E.F.Schumacher in his book, “Small is Beautiful” (Pg 225) says:

To sum up:

a) In small-scale enterprise, private ownership is natural, fruitful and just

b) In medium-sclae enterprise, private ownership is already to a large extent functionally unnecessary. The idea of ‘property’ becomes strained, unfruitful and unjust. If there is only one owner or a small group of owners, there can be, and should be, a voluntary surrender of privilege to the wider group of actual workers – as in the case of Scott Bader & Co Ltd. Such an act of generosity may be unlikely when there is a large number of anonymous shareholders, but legislation could pave the way even then

c) In a large-scale enterprise, private ownership is a fiction for the purpose of enabling functionless owners to live parasitically on the labour of others. It is not only unjust but also an irrational element which distorts all relationship within the enterprise. To quote Tawney again:

‘If every member of a group puts something into a common pool on condition of taking something out, they may still quarrel about the size of the shares…but, if the total is known and the claims are admitted, that is all they can quarrel about…But in industry the claims are not admitted, for those who put nothing in demand to take something out.’

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