CHAPTER IX. COMMERCE AND FINANCE
Commerce and finance practical expressions of the instinct of self-preservation which is common not only to all men, but to all living creatures. Early appearance of trading habit in boys. Early examples of trade. Abraham's purchase of a burying-ground from Ephron the Hittite. Solomon's trade with Hiram of Tyre. Herodotus, the first historian, opens his history with an allusion to trade. Trade is based on specialization, and is at once a cause of unity and of disunion. Its extension from individuals to communities. Foreign trade stimulated by variations of value in different communities. Specialization increases efficiency, but makes the worker a machine, and a speculator on the chance that others will want what he makes. International trade also promotes both unity and friction. On the whole, commerce a great promoter of unity. Likewise finance, or money-dealing. Its origin and development. London's catholic taste in foreign securities: sometimes prefers them to the home-made article. Effect of foreign investment on home production and consumption. Foreign finance and productive specialization.
CHAPTER X. INTERNATIONAL INDUSTRIAL LEGISLATION
Interdependence true of countries as of classes. A fact brought home to us by the European War. Importance of international action in relation to the raising of social and industrial standards. This truth perceived by Robert Owen a century ago. Work of Owen and his successors in the direction of an international minimum of labour conditions. Action of the Swiss Federal Council. The German Emperor calls the first Conference on workmen's protection 1890. Formal failure and substantial achievement of this Conference. Founding of International Association for Labour Legislation and International Labour Office. Constitution and work of these bodies. Biennial conferences of the association: subjects and methods. International Conventions of 1906, their scope and value. Subsequent labours of the Association. Its present position and future hopes.
CHAPTER XI. COMMON IDEALS OF SOCIAL REFORM
Ideals arise from perceived social evils. They have caused in recent years (a) Common action by European Governments and (b) action by separate Governments influenced by foreign experience. There has also been a growth of sentiment, not yet embodied in law or institutions, with regard to (i) the position of women and children, (ii) social caste, and (iii) the increase of common action for reform by civilized states.
CHAPTER XII. THE POLITICAL BASES OF A WORLD-STATE
The nineteenth century has made three great contributions towards the possibility of International Government, the political realization of nationality, the growth in substance and method of international law, and the progress of federalism. In other fields outside politics, especially in commerce and finance, a network of international co-operation has grown up. Closer political union is needed for three purposes: first, the consolidation, extension, and improved sanctions of existing international law; secondly, the settlement of differences between nations; thirdly, positive co-operation for the common good. This progress involves some further diminution of 'sovereignty' and 'independence'. But these concepts have no absolute validity. In the Hague Conventions and other intergovernmental instruments the rudiments of international government already exist. In order to establish effective security for peace, what is needed is a general treaty providing that all disputes be submitted to arbitration or conciliation, with such guarantees for acceptance of the award as will establish confidence. The test of confidence is the voluntary reduction of armaments. Internationalists differ as to the nature and rigour of the sanctions. Some rely entirely on a 'moratorium' and the pressure of public opinion: others would compel the submission of all issues, but not the acceptance of awards: others, again, would apply force, diplomatic, economic, or military, to both processes.
Internationalism, to be effective, would require a machinery for dealing with new issues before they ripened into disputes. How far will the state of mind following this war assist this progress of internationalism? Is a spiritual conversion, corresponding to the process of biological mutatism, possible or probable?
CHAPTER XIII. RELIGION