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nly increases and multiplies the productivity of labour, but also compensates for the moral deficiency caused by the division of labour, and supplies a higher unity and synthesis in place of the division of labour. But according to Proudhon this is not the case; with machinery begins the distinction between masters and wage-earners, between capitalists and workmen. Thus mankind, instead of being raised up by machinery from degradation, sinks deeper and deeper. Man loses both his character as a man, and freedom, and becomes only a tool. Prosperity increases for the masters, poverty for the men; the distinction of caste begins, and a terrible struggle becomes manifest, which consists in increasing men in order to be able to do without them. And so the general pressure becomes more and more severe; poverty, already heralded by the division of labour, at last makes its appearance in the world, and henceforth becomes the soul and sinews of society. As opposed to its aristocratic tendencies, society places freedom or competition. Competition emancipates the workman and produces an incalculable growth in wealth. By competition the productions of labour continually sink in price, or (what comes to the same thing) continually increase in quality: and since the sources of competition, just like mechanical improvements and combinations of the division of labour, are infinite, it may be said that the productive force of competition is unlimited as regards intensity and scope. At last, by competition, the production of wealth gets definitely ahead of the production of men, by which statement Proudhon destroys the dogma of Malthus, which, we may remark, was no more proved than his own. But this competition is also a new source of pauperism, because the lowering of prices which it brings with it only benefits, on the one hand, those who succeed, and, on the other, leaves those who fail without work and without means of subsistence. The necessary consequence, and, at the same time, the natural antithesis of competition is monopoly. It is that form of social possession without which no labour, no production, no exchange, and no wealth would be possible. It is most intimately connected with individualism and freedom, so that without it we can hardly imagine society, and yet it is, quite as much as competition, anti-social and harmful. For monopoly attracts everything to itself--land, labour, and the implements of labour, productions an
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