Document 16.6 Edward Bellamy, Looking Backward, 2000–1887, 1888

Edward Bellamy | <em>Looking Backward, 2000–1887</em>, 1888

Edward Bellamy’s best-selling novel Looking Backward, 2000–1887 offered utopian socialist solutions to the problems facing the rapidly industrializing United States. After falling into a medically induced sleep, Bellamy’s narrator, Julian West, awakens in the year 2000 to find that many of the social inequities of the late nineteenth century have been resolved. In the following passage, Dr. Leete, who has revived West, attempts to explain the dramatic change in U.S. society. The passage begins with Leete asking West questions about his era.

“What should you name as the most prominent feature of the labor troubles of your day?”

“Why, the strikes, of course,” I replied.

“Exactly; but what made the strikes so formidable?”

“The great labor organizations.”

“And what was the motive of these great organizations?”

“The workmen claimed they had to organize to get their rights from the big corporations,” I replied.

“That is just it,” said Dr. Leete, “the organization of labor and the strikes were an effect, merely, of the concentration of capital in greater masses than had ever been known before. Before this concentration began, while as yet commerce and industry were conducted by innumerable petty concerns with small capital, instead of a small number of great concerns with vast capital, the individual workman was relatively important and independent in his relations to the employer. Moreover, when a little capital or a new idea was enough to start a man in business for himself, workingmen were constantly becoming employers and there was no hard and fast line between the two classes. Labor unions were needless then, and general strikes out of the question. But when the era of small concerns with small capital was succeeded by that of the great aggregations of capital, all this was changed. The individual laborer who had been relatively important to the small employer was reduced to insignificance and powerlessness over against the great corporation, while, at the same time, the way upward to the grade of employer was closed to him. Self-defence drove him to union with his fellows.

“The records of the period show that the outcry against the concentration of capital was furious. Men believed that it threatened society with a form of tyranny more abhorrent than it had ever endured. They believed that the great corporations were preparing for them the yoke of a baser servitude than had ever been imposed on the race, servitude not to men but to soulless machines incapable of any motive but insatiable greed. Looking back, we cannot wonder at their desperation, for certainly humanity was never confronted with a fate more sordid and hideous than would have been the era of corporate tyranny which they anticipated.

“Meanwhile, without being in the smallest degree checked by the clamor against it, the absorption of business by ever larger monopolies continued. In the United States, where this tendency was later in developing than in Europe, there was not, after the beginning of the last quarter of the century, any opportunity whatever for individual enterprise in any important field of industry, unless backed by a great capital. During the last decade of the century, such small businesses as still remained were fast failing survivals of a past epoch, or mere parasites on the great corporations, or else existed in fields too small to attract the great capitalists. Small businesses, as far as they still remained, were reduced to the condition of rats and mice, living in holes and corners, and counting on evading notice for the enjoyment of existence. The railroads had gone on combining till a few great syndicates controlled every rail in the land. In manufactories, every important staple was controlled by a syndicate. These syndicates, pools, trusts, or whatever their name, fixed prices and crushed all competition except when combinations as vast as themselves arose. Then a struggle, resulting in a still greater consolidation, ensued. The great city bazar crushed its country rivals with branch stores, and in the city itself absorbed its smaller rivals till the business of a whole quarter was concentrated under one roof with a hundred former proprietors of shops serving as clerks. Having no business of his own to put his money in, the small capitalist, at the same time that he took service under the corporation, found no other investment for his money but its stocks and bonds, thus becoming doubly dependent upon it.

“The fact that the desperate popular opposition to the consolidation of business in a few powerful hands had no effect to check it, proves that there must have been a strong economical reason for it. The small capitalists, with their innumerable petty concerns, had, in fact, yielded the field to the great aggregations of capital, because they belonged to a day of small things and were totally incompetent to the demands of an age of steam and telegraphs and the gigantic scale of its enterprises. To restore the former order of things, even if possible, would have involved returning to the day of stage-coaches. Oppressive and intolerable as was the regime of the great consolidations of capital, even its victims, while they cursed it, were forced to admit the prodigious increase of efficiency which had been imparted to the national industries, the vast economies effected by concentration of management and unity of organization, and to confess that since the new system had taken the place of the old, the wealth of the world had increased at a rate before undreamed of. To be sure this vast increase had gone chiefly to make the rich richer, increasing the gap between them and the poor; but the fact remained that, as a means merely of producing wealth, capital had been proved efficient in proportion to its consolidation. The restoration of the old system with the subdivision of capital, if it were possible, might indeed bring back a greater equality of conditions with more individual dignity and freedom, but it would be at the price of general poverty and the arrest of material progress. . . .

“Early in the last century the evolution was completed by the final consolidation of the entire capital of the nation. The industry and commerce of the country, ceasing to be conducted by a set of irresponsible corporations and syndicates of private persons at their caprice and for their profit, were intrusted to a single syndicate representing the people, to be conducted in the common interest for the common profit. The nation, that is to say, organized as the one great business corporation in which all other corporations were absorbed; it became the one capitalist in the place of all other capitalists, the sole employer, the final monopoly in which all previous and lesser monopolies were swallowed up, a monopoly in the profits and economies of which all citizens shared.”

Source: Edward Bellamy, Looking Backward, 2000–1887 (Boston: Ticknor, 1888), 71–78.