A similar trend as to slaves but with a sharply contrasting effect upon prosperity was described by Gratz Brown as prevailing in Missouri. The slave population, said he, is in process of rapid decline except in a dozen central counties along the Missouri River. "Hemp is the only staple here left that will pay for investment in negroes," and that can hardly hold them against the call of the cotton belt. Already the planters of the upland counties are beginning to send their slaves to southerly markets in response to the prices there offered. In most parts of Missouri, he continued, slavery could not be said to exist as a system. It accordingly served, not as an appreciable industrial agency, but only as a deterrent hampering the progress of immigration. Brown therefore advocated the complete extirpation of the institution as a means of giving great impetus to the state's prosperity.[81]
[Footnote 81: B. Gratz Brown, Speech in the Missouri Legislature, February 12, 1857 on gradual emancipation in Missouri (St. Louis, 1857).]
These accounts are colored by the pro-slavery views of Ruffin and Spratt and the opposite predilections of Brown. It is clear nevertheless that the net industrial effects of the exportation of slaves were strikingly diverse in the several regions. In Missouri, and in Delaware also, where plantations had never been dominant and where negroes were few, the loss of slaves was more than counterbalanced by the gain of freemen; in some portions of Maryland, Virginia and Kentucky the replacement of the one by the other was at so evenly compensating a rate that the volume of industry was not affected; but in other parts of those states and in the rural districts of the rice coast the depletion of slaves was not in any appreciable measure offset by immigration. This applies also to the older portions of the eastern cotton belt.
Throughout the northern and eastern South doubts had often been expressed that slave labor was worth its price. Thus Philip Fithian recorded in his Virginia diary in 1774 a conversation with Mrs. Robert Carter in which she expressed an opinion, endorsed by Fithian, "that if in Mr. Carter's or in any gentleman's estate all the negroes should be sold and the money put to interest in safe hands, and let the land which the negroes now work lie wholly uncultivated, the bare interest of the price of the negroes would be a much greater yearly income than what is now received from their working the lands, making no allowance at all for the trouble and risk of the masters as to crops and negroes."[82] In 1824 John Randolph said: "It is notorious that the profits of slave labor have been for a long time on the decrease, and that on a fair average it scarcely reimburses the expense of the slave," and concluded by prophesying that a continuance of the tendency would bring it about "in case the slave shall not elope from his master, that his master will run away from him."[83] In 1818 William Elliott of Beaufort, South Carolina, had written that in the sea-island cotton industry for a decade past the high valuations of lands and slaves had been wholly unjustified. On the one hand, said he, the return on investments was extremely small; on the other, it was almost impossible to relieve an embarrassed estate by the sale of a part, for the reduction of the scale of operations would cause a more than proportionate reduction of income.[84]
[Footnote 82: Philip V. Fithian, Journal and Letters (Princeton, 1900), p. 145.]
[Footnote 83: H.A. Garland, Life of John Randolph (New York 1851), II, 215.]
[Footnote 84: Southern Agriculturist, I, 151-163.]
The remorseless advance of slave prices as measured in their produce tended to spread the adverse conditions noted by Elliott into all parts of the South; and by the close of the 'fifties it is fairly certain that no slaveholders but those few whose plantations lay in the most advantageous parts of the cotton and sugar districts and whose managerial ability was exceptionally great were earning anything beyond what would cover their maintenance and carrying charges.
Achille Loria has repeatedly expressed the generalization that slaves have been systematically overvalued wherever the institution has prevailed, and he has attempted to explain the phenomenon by reference to an economic law of his own formulation that capitalists always and everywhere exploit labor by devices peculiarly adapted to each régime in turn. His latest argument in the premises is as follows: Man, who is by nature dispersively individualistic, is brought into industrial coordination only by coercion. Isolated labor if on exceptionally fertile soil or if equipped with specially efficient apparatus or if supernormal in energy may produce a surplus income, but ordinarily it can earn no more than a bare subsistence. Associative labor yields so much greater returns that masters of one sort or another emerge in every progressive society to replace dispersion with concentration and to engross most of the accruing enhancement of produce to themselves as captains of industry. This "persistent and continuous coercion, compelling them to labour in conformity to a unitary plan or in accordance with a concentrating design" is commonly in its earlier form slavery, and slaveholders are thus the first possessors of capital. As capitalists they become perpetually concerned with excluding the laborers from the proprietorship of land and the other means of production. So long as land is relatively abundant this can be accomplished only by keeping labor enslaved, and enslavement cannot be maintained unless the slaves are prevented from buying their freedom. This prevention is procured by the heightening of slave prices at such a rate as to keep the cost of freedom always greater than the generality of the slaves can pay with their own accumulated savings or peculia. Slave prices in fact, whether in ancient Rome or in modern America, advanced disproportionately to the advantage which the owners could derive from the ownership. "This shows that an element of speculation enters into the valuation of the slave, or that there is a hypervaluation of the slave. This is the central phenomenon of slavery; and it is to this far more than to the indolence of slave labour that is due the low productivity of slave states, the permanently unstable equilibrium of the slaveholding enterprise, and its inevitable ruin." The decline of earnings and of slave prices promotes a more drastic oppression, as in Roman Sicily, to reduce the slave's peculium and continue the prevention of his self-purchase. When this device is about to fail of its purpose the masters may foil the intention of the slaves by changing them into serfs, attaching the lands to the laborers as an additional thing to be purchased as a condition of freedom. The value of the man may now be permitted to fall to its natural level. Finally, when the growth of population has made land so dear that common laborers in freedom cannot save enough to buy farms, the occasion for slavery and serfdom lapses. Laborers may now be freed to become a wage-earning proletariat, to take their own risks. An automatic coercion replaces the systematic; the labor stimulus is intensified, but the stress of the employer is diminished. The laborer does not escape from coercion, but merely exchanges one of its forms for another.[85]
[Footnote 85: Achille Loria, The Economic Synthesis, M. Eden Paul tr.
(London, 1914), PP. 23-26, 91-99.]