these must be proportioned to the greatest possible return.408 To be sure, he does not appreciate the scientific significance of the principle. His purpose is rather to emphasize the danger of overproduction, and he even fails to grasp the necessary application of this danger to the silver mines. However, as the enunciator of the principle, he may be called the forerunner of the doctrine of diminishing returns.
As seen above, special emphasis was laid by Xenophon upon natural resources as an element in production, both in land and in the mines. His great interest in and eulogy of agriculture as the basal industry, upon which all other sources of wealth depend,409 have caused him to be classed with the physiocrats of modern time but such an interpretation is hardly warranted. Without doubt, agriculture is, in his opinion, the supremely honorable occupation. It shares with war the right to be placed above all other vocations.410 It permits the maximum of leisure and physical development, and is not unworthy of the personal attention of a prince.411 It is the most pleasant, most productive,, most dignified, of callings; the best exercise for the athlete, the finest school for education in patriotism and justice, and it offers the greatest opportunity for the exercise of hospitality to men and reverence to gods.412 Indeed, it is the first of all occupations for an honorable and high-minded man to choose.413 Here we have the highest eulogy of agriculture in Greek literature. It is in essence a sound statement, and offers a needed message for today.
Though Xenophon recognized the practical importance of capital in industrial enterprises,414 he developed no theory of it in his writings. He appreciated, however, the value of being able to keep a surplus.415 The term ἀφορμή, as used by him of the provision of raw material for weaving, probably signified nothing more than it would have done to any Athenian business man of his time.416 The word originally meant a “starting-point,” especially in war.417 Later, it signified the “means” or