Full text: Economic essays

THE STATIC STATE AND THE TECHNOLOGY OF 
ECONOMIC REFORM 
Thomas Nixon Carver 
OxE of Professor Clark's special contributions to economic 
theory is his clarification of the concept of a static condition. 
Instead of being a mere useless abstraction this concept turns 
out to be one of the most productive ideas ever introduced into 
economic discussion. It is, as he insists, a necessary preliminary 
to any proper understanding of a dynamic condition and the laws 
which govern it. In fact, every dynamic movement is either a 
disturbance of a static condition, or a series of movements by 
which the static condition is reasserting itself, or rather, by which 
a new static condition is being established after the disturbance. 
Thus understood, the concept of the static state is a guiding prin- 
ciple comparable in importance with the law of diminishing 
returns, or the marginal utility theory of value. It furnishes the 
key to all constructive programs of permanent economic improve- 
ment,—particularly for the improvement of the distribution of 
wealth. 
A static condition is an equilibrium of forces. By disturbing 
the equilibrium intelligently, the forces at work can be made to 
produce automatically, so far as further effort is concerned, many 
desirable results. This is the method of every great practical 
achievement in whatever field, from engineering to diplomacy. 
Any other method is likely to create difficulties which multiply 
the necessary effort in geometric proportion. 
The biologist’s concept of the balance of nature is a concept 
of a static condition. By intelligently introducing a new factor 
into the balance the biologist can so disturb it as to produce, with 
slight effort, results that would require armies to accomplish by 
more direct methods. Insect pests such as the chinch bug and 
the gypsy moth, and other pests such as the English sparrow, 
have been effectively controlled in this way. Rats in the sugar 
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