"If," he continues, "the labourers of the country collectively produce twenty per cent more than their wages, profits will be twenty per cent, whatever prices may or may not be." This is, on the one hand, a rare bit of tautology; for if labourers produce a surplus-value of 20% for the capitalist, his profit will be to the total wages of the labourers as 20:100. On the other hand, it is absolutely false to say that "profits will be 20%." They will always be less, because they are calculated upon the sum total of the capital advanced. If, for example, the capitalist have advanced £500, of which £4OO is laid out in means of production and £100 in wages, and if the rate of surplus-value be 20%, the rate of profit will be 20:500, i.e., 4% and not 20%.

Then follows a splendid example of Mill's method of handling the different historical forms of social production. "I assume, throughout, the state of things which, where the labourers and capitalists are separate classes, prevails, with few exceptions, universally; namely, that the capitalist advances the whole expenses, including the entire remuneration of the labourer." Strange optical illusion to see everywhere a state of things which as yet exists only exceptionally on our earth.¹¹ But let us finish — Mill is willing to concede, "that he should do so is not a matter of inherent necessity." On the contrary: "the labourer might wait, until the production is complete, for all that part of his wages which exceeds mere necessaries: and even for the whole, if he has funds in hand sufficient for his temporary support. But in the latter case, the labourer is to that extent really a capitalist in the concern, by supplying a portion of the funds necessary for carrying it on." Mill might have gone further and have added, that the labourer who advances to himself not only the necessaries of life but also the means of production, is in reality nothing but his own wage-labourer. He might also have said that the American peasant proprietor is but a serf who does enforced labour for himself instead of for his lord.

After thus proving clearly, that even if capitalist production had no existence, still it would always exist, Mill is consistent enough to show, on the contrary, that it has no existence, even when it does exist. "And even in the former case" (when the workman is a wage labourer to whom the capitalist advances all the necessaries of life, he the labourer), "may be looked upon in the same light," (i.e., as a capitalist), "since, contributing his labour at less than the market-price, (!) he may be regarded as lending the difference (?) to his employer and receiving it back with interest, &c."¹² In reality, the labourer advances his labour gratuitously to the capitalist during, say one week, in order to receive the market price at the end of the week, &c., and it is this which, according to Mill, transforms him into a capitalist. On the level plain, simple mounds look like hills; and the imbecile flatness of the present bourgeoisie is to be measured by the altitude of its great intellects.