You probably have heard of Robert Owen. He was a nineteenth-century British political activist (1771-1858) known for his “utopian socialism.“[1] He started communities that eschewed private property, including a colony in New Harmony, Indiana.
In those communities, he said, “the necessaries and comforts of life [will be] enjoyed by all in abundance,” and they “will ever be the abode of abundance, active intelligence, correct conduct, and happiness.”[2]
“Owenite” communities didn’t last for long.
Owen is rightly admired, however. He had a simple philosophy. He believed that all people are the products of both their inherited characteristics and their environment. If the environment is nurturing, they will develop into worthwhile beings, no matter what their economic surroundings. He held this view so strongly that, as a manager, he never punished anyone (except possibly for drunkenness) and was never visibly angry toward people. He knew their circumstances had made them as they were.
Had he stuck with being a businessman, he might have changed the world.
In the mid-1970s, while browsing in the Chicago Public Library, I came across The Rise of the Western World by Douglass North and Robert Thomas. [1] This short book tells a fascinating story of how property rights, trade, and limited government led to prosperity in the West (prosperity that eventually spread around the world).
Since then I’ve read many books about the success of the West and specifically about the Industrial Revolution, which started in England around 1760 and is generally viewed as continuing till 1830. I personally rate the Industrial Revolution as equal in importance to the discovery of agriculture.
So it will come as no surprise that, as a graduate student in history, I am studying the Industrial Revolution. In fact, I am studying labor conditions in the Industrial Revolution. Yes, the labor conditions that Charles Dickens wrote about in his novels Hard Times and Oliver Twist.
On the one hand, the Industrial Revolution was an exciting time. As a British schoolboy supposedly said, “About 1760 a wave of gadgets swept over England.”[2] New inventions, especially in the textile industry, appeared one after another, enormously improving productivity, reducing costs, and launching an age of material success.
On the other hand, labor conditions were tough. The new factories needed workers and brawn was not required. Women and children could work and monitor the machines—and they did.
While studying European guilds last year, I came across a debate over the “Golden Age” of the Netherlands (1580 to 1680). The issue was whether Dutch guilds were weak or strong. I wanted to delve into this subject, but doing so would have been futile. I don’t know the Dutch language. The best writing about Dutch guilds in the seventeenth century would be in Dutch.
I suspect that many historians, including economic historians, have experienced this same problem and not given the Dutch the study they deserve. Historians tend to praise the early muscularity of the Netherlands economy but then dismiss the country as being unimportant in the long run because it missed out on the Industrial Revolution.
This, despite the facts that the country increased its farmland by one-third (from 1300 to 1800) through reclamation from the sea, it had a prosperous economy before any other country, and it had a sturdy middle class in the age of Rembrandt. But it didn’t have factories until late in the nineteenth century, so it was “backward.” It fell off the charts of history—its high point being 1688, when its stadtholder, William of Orange, became the king of England.
Darren Walker, president of the Ford Foundation, recently told the New York Times that economic opportunities for poor people in the United States may have been better in the 1960s than they are today. Could this be true?
Walker, an African-American, was born in 1959 in Lafayette, Louisiana, to a single mother and grew up in small towns in Texas, including Ames, an all-black town. His prospects might not have seemed bright but in fact he attended the University of Texas at Austin, where he earned a law degree; he joined a prominent law firm, then the Union Bank of Switzerland (UBS), and subsequently entered the nonprofit world.
In the Times interview, Walker gave credit for his success to his mother, who was a nurse’s assistant, and to the federal childhood program Head Start. “I’m grateful to America, because I was a boy at a time when America believed in little poor black boys and girls living on dirt roads in shotgun houses in small towns across this country.”
He explains: “In 1965, I was sitting on the porch with my mother and a lady approached and told my mother about a new program called Head Start. And I was fortunate enough to be in the first class of Head Start, in the summer of 1965.”
1965? That was the year of the Watts (Los Angeles) riots, two years after Martin Luther King’s March on Washington, three years before King’s assassination, and a year after three young men were killed in Mississippi for trying to bring voting rights to blacks.