The Spirit is Reality, it is the whole of Reality, and it has two forms: the theoretic and the practical activities. Beyond or outside these there are no other forms of any kind. The theoretic activity has two forms, the intuitive and individual, and the intellectual or knowledge of the universal: the first of these produces images and is known as Æsthetic, the second concepts and is known as Logic. The first of these activities is altogether independent, self-sufficient, autonomous: the second, on the other hand, has need of the first, ere it can exist. Their relation is therefore that of double degree. The practical activity is the will, which is thought in activity, and this also has two forms, the economic or utilitarian, and the ethical or moral, the first autonomous and individual, the second universal, and this latter depends upon the first for its existence, in a manner analogous to Logic and to Æsthetic.

With the theoretic activity, man understands the universe, with the practical, he changes it. There are no grades or degrees of the Spirit beyond these. All other forms are either without activity, or they are verbal variants of the above, or they are a mixture of these four in different proportions.

Thus the Philosophy of the Spirit is divided into Æsthetic, Logic, and Philosophy of the Practical (Economic and Ethic). In these it is complete, and embraces the whole of human activity.

The discussion of determinism or free will is of course much more elaborated here than in the Æsthetic, where exigencies of space compelled the philosopher to offer it in a condensed form. His solution that the will is and must be free, but that it contains two moments, the first conditioned, and that the problem should be first stated in terms of the Hegelian dialectic, seems to be the only one consonant with facts. The conclusion that the will is autonomous and that therefore we can never be obliged to do anything against our will may seem to be paradoxical, until the overwhelming argument in proof of this has been here carefully studied.

Croce's division of the practical activity into the two grades of Economic and Ethic, to which Kant did not attain and Fichte failed fully to perceive, has for the first time rendered comprehensible much that was hitherto obscure in ancient history and contemporary history. The "merely economic man" will be recognised by all students of the Philosophy of the Practical, where his characteristics are pointed out by the philosopher; and a few years hence, when Croce's philosophy will have filtered through fiction and journalism to the level of the general public, the phrase will be as common as is the "merely economic" person to-day.

For indeed, all really new and great discoveries come from the philosophers, gradually filtering down through technical treatises and reviews, until they reach the level of prose fiction and of poetry, which, since the Æsthetic, we know to be one and the same thing with different empirical manifestations. In truth, the philosophers alone go deeply enough into the essence of things to reach their roots. Thus some philosophy, generally in an extremely diluted form, becomes part of every one's mental furniture and thus the world makes progress and the general level of culture is raised. Thought is democratic in being open to all, aristocratic in being attained only by the few—and that is the only true aristocracy: to be on the same level as the best.

Another discovery of Croce's, set forth in this volume for the first time in all the plenitude of its richness, is the theory of Error. The proof of the practical nature of error, of its necessity, and of the fact that we only err because we will to do so, is a marvel of acute and profound analysis. Readers unaccustomed to the dialectic may not at first be prepared to admit the necessary forms of error, that error is not distinct, but opposed to truth and as such its simple dialectic negation, and that truth is thought of truth, which develops by conquering error, which must always exist in every problem. The full understanding of the Crocean theory of error throws a flood of light on all philosophical problems, and has already formed the basis of at least one brilliant study of contemporary philosophy.

To the reduction of the concept of law to an economic factor, which depends upon the priority and autonomy of Economic in relation to Ethic, is devoted a considerable portion of the latter part of the Philosophy of the Practical, and it is easy to see that an elaborate treatment of this problem was necessary, owing to the confusion as to its true nature that has for so long existed in the minds of thinkers, owing to their failure to grasp the above distinction. In Great Britain indeed, where precedent counts for so much in law, the ethical element is very often so closely attached as to be practically indistinguishable from it, save by the light of the Crocean analysis. In the Logic as Science of the Pure Concept will be found much to throw light upon the Philosophy of the Practical, where the foreshortening of certain proofs (due to concentration upon other problems) may appear to leave loopholes to objection. Thought will there be found to make use of language for expression, though not itself language; and it will be found useless to seek logic in words, which in themselves are always æsthetic. For there is a duality between intuition and concept, which form the two grades or degrees of theoretic knowledge, as described also in the Æsthetic. There are two types of concept, the pure and the false or pseudo-concept, as Croce calls it. This latter is also divided into two types of representation—those that are concrete without being universal (such as the cat, the rose), and those that are without a content that can be represented, or universal without being concrete, since they never exist in reality (such are the triangle, free motion). The first of these are called empirical pseudo-concepts, the second abstract pseudo-concepts: the first are represented by the natural, the second by the mathematical sciences.

Of the pure concept it is predicated that it is ineliminable, for while the pseudo-concepts in their multiplicity are abolished by thought as it proceeds, there will always remain one thought namely, that which thinks their abolition. This concept is opposed to the pseudo-concepts: it is ultra or omni-representative. I shall content myself with this brief mention of the contents of the Philosophy of the Practical and of the Logic upon which I am now working.

Since the publication of Æsthetic as Science of Expression and General Linguistic, there has been some movement in the direction of the study of Italian thought and culture, which I advocated in the Introduction to that work. But the Alps continue to be a barrier, and the thought of France and of Germany reaches us, as a rule, far more rapidly than that of the home of all the arts and of civilization, as we may call that Italy which contains within it the classical Greater Greece. A striking instance of this relatively more rapid distribution of French thought is afforded by the celebrated Lundis of Sainte-Beuve, so familiar to many readers; yet a critic, greater in depth than Sainte-Beuve, was writing at the same period—greater in philosophical vision of the relations of things, for the vision of Sainte-Beuve rarely rose above the psychological plane. For one reader acquainted with the History of Italian Literature of De Sanctis, a hundred are familiar with the Lundis of Sainte-Beuve.