majority composed of directed men on the other. But in the minds of many
socialistic thinkers the simplicity of the situation is obscured by the
vagueness of the ideas which they associate with the phrase "the state."
For them these ideas are like a fog, into which private capitalism
disappears, and in which the forces represented by it lose all definite
character. The state, however, is in reality nothing but a collection of
individuals; and if the state, besides being a political body, is to
become the sole industrial capitalist also, state capitalism, just like
private capitalism, will succeed or fail in proportion to the talents of
those to whom capital is intrusted as a means of directing the
labourers.

If, then, in any capitalistic country, such as Great Britain or America,
the business of production could become socialised to-morrow, the best
that could possibly happen would be the transformation of the present
employers into so many state officials, who industrially would be the
state itself. The only difference would be that they would have lost all
personal interest in the pecuniary results of the talents which they
would still be expected to exercise.[9]

Now, if such a transformation of circumstances could be suddenly
effected to-morrow, without any corresponding change in the dispositions
of these men themselves, there is theoretically no reason for supposing
that the process of production might not continue to be as efficient as
it is now, so long as this precise situation lasted. But it could not
last. It would be transitory in its very nature. The present generation
of industrial directors would die, and in order that the efficiency of
the state as the director of labour might be maintained, other men would
have to be discovered who were possessed of equal ability in the first
place, and who in the second could be trusted or compelled to use it