Thorstein Veblen The Independent Farmer (The Freeman, June 13, 1923, pp. 321-324) Republished without change (only some punctuation changed) in Veblen's 'Absentee Ownership and Business Enterprise in Recent Times' (New York: B.W. Huebsch, 1923, chap. VII., sect. II. pp. 129-141). --------------------------------------------------------------------------------- THE INDEPENDENT FARMER The case of the American farmer is conspicuous; though it can scarcely be called singular, since in great part it is rather typical of the fortune which has overtaken the underlying populations throughout Christendom under the dominion of absentee ownership in its later developed phase. Much the same general run of conditions recurs elsewhere in those respects which engage the fearsome attention of these farmers. By and large, the farmer is so placed in the economic system that both as producer and as consumer he deals with business concerns which are in a position to make the terms of the traffic, which it is for him to take or leave. Therefore the margin of benefit that comes to him from his work is commonly at a minimum. He is commonly driven by circumstances over which he has no control, the circumstances being made by the system of absentee ownership and its business enterprise. Yet he is, on the whole, an obstinately loyal supporter of the system of law and custom which so makes the conditions of life for him. His unwavering loyalty to the system is in part a holdover from that obsolete past when he was the Independent Farmer of the poets; but in part it is also due to the still surviving persuasion that he is on the way, by hard work and shrewd management, to acquire a "competence"; such as will enable him some day to take his due place among the absentee owners of the land and so come in for an easy livelihood at the cost of the rest of the community; and in part it is also due to the persistent though fantastic opinion that his own present interest is bound up with the system of absentee ownership, in that he is himself an absentee owner by so much as he owns land and equipment which he works with hired help, - always presuming that he is such an owner, in effect or in prospect. It is true, the farmer-owners commonly are absentee owners to this extent. Farming is team-work. As it is necessarily carried on by current methods in the great farming sections, farm work runs on such a scale that no individual owner can carry on by use of his own personal work alone, or by use of the man-power of his own household alone, - which makes him an absentee owner by so much. But it does not, in the common run, make him an absentee owner of such dimensions as are required in order to create an effectual collusive control of the market, or such as will enable him, singly or collectively, to determine what charges the traffic shall bear. It leaves him still effectually in a position to take or leave what is offered at the discretion of those massive absentee interests that move in the background of the market.(1*) Always, of course, the farmer has with him the abiding comfort of his illusions, to the effect that he is in some occult sense the "Independent Farmer," and that he is somehow by way of achieving a competence of absentee ownership by hard work and sharp practice, some day; but in practical effect, as things habitually work out, he is rather to be called a quasi-absentee owner, or perhaps a pseudo- absentee owner, being too small a parcel of absentee ownership to count as such in the outcome. But it is presumably all for the best, or at least it is expedient for business-as- usual, that the farmer should continue to nurse his illusions and go about his work; that he should go on his way to complete that destiny to which it has pleased an all-seeing and merciful Providence to call him. From colonial times and through the greater part of its history as a republic America has been in the main an agricultural country. Farming has been the staple occupation and has employed the greater part of the population. And the soil has always been the chief of those natural resources which the American people have taken over and made into property. Through the greater part of its history the visible growth of the country has consisted in the extension of the cultivated area and the increasing farm output, farm equipment, and farm population. This progressive taking-over and settlement of the farming lands is the most impressive material achievement of the American people, as it is also the most serviceable work which they have accomplished hitherto. It still is, as it ever has been, the people's livelihood; and the rest of the industrial system has in the main, grown up, hitherto, as a subsidiary or auxiliarly, adopted to and limited by the needs and the achievements of the country's husbandry. The incentives and methods engaged in this taking-over of the soil, as well as the industrial and institutional consequences that have followed, are accordingly matters of prime consideration in any endeavour to understand or explain the national character and the temperamental bent which underlies it. The farm population - that farm population which has counted substantially toward this national achievement - have been a ready, capable and resourceful body of workmen. And they have been driven by the incentives already spoken of in an earlier passage as being characteristic of the English-speaking colonial enterprise, - individual self-help and cupidity. Except transiently and provisionally, and with doubtful effect, this farm population has nowhere and at no time been actuated by a spirit of community interest in dealing with any of their material concerns. Their community spirit, in material concerns, has been quite notably scant and precarious, in spite of the fact that they have long been exposed to material circumstances of a wide-sweeping uniformity, such as should have engendered a spirit of community interest and made for collective enterprise, and such as could have made any effectual collective enterprise greatly remunerative to all concerned. But they still stand sturdily by the timeworn make-believe that they still are individually self-sufficient masterless men, and through good report and evil report they have remained Independent Farmers, as between themselves, which is all that is left of their independence, - Each for himself, etc. Of its kind, this is an admirable spirit, of course; and it has achieved many admirable results, even though the results have not all been to the gain of the farmers. Their self-help and cupidity have left them at the mercy of any organisation that is capable of mass action and a steady purpose. So they have, in the economic respect - and incidentally in the civil and political respect - fallen under the dominion of those massive business interests that move obscurely in the background of the market and buy and sell and dispose of the farm products and the farmers' votes and opinions very much on their own terms and at their ease. But all the while it remains true that they have brought an unexampled large and fertile body of soil to a very passable state of service, and their work continues to yield a comfortably large food supply to an increasing population, at the same time that it yields a comfortable run of free income to the country's kept classes. It is true, in the end the farm population find themselves at work for the benefit of business-as-usual, on a very modest livelihood. For farming is, perhaps necessarily, carried on in severalty and on al relatively small scale, even though the required scale exceeds what is possible on a footing of strict self-ownership of land and equipment by the cultivators; and there is always the pervading spirit of self-help and cupidity, which unavoidably defeats even that degree of collusive mass action that might otherwise be possible. Whereas the system of business interests in whose web the farmers are caught is drawn on a large scale, its units are massive, impersonal, imperturbable and, in effect, irresponsible, under the established order of law and custom, and they are interlocked in an unbreakable framework of common interests. By and large, the case of America is as the case of the American farm population, and for the like reasons. For the incentives and ideals, the law and custom and the knowledge and belief, on which the farm population has gone about its work and has come to this pass, are the same as have ruled the growth and shaped the outcome for the community at large. Nor does the situation in America differ materially from the state of things elsewhere in the civilised countries, in so far as these others share in the same material civilisation of Christendom. In the American tradition, and in point of historical fact out of which the tradition has arisen, the farmer has been something of a pioneer. Loosely it can be said that the pioneering era is now closing, at least provisionally and as regards farming. But while the pioneer-farmer is dropping out of the work of husbandry, his pioneer soul goes marching on. And it has been an essential trait of this American pioneering spirit to seize upon so much of the country's natural resources as the enterprising pioneer could lay hands on, - in the case of the pioneer-farmer, so much of the land as he could get and hold possession of. The land had, as it still has, a prospective use and therefore a prospective value, a "speculative" value as it is called; and the farmer-pioneer was concerned with seizing upon this prospective value and turning it into net gain by way of absentee ownership, as much as the pioneer-farmer was concerned with turning the fertile soil to present use in the creation of a livelihood for himself and his household from day to day. Habitually and with singular uniformity the American farmers have aimed to acquire real estate at the same time that they have worked at their trade as husbandmen. And real estate is a matter of absentee ownership, an asset whose value is based on the community's need of this given parcel of land for use as a means of livelihood, and the value of which is measured by the capitalised free income which the owner may expect to come in for by holding it for as high a rental as the traffic in this need will bear. So that the pioneering aim, in American farming, has been for the pioneer-farmers, each and several, to come in for as much of a free income at the cost of the rest of the community as the law would allow; which has habitually worked out in their occupying, each and several, something more than they could well take care of. They have habitually "carried" valuable real estate at the same time that they have worked the soil of so much of their land as they could take care of, in as effectual a manner as they could under these circumstances. They have been cultivators of the main chance as well as of the fertile soil; with the result that, by consequence of this intense and unbroken habituation, the farm population is today imbued with that penny-wise spirit of self-help and cupidity that now leaves them and their work and holdings at the disposal of those massive vested interests that know the uses of collusive mass action, as already spoken of above. But aside from this spiritual effect which this protracted habituation to a somewhat picayune calculation of the main chance has had on the farmers' frame of mind, and aside from their consequent unfitness to meet the businesslike manouvres of the greater vested interests, this manner of pioneering enterprise which the farmers have habitually mixed into their farming has also had a more immediate bearing on the country's husbandry, and, indeed, on the industrial system as a whole. The common practice has been to "take up" more land than the farmer could cultivate, with his available means, and to hold it at some cost. Which has increased the equipment required for the cultivation of the acres cultivated, and has also increased the urgency of the farmer's need of credit by help of which to find the needed equipment and meet the expenses incident to his holding his idle and semi-idle acres intact. And farm credit has been notoriously usurious. All this has had the effect of raising the cost of production of farm products; partly by making the individual farm that much more unwieldy as an instrument of production, partly by further enforcing the insufficiency and the make-shift character for which American farm equipment is justly famed, and partly also by increasing the distances over which the farm supplies and the farm products have had to be moved. This last point marks one of the more serious handicaps of American farming, at the same time that it has contributed materially to enforce that "extensive," "superficial," and exhausting character of American farming which has arrested the attention of all foreign observers. In American practice the "farm area" has always greatly exceeded the "acreage under cultivation," even after all due allowance is made for any unavoidable inclusion of waste and half-waste acreage within the farm boundaries. Even yet, at the provisional close of the career of the American pioneer-farmer, the actual proportion of unused and half- used land included within and among the farms will materially exceed what the records show, and it greatly exceeds what any inexperienced observer will be able to credit. The period is not long past - if it is past - when, taking one locality with another within the great farming sections of the country, the idle and half-idle lands included in and among the farms equalled the acreage that was fully employed, even in that "extensive" fashion in which American farming has habitually been carried on. But there is no need of insisting on this high proportion of idle acreage, which none will credit who has not a wide and intimate knowledge of the facts in the case. For more or less - for as much as all intelligent observers will be ready to credit - this American practice has counted toward an excessively wide distribution of the cultivated areas, excessively long distances of transport, over roads which have by consequence been excessively bad - necessarily and notoriously so - and which have hindered communication to such a degree as in many instances to confine the cultivation to such crops as can be handled with a minimum of farm buildings and will bear the crudest kind of carriage over long distances and with incalculable delays. This applies not only to the farm- country's highways, but to its railway facilities as well. The American practice has doubled the difficulty of transportation and retarded the introduction of the more practicable and more remunerative methods of farming; until makeshift and haphazard have in many places become so ingrained in the habits of the farm population that nothing but abounding distress and the slow passing of generations can correct it all.(2*) At the same time, as an incident by the way, this same excessive dispersion of the farming communities over long distances, helped out by bad roads, has been perhaps the chief factor in giving the retail business communities of the country towns their strangle-hold on the underlying farm population. And it should surprise no one if a population which has been exposed to unremitting habituation of this kind has presently come to feel at home in it all; so that the bootless chicanery of their self-help is rated as a masterly fabric of axiomatic realities, and sharp practice has become a matter of conscience. In such a community it should hold true that "An honest man will bear watching," that the common good is a by-word, that "Everybody's business is nobody's business," that public office is a private job, where the peak of aphoristic wisdom is reached in that red-letter formula of democratic politics, "Subtraction, division, and silence." So it has become a democratic principle that public office should go by rotation, under the rule of equal opportunity, - equal opportunity to get something for nothing - but should go only to those who value the opportunity highly enough to make a desperate run for it. Here men "run" for office, not "stand" for it. Subtraction is the aim of this pioneer cupidity, not production; and salesmanship is its line of approach, not workmanship; and so, being in no way related quantitatively to a person's workmanlike powers or to his tangible performance, it has no "saturation point."(3*) The spirit of the American farmers, typically, has been that of the pioneer rather than the workman. They have been efficient workmen, but that is not the trait which marks them for its own and sets them off in contrast with the common run. Their passion for acquisition has driven them to work, hard and painfully, but they have never been slavishly attached to their work; their slavery has been not to an imperative bent of workmanship and human service, but to an indefinitely extensible cupidity which drives to work when other expedients fail; at least so they say. So they have been somewhat footloose in their attachment to the soil as well as somewhat hasty and shiftless in its cultivation. They have always, in the typical case, wanted something more than their proportionate share of the soil; not because they were driven by a felt need of doing more than their fair share of work or because they aimed to give the community more service than would be a fair equivalent of their own livelihood, but with a view to cornering something more than their proportion of the community's indispensable means of life and so getting a little something for nothing in allowing their holdings to be turned to account, for a good and valuable consideration. The American farmers have been footloose, on the whole, more particularly that peculiarly American element among them who derive their traditions from a colonial pedigree. There has always been an easy shifting from country to town, and this steady drift into the towns of the great farming sections has in the main been a drift from work into business. And it has been the business of these country towns - what may be called their business-as-usual - to make the most of the necessities and the ignorance of their underlying farm population. The farmers have on the whole been ready to make such a shift whenever there has been an "opening"; that is to say, they have habitually been ready to turn their talents to more remunerative use in some other pursuit whenever the chance has offered, and indeed they have habitually been ready to make the shift out of husbandry into the traffic of the towns even at some risk whenever the prospect of a wider margin of net gain has opened before their eager eyes. In all this pursuit of the net gain the farm population and their country-town cousins have carried on with the utmost good nature. The business communities of the country towns have uniformly got the upper hand. But the farmers have shown themselves good losers; they have in the main gracefully accepted the turn of things and have continued to count on meeting with better luck or making a shrewder play next time. But the upshot of it so far has habitually been that the farm population find themselves working for a very modest livelihood and the country towns come in for an inordinately wide margin of net gains; that is to say, net gain over necessary outlay and over the value of the services which they render their underlying farm populations. To many persons who have some superficial acquaintance with the run of the facts it may seem, on scant reflection, that what is said above of the inordinate gains that go to the country towns is a rash overstatement, perhaps even a malicious overstatement. It is not intended to say that the gains per capita of the persons currently engaged in business in the country towns, or the gains per cent. on the funds invested, are extraordinarily high; but only that as counted on the necessary rather than the actual cost of the useful work done, and as counted on the necessary rather than the actual number of persons engaged, the gains which go to the business traffic of the country towns are inordinately large.(4*) THORSTEIN VEBLEN NOTES: 1) Cf. Wallace, Farm Prices. 2) As a side issue to this arrangement of magnificent distances in the fertile farm country, it may be called to mind that the education of the farm children has on this account continually suffered from enforced neglect, with untoward results. And there are those who believe that the noticeably high rate of insanity among farmers' wives in certain sections of the prairie country is traceable in good part to the dreary isolation enforced upon them by this American plan of "country life." 3) This civilised-man's cupidity is one of those "higher wants of man" which the economists have found to be "indefinitely extensible," and like other spiritual needs it is self-authenticating, its own voucher. The Latin phrase is auri sacra fames, which goes to show the point along the road to civilisation reached by that people. They had reached a realisation of the essentially sacramental virtue of this indefinitely extensible need of more; but the aurum in terms of which they visualised the object of their passion is after all a tangible object, with physical limitations of weight and space, such as to impose a mechanical "saturation point" on the appetite for its accumulation. But the civilised peoples of Christendom at large, and more particularly America, the most civilised and most Christian of them all, have in recent times removed this limitation. The object of this "higher want of man" is no longer specie, but some form of credit instrument which conveys title to a run of free income; and it can accordingly have no "saturation point," even in fancy, inasmuch as credit is also indefinitely extensible and stands in no quantitative relation to tangible fact. 4) It may be added, though it should scarcely be necessary, that a good part of the gains which are taken by the country-town business community passes through their hands into the hands of those massive vested interests that move obscurely in the background of the market, and to whom the country towns stand in a relation of feeders, analogous to that in which the farm population stands to the towns. In good part the business traffic of the country towns serves as ways and means of net gain to these business interests in the background. But when all due allowance is made on this and other accounts, and even if this element which may be called net gains in transit be deducted, the statement as made above remains standing without material abatement: the business gains which come to the country towns in their traffic with their underlying farm populations are inordinately large, as counted on the necessary cost and use-value of the service rendered, or on the necessary work done. But whether these net gains, in so far as they are "inordinate" - that is in so far as they go in under the caption of Something for Nothing - are retained by the business men of the town or are by them passed on to the larger business interests which dominate them, that is an idle difference for all that concerns the fortunes of the underlying farm population or the community at large. In either case it is idle waste, so far as concerns the material well-being of any part of the farm population. --- The End ---