s to compete with those who naturally follow farming.
On the other hand, the introduction of factories or mining industries has
sometimes affected directly the wages of farm hands through a large region
by lessening competition.

_Upward tendency of wages._--It is certain that the general tendency of
wages in all employments is upward rather than downward, in spite of
serious disturbances from financial depression often repeated. The gradual
increase of welfare among wage-earners is greater even than the increase
in money wages. Those who are inclined to join in the cry that the former
times were better than these can be answered as they were in Solomon's
time, "Thou dost not inquire wisely concerning this." No doubt the
transition from small workshops to large ones and from small factories to
great combinations has caused friction in adjustment to the new
conditions. Many are now wage-earners who were once profit-gainers. But
with the improvements in association and a clearer understanding of
abilities and needs, each worker becomes a stronger factor than ever
before in bringing about a fair competition and a satisfactory
compensation.

There are still new difficulties in every change of method. The influence
of custom often retards freedom of movement, makes more slow the natural
rise of wages, and hinders a gradual adjustment to new conditions. In many
cases it prevents individual enterprise among wage-earners, and crowds
from the higher ranks into competition with the lower because of no
natural outlet for ambition. Even laws intended to protect laborers
sometimes operate against them. Thus a law restricting the terms of
contract between workmen and their employer has sometimes prevented the
employer from investing capital in a business which otherwise would have
increased the opportunity for labor, and so would have actually increased
wages.

The effect of free schools upon ability to earn is generally recognized.
The best estimates place the increase resulting from common school
education at fully 25 per cent. Some of the best establishments are
limiting their offers of employment to young people who have had the
advantage of even high school training. This more general education tends
in two ways to increase the compensation of wage-earners: first, by giving
a clear knowledge of abilities that makes competition fairer; and second,
by increasing the general effectiveness of all production, which enlarges
the su