ion._
Sec. 2. _Correctly described as Under-production and
Over-production._
Sec. 3. _Testimony to a general excess of Productive Power over the
requirement for Consumption._
Sec. 4. _The connection of modern Machine-production and Depression
shown by statistics of price._
Sec. 5. _Changing forms in which Over-supply of Capital is embodied._
Sec. 6. _Summary of economic relation of Machinery to Depression._
Sec. 7. _Under-consumption as the root-evil._
Sec. 8. _Economic analysis of "Saving."_
Sec. 9. _Saving requires increased Consumption in the future._
Sec. 10. _Quantitative relation of parts in the organism of Industry._
Sec. 11. _Quantitative relation of Capital and Consumption._
Sec. 12. _Economic limits of Saving for a Community._
Sec. 13. _No limits to the possibility of individual Saving--Clash of
individual and social interests in Saving._
Sec. 14. _Objection that excess in forms of Capital would drive
interest to zero not valid._
Sec. 15. _Excess is in embodiments of Capital, not in real Capital._
Sec. 16. _Uncontrolled Machinery a source of fluctuation._

Sec. 1. The leading symptom of the disease called Depression of Trade is
a general fall of wholesale prices, accompanied by a less than
corresponding fall of retail prices. Whatever may be the ultimate
causes of a trade depression, the direct and immediate cause of every
fall of price must be a failure of demand to keep pace with supply at
the earlier price. So long as those who have goods to sell can sell
all these goods at the price they have been getting, they will not
lower the price. The efficient cause then of any fall of price is an
actual condition of over-supply at earlier prices. A very small
quantity of over-supply will bring down prices in a business, or in a
whole market, provided the competition between the businesses is keen.
Where such a fall of prices quickly stimulates demand so that the
over-supply is carried off and the rate of demand is equated to the
rate of supply at the lower price level, the condition is commonly
described as a "tendency to over-supply." But it is important to bear
in mind that in strictness it was not a "tendency" but an actually
existing quantity of over-supply which brought down the price.

Where any fall of price thus brought about quickly stimulates a
corresponding increase of demand, stability of prices follo