BOOK FOURTH.

OF CONSUMPTION.

CHAPTER FIRST.

OF THE NATURE AND DESIGN OF CONSUMPTION.

Of the nature of Consumption. Consumption is the destruction of value. By this is not meant the annihilation of the material, but only of a particular form of utility. Thus, if gunpowder be burned, if bread be eaten, if a tree be felled, the particular utility which each originally possessed, is destroyed for ever. And this destruction of value takes place, altogether independently of the result which may in different cases ensue; because that destruction is as truly effected in one case as in another. A load of wood, when it has been burned, as truly loses its utility, that is, its power of creating heat, when it is destroyed in a conflagration, as when it is consumed under a steam boiler, or in a fire place, though the result in the two cases, may be very dissimilar. If bread be thrown into the sea, its utility is destroyed, just as much as if it were eaten; though, in the one case, there is no result from the consumption, and, in the other, it is the means of creating the vigor necessary to labor.

Hence consumption, viewed simply by itself, may be considered in the nature of a misfortune. It is the destruction of so much wealth as is consumed. A man, if he had his choice, would rather create one product without destroying another; or enjoy a gratification, if it were possible, without rendering the thing enjoyed useless. But, inasmuch as it is the law of our Creator that we shall obtain our possessions, and gratify our desires, on no other conditions than that of the destruction of value, we have no choice. We cannot cut up a hide of leather for the purpose of making shoes, without destroying for ever its utility as a hide of leather. We cannot cut down a tree, and saw it into boards, without destroying forever its utility as a tree. We cannot enjoy the pleasure of eating an orange, without destroying for ever the power in that orange of affording to any one else the same pleasure. And thus, in general, consumption is one part of an exchange, in which we surrender one value with the hope of obtaining another; and whether the hope be realized or not, the value consumed is surrendered, and surrendered forever.

When, however, it is said, that the utility consumed is destroyed for ever, we mean only to speak of this particular utility. There may yet remain some valuable quality which has not yet been affected. Thus, if a linen garment be worn out, its utility as a linen garment is destroyed forever. It may, however, still possess an important utility, as a material for the manufacture of lint or of paper. Wood may be consumed for fuel; and its utility as fuel may be destroyed for ever. A quantity of ashes however remains, which possesses an utility for the manufacture of soap. A pair of India rubber shoes, may be worn out, and yet possess a valuable utility to the manufacturer of India rubber cloth. Hence we see the importance, in all cases, of entirely exhausting all the values contained in any product before we surrender it up as worthless. For the want

of this care, millions of property are annually wasted. The difference between the cost of two establishments, in the one of which every utility of every substance is consumed, and in the other of which, only the first utility is consumed, is frequently as great as the net profits realized in the ordinary employments of industry.

1. Consumption may be either of labor or of capital. A mechanic who bestows a day's labor upon a table, consumes that amount of labor upon it. He also consumes the material upon which he has labored. He has received in return the table, and, if his labor and capital have been well employed, the result will recompense his consumption, both of labor and capital. So he who employs laborers to work for him, consumes all the labor which he purchases. Hence we see that every day spent, is, in fact, so much value consumed. If it bring no profitable result, it is so much value wasted.

2. Consumption may be either voluntary or involuntary. It is voluntary when it is effected by design. It is involuntary when it is the result of accident. In either case, if there be consumption, there is value destroyed. The difference is, that, in the one case, there is a profitable result expected; in the other case there is none. If a loaf of bread become mouldy by neglect, its value is destroyed, just as much as though it were eaten. The difference is, that, in the one case, the loss is total; in the other case, the consumption of value creates a power to labor, which is of more value than the loaf itself. If, for the want of a fender, the fire fall out of the fireplace, and burn the carpet, the carpet is as effectually consumed as if it were worn out by use. The difference is, that, in the one case, it affords a substantial convenience, and in the other it affords none. If, by forgetfulness or neglect, a gate is left unlatched, and it is beaten in pieces by the wind, it is as effectually consumed, as by the wear of several years. The difference is, that, in the one case, it answers for a long time the purpose of inclosure,

in the other case it answers no purpose at all. Hence, the necessity of care and vigilance in all the business of life. Almost every thing is constantly tending to consumption. Vegetable matter decays. Animal matter putrefies. Most of the metals may be corroded. Almost all our possessions are liable to accidental destruction, from fire, or flood; from the cold of winter or the heat of summer. Hence, without our continual care, a continual process of consumption will be going on, by which our capital will be diminished.

3. Consumption is either rapid or gradual. The consumption of wood for fuel is rapid. The consumption of wood, in consequence of the wear of a dwelling house, is gradual. But gradual consumption is as sure and as certain as though it were rapid. Hence, in estimating cost and expenses, unless anallowance be made for wear and tear, our calculations will not agree with the fact. If a man's furniture be wearing out every year, this average of loss, is as much to be taken into account, in estimating his expenses, as the cost of the fuel which he

consumes.

The annual consumption of an individual, is the sum total of all the values which he destroys. Hence the materials upon which he operates, the tools which he wears out, the expenses of his household, both for materials and for labor, are all to be reckoned as parts of his annual consumption. So, also, the values destroyed by a nation, are the national consumption. The exports of an individual or of a nation, are a part of individual or of national consumption, since value to the full amount of the exports, is abstracted from the capital of the country. On the contrary, the imports are the product, or what the country receives back again in return for its exports or consumption.

With

Every man in the country is a consumer. out consuming he could not sustain life a day. He must consume the food which he eats, the clothes which he wears, and the dwelling that shelters him.

Hence, if he do not produce any thing, he is an absolute and useless burden upon the community. If he do not produce as much as he consumes, he is by the whole amount of that deficiency an unprofitable member of the body politic.

A man cannot, honestly, consume more than he produces. And the more he produces, the more may he consume. Hence, the more industrious and the richer the community, the greater will be the consumption, and of course the demand. Hence, as we have said before, the richer the community, the better will it be for every class of producers.

II. Of the design of Consumption. Consumption, as we have said, is the destruction of value. But no man, in his senses, will consume value without some expectation of advantage. Hence, the design of consumption is always some advantage which cannot be obtained in any other way.

This advantage is of two kinds. 1. The increase of value; or, 2. The gratification of desire.

1. The increase of value. This is the design of consumption in all the departments of industry. Thus, the farmer consumes seed, utensils, rent, manure, labor, and food for the sustentation of laborers. These all are abstracted from his capital, and their value is destroyed, either wholly or in part, forever. But he consumes them cheerfully, in the expectation that the crop which he reaps will replace them, and repay both the interest of his capital, and his various outlays for materials and labor, and leave him also a suitable recompense for his industry and skill.

The manufacturer, consumes raw cotton, instruments, machinery, and labor. The value of these various products, is destroyed forever. But, by means of this destruction, he produces a fabric which repays all his consumption, and yields him a reasonable profit.

The merchant collects the productions of his own country, and sends them abroad in his ship. He thus consumes these products, and also the wear and