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to increase the output beyond that point； or to increase the
productive capacity of their works； except by way of giving the
technical men permission to go ahead and do it。
The business man's place in the economy of nature is to 〃make
money；〃 not to produce goods。 The production of goods is a
mechanical process； incidental to the making of money； whereas
the making of money is a pecuniary operation； carried on by
bargain and sale； not by mechanical appliances and powers。 The
business men make use of the mechanical appliances and powers of
the industrial system； but they make a pecuniary use of them。 And
in point of fact the less use a business man can make of the
mechanical appliances and powers under his charge； and the
smaller a product he can contrive to turn out for a given return
in terms of price； the better it suits his purpose。 The highest
achievement in business is the nearest approach to getting
something for nothing。 What any given business concern gains must
come out of the total output of productive industry； of course；
and to that extent any given business concern has an interest in
the continued production of goods。 But the less any given
business concern can contrive to give for what it gets； the more
profitable its own traffic will be。 Business success means
〃getting the best of the bargain。〃
The common good； so far as it is a question of material
welfare； is evidently best served by an unhampered working of the
industrial system at its full capacity； without interruption or
dislocation。 But it is equally evident that the owner or manager
of any given concern or section of this industrial system may be
in a position to gain something for himself at the cost of the
rest by obstructing； retarding or dislocating this working system
at some critical point in such a way as will enable him to get
the best of the bargain in his dealings with the rest。 This
appears constantly in the altogether usual； and altogether
legitimate； practice of holding out for a better price。 So also
in the scarcely less usual； and no less legitimate； practice of
withholding needed ground or right of way； or needed materials or
information； from a business rival。 Indeed it has been rumored
that one of the usual incentives which drew the patriotic
one…dollar…a…year men from their usual occupations to the service
of their country was the chance of controlling information by
means of which to 〃put it over〃 their business rivals。 All these
things are usual and a matter of course； because business
management under the conditions created by the new order of
industry is in great part made up of these things。 Sabotage of
this kind is indispensable to any large success in industrial
business。
But it is also evident that the private gain which the
business concerns come in for by this management entails a loss
on the rest of the community； and that the loss suffered by the
rest of the community is necessarily larger than the total gains
which these manoeuvres bring to the business concerns； inasmuch
as the friction； obstruction and retardation of the moving
equilibrium of production involved in this business…like sabotage
necessarily entails a disproportionate curtailment of output。
However； it is well to call to mind that the community will
still be able to get along； perhaps even to get along very
tolerably； in spite of a very appreciable volume of sabotage of
this kind； even though it does reduce the net productive capacity
to a fraction of what it would be in the absence of all this
interference and retardation； for the current state of the
industrial arts is highly productive。 So much so that in spite of
all this deliberate waste and confusion that is set afoot in this
way for private gain； there still is left over an absolutely
large residue of net production over cost。 The community still
has something to go on。 The available margin of free income
that is to say； the margin of production over cost is still
wide； so that it allows a large latitude for playing fast and
loose with the community's livelihood。
Now； these businesslike manoeuvres of deviation and delay are
by no means to be denounced as being iniquitous or unfair；
although they may have an unfortunate effect on the conditions of
life for the common man。 That is his misfortune； which law and
custom count on his bearing with becoming fortitude。 These are
the ordinary and approved means of carrying on business according
to the liberal principles of free bargain and self…help as
established in the eighteenth century； and they are in the main
still looked on as a meritorious exercise of thrift and sagacity
duly so looked on； it is to be presumed。 At least such is the
prevailing view among the substantial citizens； who are in a
position to speak from first…hand knowledge。 It is only that the
exercise of these homely virtues on the large scale on which
business is now conducted； and when dealing with the
wide…reaching articulations of the industrial system under the
new order of technology； under these uncalled…for
circumstances the unguarded exercise of these virtues entails
business disturbances which are necessarily large； and which
bring on mischievous consequences in industry which are
disproportionately larger still。
It is also true； the businesslike managers of industrial
enterprise have also other things to do； besides holding the
marketable supply of goods and services down to such an amount as
is expected to bring the most profitable prices； or diverting
credulous customers from one seller to another by competitive
advertising。 But it should also be noted that there is next to no
business enterprise； if any； whose chief end is not profitable
sales； or profitable bargains which mean the same thing as
profitable sales。 They are therefore engaged unremittingly in one
or another of the approved lines of competitive management with a
view to profitable traffic for themselves； and to creating an
advantage for themselves in the market。 It is a poor…spirited
concern that does not constantly aim to create for itself such a
position of advantage as will give it something of a vested
interest in the traffic。 Such a concern is scarcely fit to
survive； nor is it likely to。
It is not that business enterprise is wholly taken up with
such like manoeuvres of restraint； obstruction and competitive
selling。 This is only part of the business men's everyday work；
although it is not a minor part。 In any competitive business
community this line of duties will take up a large share of the
business men's attention and will engage their best and most
businesslike abilities。 More particularly in the management of
the greater industrial enterprises of the present day； the larger
as well as the more lucrative part of the duties of those who
direct affairs appears commonly to be of this nature。 That such
should be the case lies in the nature of things under the
circumstances which now prevail。 It would not be far out of the
way to say that any occupations i