es is a cause for the other, and the latter then reacts
upon the former, and extends it and increases its scope.

It must be clear that the production of an article in enormous
quantities--its production for the world-market--is, in general,
possible only if the costs of production of the article are low and if
also its transportation is cheap enough not to raise its price
essentially. Production in enormous quantities demands a wholesale
market, and a wholesale market for any commodity can be obtained only
by its low price, which makes it available for a very large number of
consumers; thus the low cost of production and transportation of any
commodity brings about its production on a huge scale in enormous
quantities. It must also be clear, on the other hand, that the
production of a commodity in enormous quantities causes and increases
its cheapness. A manufacturer, for instance, who turns out 200,000
pieces of cotton goods in a year, is able, because he procures his raw
material more cheaply on a large scale and because the profit on his
capital and the interest on his plant is distributed over so large a
number of pieces, to market each piece, within certain limits, at a
far lower price than the manufacturer who produces yearly only 5,000
such pieces. Greater cheapness of production leads accordingly to
production on a large scale. This results, in turn, in greater
cheapness; this in its own turn brings about production in still
greater quantities, and this still greater cheapness, and so on.

The relations are also quite similar in the matter of division of
labor, which is another necessary condition for production in large
quantities and for cheapness, for without it neither cheapness of
production nor large quantities would be possible.

The division of labor which splits up the production of an article
into a great number of very simple and often purely mechanical
operations requiring no thought on the part of the operative, and sets
at each one of these single operations a single workman, would be
entirely impossible without extensive production of this article. It
is therefore established and extended only through such production. On
the other hand, this division of the work into simple operations leads
(1), to a constantly increasing cheapness; (2), to production in
enormous and constantly increasing quantities--a production calculated
not only for this or that neighboring market, but for the entire
world