Charles Hall (economist)
Encyclopedia
Charles Hall was a British physician
Physician
A physician is a health care provider who practices the profession of medicine, which is concerned with promoting, maintaining or restoring human health through the study, diagnosis, and treatment of disease, injury and other physical and mental impairments...

, social critic and Ricardian socialist
Ricardian socialism
Ricardian socialism refers to a branch of socialist economic thought based upon the work of economist David Ricardo. The Ricardian socialists reasoned that the free-market was the route to socialism, and that rent, profit and interest were not natural outgrowths of the free-market...

 who published The Effects of Civilization on the People in European States in 1805, condemning capitalism
Capitalism
Capitalism is an economic system that became dominant in the Western world following the demise of feudalism. There is no consensus on the precise definition nor on how the term should be used as a historical category...

 for its inability to provide for the poor
Poor
Poor is an adjective related to a state of poverty, low quality or pity.People with the surname Poor:* Charles Henry Poor, a US Navy officer* Charles Lane Poor, an astronomer* Edward Erie Poor, a vice president of the National Park Bank...

. In the book, Hall argued that inequalities in wealth and the production of luxuries led to the exploitation
Exploitation
This article discusses the term exploitation in the meaning of using something in an unjust or cruel manner.- As unjust benefit :In political economy, economics, and sociology, exploitation involves a persistent social relationship in which certain persons are being mistreated or unfairly used for...

 of the poor, and their suffering. Hall famously claimed that the exploitation of the poor was so severe that they "retained only the product of one hour's work out of eight".

As a remedy for the problems in society, Hall proposed land reform
Land reform
[Image:Jakarta farmers protest23.jpg|300px|thumb|right|Farmers protesting for Land Reform in Indonesia]Land reform involves the changing of laws, regulations or customs regarding land ownership. Land reform may consist of a government-initiated or government-backed property redistribution,...

 and progressive taxation. His views and economic theory, particularly his views on severe exploitation of the poor, were important to the development of Marxism
Marxism
Marxism is an economic and sociopolitical worldview and method of socioeconomic inquiry that centers upon a materialist interpretation of history, a dialectical view of social change, and an analysis and critique of the development of capitalism. Marxism was pioneered in the early to mid 19th...

, and have led many to consider him one of the earliest socialists.

Biography

Hall was born in England
England
England is a country that is part of the United Kingdom. It shares land borders with Scotland to the north and Wales to the west; the Irish Sea is to the north west, the Celtic Sea to the south west, with the North Sea to the east and the English Channel to the south separating it from continental...

 around 1740, and studied medicine at the University of Leiden
Leiden University
Leiden University , located in the city of Leiden, is the oldest university in the Netherlands. The university was founded in 1575 by William, Prince of Orange, leader of the Dutch Revolt in the Eighty Years' War. The royal Dutch House of Orange-Nassau and Leiden University still have a close...

 in the Netherlands
Netherlands
The Netherlands is a constituent country of the Kingdom of the Netherlands, located mainly in North-West Europe and with several islands in the Caribbean. Mainland Netherlands borders the North Sea to the north and west, Belgium to the south, and Germany to the east, and shares maritime borders...

. After completing his medical studies, Hall practiced in the West Country
West Country
The West Country is an informal term for the area of south western England roughly corresponding to the modern South West England government region. It is often defined to encompass the historic counties of Cornwall, Devon, Dorset and Somerset and the City of Bristol, while the counties of...

 of England, where he acquired "intimate knowledge of the living conditions of the poor". Hall read the theories of a number of influential classical economists, including Malthus, David Ricardo
David Ricardo
David Ricardo was an English political economist, often credited with systematising economics, and was one of the most influential of the classical economists, along with Thomas Malthus, Adam Smith, and John Stuart Mill. He was also a member of Parliament, businessman, financier and speculator,...

 and Adam Smith
Adam Smith
Adam Smith was a Scottish social philosopher and a pioneer of political economy. One of the key figures of the Scottish Enlightenment, Smith is the author of The Theory of Moral Sentiments and An Inquiry into the Nature and Causes of the Wealth of Nations...

. While he disagreed with many of the ideas of classical economics, it shaped his thinking. Hall's thinking was also shaped by his friendship with the land-nationalization advocate Thomas Spence
Thomas Spence
Thomas Spence was an English Radical and advocate of the common ownership of land.-Life:Spence was born in Newcastle-on-Tyne, England and was the son of a Scottish net and shoe maker....

, with whom he corresponded regularly.

Hall moved around throughout his career, but probably spent most of his life in Tavistock, Devon, practicing medicine. In 1785, he published The Family Medical Instructor, a medical reference book. Thereafter, his publications were primarily economic in nature. In 1805, he published his principal work, The Effects of Civilization, followed by Observations on the Principal Conclusion in Mr. Malthus's Essay on Population in 1813. In 1816, Hall was arrested for failure to pay a debt of £157, and he spent the next nine years in the Fleet Prison
Fleet Prison
Fleet Prison was a notorious London prison by the side of the Fleet River in London. The prison was built in 1197 and was in use until 1844. It was demolished in 1846.- History :...

, before being released on June 21, 1825. While the exact date of his death is uncertain, it is believed that he died shortly thereafter.

The Effects of Civilization

After witnessing high food prices and food shortages
Famine
A famine is a widespread scarcity of food, caused by several factors including crop failure, overpopulation, or government policies. This phenomenon is usually accompanied or followed by regional malnutrition, starvation, epidemic, and increased mortality. Every continent in the world has...

 in England from 1795–1801, Hall began to write The Effects of Civilization on the People in European States which set forth his economic theories. Hall argued that the root cause of food shortage, was that too few people worked in agriculture
Agriculture
Agriculture is the cultivation of animals, plants, fungi and other life forms for food, fiber, and other products used to sustain life. Agriculture was the key implement in the rise of sedentary human civilization, whereby farming of domesticated species created food surpluses that nurtured the...

, while too many were employed in trade and manufacturing. From this argument, Hall proceeded to his definition of wealth
Wealth
Wealth is the abundance of valuable resources or material possessions. The word wealth is derived from the old English wela, which is from an Indo-European word stem...

, arguing that "wealth consists not in things but in power over the labour of others".

The cause of shortages

From his definition of wealth, Hall argued that the problem in civilized societies came from the ability of the wealthy, through their control of the labor of others, to determine what is produced. Because the wealthy quickly provide for their own necessities, they spend their surplus on luxuries, which "make it possible for a rich man to consume and destroy infinitely more of the produce of other men's labours than he would be able to do if only foodstuffs and basic necessities were available". Because the rich exploit the poor to produce their luxuries, Hall argued that "the wealth of the rich and the misery of the poor increase in strict proportion". Thus, the rising power of the rich is the cause of the suffering of the poor.

Statistics

In addition to developing a theoretical model in The Effects of Civilization, Hall attempted to use scientific methods and government statistics to provide evidence for his view. According to his estimates, the top 20% of society, the rich, consumed 7/8 of what was produced by the poor, leaving the poor with only one eighth of what they had produced. Later scholars, however, have calculated that the inequalities described by Hall were not quite so severe.

Remedies

After describing the challenges facing society, Hall proposed several remedies. Hall was a strong proponent of progressive taxation to even out the inequalities of society. He also argued that if marriages between two people who owned land were prohibited, then wealth would gradually spread more evenly throughout society. Most importantly, on the basis of his argument that luxuries caused the suffering of the poor, Hall argued that luxury goods "should be prohibited, or subject to punitive taxation". Hall believed that his remedies were "readily practicable", and would improve the station of the poor, but were unlikely to solve the problems of society completely.

Legacy

Hall is widely regarded as a key to the development of Marxist thought, and Karl Marx
Karl Marx
Karl Heinrich Marx was a German philosopher, economist, sociologist, historian, journalist, and revolutionary socialist. His ideas played a significant role in the development of social science and the socialist political movement...

 referred to him as "a true phenomenon in the history of economic thought". Hall was also an important precursor to Henry George
Henry George
Henry George was an American writer, politician and political economist, who was the most influential proponent of the land value tax, also known as the "single tax" on land...

, and one of the first modern land reformers.

Many scholars also identify Hall as one of "first of the early socialists", and one of the first thinkers to recognize the importance of surplus value and rents to societal inequality.

Further reading

  • Charles Hall
    Charles Hall
    Charles Hall may refer to:*Charles Hall , MP for Lincoln 1727–1734*Charles Hall *Charles Hall , British economist, physician and early socialist...

    , Effects of Civilization on the People in European States, with Observations on the Principal Conclusions in Mr Malthus's Essay on Population, Routledge/Thoemmes Press, 1994 ISBN 0-415-10503-X
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