ABSTRACT

Gustav Schmoller's Germany provides an example of how middlemen succeeded in bringing about the transformation from business enterprise to company organization for the whole nation. Adam Smith encouraged the idle retainers of the court to seek honest work; that was also his advice concerning bureaucratization. John Stuart Mill understood that the Malthusian population catastrophe was caused by an imbalance where people were prevented from deciding in small agricultural enterprises the number of mouths to be fed from the harvest of the soil. Mill considered that the state could be financed through its free purchase of land from existing owners, which allow the introduction of the efficient management of agriculture. Charles Gide emphasized that trade unions could, through use of their monopoly power, obtain a larger slice of the economic cake but that they would never succeed in baking better and larger cakes.