7. Relation of the single tax to socialism. (Young, _The Single Tax
Movement in the United States_, pages 307-312.)




CHAPTER XII

PROFIT SHARING AND COÖPERATION


A. PROFIT SHARING

110. THE NATURE OF PROFIT SHARING.--The essence of profit sharing is
that the workmen in a given enterprise receive, in addition to their
regular wages, a share in the profits which would ordinarily go
entirely to the entrepreneur. The share going to the employees varies
with the establishment, but generally from one quarter to three
quarters of the profits are divided among them.

Distribution is by various methods. The workmen may receive their
share in cash at the end of the year. Sometimes the money is placed in
a provident fund for the workmen as a body; in other cases it is
deposited in savings banks to the account of the individual workmen.
In still other cases the workman's share is invested in the business
for him, the workman thereafter receiving dividends on this invested
capital.

In every case, however, the division of profits among the individual