
The New Poor Law and
the Agricultural
Labor Market 223
wages [was] the maintenance of the labourer at double the cost in the
workhouse" (Pad. Papers 1837-8: XVIII, Part I, 482, 487). Kay's opin-
ion was echoed by several others. For instance, the chairman of the
Loddon and Clavering Union in Norfolk wrote that "the refusal of out-
relief to the able-bodied labourers has caused the owners and occupiers
of land to give employment to a much greater extent than ever was
known," and the vice-chairman of the board of guardians in Ampthill
Union, Bedford, testified that, since the passage of the Poor Law
Amendment Act, "the condition and comforts of the labouring poor
[were] much improved, they being much more in work" (Pad. Papers
1837-8:
XVIII, Part I, 520; Part II, 526).
The effect of a decline in the unemployment rate after 1834 on income
can be seen in Table 7.4. Columns 6 and 7 present estimates of the
change in agricultural laborers' earnings from 1832 to
1850-1,
assuming
that the unemployment rate declined by 20% and 75%, respectively.
The upper-bound estimate is admittedly very high, but, according to the
testimony given before the Poor Law Commission, it represents a reason-
able measure of what happened to unemployment rates in parishes that
abolished outdoor relief for able-bodied laborers. The estimated change
in "total" income from 1831-2 to
1850-1,
given a decline in the unem-
ployment rate of 20-75%, is presented in Table 7.5, columns 4-6, and
Table 7.6, columns 3-5. Obviously, the assumption that unemployment
declined in response to the passage of the New Poor Law makes the
estimated change in income more "optimistic." If the unemployment
rate declined by 20%, the total income of agricultural laborers outside
East Anglia increased by 4.3-5.3%, while in East Anglia income de-
clined by 5.7-6.6%. Income declined by more than 4% in only three
counties: Berkshire, Cambridge, and Suffolk. The estimates contained
in column 6 of Table 7.5 (column 5 of Table 7.6) assume that the unem-
ployment rate declined by 75% and that no relief expenditures were
paid to agricultural laborers and their families after 1834. These esti-
mates are an attempt to determine what happened to laborers' income in
parishes that abolished outdoor
relief.
A comparison of column 5 with
columns 3 and 4 of Table 7.6 shows that the estimated change in labor-
ers'
income is not greatly affected by one's assumptions concerning the
change in unemployment rates and the administration of poor relief
after 1834. This result supports the hypothesis that in order to retain an
adequate peak-season labor force, farmers had to offer their laborers an
implicit contract with an expected utility equal to some reservation level.