...by Murray Rothbard
An excellent piece for those truly interested in such scholarship...
...anchored in the primary political lesson so many of us seem to have forgotten.
An excellent piece for those truly interested in such scholarship...
...anchored in the primary political lesson so many of us seem to have forgotten.
The incentives provided by the charter of 1609, however, were still only future promises. The colony was still being run on “communist” principles — each person contributed the fruit of his labor according to his ability to a common storehouse run by the company, and from this common store each received produce according to his need. And this was a communism not voluntarily contracted by the colonists themselves, but imposed upon them by their master, the Virginia Company, the receiver of the arbitrary land grant for the territory.
The result of this communism was what we might expect: each individual gained only a negligible amount of goods from his own exertions — since the fruit of all these went into the common store — and hence had little incentive to work, or to exercise initiative or ingenuity under the difficult conditions in Virginia. And this lack of incentive was doubly reinforced by the fact that the colonist was assured, regardless of how much or how well he worked, of an equal share of goods from the common store. Under such conditions, with the motor of incentive gone from each individual, even the menace of death and starvation for the group as a whole — and even a veritable reign of terror by the governors — could not provide the necessary spur for each particular man.
...Of the 104 colonists who reached Virginia in May 1607, only 30 were still alive by that fall, and a similar death rate prevailed among new arrivals for many years. As late as 1616, only 350 colonists remained of a grand total of over 1,600 immigrants.
Much more @
http://mises.org/daily/5908/The-Fall-of-Communism-in-Virginia