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(leaving aside for the moment the definition of those terms) in the period 1790–
1850, and the points of time when they, severally and collectively, began to share
in the benefits of industrialism.
1
Since the distribution of income is central to the
history of social structure, it is on this aspect of the controversy that we shall
concentrate in this section.
No one can doubt that the rich and the well-to-do got their full share of the
increase in national income. The only question is, did they increase their share
and, if so, by how much? Unfortunately, there is only one point in the nineteenth
century when we have a return of the actual numbers paying income tax at
various levels of income, and that is in 1801. However, we do have two later
estimates based on official sources, William Farr’s for 1848 and Dudley Baxter’s
for 1867.
2
Farr’s, which was concerned to fix the optimum lower exemption
limit, stops short of analysing the taxpayers receiving over 200 a year, but if we
compare this group of 236,000 incomes of 200 plus (1.18 per cent of the
population), and compare it with the nearest equivalent group in 1801, the 120,
873 incomes over 130 a year (1.14 per cent of the population) we find that their
share of the national product had risen from 25.4 per cent in 1801 to 34.9 per cent
in 1848.
1
Meanwhile, their average income had risen from 489 a year to 141,
an increase of 52 per cent in current terms, or in real terms of no less than 98 per
cent, compared with an increase in real national product per head of 78 per cent.
2
For a still richer section within this group we can compare Dudley Baxter’s 49,
500 taxpayers receiving over 1,000 a year in England and Wales in 1867 with
exactly the same percentage of the population (0.24 per cent), the 26,366
receiving over 500 a year in Britain in 1801. Their share of the national product
increased from 16.8 per cent to 26.3 per cent, while their average income rose
from 1,476 to 3,243, an increase of 120 per cent in current terms, or 191 per
cent in real terms, compared with an increase in real national product per head of
115 per cent.
3
This considerable shift in income distribution towards the rich and the well-to-
do is confirmed by what we know of the course of average real wages, for what
it is worth, in the controversial period. While not necessarily accepting at their full
face value the hotly disputed price indices, it is worth applying them to the series
of money wages derived by Deane and Cole from Bowley and Wood to discover
what the maximum improvement claimed by the meliorists can tell us about the
trend in distribution, as well as pinpointing the areas of disagreement between
1
Cf. esp. E.J.Hobsbawm and R.M.Hartwell, ‘The Standard of Living in the Industrial
Revolution: a Discussion’, Ec.H.R., 1963, XVI. 119f., esp. pp. 123–4, 132, 139; for
bibliographies of the standard of living controversy see A.J.Taylor, ‘Progress and Poverty
in Britain, 1780–1850: a Reappraisal’, History, 1960, XLV. 16f., J.E.Williams, ‘The
British Standard of Living, 1750–1850’ and R.S.Neale, ‘The Standard of Living, 1780–
1844: a Regional and Class Study’, Ec.H.R., 1966, XIX. 581f. and 590f.
2
P.P., 1852, IX. 510, 2nd Report of S.C. on the Income and Property Tax, Appendix 10,
pp. 462–3, Papers from William Farr, tables i and ii; R.D.Baxter, National Income (1868).
110 SOCIAL CONSEQUENCES OF INDUSTRIALISM