he
transit and building work of the London County Council and of many of
the greater English and Scotch municipalities, are as well managed as
any private businesses in the world.

[8] _The Future in America_, Ch. IX. (Chapman & Hall, 1906.)

On the other hand, one must admit there are political and social
conditions that can carry the quality of the State service almost as
low as the lowest type of private enterprise. It is little marvel that
under the typical eighteenth century monarchy, when the way to ship,
regiment and the apostolic succession alike lay through the
ante-chamber of the king's mistress, there was begotten that absolute
repudiation of State Control to which Herbert Spencer was destined at
last to give the complete expression, that irrational, passionate
belief that whatever else is right the State is necessarily
incompetent and wrong....

The gist of this matter seems to be that where you have honourable
political institutions, free speech and a general high level of
intelligence and education, you will have an efficient criticism of
men and their work and powers, and you will get a wholesome system of
public promotion and many right men in the right place. The higher the
collective intelligence, that is to say, the higher is the collective
possibility. Under Socialist institutions which will give education
and a sense of personal security to every one, this necessity of
criticism is likely to be most freely, frankly and disinterestedly
provided. But it is well to keep in mind the entire dependence of
Socialism upon a high level of intelligence, education and freedom.
Socialist institutions, as I understand them, are only possible in a
civilized State, in a State in which the whole population can read,
write, discuss, participate and in a considerable measure understand.
Education must precede the Socialist State. Socialism, modern
Socialism that is to say, such as I am now concerned with, is
essentially an exposition of and training in certain general ideas; it
is impossible in an illiterate community, a basely selfish community,
or in a community without the capacity to use the machinery and the
apparatus of civilization. At the best, and it is a poor best, a
stupid, illiterate population can but mock Socialism with a sort of
bureaucratic tyranny; for a barbaric population too large and various
for the folk-meeting, there is nothing but monarchy and the ownership
of the king; for a savage tr