nations which resist her advancement. Worst off are the nations of continental Europe in this respect; they, as well as others, require territorial expansion, but they are so closely hemmed in by one another that none can grow except at the expense of some other. The colonial policy of these states affords inadequate relief to the need of expansion caused by their capitalist system of production. This situation is the most powerful cause of the militarism which has turned Europe into a military camp. There are but two ways out of this intolerable state of things: either a gigantic war that shall destroy some of the existing European states, or the union of them all in a federation.
This is enough to show that every modern state has the desire to expand in response to the demands of economic development. In this way each is seeing to it that its boundaries become sufficiently extensive to satisfy the needs of the coming co-operative commonwealth.
4. The Economic Significance of the State.
All communities have had economic functions to fulfill! This must, self-evidently, have been the case with the original communist societies which we encounter at the threshold of history. In proportion as individual small production, private ownership in the means of production, and production for sale underwent their successive development, a number of social functions came into existence, the fulfillment of which either exceeded the power of the individual industries, or were from the start recognized as too important
