i
is
outside the two
and
respectively
through Pii/\.
Fig.
/
2.
__c
c2
Then the settlement cannot be disturbed by an

a
and
simply changing partners, rushing into each other's arms, and leaving their deserted consorts to look out for
only by moving off with the two Xs, as in the previous case by which process the system may be worked down to a neighbourhood describable as 2 y 2 In the limit, when the number of Xs and Ys are increased
new
one
alliances.
Ee-contract can
now proceed
Y
;
but not necessarily equally (suppose mX, if and nY, where m and n are indefinitely large) xr yr represent the dealings of any X, viz. X r and similarly and r) be employed for the dealings of the Ys, we
indefinitely,
;
should find for the

2
:
2m + 2n
variables the
following
m + 2 n equations (1) m + n equations indicating
that each
X and each
42
is
on his individual demand-curve (compare the condition stated below, p. 48), e.g.
d Fr
(x r
dxr
yr) +
d Fr
Jr
(x r
yr )
dy r
of
(the differentiation being of course partial). + n 1 equations indicating uniformity (2)
priced
(3)
=&=
&c.
= h = h = &c
r
7
A last
either
condition,
which might perhaps be
called
par
excellence
the
equation of
, or S?/
Demand
2rj.
to
Supply,
deal-
namely, ings of each and

termined.
If
Sx = 2
all
Thus the
are completely determinate and de-
we
write any individual demand-curve, as p = f (0) and thence obtain two collective demand-curves p = S/(0) and = H (0) substantially identical with those collecp
r
;
transform to polar co-ordinates,
we might
<f>
tive
demand curves
so scientifically developed
by M.
Walras, and so fruitfully applied by Mr. Marshall. Thus, proceeding by degrees from the case of two
isolated bargainers to the limiting case of a perfect market, we see how contract is more or less indeterminate
according as the field

II.
is less
or more affected with the first
imperfection, limitation of numbers.
Let there be equal numbers of equal-natured Xs and equal-natured Ys, subject to the condition that each
can deal at the same time with only nXs, and with only n'Ys. First let n = n'. similarly each
Then, in the light of the conceptions lately won, it appears that contract is as indeterminate as if the field
consisted of only nX.s and nYs that is to say, there are as many and the same final settlements as in that case,
;
represented by the same portion of the contract-curve
COMBINATIONS.
43
between (say) %y and xt). Let n' increase. Contract becomes less indeterminate moving north-west, and
:
the quantity of final settlements being thereby diminished. The subtracted final settlements are most favourable to
the Ys.
Let
n! diminish.
Contract becomes more inde-
terminate; moving south-east, and the quantity of final settlements being thereby increased. The added final settlements are more favourable to the Ys than those
previously existing. The theorem admits
of
being
extended to
the
general case of unequal numbers and natures. in. Let there be an equal number N of equalnatured Xs and equal-natured Ys, and let each set be
formed into equal combinations, there being wXsin each X combination, and n' Ys in each Y combination. First,
let
n'.
Then contract
of
is
as indeterminate as
if
the
as
field consisted
Xs and
n n
less
Ys
in the
same sense
n'
that explained in the last paragraph.
Let
diminish.
as
Contract becomes
indeterminate, in the
same sense
in the last paragraph.
Let
;
n' increase.
Contract be-
comes more indeterminate

being more favourable
existing.
the added final settlements
to the
Ys than those previously
The theorem
numbers, Combination tends

minateness
;
typical of the general case in which natures, and combinations are unequal.
is
to
introduce
or increase
indeter-
and the
final settlements
thereby added are
more favourable
to the combiners than the (determinate or indeterminate) final settlements previously existing. Combiners stand to gain in this sense.
The worth of
tested
this
abstract reasoning ought to be
by comparison with the unmathematical treatment of the same subject. As far as the writer is aware,
44
a straightforward answer has never been offered to the abstract question, What is the effect of combinations on contract in an otherwise perfect state of competition, as
here
ignore the abstract themselves to other asquestion altogether, confining
supposed
Writers either
its tendency to promote &c. in our terms, to render communication, mobility, the competition more normal, and more perfect in respect of extent (diminishing our first imperfection, for such is
; ;
pects of Trade
Unionism
the effect of increased mobility, alike of goods and men). Or, while they seem to admit that unionism would have the effect of raising the rate of wages, they yet deny that the
total
remuneration of the operatives, the wage-fund
(in the intelligible sense of that term), can be increased. But if our reasonings be correct, the one thing from an
point of view visible amidst the jumble of 2 catallactic molecules, the jostle of competitive crowds, is that those who form themselves into compact bodies
abstract
by combination do not tend
to lose, but stand to gain in
the sense described, to gain in point of utility, which is a function not only of the (objective) remuneration, but
also of the labour,
and which, therefore, may increase,

;
as Mr. Fawcett although the remuneration decrease well "sees (in respect to the question of unproductive
Mr. Sidgwick indeed (if the passage already referred to, Fortnightly at any rate some Review, p. 411, ante, p. 33, might be thus construed?) others have observed the momentous dead-lock resulting from the complete solidification of the whole operative-interest and the whole employer-interest
our (a) case, contract unqualified by competition. But this hardly affords any indication of what would happen, or what the writers suppose would happen, when contract is qualified, however slightly, by competition as if, for instance, there were two or three combinations on one side and two or three on the other ; which in view of foreign competition is likely, one might think, to be long the concrete case.
;
Cf. Cairnes
on Trades Unions
(first sections)
Courcelle-Seneuil on
Coalitions.
COMBINATIONS.
45
Manual,' cli. iv.), though he gives so consumption. And if, as uncertain a sound about Trades Unionism.
seems to be implied in
this subject,
much
that has been written on
it is attempted to enforce the argument Trades Unionism by the consideration that it against tends to diminish the total national produce, the obvious
reply
is
that
unionists,
total
as
concerned with the
economic men,' are not Because the total produce.

'
l follow that the diminished, it does not share is diminished (the loss may fall on the labourer's
produce
is
capitalist
and the entrepreneur, whose compressibility has been well shown by Mr. Sidgwick in the article already
referred to) much less does it follow (as aforesaid) that there should be diminished that quantity which alone the the rational unionist is concerned to increase
;
labourers
as
if,
utility.
If this
view be correct, it would seem

'
in the matter of unionism, as well as in that of the
predeterminate wage-fund, the
untutored mind
to the
'
of the
workman had gone more
straight
point
than
economic intelligence misled by a bad method, reasoning without mathematics upon mathematical subjects. iv. Let there be an equal number N of equalnatured Xs and Ys
every contract
parties,
;
made
subject to the condition that to at least n Xs must be by a
and similarly
is
for
an
n' Ys.
First, let
n=n'.
Contract
as indeterminate as if the field consisted of
Xs
Contract becomes and Ys. Let n' increase. n n more indeterminate, and the Ys stand to gain. And conversely.
To
appreciate
the
quantity
of
indeterminateness
likely to result in fact
from these imperfections (operawould require a knowledge ting separately and together)
1
See the remarks in Appendix VII.
46
of concrete
.MATHEMATICAL PSYCHICS.
phenomena
to
which the writer can make
no claim.
It is imperfection applies to Monopolies. as supplying a clue for the perhaps chiefly important, solution of the other cases.
first
The
The second imperfection may be operative

cases
in
many
Suppose a of an equal number of masters and market, consisting subservants, offering respectively wages and service to the condition that no man can serve two masters, ject
of
contract
for
personal
service.
or suppose master employ more than one man established between such parties to equilibrium already
no
be disturbed by any sudden influx of wealth into the hands of the masters. Then there is no determinate, and * very generally unique, arrangement towards which the
system tends under the operation of, may we say, a law of Nature, and which would be predictable if we knew beforehand the real requirements of each, or of the average, dealer but there are an indefinite number
;
of arrangements a priori possible, towards one of which the system is urged not by the concurrence of innumerable (as
called
were) neuter atoms eliminating chance, but has been (abstraction being made of custom) by what
it
the Art of Bargaining higgling dodges and designing obstinacy, and other incalculable and often
disreputable accidents.
managerial work does not admit of being over several establishments, of being sold in distributed bits, it would seem that this species of indetermiuateness
Now,
if
the contract of an entrepreneur with foreman, of a cooperative association of workmen (or a comThis view must be modified bination) with a manager.
affects
shown hy Exceptions are the multiple intersections of Demand-Curves Mr. Marshall and M. Walras.
1
COMBINATIONS.
in so far as
cost
47
managerial wages are determined by the of production (of a manager !), or more exactly l by the equation between managerial wages and the remuneration in other occupations, where the remuneration
is
determined by a process of the nature of

;
perfect competition
tions.
and by other practical consideraany degree of whole interest
third imperfection may have importance up to the point where a
The
(labourers or entrepreneurs)
is
solidified into a single
This varying result may be tolerably well illustrated by the case of a market in which an
competitive unit.
indefinite
number of consumers
(a case
:
are supplied
by varying
properly belonging to our first imperfection namely, limited number of dealers). Starting with complete monopoly, we shall find the
price continually diminish as the number of monopolists increases, until the point of complete fluidity is reached.
numbers of monopolists
This gradual extinction of the influence of monopoly is well traced by Cournot in a discussion masterly, but limited by a particular condition, which may be called
submitted) abstractedly necesin cases of imperfect competition? sary Going beyond
',
'
'
uniformity of'price not
(it is
Cournot, not without trembling, the present inquiry finds that, where the field of competition is sensibly
imperfect, an indefinite that in such possible
;
number
a case
if
of final settlements are

different
final
settle-
ments would be reached
down
1
the system should from different initial positions or contracts.

;
run
The
dom
In virtue of permeability between occupations postulating (1) freeof choice between different occupations, (2) knowledge of circum-
With the latter sort of knowledge (so warmly stances determining choice. impugned by Mr. Cliff LesUe) our free communication about articles of conSee p. 18. tract (in normal market) is not to be confounded.
2
Cf. Walras's Elements,
s.
352.
48
sort
of difference
which
exists
between
Dutch and
English
auction, theoretically
unimportant in perfect
competition, does correspond to different results, different
final settlements in imperfect competition. And in general, and in the absence of imposed conditions, the said final
settlements are not on the demand-curve, but on the contract-curve. That is to say, there does not necessarily
the case of imperfect as there does in the case of perfect competition a certain property (which some even mathematical writers may appear to take for
exist in
in the case all along supposed granted), namely, that of Xs and Ys dealing respectively in x and y if any
XX
give x in exchange for y r he gets no less and no more y than he is willing to take at the rate of ex,
change ^.
though not spontaneously as by perfect competition, should generated by imperfect be introduced ah extra, imposed by custom and conIf,
however,
this condition,
venience, as
case,
no doubt would be very generally the

the property of
indeterminateness,
nevertheless
Only the final plurality of final settlements, will abide. settlements will now be by way of demand-curve, not
powerful trades unions did not seek to fix the quid pro quo, the amounts of labour exchanged for wealth (which they would be
contract-curve.
If, for instance,
it
quite competent to seek), but only the rate of exchange, being left to each capitalist to purchase as much
labour as he might demand at that rate, there would still be that sort of indeterminateness favourable to
unionists
may
1
above described. The geometry of this case be understood from an attentive consideration of
suggests.
As Thornton
Now we
us.
believe, but not because that un-
mathematical writer has told
COOPERATIVE ASSOCIATIONS.
the
fig.
49
typical
4.
illustration
at
the end of Appendix V.,
likely to operate in the case of cooperative associations up to the time when the competitive field shall contain a practically
infinite
The fourth imperfection would seem
number of such
bodies
that
is,
perhaps
associa-
for a long time. To fix the ideas, suppose tions of capitalist- workmen, consisting each
of 100
chiefly
members, 50 contributing
labour.
chiefly capital,
and 50
Let the field of competition consist of 1,000 The point here indicated is that, notindividuals.
withstanding the numerical size of the field, contract will not be more determinate (owing to the fact that all
the
members of
other
the association are in contract with each

usual, each for himself contracting if the field consisted of 10 indi-
not, as
now
with employer) than

viduals.
And
in
a similar result
would hold
if,
with more
generality,
we suppose members
contributing labour
and capital
varying amounts, and remunerated for
their sacrifices according to a principle of distribution ; in the most, or, at any rate, a sufficiently general case,
a function of the sacrifices, the form of the function being a contract-variable, or what comes to much the
same thing, there being assumed a function of given form containing any number of constants, which are
articles
of contract, subject, of course, to the condition sum of the portions assigned is equal to the distribuend. And, similarly, if we introduce different
that the
kinds of labour and other concrete complications. The Determinateness will depend not so much upon the number of individuals as upon the number of
associations in the field.
As cooperative
cceteris
association
becomes more prevalent, no doubt,

indeterminateness
here
indicated
would
paribus, the decrease.
50
Nevertheless, in consequence of the great variety of cooperative experiments, the sundry kinds of contract and divers species of articles, the field of competition
being thus broken up,
it
is
submitted that the

to
rise
of
cooperative with the prevalence of l opinion we may form about the possible regularity in a
distant future.
association
is
be accompanied likely indeterminateness, whatever
Altogether,
if
unionism
is
affected with
of two great coming institutions, tradesthe third imperfection, and
cooperative association with the fourth, and both with the second, it does not seem very rash to infer, if not for the present, at least in the proximate future, a considerable extent of indeterminateness.
what would be the consequence. be conjectured, the reverence paid to may impair, as if worked out by a play competition in whose results of physical forces, impersonal, impartial economists
Of
this inference
it
To
have complacently acquiesced. Of justice and humabut there seemed to comnity there was no pretence
mand
it
But if respect the majestic neutrality of Nature. should appear that the field of competition is deficient
2 in that continuity of fluid, that multiety of atoms which 3 constitute the foundations of the uniformities of Physics;
found wanting, not only the regularity of law, but even the impartiality of chance the throw of a die loaded with villainy economics would be indeed a dismal science,' and the reverence for competition would be no more.
if
competition
is
'
There has been, I believe, observed
in cooperative associations,
with
regard to the comparative remunerations of capital and labour, that dispute without any principle of decision which is the characteristic of contract.
*
3
Above, pp.
5, 18.
Theory of Vortices and Theory of Atoms.
NEED OF ARBITRATION.
There would
of arbitration.
arise a general
51
for a principle
demand
And
this aspiration of the
commercial world would
be but one breath in the universal sigh for articles of For almost every species of social and political peace. contract is affected with an indeterminateness like that
which has been described an evil which is likely to be much more felt when, with the growth of intelligence and liberty, the principle of contract shall have replaced both the appeal to force and the acquiescence in custom. Throughout the whole region of in a wide sense contract, in the general absence of a mechanism like perfect competition, the same essential indeterminateness prevails in international, in domestic politics between nations,
; ; ;
classes, sexes.
creation groans and yearns, desiderating a principle of arbitration, an end of strifes. Corollary. Where, then, would a world weary of
The whole
strife
the moralist
to
seek a principle of arbitration ? In justice, replies and a long line of philosophers, from Plato
;
Herbert Spencer, are ready to expound the principle. But their expositions, however elevating in moral tone,
and of great hortative value
for
those
who
already
their duty, are not here of much avail, where the tiling sought is a definite, even quantitative, criterion ' of what is to be done. Equity and fairness of division
know
of Herbert Spencer, and 2 delighted Dugald Stewart with the appearance of mathematical certainty but how would they be applicable to
are charming in the pages
;
the distribution of a joint product between cooperators ? Nor is the equity so often invoked by a high
for authority on cooperation much more available is the particular principle of distribution recomlohy
; 1
Data of Ethics,
p. 164.
Essays,
Book
II.
e 2
52
(operatives to take net pro-
mended by Mr. Holyoake
duct, paying therefrom a salary to manager, roughly speaking, and to say nothing of capital) more equitable
than an indefinite number of other principles of distribution (e.g. operatives to take any fraction which might have been agreed upon, manager the remainder either
;
party, or neither, paying wages to the other).

Justice requires to be informed
nite principle, as Mill and The star of justice affords
l
by some more
defi-
those who have loosed from the moorings of custom the rays of a superior luminary unless
for
it
Mr. Sidgwick reason no certain guidance
well.
reflect
utili-
tarianism.
But, even admitting a disposition in the purer wills and clearer intellects to accept the just as finis litiam,
and the useful as the definition of the just

that there exists in the higher parts of
human
admitting nature a
tendency towards and feeling after utilitarian institucould we seriously suppose that these moral tions could considerations were relevant to war and trade
;
;
eradicate the
'
controlless core
'
of
human
selfishness, or
exercise an appreciable force in comparison with the impulse of self-interest. It would have to be first shown
the interest of each, an illusion to which the ambiguous language of Mill, and perhaps
that the interest of
all is
Bentham, may have

is
lent
some countenance, but which
for ever dispelled
Sidgwick.
principles
by the masterly analysis of Mr. Mr. Sidgwick acknowledges two supreme Egoism and Utilitarianism of independent
;
authority,
It is far
conflicting
dictates
irreconcilable,
unless
indeed by religion.
from the
spirit of the
to depreciate the
1
importance of religion
philosophy of pleasure but in the

;
See review of Thornton on Labour (as well as Utilitarianism).
PRINCIPLE OF ARBITRATION.
53
present inquiry, and dealing with the lower elements of human nature, we should have to seek a more obvious
more earthy passage, from the principle of self-interest to the principle, or at least the practice, of utilitarianism.
transition, a
Now,
visible to
it
is
a circumstance of momentous interest
sense when pointed out by matheone of the in general indefinitely numerous settlements 1 between contractors is the utilitarian
matics
that
common
arrangement of the
tractors.
articles of
contract, the contract
tending to the greatest possible total utility of the conIn this direction, it may be conjectured, is to
basis of arbitration
be sought the required principle. For the required between economical contractors is
;
evidently some settlement
and the
its
utilitarian
settle-
ment may be
selected, in
the absence of
principle of selection, in virtue of
any other moral peculiarities

:
Where
the
contract- curve
is
() \d xJ
d
( *) \d
yj
- (**) (*Z) = \d x) \d y)
hy the
0,
the
utilitarian
point
has
co-ordinates
determined
equations
the roots of which evidently satisfy the contract-equation.

quite general.
The theorem
is
Here may he the place to observe that if we suppose our contractors to he in a sensible degree not ' economic agents, but actuated in effective moments by a s} mpathy with each other's interests (as even now in domestic,
'
and one day perhaps in political, contracts), we might suppose that the object which X (whose own utility is P), tends in a calm, effective moment where X is a coefficient of effective to maximise, is not P, but P + A n
not of course while rushing to self-gratificasympathy. And similarly ' tion, but in those regnant moments which characterise an ethical method may propose to himself as end n + \x P. What, then, will be the conThe old contract curve between tract-curve of these modified contractors ?
'
narrower limits. In fig. 1, y will have been displaced in a north-westerly and x in a south-easterly direction. As the coefficients of sympathy increase, utilitarianism becomes more pure, (cf. pp. 12, 17), the contract-curve narrows down to the utilitarian point.
jj
'
54
its
all,
satisfying the
l
sympathy the sense of justice and
(such as
it
is)
of each with
2
utilitarian equity.
These considerations might be put clearest in a Let us supparticular, though still very abstract, case.
pose that in consequence of combinations competition fails to determine the contract between entrepreneur
and operatives. The case becomes that described under deadlock between two contracting parties. One (a)
of the parties is indeed here collective but it is allowable for the sake of illustration to make abstraction of
;
this circumstance, to abstract
also the correlated bar-
gains with capitalists, landowners,
&c, and
to suppose a
single entrepreneur in dealing with a single operative. And, first, let it be attempted to arbitrate upon
some principle of doctrinaire justice some metaphysical dogma, for instance, of equality that the entrepreneur shall have an Now, equal share of the produce. is fair division there is no presumption that this
:
'
'
'
'
utilitarianian
in
view of the different character of
the entrepreneur's sacrifice, in view also (if one may be allowed to say so) of a possible difference in the entre8
preneur's capacity
suppose, for instance, that a
more
highly nervous organisation required on the average a
higher
utility.
minimum of means to get up to the zero of As there is no presumption that the proposed
arrangement is utilitarian, so there is no presumption that it is on the contract-curve. Therefore, the selfwill concur to bulge away interests of the two parties from the assumed position and, bursting the cobwebs
;
Assuming as economists assume (see Mill, book II. chap. xiv. s. 7, Walker on Wages, &c), an however slight clinamen from the rectilinearity
of the
2
'
economic man.'
:
unconsciously implicit first principle is Units of pleasure are to be equated irrespective of persons. 3 See p. 58.
Whereof the
Time-intensity
PRINCIPLE OF ARBITRATION.
55
of doctrinaire justice, to descend with irresistible force to some point upon the contract-curve. Suppose that
by repeated experiences of
final
settlements
lie
this sort the contract-curve
has been roughly ascertained

positions
a considerable
number
of
statistically
tabulated.
Now
these
party
his
and
in a reverse order of desirability for each it may seem to each that as he cannot have
in the absence of any definite principle of he has about as good a chance of one of the arrangements as another. But, rather than resort tc
selection,
own way,
some process which may

up, both parties
may
virtually amount to tossing agree to commute their chance of
any of the arrangements for the certainty of one of them, which has certain distinguishing features and the utilitarian peculiar attractions as above described
arrangement.
Or perhaps, considering the whole

1
line of possible
split the difference,' arrangements, they might agree and meet each other in the neighbourhood of the cen-
to
'
tral
point
the
'
quantitative
called.
Well,
first, this
might be quantitative mean would likely

mean,' as
it
to be nearer than the extremes to the utilitarian point ; and, further, this very notion of mean appears to be the
outcome of a rudimentary implicit justice, apt in a 2 dialectical atmosphere to bloom into the qualitative
'
'
'
mean
1
'
of utilitarian equity.
Seep. 135.
Aristotle's metaphysical theory that virtue is a mean between two is analogous to the mathematical theory that a maximum of pleasure
vices
is
a mean between two minima.
So
also Aristotle's notion of
two
species of excellence (dperij),
and more
generally all cases in which there seem to be two (or more) best ways of acting fusing the superlative in a sense analogous to the proper mathematical sense of maximum '), may be cases of multiple solutions of a problem
'
in the Calculus of Variations, the problem of maximum utility. It is difficult to allude to Mr. Todhunter's beautiful and delicate problems
56
Or less specifically may we say that in the neighbourhood of the contract-curve the forces of self-interest being neutralised, the tender power of sympathy and as the gentler forces right would become appreciable
;
of the magnetic field are
made
manifest
when
is
terrestrial
magnetism, by being opposed Upon the whole omitting what
to itself,
is
it
eliminated.
obvious to
a
understand
reasonings
about the
are
to
spirit in
:
which very abstract

a
star
to
be regarded
affording
specify a bygeneral direction, path there may appear, at however great a distance, a general indication that competition requires to be sup-
not a finger-post
plemented by arbitration, and

between self-interested contractors sum-total utility.
the
is
basis
of arbitration
the greatest possible
Thus the economical

culus
;
leads
up
to the utilitarian
cal-
the faint outlines of which, sketched in a previously published paper, may be accepted as the second subdivision of our Second Part.
UTILITARIAN CALCULUS.
Problem.
To
find (a) the distribution of
means and
of labour, the (y) quality and (8) number of popu(/3) lation, so that there may be the greatest possible happiness.
Definitions.
'
(1)
Pleasure
(in
is
used
to
for
'
preferable
authority,
feeling
in
general
deference
high
though the general term does not appear to call up with equal facility all the particulars which are meant to be
without once more inviting attention to the versatile features and almost of that species of Calculus which seems most directly so different from the brutal rigour ascribed applicable to the affairs of men
human complexion
lo
Mathematics by men who are acquainted only with
its
elements.
UTILITARIAN CALCULUS.
57
included under
but rather the grosser 1 feelings than for instance the 'joy and felicity' of devotion). The
it,
Greatest possible hapthe greatest possible integral of the differential piness Number of enjoy ers x duration of enjoyment x degree
is
'
term includes absence of pain.
axiom below). 2 (2) Means are the distributable proximate means of pleasure, chiefly wealth as destined for consumption and
thereof
(cf.
(what
is
conceivable
if
not usual in civilisation) the un-
of unproductive labour. An individual has greater capacity for happiness (3) than another, when for the same amount whatsoever of
purchased command
means he obtains a greater amount of pleasure, and also for the same increment (to the same amount) whatsoever of means a greater increment of pleasure.
This definition of a thing
realised.
'
'
is
imperfectly individuals may enjoy the advantages not for any amount of means, but only for values above a certain amount.
One imperfection
doubtless (like Euclid's) is that some
This
tion.
may be
the case with the higher orders of evoluAgain, one individual may have the advantages
kind of means, another of another. one individual has the advantages in respect of But, most and the greatest pleasures, he may be treated as
in respect of one
if
having more capacity for pleasure in general. Thirdly, the two advantages may not go together. If the higher
'
pleasures, such
1
as those of
affection
and virtue, can

Surely, as Mr.
Compare
the base associations of
'
Utilitarianism.'
Arnold
2
says, a pedant invented the term.
The greatest
possible value of
/ / / dp dn
dt
(where dp corresponds
to a just perceivable increment of pleasure, dn to a sentient individual, dt to an instant of time). The limits of the time-integration are and a, the
present and the indefinite future. The other mined bv the Calculus of Variations.
limits are variable, to be deter-
58
'
hardly be said to come from pleasure- stuff at all (as Mr. Barratt says in his able Note in Mind X.,' often
'
cited below), the enjoy ers
it
is
of
possible (though not probable ?) that the higher pleasures should derive
from the zero, or rather a certain minimum, of means (and a fortiori for all superior values) an amount of
pleasure greater than another class of enjoy ers, say the sensual, can obtain for any amount whatsoever of means
;
while at the same time the sensual obtain greater increments of pleasure for the same increments of means
(above the minimum). In such a case the problem would be complicated, but the solution not compromised.
Roughly speaking, the

of means.
first
;
the theory of population fourth imperfection in the statement of
advantage would dominate the second the distribution
is that the units whose capacities are comare often groups of individuals, as families. With pared these reservations the reahty of the definition may be
the definition
allowed.
But
it
may be
though real, are
first
objected that differences of capacity, not precisely ascertainable, and
secondly artificial, being due to education. But, first, even at present we can roughly discriminate capacity If the higher pleasures are on the whole for happiness.
most pleasurable
which the most scientific l statement appears to have been given by Mr. Sully then those who are most apt to enjoy those pleasures tend to be most capable of happiness. And, as Mr.
fact of
Barratt says, it seems (speaking generally) to be the fact that, the higher a being in the scale of evolution, while greater prethe higher its capacity for pleasure
'
'
cision
might be attainable by improved examinations and hedonimetry. Further it will be seen that some of the
1
Pessimism, note to chap.
xi.
DEFINITIONS.
59
applications of the problem turn
upon supposed, rather
than ascertained, differences of capacity. The second objection, William Thompson's, would hardly now be maintained in face of what is known about heredity.
But
worth observing that his conclusion, equality of distribution, follows from his premiss only in so far as a proposition like our first postulate (below) is true of wealth and labour applied to education, in so far as it is
it is
true that improvement is not proportionately increased by the increase of the means of education.
more capacity for work than another, when for the same amount whatsoever of work done he incurs a less amount of fatigue, and also for the same increment (to the same amount) whatsoever of work
(4)
An
1
individual has
done a
less
increment of fatigue.
This fourth definition

fections as the third.
may present the same imperIndeed the fourth definition is but
both stating relation between means and pleasure. The third definition becomes the fourth, if you change the signs of means and pleasure, put means produced for means consumed and the pains of production for the pleasures of consumption. Or not even the
a case of the third
;
latter change, in so far as labour is sweet (which is far according to Fourier). It is submitted that
very
this
identification confirms the reality of the third definition,
since the reality of the fourth

if
is
we
identify the definitions,
we
undisputed. Of course, must bear in mind that
they are liable to be separated in virtue of the second imperfection above noticed.
Axiom.
Pleasure
;
are commensurable
:
measurable, and all pleasures so much of one sort of pleasure

is
1 Or this When the same amount of fatigue corresponds to a greater amount of work done, and the same increment (to the same amount) of
fatigue to a greater increment of work.
CO
felt
by one sentient being eqnateable to so much of other sorts of pleasure felt by other sentients. 1 Professor Bain has shown how one may correct
one's estimate of one's
own
same principle
senses
;
as
the
pleasures upon much the observations made with one's
how one may

upon the
correctly estimate the pleasures
of others
principle 'Accept identical objective marks as showing identical subjective states,' notwithstanding personal differences, as of activity or demon-
perhaps to be supplemented by a moral differential calculus, the Fechstrativeness.
This
'
moral arithmetic
'
is
method applied to pleasures in general. For Wundt has shown that sensuous pleasures may thereby
nerian
be measured, and, as utilitarians hold, all pleasures are commensurable. The first principle of this method might be Just-perceivable increments of pleasure, of
:
Implipleasures for all persons, are equateable. cated with this principle and Bain's is the following
all
:
Equimultiples of equal pleasures are equateable where the multiple of a pleasure signifies exactly similar pleasure (integral or differential) enjoyed by a multiple
;
number of
persons, or
through a multiple time, or
(time and persons being constant) a pleasure whose degree is a multiple of the degree of the given pleasure. The last expression is open to question (though see
Delboeuf
and
Etude psychophysique,' vii. and elsewhere), not here insisted upon. It suffices to postulate the practical proposition that when (agreeably to Fech'
is
nerian conceptions) it requires n times more just-perceivable increments to get up to one pleasure from zero than to get up to another, then the former pleasure
enjoyed by a given number of persons during a given

1
Emotions and Will, 3rd edition.

Cf.
Wundt, Phys.
Psych., p.
295 above,
;
p. 8,
Appendix
III.
THE UNIT OF PLEASURE.

time
is
61
to be
sought as
much
as the latter pleasure en-
joyed by n times the given number of persons during the given time, or by the given number during the Just so one cannot reject the practical multiple time.
conclusions
of Probabilities, though
one
may
object
with Mr. Venn to speaking of belief being numerically measured. Indeed these principles of ixerp-qriK-q are
put forward not as proof against metaphysical subtleself-evident a priori, or by whatties, but as practical
;
ever
i-rraycoyr)
or #107x09
is
the method of practical

its
axioms.
Let us
inquiries,
l
now approach
separately appropriate postulates.

(a)
is
the Problem, attacking and combined, with the aid
of
The first postulate appropriate to the first inThe rate of increase of pleasure decreases as quiry its means increase. The postulate asserts that the second differential of pleasure with regard to means is
:
continually negative.
differential
is
It
does not assert that the

It
is
first
continually positive. supposable (though not probable) that means increased beyond a It is also supposable certain point increase only pain. do not come from pleasurethat the higher pleasures stuff at all,' and do not increase with it. Of course
'
'
'
there are portions of the utilitarian whole unaffected by our adjustments at any rate the happiness of the
;
stellar populations.
'
But
this
does not invalidate the
postulate, does not prevent our

for
managing our
that
in
'
small
best, asserting peculiar respect thereof there tends to be the greatest possible happiness. The proposition thus stated is evidenced by every-day
the
or
experience
1
experience well focused by Buffon in his
Jevons
See the cumulative proofs of this postulate adduced by Professor in Theory of Political. Economy,
02
1
in
Moral Arithmetic,' Laplace bilities,' William Thompson
his
'
Essay on ProbaInquiry into the
in
his
'
Distribution of Wealth,' and Mr. Sidgwick in the thods of Ethics.'

.
'Me-
'
ratiocination
to
may be confirmed by from simpler inductions, partly common the followers of Fechner, and partly peculiar to
'
This empirical generalisation
All the formulas suggested for the relation between quantity of stimulus and intensity of
Professor Delbceuf.
sensation agree in possessing the property under conwhich is true then of what Professor Bain sideration
;
would describe,
as pleasures of
mere
intensity
coarse
by 1 analogy from the Fechnerian experiments on the senses or by a more a priori law of relation in the sense of
; '
'
pleasures indeed but the objects of much expenditure. Tims pleasure is not proportionately increased by increased glitter of furniture, nor generally by increased whether in the general case scale of establishment
is the function connecting means and such that the increase of means does not pleasure produce a proportionate increase of pleasure but this
;
Wundt. But not only
heightened by the function itself so varying (on repetition of the conditions of pleasure) that the same
effect is
means produce less pleasure. The very parameter virtue "of which such functional variation occurs
in
is
exhibited by Professor Delbceuf in the case of eye-sen2 that a similar variation holds good of pleasures sations
;
in general
is
Bain's
Law
of Accommodation.
Increase
of means then, affording proportionately increased repetition of the conditions of pleasure, does not afford
proportionately increased
1
pleasure.
Doubtless
there
Cf. Fechner, Psychophysik, vol. ix. p. 6.
Etude psychophysique, &c.
LAW OF DIMINISHING
;
UTILITY.
63
are compensations for this loss echoes of past pleasures, active habits growing up in the decay of passive impressions.
Indeed the difference of individuals
in res-
constitutes a large part of pect to these compensations the difference of capacity for pleasure. increased means do not It may now be objected
:
introducing
'
old pleasures, but also by operate solely by repeating also the to new (e.g. travel) compensa' ;
tions
may more than counterbalance the accommodations.

:
It is generally replied
In so far as a part only of hapto its means, the piness increases only proportionately with regard to means second differential of happiness That second differential does not cease to be negative.
cannot be continually negative. Its being negative for If it does affect a space may not affect the reasoning.
the reasoning, one conclusion, the inequality of distribution, would probably (if the pleasure-curve is not
Not only would very complicated) become a fortiori. the less capable receive then still less means, but even the equally capable might then not all receive equal
means.
degrees of capacity for happiness on an abscissa (supposing that the values of a single variable capacity is indicated by
This being postulated,
let
us
mark
off the
if by the values of a function of several variables, the At each degree erect proof differs only in complexity). the number of individuals of an ordinate representing
that degree of capacity. ing to each individual
On
it is
the rectangle correspondrequired to construct a
Let us proceed his means. parallelopiped representing in the first inquiry a the distribuend means to impart tnven distribuend to given distributees doing each a given
amount of labour
by
way
of small increments.
Let
us start with the assumption that each individual has
04
MATHEMATICAL
shall retain that
rSYCITICS.
minimum of means just sufficient to the zero-point of happiness (a conception facilitated by, though not quite identical with,
and
to bring
him up
'
the economical
after
natural
minimum
first
who
shall
have the
of wages '). Thereincrement of means ? By
an individual of the highest capacity (at least supposing the minimum to be the same in all capaWho shall have the next increment of means ? cities).
definition
Another individual of the highest capacity, in preference

to the
same individual by the
postulate.
Thus
first
dividend will be assigned to the first section (all the But individuals of the highest capacity) exclusively.
they will not continue sole assignees.
Their means
only, being continually increased, must by the postulate reach a point such that an increment of means can be
more
first.
felicifically
assigned to an individual of the second
section (the
next highest capacity) than to one of the The second section will then be taken into distri-
bution. 1
Thus
the distribution
of means as between
the
equally capable of pleasure is equality ; and generally is such that the more capable of pleasure shall have more
means and more pleasure.

of unequal distribution is given by a plane curve, in the plane of the capacities and means, say To different distribuends correspond a megisthedone.
The law
megisthedones differing only by a constant. For it is educible from the postulate that there is only one family of megisthedones. We may have any number
of
maxima by
;
family continuous solution.

If
tacking between different members of the but the greatest possible value is afforded by the
we now remove
1
the condition that each individual

?
shall retain his
minimum, what happens
Simply that
Compare
the reasoning in the ordinary Theory of Rent.
DISTRIBUTION OP MEANS.
65
dip below the minimum line. But is improbable that they should dip very low under the minimum at the lower end while they the megisthedones
it
may now
rise
very high above the
minimum
at the higher
end
privations cannot be counterbalanced by any superfluity of refined pleasures. In

since excessive physical
fact, if
we assume
that the zero of
to
infinite pain privation (cf. pleasure and pain), then by investigating the radius of curvature it is shown that, as the distribuend dimin-
of
means corresponds Wundt's curve of
ishes, the
line.
is
megisthedone tends to become a horizontal
In famine the distribution even between unequals abstracted ulterior considerations, as of equality
posterity.
These conclusions
if
may be
affected
by the imperfecfirst
tions of the third definition.
By
the
imperfection,
were not horizontal. Secondly, suppose that the individuals who have less capacity for pleasures in general have a special capacity for partiThe bulk of means will be distributed cular pleasures. there will be a residue distributed as before, but
the
'
minimum
'
line
according to a second megisthedone. The second megisthedone superimposed upon the first will more or less
deform
{e.g.,
it.
Lastly, the unit distributee
is
a married
couple, in respect of
often a group their common
affected, in so far as menage). the most capable groups are made up of individuals not most capable as individuals.
(j8)
The conclusions may be
The
distribution of labour (to
which attention
:
has been called by Mr. Barratt) is deduced by a parity that the rate of reason from the parallel second axiom
of increase of fatigue increases as the
work done inwhich is proved by common experience and creases, (for muscular work) by the experiments of Professor
F
66
Delbceuf
('
Etude Psyche-physique
').
As appears
in-
deed from Professor Delbceuf 's formulas, the first and second postulates are to a certain extent implicated
(whereby the first postulate gains strength). Let us arrange our individuals according to their capacity for work, and proceed as before. Who shall do the
now
first
increment of work
Of course one
of the most
And so on. The distribution of capable of work. labour as between the equally capable of work is equality,
do more work
fatigue.
and
generally
is
such that the most capable of work shall

so
much more work, 1
as to suffer
more
The inquiry presents the same declensions as the first. In particular, cooperatives are to be compared not inter se, but with the similar operatives in similar cooperative
associations
is
except, indeed, so far as the work done a symmetrical function of the effort of fellow- workers.
:
It is
deducible that the rowers of a

;
vrjbs
iicrr)<s
shall
equal fatigue
it is to equated be recollected that the fatigue or pain of work under consideration may be negative.
to that of the
but the fatigue of the pilot is oarsman. All the while
have not to be
(aft)
To combine
the
first
and second
inquiries,
determine by the Differential Calculus the constants of a megisthedone and a brachistopone such that the means
distributed
distributed
by the former may be equal to the work by the latter and that the (algebraical) sum
of the pleasures of consumption and the pains of production may be the greatest possible. Or, ab initio, by the Calculus of Variations, we may determine the means
and fatigue as independent variable functions satisfying those two conditions.

1
This inference requires the second form of the fourth definition, given
in the Note.
DISTRIBUTION OP WORK.
67
/X
where x
is
n [F(x y) p c{y
(js
p) } Id x
if possible,
degree of either capacity, or more elegantly, a third variable in terms of which both caexpressed
;
pacities
x x and x are the given limits of integration (the number and quality of the distributees being not in the present inquiry variable) n is the number of each section F(xy) is a unit's pleasure of consumption, being a function of x his quality (capacity for
may be
is
pleasure) and the independent variable y his means p the unit's pain of work, another independent variable
;
function
relative
c is
maximum
the constant incidental to problems of f(xp) is the work done by the unit,
;
being a function of his quality (capacity for work) and

fatigue (effort).
Greatest possible happiness
= greatest
possible value
n [(x y)
p] d x
greatest possible value of V, c being taken so that

iL1 = f x n[y-f(xp)]dx J
0.
The second term of the
variation of V,
is
Therefore continually negative by the postulates. is when its first term value of the greatest possible The first term of variation, of variation vanishes.
F 2
68
vanishes only
when both
'
Wy/
\dpJ
c'
If these equations hold, the two rules (a and y8) hold. Q.E.D. The combined solution takes for granted that the means of pleasure and the pain of work are inde-
pendent variables. fail to be the case.
And to a certain extent this mayAn individual may want strength or
time to both enjoy the means and do the work which In that case there will the double rule assigns to him. be a compromise between the two rules.
is
third postulate simplifying the third inquiry that capacity for pleasure and capacity for work
(y)
;
The
that they both rise generally speaking go together with evolution. 1 The quality of population should be the
2 that the first improvided highest possible evolution of the third definition does not give us pause. perfection
To advance
the whole population by any the same of evolution is then desirable ; but it is probably degree not the most desirable application, given quantity of a
For it is probable that the of means of education. highest in the order of evolution are most capable of
education and improvement. In the general advance the most advanced should advance most.
postulate essential to the fourth inas population increases, means (the disthat, quiry This is given tribuend) increase at a decreasing rate.
(S)
is
The fourth
by the Malthusian theory with regard

of extractive labour.
to the products
And
this is
sufficient.
For the
second differential of the whole means with regard to

1
See
New and
is
old
Methods of Ethics (by the present writer),
p. 72.
3
s
Ibid. p. 77.
This
not quite accurate.
For a part of the distribuend may increase

by increased pro-
more than proportionately
in virtue of economies effected
UTILITARIAN SELECTION.
69
population is still negative, even though a part of means increase proportionately to the number of population ; for instance, unproductive labour requiring little or no
ballet-dancers), or those manufactured articles of which the cost is not appreciably affected by
materials
(e.g.,
the cost of the

it is
premiss but the hedonical conclusion
raw material. From this Malthusian deduced that population should be limited
;
is
not necessarily of the
same extent as the Malthusian (cf. below ayS). A simple inquiry under this head is the following. Assuming that
the sections (degrees of capacity or orders of evolution) multiply equally, and that each section reproduces
all
exactly his kind, to find the (utilitarian) rate of increase ? more important inquiry is not assuming that (yS)
sections multiply equally, to find the average issue for each section, so that the happiness of the next geneall
ration
may
be the greatest possible.
First let us introduce a conception
more appropriate
;
than was possible under the preceding head namely, that each section does not reproduce exactly its kind,
but that the issue of each (supposed endogamous) secthus

v
tion ranges
,3.
on either
X
side of the parental capacity, as
b
fie
x o
n
;
where
is
the capacity of the
parental section, n
duction.
its
number ( = something
like
Ae
'.At
g~
In the same manner, and for the same may have a plurality of intersections with a vector from the origin (Cf. Mr. Marshall's theorem) corresponding alternately to maximum and minimum reason as a demand-curve
utility, so there
may be
a plurality of values for the sought number of
population, corresponding alternately to utilitarian and pessimistic arrangement. The highest value which satisfies the equation to zero of the first
term of variation must correspond
to a
maximum.
The imperfection
of this postulate does not affect the reasoning based
upon the other postulates.
70
is to be conceived as under a curve of possibility cf. Galton, Queranging Pertelet, &c), v is the number of issue of capacity x. b is constant for all the curves of issue the haps
since the parental generation
variation of
/3
alone determines the natural
maximum,
or artificial limit, of the average issue. But neither the symmetry of the curves of possibility, nor the particulars of this conception, are postulated.
The fifth postulate appropriate

substitute in one generation for
to this case
is
that to
any number of parents
an equal number each superior in capacity (evolution) is beneficial for the next generation. This being granted, either analytically with the aid of Mr. Todhunter's
Eesearches,' or by unaided reason, it is deduced that the average issue shall be as large as possible for all sections above a determinate degree of capacity, but
'
zero for
all sections below that degree. But can we be certain that this method of
total selec-
tion as it might be termed holds good when we provide not only for the next generation, but for the indefinite future ? In the continuous series of generations, wave
propagating wave onward through all time, it is required to determine what wavelet each section of each wave
proximate propagated wave, so that the whole sum of light of joy which glows in the long line of waves shall be the greatest possible. If in
the distant future, agreeably to the views of Herbert Spencer, population tends inartificially to become nearly
stationary if to the contemplator of all time generations fade into differentials we may conceive formed a
; ;
shall contribute to the
equation connecting the population of one generation with the population of its successor and indifferential
1
See Appendix
I.
p. 03.
UTILITARIAN SELECTION.
71
volving an independent variable function, the average issue for each section. By the Calculus of Variations (if the
educed that the average issue shall be as large as possible for all sections above a (for each time) determinate degree of capacity, but zero for all sections below that degree. But a further
calculator
is
not at sea)
it
is
postulate
is
population while the present initial irregular disturbances are far from the tranquil waves of the stationary state. This
'
'
is
required for so long as the movement of not amenable to infinitesimal calculus ;
To substitute in one generation sixth postulate might be for any number of parents an equal number each supe:
rior in capacity (evolution) is beneficial for all time. This postulate being granted, if possible let the most Then a total selection beneficial selection be not total.
can be arranged more beneficial If only we have swum through the waves
!
to a terra
For, Jirma, our position need not appear outlandish. these rules are very general, founded on very first, abstract tendencies, and requiring to be modified in
practice.
Thus our
principle
modified, in so far as endogamy the higher orders of evolution have a greater tendency to reversion (in violation of the fifth and sixth postulates),
of selection might be should not be the rule, if
and so forth. Again, since to exclude some sections from a share of domestic pleasures interferes with the
principle of (a), it could not be expedient to sacrifice the present to the future, without the highest scientific
Again to indicate an ideal, though it can only be approached avQoomivois, may be useful. What approach is useful in such cases 1 is to be determined by Mr. Todhunter's principle. Again, mitigations might be provided for the classes not
1
certainty and political security.
Researches
below
p.
93.
72
selected.
1
MATHEMATICAL TSYCHICS.
In particular, they might have the benefit of almost cut away by the struggle of com-
rule
(/3)
now
;
petition.
Again, emigration might supplement total
emigration from Utopia to some unprogressive country where the prospect of happiness might be
selection
comparatively zero. (ayS) In the preceding analysis (yS) the distribution of means (and labour) was supposed given. But the
reasoning
is
unaffected, if the distribution of
means
is
supposed variable, provided that the later postulates are not affected by that distribution. And this they might be on Mr. Doubleday's hypothesis. But in Herbert
Spencer's
more probable view of the
relation of affluence
to populousness, the first rule (a) will
become a fortiori. Under this head may be considered the question What is the fortune of the least favoured class in the Utili:
tarian community ? Let us consider first the case of emigration for the benefit of the present generation. Let us start with the supposition, however inappropriate,
that the distribuend does not vary with population as in an isolated island where the bounty of nature could
;
not be affected by
human
exertion.
The happiness of the present generation may be

symbolised
n [F(# y)
rp
c y]
dx +
where
is
is
notation
the given distribuend and the rest of the as above (a/3). By the third postulate x x is
given as the highest existing degree of capacity. What remains variable is # , the abscissa of emigration. At
1
'
Galton, monasteries/ &c.

Cf.
The weak could
find a
welcome and a refuge
in celibate
also Sully, Pessimism, p. 302.
THE LEAST FAVOUKED

the limit ~F(xQ y
CLASS.
73
cy
first
0.
Now
c is positive, for it
equals f-y),
the
differential
of
\dy J
regard to means, which (presupposed a utilitarian intelligence) is probably never negative (above Postulate I.).
pleasure \
with
But
this is
not postulated.
Only,
if
is
negative,
we
'
are dealing with the external case of the inquiry,
determining
a
what
sections
shall
if
immigrate from our
unprogressive country.' plethora of means that their happiness would be increased by a diminution of their means, then immigration will set in until the point of satiety be at least
repassed.
tive.
For
the Utopians have such
Then
c is positive,
and y
is
essentially posi-
Therefore
~F(x
is
positive.
It
cannot be zero,
the zero-point of pleasure corresponding to a positive minimum of means.
of the least favoured class is This conception assists us to conpositive happiness. ceive that a similar answer would be obtained if the
increase of the distribuend with increasing population
In this case
the conditio n
were small. Small in

of the
least
relation
to
the
megisthedonic
share
favoured
class.
Write the distribuend

the effort of each unit
nf(xpN)dx
Xq
where
is
worker, so far supposed given as a function of x

ndx.
is
Differentiate the
x
it*
Substitute x for x and distribuend with regard to x Then the call the curve so presented the Malthusian.
.
condition of the least favoured class
is
positive, zero, or
74
negative happiness, according as at the limit the ordinate of the Malthusian is less than, equal to, or greater than that of the megisthedone.
Our uncertainty as to the condition of the lowest class increases when we consider the case of selection for
the benefit of the next generation. Let ?i=(j>(x) be the curve of possibility for the preC Tl (X Let v Be/ sent generation. j$ x 9 be the curve
-^
of issue.
of issue for capacity where B is the natural maximum Then n\ the line of possibility for the next
;
I
generation,
iifth
is^
is
I
Xq
<j>(x
+ z)dz, where by
the
postulate x\
;
given as the highest existing degree

,
of capacity
selection.
what is variable is # the abscissa of total The happiness of the next generation
l
Ii
= /
J oc [n
(F(xy)cy)]dx + cT>, where
ex is
a con-
venient designation for the utmost extent of variation x is given by the variation in the Darwinian sense. 1 clR =0 from which it is by no means clear equation
;
that the condition of the least favoured in the second
generation is above zero. In fact, the happiness of some of the lower classes
be sacrificed to that of the higher classes. And, again, the happiness of part of the second generation
may
be sacrificed to that of the succeeding generations. Moreover (it is convenient, though out of order, here to
may
add) our uncertainty increases when we suppose the laboriousness also of population variable. Nothing indeed appears to be certain from a quite abstract point of
THE LEAST FAVOURED
CLASS.
75
View, except that the required limit is above the starvingboth because in the neighbourhood of that point point
;
there would be no
sideration
work done, and before should come into force and above it
because
that con-
much
It
the pleasures of the most favoured could not weigh against the privations of the least favoured. (Cf.
Wundt's pleasure-curve.)
may be
admitted, however, that a limit below the
zero of happiness, even if abstractedly desirable, would not be humanly attainable whether because discomfort
;
in the
totle,
lower classes produces political instability (Aris&c), or because only through the comfort of the
lower classes can population be checked from sinking to the starving-point (Mill, &c). Let politics and political
economy
fix
some such
limit
above
zero.
If
now Hedo-
But if abstract Hedonics point to a limit below that hard and fast line which the consideration of human Simply that populainfirmity imposes, what occurs ?
well.
nics indicate a limit
still
superior (in point of comfort)
tion shall press
up against that
this
line
without pressing
it
back.
(/3yS)
Under
head should be considered whether
rule
with rule (yS). And this (ft) does not interfere upon Mr. Herbert Spencer's theory of population it
do. 1
would
to
The present then may have

;
to be sacrificed
the future
it is
though
in
general
how much
of the
present as nice a
ence.
expedient to sacrifice to the future must be question in political, as in personal prud-
(a/3yS) Contemplating the combined movements we seem to see the vast composite flexible organism, the
play and the

readjusted,
1
work of whose members
by degrees advancing up
are continually the line of evoluiii.
Contrast, however, (Jhampagny, Les Antonins,
p. 277.
76
tion
;
the parts about the front advancing most, the
members of the other extremity more slowly moving on and largely dying off. The final shape of the great
organism, whether its bounding line of possibility shall be ultimately perpendicular, whether the graduation of
a Greek sense) aristocracy, or the level of modern revolution, is the ideal of the future, is still perhaps a
(in
judgment. Utilitarianism, indifferent about the means, with eye undistorted by

subject
prepossessions, looks only to the
more
for prejudice than
supreme end.
Corollaries.
(I.)
to first
application of these inquiries is principles (II.) to subordinate rules of con-
The
duct.
The end of conduct is argued to be Utilitarianism, Methods of Ethics,' by deducing from that general principle maxims of common
I.
as exactly defined in the
'
perhaps as the constitution of matter is proved by deducing from the theory experimental laws. What inferior accuracy in the moral universe indeed But
sense
; !
before that inferiority should prejudice, let
it
be settled
what degree of accuracy was here to be expected. No one would listen to Professor Clerk Maxwell iridavokoyovvTos about the atoms without a mathematical correspondence of his theory and the facts. But we have a
large experience of the progress of Physics it is well seen how she goes but is the movement of Morals so
;
by her method Whatever the method for Universal Eudasmonism prescribes no dogma about the origin of her supremacy affiliated as readily to practical reason as pure passion, the Faith of a Green or Ideals of a
!
familiar that the true science should be manifest
'
'
'
'
Grote
faith
whatever
to works,
it
our
faith,
when we descend from

criterion
for
requiring
alternative
actions,
may
be divined that
we
shall not far err in
PROOF OF UTILITARIANISM.
following, however 'Methods of Ethics.'
distantly,
1
77
of
the
the
procedure
then Equality, the right of equals to equal advantages and burdens, that large section of
Consider
first
distributive justice, that deep principle upheaves the crust of convention.

en
which continually
7roXXao)J/ 7ro\la>i> KariXvcre Kapr/va

tj8'
(cat XiKrei'
tov ydfi Kpdros
e'crrt
piyurTOV.
All this mighty moral force is deducible from the practical principle of exact Utilitarianism combined with
the simple laws of sentience (a and /8). But Equality is not the whole of distributive justice.
There may be needed an aia
for
Now
inequalities of
fortune abstracted
unequal distribution.
the
cases of
for
governor and general and every species of trustee

of others are
the advantage generally explained by utilitarians as the consequence of conventions clear and fixed and preventing confusion and encouraging production, but not otherwise desirable, or rather of which Yet in the minds of many the necessity is regretted.
good men among the moderns and the wisest of the

ancients, there appears a deeper sentiment in favour of the privilege of man above aristocratical privilege
brute, of civilised above savage, of birth, of talent, and This sentiment of right has a ground of the male sex.
of utilitarianism
supposed differences of capacity. Capacity for pleasure is a property of evolution, an The grace of life, essential attribute of civilisation (a). the charm of courtesy and courage, which once at least
in
distinguished rank, rank not unreasonably received the

Pp. 90, 346, 392, &c, 2nd edition. Of. Buftbn, Moral Arithmetic n'est en general qu'un raisonnement implicite moins clair, mais souvent plus fin et toujours plus sur que le produit direct de la raison.' (He is proving our first postulate.)
1
:
'
Le sentiment
78
means to enjoy and to transmit (a). To lower classes was assigned the work of which they seemed most capable the work of the higher classes being different 1 If we supin kind was not to be equated in severity.
;
pose that capacity for pleasure is an attribute of skill and talent (a) if we consider that production is an unsym metrical function of manual and scientific labour (/3)
;
we may
more agreeable work, of skill and talent. The aristocracy of the aristocracy of sex is similarly grounded upon the supposed superior capacity of the man for happiness, for the evepyelai of
action and contemplation
;
see a reason deeper than for the larger pay, though often
Economics may
afford
upon the sentiment
Woman
Are
is
as moonlight unto sunlight
the lesser man, and her passions unto mine and as water unto wine.
to
Her supposed generally inferior capacity is supposed be compensated by a special capacity for particular
emotions, certain kinds of beauty and refinement. Agreeably to such finer sense of beauty the modern lady
has received a larger share of certain .means, certain a sub finem). But galluxuries and attentions (Def. 2
;
lantry, that mixed sentiment which took its rise in the It is exancient chivalry,' has many other elements.
'
plained
by the
polite
Hume
as attention to the
weak,
and by the passionate Eousseau ^vo-j/oorepws. 4 Now attention to the weaker sex, and woman's right not only to certain attentions in polite society but to some exemption from the harder work of life, are agreeable to the
theory that the stronger should not only do more work, but do so much more work as to suffer 5 more fatigue where fatigue must be suffered (ft). It
utilitarian
:
Cf. Livy,
2
ii.,
p. 32,
(3.
Burke.
See note,
p. 66.
Essay, 14.
Emile,
iv.
PROOF OF UTILITARIANISM.
79
may
be objected
wanting a natural instinct predisposing to the duties of benevolence there has been wanting also a fixed criterion of strength to
;
from the stronger sex. But in the
to the
consideration should equally be due weaker members of the same
latter case there is
fix the associations of duty and, lastly, competition has interfered, while competition between man and woman has been much less open (and much less obviously useful to the race). Altogether, account being
;
taken of existing, whether true or false, opinions about the nature of woman, there appears a nice consilience
between the deductions from the utilitarian principle and the disabilities and privileges which hedge round
modern womanhood.
Utilitarian also is the custom of family life, among other reasons, in so far as (contrasted with communistic education) it secures for the better-born better educational
influences
(y)
in particular a larger
life.
share of
good
society in early
life,
The universal
principle of
the struggle for
as
Mr. Barratt
may suggest, conduces
to Utilitarian selection.
This being borne in mind, there
appears a general correspondence between the population-theory above deduced (yS) and the current ethics
of marriage, which impose x only a precedent condition, success, hereditary or personal, in the struggle for life.
Concerning the
classification of future society,
common
sense anticipates no Utopia of equality. Physical privations are pitied the existence of a subordinate and
;
less fortunate class
of Providence.
does not seem to accuse the bounty With the silence of common sense accords
the uncertain sound of exact Utilitarianism (ayS). But, if egoist or intuitivist are not to be altogether
1
In respect to population. ' Cf. Burke on the labouring poor,' in Regicide Peace,
3.
80
converted by the deductive process of Mr. Sidgwick, at least the dealing with his exact definition may tend to mark out and reclaim from the indefinite one large
of conduct, one of the virtues of the inrational tuitivist, one of the gratifications of the egoist benevolence. For can there be a rational wish to please
field
common
without a willingness to estimate the duration of the

pleasure, the susceptibility, as well as the number, of the pleased ?
Exact Utilitarianism may also, as Mr. Barratt thinks of Politics as plausible, present the end of Politics
;
based upon
self-interest.
A political
interests
'
contract
'
for the
should have two adjustment of conflicting It should be clear and fixed, universally qualities. It should be such that interpretable in the same sense.
the naturally
fewer,
more powerful class, those who, though outweigh the more numerous by strength, ability,
to co-operate, should not have reason to think that they would fare better under some other Two contracts present these qualities the contract.
and capacity
rough and ready

first
^socratical, the exact possibly aristo-
cratical, Utilitarianism.
The
first
contract excels in the
quality
the second in the second.
That the same reasonings should lead up to a general principle and down again to its applications that the theory should be tolerably certain, the practice is not more paradoxical than that indefinitely remote
II.
the demonstrator of the atom-theory should foresee the remote possibility of its application, no less a possibility
than to triumph over the second law of Thermodynamics. 2 The triumphs of Hedonics, if equally conceivable, are equally remote but they do not so certainly become
;
Compare the
Clerk-Maxwell, Theory of Heat,
Corollary of the Economic Calculus. p. 308.
APPLICATIONS OF UTILITARIANISM
81
more conceivable when considered more remote for what if in the course of evolution the subtlety of science
;
should never overtake the subtlety of feeling
Faint
and vague and abstracting many things which ought not to be abstracted, the Hedonical Calculus supplies
less a definite direction
than a general
bias,
here briefly
and
diffidently indicated. The end of action being defined as above, the Jacobin
'
'
ideal
All equal All equal and rude,' J. S. Mill's ideal and cultivated,' are not necessarily desirable, not para-
mount ends to be sought by revolution or the more tedious method of depopulation. Pending a scientific
hedommetry, the principle
'
Every man, and every

(if
woman,
plied.
to count for one,' should be very cautiously ap-
In communistic association
such should be)
the distribution of produce should be rather upon the Universal equal principle of Fourier than of Owen.
suffrage
is less
conferred
votes likely to be approved than plural not only (as Mill thought) upon sagacity,
for
life is
but also upon capacity for happiness.

to be encouraged, within limits, without in the present state of society, prejudice to the supremacy of the supreme principle.
The play of the struggle
Mr. Barratt indeed from the same premisses, the

:
utility
of competition, infers a different conclusion that Utilitarianism should resign in favour of Egoism. But surely the inference is, not that the Utilitarian should change
his destination
from Universal
to Egoistic
Hedonism
;
(points toto ccelo apart, as the chart of Sidgwick shows) but that, while constant to his life's star, he should tack
at least) more considerably (in the present state of storm than the inexperienced voyager might advise. No one can misunderstand this self-limitation of Utilitarianism for it has been explained by Mr. Sidgwick least of all
'
'
82
for a similar delegation, without abdication, the Egoist of the supreme command is much more necessary in the
case of the supremacy of self-love (Butler, &c). Lastly, while we calculate the utility of pre-utilitarian
are impressed with a view of Nature, not, as in the picture left by Mill, all bad, but a first are biassed to a more approximation to the best.
institutions,
we
We
conservative caution in reform.
And we may have

so
here
not only a direction, but a motive, to our end.
Nature
is
judged more good,

allowed
1
more
For, as potent than the
great utilitarian has
are the motives to
mo-
rality which religion finds in the attributes of God.

1
Mill, Essays on
Nature and
lielif/ion.
APPENDICES,
I.
ON UNNUMERICAL MATHEMATICS.
It seemed undesirable to load our opening pages with a multiplicity of illustrations which, if the writer's views are correct,
would be superfluous to the mathematician, and, in any case, might be uninteresting to the a^sio/Jbsrp'qTos. Indeed, the nature of the subject is such that a single instance by a mathematical induction,' as it has been called a sort of
'
'
'
single
representative-particular
authenticated
instance
of
mathematical reasoning without numerical data is sufficient to establish the general principle. However, it may be well to add a few words of exposition after first precising the point at issue by citing on our side the father of Mathematical Economics, as the representative of the contrasted view the very able
author of a review (on Prof. Jevons'
ferred to.
'
Theory
')
already re-
' L'une des fonctions les plus importantes Cournot says de l'analyse consiste precisement a assigner des relations determiners entre des quantites dont les valeurs numeriques, et meme les formes algebriques, sont absolument inassignables. D'une part, des fonctions inconnues peuvent cependant jouir de proprietes ou de caracteres generaux qui sont connus, par exemple, d'etre indefiniment croissantes ou decroissantes, ou
: '
d'etre
periodiques, ou de n'etre reelles qu'entre de certaines
limites.
semblables donnees quelque imparfaites qu'elles paraissent, peuvent toutefois, en raison de leur generalite meme, et al'aide des signes propres a l'analyse, conduire a des relations
De
egalement generates, qu'onaurait difficilement decouvertes sans

1
Theorie des Rirhesses, p. 61.
See also Preface,
p. viii.
g 2
84
ce secours.
APPENDICES.
O'est ainsi que, sans connaitre la loi de decroisseen partant du seul principe que
ment des
forces capillaires, et
ces forces sont insensibles a des distances sensibles, les geo-
metres ont demontre

capillar
it
e, lois
'
The
tell
les lois generales des phenomenes de la confirmees par l'observation.' can Saturday Review' (Nov. 11, 1871)
:...' We
that one pleasure is greater than another ; but that does not help us. To apply the mathematical methods, pleasure must
;
be in some way capable of numerical expression we must be able to say, for example, that the pleasure of eating a beefsteak is to the pleasure of drinking a glass of beer as five to four.
The words convey no
particular meaning to us ; and Mr. Jevons, must instead of helping us, seems to shirk the question. remind him that, in order to fit a subject for mathematical in-
We
quiry, it
is
not sufficient to represent some of the quantities
concerned by letters. If we say that G represents the confidence of Liberals in Mr. Gladstone, and D the confidence of Conservatives in Mr. Disraeli, and y the number of those
parties
;
and
infer that
,.
.
Mr. Gladstone's tenure of

,
.
office
i
depends
i
upon some equation involving
-=
d G
dx
and
dD -=
dy
we have merely
wrapped up a plain statement in a mysterious collection of The reader is referred to the whole article as typical letters.'
of the literary method of treating our subject. Thus, again, ' the equations to be legitimate, seem ., assuming them to us to be simply useless so long as the functions are obviously
. . .
indeterminable.
They
are merely a roundabout
way of
'
express-
ing what
And, again, he wraps up his mysterious conclusions in symbols which are mere verbiage, as they contain functions which neither are nor can be
may be
better said in words.'
determined.'
Compare Mill
festly inapplicable
Such principles (mathematical) are maniwhere the causes on which any class of phe*
nomena depend are so imperfectly accessible to our observation, that we cannot ascertain by a proper induction their numerical
laws.'
1
Compare
its
also the
'
exclusive
1
upon algebra and adaptation to the subjects for which it is comspirit of his
remarks
Logic, book
iii.
chap. xxiv.
p. 9.
Book
iv.
chap. vi. p. 6.
UNNUMER1CAL MATHEMATICS.
monly employed, namely, those
of which
85
investigations
the
have been already reduced to the ascertainment of a relation between numbers.' Compare also the views of Comte to which
he
refers.
sufficient to
that already cited in the text seems single instance oppose to this popular impression about the limits
of mathematics.
Thomson and
Tait,
in
their
'
Treatise
on
Natural Philosophy,' p. 320, discuss the problem of a ball set in motion through a mass of incompressible fluid extending infinitely in all directions on one side of an infinite plane, and After constructing the Lagrangian equations originally at rest.
from (what may be called in reference to numerical measureprinciples suffiments) a priori considerations, they go on cient for a practical solution of the problem of determining P and Q will be given later. In the meantime, it is obvious that each decreases as x increases. Hence the equations of motion show several deductions which are truly most remarkable and very suggestive,' e.g. (in an analogous problem), that two balls
'
: '
'
to attract one another.
properly projected in a perfect incompressible liquid will seem It is suggested, I think, that a certain
hypothesis as to the ultimate constitution of matter corresponds with the observed phenomena of attraction.
tical
here is the type of mathematical psychics. The pracsolution of the problem of determining P and Q,' functions denoting quantities of pleasure in terms of external ob'
Now
jects (means,
&c), is not yet given. But certain properties of such functions are given. Thus, if P be a person's pleasure considered as a function of x his means, it is obvious (compare
the premises of
as
Thomson and
at
Tait's reasoning) that

;
increases
-^
increases, but
a decreasing rate
whence
con-
tinually positive.
d P - ax 2
continually negative.
And from
such
data mathematical reasonings show several interesting results. It has been suggested that a certain hypothesis as to the ultil
mate principle and supreme standard of morals corresponds (to an extent not usually noticed) with the observed phenomena of
human
action.
1
Above,
p. 4.
80
APPENDICES.
One can imagine how

might be
in criticising the
facetious the
'
Saturday Reviewer
'
method employed by Thomson and
Tait in the above example, namely, mathematical deduction without numerical measurement. As we are not able to say that P is to Q as 5 to 4, the argument 'conveys no particular
meaning
to us.'
In employing -=
dV d
-r-^,
'
we
have
merely
wrapped up a plain statement in a mysterious collection of letters.' Doubtless, I reply, what we know of P and Q might have been stated unmathematically in a roundabout literary fashion but that statement, as compared with Thomson's, would not be a plain statement, nor appropriate nor serviceable. For this same symbol-speech, so harsh and crabbed as compared with literary elegance, is gifted with a magical charm to win coy truth the brief and broken language which the love of abstract truth inspires, no doubt foolishness to those who have no
; ;
sympathy with that passion. What need to multiply illustrations of what is self-evident that mathematics, of which the very genius is generalisation, without clipping into particulars, soars from generality to geneI shall attempt, however, to illustrate a little more rality the method of mathematical physics, hoping that the fully professed mathematician would pardon in an amateur particular Si modo plura mihi bona sunt,' if only the general errors,
!
'
view
is
correct.
we obtain an expression for an wave involving two (almost) independent arbitrary atmospheric 2 Without suppofunctions, (n at + x). (n 6 at x) + the forms of < and i/r to be known, we may deduce subsing
the theory of sound
</>
On
-v/r
1 Here may be the place to notice the Saturday Review's criticism upon Professor Jevons's formulae for the ' law of indifference that his symbols
'
needlessly complicate the plain and simple facts of the market. But the most potent instruments of research are open to similar criticism. The so-
may no doubt appear to literary common sense a very artificial and complicated statement of some such simple fact, as that matter cannot enter or leave a given space without crossing its boundary. But how fruitful of deductions is this formula in connection
called
'
equation of continuity
'
with other symbolic statements, needs not acquainted with the kinetics of fluids. 3 Airy on Sound, pp. 23, 28.
to tell to
any one, even moderately
stantial conclusions
;
87
stopped at both
1
as that,
when
a tube
is
I ends, the forward and backward waves are of identical form. would not, however, insist too much on this particular instance,
and the very large

all
class
of similar physical problems, as in
For no doubt it respects typical of psychical reasoning. may be said that the data from which the expression for wavedisturbance was deduced, the differential
ing' 5
equation k -4
;
express-
the motion of a particle of air *

is
dt 2
is
dx 2
k
, '
that this
of
premiss
of the nature of numerical precision
made up
factors supposed at least approximatively measurable ; whereas (some of) the data of psychics consist of loose general relations,
the fact of increase or decrease, positive or negative, possessing not even that degree of grossly approximative accuracy, 3 beyond
which even Professor Jevons in his illustrations of mathematical reasoning does not appear to extend his view. At the same
time,
if
we
disturbance, then the
consider as premiss the integral equation for the method of psychics is fairly well exem-
pKfied by the employment in the theory of sound and elsewhere of arbitrary functions ; a conception, one might suppose, which had never been entertained by those who object to
mathematics' inability to deal with the complexities of social science as if any degree of complexity might not be attributed
;
to an arbitrary function.
But
it
would exceed the
ability
and requirements of the
present writer to justify the method above postulated (deduction from loose and numerically indefinite relations) by a general review of the uses of arbitrary functions ; it will suffice
to show the validity of the method in two provinces of mathematics least distant from the sphere of psychics I., the theory of natural forces and energy ; and II., the calculus of varia-
tions.
of natural forces assumes, directly or by as a first or proximate principle, that the attraction implication, or repulsion between two particles is some function of the
I.
The hypothesis
distance between them.
From
this loose indefinite relation,
without knowledge of the form of the function, the most im1
Airy,
p. 78.
-1
Id. p. 21.
Principles of Science.
88
APPENDICES.
As a very simple example portent conclusions may be deduced. Without take the motion of a particle round a centre of force.
knowing the form of the force-function, we deduce that equal areas are swept out by the particle in equal times, that the motion is one plane, that the velocity is inversely proportional to perpendicular from centre upon tangent, and so forth.
No doubt
indefinite
it
may be
objected that while there
is
something
and loose
in the premisses, the hypothesis of natural
forces, there is also
something definite and precise,
for instance,
firstly,
the very conception of uniform acceleration.
But
the
hypothesis in question
would generally be admitted to hold of the systems of matter immediately concomitant with mental phenomena, so that the deductions therefrom may well be of great psychophysical interest (especially in view of the analogies And again, it to be suggested between energy and pleasure).
is
nothing
not to be supposed that the data of social science have While there is something in them indefinite 'precise.
loose, there is also
1 ;
something definite and precise for inis only one price in a market, a proposition which possesses that degree of at least approximative precision, which is generally, and supposed to be And statisuniversally, characteristic of applied mathematics. tical data, as Professor Jevons has pointed out, admit of the same sort of precision. In fine, the objection applies at most to our dynamical illustrations, not to those which will be pre-
and
stance,
the
'
law of indifference,' that there
sented by pure analysis, by the calculus of variations.
The great theories relating to energy present abundantly mathematical reasoning about loose indefinite relations. Conservation of energy is implicated with such a relation, the mutual attraction of particles according to some function of the distance between them. The principle of conservation of
energy affords instances of what
diction in
is
vulgarly supposed a contra-
once mathematically and rra-^vXws, obtaining by mathematical deduction a general idea of a state of motion. Suppose a swarm of particles so moving under
terms, of reasoning at
natural forces that they are
now
all
clustered near each other,
now all fly asunder to a distance, then from the principle of the conservation of energy we obtain the general idea that the
1
As
aforesaid, p. 5.
89
movements of the particles are on an average more rapid, or more correctly their kinetic energy is greater, when they swarm
together than
when they
1
Peculiarly typical
maximum and
are widely dispersed. of psychics are the great principles of minimum energy. That a system tends to its
least potential energy, this principle affords us in
innumerable
instances a general idea of the system's position of rest ; as in the very simple case of equilibrium being stable when the
centre of gravity is as low as possible. Thus, without knowing the precise shape of a body, we may obtain a general idea of
its
position of equilibrium. From the principle of least action
we
infer that a particle
under any (natural) forces constrained to move on an equipotential surface will so move that its path from point to point is of maximum or minimum Without knowing the length.
precise law of the forces, the precise shape of the potential surface, we may thus obtain a general idea of the motion.
The
1
great Bertrand-Thompson
maximum-minimum
prin-
The comparison between pleasure and energy may be viewed under two aspects first (than which not more is asserted here), as not known to be more than a metaphor, yet elegant and convenient, like the hypothesis of fluids in electricity, or the now abandoned but still interesting (Thomson
;
'
'
Tait) corpuscular theory of light ; secondly, as in the text (pp. 9-1 5) a deep or real analogy, the maximum of pleasure in psychics being the effect concomitant of a maximum physical energy.
&
and
The comparison assists us to conceive what appears to some inconceivable, that equality is not a necessary condition of greatest happiness. Energy is the product of mass and the square of velocity. Therefore the importance
of any part of a system, with respect to the total energy, depends not only on its mass, but on its velocity. In the system, consisting of discharged rifle and shot bullets, there lives more energy in the little whiffling bullet
than the heavy recalcitrant rifle. And, indeed, the smaller the bullet, the greater c&teris paribus its energy. So, in the social system, we must accustom ourselves to believe that the importance in respect to the utilitarian
greatest possible quantity of each class
its
numbers.
More energy of
guage of Aristotle, may

the rest of Hellas, in
is not necessarily in proportion to pleasure, more evepyelai in the oracular lanin Athens than exist in one poet than many boors
; ;
Hellas than Barbaria
in a century of the age of
Phidias, than a thousand years of the declining Roman Empire. No doubt this property is implicit in the definition of integral pleasure as defined, for instance, in the third Appendix. But the conception of an integral
is
not, perhaps, so familiar to the unmathematical as not to desiderate
illustration.
90
ciples
APPENDICES.
and their
statical
analogues present abundant instances
of mathematical reasoning about loose, indefinite relations. know, in each case, that the energy of a system to which
We
impulses (or
or
finite forces)
minimum
have been applied is the maximum Without knowing consistent with certain data.
the data precisely, we
may
obtain certain general ideas of the
arrangement of energy in the system under consideration. Thus, if the masses of any part or parts of a material system are diminished, the connections and configuration being unaltered, the resulting kinetic energy under given (however
complex and undefined) impulses from rest must be increased. If the stiffness in any part or parts of the system be diminished, the connection remaining unchanged, the potential energy of deformation due to given force applied from without will be
1
Diminution in the premisses, increase in the So again, I think, if conclusion, loose, indefinite relations certain velocities be imparted by impulses to the bounding
!
increased. 2
surface of an incompressible liquid, we may obtain, without having more than a general idea of the distribution of these
given velocities, a general idea of the resulting motion, by reasoning, from the Thomsonian principle, that the motion of
the liquid
is
un-rotatory, that the motion of each particle
is
perpendicular to a certain velocity-potential surface passing through it, one of the series of such surfaces being the
two paragraphs principles the arrangement (of social institutions, &c.) productive of maximum pleasure holds. Without deducing precisely ivhat this best arrangement is, we may obtain mathematically a general idea of it as that one arrangement is better than another.
bounding
surface, &c.
Compare with the
last
the reasonings in moral science.
By
first
Upon analogous
that, if there
principles in statical electricity,
we know
be a given distribution of electricity over the conductors in a field, the strains throughout the dielectric are such that the potential energy of the whole system is a minimum. 3 We may not know the precise form of the functions which express the distribution of electricity over the conductors
;
much
1
less, if
we had
3
these data, would

Co-ordinates.
we be
able to
Watson & Burbury, Generalised

Ibid,
Clerk-Maxwell, Electricity, Arts. 98, 09.
91
calculate the potential, the function whose respective differentials shall give the strain in each direction at any point. Yet it is something both tangible and promising to know
1
mathematically that the potential energy is a minimum. That something is the type of what mathematical psychics have to teach. Analogous remarks are applicable to the somewhat
2 analogous theorem of minimum energy of electric currents ; in a higher dimension, as I think it may be said, and of the nature of what may be called momentum-potential rather than
force-potential. II. It is the first principle of the calculus of variations that a varying quantity attains a maximum when the first term, of
variation vanishes
while the second term
is
mutandis,
for
minimum).
The
latter condition is
negative (mutatis one of
those loose, indefinite relations which we have been all along describing. In the simple cases which in the infancy of Mathe-
matical
3 Psychics are alone presented in these pages, we know by observation not %vhat the second term is, but that In more complicated cases the reit is continually negative.
definite numerical,
sources of mathematics are exhausted in calculating, not a but a loose, indefinite relation, the sign
The reader should consider Jacobi's of the second term. method of discrimination, as stated, for instance, by Mr. Todhunter 4 and Mr. Todhunter's application of the same to a particular problem, 5 and realise how a mathematical
;
may turn upon the loose, indefinite relations of or negative, convex or concave. Consider also the many positive directed of Mr. Todhunter's i Miscellaneous Observations
reasoning
'
tions
through the calculus of variaparamount importance, constituting-, indeed, all the difference between a maximum and minimum. You find continually, in the statement of a problem,
to
the
same
relation.
is
All
the
relation
of
Compare Mill's
:
in Social Science
2
3
4
5
Logic, book impossible.
or rather Comte's double objection against Mathematics that the premisses are unattainable, and the reasoning
iv. ch. 24, p. 9.
Clerk- Maxwell, Art. 283.
See above, pp. 61-65.

Researches in the Calculus of Variations, pp. 21-26. Ibid, pp. 26-30.
92
APPENDICES.
the condition that a required curve shall be, or shall not be, convex so rough and unshaped are the materials with which
'
is able to build. Now this very relation of connot a whit more indefinite in psychics than in physics, cavity, constitutes a main pillar of utilitarian calculus ; quarried
mathematics
from such data as the law of decreasing utility, of increasing fatigue, of diminished returns to capital and labour; for the exact statement and proof of which the reader is referred to the economical writings of Professor Jevons and Principal
Marshall.
It
may
be said that the former condition of a

lately,
maximum
mentioned
character.
tion to zero, is
the equation of the first term of variaof a definite precise rather than a loose indefinite
But, again, it is to be repeated that all the data of mathematical psychics are not indefinite, but only (as in the case of physics) some. Accordingly, from this equation to zero, combined with an indefinite datum, the increase of one quantity with another, of capacity for happiness with evolution, we may deduce another indefinite quantitative relation, namely, in2 crease, or diminution of share of means in utilitarian distribution. There are two other leading principles of the calculus of variations which seem calculated to illustrate the method of
psychics.
First, a consideration of first principles (prior, it
'
may
be observed, to any particular measurements or determination of the forms of functions), shows that if the Haupt Gleichung,' as Stranch calls it, the leading in general differential equa-
tion,
which must be
satisfied in order that the first
term of
variation should vanish, breaks up into factors, there are, or rather may be, 3 several solutions, several different functions,
each corresponding to a maximum or minimum. (In the simple cases alone presented in these pages, or rather in the
companion paper, in which the expression whose maximum is sought does not involve any differential co-efficients, say
7r
(y x)
d x between
;
limits,
where y
is
an independent
variable function
then,
if
dF dy
breaks up into factors, there
-'
Researches in the Calculus of Variations, pp. 80, 117, 286. 3 Todhunter's Researches, p. 262. Above, p. 68.
will
93
in
general,
think, be
multiple solutions.)
curve
between two given points required to fulfil some maximum condition may be discontinuous, may be made up of the different solutions, one step according to one law, and the next step But the different laws or function, according to another law. thus be employed successively, are not to be though they may mixed and compounded. Any one portion of the required curve
1
must
and subject to the exceptions of the following paragraph), obey some one of the laws supplied by the solution It is submitted that this property of the Haupt Gleichung.
(in general
has
its
counterpart in
human
affairs
the fact that there are
sometimes two best ways of attaining an end if the superlative best may be employed in a technical sense analogous to the To realise the best, one or other superlative maximum. course must be adopted, not a confusion of the two.
The
remark.
subject of discontinuity leads
up
to another general
It is not universally necessary that the first term of It suffices for a maximum that the variation should vanish.
first
term of variation should be known to be negative (and Such knowledge is generally the obversely for a minimum). as in Mr. Todhunter's problems result of imposed conditions
;
that a curve
must not pass outside a given boundary, must not It is submitted that exclude a given point, must be convex. such complicating imposed conditions have some analogy with
the conditions imposed by necessity upon practical politics and For Qpovrjais has often to be conapplied utilitarianism.
tent not with the best course, but the best subject to existing conditions. Compare the subtle spirit of Mr. Todhunter's
calculus of variations with the subtle, and as the ' plain man might almost suppose, sophistical spirit of Mr. Sidgwick's
'
method
of utilitarianism, when actual world in which we live.
it
comes to be applied to the
The
is
abstract
maximum,
;
in
psychics as
w ell
r
as in physics,
comparatively simple
but
the concrete is complicated by imposed conditions; and the complexion of a wise benevolence, in view of each established constitution, custom, church, is affected with a congenital resemblance to the wily charms of the calculus of variations.
1
Todhunter, passim.
94
APPENDICES.
II.
ON THE IMPORTANCE OF HEDONICAL CALCULUS.

objected that mathematical psychics, though are not valuable ; I say valuable rather than, what possible, might be understood in a too restricted sense, useful. For
It
may be
no philosophical objector would maintain that the love of the soul for the universal is then only legitimate, when it has been
blessed with the production of the useful. The love of the soul for the universal is undoubtedly capable of extravagance, as in the devotion of Plato to the idea. 'Amor
ipse ordinate
amandus
est.'
But the
limits are to be traced
by
a loving hand, and not to be narrowed by a too severe construc-
The great generalisations of mathematics have perhaps been pursued and won less for the sake of utiHty to be Certainly the superior produced, than for their own charm.
tion of utility.
genius who reduced the general dynamical problem to the discovery of a single action-function was as much affected by the ideal beauty of ' one central idea,' as by the practical conl
sequences of his discovery.
Thomson and
Tait, it
In the example first cited from might have happened that the generalised
'
co-ordinates employed did not yield that ' first vindemiation of Yet the Lagrangian conception truth above described (p. 85). of considering the energy of the whole system as a function of the position and velocities of the immersed bodies would still
have been legitimate, and great, and promising. The Grossenian, the Jevonian thought of referring economics to pleasure as the central idea might be equally splendid, though unfruitful. And so Mr. (x. H. Darwin, in his review of Professor Jevons's
'
2 Economy,' appears, not without reason, to prefer the mathematical method on theoretical, abstracted from practical,
Political
grounds.
3 himself admits that the mathematical be useful, though not indispensable. If so, the method might
Professor Cairnes
Sir William R. Hamilton, Philosophical Transactions, 1834, 1835.
8
3
Fortnightly Review, 1875. Preface to Logical Method,
IMPORTANCE OF ITEDONICS.
95
in economics might be position of the mathematical method to that of quaternions, which calculus, even compared, perhaps, if it conduct to no theorem not otherwise deducible, yet, in the
competent judges, deduces theorems already elegantly and, as it may be said, naturally and philosophically, than the blind and elephantine formulas usually employed for the purpose. At any rate, is it for one who is not conversant with both methods to offer an opinion on their
opinion of some
!
known more
to declare forbidden, without having himself ; trodden, the sublimer path ? But is the method unfruitful in social science ? The black
relative value
list
in our appendix
'
may show
the possibility that mathema-
here no guide, but still a guard.' But I go further, and challenge the aysoyfxsrprjros to answer the following examination paper.
tical
reason
is
Social Problems to be solved without Mathematics.

1.
fertility,
communistic society owns land of varying degrees of which land it cultivates so as to obtain with a given
Suppose the quantity of labour the maximum of produce. of labour at the disposal of the community to be quantity
suddenly increased, how will the new labour be distributed ? Will more or less additional labour be employed on any acre according as it is more or less fertile, or otherwise ? 2. When Fanny Kemble visited her husband's slave planta-
found that the same (equal) tasks were imposed on the women accordingly, in consequence of their weakness, suffering much more fatigue. Supposing the husband to insist on a certain quantity of work being done, and to leave the distribution of the burden to the philanthropist, what would be the most beneficent arrangement that the men
tions, she
the
men and women,
should have the same fatigue, or not only
more
task,
but more
fatigue
3.
species, those whose of production (do not diminish or) increase as the expenses
1
Commodities being divided into two
Cf. Tait,
Cf. Mill's
Edinburgh Philosophical Transactions, 1825.

Theory of equal
sacrifice in taxation.
90
APPENDICES.
amount
increases and those whose cost of production diminishes with the amount produced ; show that it is abstractedly expedient to tax one of these species rather than the other, and even to tax one so as to bounty the other (Marshall's
theorem).
4. Commodities being divided into two species, according as a slight decrease of price is, or is not, attended with a considerable increase of demand, which species is it abstractedly preferable to tax ?
'
5.
The labour market, from an

on each
indefinite
number
of masters
and
transformed by tradesunions and combinations of masters into a small number of competing (corporate) units on each side. Can this transformside, is
men competing
ation be advantageous to both sides ?

6. It has been said that the distribution of net produce. between cooperators (labourers and capitalists associated) is Discuss this question. arbitrary and indeterminate. 7. Mr. Sidgwick in the 'Methods of Ethics' (iv. chap, i.), having defined the utilitarian end as the greatest possible sum of pleasures, proceeds to observe that with a view to this end
means
equal distribution of happiness, though not necessarily of the of happiness, is desirable. Assuming what the author's
note seems to imply (cf. ' Methods of Ethics,' p. 256, 2nd edition), that individuals have their happiness differently related to means, derive different amounts of happiness from the
and
same means show that to attain the end defined happiness its means must be either both equally or both unequally
;
distributed.
There are those no doubt who see nothing in all this, turning away contemptuously from such questions, as the dog when you try to put him on a scent which nature or discipline has
made to him insignificant. The professed mathematician, it must be owned with regret, is not unlikely to be in this numBut the professed mathematician, however infallible a ber.
guide upon the purely mathematical side (and sure to find many errors in these pages should they be so fortunate as to come
1
See Notes on Exchange Value, by H. Cunvnghame,
p. 9.
IMPORTANCE OF IIEDOXICS.
97
under his notice) is not necessarily an infallible guide over the untrodden pass here supposed to exist between the heights of physics and psychics, supposing that his attention has not been
directed to psychological problems. Nevertheless, great authority of the masters of the supreme science.
is
the
of the mere metaphysician need give us The noble Hegelian, from the transcendental heights whence he looks down upon Newton, might smile at
The authority
less pause.
much
the attempt to estimate quantitatively pleasure. A notable authority forsooth, this demolisher of Newton, upon the science
of quantity and its limits ; and notable authorities and judges of authority are those his followers, whose chosen philosopher and guide is not only blind to truth in her clearest manifestation,
but also, what is even more unphilosophical, is ignorant of his ignorance and vain of his inanity. Non ragionam di lor. As the Olympian Zeus, defied by Here and Athena, addresses
his
rebuke not to the inveterately obstinate one, but only to the
rebellious goddess of
"Up?)
'
wisdom
ovti Toaov vejiecri&Tai ov8i \o\ovTai'

oi eoodev (viKh.au otti vorja-r)'
aul yap
so a
serious
argument
sense
is
is
addressed not to the incorrigible
mystic.
Common
addressed and
may be
persuaded,
it
is
hoped, to forego its prejudices against this sort of calculus. There is the old prejudice still reviving, however often slain, against the reign of law in psychology, as incompatible with the
higher feelings.
lished,
and
of
will not
But it is too late. The reign of law is estabbecome more oppressive to feeling by be-
coming mathematical.
sight
And
again,
common
is is
it
such terms as hedonism,

as metaphysical.
whole
affair
But,
sense, catching apt to dismiss the to be insisted, the
is concerned are no metaphysical shadows, but the very substance of modern civili-
materials with which exact social science
sation, destined, doubtless, ere
long to become embodied in
practical politics
Quantity of labour, quantity of pleasure, equality of sacrifice and enjoyment, greatest avernê happiness, these are no dreams of German metaphysics, but the
leading thoughts of leading Englishmen and corner-stone con-
and morals.
98
ceptions,
APPENDICES.
upon which rest whole systems of Adam Smith, of Bentham, of John Mill, and of Henry Sidgwick. Jeremy Are they not all quantitative conceptions, best treated by
means
of the science of quantity ?
III.
ON HEDONIMETRY.
definite as
It has been shown that some of the data of physics are as insome of the data of psychics. And yet it may
be admitted that there is a potentiality of precision about even the looser physical demonstrations which gives them a In physics, when we deal with an indefinite certain prestige.
and
(to revert
to
an
earlier
example), there
is
some
' understanding that principles sufficient for a practical solution of the problem of determining P and Q will be given later.'
in psychics we are so far from expecting, that it seems doubtful whether we can even conceive precise measurement.
Whereas
Yet the
conceivability at least
may be thought
necessary to
mathematical reasoning.
possibility, or,
what
is
must then carefully consider this much the same thing, the existence and
We
nature of a unit of pleasure. There is, no doubt, much difficulty here, and the risen and hedonism may still be science is still obscured by clouds
;
in the state of heat or electricity before they became exact 1 Let us, however, sciences, as described by Professor Jevons.
following in his footsteps, endeavour to gain as clear a view as may be. At least it is hoped that we may sight an argumen-
tum ad hominem, an argument
to the
man who
(with Professor
Jevons), admitting mathematical reasoning about self-regarding of mathematically pleasures, denies the possibility comparing Let us accordingly, with reference different persons' pleasures. to this question of /MeTprjTiKrj and pleasure-unit consider separately the quantitative estimate which a his own pleasure, (II.) of other people's.
1
man
can form
(I.)
of
Theory of Political Economy,
p. 9.
HEDOXIMETRY.
I.
'
99
Jevons (writing exclusively of of measurement), ' may be treated as a quantity ' Now, when it is asked, In virtue of of two dimensions.'' what unit is one intensity said to be greater than another ?
Utility,' says Professor
the
first sort
'
Just perceivable increments of pleasure are equatable,' which may be shown, perhaps, by that sort of internal experience and handling of ideas which seems
*
the answer must be, I think,
to be the
method
let
of attaining mathematical axioms. 2
For
if
possible
one just perceivable increment be preferred to
Then it must be preferred in virtue of some difference of pleasurability (non-hedonistic action not existing, or not being pertinent to the present inquiry). But, if one of the increments exceeds the other in pleasurability, then that one is not a just perceivable increment, but consists of at least two
another.
such increments. Of course such a way of turning the subject has no pretence to deduction. The stream of thought * meanders level with its fount.' Turn the matter as we please, there
must, which
be postulated some such equation as the above, may be compared, perhaps, to the first principle of 3 probabilities, according to which cases about which we are
I think,
equally undecided, between which we perceive no material difference, count as equal ; a principle on which we are agreed to
act,
but for which

It
it
might be hard to give a reason.

are here leaving the terra
It
must be confessed that we

of physical analogy.
firma
may plausibly be objected, the just perceivable increment, the minimum sensibile, is not treated
Let us suppose as a unit in the cases with which physics deal. that for the same objective increase of temperature or weight (as estimated by the approved methods of physics) I have at
different times, or with different organs of In one sense, certainly subjective estimates.
my
body, different
quantities are the same.

bilia
is
In another sense,
is felt is.
more usual, the the minima sensi-
being equated, what contended, not without hesitation,
And
is
this latter sense, it
appropriate to our sub-
ject.
The increments
1
in question are, I think, to be viewed as

p. 51.
2
3
Of.
Theory of Political Economy, Bain on Axioms.
Laplace, Essai Philosophique sur
les Probabilites,
5th
edit., p. 7.
100
finite differences, rather
APPENDICES.
than as genuine differentials (a concepwhich need not militate with the employment of the notaThe conception might be tion of the differential calculus).
tion
1
by that of a force just sufficient to turn a balance overcoming friction. Why, however, each inclination of the
illustrated
treated as equal by the rational intelligence, of this, as already intimated, no proof is to be expected.
will
is
Indeed, the equation, or equatability, in question exists not in fact as in the limit of perfect evolution. The imdoes not treat a unit of pleasure in the perfect intelligence
so
much
future as equal to one in the present. Abstracting from the of the future, the mere circumstance of futurity uncertainty
affects the estimate of a pleasure; which depreciation the Jevonian factor q 2 denotes, as I understand. Now it is only in the ideal limit that q becomes equal to unity. So far about the dimension of intensity. As to the dimension of time a similar line of remark is open. The same obtime may correspond to different rates jective (say horological)
of thought and feeling at different periods, as Locke intimates. 3 It is conceivable that two states, presenting to conscious-
same number of inte7isity-increm.ents above zero, And perhaps some states, intellectual exercise in particular, which philosophers have distinguished as more good, though not more pleasurable, than In dreams, the rate seems high, the others, may so differ. And so a pleasure would have not only two low. intensity dimensions, as Professor Jevons says, but three dimensions, namely, objective time, subjective time, and intensity. And yet the correction may not seem very important, for probably it is more competent to consciousness to combine into a single mark the two considerations of rate and intensity.
ness
the
should differ in this rate of flow.
Suppose one state presents about three pleasure-increments, another about two, above zero, that the rate of the former is double that of the latter, their objective duration being the
1
See the remarks of Clerk- Maxwell,
'
Essay on Atoms,' Encyclopaedia
Britannica, p. 38. 2 Theory of Political

3
Economy, p. 78. Compare As You Like it, Act iii. sc.
2,
and elsewhere.
Cf.
Mr. Sully's
remarks on Illusions of Perspective.
HEDONIMETRY.
101
same, is it better to give two marks to each state, say three and two to the former, two and one to the latter, and then to mulor by a sort of unconscious multiplicatiply the marks of each tion to mark at once six and two about for the comparison not of pleasures as to quantity is here admitted to be vague than the comparisons made by an examiner as vaguer perhaps to excellence, where numerical marks are usefully employed.
;
precise the ideas, let there be granted to the science of pleasure what is granted to the science of energy ; to imagine
l
To
an ideally perfect instrument, a psychophysical machine, continually registering the height of pleasure experienced by an
individual, exactly according to the verdict of consciousness, or From rather diverging therefrom according to a law of errors. moment to moment the hedonimeter varies ; the delicate
index
now flickering with the flutter of the passions, now steadied by intellectual activity, low sunk whole hours in the neighbourhood of zero, or momentarily springing up towards
infinity.
continually indicated height is registered by or other frictionless apparatus upon a uniformly photographic moving vertical plane. Then the quantity of happiness between
is
The
two epochs
represented by the area contained between the
zero-line, perpendiculars thereto at the points corresponding to
the epochs, and the curve traced by the index ; or, if the correction suggested in the last paragraph be admitted, another dimension will be required for the representation. The integration must be extended from the present to the infinitely future time to constitute the end of pure egoism.
II.
Now
it is
the same sort of
here contended that there are as many, and difficulties, in this estimate of pleasures by
the sentient himself (which is yet admitted by Professor Jevons, and substantially by common sense), as in the estimate We have only to modify our axiom of other people's pleasures.
thus:
Any just perceivable pleasure-increment experienced by any sentient at any time has the same value. The same primal mystery of an ultimate axiom hangs, no doubt, over this utilitarian, as over the egoistic, first principle. The equation is only true in the limit of perfect evolution.
The
variation of subjective time for different individuals,

1
See Clerk-Maxwell, Theory of Heat,
p. 139,
102
APPENDICES.
for
presents no greater difficulty than the variation

dividual.
one in-
may be equally well illustrated by ideal have only to add another dimension expressing the number of sentients, and to integrate through all time and over all sentience, to constitute the end of pure
integration
The
mechanism.
We
utilitarianism.
It may be objected that the just perceivable increment is given by consciousness in the case of one's own pleasures, only inferred in the case of others. It may be replied, greater
1
uncertainty of hedonimetry in the case of others' pleasures may be compensated by the greater number of measurements, a
wider average
to the theory of probabilities, ; just as, according greater accuracy may be attained by more numerous observaThe proposition, ' the tions with a less perfect instrument.
for pleasure,' is
is accompanied with greater capacity proved by taking a wide average rather than by the self-observation, however accurate, of a single, perhaps
exercise of higher intellect
exceptional, individual.
IV.
ON MIXED MODES OF UTILITARIANISM.

distinction between egoism and utilitarianism has been drawn with matchless skill by Mr. Sidgwick. But it has not been observed that between these two extremes, between the frozen pole of egoism and the tropical expanse of utilitarianism, there has been granted to imperfectly-evolved mortals an inter-
The
mediate temperate region ; the position of one for whom in a calm moment his neighbour's happiness as compared with his own neither counts for nothing, nor yet ' counts for one,' but
must modify the utilitarian integral (Appendix III.) by multiplying each pleasure, except the pleasures of the agent himself, by a fraction a
counts for a fraction.
as defined above
We
This
is
a distinction insisted on
on utilitarianism.
Data of Ethics,
by Mr. Herbert Spencer,
in his
remarks
p. 57.
MIXED UTILITARIANISM.
factor doubtless diminishing with
103
what may be called the social between the individual agent and those of whose pleasures he takes account. There is not much more difficulty about this intermediate conception than about the extremes. The chief difficulty is one which is common to the extremes, presented by the phenomena which Mr. Sidgwick describes as the self-limitation of a method. For example, in a life ordered according to the method of pure utilitarianism there may be tracts of egoistic
distance
when the agent gives full swing to self-interest, leaving out of sight his utilitarian creed. The test whether such an agent is really a pure utilitarian would be, I suppose,
action, times
whether on having his attention directed to the alternative between methods, having collected himself, in a cool moment, he would or would not calmly and deliberately sacrifice his own It seems superfluous to greatest happiness to that of others. labour a point which has been explained by Mr. Sidgwick. Yet that there is some difficulty about this rhythm between sovereign and subordinate method may be inferred from the Thus, Mr. Spencer appears to expressions of able thinkers. employ as an argument against utilitarianism the utilities of 'For his wife he has smiles, and jocose self-indulgence. the self-indulgent non-utilitarian. speeches,' and so forth But, if self-indulgence and the not taking account of the general good has such an agreeable effect, the intelligent utilitarian will cultivate a temporary relaxation and forgetfulIt never was meant that he ness of his supreme principle.
l
a wet
should wrap himself up in his utilitarian virtue so as to become 2 blanket to his friends. It never was meant, as Austin
says, that the sound utilitarian should have an eye to the general good while kissing his wife. In order that one's life should be subordinated to the general good, it is not necessary that the general good should be always present to conscious-
have an hour to prove a theorem at an examination, keep the quod est demonstrandum continually before the mind, but to let the mind range among theorems which may serve as premisses. If a man has a day to write an article, though the whole time may be consecrated to
ness.
If I
I shall do well not to
Data of Ethics, chap.
xi.
See Mr. Spencer's gloomy picture.
104
APPENDICES,
the purpose, it may be expedient to banish the purpose during refreshment or exercise. You cannot disprove the authority of utilitarianism by proving the utility of egoistical, or any other,
practice.
To argue, then, that the utilities described by Mr. Spencer could not be grafted upon pure utilitarianism would imply a ' different conception of a method of ethics from that which may be derived from Mr. Sidgwick's great work. That as a
'
matter of fact the utilities of egoistic action do not now spring from a root of pure utilitarianism would be freely here admitted ; agreeing with the view suggested that the concrete nineteenth
century
man
is
for the
most part an impure
egoist, a
mixed
utilitarian.
And the reconciliation between egoism and altruism, gradual process and ideal limit beautifully described by Mr. Spencer, would be upon the view suggested here, the transfora physical change in what hedonico' -magnetic field.
mation of mixed into pure utilitarianism, the psychical side of may be dimly discerned as a sort of
V.
ON PROFESSOR JEVONS'S FORMULAE OF EXCHANGE.

Professor Jevons's formula, ^'
tical
~ f
i
'
=
:
(y)
-,
is
almost iden-
with our
"{ y (x,y)
)
'
".
Almost
for the notation here
is slightly more The utility is regarded as general. a function of the two variables, not the sum of two functions of The inquiry suggested at p. 34, near foot, could not each. have been suggested by Professor Jevons's formula. Our for-
employed
also is adapted to take account of the labour of 'producthe 'complicated double adjustment' glanced at by Protion, fessor Jevons. 3
mula
Let x manufacture the

>
,
article
which he exchanges
3
for y.
Above,
p. 14.
Theory,
p.
108.
Theory, p. 203.
FORMULAE OF EXCHANGE.
Then (by a
105
violent but not dangerous abstraction) his utility
may
be written
where
e is
the objective measure of labour
{e.g.
time of work)
(e) is the subjective

;
measure of work, the toilsomeness of

e.
fatigue
/ (e)
is
the produce, corresponding to

it
Now,
]
as e is
partial
not an article of contract,

differential with regard
appears that
-=-
the
to e
e
Hence, by eliminating
must always be equated to zero. we come on our old form F (x y), or
F ( x,
This
y), as it is
'
convenient here to write.
complicated double adjustment'
maybe illustrated by
a brief reference to that interesting

trade.
phenomenon pointed out
by both Mr. Marshall and Mr. Walras, unstable equilibrium of

dealer in
polar
From the point of view here adopted the utility of a x may be written P = F ( x, y). Transformed to co-ordinates P = F ( p cos 0, p sin 0) when tan Q expresses
;
the rate of exchange.
The demand-curve
is
= 0.
J
For
this locus expresses the utmost amount of dealing to which the dealer will consent at any given rate of exchange, the amount
for
which his
utility is a
maximum
at that rate.
But the locus
also expresses positions for which the utility is a minimum at any given rate. And this part of the locus is not in a genuine
Each point represents a position not which the dealer will not consent to change, but which he would by all
demand-curve.
means wish
to change.
By
is
a general property of analysis the
maximum and minimum
any vector. This property connected with the property of alternately stable and closely unstable equilibrium of trade. There are, however, I think,
points are arranged alternately along
unstable positions where
-^
=
J
does not correspond to a
e.g. Mr. Marshall's figure 8. But the most important sort of instability is perhaps that which may be presented in the case of (Mr. Marshall's) Class of which, as I take it, the definition connects two properties II
minimum,
100
APPENDICES
(1) diminution of value in exchange upon increase of exports, with (2) diminution in the expense of production upon increase
of wares produced for exportation. It is interesting to see from our individualistic point of view how these two properties are
connected.
The
.
analytic condition
this condition
of the first
property
is
_2_
(
=+
For
must hold from the point P,
where the property in question
sets in (see figure) to the point

3.
Fig.
P 2 where
,
the property ceases.
At each
of these points
-^ =
'
0.
The
analytic condition of the second property of Mr. Marshall's

-
definition (the first in the order of his statement) is
*y-2
de
where
(as before) e
is
the objective measure

e.
of labour, /(e)
is
the amount of product corresponding to

It
may
d
be shown, then, that

positive.
fd P\
(
-^_
can only be positive
when -=3/f
1
is
For, agreeably to previous notation, put

;
Other than that which the produce itself presents e.g., length of time during which a uniform muscular energy is put forth by a workman.
107
F = F(f(e) pcos 6,p sin#) /

condition
(
(e).
Then we have always the

rd Pi 2 -^ subject
to this
fd P \ ~
= 0, and we have to find

J
condition.
Now,
as 6
is
whereas
e is
considered as a variable, dependent on p,

-y
throughout treated as constant, it will be
convenient to denote the object of our inquiry as
d2 P
without
brackets, denoting by brackets differentiation, which is partial with respect to p, does not take account of e's variation. With
notation,
-=
W
to
(|f)=0,g
be
found
(g)
(-)
where
is
dp
" () = ( ^)_ \d eJ \d e J
from the equation to zero of
J
-,
'
Whence
= dp'
d* F
\dpdeJ
F\
(d t
Therefore
dj
|* dp
2
f^-sY^Y \dp \dpdeJ

l
\d e 2 /
de 2
Now we may
when
2
be certain this expression can only be positive
is
-^
positive, if
we are
certain of the laivs of sentience

]
which were postulated on a previous page. For, writing a for f(e) (the a employed in Professor Jevons's equation of exchange), and y for p sin 6, we have
(dF\
[
\dp
^ J = da cos -^
,
d2 F
2
2 /,
+2
,
d2 F
(<hl\= da2 \de 2 J

where
it
Z\dJy +il M da de \_dej

2
1
dady
a a sin 6 cos 6
.
+ -^ dy
,
dJ?
2
sin
0.
the right-hand side.
does not seem necessary to bracket the differentials on Substituting these values in the expression
Page
34.
108
for
APPENDICES.
d2P
dp
we
see that that expression is certainly negative

:
upon
these conditions
2
(1)
-^
-,
-jB-j
(both) continually not positive.
d2 F
(2)
dady
da
j>
(3) -7-
continually not negative.
(4)
>>
>5
de2
(**)
^2
condition
is
no ^ P 0S îve.
secured by Professor Jevons's law of
The
first
diminishing utility, our first postulate (see p. 61). The second condition is an interesting variety of the same ; that the rate of increase of utility derived from one sort of
wealth diminishes with the increase of other sorts of wealth. The third condition imports that utility at least does not
decrease with increase of wealth
;
which in a
civilised
country
may be
allowed.
is
The fourth condition

1
Professor Jevons's law of increasing
toilsomeness of labour, our second axiom (see p. 65).
If then these laws of sentience hold,

five
-r
P d 2
es
can only be posi-
/r
when
d
cy
tion
however abstract and typical a form of the more complicated phenomena of the market to the simple laws of
sentience
is
in
-^ is e
2
positive.
It is
submitted that this subordina-
not without interest.

:
the formulae here emwith a general, and perhaps it ought to be added ployed, along a filial, resemblance to his, present two points of contrast which deserve especial attention: (1) Graphical illustration
But
to return to Professor Jevons
has been more largely employed here. Now in some sense pure Analysis may appear to be the mother-tongue of Hedonics ;
which soaring above space and number deals with quantities of

1
Theory,
p.
185.
109
pleasure, employing the Calculus of Variations, the most sublime branch of analysis, as Comte, Caiaphas-like, called the branch most applicable to Sociology. But on the other hand
1
the differential equations which occur in the theory of exchange are of such a peculiar character that it is rather difficult, as may presently appear, to handle them without geometrical
apparatus.
In this respect at least Mr. Marshall's preference

2
for geometrical reasoning would seem to be justified. (2) It has been prominently put forward in these
pages has place only where there is competition, and, indeed, 'perfect competition. Why, indeed, should an isolated couple exchange every portion of their respective commodities at the same rate of exchange ?
that the Jevonian
'
Law
of Indifference
'
Or what meaning can be attached to such a law in their case ? The dealing of an isolated couple would be regulated not by
the theory of exchange (stated
p. 31),
but by the theory of
simple contract (stated p. 29). This consideration has not been brought so prominently forward in Professor Jevons's theory of exchange, but it does
His couple of dealers are, I take not seem to be lost sight of. clothed with the property of ' Init, a sort of typical couple, difference,' whose origin in an 'open market' is so lucidly
described
3
;
not naked abstractions like the isolated couples
imagined by a De Quincey or Courcelle-Seneuil in some solitary Each is in Berkleian phrase a * representative partiregion. cular;' an individual dealer only is presented, but there is presupposed a class of competitors in the background. This might safely be left to the intelligence of the reader in the But in dealing with exceptional general case of exchange. cases (pp. 132, 134), a reference to first principles and the presupposition of competition would have introduced greater precision, and suggested the distinction submitted in these pages
&c), namely, that exchange is indeterminate, if either bodies (qua individual or qua union) (1) one of the trading or (2) the commodity supplied by one of the dealers, be indi(pp. 19,
visible or not -perfectly divisible. The whole subject of the mathematical theory of
1
exchange
p. 19.
Philosophie Positive,
Leôn
3
8.
Foreign Trade,
Theory, pp. 98, 99.
110
APPENDICES.
would be put in a clearer light by considering the objections which have been brought against Professor Jevons's theory by an The able critic in the 'Saturday Review' (Nov. -11, 1871). When Mr. Jevons proceeds to apply this equaReviewer says tion to the solution of his problem, he appears to us to fall into
'
:
a palpable blunder.
y~
Translated into plain English, the equation
=. -=&
dx
means, as we see, simply that, however
much
corn
gives to B, he will receive a proportionate quantity of beef in exchange. If he doubles the amount of corn, that is, he But the other quantities are will receive twice as much beef.
obtained on the contrary supposition, namely, that the rate of
exchange
if
will vary according to some complex law, determinable, we could tell precisely what effect will be produced on the mind of the parties to the bargain, by the possession of varying In fact x is now a function of y> quantities of beef and corn.
might easily be foreseen from Mr. Jevons's statement of the The case, in quite a different sense from what it was before.
as
substitution, therefore, of - for
-~
dx
is
a mistake.'
submit (1) the following

(
is
a significant problem.
)
Given
two
differential equations F,
xyt^ =0, F dxJ
xy
^ =0,fmd ax/
)
x and y two quantities such, that if each differential equation be solved, and thereby y for each be found as a function of x,
and thence
for
each= be derived
ax
as a function of
then,
if
x be substituted in both (functional) values of

CO 00
y,
and both
(functional) values of -=-^ s (a) the two (quantitative) values of
y are equal
to each other equal to y,

-=-^
Cb Ou
and
(6) the
two (quantita-
tive) values of
are equal to other.

is
(2)
The
following
a solution of this problem.

/
l
Eliminate
^between dx
point.
the equations
F (xy-^ )=0,Fjxy^l)^ a \ \ dx) dx)

2
0;
the resulting equation in x and y
is
the locus of the required
(3) The problem and solution Jevons's problem and solution.
correspond to Professor
Ill
Let us take these propositions in order. (1) This proposition by its extreme bumblediness illustrates what was above said about the advantages of graphical illustration. For the geometrical equivalent is simply: Eequired a point at which two curves each given by a differential equation Or even more briefly: (of the first order) meet and touch. Find the locus of contact between members of two families.
The conception thus introduced is not only legitimate, but familiarly employed in the Calculus of Variations, in those problems where we have multiple solution subject to the condition
that there shall be
will find
am
no abrupt change of direction. The reader any number in Mr. Todhunter's Kesearches.' not concerned to show that Mr. Todhunter's problems
'
are exactly parallel to ours. They could not well be so involving second, where they involve first, differentials. But it is easy
to construct an exactly parallel problem with curves presented by maximum analysis, the source of our economical curves. Take the straight line and the cycloid, the shortest line and line
Fig.
4.
A cycloid is generated by a circle of given on a given horizontal line, the diameter rolling starting-point that is where the generating point of the circle is on the
of quickest descent.
horizontal line
being
arbitrary.
if
on the cycloid such that
Find (the locus of) a point P a particle starting from rest slide
112
down the
(2)
APPENDICES.
cycloid from the horizontal line as far as P, and there through a given point 0.
fly off at a tangent, it will pass
The
solution above offered
is
easily verified.
Having
eliminated
between F, and
it
2,
take any point x y on the
eliminant, and draw through
a curve of each family.
Then
F, (x yj&,)=0; where
is
x
the value of
-1
(X00
for the first curve
when x
nant
is
substituted for x.
F 2 (x
y>i)=0.
Also
Since the point is on the elimi(x y p 2 )=0. Therefore p 2

x
=p
Q.E.D. In the particular case just put

of the cycloid
'
let the differential equation
be-^=
a /
-^-,
and the
differential equa-
tion of the line -^
ax x q the given point. Then the required
= "E.
where
and q are the co-ordinates of

locus
is
x-q
a curve of the third degree passing through the given point, as it evidently ought, if it can ; for the given point may be too far from the horizontal line to be reached by generating circle
In this last case the point is still the or generated cycloid. scene of contact between a cycloid and line, only the cycloid is imaginary. The mathematician is prepared for such freaks of
analysis; the economist should be prepared for somewhat simi' lar freaks 2 on the part of his similarly obtained demandcurve.'
To avoid misconstruction
solution
it
may
be as well to add that this

if
bv elimination of J
-~
dx
would not have been admissible
See Todhunter's Differential Calculus, p. 342. Thus the origin, though an intersection of the demand-curves, is not in any sense a position of equilibrium not even being on the contract-curve. Again, the alternate intersections of the demand-curves are (as Messrs. Mar1
shall
&
Walras have shown)
positions of trade-equilibrium only in

is
name.
And we have
seen that similar caution
required in handling the analytical
expression of the contract-curve (p. 26).
there had been other differentials besides those of the
order.
sort of
'
113
first
Elimination would in this case have resulted in that
Mixtumque genus prolemque biformem,' which the Keviewer may be supposed to have had dimly in view.
mongrel
(3)
differential equation,
An
show that
it is
attentive consideration of Prof. Jevons's problem will a case of the problem here proposed, whether in
the language of pure analysis or of geometry. I take the latter for brevity and to illustrate its convenience. Taking for origin the point at which the dealing begins w here x and y are zero,
T
we see (a) by the law of indifference that each dealer must move along a straight line given by the differential equation
l
-~=ax
ing
x
'
(the Eeviewer sees this much).

'
Again under the headlearn

(b)
Theory of
Exchange
we
may
that
the
the dealer's change of 'position -^ which expresses
is at the
point of equilibrium =?-lA

presses
'
But by
(a) the
is
- which ex-
the
dealer's
change of position
continually CO
Therefore by the principles just

quired point
is
now laid down the
locus of the re;
found by eliminating -^ between (a) and (6)

is
whence
'
t-lA
-^=- which
x
none other than our old friend the
î (2/) demand-curve?
y
=^
dx
I considered as an ordinary differential equation. t.(2/) ' It is the differential equation of our curves of indifference? The problem under consideration may be expressed Find the
:
We may ~ v
recognise
another old friend in
the equation
locus of the point where lines from the origin touch curves of If (as before supposed) the curves of indifference indifference.
consist of a series of circles round a point C, then the locus of is the the point of contact to any curve of a tangent from
locus of vertices of right-angled triangles described on OC that described in OC, a result which of course might is, a semicircle
; 1
Theory, p. 98,
et seq.
P. 103, sqq.
114
APPENDICES.
be obtained analytically according to the method here described. Transforming to the point of bisection of OC, and putting c= c)2 + &2 = r2 OC, the equation of any indifference-curve is (y
.
"Whence the
differential
equation of the family
ax
=_
yc.
is
And
-Y-dx
the differential
equation of a straight line from
=x
Eliminating
-y ax upon
c
2
the
principle r
here
de-
fended,
we have x 2 + y 2
the equation of a circle whose

5.
Fig.
diameter
is
OC.
intersection of
Q E D. The determination of a point by the the locus thus obtained, with another locus
The conjoint detersimilarly obtained, presents no difficulty. minate problem may, as we have already seen, be thus expressed. Draw from the origin a straight line, which at the same point touches two curves of indifference. As we have seen, the problem of determinate exchange may be turned in a great
Turn it as you will, the essential corvariety of other ways. rectness of the formula under consideration emerges clearer.
'.
Merses profundo pulchrior evenit. Luctere multa proruet integrum

; ;
Cum
laude victorem.
115
Reviewer
The
remaining-
objections
of
the
Saturday
against this formula are based upon the interpretation already shown to be erroneous that the formula is applied to solitary couples, such as those which political economists delight to
place in lonely islands.
is
It happens, indeed, that the Reviewer not enabled by his literary method to deduce correct conclusions from these premisses of his own assumption. But we are
1
here concerned not with his fallacious reasoning from assumed

premisses, but with his undue assumption of premisses or ignorantia elenchi. are only concerned to show that his ob-
We
jection does not apply to a typical couple in a market. He puts the case of A and B, dealing respectively in corn and beef, and supposes that at a certain rate 5 of corn to 1 of
would exchange 20 of corn against 4 of beef and no in so far as this objection might apply to the formula which we have been building I do not say typical that the Reviewer aimed at this structure, but I am concerned to show that he does not hit it it might import that a typical dealer would refuse to deal if the price of his article were to be raised, would not consent to such a rise of price, which surely In symbols, P being the utility of requires no refutation.
beef
more.
Now,
dealer in x, and tan 6 the rate of exchange, -= = a v
dP
is
continually
is
it
being understood, of course, that movement

;
along the
demand-curve of P for, as we are here concerned with typical individuals in a market, there is no talk of movement other than along demand-curves, and the case put shows that the
position of the index
is
on P's demand-curve, say at the point
q (on the last figure). Well, then, subject to this condition, namely
(
0,
increases continually with 0.
For
dV
fdV\ fdV\dp Jo-i-do) + [P being here supposed = F

1
K^m=
(a
(dV\ d a dF cosd a {de)= dT Hm6+ dy.

,
cos 0, p sin 6)
],
which
is
An attentive consideration of his hypothesis will show that he supposes that there can he a settlement not on the contract-curve which is untenable.
;
116
continually -f increase as to
,
APPENDICES.
unless
it
become a
disutility.
can be supposed that wealth can so Q. E. D.
But,
it
may
be said, and not without plausibility, of course
would be willing enough to make the change you describe, but B, though by hypothesis he is willing to make changes in
direction, is not willing to
make a change in that direcAnd, true enough, a mere B, unclothed with the properties of a market, might well be unwilling to make that change. Referring to the same figure, let us suppose that B's curves of at centre. Then we see that indifference are circles with for all points above Q where a curve of indifference of B touches the demand-curve of A, it will not be for the interest of the But the individual B to move up the demand-curve of A.
some
tion.
typical competitive representative B cannot help himself. The force which moves him is not his maximum utility barely, but
subject to competition ; the best that he can get in short. And this play of the market, as fully explained here and by other writers, leads to the formulas which have been so often returned
'
to our inquiry.
VI.
ON THE ERRORS OF THE

'
ayecoperp^roi.
'
Ecquid tu magnum reprendes Homerum,' Egregio in corpore naevos,' and whatever adage is applicable to carping smallness, might occur at sight of the undermentioned names, if the critic did not hasten to disclaim any disrespect for these great names, and to explain that the argument of this work, to
If, however, the competition between the Bs is not perfect, it may happen that they cannot force each other up to T, the intersection of the demand curves but that the system will reach a final settlement at some interme1
;
diate point q (as intimated at p. 48), supposing that the system is contained for in the absence to move along the demand-curve of (our old X)
of this imposed condition
it
would run down to a
final
settlement on the con-
tract-curve, not necessarily nor even probably T, the point where the demand curve intersects the contract-curve (in this case a straight line), CC.
CRITICISM OF BENTHAM.
vindicate
117
method in Social Science, could be completed by showing that the probest, foundest thinkers would have thought more clearly upon Social Science if they had availed themselves of the aid of
the mathematical
only, or would
Mathematics.
And,
if after all it
appears to the reader that the
list
of the
accused and that the accusation are not of very formidable length, he will please to consider with reference, at least, to the two first and the two last of the reviewed authors both who they are who are here suspected to have erred, and what If these have erred from want of the subject of their error. mathematical aid, what shall we expect from the unaided reason
of others ?
And,
if
there
is
the ends of action, the means about
must there not be

all
obscurity about the conception of error and confusion about
light that is
* If the the middle axioms of morality ? in thee be darkness, how great is that darkness.'
Bentham.
That the great Bentham should have adopted as the creed and watchword of his party an expression which is meant to be quantitatively precise, and yet when scientifically
l
of his life
appear almost unmeaning, is significant of the ' Greatest to be attached to the science of quantity. importance is this more intelligible of the greatest number happiness illumination with the greatest number of lamps ? than *
analysed
may
'
'
greatest
Suppose a
number
1
smaller greater illumination attainable with a of lamps (supplied with more material), does the
I am aware that Bentham is said by Bowring (Deontology, p. 328) to have corrected this phrase in later life. It was not, however, corrected in And at any rate, as our bis latest works (Constitutional Code, chs. ii. vii.). contention is not for victory but for the sake of instruction, ov nepi rp'nrobos 'AXka nep\ ^vxrjs, it may be useful to note the errors of genius, even if they were at length self-corrected. If after the preceding, and in view of a subsequent (p. 130), admission,
the criticism in the text appears hypercritical, let it be applied only to such of Bentham's followers as may have been led by Bentham's incautious use of the phrase (e.g. Fallacies of Confusion, ch. hi. f. 2) into exaggerating the democratic or isocratic tendencies implicit in Utilitarianism to Bentham's
;
with his predecessors also, Priestley, and Beccaria, divisa uel maggior numero.'
'
La massima
felicita
118
criterion in this case
AITENDICES.
give
a certain sound?
Nor can
it
be
contended that variation of number could not have been contemplated in Bentham's day. For, supposing the number of distributees fixed, and as before a fixed distribuend, might not the sum-total of happiness be greatest when the greatest part of the sum-total, or at any rate larger portions, were held by a
Which perhaps the aristocratic party, themselves precisely, might contend. press
few
?
if
they would ex-
The
principle of greatest happiness

lost its
'
popularity, but it greatest number.'
have gained its the addition ' of the meaning, by
may
J. S.
Mill.
tarian
Nor is Mill any clearer about the definition of the UtiliEnd indeed, darkens the subject (as many critics seem
:
to have felt),
tion.
by imposing the condition of equality of distribuSuppose that equality of sacrifice,' which he lays down
' '
as the principle of taxation, should not correspond to possible sum-total of sacrifice,' what then ?
least
In the Political Economy of Mill occur some

species under notice, on which
it is
fallacies of
the
unnecessary to dwell, since
they have been more than abundantly exposed by Professors Jevons and Walras. 2 It might be possible, indeed, to maintain
that these critics have been unnecessarily severe, and that the tone of Mr. Marshall improving upon Mill by the aid of Mathe-
matics
is
more proper. 3
Thus
Mill's definition of
Value appears
to be the same, though not always, perhaps, so well expressed, as that of Professor Jevons. And again, it might be possible for Mill to have a saving knowledge of the mysteries of Supply
and Demand, even though he may have acknowledged, not two 4 For it is possible mathematically equations, but one equation. to subsume several equations in one condition. Thus the
equation to zero of Virtual Velocities includes in the general
1 See tins point examined in present writer.
New and
Old Methods of Ethics, by the

;
Theory of Political Economy, 2nd edition

Theory of Pure Trade, ch. i. pp. Theory of Political Economy.
4, 12.
Elements d'Economie Poli-
tique.
3 4
CRITICISM OE MILL.
119
case of a free rigid body six, and may include any number of And thus we have seen reason to suppose that all equations.
the equations of Political Economy, however numerous, may be subsumed under one. And, to come nearer the mark, we have
1
seen above that the conditions of trade-equilibrium are not necessarily stated in a bilateral and symmetrical form, but may
be subsumed in a single solitary condition, the equation of Demand to Supply ; presupposed and understood what, in 2 presuppose and take for fact, economists only too readily two sets of conditions, which might be described as granted
3 (1) the fact, (2) the uniformity of price. But it is none of our part, Agamemnon-like,
'
through the
foe.'
4
camp
If
to go
and rob an
ally,'
rather than
'
despoil a
an author
will use
unmathematical language about mathe-
matical subjects, he
must expect a doubtful interpretation and

Professor Cairnes.
fame.
Political
Professor Cairnes's substantial contributions to the matter of Economy might surely have been enhanced by being framed in a more mathematical form. It will be found very difficult to seize the connotation of the
5 The phrase increase in the aggregate amount of values.' the two instances immediately preceding, does not denotation,
'
appear to afford any significant a definition.
common
attribute to constitute
The amazing 6 blindness of this author in view of the mathematical theory of exchange, his inability to contemplate scientifically the psychical mechanism underlying the phenomenon 7 of exchange, must vitiate, one should think, what he
1
Mr. Walras has discerned the all-comprehensive character of the prin-
he has not ventured, as ciple of Maximum (Elements, Lecon 15) ; though far as I am aware, to identify Hedonical with Physical Maximum.
2
3 4
5
If our reasonings are right. Above, p. 42.
See Index sub voce Price.
Pope, Iliad,
i.
Leading Principles, p. 5. See the only too lenient criticism of Mr. Geo. Darwin in Fortnightly
Ibid. p. 15.
Review, 1875.
7
120
has to
as
tell
APPENDICES.
us of
'
demand
'
in
the desire for general
ponderous phrase, or of supply, This is a purchasing power.'

. . .
'
subject as to which he who despises the science of quantity is not likely, as Plato would say, to be himself kvapiOixos. No doubt he occasionally detects a vulnerable point in Mill
(p.
fessor Jevons.
116) which had already been more clearly exhibited by ProStill I venture to think that the contentions of
Professor Cairnes about the definition of Supply and Demand are much more a dispute about words than could be evident to
the
one who had no grasp of the forces determining a market. Let facts, with sufficient accuracy for the present purpose, be
in Professor Jevons's symbolic statement,
'
summed up
-*h
(y)
2/)'
where
are the first differentials of <I> M*, and e.g., ^j (y) < i/r represents the utility to dealer No. 1 of the quantity y of commodity No. 2 ; in the simplest abstract case the pleasure to be
at once obtained
by the consumption of
y,
but in the general
case the pleasure to be obtained both in the immediate and more distant future, reduced to the common measure so to
speak of present pleasure (by way of the Jevonian factors for risk and remoteness), 2 the pleasure I say to be thus obtained from having noiv the quantity of y (whether to be consumed
gradually or perhaps exchanged for other commodities). When the fact expressed by the symbolic statement has
been grasped,
define
it
is
only a dispute about words, whether we
commodity No. I. = a. 3 commodity No. II. = b. Demand of commodity No. I. at (2)

(1) Supply of Supply of
rate
of exchange
fd)
a;
(the usual definition, I think).

of
Demand
commodity No.
II.
at rate of
exchange
= p. 108.
3
Theory,
Theory, pp. 36, 38.
Cf. Cairnes, p. 117.
CRITICISM OF CAIRNES.
121
measured by the
2
(3)
Demand
Demand
for
commodity No.
1
I.
is
quantity y exchanged for x.

(4)
is
(?)
Such commodities, &c. not pretended that Cairnes language is justified, though it uses it with any definite meaning, by the first intention of the term demand.' 3 In this case the demand for y might perhaps
the
desire
for
is
'
be represented by
yjr
(y).
But
know what angry
susceptibilities are
awakened by
the dogmatic terms Supply and Demand, and decline a contest in a region which has been darkened by such clouds of dust.
Professor Cairnes's whole contention that
fice,'
'
cost
means
sacri-
&c. (p. 60),
may seem
an unconscious tribute to the im-
portance of the quantification and measurement of the sense of If it is admitted that on the sacrifice, subjective labour.
whole he uses his ' sacrifice and ' cost of production 4 as an ' objective not a subjective quantity, cost as measured in number of days, labour, and abstinence (p. 389), our e rather than
' '
'
our
{e);
still
he
may seem both
to have
had the
latter
quantity in view, and to have foregone some of the advantages which would have been obtained by more clearly distinguishing it. Professor Cairnes's exposition of the bargain between employer and employed would probably have been enhanced by the use of demand-curves, one representing the quantity of work which the labourer is willing to give, and the other the (total) amount of remuneration which the employer is willing to give, at a certain rate of wages. It would have been sug-
gested that the Wage-Fund or -Offer, though for a given rate of wages it have a determinate, has not necessarily a unique, value. The demand-curves may intersect more than once. It would
not then, I think, be inconsistent with the premisses, though it might be with the conclusions, of Cairnes, that the effect of a trades-union might be to shift the position of the bargain from
to the third (or rather from third to first) intersection. would have been suggested as above, that, though the labourer might have less total remuneration in consequence of
first
it
the
Also
Cairnes, pp. 24, 25.

Cf.
'
Id. p. 21.
3
4
Cunyngham, Notes on Exchange
Value, p.
1.
Cf. 62,
m,
70, &c.
Appendix IV.
1:22
A1TEXDICES.
trades-union, yet he labour.
might have more
utility,
having
less
Mr. Spencer.
Mr. Spencer has ' tried the Utilitarianism of Mr. Sidgwick Data of Ethics '), and condemned it ; but had the procedure (' been according to the forms of quantitative science the verdict ' Everybody to count for one might have been different. is objected to Utilitarianism, but this equation as interpreted by Mr. Spencer does not enter into Mr. Sidgwick's definition of the Utilitarian End, greatest possible product of number x
' 1
'
2 3 average happiness, the definition symbolised above.
Equality
of distinction
'
no 'proprium of this definition; au contraire. 4 Not everybody to count for one,' but every just perceivable increment of pleasure to count for one,' or some such definition
is
'
of the pleasure unit, 5 bution.
is
the utilitarian principle of distri-
(S. 85.) The case of A B, C D, producers, among whom the produce is to be distributed, presents no theoretical difficulty to the impartial spectator,' armed with the Calculus of VariaThe most capable of work shall do most work ; the tions. most capable of pleasure shall have most produce. 6 How could
'
the principle of equity be worked in the entangled case of co7 But to the principle of greatest happiness all operative work ? is simple. Consider the whole produce as a given function of
the fatigues of the labourers, the pleasure of each as a given function of his portion ; and determine the fatigues and the portions so that the sum of the pleasures, minus the sum of
the fatigues, should be the greatest possible, while the sum of the portions equals the whole produce. 8 (S. 86.) To insist that altruistic requires egoistic pleasure,
is
open to the remarks above made (Appendix IV.).
As to the
that the
physical illustration (p. 228), grant that, in order
whole may be heated, the parts must be heated. What then ? Is it not conceivable that to each part should be imparted just
1
2 4 6
Data of Ethics, ch. Book iv. ch. 1, 2.
xiii.
3
See Index sub voce Equality. 7 See above. See above,
p. 51.
See above, p. 67. See above, p. 8. 8 See above, p. 64-67.
CRITICISM OF MR. SPENCER.
123
that amount of heat which may conduce to anintegral maximum. The illustration suggests a very different view from the author's,
viz.,
that there should not be
'
equalness of treatment.'
Let us
state, as the end to be realised, that the average temperature of the entire cluster, multiplied by the number of the elements,
should be the greatest possible. Let us suppose that the elements have different thermal capacities, or that the same
amount
of energy being imparted causes different increases of temperature ; and (not troubling ourselves about the conservation of energy) that each element, without diminishing its own temperature, increases by radiation the temperature of its
neighbours.
If thermal capacity (the received definition of the

'
term being inverted for the sake of the metaphor) and power of radiation and absorption go together, 2 then the larger portions of a given fund of energy shall be assigned to higher
capacities.
The possibility of differences of capacity in the final state of equilibrium does not seem to be entertained by the author. But can we receive this ? Can we suppose that the Examination-list of
the Future will consist of an all-comprehensive
If capacities for work differ, possibly also capacities If either or both species continue to differ, for pleasure. 3
bracket
Utilitarianism,
it is submitted, will continue to have a function not contemplated by the Data, unequal distribution. A general agreement has been already 4 expressed with the
author's view that

right.
Pure Utilitarianism is not now absolutely Some comment, however, may be made upon the
'
'
suggested comparison between absolute Tightness in the case of an irregular imperfectly evolved society and mathematical
crooked lines and broken-backed Take a piece of string as crooked and broken-backed as you please, and impart to its extremities given impulses. Then it is mathematically deducible and accurately true 5 that
certainty in
curves.'
the case of
'
See Clerk-Maxwell, Heat,
p. 65.
Capacity for self-regarding and for sympathetic pleasures, each pro3 See above, p. 59, and below, p. 131. bably increasing with evolution. 4 Appendix IV.
5
Bertrand's Theorem,
Thomson &
Tait.
Cf.
Watson & Burbury, Gene-
ralised Co-ordinates, Arts. 16, 17.
124
the
initial
APPENDICES. motion of each element

is
such that the whole
initial
energy of the string shall be maximum. No doubt to actually determine by the Calculus of Variations the motion for each
element, we must
that form
cally
is
know the
(original)
form of the
string.
If
broken-backed, a definite curve may be hypothetiassumed. So then it might be even now absolutely right
that each individual should act so that the general happiness, as defined by Pure Utilitarianism, should be a maximum ;
though what that action

termined.
is
can only be approximately de-
Mr. Sidgwick.
Mr. Sidgwick's Economical reasonings have been already Close and powerful as these reasonings are, it has been impossible to conceal the impression that this distinguished analyst would have taken the field in Economical speculation in a manner more worthy of himself if he had not embraced the
noticed.
unfortunate
opinions
of
Cairnes
upon the application
of
Mathematics to
Political
Economy.
Probably the only flaws in Mr. Sidgwick's ethical analysis are where mathematical safeguards were required. In the ' Methods of Ethics,' 2 after defining the Utilitarian End as the greatest sum of happiness, he supposes (as I underuse
always very difficult to catch hold of those who ordinary language about mathematical subjects) that happiness, though not the means of happiness, should be
stand, but
it is
distributed equally. But this supposition is repugnant to his definition. in general, either the capacities for happiness For, If they are (as defined above, p. 57) are, or are not, equal.
equal, then both happiness
if
and means should be distributed
equally ; unequal, neither (p. 64). The supposition, then, that happiness, though not the means of happiness, should be distributed equally, is in general repugnant to the Utilitarian
End.
Fortnightly Review, February, 1879, p. 310. It is not for one whose views about changes in the ' general purchasing power of gold are veryhazy to criticise a theory of that subject. It may be allowable, however, to mention that the haze has not been removed by the theory of ' aggregate price,' &c, advanced in the article cited.
'
Book
iv. p.
385.
CRITICISM OF MR. SIDGWICK.

'
125
In general ; for the beauty of mathematical analysis is that it directs our attention not only to general rules but to exceptions. Suppose the two properties which constitute the definition of capacity for happiness not to go together, as in the third imperfection of that definition noticed on the same page ; then it is just possible that a given distribuend would be most
felicifically
among given distributees when the not the means of happiness, should be happiness, though
distributed
distributed equally.
in the passage just interpretation that Mr. Sidgwick, has in view differences of capacity for happiness, discussed,
The
is
' confirmed by explicit recognition of such (p. 256), Some The prorequire more and some less to be equally happy.' blem raised in that context is not treated with mathematical
should have to give less to cheerful, contented, self-sacrificing people, than to the selfish, discontented, and grasping, as the former can be made happy with less.' The
precision.
'We
case would
seem
to
be this
the
minimum
of
means
is
corre-
sponding to the zero of happiness (above, p. 64) the discontented than the cheerful ; for values of
that
higher for means above
the cheerful have greater capacity for happiness. the distribuend be sufficient to admit of all at least If, then, shall have a reaching the zero of happiness, then the cheerful
minimum
(See above, pp. 57, 65.) larger portion of means. These are slight steps of reasoning ; but they are at enormous height of generalisation, where a slip is ruin.
an
1 I cannot refrain from illustrating this proposition by one more redoubtless ference to Principal Marshall's and Professor Walras's similar unstable independent theory of multiple intersection of demand-curve,
equilibrium of trade.
t26
APPENDICES.
VII.
ON THE PRESENT
CRISIS IN IRELAND.
The consideration, however superficial, of a real case may serve to put our method in a clearer light. Let us suppose, then, that an intelligent reader, attracted by the heading of this Appendix, inquires of what possible use can Psychical Mathematics be in real
First, it
life ?
must be pointed out that deductive reasoning is not to be too sharply pulled up with the demand, What then do For, even if this highly deductive method you propose ? should prove more potent than the present tentative sketch
' '
it would have power only to give general instrucnot detailed regulations. From such a height of speculations, tion it might be possible to discern the outlines of a distant
may warrant,
country, but hardly the by-paths in the plain immediately below. Mathematical Psychics would at best furnish a sort of patternin the language idea to be roughly copied into human affairs ; of modern Logic hypothetical deductions to be corrected and verified by comparison and consilience with experience. This
'
general character of deductive reasoning in Sociology has been exhibited by Mill theoretically at length in his ' Logic,' and practically by repeated cautions in his 'Political Economy.'
The
the
'
steps of Mill are followed
Lewis, Cairnes, Bain, Mr. Jevons in of Science,' Mr. Sidgwick in behalf of ' EconoPrinciples mic Method renouncing pretensions to precision of detail.
'
upon method
Cornewall
by almost
all
considerable writers
It cannot be expected that so terse a treatise as the present should go over ground exhausted by such writers. We must take for granted that our intelligent inquirer understands what
is intelligible
to the intelligent.
rities just cited, it
If he believe not the authowould not be worth our while to resuscitate
considerations long consecrated by universal acceptance. can only consider the position of one who, understanding in a
We
general way the nature and the need of deductive reasoning in Sociology, draws the line at deductions couched in the language
of literature, refusing to
1
employ as signs
s.
of general conceptions
501.
Cf. Plato, Republic, b. vi.
POLITICAL UTILITARIANISM.
127
mathematical symbols along with ordinary words. The theoretical weakness of this position is that there is no logical ground for drawing the line, other than the prejudice that mathematical reasoning imports numerical data. Such, in fact, to be the ground on which the objections against econoappears mical mathematics are based by Cairnes Cairnes, whose opinion
;
by a still more distinguished analyst. This prejudice having been cleared away, 2 why should not general reasonings about quantities be assisted by the letters appropriate to the science of quantity, as well as by ordinary ivords ? Ego cur, acquirere pauca si possum, invideor ? the generalising genius of Mathematics unanswerably demands. Practically, the objection solvitur ambulando, by the march over the 3 flux and of science which walks more securely
on
this subject is shared
1
'
'
through the intricate in the clear beam of mathematical inThe uses of this method may have been already tuition.
illustrated, at least
by reference to the achievements of mathehowever, be attempted here to illustration, introduced by the conspicuous
It will,
matical economists.
present some further
case of a country convulsed by political conspiracy
and econo-
mical combination.
as to (I.) First
the political aspect of the case has Calculus
anything to teach ?
the
is
Nothing
as to practical politics
but as to
principles of political theory perhaps something. What the first principle of politics ? Utilitarianism, it would be
first
if
replied by most intelligent persons of the nineteenth century, in different terminologies, yet virtually with one accord. Of
this basis
what
is
the ground
Here we leave the
visible con-
structions of external action descending into a subterraneous region of ultimate motives.
The motives
to Political Utilitarianism are the
same
as in
the case of Ethical Utilitarianism, some would say; and they would have to grope for a proof of utilitarianism, such as Mr.
Sidgwick grasps at with one hand, while with the other hand he His method proceeds by comparing grasps the polar principle.
1
Fortnightly Review, 1879, Economic Method.
2 3
See pp. 2-6, and Appendix
I.
is
To
treat variables as constants
the characteristic vice of the unmathe-
matical economist.
character.
The
of the errors criticised hy M. Walras are of this prcdeterminate Wage-fund is a signal instance.
Many
128
APPENDICES.
first
deductions from the utilitarian

'
principle with moral senti'
ments observed to exist philosophical intuitionism does not come to destroy common-sense, but to fulfil it, systematising it and rendering it consistent with itself. Now this method may
;
common
be assisted, with regard to certain quantitative judgments of sense, by the science of quantity ; proving these moral
l
judgments to be consilient with deductions from Utilitarianism, clipping off the rough edges of unmethodical thought. But to others it appears that moral considerations are too
delicate to support the gross structure of political systems ; at It is divined that best a flying buttress, not the solid ground.
the pressure of self-interest must be brought to bear. But by what mechanism the force of self-love can be applied so as to support the structure of utilitarian politics, neither Helvetius, nor 2 Bentham, nor any deductive egoist has made clear. To expect
what Bentham has left obscure were presumptuous it does seem as if the theory of the contractcurve 3 is calculated to throw light upon the mysterious process by which a crowd of jostling egoists tends to settle down into
to illuminate
indeed.
Yet
the utilitarian arrangement. Thus the terms of the social contract are perhaps a little more distinctly seen to be the conditions of ' Greatest Happiness.'
If the political contract
between two
classes
of society,
the landlord and the tenant class for instance, is disturbed, affected with the characteristic evil of contract ' undecidable 4
and deadlock, the remedy is utilitarian legislation as is already felt by all enlightened statesmen. Considerations so abstract it would of course be ridiculous
strife
;
'
to fling
upon the flood-tide of practical politics. But they are not perhaps out of place when we remount to the little rills of sentiment and secret springs of motive where every course of
It is at a height of abstraction in action must be originated. the rarefied atmosphere of speculation that the secret springs of action take their rise, and a direction is imparted to the pure
See above, pp. 76-80. And cf. the proof of utilitarianism in New and Old Methods of Ethics (by the present writer). 2 I take the view which Mr. Sidgwick takes {Fortnightly Revieiv) of Bentham's aims, and of his success.
1
Corollary, p. 53.
Above,
p. 29.
EQUALITY.
129
fountains of youthful enthusiasm whose influence will ultimately affect the broad current of events. The province of ends is thus within the cognisance of Mathematics. What shall we say of intermediate, or proxiThe quantitative species of < Keason ? final,
;
principles mately and might conis here no guide, but still a guard,' at present be something more in some distant stage of evolution ceivably related to the present (agreeably to the general description of
to the violent evolution) as the regularity of crystallization movements of heated gas. irregular
Let us take a question suggested, however remotely, by our

expropriation of peasant proprietorship,' and even more communistic schemes, are talked landlords,' there are those whose way of thinking carries them on to
'
heading.
When
'
of,
is a thing so much to be inquire whether the level of equality desired "per se, and abstracted from the expediencies of the hour, and even the age.
The demagogue, of course, will make short work matter, laying down some metaphysical rights of man.'
'
of the
Even
Mill never quite disentangled what may be a proximate from what is the final end of utilitarianism. And it is much to be feared that a similar confusion between ends and means is entertained by those well-meaning, generally working, members of the social hive, who seem more concerned about the equilateralness of the honeycomb than the abundance of the honey.
But the very essence
of the Utilitarian
is
that he has put
all
in subjection, under the supreme principle. practical principles For, in that he has put all in subjection under it, he has left
none that is not put under it. How then is it possible to deduce Equality from
Happiness
;
Greatest
the symmetry of the Social Mechanism from the

1
maximum
of pleasure-energy ? By mathematical reasoning such as that which was offered upon a previous page, or in an 2 earlier work, such as had already been given by Bentham and the Benthamite William Thompson. Bentham, who ridicules the
metaphysical rights of
1
man and
suchlike
'
anarchical fallacies,'
Above, p. G4. New and Old Methods of Ethics. The reasoning was ance of the analogous Benthamite reasoning.
2
offered in ignor-
130
reasons
APPENDICES.
down from Greatest Happiness

strictly
method
mathematical
'
sentative-particular
numbers 2
to Equality by a even though he employ * reprerather than general symbols.

'
The argument might be made palpable by a parallel argument, constructed upon another of the great arches of exact social science, or those concave functions, as they might be called, in
to
virtue of which the Calculus of Variations becomes applicable human affairs the law of diminishing returns. A given
quantity of labour (and capital) will be expended most productively on a given piece of land, when it is distributed uniformly,
equally, over the area ; by a parity of reasoning which makes palpable the parity of proviso provided that there be no dif:
If, speaking both literally ferences of quality in the ground. and in parable, there is (indication and probability of) difference ; if for the same seed and labour some ground brought forth a hundredfold, some sixtyfold, some thirtyfold, the presumption is that more should be given to the good ground. Is there then any indication of such difference between
sentients ?
tion,
We may
not refuse once more to touch this ques;
however unwelcome to the modern reader otiose to our un philosophical aristocrats, and odious to our democratical
philosophers.
(i.) First,
then,
it
may be admitted
that there
is
a difference
with respect to capacity for happiness between man and the more lowly evolved animals ; and that therefore among or above other considerations the interests of the lower creation
are neglectible in comparison with humanity, the privilege of man is justified. Or if any so-called utilitarian, admitting the
practical
conclusion, refuses to admit
its
sequence from the
premiss, affirming some first principle in favour of the privilege of his own species, he must be gently reminded that this affirmation of first principles not subordinate to the Utilitarian
' ipsePrinciple is exactly what the great utilitarian called dixitism'; and also in case he protests against the oligarchical
1 Bentham apud Diimont, Traites de Legislation: Code. Civil, ch. vi. ; Principles of Pathology (Bo wring's edition), vol. i. ; ib. vol. ii. 228, &c. ; thus evincing a perfectly clear idea of the utilitarian end, more than might have been inferred from some of his phraseology.
Often a precarious method.
Cf. Marshall, Foreign Trade, ch.
i.
p. 4.
EQUALITY.
tendencies of our position
oligarchical
131
not we,
is the oligarch, the to himself, and there
that
he,
demagogue
levelling
down
drawing the line. But the pure Utilitarian, drawing no hard and fast line, according to the logical divisions of scholastic genera or pre-Darwinian Real Kinds, and admitting no ultimate * ground of preference but quantity of pleasure, takes every in and every kind,' and ' sees with equal eye,' though creature
he sees to be unequal, the happiness of every sentient in every

stage of evolution.
(n.) Again, it
may be admitted
that there are differences of
capacity for work, corresponding, for age, of sex, and, as statistics about
example, to differences of
wages prove, of race. It would be a strange sort of rational benevolence which in the distribution of burdens would wish to equalise the objective
circumstance without regard to subjective differences. the admission of different relations (in.) Now (as aforesaid )
l
between external circumstances and internal feeling in the case of one species of (negative) pleasure
in different
individuals
is
favourable to the admission of such differences in the case of
other species of pleasure, or pleasure in general. Not only do we see no reason why the latter difference, if agreeable to observation, ought not to be admitted ; but also we see a reason why it has not been admitted or not observed. For in the
former case we have what in the latter case we have not, the
same quantity of feeling in different individuals corresponding to different values of an external variable, namely the (neighbourhood of) the infinite value of fatigue to different external work done. And everyone is acquainted with those whose physical or intellectual power he himself could not equal, *not even if he were to burst himself; whereas in the case of
limits of
'
owing apparently to the rarity or irregupleasure in general we are reduced to of the very high values of pleasure larity
the observation of different increments of pleasure occasioned by the same increment of means.
But
is
this observation insufficient ?
Or can
it
be indifferent
to the utilitarian whether a given opportunity or increment of means is bestowed where it occasions but a single simple sen-
suous impression of
fiovo^povos
1
?]&ovi],
or a pleasure truly
Above,
p. 59.
k 2
1 3*2
APPENDICES.
i
-integrated by redinreflection from the tegrating memory, multiplied by repeated 1 of sympathisers, in fine raised to all the breast polished powers of a scientific and a romantic imagination? Can we
called
higher,' or
'
'
liberal,' or
'
refined
'-
think
it
indifferent
whether the former or the

into
latter sort of
sentience shall be put into play ? or brought (iv.) Put into play,
existence.
For
at
what point
2
shall
we
'
stop short and refuse to follow Plato while,

l
inspired with an
explicit,
unconsciously implicit,' and sometimes an utilitarianism, he provides for the happiness (it is
3
submitted, with due deference to Aristotle
),
not only of the
Or should we be present, but of succeeding generations ? affected by the authority of Mill, conveying an impression of what other Benthamites have taught openly, that all men, if not equal, are at least equipotential, in virtue of equal educaOr not connect this impression with the more transitability ? tory parts of Mill's system a theory of Eeal Kinds, more Noachian than Darwinian, a theory of knowledge which, by
:
giving all to experience gives nothing to heredity, and, to come nearer the mark, a theory of population, which, as pointed out by Mr. Galton (insisting only on quantity of population) and,
taking no account of difference of quality, would probably reShall we resign ourselves to the sult in the ruin of the race ?
authority of pre-Darwinian prejudice
selves
?
Or not draw
'
for our-
very different consequences from the Darwinian law ? ' 4 rather, adopt the laws and consequences of Mr. Gal ton ? Or,
:
To sum up the powers claimed for our method if in some distant stage of evolution there may be conceived as practicable a distinction and selection, such as Plato adumbrated in the
Kepublic, the selected characters perhaps not wise and loving, Avith a so dissimilar from the Platonic ideal
'
'
more modern
spirit
both of science and romance
but
the
principle of selection, not intellect so much as feeling, capacity 5 for happiness ; then the delicate reasoning about capacity
1
Mr. Sidgwicks happy phrase. KaXhiara yap 8q tovto Xe'yerai

Politica, v.
4
to be ftXaptpov alaxpov.
3 5
Plato's Republic,
Kal XeXe'êrat, 6tI to fiev axfieXifiOP Ka\6v,
Hereditary Genius; end of penultimate chapter.
Above,
p. 65.
EQUALITY.
133
would seem to stand in need of mathematical, if not symbols, at least conceptions. And even at present it is well, at whatever distance, to contemplate the potentiality and shadow of such reasoning. For though the abstract conclusions have no
direct bearing
upon
practical politics (for instance, extension or
redistribution
utilities
his abstract preference for equality does not militate against the institution of property nevertheless it can hardly be doubted that the ideal reason-
just as Bentham protests that
of suffrage),
determined
by more proximate
ings would have some bearing upon the general drift and tendency of our political proclivities. And at any rate the history of all dogma shows that it is not unimportant whether
a faith
is
accretion.
held by its essential substance, or some accidental And the reasonings in question may have a use in
keeping the spirit open to generality and free from prepossession, the pure ideal free from the accreting crust of dogma. From semi-a-priori innate perceptions dictated by an ' ana'
' l
lytic
and
'
intelligence,' from equity,' and equalness of treatment,' ' fairness of division ; 2 which, if they gave any distinct
' '
what is given by merely be very likely to give a wrong direction, meaning one which is opposed to the Univerdirection at all (other, of course, than
3
utilitarian
considerations), would
Hedonism or Principle of Utility established by the more inductive methods of Sidgwick and of Hume. From
salistic
and confusing, or, if distinct at least about a subject so amenable to prejudice as equalness and equity most likely to be wrong. To show which danger it is suffidictates indistinct
'
'
'
'
appears necessary, at a not unfelt sacrifice of deference) to observe that the same semi-a-priori method, applied to Physics, in the course of a prolonged discussion of
cient (and
it
Persistence,' never clearly distinguishes, nay, ' rather confounds, Conservation of Momentum and Conservawhile it is distinctly stated that the law of the tion of Energy
'
Force
'
and
its
'
'
'
'
not simply an empirical one, but one deone of ductible mathematically from the relations of space 4 Is it wise, is it safe, to which the negation is inconceivable.'
inverse square
is
'
Herbert Spencer, Data of Ethics,

lb.
s.
62.
"
60, p. 164. Id. First Principles,

s.
s
s.
lb. ss. 68, 69, etc.
18.
134
appendices.
weight and cramp science with a-priori dogmas such as this in view of the possibility of a Clerk-Maxwell after all discovering, by the ordinary (Deductive) that there is attraction between
method of Inductive Logic,

atoms according to a law of
inverse fifth
power ? An inductively deductive method in Sociology may have similar surprises for the dogmatic isocrat forthcoming but they will certainly not come, there will not
;
come any development,
if
we
resign ourselves with a Byzantine
sloth to a-priority or other authority more dear to the utilitarian ; not dissociating the faith of love from the dogma of
and isocratic prejudice of Benthamite utilitarianism, the pure ethereal sense and unmixed flame of pleasure. And lastly, whether these things are so, or whether not about a subject so illusory, where the vanity and the very
equity, from the accreted party-spirit
*
'
'
'
virtues of our nature, oligarchical pride, democratical passion, perturb the measurements of utility ; not slight the advantage
of approaching the inquiry in the calm spirit of mathematical

truth.
Thus
it
appears that the mathematical method makes no
ridiculous pretensions to authority in practical politics. There is no room for the sarcasm of Napoleon complaining that Laplace wished to govern men according to the Differential The sense of practical genius need not take offence. Calculus.
The mathematical method has no
place in
camps
*
or cabinets
but in a philosophic sphere in which Napoleon had neither ' part nor lot, and which he scouted as Ideology.'
(II.)
before us
Let us turn now to the economical aspect of the case combination of tenants against landlords, which the
:
2 Here also the present crisis in Ireland is thought to involve. illuminate the troubled scene of dead-locked dry light may
unions
and by an unobvious path lead up again
to the prinis
3 of arbitration. ciple of utility as the basis seen to be the utilitarian rent. 4

1
The fair rent
Bourrienne's Memoirs.
The
Pall Mall Gazette has persisted in regarding the agrarian as

in Industrial
Trades Unionist outrages.

3
Read Mr. Orornpton

some
Conciliation
(cf.
pp. 82, 83), and
realise the need of

4
Her
principle of arbitration. Majesty's Commissioners of Inquiry into the
working of the Land
COMBINATION OF TENANTS.
Here
135
it may be proper to indicate the relation which preconsiderations upon indeterminateness of contract are ceding supposed by their writer to bear to the considerations recently
adduced by others, in particular Mr.

2
Cliffe Leslie
and Mr.
Frederick Harrison, concerning the irregular and accidental character of mercantile phenomena as contrasted with what may be called perhaps the old-Kicardian view. The two sets
of considerations, ours and theirs, may be mutually corroborative ; but they are for the most part distinct, though they Thus Mr. C. Leslie's contention against occasionally overlap.
the equality of profits, &c, in different occupations, does not form any part of these fragmentary studies ; while, on the other 3 hand, our second and fourth imperfections have not perhaps
been noticed elsewhere. Again, the imperfection of the labour market, due to the immobility of the labourer upon which Mr. Frederick Harrison in a human spirit dwells is, analytically
considered, a case of our first imperfection. As there is a certain relation of alliance between these considerations and those, so they may be all exposed to the same attack, namely, that the irregularities in question, though existent in fact, do not exist in tendency, tend to disappear,
and therefore may be neglected by abstract science. This is a matter of fact upon which the present writer is ill-qualified to offer an opinion. But he submits that the imperfections which it has been in these pages attempted to point out in the case of cooperative association and to trace in the case of tradesunionism, do not tend to disappear, but rather to increase, in the proximate future at least. The importance of the second imperfection affecting contract with regard to certain kinds of
Act of 1870, &c, having sanctioned and supposing settled a 'fair rent,' recommend that the unearned increment which may accrue should, in the
'
'
absence of first principles to determine the distribution between landlord and tenant, be divided equally between them. Observing that the contract-curve
in this case is the representation of all the possible rents (p. 142), we have here a simple exemplification of the theory that the basis of arbitration is a
point on the contract-curve, roughly and practically as here the quantitative mean, the bisection of the indeterminate reach of contract-curve, theoretically the qualitative mean the utilitarian point (p. 55).
1
Fortnightly Review), Hermathena, &c.
Ibid. 18G5.
Pp. 46, 47.
130
service
APPENDICES.
with the importance of Mr. Cliffe Leslie's considerations upon the inequality of re-
might
1
perhaps stand or
fall
munerations.
Lastly, if the argument attempted in these pages concerning the indeterminateness of contract is as to the premisses somewhat similar to the Positivist argument, it would fain be also the necessity of settling economical difas to the conclusion
:
here clothed in the language more ferences by a moral principle of Mill than of Comte, and disfigured by the unfortunately ugly
term Utilitarianism, which

connotes.
'
so
imperfectly suggests what
it
Vivre
pour
autrui.''
Keturning from
this digression, let us
now
sift
a little
more
accurately the light which Mathematics may nations. Compare the analysis suggested in a previous part of ' this work with the general account of Monopolies and Combina' The conception of indetertions in Economics of Industry.'
'
shed upon Combi-
minateness increasing with the increase of combination comes out perhaps a little more clearly in the mathematical analysis.
To bring out the comparison,
it is best to consider some parof combination. ticular species Here, however, occurs the that the species as presented by the text of these difficulty
supplementary remarks upon method has not been much, if at Let us take, then, combinations all, treated by economists. of workmen against employers ; a deviation from our subject for which the less apology is due as it is part of the purport of some coming remarks to insist on the essential unity of the
different kinds of contract.
tained in the
;
Let us consider the argument about Trades Unions con' Economics of Industry,' book iii. chapter 6, 1 and 2 or rather a certain popular argument against Trades Unions strengthened by whatever it can borrow from the passage under consideration.
It is
sion does not follow
submitted with great deference, first, that the conclufrom the premisses, if the conclusion is
that trades unions tend to defeat their

of the unionists.
own
object, the interest
The premiss
is
is
that the consequence of the
a continually increasing ' check to the growth,' diminution from what it would have been, of the
action of Trades Unions
1
Above,
p. 47.
COMBINATION OF WORKMEN.
137
wages-and-profits fund, and so of the total Kemuneration of operatives. But, since the utility of the operatives is a function not only of their remuneration, but their labour ; and, though
an increasing function of the remuneration, considered as

explicit,
is
a decreasing function of the
same considered
as
' it does not follow that there tends to deimplicit in labour ; crease that quantity which it is the object of unions to increase
the
ficial
unionists' utility at each time, or rather time-integral of Bather, it appears from the general analysis of conutility.
tract that, if any effect is produced by unions, it is one beneto the unionists (presupposed, of course, intelligence on their part) ; and that, if combination is on a sufficiently large
an effect is likely to be produced. But, secondly, the premisses are not universally true, those of the popular argument at least ; for the Marshall argument
scale,
'
keeps
intra
spem
venise cautus.'
'
For though
it
be true that
the action of unionists, if they refuse to sell their labour at a reserve price,' would be to diminish ultimately the except
Bemuneration, this result would no longer hold if the unionists were to insist, not on a rate of wages, leaving it to the emrate,
buy as much or as little work as they please at that but upon other terms of employment a certain quantity of remuneration in return for a certain quantity of work done. If (in our terminology) they proceeded by way of contractployers to
Geometrically let an abscissa represent time. Let the remunerations at each time, as they would have been, be represented by ordinates forming a sort of hyperbola-shaped curve as to the portion of time at least with which we are concerned - -from the present, far as human eye can see (not to
1 ;
trouble ourselves about the vertex and the asymptote).
To
fix the ideas, let let
the approximate shape be given by
.2
\-
0.
Now
the series
(\
of remunerations,
t
as
1
it
is
in
consequence of the action of Unions, be

c is
if y'
>
5â1
Vts 2
where b'<b,
'
positive.
Let the present time
correspond to the point where
?/'
= y;
being the old.
We
have then V
~^
be new ordinate at any point y
the percentage of loss of remuneration
continually increasing. But the end of the unionists is not the ordinates nor the area, but the hedonic integral represented by the solid contents of a
From the certain quasi-hyperboloid described upon the quasi-hyperbola. nature of the functions of this surface it appears that the solid contents may
be greater in the
latter case than in the former.
Q.E.D.
138
APPENDICES.
curve,* not by way of demand-curve, the presumption is that their notion would increase not only their utility but their
remuneration.
And, thirdly, even if the literary method by a sort of intuition or guess-work apprehends the truth, it can hardly
comprehend the whole
truth.
For
is
that the tendency of combinations
it appears from analysis not only to make contract
more beneficial to the unionists, but also to make it indeterminate a circumstance of some interest as bringing clearly into view the necessity of a principle of arbitration where
;
combinations have entered
in.
The Mathematical method does
not, of
course,
show to
advantage measuring itself with the ungeometrical arguments of Mr. Marshall, himself among the first of mathematical economists, and bearing, even under the garb of literature, the
arms of mathematics which peep out in this very place (' Economics of Industry,' p. 201). A much more favourable comparison would be challenged with the popular economists, who often express themselves rather confusedly, as Mr. Morley, in an eloquent address, 2 points out. Mr. Morley's own opinion is not very directly expressed, but is presumably opposed to
;
those who deny that unions can raise wages.' Now, it is submitted that this opinion, in face of the Cairnes-Marshall arguments, can only be defended by the unexpected aid of mathematical analysis. The incident may suggest, what is the burden of these pages, that human affairs have now reached a
state of regular complexity necessitating the aid of mathematical analysis ; and that the lights of unaided reason though spark-
are but a ling with eloquence and glowing with public spirit unless a sterner science fortify the way. precarious guide But what is all this to landlords and tenants ? Or can
your scanty analysis of combination in general be securely extended to the peculiar case of rent ? The reply is Yes the
:
reasoning about the tendency of combination to produce indeterminateness can with sufficient safety by a sort of mathematical reduction be extended from the general to a particular
case.
Symbols are not to be multiplied beyond necessity. Kather the mathematical psychist should be on his guard to
1
See pp. 48, 116.
Fortnightly Revieiv, 1877,
p.
401.
CONTRACT ABOUT REXT.

Deduct what
is
139
but vanity or dress,

idleness
:
Or learning's luxury, or Mere tricks to show the
stretch of
human
brain.
To show, however, this very thing, the substantial unity of the theory of contract (whatever the articles), and also to further illustrate the general theory, let us attempt an analysis of
the contract between landlord and cottier-tenant.
We may
ab-
stract all the complications of commerce, and suppose the competitive field to consist only of landlords and cottier-tenants.
Let us
start,
then, upon the

Fig.
6.
lines of previous trains of
numbers of on the one and on the other side equalequal-natured landlords, natured tenants. The quantity and the quality of the land possessed by each landlord are supposed to be the same the quantity limited, or more exactly less than a tenant if he had The to pay no rent would be willing to take into cultivation. and capacities of the tenants likewise are for the requirements moment supposed equal. Let us represent the portion of land owned by the landlord as a portion of the abscissa o x, and the corresponding rent paid by a length measured along the other
reasoning, and begin by imagining equal
side
;
co-ordinate.
And
let us
proceed to write down in this particu-
II)
APPENDICES.
the functions whose general character has been already
lar case
described.
the landlord, is F (y) (subject P, the utility-function of to a certain discontinuity which will be presently suggested).
II,
the utility-function of
< (< (e)
Y the
x
tenant,
is
y)
ty (x e)
subject to the condition
(-)
= 0.
Here
3>
as
before
is
e is the amount of objective-labour (muspleasure-function, cular energy or other objective measure of labour) put forth by Y, per unit of land. </>(e) is the corresponding produce per
unit
a function which, according to the law of diminishing ; returns, has its first differential continually positive, and its second differential continually negative, x e is the total objecthe corresponding subjective labour, or distive labour, yjr (x e)
utility
;
fatigue has both positive. Since e (whatever x be a
a function which according to the law of increasing its first and second differential continually is variable at the pleasure of Y, he will vary it
may be),
;
so that his utility as far as in

(
him
lies
may
maximum
whence
\ cle /
== 0.
Let us
for
convenience
designate the function which results from the indicated elimination of e by 7r (x y).
The indifference-curves
of the landlord if he have
no other
use for his land are horizontal lines ; importing that it is indifferent to the landlord how much land he lets, provided he
gets the same (total) rent.
Let us however
for
the sake of
il-
lustration, and indeed as more real, suppose that the landlord can always make sure of a certain minimum, by employing his land
otherwise, e.g. not letting

graziers.
it
to cottier cultivators,
If then the landlord's
but to capitalist income from lands thus other-
wise employed be proportionate to the land- thus employed at a certain rate per unit of land, the landlord's indifference-curve
may
be represented by
and
The indifference-curves
differential
parallel lines (Fig. 6). of the tenant are given

)
by the
equation
V.
-^ d x d xJ
in
CO
\dyJ
-^
dy
0.
Now
is
X'J
by hypothesis positive
the neighbourhood of the
CONTRACT ABOUT RENT.

origin,
;
141
x has been assumed less and negative ultimately since would be willing to take into than the quantity of land which Y cultivation without rent, which quantity is given by the equation
(r>^>-=is
And
($-(S)=where
f
v <'*->
o)=0.
Thus the indifference curve ascends in essentially negative. the origin and descends as indicated in the neighbourhood of
the figure to the point
ir (x,
Again,
~dx 2 ~~\
dx)
\dy
dx dy\dxdyJ
^dyJ \dx
_
,
d f _j\3
\dyJ
where
u?; U?J
I
fd^\ = fd.,U\ +a 9
f d2
U \de
\srrJ dx
+ (d
(de.y Ki?) (sJ +
TI\
(V d
^ 2-?, the last term being equal to zero in virtue of the 2 J dx
equation
-=
J
= 0.
And t = ( >
V
"
,
And
similarly for
de 2 J
the other second differentials of little ir. Working out the somewhat elephantine formulae thus indicated, and attending to
the character of the functions curve
is
<J>
<
-v/r,
we should
find that
the
convex when
-^ dx
is
negative.
The
attention
of
the
directed to this, if expanded rather lengthy, is mathematical reasoning, for xvhich never a numerical datuvi The curves may be (I is postulated, about a social subject. Thus in figure 6, o T r) s is a fair convex at starting. think)
student
representation of Y's indifference-curve through the origin. The curve through ym and (x' y') represents (part of) another
member
of the
same family.
.
The demand-curve of the landlord is the ordinate at the The landlord will be willing point x from above the point y to take any amount of rent for his land above that minimum
!
Or, in other terms, the quantity of land

1
which he
offers at
any
Compare
the reasoning at pp. 35, 36.
1-12
APPENDICES.
rate of rent (indicated by the angle between a vector and the The demand- curve of the tenant is the abscissa) is o x.
drawn from the and indifference-curves. In the figure it is supposed origin the last point indicating the to pass through T, 77, and R of land demanded by the tenant at rate of rent zero. quantity So far as to what may be called personal or individualistic What of the mutual function, which plays so large functions.
;
locus of points of contact between vectors
a part in our speculations, the contract-curve ? The available portion of the contract-curve is y r) , the portion of the orthe origin.
dinate at x intercepted between the indifference-curves from For it is easy to see that if the index be placed
left (it
anywhere to the
cannot by hypothesis be placed on the
right) of this line it will run down under the force of concurrent self-interests to the line in question. For instance, at the point T, the indifference- curve of is drawn in the figure,
and the indifference-curve of X is a line parallel to 0y between which and the corresponding lines at each point the
;
index will continually move down to the line xt] (assuming at least a certain limitation or relative smallness of ox). Here, however, occurs the interesting difficulty that the general condition
Vo'
,.,.
dV dU _ dU -_ -= dV = dx dx
-,
is
dy
dy
not satisfied by the line

?
,.
..
,.
2/o
What
is
the rationale of this
It
may be
thus stated.
The contract-curve expresses the condition

donic (relative)
of a certain he-
maximum.
Now
the condition of this maxi-
mum
in general, according to the general principles of the Calculus of Variations, the vanishing of a certain first term of
is
variation.
is
But the general
rule of the Calculus of Variations
suspended in particular cases of imposed conditions ; according to a principle discovered by Mr. Todhunter, which is pro-
human
bably of the greatest importance in the calculus as applied to affairs. Now the case before us of quantity of land
fixed and small constitutes such an imposed condition and barrier as is presented in so many of Mr. Todhunter's problems. In the metaphorical language already employed, we
1
might conceive the contractors' joint-team driven over the plain up to the barrier y r) ; ready to move on to the right of
1
Above,
p. 24.
CONTRACT ABOUT RENT.

the line
either
if
143
up
the barrier were removed, but incapable of moving or down the line. If the quantity of land were
fluent, as in general articles of contract are to be regarded, then the ordinary form of the contract-curve will reappear. That the quantity of land should be regarded as fluent it is
it should be absolutely unlimited, as in general articles of contract have a superior limit e.g., the quanIt suffices that the quantity of tity of labour a man can offer. land should be large ; more exactly that the angles made by
not necessary that
Y at each point of the ordinate with the direction o x should be greater than the angles made by the indifference-curves of X.
the indifference-curves of
Let us now proceed to investigate the final settlements in the field of competition just described. The first condition 1 of a final settlement is that the whole field be collected at a
point on the contract-curve. The second condition is that What then are those points at recontract be impossible. field being concentrated recontract is possible ? which the whole
Those at which
landlords can recontract

of contract-curve
with q tenants.
By p and q are unequal. The or at least the settlements to one of which it tends, recontract, may be represented by a supplementary contract-system constructed on the analogy of that above 3 indicated. A little attention will show that p must be greater than q when the point y falls as in the figure below the point w to be presently deThe supplementary system then consists of the fined. contract-curve and a perpendicular to the abscissa at original the point x' such that p x ox = q x o x' and it imports that the recontractors tend to the following arrangement: the p landlords on a point, say x y, of the original contract-curve, and the q tenants on a point x'y' determined by the intersection of a vector through x y, with the supplementary contractdefinition
;
curve or perpendicular at x' Accordingly, if as just supposed the whole field is concentrated at a point xy on the contract.
curve
1
landlords can
p. 35.
recontract with q tenants so long as y
Above,
Each recontracting
for himself, of course, the fourth imperfection being

3
not in general presupposed. 4 It may be a nice question
P. 37.
how
far, as a matter of fact, the process of
APPENDICES
corresponding point
x' y'
falls
is
such that the
within
the
tenant's indifference-curve
drawn through x y. The recontract will just be impossible when x' y' is on the intersection of the indifference and supplementary curves. It w ill appear that
r
the larger
is
the fraction
the longer, as
we ascend the con-
tract-curve
ferred.
moving from y0< is impossibility of recontract deThe last point, therefore, at which recontract is
possible, is
y mj the (tenant's) indifference-curve through which meets the vector from the origin on the ordinate at x\ where (ml)ox' = mox. The points beyond y m are final settlements. By parity it may be shown that the points on the contract;
curve in the neighbourhood of r) are not final settlements but that the system if placed at any of them will move away under the influence of competition between landlords on to
;
point w m the indifference-curve through which meets the vector from the origin on the ordinate at x" where mox"
=(m 1)
ox.
rj
Between
m and y m there
is
a reach of contract-curve con-
The larger sisting of final settlements. the reach of indeterminate contract.
is the smaller,
is
It is clear that similar reasoning will hold if we suppose our landlords and tenants to be not individuals, but equal
corporate competitive units, in short, equal combinations as in these pages understood. Thus it is clearly seen how the increase of combination tends to increase indeterminateness in a
sense favourable to the combiners.

Clearly seen in the abstract ; and what has been sighted in the abstract will not be lost sight of as it becomes immersed
in the concrete
on each
side,
when we suppose the numbers of the parties the natures of the tenants, the quantities and
:
qualities of land, the size
of combinations,
&c,
to be unequal.
recontract in imperfect competition will involve the conception of rate cf exchange the tenant for instance endeavouring to vary any existing contract because at the rate presented by that contract, the ratio of the articles exchanged, he would be willing to take, he demands, more land. It has
seemed best in treating of contract in general to keep clear of a conception which is, it is submitted, essential only to one species of contract, that determined by perfect competition.
CONTRACT ABOUT REXT.
14-5
The treatment
by the
of different numbers on each side is suggested The theory of the supplementary contract-curve. treatment of different natures may be thus indicated in the important instance when the numbers on each side are indefiIn this instance, it may be premised, upon the nitely large.
supposition of equality the points rj m and y m coincide at the point 77, where the vector from the origin touches the (tenant's) indifference-curve on the contract-curve, and which is accord-
And it is also on the ingly on the tenant's demand-curved And thus contract is determined by landlord's demand-curve. 2
Here we suppose all the intersection of the demand-curves. the tenants to have the same requirements, the same indifference-curves.
which are touched at

varying, let
might conceive the perfectly similar curves rj coincidently heaped up. Now, the natures the curves no longer identical slide away from
We
still keeping in contact with the itself-moving subject to the condition that the sum of the lands let is equal to the sum of the lands rented. Or more precisely subject to the said condition, draw a vector from the origin such
each other,
vector
;
that
it touches a member of every family of (tenant's indifferIt is clear that equilibrium is then attained. ence) curves. No tenant wants any more land at the rate of rent indicated
by the vector, and therefore does not, as he otherwise would, tend to raise the rate in order to obtain more land at the same, And no landlord has an or even a slightly increased, rate. for more rent, since he has no more effective demand
land.
The preceding investigation applies to the case of different The case of different qualities is one which quantities of land. has not been explicitly treated in these pages. But its treat-
ment
is suggested by analogy. If, for instance, there are two species of land, x and y, the rent being represented Z (=Zj + Z y ), the contract-locus might be regarded as a curve of double curvature, down which down from their maximum the tenants are worked by competition, the further as utility they are less combined. It would be easy, were it relevant, to contemplate from this point of view the Kicardo-Mill theory of the worst land paying no rent,' &c.
'
See Index sub voce Demand-curve.
Above,
p.
141.
Ill)
APPENDICES.
With regard to combinations in the concrete, it may be observed that, while in the abstract symmetrical case equality of distribution between combiners might be taken for granted, we must in case of unequal natures presuppose in general a
principle of distribution as an article of contract between members of a combination presumably tending to the utili;
tarian distribution.
final efflorescence of analysis additional fruit, though perhaps one who would yield knew where to look might find some slight vintage. Attention may be directed to the possible initial convexity of the tenant's
It
was not promised that this
much
indifference-curve.
It will
depend upon the presence or absence
of this property whether or not the tenant can be deprived by competition of the entire utility of his bargain in perfect competition; and the same property presents interesting peculiarities in the case of imperfect competition.
What it has been sought to bring clearly into view is the essential identity (in the midst of diversity of fields and articles) of contract ; a sort of unification likely to be distasteful to those excellent persons who are always dividing the One into
the Many, but do not appear very ready to subsume the under the One.
Many
Mr.
Cliffe Leslie is continually telling

'
got from such abstractions as the
desire of wealth
us that nothing is to be and aversion
for labour,' feelings different in different persons,
and
so forth.
Yet he would surely admit that there
a general theory of of the bargain between individuals actuated by those contract, abstract desires, irrespective of the diversity of their tastes, and
is
1
the information about particulars which Mr. Cliffe Leslie Thus confining our attention to the simple case desiderates.
all
two 2 sets of contractors, Xs and Ys it may be Producers and Consumers, Employers and Employed, Lenders and Borrowers, Landlords and Tenants, International traders ; preof
scinding this simple case for convenience of enunciation, we might write down I think some such (not the most general, but
quite generalisable)
laws of contract
contract
qualified
by
competition.
i.
Where the numbers on both

1
sides are indefinitely large,

*
See
p. 145.
See above,
p. 17.
CONTRACT IN GENERAL.
and there are no combinations, and competition
respects perfect, contract
ii.
147
is
in other
is
determinate.
is
Where competition
Cteteris
imperfect,
contract
is
indeter-
minate.
paribus, if the numbers on creased (or increased) each of the (original) side, in perfect competition gains in point of in imperfect competition stands to gain (or
in.
l
one side are de-
members on that
utility (or loses)
;
IV.
In perfect competition,
one side
if
the amount of article offered at each price this whole scale of offers is increased on one side, whether
meaning
if,
coeteris
stands to lose). paribus, the supply on
from increase of numbers on that side or otherwise, then the other side gains ; and an analogous proposition is true of imperfect competition.
two theorems have important exceptions mostly mathematical analysis for their investigation ; those, requiring for instance, which may be presented by Mr. Marshall's second
last
class of curves (if
The
the introduced change might cause a

first
jump
from the neighbourhood of the
intersection of
demand-
curves to that of the third). The preceding and the many similar abstract theorems are im2 portant as well as those historical inquiries on which Mr. Leslie It suffices to say that on a form of the lays so much stress.
third theorem J. S. Mill propounded his counsels to the wageearning classes, and shaped and re-shaped the policy of millions
upon a theory of capital-supply, at

perhaps be called the special
at length
4 3
first
affected with
what may
corrected,
and
vice of unsymbolical Economics, 5 after all imperfectly because ungeo-
metrically apprehended. It is easy with Cairnes protesting against the identification of Labour with commodities to say 6 ' Verbal generalizations
:
Demand to Supply is what any costermonger will tell you.' But the noble costermonger would not perhaps find it so easy to tell us about Mr. Marshall's Demand-curves Class II., or other exceptional cases,
are of course easy,' and the equation of
'
1
See p. 43. There is room for

3
5
all,
as Prof.
4 6
Jevons points out
in a
temperate
article in the Fortnightly Review.
Above, Above,
p.
127.
p. 5.
Review of Thornton. Leading Principles, Part l 2
II. ch.
i.
2.
148
APPENDICES.
such us those which are presented by imperfect competition

(trades unions, &c). Of course it is right to notice differences as well as similarities.
It
is
genus of
Man
proper to attend to the differentia, as well as the in particular to dwell upon the high moral ;
But we attributes which distinguish him from other animals. must not allow this distinction and the associated moral sentiments to oppose the unifications of science and our reception It is very right and proper with Mr. of the Darwinian theory.
Frederick Harrison
'
for
high moral purposes to insist that
the labourer has not a thing to sell, that the labour-market to dwell upon the differentiae 2 of the is an unhappy figure But we must not allow ourselves to contract about labour. is a sense in which the labourer equally with forget that there
;
3 any other contractor has a thing to sell, an article that there is an abstract general mathematical theory of contract. The need of this sort of generalisation is not imaginary, and an example of the apparent deficiency in this respect of the highest philosophical, without mathematical, analysis may impressively conclude these somewhat unmethodical remarks upon method. Mr. Sidgwick discussing the bargain between employer and workman with less than his usual clearness indeed, yet at
;
by opposition to the, as it is here submitted, perfectly states that in unstatement of Walker upon wages restricted competition (presumably in what is in these pages called perfect competition) the bargain between employer and
least
correct
workmen
case a).
is
as indeterminate in such a labour-market as the
bargain between a single employer and a single workman (our
Which is contrary to the first law of To have improved upon the statements
surely be a sufficient vindication
contract.
of
would
of
Mr. Sidgwick Mathematical
Psychics.
Fortniyhtly Review. But not to exaggerate them, as Thornton perhaps does when he speaks of the continual perishing, the loss during every moment that its sale is delayed, of lahour. For is not the same true of capital and anything which
2
1
is
for hire
3
of the use of a cah, as well as the lahour of the cahman
Fortnightly Review, 1865.
INDEX.
ACT
ind
Action
(momentum-potential),
11, 14, 89, 91
Airy, 86-7
Aristotle, 55, 75, 89
Darwinian, 74, 132 Delbceuf, 60, 62 Demand-Curve, 38-42

dix Y.
Appen-
Article of contract,
Determinate, 19
Doubleday, 72
Bain, 60, 62, 92, 99, 126 Barratt, 58, 65, 79, 80, 81
Beccaria, 117
Equality, 81, 99
Euclid, 57
Bentham, 52, 133

Buffon, 77
98, 117, 128, 129,
Fawcett, 44
Field of Competition, Final (settlement), 19
Fourier, 59, 81
1
Burke, 78, 79 Butler, 82
Cairnes, 44, 94, 119, 126, 127, 138, 147

Capacity, 57-59
Capital, 3133
Galton,
70, 72,
132
Gossen, 94 Green, 76
Combination, 19, 43-48 Competition, 17 Comte, 85, 91, 109

Contract, 17, 21
Grote (John), 76
Hamilton (W. Rowan),
11,
94
Cooperative Association, 17, 49 Cost of Labour, 121

Courcelle-Seneuil, 30, 44, 109
Cournot, 40, 47, 83
Harrison (Frederick), 135, 148 Hegel, 97 Helvetius, 128 Holyoake, 52
Crompton, 134
Hume, 78
Indeterminate, 19
Cunynghame,
96, 121
Darwin
(G. H.), 94
Indifference-curve, 21
150
JEV
INDEX.
WUN
33, 34,
III.,
Jevons,
1,
7, 21, 30, 31,
ReCON TRACT, 17
Rent, 135-146 Ricardo, 135, 145
39, 61, 83-87,
Appendix
98; Appendix V., 118, 120,

126
Rousseau, 78
Lagrange,
Laplace,
7,
10, 13,
94
Saturday Reviewer of Professor

Jevons, 83-86 118, 120, 126
Settlement, 19
;
62, 134
Appendix V.,
Leslie (Cliffe), 47, 135, 146, 147
Lewes, 13
Lewis (Cornewall), 126
Sidgwick,
16,
32,
33,
52,
62,
76-81, 93, 96, 98; Appendix IV., 124, 126, 127, 148
Malthusian,
Marshall,
5,
68,
73
26, 30-33, 39, 42,
46,92, 96, 105-109, 118, 125, 130, 137, 138, 147
Spencer (Herbert), 12, 51, 72, 75, 103-104, 122, 133-134 Stewart (Balfour), 14
Maximum-Principle, 9-15, 24 Maxwell (Clerk), 13, 76, 80, 90,

91, 100, 101, 123, 134
Stewart (Dugald), 51 Stranch, 92

Sully, 58, 72,
100
Means, 57 MU1, 5, 12, 52, 54, 75, 81, 82,

95, 98, 118, 145, 147
Tait and Thomson,
126,
129,
132,
Thompson (on
Thornton,
4, 7, 85, 124 Wealth), 59, 129
5, 48,
148
93,
Morley (John), 138
Todhunter, 112, 142

tion.'
6,
55, 92,
111,
Trades-Union.
See
'
Combina-
Napoleon, 134 Newton, 97
Variations, Calculus See Todhunter

l
'
of,
109.
Owen, 81
Venn, 61
Perfect (Competition), 18
Plato, 4, 51, 94, 126
Walker
Walras,
5, 26,
(on Wages), 54 30-32, 40, 42, 46,

6,
Preference-Curve, 22
Price, 31,
47, 105, 119, 125, 127

n.
48,
143
See De-
Watson and Burbury,

123
10, 90,
mand and Supply

Priestley,
117
Wundt,
7, 60,
62 75
;
Spoltiswoode 4c Co., Printers, Nete-slreet Square, London.

jc\
iro
:ket
RY
BINDING SECT. NOV 4
1966
HB 99 E34
Edgeworth, Francis Ysidro Mathematical psychics
PLEASE
DO NOT REMOVE
FROM
THIS
CARDS OR
SLIPS
POCKET
UNIVERSITY
OF TORONTO
LIBRARY

Mathematical Psyc Edgeworth

Uploaded by

Document Informationclick to expand document information

Copyright:

Available Formats

Mathematical Psyc Edgeworth

Uploaded by

Document Information

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

Mathematical Psyc Edgeworth

Uploaded by

Copyright:

Available Formats

MATHEMATICAL PSYCHICS

THE MORAL SCIENCES

KEGAN PAUL &

(The rights of translation and of reproduction are reserved)

without more precise data than are

stitute the first principles of Ethics

those Principles of Maximum the highest generalisations of Physics, and in virtue of

and Economics, and Energy which are among

which mathematical reasoning

the principle of division suggesting an addition to Mr.

INTRODUCTORY DESCRIPTION OF CONTENTS.

What a argued that Market imperfect, minate the following

(pp. 37, 39).

In a certain similar case likely to occur in con-

tracts for personal service (pp. 42, 46).

contract are not

perfectly divisible (p. 42, 46). (in.) In case of Combination, Unionism

general and abstractly

speaking) unionists stand

indeterminateness likely from these causes to

argued from mathematical considerations that

which can of course

INTRODUCTORY DESCRIPTION OF CONTENTS.

employed by Bentham's school, has

Utilitarian Calculus (pp.

56-82) the central

deduce middle axioms, means conducive

of a very abstract, perhaps only neganegativing the assumption that Equality

necessarily implied in Utilitarianism.

Capacity for happiness under

average more pleasure

taken of the interests of posterity.

Such are the principal topics handled

Mind, July 1879,

INTRODUCTORY DESCRIPTION OF CONTENTS.

On II. On III. On IV. On V. On VI. On VII. On

83-93 93-98 98-102 102-104 104-116 116-125 126-148

much broken up by this arrangement

used in a technical sense.

what has always been

the deference due to

the diffidence proper to the subject.

the less familiar, but not in reality subject of this essay.

Cf. Jevons, Theory, p. 9. Introduction to Theory of Political

example, that a quantity

reasoning is possible and take a trivial instance a

greater than greater than

important social problem.

required to distribute so as to obtain the greatest

possible quantity of available energy, set of engines, which differ in efficiency

being than another

total quantity of fuel

of definition and problem.

answered more informally, yet

sense, the worst of such unsymbolic,

want a measure of what

conveying and making

likely to suspect this deficiency,

The preceding problem,